Nickel North Exploration Corp.
TSX VENTURE : NNX

Nickel North Exploration Corp.

November 12, 2013 06:00 ET

Nickel North Exploration Corp.: Hawk Ridge 2013 Drilling Discovery of a Major Cu-Ni-PGE Zone and Expansion of Historic Zones

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Nov. 12, 2013) - Nickel North Exploration Corp. (TSX VENTURE:NNX) ("Nickel North" or the "Company") is pleased to announce preliminary assay results from 12 of the 38 drill-holes (totalling 7,330 meters) completed this year on its 100% owned Hawk Ridge property in northern Quebec.

The 2013 drill program consisted of the following targets: 1. Resource drilling on a newly discovered zone called Falco 7; 2. Resource drilling on historical zones; 3. Reconnaissance drilling on new and historical zones. Table 1 presents the significant assay intervals for the 12 drill-holes received to date. A complete list of 2013 drill-holes with detailed collar information, drill hole plan maps and cross-sections, will be updated as the assay results become available over the next few weeks at http://www.nickelnorthexploration.com/.

Highlights of the 2013 exploration program include:

  • Discovery of the new Falco 7 Zone:
    • Located approximately 2 to 3 kilometres from tidewater and 6.5 to 8 kilometers from the town of Aupaluk. The zone comprises two stacked intervals; a porphyritic gabbroic interval and an underlying massive sulphide interval at the basal contact of the gabbro. The zone is sub-horizontal, near-surface (0 to150 meters from surface) and returns moderate grades of Cu-Ni-PGE. The target has now been tested by 21 holes over a 3.5 km strike length and a down-dip extent of at least 500m. The host rocks and mineralization are similar to that found at Hopes Advance Main and Gamma Zones.
  • Confirmed continuity of the Hopes Advance Main Zone:
    • Drill-hole HR-2013-16 has established the continuity of the mineralized zone down-dip for 495 m. This drill-hole intersected 34.8 m (27.7 m approximate true width) of mineralization grading 0.55% Cu, 0.22% Ni and 0.197 g/t Pt+Pd+Au or 1.17% CuEq. From surface to a down-hole depth of 418.5 m, the mineralization appears to maintain a consistent host lithology and metal grade.
  • Expansion of the Gamma Zone:
    • Intersections in three drill holes (assays pending) extended this mineralized zone from surface to 325 m down-dip.
  • Expansion of the Hopes Advance North Zone:
    • Step-out drill-hole 2013-13 intersected an interval of 11.65 m of mineralization grading 0.62% Cu, 0.22% Ni and 0.32 g/t Pt+Pd+Au or 1.25% CuEq, beginning at a down-hole depth of 29.35 m.
Table 1. Initial 2013 assay results, Hawk Ridge Project.
Cu, Ni Values
Hole # Zone From To Width Cu% Ni% Cu Eq%* Sulphide %
HR-2013-13 HA North 29.35 41 11.65 0.62 0.22 1.25 3.79
HR-2013-16 HA Main 418.5 453.35 34.8 0.55 0.22 1.17 3.31
HR-2013-19 Falco 7 30.3 38.25 7.95 0.42 0.14 0.82 4.91
HR-2013-19 Falco 7 45.65 48.15 2.5 0.5 0.14 0.93 76.16
HR-2013-20 Falco 7 119.8 130.15 10.35 0.52 0.14 0.97 3.79
HR-2013-20 Falco 7 142.15 146.8 4.65 0.48 0.15 0.86 67.84
HR-2013-26 Falco 7 130 149 19 0.38 0.18 0.91 3.79
HR-2013-26 Falco 7 incl. 140 149 9 0.51 0.22 1.16 5.12
PGE Values
Hole # Zone From To Width Pd g/t Pt g/t Au g/t Pt+Pd+Au g/t Sulphide %
HR-2013-13 HA North 29.35 41 11.65 0.22 0.048 0.047 0.31 3.79
HR-2013-16 HA Main 418.5 453.35 34.8 0.197 0.049 0.038 0.284 3.31
HR-2013-19 Falco 7 30.3 38.25 7.95 0.078 0.028 0.021 0.127 4.91
HR-2013-19 Falco 7 45.65 48.15 2.5 0.034 0.015 0.007 0.056 76.16
HR-2013-20 Falco 7 119.8 130.15 10.35 0.185 0.048 0.04 0.273 3.79
HR-2013-20 Falco 7 142.15 146.8 4.65 0.024 0.011 0.008 0.043 67.84
HR-2013-26 Falco 7 130 149 19 0.172 0.049 0.043 0.264 3.79
HR-2013-26 Falco 7 incl. 140 149 9 0.194 0.055 0.064 0.313 5.12
*NiEq calculations are based London Metals Exchange 3 year trailing average metal prices as of July 6, 2012 (data is consistent with previous news releases) at US$ 9.48/lb. nickel, US$ 3.56/lb. copper, US$ 16.23/lb. cobalt, US$ 1377.87/troy oz. gold, US$ 1587.97/troy oz. platinum, and US$ 581.28/troy oz. palladium. The equation for NiEq value is as follows: NiEq = ((Ni grade x Ni price x 22.04622) + (Cu grade x Cu price x 22.04622) + (Co grade x Co price x 22.04622) + (Au grade x Au price x 0.02916) + (Pt grade x Pt price x 0.02916) + (Pd grade x Pd price x 0.02916)) / (Ni price x 22.04622).
*CuEq = NiEq $9.48 / $3.56, calculated as those intercepts display substantial copper grades compared to nickel and PGE.

