The Spargoville Project is located located approximately 20km South West of Kambalda, Western Australia. Estrella Resources acquired the project, through the purchase of WA Nickel Pty Ltd. As a result of this purchase, the Company received a large database of drillhole, surface sampling and underground channel sampling with the acquisition.
The surrounding area, including nearby mines, along with advances in modern geophysical exploration and metallurgical processing methods, provide Estrella Resources with broad exploration opportunities and targets to follow-up.
The Spargoville project was first discovered by Selcast Exploration in the late 1960s, since then 1A, 5A, 5B and 5D deposits have been discovered and developed. The primary interest is 5A, where a high-grade body of nickel, copper, and cobalt is located directly below the floor of the open pit mine there, within 30m of the natural ground surface.
The drilling by Estrella Resources at 5A has exceeded all expectations – with spectacular high grade nickel sulphide intercepts with accompanying polymetallic mineralisation. The drilling results have been consistently higher than previous drilling expeditions – with elevated platinum group and cobalt mineralisation.
With significant enhances in metallurgical technology, Estrella Resources is excited by the elevated results, which have the potential to substantially enhance the economics of the project. Recent cross-examination of historic geophysical datasets has also revealed the presence of several high priority EM targets, which will be targeted by future drilling.
Estrella Resources has established the potential for further work, including follow up drilling, metallurgical test work and additional scoping studies. There is also potential for extensions in the down plunge position to the current mineralisation.
The drill spacing is currently considered adequate for the current level of interrogation of the project.