http://www.*.com.au/genera//img/companies/news/africa_globe_358_5798080eafa9e.jpg Botswana Metals Ltd's (ASX:BML) joint venture partner, the government-owned BCL Limited, has commenced regional exploration drilling into three of 23 highly prospective nickel-sulphide targets on PL54/1998.
A program of four deep holes will test several targets that are marked by prominent VTEM anomalies and corresponding SQUID EM conductors coincident with ultramafic intrusions and anomalous copper and nickel soil geochemistry.
The four vertical holes will cover 1600 metres.
The board of BML said that it is extremely excited to see the first regional exploration drill holes targeting nickel sulphide mineralisation undertaken in the Magogophate Shear Zone.
BCL
BCL has already earned an initial 40% in the three prospecting licenses of the joint venture, and by electing to fund the BFS it will take management rights over the project development and earn a 70% interest in the licenses after completing the BFS.
The BFS will determine the optimum route to mining.
BCL's existing mine and smelter has mined 175 million tonnes to a depth of 1 kilometre over 50 years.
The smelter is economically significant to Botswana, as it supports a town of over 50,000 people and employs locally 5000 people.
BCL is hungry for ore as existing resource is depleting.
Analysis
Drilling will take place 10 kilometres from the Maibele North project, which already hosts a JORC Resource of 2.38 million tonnes at 0.72% nickel, 0.21% copper and 0.63g/t of PGE, plus gold.
Maibele North is also a joint venture with BCL.
BCL Limited has already elected to proceed to a Bankable Feasibility Study (BFS) at Maibele North, with the view of applying for a mining licence to mine Maibele North as an open pit.
BCL owns mining and smelting operations, 55 kilometres away.
This therefore adds intrigue to any potential discovery from the new drilling, which could transform the Magogophate Shear Zone into a new mineralised province in Eastern Botswana.
Have a nice weekend all.
BML Price at posting:
0.4¢ Sentiment: Buy Disclosure: Held
(20min delay)
