Moves to Phase 2 - Piedmont Ni Co Project
Brisbane, Nov 28, 2018 AEST (ABN Newswire) - Alligator Energy Limited (
ASX:AGE) (Alligator or the Company) is pleased to announce its commitment to the Phase 2 Farm-in Work Program for the Piedmont Project in northern Italy. Piedmont is a farm-in/joint venture project with CRP (ASX Announcement: 1 February 2018).
Highlights
- Phase 1 Work Program completed with processing of ground magnetometer trial surveys;
- Phase 2 Election Notice issued to Chris Reindler and Partners (CRP);
- Ground magnetometer and geophysical surveys to be reviewed in conjunction with planning for Phase 2;
- Engagement of nickel geological expert with global experience in the Piedmont style of nickel deposits to perform a data review and site visit under Phase 2;
- Drill permit applications underway with target for finalisation in Q1 2019;
- Valmaggia, an additional exploration permit application in the Piedmont Project region, to be included in the agreement with CRP.
AGE's CEO Greg Hall commented today: "Alligator has been very pleased with its on-ground geological work, and subsequent high-grade nickel, copper and cobalt sampling results obtained from the Phase 1 program concluded at various sites within the Piedmont Project in northern Italy. We have now committed to Phase 2 of the farm-in agreement. We believe the region contains potential for extended mineralisation, as indicated by the continuity already shown through the regional mapping. We await finalisation of the drilling permit application process to enable testing of this during next year".
Piedmont Project - Phase 2 Commitment
From May to early November 2018, AGE's exploration team completed substantial on-ground geological and structural mapping, along with extensive geochemical sampling and a ground-based magnetometer survey and data processing around historical mines and other prospective sites within the project area.
Alligator is currently interpreting the ground magnetometer data. Once this interpretation is completed it will then be assimilated with the geochemical data and regional interpretation. In order to then establish the best way to advance this Province scale opportunity it is planned to engage a nickel expert with experience in the style of nickel prospects and mineralisation encountered. The drilling permit application process including an environmental survey is being carried out in tandem.
Completion of Phase 1
Phase 1 ground work was completed at the Piedmont project during June and finalised with the subsequent receipt of assay results in September, petrographic reports and processed magnetometer data in late October/early November.
Assay results have shown high grade Ni & Cu to be present within the project outcropping at several prospects occurring with excellent Co & Au credentials across the project area. Highlight results include 6.38% Cu in P18-S177, 2.48% Ni in P18-S003, 0.19% Co in P18-S131 and 60.8g/t Au in P18-S170 (ASX Announcement: 14 September 2018).
Processing by our contractor has now been completed on the trial ground magnetometer surveys conducted during phase 1 ground work in July. Initial interpretations are ongoing and will be conducted in conjunction with phase 2 work planning and proposals.
Petrographic analysis of 5 samples collected during 2018 fieldwork has also been received during November which will also contribute to ongoing stratigraphic and geological interpretations.
Project Background
The Piedmont Project is located within an historic mining district with cobalt, nickel and copper mining taking place from the late 1800's to the end of WWII. Cobalt production grades of over 0.2% and nickel grades of over 2% were recorded as historic mine grade estimates within the Project area.
Alligator considers the Piedmont project prospective for Fe-Ni-Cu-Co massive sulphide deposits in gabbroic and mafic rocks. Previous work on the metallogenesis of the Hercynian orogeny of the Alps completed by Omenetto and Brigo in 1974 drew strong similarities with Sudbury type ores regarding the sulphide assemblages. Bigioggero et al. 1979 made a division of the deposits within the project area based on the metal association and geological settings, these categories were:
1) Mineralisation in layers of the cyclic units, proximal to metasediments
2) Mineralisation in layers of the main gabbro
3) Mineralisation in pipes
Alligator are exploring for all 3 mineralisation types. Virtually no modern exploration has been completed within the district, until a recent EM survey highlighted targets proximal to historic workings.
Piedmont Project Deal Structure
Alligator entered a Binding Heads of Agreement with CRP on 31 January 2018 to earn into the Piedmont Cobalt Nickel project (ASX Announcement: 1 Feb 2018). In summary, Alligator's farm-in agreement comprises:
- Up front payments in shares and cash;
- A total of $650,000 to achieve 51% project ownership from completing both the Phase 1 and 2 Work Programs; and
- Option to increase ownership to 70% through a further $1.25 million program of work
Formal execution of a Farm-in Agreement with Ivrea Minerals Pty Ltd and KEC Exploration Pty Ltd (collectively CRP) covering the terms set out in the Binding Heads of Agreement is in the process of being completed.
Alligator has now completed the establishment of an Italian company AGE EV Minerals S.r.L. This company is a fully owned subsidiary of Alligator and will contain the targeted 51% interest in the Piedmont Project (when earned) plus other EL's and applications which may be obtained. The Company has been considering additional opportunities within the region and recently announced the application for two further exploration permits (ASX Announcement: 23 August 2018).
Alligator and CRP have agreed to collaborate on other Ni, Co, Cu opportunities within Italy as deemed suitable to both parties. In this regard Alligator has offered, and CRP has agreed, to include an additional new exploration permit application called Valmaggia which has been lodged by AGE EV Minerale S.r.L into the proposed joint venture operations once granted.
The Valmaggia permit application area lies directly south of the Alpe Laghetto north-south mineralised trend, and the permit has had some more recent exploration activity and information generated. Alligator will undertake initial work on this and its other application tenements during the next northern hemisphere summer.
To view figures, please visit:
http://abnnewswire.net/lnk/JV9OH6R7
About Alligator Energy Ltd
Alligator Energy Ltd (ASX:AGE) is an Australian, ASX-listed, exploration company focused on uranium and energy related minerals, principally cobalt-nickel.
Alligator's Directors have significant experience in the exploration, development and operations of both uranium and nickel projects (both laterites and sulphides).
| ||
|
