BREAKING NEWS

Cassini Resources Limited has secured an option to acquire the Yarawindah Brook Ni-Cu-Co Project

  • Yarawindah Brook, an early stage Nickel – Copper – Cobalt Project
  •  Massive sulphide mineralisation intersected in historical drilling
  • Cassini geological analysis has identified walk up drill targets 
  •  Applying significant nickel expertise to an under-explored project
Cassini Resources Limited (ASX:CZI) (“Cassini” or the “Company”) is pleased to announce it has secured an option to acquire the Yarawindah Brook Ni-Cu-Co Project (“the Project”) in Western Australia. With the West Musgrave Joint Venture with OZ Minerals Ltd proceeding to Stage 2 of the earn-in, the Company will recommence activities at its 100% owned exploration projects, including opportunities to add to the project portfolio. The Company believes it can add significant value to these projects through modest expenditure whilst maintaining its core focus on the development and exploration of the West Musgrave Project. This will provide our shareholders exposure to near-term exploration success.

Project Background Cassini is actively identifying and reviewing new exploration and development opportunities to complement its existing portfolio. As part of this process, Cassini has entered an option agreement to earn into the Yarawindah Brook Project through private company Souwest Metals Pty Ltd (Souwest), a company associated with Kalgoorlie prospector Mr Scott Wilson.

Yarawindah Brook is located 130km northeast of Perth, in agricultural land near the township of New Norcia (Figure 1). The Project has had only limited nickel, copper and cobalt exploration despite a favourable regional setting, prospective geology and near-surface occurrences of nickel and copper. Historic exploration has focussed primarily on a small platinum and palladium (PGE’s) resource which the Company views as a “path-finder” anomaly for massive nickel - copper – cobalt sulphides. Exploration for nickel and copper has been sporadic, however the most recent drilling in 2007 targeting surface EM anomalies, returned encouraging results from hole YWRC0083 including 7m @ 1.30% Ni, 0.22% Cu, 0.06% Co and 432ppb Pd from 74m. (See Table 1 for a more comprehensive list of significant results). Despite the promising result no further follow-up drilling was conducted due to budget limitations of the previous operator during the exploration downturn post-GFC.

Historic drilling has identified primary nickel and copper mineralisation over a strike length of at least 2km, with only a handful of these holes deeper than 100m. In addition, reconnaissance rock chip sampling has identified other anomalous nickel outcrops on the Project that are yet to be drilled (Figure 2). Rock chip samples have reached up to 0.49% Ni.

Cassini has taken an option to earn an 80% equity interest in the Yarawindah Project through payment of an Option Fee of $50,000 (including reimbursement of costs) and committing to spend a minimum of $250,000 on the Project prior to 30 March 2019. If Cassini decide to progress and acquire 80% of the shares in Souwest, a further payment of $300,000 in cash or Cassini shares (at Cassini’s election) will be made. Souwest will be free-carried until a decision to mine is made.

Work Program
Cassini has compiled all previous drilling as well as numerous geophysical surveys into a consolidated database. Re-modelling of this data has shown that a number of EM conductors have not been tested by previous drilling, with a number of holes either not hitting or only intersecting the margins of the conductor, which appears to be the case for YWRC083 (Figure 3). These conductors appear to plunge between existing drill holes and are a priority for further exploration targeting massive nickel-copper-cobalt sulphide. Additional EM conductors are also yet to be adequately tested at four other localities within the Project. To date, all conductors have proven to be associated with magmatic sulphides.

The surface EM coverage completed to date has been limited and has not effectively covered the Project area, particularly the ultramafic basal contact zone which is a highly prospective position for the accumulation of nickel sulphides. Re-interpretation of the geology and targeting is continuing.

The initial work program will include an airborne VTEM survey to expand the EM coverage over the entire mafic-ultramafic intrusive and to test down dip, beyond the depth of the previous EM system. An aircraft is currently being sourced to conduct the survey as soon as possible. An RC drilling program is intended to follow to test new and existing conductors in the second half of the year.

Cassini views the Project as an excellent opportunity to apply its geological expertise and learnings in nickel-copper systems from the West Musgrave Project to an apparently similar mineralised system with only limited modern exploration. Further, the Project is conveniently located adjacent to roads and power, providing development advantages if exploration proves successful.

The Project provides Cassini with further exposure to nickel, copper and cobalt, three critical components of advanced technology and a decarbonised future.

About the Company
Cassini Resources Limited (ASX: CZI) is a base and precious metals developer and explorer based in Perth. In April 2014, Cassini acquired its flagship West Musgrave Project (WMP), located in Western Australia. The WMP is a world-class asset which currently has over 1.0 million tonnes of contained nickel and 2.0 million tonnes of contained copper in Resource. The WMP is a new mining camp with three existing nickel and copper sulphide deposits and a number of other significant regional exploration targets already identified. The WMP is the largest undeveloped nickel - copper project in Australia.

 

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