The explorer's drilling over the past few months has delivered an indicated resource of 104Mt grading 10.5% for 11Mt of manganese.

 

It includes a maiden 67Mt at 10.4% indicated resource for the recent FB3 discovery, and a 147% boost to the LR1 resource to 37Mt at 10.8% over October's estimate.

 

That adds some 89Mt to the 15Mt at 11.3% resource at the FB1 deposit.

 

Encouragingly, its work since listing has defined a 33Mt at 12.8% shallow but high-grade resource spanning both deposits, while the drilling has delivered "exceptional continuity" between drill holes.

 

With a sizeable and robust indicated resource in the bag, the company said it could commence scoping studies into a potential development in the 

 

Metallurgical test work continues, with initial results expected next month.

 

Flanagan Bore is part of the company's Carawine JV and is subject to a farm-in agreement with Carawine Resources.

 

Black Canyon earned 51% earlier this month by spending A$1.5 million, and is now spending a further $2.5 million to move to 25%.

 

Black Canyon executive director Brendan Cummins described the resource as being "uncommon" in terms of scale and quality, and exceeding expectations.

 

He said it boded well for potential mining scenarios as it should be able to use elevated cut-off grades to increase the mine feed grade.

 

The company has other prospects that it believes can deliver significant additional tonnage to the project, which is 400km from Port Hedland and close to Element 25's Butcherbird manganese mine.

 

The company raised $5 million at 20c last year, primarily to explore the 793sq.km Carawine project last year, and last month acquired Panther Exploration to add 625sq.km of adjoining tenements.

 

It had $3.6 million in cash remaining at the start of the year.

 

Black Canyon shares closed yesterday to 36.5c, its highest level yet, capitalising it at $15 million.

 

The stock has traded as low as 18c since listing last May.