Successful in-fill drilling continues to de-risk the Project by increasing confidence in the shallow open pit mineralisation that will underpin early payback of the planned mining operation

Centaurus Metals (ASX Code: CTM) is pleased to report outstanding new results from ongoing resource development drilling at its 100%-owned Jaguar Nickel Sulphide Project in the Carajás Mineral Province of northern Brazil. The results are expected to further increase confidence in the Mineral Resource before delivery of the Definitive Feasibility Study (DFS) and initial Ore Reserve estimate due by the end of calendar 2022.

  • Significant shallow results received from ongoing in-fill drilling at the Jaguar Central (JC), Jaguar South (JS) and Jaguar Northeast (JNE) deposits, demonstrating the continuity of the mineralisation within the current Mineral Resource model. New assay results include:
    • 46.0m at 2.17% Ni from 128.0m including 23.2m at 2.82% Ni from 148.0m in JAG-DD-22-274 (JC)
    • 49.3m at 1.20% Ni from 31.9m including 13.2m at 2.37% Ni from 53.5m in JAG-DD-22-262 (JC)
    • 38.3m at 1.16% Ni from 87.7m in JAG-DD-22-246 (JS)
    • 15.2m at 2.12% Ni from 187.8m including 2.6m at 9.14% Ni from 200.4m in JAG-DD-22-260 (JS)
    • 33.3m at 0.89% Ni from 136.3m in JAG-DD-22-282 (JC)
    • 26.9m at 0.93% Ni from 91.6m in JAG-DD-22-265 (JC)
    • 22.5m at 1.01% Ni from 116.5m including 6.0m at 2.29% Ni from 133.0m in JAG-DD-22-272 (JC)
    • 15.0m at 1.42% Ni from 122.0m including 5.5m at 2.82% Ni from 126.0m in JAG-DD-22-260 (JS)
    • 20.3m at 0.93% Ni from 62.5m in JAG-DD-22-265 (JC)
    • 13.1m at 1.40% Ni from 116.2m in JAG-DD-22-271 (JS)
    • 14.9m at 1.22% Ni from 90.4m in JAG-DD-22-277 (JS)
    • 9.3m at 1.51% Ni from 183.5m including 3.5m at 2.86% Ni from 183.5m in JAG-DD-22-282 (JC)
    • 14.0m at 0.86% Ni from 40.2m in JAG-DD-22-259 (JS)
    • 13.2m at 0.94% Ni from 162.0m in JAG-DD-22-260 (JS)
    • 12.6m at 1.05% Ni from 28.4m in JAG-DD-22-265 (JC)
    • 11.7m at 0.93% Ni from 88.0m in JAG-DD-22-259 (JS)
  • The Jaguar December 2021 Mineral Resource Estimate (MRE), comprising 80.6Mt @ 0.91% Ni for 730,700 tonnes of contained nickel, is already one of the largest nickel sulphide resources held by an ASX-listed company and the largest outside of the majors.
  • The next Mineral Resource update scheduled for Q3 2022 will underpin the Definitive Feasibility Study (DFS) and the Project’s first Ore Reserve estimate.
  • There are currently 15 rigs on site (13 diamond and two RC) drilling double-shift with the drilling currently focused on upgrading as much of the MRE into the Measured and Indicated categories as possible.
  • Centaurus is well-funded with cash reserves of approximately $65 million.

The resource definition drilling program currently underway is expected to upgrade more of the Jaguar MRE into the Measured and Indicated categories in advance of Ore Reserve estimation as part of the DFS.

Centaurus’ Managing Director, Mr Darren Gordon, said: “We are extremely pleased with how the resource definition drilling program is progressing, with the ongoing drilling continuing to de-risk the project by demonstrating the continuity of the mineralisation within the cornerstone Jaguar deposits.

“Seeing high-grade, shallow intersections like 46.0m at 2.17% Ni within a constrained US$22,000/t nickel price pit shell gives us a lot of confidence that the early stages of a future mining operation at Jaguar can support robust capital payback on the project.

“The target pit we are using for the in-fill drilling has expanded considerably since the Scoping Study was delivered, and this has resulted in most of the diamond rigs on site now being swung onto in-fill drilling so we can deliver the planned MRE upgrade by the end of Q3 2022. This updated MRE will, in turn, underpin the initial Ore Reserve for the DFS.

“In-fill drilling is a clear focus of our drilling effort right now. We expect a steady flow of results from this work over the next couple of months as reflected in the number of drill holes currently in the laboratory for assay. We currently have a total of 15 rigs operating on-site, with two rigs currently continuing to focus on resource growth step-out drilling and the balance currently dedicated to in-fill drilling. Once the MRE upgrade is complete, we will swing most of the rigs back to resource growth and discovery drilling.”

Resource Development In-fill Drilling

The December 2021 Mineral Resource Estimate (MRE) comprised 80.6Mt @ 0.91% Ni for 730,700t of contained nickel (Table 2), with an Indicated component of the Resource being 43.4Mt @ 0.92% Ni for 397,000t of contained nickel, representing 54% of the Global MRE. The total MRE at Jaguar has increased by 30% since the Scoping Study Resource Estimate was announced in March 2021 and more than 40% since the Company’s maiden Resource was announced in June 2020 (Figure 1).

The focus of drilling during the first half of 2022 has shifted to resource development in-fill drilling at all of the Jaguar Deposits. In-fill drilling is designed to upgrade all resources within a constrained US$22,000/t nickel price pit shell limit into the Measured and Indicated categories.

The US$22,000/t pit shell limit is considerably bigger than the shell used for the Scoping Study, which was generated using a US$13,800/t nickel price. The Company is targeting more than 500,000t of contained nickel in the Measured and Indicated categories of the next MRE based on the extensive in-fill drill currently being undertaken and the MRE already in place.

Figure 1 – The Jaguar JORC Mineral Resource Estimate (MRE) Growth

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This article includes content from Centaurus Metals (ASX Code: CTM), licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.


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