Poseidon Nickel has agreed to buy the Lake Johnston Nickel project from Norilsk Nickel for an undisclosed figure.
The deal includes infrastructure including a processing plant that is currently in care and maintenance.
Lake Johnston includes mineral resources of around 70,000 tonnes of nickel lifting Poseidon’s total nickel inventory to over 400,000 tonnes. Poseidon will undergo an independent JORC assessment to confirm the resources on site.
The purchase follows hot on the heels of Poseidon’s acquisition of the Black Swan project from Norilsk in July.
Since the start of the year, acquisitions have allowed Poseidon Nickel to grow from nickel explorer to developer, to now having near term production at three projects in Goldfields region of Western Australia.
Poseidon Nickel reported a net loss of $2.2 million for the half year ended 31 December 2013.