Talisman Mining shares exploded yesterday after the company announced it is buying the Sinclair Nickel project off Glencore for $10 million.
Prior to the announcement yesterday, Talismanís main focus was the Doolgunna exploration joint venture with Sandfire, adjacent to Sandfireís Degrussa project.
The Sinclair Nickel project was placed on care in maintenance by Glencore in August 2013, due to the low nickel price.
In a statement, Talisman chairman Alan Senior described it as almost the "perfect acquisition".
The market agreed with Mr Senior's assertion, pushing Talisman shares up 7.5 cents, or 71 per cent, as of midday today.
"It has an existing known deposit extension, huge untapped regional exploration potential and established mine infrastructure with two emerging exploration discoveries immediately adjacent to the existing mine," Mr Senior said.
"It fits perfectly with our skills and capabilities as a company and positions us for a very exciting future."
Talisman's managing director Gary Lethridge pointed to the "pipeline of exploration opportunities" nearby.
"The regional exploration picture is also very encouraging and will provide Talisman with a smorgasbord of exploration opportunities for several years to come."