Lunnon hits high-grade nickel in two drillholes at WA Foster project

Thu 24 Nov 22, 2:52pm (AEST)
In-situ nickel mineralisation
Source: iStock

Key Points

  • Lunnon has hit more high-grade nickel in drilling at the existing Foster underground mine
  • Lunnon’s Foster mine used to be the property of Wiluna Mining Corporation in the 1980s and 1990s
  • Company exploration team interprets high-value reserves of nickel are still present in the asset

Lunnon Metals (ASX:LM8) has today unveiled its latest two diamond drillhole assay results for nickel conducted at its WA Foster Project, south of Kalgoorlie, with high-grade concentrations of nickel intercepted in two separate cores. 

Investor information provider Undervalued Equity classifies high grade nickel as that present in concentrations over 2%. Compare that to today's results:

  • 3.75m @ 4.34% nickel at 435.7m depth 

  • 4.45m @ 5.70% nickel at 415.0m depth 

For clarity on the considerable depths involved, the Foster project boasts an existing underground mine. Foster was previously owned and developed by Wiluna Mining Corporation (WMC) between the 1980s and 1990s. 

Value still left within those walls yet 

Lunnon interprets the central and upper flank areas of the mine contain more nickel yet to be discovered and mined, as well as deeper parts of the project. 

The Foster mine, Lunnon says on its project webpage, consists of four main surfaces or shoots which form the bulk of the existing JORC resource. 

At the start of 2022, Lunnon hit high-grade nickel (4.41%) in drilling at the Warren shoot, separate from the larger underground mine directly accessed via the underground portal. 

The main component of the mine consists of the N75C and 85H surface targets. A separate shoot called Foster South is also present. 

Exploration confirming prior theses 

“Metallurgical and geotechnical work at both Warren and Foster 85H are progressing rapidly. This drilling programme has ticked a number of boxes and naturally, it is pleasing to see our present-day drilling delivering the widths and grades we expected,” Lunnon chief Ed Ainscough said. 

“This emphasises the high quality of the historical WMC drilling database which Lunnon inherited in taking ownership of these amazing nickel assets.” 

Ainscough highlighted Lunnon is now moving ahead to publish technical studies for the Foster mine. 

A look at Lunnon's one year charts
A look at Lunnon's one year charts


Written By

Jonathon Davidson

Finance Writer

Jonathon is a journalism graduate and avid market watcher with exposure to governance, NGO and mining environments. He was most recently hired as an oil and gas specialist for a trade publication.

Get the latest news and insights direct to your inbox

Subscribe free