Talon Metals Corp (TSE:TLO) reported new results Wednesday from an ongoing drill campaign at its Tamarack project in Minnesota that highlighted the project’s potential to become a significant nickel resource.
The firm revealed massive and disseminated sulphides in one drill hole of 2.8 metres at 3.8% nickel, 1.6% copper, 0.1% cobalt, 0.6 grams per ton (g/t) platinum group elements (PGEs) and 0.4 g/t gold starting at 139 metres. Another drill hole from the north area of the target returned intercepts of 2.2 metres at 1.8% nickel, 0. 9% copper, 0.1% cobalt, 0.3 g/t PGEs + 0.1 g/t gold, starting at 117.7 metres.
The new results are more than 300 metres away from the current resource at Tamarack in an area known as CGO East, where Talon expects to the massive sulphide unit to be “much wider” than what is already defined in the resource area.
READ: Talon Metals says metallurgical testing confirms option to use nickel concentrates from Tamarack for the electric vehicle market
CEO Henri van Rooyen told investors that the results could increase the amount of high-grade tonnage at Tamarack.
"Following on from successfully drilling the tube-like, high-grade massive and mixed massive sulphides in the company's resource area, we are now moving outside of the resource area and have started with exploring an exciting trend of wider, sheet-like, massive and mixed massive sulphide mineralization,” van Rooyen said in a statement.
“Not only is this expected to increase the amount of high-grade tonnage at the Tamarack project, it could do so at the front end of the mine life, resulting in early cash-flows. It is therefore expected to reduce the timeline to production.”
Talon president Sean Werger added that Tamarack’s drill results were “good news” for the electric vehicle industry in the US and Europe.
“We are looking to supply Green-NickelTM when it will be needed the most," said Werger.
Talon’s current drill program at Tamarack is expected to run for the remainder of this year and into next year. The firm said it has enough cash on hand to complete its program without returning to the markets.
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