Western Mines Discovers High-Grade Nickel at Mulga Tank Project
Western Mines Group has announced a significant drilling breakthrough at its Mulga Tank project in Western Australia's Eastern Goldfields, revealing fresh high-grade nickel sulphide assays. The standout result includes a one-metre section grading an impressive 4.35 per cent nickel, alongside cobalt, copper, and platinum-palladium values, marking the second-highest grade ever recorded at the site.
Drilling Results and Mineralised Zones
The high-grade intercept was found within a broader 27-metre zone averaging 0.61 per cent nickel, itself embedded in a substantial 225-metre interval with 0.32 per cent nickel. Management expressed surprise at the discovery, as the hole was initially part of an infill drilling program within the existing resource area. This finding suggests the potential for a much larger system hosting significant massive sulphide mineralisation beyond the known disseminated nickel resource.
Project Scale and Additional Findings
Mulga Tank is already one of Australia's largest nickel sulphide deposits, with a resource of nearly 2 billion tonnes containing 5.3 million tonnes of nickel, 257,000 tonnes of cobalt, 161,000 tonnes of copper, and 1.1 million ounces of platinum and palladium. Further phase-four reverse-circulation holes yielded strong results, including a 104-metre interval at 0.29 per cent nickel and a 200-metre zone confirming mineral continuity.
Geological Insights and Exploration Plans
The host rock in these holes is high-temperature adcumulate dunite, similar to major nickel systems like BHP's Mount Keith and Perseverance mines. Elevated copper and platinum-group elements indicate active magmatic sulphide processes. The area around the 4.35 per cent nickel hit has been designated a high-priority follow-up zone, located 225 metres from a previous high-copper result, leaving an untested gap eagerly targeted for exploration.
Challenges and Future Drilling
Recent cyclone-related issues, including rain and fuel shortages, have slowed progress, prompting a switch to more fuel-efficient diamond rigs. Western Mines is now launching a phase five program with 32 holes planned over 10,000 metres, focusing on high-grade zones and the main deposit body to unlock the greenstone belt's full potential.
Implications for the Project
With over 25 shallow intersections exceeding one per cent nickel across a 2-square-kilometre area, there is growing evidence of higher-grade accumulations within the mineralised package. For a company with a market cap under $25 million, Mulga Tank shows genuine scale and quality, with wide zones providing bulk and high-grade hits hinting at transformative potential. If Western Mines can connect these pockets, the project may quickly gain significant market attention.
