Nimy Resources Limited commissioned Perth-based geophysics consultancy Resource Potentials to analyse data from its first pass moving loop electromagnetic (MLEM) survey completed as part of the exploration strategy across a large area of ultramafic rocks containing nickel (values up to 1.05% (1m) against high background nickel). The recent 400m line-spaced in-loop configuration MLEM data are affected by IP effects due to polarisable clays in the regolith, which produce late-time negative responses in the Z component MLEM receiver, and which may mask the EM response of bedrock conductors. The late-time anomalies identified have potential to represent bedrock conductors.

To date (analyses ongoing) three prospect areas have been prioritised and EM conductor plates modelled. The prospects are supported by drilling and soil geochemical anomalies along strike, indicating ultramafic rocks containing nickel. The Dease Gossan Prospect: Contains 3 modelled EM conductor model plates; The results of drilling (up to 1m at 1.05% nickel) and surface mapping (1.1km of gossan outcropping) reported previously; The three model plates follow the shape of the outcropping gossan found at surface and begin at ~180m below surface; The nickel sulphide pentlandite was observed at RL180m in drill hole NRDD005 which passed between plates 2 and 3; The North Lake Prospect: Contains 1 modelled EM conductor model plate; No drilling proximal, although NRRC0014 drilled north along strike (2.9kms) recorded anomalous nickel in hole (up 0.6% Ni over 1m); Soil sampling has been completed along a single line across the EM anomaly, with pXRF data recording a nickel anomaly in soil near both the EM conductor model plate and the interpreted ultramafic.

Samples have been submitted for ultrafine assay (Labwest); EM conductor model plate associated with a discrete magnetic anomaly high. The North Tip Prospect: Contains 1 modelled EM conductor model plate; Located 3.5km along strike from the North Lake prospect; 600m north along strike from NRRC0014 (up 0.6% Ni over 1m); Soil sampling being carried out. Forward work plan: The company's forward work plan at the Dease prospect: MLEM survey using a slingram configuration and a SQUID EM sensor at the Dease Gossan Prospect, North Lake Prospect and North Tip Prospect; Drill hole planning and submission of POW's at the Dease Gossan Prospect, North Lake Prospect and North Tip Prospect (2000m+ of RC drilling planned); Complete MLEM survey analysis across the entire dataset, including - EM decay channel gridding, imaging, and EM conductor plate modelling; Continuing assessment of the Mons Project area utilising surface geochemistry methods.