JOHANNESBURG (miningweekly.com) – A 120-hole reverse circulation (RC) drilling programme has started at diversified minerals exploration company African Eagle Resources’ Dutwa nickel project, in Tanzania, for which it expects to have an updated resource estimate available in the first quarter of next year.

The company noted in a statement on Tuesday that the project was making significant progress.

“Our 120-hole RC drilling programme is now under way and laboratory test work is well advanced. We have chosen a contractor for a transport and logistics study and will appoint a contractor for advanced deposit modelling shortly,” MD Mark Parker commented.

About 60 infill and step-out drill holes will be drilled at the main Wamangola Hill nickel deposit to increase the Joint Ore Reserve Committee-compliant inferred mineral resource of 31-million tons at an average grade of 1,1% nickel.

The drilling programme was expected to allow the resource to be delineated to the indicated category, said the company.

Drilling would then move to the Ngasamo Hill deposit, which had a laterite blanket similar to the Wamangola Hill deposit and would afford the company the opportunity to increase the current resource from a further 15-million tons to 20-million tons of nickel.

African Eagle had entered into a joint venture with the owners of Ngasamo Hill, Czech firm Safina, in terms of which it could earn a 75% interest in the deposit if it included Ngasamo in the global feasibility study, the company explained.

An independent consultant would soon be contracted to carry out deposit modelling and mine planning on the drill results.

Meanwhile, African Eagle was assessing bids from contractors to conduct a detailed study into transport alternatives for the project. The study would evaluate port options, as well as road, rail and lake transport in both Tanzania and Kenya.

The Aim- and AltX-listed explorer has also started looking for a project manager with a process metallurgical background, as one part of a recruitment process that would assist the company from moving into a nickel development and mining company.

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