The Jimperding Project lies approximately 30km east of Chalice Gold Mines Limited’s (Chalice) Julimar Ni-Cu-PGE discovery. The 140km2 exploration licence application (ELA) comprising the Jimperding Project was applied for on 4 March 2020, prior to the Julimar discovery hole announcement and prior to Chalice pegging over 2,000km2 of ELAs contiguous to the Jimperding Project.
Key points:
- Distinct bullseye magnetic anomaly 1.5km in diameter and coincident Ni/Cu-rich geochemistry identified at the advanced Newleyine prospect in the Jimperding Metamorphic Belt located 70km NE of Perth.
- Ground magnetics has demonstrated the ovoid-shaped Newleyine anomaly contains distinct internal structure, comprising a series of magnetic-high lenses and potential structural offsets, highlighting the Ni-Cu-PGE prospectivity of the ultramafic intrusive(s) at Newleyine.
- Historic drilling of the Newleyine Prospect confirmed nickel grades to 1.18% and copper to 1,200 ppm. Crucially, PGEs not assayed.
- Historic surface sampling of the Newleyine ultramafic intrusive – 90 rock chip samples returned assay values up to 0.52% Ni and 805 ppm Cu.
Newleyine Prospect
The Jimperding Metamorphic Belt is in the northern part of the southwestern Yilgarn Craton and comprises Archaean gneisses, arkosic paragneiss and banded-iron formation, interleaved with a variety of garnetiferous orthogneiss and ultramafic units.
A distinct bullseye total magnetic intensity anomaly measuring 1.5km in diameter has been identified at the Newleyine Prospect corresponding with confirmed ultramafic layered intrusive units and banded iron formation (BIF).
Historic drilling of the Newleyine Prospect confirmed nickel grades to 1.18% and copper to 1,200 ppm within the relatively shallow lateritic zone.
Primary Newleyine grades observed from drilling carried values of 0.49% Ni and 0.02% Cu Crucially, samples were not assayed for PGEs.
As well as a high grade component in the lateritic material, three exploratory diamond drill holes completed by Australian Anglo American established the presence of widespread Ni-Cu-Fe sulphide mineralisation of 0.24% Ni and 172ppm Cu over drill widths of up to 240m through a dunite body. Samples were evidently not assayed for PGEs or gold.
Further confirming the Ni/Cu anomalism, historic surface sampling of the Newleyine ultramafic intrusive by way of 90 rock chip samples returned assay values up to 0.52% Ni and 805 ppm Cu.
Mandrake is currently assessing the Newleyine Prospect for Ni/PGE mineralisation analogous to that discovered at the Chalice Julimar discovery. The Julimar discovery has radically changed the geological interpretation and indeed commercial potential of the Jimperding metamorphic belt and associated ultramafic intrusives.
In 1996, exploration by BHP near the Mt Pleasant prospect identified anomalous nickel mineralisation within a 10km long, north trending mafic amphibolite.
Farm-in Terms
Mandrake has executed a binding Heads of Agreement (HoA) with AER detailing the terms of the farm-in agreement to ELA 70/5345. The terms of the agreement are:
- Cash payment to AER of $40,000 (paid)
- Mandrake to expend $100,000 to earn a 51% interest in ELA 70/5345
- Mandrake to expend a further $200,000 to a earn a further 29% (total 80%) in ELA 70/5345
- AER to be free-carried through to the commencement of a Bankable Feasibility Study at which point a Joint Venture will be incorporated between Mandrake and AER
- Mandrake to satisfy all expenditure related to grant of EL70/5345