Mulga Tank Drilling to Expand Nickel Resource Beyond 5 Million Tonnes
Western Mines Group is set to restart exploration drilling at its Mulga Tank nickel project in Western Australia, leveraging recent capital raises and government grants to target high-grade nickel sulphide mineralisation and expand its resource base.
- Phase 4 drilling program combining reverse circulation and diamond drilling
- Focus on infilling and extending over 5Mt nickel resource estimate
- Down Hole ElectroMagnetic (DHEM) surveys to guide follow-up drilling
- Exploration Incentive Scheme grants supporting targeted diamond holes
- Targeting basal massive sulphide accumulations and komatiite channels
Recommencement of Exploration at Mulga Tank
Western Mines Group Ltd (ASX – WMG) has announced the recommencement of its exploration drilling activities at the Mulga Tank Ni-Cu-Co-PGE Project, located within the Minigwal Greenstone Belt in Western Australia's Eastern Goldfields. This move follows a recent capital raise and the securing of two Exploration Incentive Scheme (EIS) grants totaling $440,000, which together provide the financial backing for an ambitious Phase 4 drilling campaign planned for the second half of 2025.
Strategic Drilling Approach
The upcoming drilling program will employ a dual approach, combining reverse circulation (RC) drilling to infill and extend the existing mineral resource estimate, and diamond drilling aimed at testing deeper, high-impact targets. The RC drilling is designed to quickly and cost-effectively delineate disseminated nickel sulphide mineralisation, building on the April 2025 Mineral Resource Estimate that reported over 5 million tonnes of contained nickel. Meanwhile, diamond drilling will focus on basal massive sulphide accumulations, particularly along the western margin of the Mulga Tank Complex, informed by recent geological reviews and prior high-grade intersections.
Leveraging Advanced Survey Techniques
A Down Hole ElectroMagnetic (DHEM) survey is scheduled to commence shortly, targeting several holes from the previous Phase 3 program that returned promising high-grade nickel and copper results. The data from these surveys will be critical in guiding the placement of follow-up diamond holes, aiming to identify thicker zones of massive sulphide mineralisation that could significantly enhance the project's economic potential.
Exploration Incentive Scheme Grants Boosting Deep Drilling
Two diamond holes funded by the EIS grants will test komatiite channels within tenement E39/2134, a key geological feature interpreted to host fertile nickel sulphide mineralisation. Additionally, a deep diamond hole (EIS8) will target a revised interpretation of a basal MobileMT anomaly in the centre of the Mulga Tank Complex, potentially unlocking new zones of mineralisation at depth.
A Hybrid Nickel Sulphide System with Significant Potential
Western Mines Group's exploration to date has revealed a hybrid nickel sulphide system characterized by both disseminated and massive sulphide mineralisation, including structurally remobilised veins and sulphidic melt pockets. This complexity enhances the prospectivity of Mulga Tank, suggesting the potential for significant basal accumulations akin to other major nickel deposits. The company’s systematic approach, combining geological modelling, geophysical surveys, and targeted drilling, aims to unlock these high-value zones.
Looking Ahead
With the team mobilising to site imminently, Western Mines Group is poised to advance its exploration efforts at Mulga Tank, balancing capital discipline with strategic targeting. The results of this next phase of drilling and surveys will be closely watched by investors eager to see how the resource base might expand and mature in a challenging nickel market environment.
Bottom Line?
Western Mines Group’s upcoming drilling campaign could redefine Mulga Tank’s nickel potential, setting the stage for a pivotal exploration year.
Questions in the middle?
- Will the DHEM surveys confirm thicker zones of massive sulphide mineralisation to justify further diamond drilling?
- How might the new drilling results impact the current mineral resource estimate and project economics?
- What are the implications of the hybrid sulphide system for the scale and grade of future nickel discoveries at Mulga Tank?