Western Areas update on Spotted Quoll nickel project

Australian miner, Western Areas, has announced that the first mineral resource estimate to 200m depth at the Spotted Quoll deposit has already exceeded the company’s announced target of 30,000 tonnes contained nickel.

Mineral resource at Spotted Quoll, which forms part of the Forrestania nickel project, comprises a total of 545,600 tonnes at an average grade of 6.3% nickel for 34,500 tonnes contained nickel.

Eighty-seven per cent is in the higher confidence Indicated Mineral Resource category.

The latest estimate increases the total amount of contained nickel currently defined in mineral resources at the Forrestania Nickel Project to 256,600 tonnes.

The mineral resource at Spotted Quoll is based on 36 surface diamond drillholes drilled between October 2007 and April 2008.

Further drilling will be carried out to test if the mineralisation extends closer to the surface in this area.

The initial mineral resource does not include significant intersections in two drill holes WBD064 and WBD057, approximately 25m and 170m below the mineral resource.

According to a recent press release, drill hole WBD064 intersected 17.3m at an estimated average grade of 9.8% nickel and 0.5% copper from 231.4m depth.