Western Areas is an Australian-based nickel sulphide explorer and producer listed on the ASX and TSX (ASX & TSX Code: WSA). The Company's core asset is the 100% owned Forrestania Nickel Project, located 400km east of Perth.
The primary discovery at Forrestania, Flying Fox, is one of the highest grade nickel deposits in the world. Total Mineral Resources at Flying Fox comprise 1.8 million tonnes at an average grade of 4.5% (2.5Mt @ 5.5% for 125kNi including Lounge Lizard) nickel, containing approximately 81,820 tonnes of nickel. Western Areas' produced 8,000 tonnes of nickel in the 1st full year of production at Flying Fox.
Open pit mining has also commenced at Spotted Quoll, 6km south of Flying Fox, Total Ore Reserves at Spotted Quoll comprise 1.7Mt at an average grade of 6.0% nickel containing approx. 106,010 nickel. The Stage One Underground Feasibility Study was completed during December. Deeper drilling has intersected high grade nickel up to 400m below the ore reserve at Spotted Quoll.
The Cosmic Boy nickel concentrator is now commissioned and was officially opened by the Western Australian Minister for Mines and Petroleum on 24th March 2009. The Stage One Plant is fully operational with the Stage Two expansion being officially opened on 10th June 2010 by the Western Australian Minister for Mines and Petroleum. This has doubled the capacity of the plant to 550,000tpa ore. The Board believes that this central concentrate plant will establish Forrestania as a major nickel province producing ore from a number of sources.
Flying Fox and Spotted Quoll are expected to be two of the lowest cost nickel mines in the world. In addition preliminary surface development work has been completed on the planned Cosmic Boy and Diggers South mines.
The Company is also developing a number of other discoveries at the Forrestania Nickel Project.