Nickel miner Panoramic Resources has lifted the resource of its Savannah project, in Western Australia, by 54400t.
In August, Panoramic announced an interim resource estimate of 3.15-million tones, grading 1.75% nickel for 55200t of nickel; however, by the end of September, this resource had increased to 6.88-million tones, at 1.59% nickel for 109400t of contained nickel.
Thirty-eight underground drill holes have now been completed at Savannah North, which formed the basis of the resource upgrade. The drill holes covered some 75% of the planned maiden resource test area.
Panoramic said this week that the discovery of the Savannah North prospect highlighted both the prospectivity of the North Olivine Gabbro and the potential to find other sources of mineralistion at the Savannah project.
Further, a concentrate offtake agreement with China’s Jinchuan Group would continue until 2020, which Panoramic said would provide a proven route to market for Savannah concentrates.