S2 Resources (ASX:S2R) has been granted an exploration licence by the New South Wales Department of Mining, Exploration and Geoscience for three sites in Koonenberry.

The mining company said the sites contain Ni-Cu-PGE stratigraphy comparable to the Pechenga and Fraser Range nickel districts, and have had limited exploration in the past.

Executive chairman Mark Bennett said the Koonenberry belt has only been sporadically explored and that firms have generally not focused on magmatic Ni-Cu-PGE mineralisation.

Shares of S2 Resources are up 4.17% in late trading.