Chalice’s Julimar shaping up to a ‘very significant new PGE-Ni-Cu-Co discovery’, says Red Cloud

20th August 2020
Resources Rising Stars

“Exceptional” new intercepts reported earlier this week by Chalice Gold Mines (ASX: CHN) from its Julimar discovery near Perth have prompted North American brokerage Red Could Securities to compare the discovery to the world-class Sudbury deposit in Canada.

Chalice reported assays from five diamond holes and 20 RC holes which have extended three high-grade PGE-Ni-Cu-Co-Au zones (G1, G3 and G4) and a large PGE disseminated sulphide zone within G1 at the 100%-owned project, sending its share price sharply higher this week.

“These much higher grade PGE zones seem to have a lot of similarities with the footwall deposits in Sudbury,” Red Cloud analyst Jacob Willoughby wrote in an updated research note on August 18.

“If we are right, Julimar is shaping up to be a very significant new PGE-Ni-Cu-Co discovery,” he said.

The step-out diamond and RC holes targeting the high-grade G1 zone have confirmed that the zone extends over ~400m of strike length and ~340m of dip extent, up from ~280m, Red Cloud said.

The highlight diamond intercept, the note continued, was a result of 31m at 3.3g/t Pd, 0.7g/t Pt, 0.4% Ni, 0.2% Cu and 0.03% Co, with an additional diamond hole intersecting an ~40m wide interval of visually logged matrix, minor massive and disseminated sulphides from 224m.

“The n1ew wide intersection demonstrates the potential of the G1 zone to grow and widen down-dip to the west. The zone remains open down-dip and along strike to the south,” Willoughby says.

The deeper G4 zone also continues to show high-grade PGE-Cu-Au mineralisation, with two holes drilled ~300m apart intersecting significant high-grade mineralisation.

“Chalice is currently working towards a maiden resource estimate at Julimar,” Red Cloud said.

“In total, assays for 25 holes remain outstanding. Chalice has two RC rigs turning as part of a ~20km Phase 2 RC program and has one diamond rig drilling step-out holes along the matrix sulphide zones to test down-hole EM targets.

“A second drill is expected to be added in the coming weeks.

“The company announced that it is working towards defining a maiden resource estimate within ~12 months at Julimar.”

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