The West

Poseidon Nickel to ramp up drilling
Poseidon Nickel to ramp up drilling

Drilling will continue this month to establish a fresh round of underground nickel reserves at the Mount Windarra mine as its new owners ramp up for a production re-start designed by 2014 to deliver one of the world’s few modern era high-grade nickel sulphide mines.

Poseidon Nickel chief executive David Singleton said an initial six-month program would complement the $80 million spent to date to bring Mt Windarra, near Laverton, back into production over the next two years.

“We have now completed more than three kilometres of decline refurbishment to date, ” Mr Singleton said.

“The refurbishment of the underground will complete to 450m depth by late this year.”

Poseidon has already defined JORC resources at Mt Windarra down to 900m depth and is now looking to convert some of that to reserves ahead of the current phase one schedule to achieve 10,000 tonnes per annum output for first saleable concentrate by mid-2014, ramping up to 18,000 tonnes by 2018.

Ore was taken under the mine’s previous history down to a depth of 550m. The project comprises the existing underground mine, seven exploration targets, the greenfields Cerberus mine to the south-east and the former South Windarra open pit.

Mr Singleton said Poseidon Nickel was happy with progress to date with the definitive feasibility study complete, final government permitting imminent and an anticipated 12-month mine construction timeline.

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