Rox soars on nickel hits

Drilling at the Mt Fisher project. Picture: Kalgoorlie Miner.

UPDATE 3.30pm: Shares in Rox Resources surged after the company announced more encouraging drilling results from its Fisher East nickel project 500km north of Kalgoorlie.

The company reported hits from two holes including four metres at 8.4 per cent nickel including two metres at 14.7 per cent nickel from its Musket prospect.

Rox said the recent drilling was part of a program to define and delineate additional near-surface nickel sulphide mineralisation as part of a resource estimate.

Managing director Ian Mulholland commented the new reverse-circulation drilling results backed up the results released from Musket a few days ago.

"It looks like we have identified a near-surface, thicker high-grade zone which is consistently running above 8 per cent nickel," he said.

"The grades being recorded in this zone at Musket are similar to those intersected at Cosmos during the early exploration stage of that deposit, and those grades made the mine."

Cosmos was a celebrated nickel discovery near Leinster, previously owned by Kerry Harmanis' Jubilee Mines.

Jubilee Mines and Cosmos was eventually sold to Xstrata for $3.1 billion.

However Xstrata suspended operations at Cosmos in September 2012 because of the weak nickel price at the time.

Rox shares closed up 1.3 cents, or 32.5 per cent, at 5.3 cents.

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