Balmoral Resources (TSX: BAR) stock hit a new 52-week high today on high-grade results from a new mineralized zone at its Grasset nickel-copper-PGE project in Quebec.
Hole 25 intersected 45.3 metres of 1.79% nickel, 0.19% copper, 0.42 gram per tonne platinum and 1.04 grams palladium starting at 95.7 metres depth. The interval included a 17.6-metre section of 2.45% nickel, 0.31% copper, 0.62 gram platinum and 1.57 grams palladium. (Widths do not represent true thicknesses.)
Part of Balmoral’s winter drill program at Grasset, the hole was the first to intersect Horizon 3, a new, sulphide-rich, net-textured mineralized zone at the project, where Balmoral is testing the Grasset Ultramafic sill Complex. Horizon 3 is open in all directions and sits 100 metres southwest of, and stratigraphically above two other vertically oriented mineralized horizons.
Nickel-copper-PGE mineralization is now confirmed for 840 metres laterally and 300 metres vertically along Horizon 1; and for 540 metres laterally and 240 metres vertically along Horizon 2.
Previous drilling at Grasset has returned results such as 15.2 metres of 0.82% nickel, 0.09% copper, 0.15 gram platinum and 0.34 gram palladium in disseminated to semi-massive sulphides from 161 metres depth (in hole 17).
Drilling will resume at Grasset in mid-June, depending on ground conditions.
Balmoral traded as high as $1.30 on the latest results, up 22¢ or 20.4% from yesterday’s close on nearly 5 million shares traded. The stock traded as low as 26.5¢ last June.
Balmoral’s share price rise over the last year has been due in large part to high-grade drill results from its Martiniere gold project in Quebec. The project, located 40 km away from Detour Gold’s Detour Lake mine, and east of Grasset on the Sunday Lake Deformation zone, has returned results such as 4.9 metres of 1,138 grams gold, including 0.57 metre of 9,710 grams gold.
In a press release, Balmoral president and CEO Darin Wagner said Grasset represents a second strong, near-term growth opportunity for the company.
“With recent price increases demonstrating the sensitivity of the nickel market to political uncertainties in major producing regions, the lack of new nickel discoveries globally over the past several years, the strength of the grades, wide nature of the intercepts, significant PGE content and apparent scale of the mineralized system, the Grasset discovery would appear to position the company to attract significant interest from investors in both the precious and base metal sectors,” Wagner said.
The company says the bulk of the nickel mineralization at Grasset appears to be hosted in pentlandite occurring as isolated mineral grains, which should be metallurgically favourable.