POSEIDON NICKEL LIMITED - ANNUAL FINANCIAL REPORT TO THE PERIOD ENDED 30 JUNE 2011
Extracts from the Director's Report in Poseidon Nickel Limited's Annual Financial Report to the period 30 June 2011
6. Review of Operations
Windarra Nickel Project
Exploration
Earlier in the year Poseidon announced a 50% upgrade of the Cerberus Resource which now stands at 1.85Mt at 2.05% nickel for 38,000t of contained nickel metal above a 1.25 %Ni cut-off grade (Table 1). The upgrade was the result of drilling completed at the resource in late 2010 and the completion of an independent resource calculation undertaken by Optiro Pty Ltd. The total nickel sulphide content at the Windarra Nickel Project now stands at 110,470t of contained nickel metal (Table 2). As a result of the additional drilling, the current estimate now includes an Indicated Mineral Resource which represents 40% of the defined deposit. This Indicated resource is based on the improved geological continuity and confidence, the data density and drill spacing as well as the estimation confidence and kriging efficiency within the core zone.
Note: The information in this report relates to Exploration Results and Mineral Resources based on information compiled by:
- Mr N Hutchison, General Manager of Geology for Poseidon Nickel, who is a Member of The Australian Institute of Geoscientists; and
- Mr I Glacken, who is a Fellow of the Australasian Institute of Mining and Metallurgy as well as a full time employee of Optiro Pty Ltd
Mr Hutchison and Mr Glacken both have sufficient experience which is relevant to the style of mineralisation and type of deposits under consideration and to the activity which they are undertaking to qualify as a Competent Person as defined in the 2004 Edition of the `Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.' Mr Hutchison and Mr Glacken have consented to the inclusion in the report of the matters based on his information in the form and context in which it appears.
For further information, refer to Poseidon Nickel Limited's full Annual Financial Report: HERE