Blencowe Resources Plc has announced the addition of a nickel sulphide and copper project (Akelikongo) to complement its existing high-grade graphite project in Uganda
Akelikongo is considered a highly prospective early-stage nickel sulphide exploration project located in Northern Uganda, near to the town of Kitgum which is the regional centre near to where Blencowe’s existing Orom Cross graphite project is located. The two projects are highly synergistic in terms of their proximity and operations will be from the current Blencowe office in Kitgum.
Akelikongo has 112 sq km of granted exploration license and the project comes with considerable data from previous work conducted by the vendors within their Joint Venture.
“Nickel is one of the most sought after metals at the moment and demand is set to soar even higher over the next decade. The structure of the transaction means we are acquiring a nickel discovery with historic spend of US$15mn for just US$1.5mn in deferred share consideration,” said Cameron Pearce, Blencowe’s executive chairman.
“The structure of the transaction means we are acquiring a nickel discovery with historic spend of US$15mn for just US$1.5mn in deferred share consideration.”
Blencowe believes that Akelikongo has sufficient exploration potential to become a nickel project in its own right and it will focus its efforts there to delineate higher grade and thicker intercepts of nickel and copper mineralisation going forward.
Three nickel mineralised lenses have been identified which have an average grade of 0.37% Ni and 0.12% Cu and thicknesses range from several metres to 25 metres. Blencowe will undertake an exploration programme at Akelikongo across two phase in 2022. This will fit into the consideration milestones that have been set for Blencowe to earn into the project, both in terms of cost and timings.