Ardea Resources Limited Completes High-Grade Infill Drilling at Highway, Bolstering $98.5M DFS and Accelerating Early Nickel-Cobalt Production
Wednesday, June 25, 2025
at
8:46 am
Ardea Resources Limited completed its Highway RC infill drilling, revealing thick, high-grade nickel-cobalt intercepts at its Kalgoorlie Nickel Project. This milestone boosts geological confidence, supports early production potential, and advances the Definitive Feasibility Study for a promising, ESG-aligned mining future.
Ardea Resources Limited has completed a comprehensive Reverse Circulation (RC) infill drilling program at its Highway nickel-cobalt deposit, a major component of the Kalgoorlie Nickel Project’s Goongarrie Hub. The company’s drilling campaign, designed to increase geological confidence for the early years of mining, has successfully identified thick, high‐grade, near-surface nickel-cobalt mineralisation that supports selective mining strategies aimed at front-loading production. Notable intercepts include a 14‐meter section averaging 1.19% nickel (with a 10‐meter sub-intercept at 1.43% nickel) from hole KHWR0067, a 20‐meter intercept at 1.12% nickel (with 6 meters reaching 2.38% nickel) from hole KHWR0154, as well as a high‐grade 72‐meter intercept from hole KHWR0115 and a 28‐meter intercept from hole KHWR0163 that recorded 0.94% nickel with an internal 6‑meter interval of 2.02% nickel.
The drilling campaign, which involved 165 RC holes totalling over 10,000 meters, adds to the robust technical data that will support upgrades to Mineral Resource Estimates and subsequent detailed mine planning within the Definitive Feasibility Study (DFS). The DFS, currently managed by Ardea’s subsidiary Kalgoorlie Nickel Pty Ltd and backed by a consortium led by Sumitomo Metal Mining Co., Ltd and Mitsubishi Corporation, carries a budget of US$98.5 million and aims to unlock additional nickel-cobalt mineralisation potential beneath previous pit shell designs.
Technical work is now focusing on updating geological interpretations, wireframing resource blocks, and finalizing metallurgical testwork to incorporate newly defined intercepts and mineralised envelope data. The results from Highway complement prior similar findings from other deposits within the project, and the latest high-grade drilling outcomes underscore the continuity and quality of the deposit, bolstering the early production profile envisioned in the DFS.
Market sentiment leans bullish as the strong infill results at Highway strengthen long-term resource confidence and suggest the potential for additional underground targets to be optimised for further value capture. However, there is a degree of caution given the extensive technical work still required to update the Mineral Resource and Ore Reserve estimates along with the inherent risks of advancing a multi-year project in a challenging commodity market. For beginner traders, this news signals that Ardea Resources Limited is making significant strides in de-risking its flagship project, laying a technical foundation that could support future production and revenue growth, although the path to full-scale commercial production remains capital intensive and subject to further technical validation.