The “Cowboy State” will soon be home to a robust new American nickel resource. Two promising targets identified by Visionary Metals Corp. (TSX-V: VIZ) in Wyoming’s Red Desert could potentially contain about US$1 billion worth of ore.
Currently, the only active nickel mine in the United States is the underground Eagle operation run by Lundin Mining Corp (TSX: LUN) in Michigan. Its resources will be depleted by 2029.
“We just made the first nickel discovery in the Lower 48 [of the United States], the first since the Eagle mine in Michigan was discovered by Rio Tinto Group (ASX: RIO) about 25 years ago,” Visionary chief executive Wes Adams told Cowboy State Daily last week. He added that domestic nickel will be a thing of the past once Eagle’s life ends.
That’s where Visionary’s King Solomon project comes in. The company has identified two priority targets and four others to pursue.
Further studies, resource estimates and drilling are still needed but progress brings optimism for continued nickel production in the U.S. A series of aerial surveys will be conducted this July to determine optimal drill points. Production won’t become a reality for years yet.
Adams says the Tin Cup and King Solomon targets at the site could contain anywhere between 10 to 50 million tonnes of ore. Work has been ongoing for a couple of years, with reconnaissance and rock sampling programs completed in 2022 followed by around 3,500 metres of reverse circulation drilling in 2023.
The site is named after a prominent biblical figure who is said to be responsible for having the first temple in Jerusalem constructed thousands of years ago. Visionary Metals has estimated that demand for nickel, primarily in electric vehicle batteries, will increase by about 210 per cent in the next six years.
Lander, Wyoming-based Visionary Metals, whose chief executive has family ties to the famed uranium heartland community of Jeffrey City, is staking a potential $1 billion claim on America’s next big strategic mineral — nickel.https://t.co/5hwmHHydVt
— Cowboy State Daily (@daily_cowboy) May 23, 2024
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Wyoming progresses promising copper-gold asset
The Cheyenne-based company U.S. Gold Corp. (Nasdaq: USAU) just obtained a crucial surface mining permit for its CK Gold Project. All required permits are expected to be in hand within the next couple of months.
The site is expected to generate about US$300 million in profit for the company while creating more than 200 jobs. It will have a decade-long lifespan, producing over 108,000 gold equivalent ounces annually.
Wyoming has historically been known for producing a vast amount of coal, but climate concerns and decarbonization targets will eventually result in production being phased out. The federal government wants to put an end to new coal leases in the state by 2041.
The Cowboy State’s Green River Basin also holds the world’s largest trona resource — a mineral that gets refined into soda ash/sodium carbonate used for glass manufacturing and cleaning applications.
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rowan@mugglehead.com