Buxton (ASX:BUX), IGO (ASX:IGO) record a second high-grade strike into DoglegFebruary 1, 2024
Buxton Resources joint venture partner IGO (ASX:IGO) has struck more high-grade sulfides and a broader zone of high-grade mineralisation at the Dogleg nickel-copper-cobalt prospect at Quick Shears project in the West Kimberley.
The high-grade semi-massive mineralisation was previously undetected at Quick Shears and was found in a 2.89-metre intercept with a true width of 2.63m, grading 4.17% Ni, 0.83% Cu and 0.14% Co from 233.63m.
The partners first struck an eye-opening 13.85 metres (true width 13.24m) at 4.35% Ni, 0.34% Cu, 0.15% Co in a first intersection, validating a belief the IGO joint venture prospect could host the rare and lucrative Nova-Bollinger style nickel sulfide deposits.
The two assays support a belief the mineralisation is a combination of pyrrhotite, pentlandite and chalcopyrite, with Buxton Chief Executive Officer Marty Moloney saying the assay-grades were excellent.
“These are outstanding grades for semi-massive sulphide mineralisation, particularly given that these results lie outside the modelled ground EM plate,” Mr Moloney said.
“Dogleg is emerging as a particularly high-tenor nickel sulfide deposit, and we are eagerly looking forward to updating shareholders with IGO’s plans for the 2024 field season.”
While IGO has placed its WA Cosmos nickel mine near Leinster into care and maintenance, it has retained the option for a restart and is now planning a follow-up campaign for 2024 at Dogleg, part of a deepening relationship with Buxton which includes $579,000 for an exploration campaign at the pair’s Copper Wolf JV in Arizona.
An oversupply may have shocked the current battery metal markets, but IGO has reaffirmed its conviction in a strategy toward producing the goods for an energy transition.
Benchmark Mineral Intelligence’s Harry Fisher has forecast an oversupply in the nickel markets lasting until 2028, but it takes a long time to build a mine, and the Australian powerbrokers convened last week on how to support Australian industry through the winter, with a commitment from Australian Resources Minister Madeleine King.
“I’ve committed to accelerate talks with the Treasury over the production of tax credits and how they might be applied into the nickel industry and more widely into critical minerals sector as well,” Ms King said.
But for Buxton, now is the time to explore, and the company looks toward a busy year, standing well-funded and primed to get drilling across Copper Wolf, Graphite Bull, and a rising discovery at Dogleg.
Dogleg project Quick Shears is part of Buxton’s West Kimberley projects portfolio and is on neighbouring tenements to its nickel-copper-cobalt Merlin JV project with IGO where Buxton discovered an orthomagmatic Ni-Cu sulphide system in 2015.
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