IGO to record impairment against nickel assets in strategy shift
IGO has been undertaking a strategic review in an attempt to revaluate its resources.
Shares of Inomin Mines (TSXV: MINE) traded at its highest price in the last five years as the company reported new discoveries of nickel, magnesium and chromium at its Beaver nickel-cobalt property in south-central British Columbia.
Highlights of the drilling from the early-stage property included 175.26 metres grading 0.178% nickel, 93 parts per million (ppm) cobalt, 0.362chromium and 21% magnesium starting from 9.1 metres in drillhole B21-03; and 252 metres grading 0.164 ppm nickel, 99 ppm cobalt, 0.328 ppm chromium and 20.6% magnesium starting from 40.5 metres in drillhole B21-02.
In addition, drill hole B21-01 returned 649 grams silver per tonne and 0.287% copper in an interval of 3.1 metres starting from 56.6 metres, as well as 0.08% nickel, 129 ppm cobalt, 569 ppm chromium and 7.1% magnesium.
In all, the 2021 drill program consisted of five holes and covered 716 metres.
“Our initial drilling program demonstrates Beaver’s potential for hosting large volumes of nickel, as well as magnesium and chromium – all critical metals,” said John Gomez, the company’s president said in a press release. “Finding significant magnesium and chromium in new areas of the property is a tremendous discovery.”
Inomin’s 100% owned Beaver-Lynx project is located about 20 km away from Taseko Mines’ (TSX: TKO; NYSE: TGB) Gilbraltar mine, which produced 112.3 million lb. of copper in 2021 and is one of Canada’s largest open pit copper mines.
The Beaver property is situated in relatively flat terrain and is accessible via roads throughout the year with hydropower and railroad facilities nearby. It is situated about 20 km south of Lynx, which has similar geological properties, the company says. Last year, the company acquired additional mineral claims to combine the two properties.
Initial exploration and metallurgical studies at Beaver from 2013 to 2014 included geophysical surveys and diamond drilling programs, which demonstrated potential to host large volumes of sulphide nickel and cobalt, Inomin said.
The company also holds the La Gitana and Pena Blanca gold-silver properties in Mexico.
Tuesday afternoon in Toronto, Inomin was trading at C37¢, up 252% or C26.5¢. The company has 28.5 million shares outstanding for a C$10.5 million ($8.4m) market capitalization.
