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SANDSTONE PROJECT

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Sandstone Project Area

The sandstone project consist of four granted licences and four licence applications (figure 1). The area was targets for nickel sulphides in the ultramfafic units within the greenstone belts. Previous exploration in the areas has primarily focussed on gold with little systematic exploration for nickel sulphides.

The initial field program has returned values up to 0.48% nickel and 0.22% copper in iron rich surface rockchip samples from EL57/827 over a strike length of 30m near Edale Bore. These samples are located within nickel sulphide prospective undrilled ultramafic rocktypes that Mithril geologists have mapped for over 1.6km of strike length.

Previously unrecorded nickel sulphide prospective ultramafic rocktypes were also identified on EL57/826. Significantly, these ultramafic rocks are located proximal to the recent Western Areas (ASX:WSA) nickel sulphide discovery reported in early 2010 (Figure 1).

Field activities to generate drill targets are planned to recommence in the coming months and will include further geological mapping, surface geochemical sampling and ground geophysical surveys (electromagnetics).


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