Strategic Minerals' survey identifies favourable conditions for nickel at Australian project

The identification of conditions which could constitute key requirements for the accumulation of nickel sulphides stems from a recently completed electromagnetic survey which was carried out at the site to assess the viability of further field work.

Alan Broom, chairman of Strategic Minerals, said: "We are delighted that the recent electromagnetic survey has, as the board had hoped, suggested that further field work of the Hanns Camp Project area is indeed warranted. The recent work conducted by Dr. Gole and our geological team has given us great confidence as the company progresses with the next phase of exploration."

The next phase is a first pass aircore drilling programme which the company hopes will commence in April subject to approvals from the department of mines, industry regulation and safety.

Strategic Minerals acquired a 50% interest in CARE’s Laverton Project, in which the Hanns Camp lies, through the funding of a 2016 drilling campaign.

The Laverton Projectis located in the Eastern Yilgarn Craton Nickel Sulphide Province which also hosts other notable nickel deposits such as the Mount Windarra and South Windarra sites and Duketon Minings Rosie deposit that has a Mineral Resource estimate of 1.74Mt at 1.7% Ni.

"In light of growing demand for battery minerals for use in the electric vehicle market, the board feels further exploration for nickel and cobalt targets at the Hanns Camp prospect looks to be warranted. Further, we would expect to be able to fund these activities using existing cash flow from within the business," said Broom.

As of 1103 GMT, Strategic Minerals’ shares were down 4.94% at 1.83p.