Nov 1, 2024

Chalice Mining Hits 7.9m @ 10.7g/t 3E, 4.74% Cu at Gonneville Project, Western Australia

Chalice Mining Limited (ASX: CHN) has reported significant step-out and infill drilling results from its 100%-owned Gonneville Ni-Cu-PGE Project, located 70km north-east of Perth, Western Australia. Results are highlighted by a high-grade intercept of 7.9m @ 10.7g/t 3E (Pd+Pt+Au), 0.56% Ni, 4.74% Cu, 0.05% Co from 90.5m in hole JD402.

Drill Results

7.9m @ 10.7g/t 3E, 0.56% Ni, 4.74% Cu, 0.05% Co from 90.5m (JD402)
8.0m @ 5.83g/t 3E, 0.15% Ni, 1.12% Cu from 543m (JD415)
14.0m @ 5.72g/t 3E, 0.19% Ni, 0.36% Cu from 1096m (JD426)
16.0m @ 6.17g/t 3E, 0.21% Ni, 0.15% Cu from 478m (JD389)‍
29.0m @ 4.06g/t 3E, 0.22% Ni, 0.32% Cu from 507m (JD389)

Project Overview

The Gonneville Project represents one of the largest recent nickel sulphide discoveries worldwide and the largest PGE discovery in Australian history. The project hosts a Mineral Resource Estimate of 560Mt @ 0.88g/t 3E, 0.16% Ni, 0.09% Cu, 0.015% Co, containing approximately 16 million ounces of PGEs, 860,000 tonnes of nickel, 520,000 tonnes of copper, and 83,000 tonnes of cobalt.

Program Details

The current drilling program includes wide-spaced step-out drilling targeting areas down-plunge of known high-grade zones to the north-west of the current resource. Step-out drilling continues with two rigs operating on approximately 160m spacing, focusing on defining the extent and width of high-grade mineralized zones between the current resource and deeper intersections.

Understanding These Results

The new high-grade zones have been intersected primarily in the Gonneville 'G4' footwall position within the host intrusion. These zones typically show elevated PGE, gold and copper grades associated with disseminated chalcopyrite. While the controls on the high-grade zones at the footwall position are unclear, drilling has demonstrated consistent zone orientation at predictable depths.

Next Steps & Catalysts

The Gonneville Resource model is currently being re-wireframed and re-modelled to incorporate recent drill results and a smaller block sizing suitable for selective open-pit and underground mining approaches. A high-grade sulphide Resource update is expected in late Q1 2024. The company is also advancing a Pre-Feasibility Study and strategic partnering process, with regulatory approvals expected to commence in H1 2024.

Commodity Outlook

The project's diverse mix of critical green metals, including nickel, copper, cobalt, palladium, and platinum, positions it strategically in the global decarbonization supply chain. Current PGE production is dominated by Russia and South Africa, making this Australian discovery particularly significant.

Conclusion

The latest results demonstrate Gonneville's potential as a tier-1 scale project, with significant high-grade extensions identified beyond the current resource envelope. The combination of shallow high-grade mineralization in the starter pit area and deeper high-grade zones supports the potential for both open-pit and underground mining scenarios, with resource growth potential remaining open at depth.

Sources:

Chalice Mining Drill Results Announcement

Additional Figures:

ASX

Australia

Nov 20, 2024