Twenty-one widely spaced drill-holes (totaling 3,252 m) tested the Falco 7 Zone in the northern part of the property. Assays for holes HR-2013-19, 20 and 26 have been received and are shown in Table 1. Two mineralized intervals are hosted by mafic-ultramafic intrusive rocks dipping easterly at 18° to 24°. The terrain is topographically subdued and the area is approximately 2 to 3 km from tidewater; crossed by a network of local roads and trails accessible from the community of Aupaluk 6.5 to 8 km away.

Mapping, prospecting and logging of the drill-core indicate that the magmatic stratigraphy and mineralized intervals extend over a known strike-length of 3.5 km, and is still open along-strike and down-dip. The geology and mineralization of the Falco 7 zone is similar to that found at Hopes Advance Main and Gamma zones; however, it dips at a much shallower angle. A drill-hole plan and a 3D representation of Falco 7 are available on the Company website.

Drill-hole HR-2013-19 was completed near the western edge of the Falco 7 zone where the mineralized zone crops out. The upper disseminated mineralized interval assayed 0.42% Cu, 0.14% Ni and 0.127 g/t Pt+Pd+Au (0.82% CuEq) over 7.95 m (approximate near true width) beginning at 30.3 m down the hole. This upper interval consists of coarse-grained gabbro/porphyritic gabbro with disseminated interstitial pyrrhotite-chalcopyrite (3-5% sulphide). Deeper in the hole, a 2.5 m thick (approximate true thickness) basal massive sulphide layer assayed 0.5% Cu, 0.14% Ni and 0.056 g/t Pt+Pd+Au (0.93% CuEq) from 45.65 to 48.15 m.

Drill-Hole HR-2013-20 was collared 274 m to the east of HR-2013-19 to test the down-dip continuity of mineralization. The upper disseminated mineralized interval was recorded from 119.8 to 130.15 m (10.35 m width, approximate true width) the assays returned 0.52% Cu, 0.14% Ni, 0.273 g/t Pt+Pd+Au (0.97% CuEq). The basal massive sulphide interval was intersected from 142.15 to 146.8 (4.65 m width, representing 97% near true width) the assays returned 0.48% Cu, 0.15% Ni, and 0.043 g/t Pt+Pd+Au (0.86% CuEq).

Drill-hole HR-2013-26 was collared 200 m northeast of HR-2013-20 and intersected the upper disseminated mineralized interval approximately 100 m further down-dip. The gabbro-hosted interval of disseminated mineralization was intersected from 130 to 149m (19m approximate true width) below surface with an average grade of 0.38% Cu, 0.18% Ni and 0.264 g/t Pt+Pd+Au (0.91% CuEq), including 9 m grading 0.51% Cu, 0.22% Ni and 0.313 g/t Pt+Pd+Au (1.16% CuEq).

The Hopes Advance Main Zone Cu-Ni-PGE mineralized interval is approximately 32 to 48 m wide on surface and has been traced over a strike length of at least 947 m on surface. Drill-hole HR-2013-16 (Table 1) was a step-out intended to test the continuity of the mineralized interval at greater depths. This mineralized interval was intersected from 418.5 to 453.35 meters (34.8 m width, 27.7 m estimated true width) and assayed 0.55% Cu, 0.22% Ni and 0.285 g/t Pt+Pd+Au or 1.17% CuEq. The 2012 drill-hole HR-2012-07 (located 265m west of HR-2013-016) intersected 0.54% Cu, 0.19% Ni and 0.26 g/t Pt+Pd+Au from 63 to 117.12 m. The 2013 hole confirms that the mineralized interval extends an additional 430 m down dip from HR-2012-07, and at least 495 m from surface, and that the mineralized interval maintains a consistent mineralogical character and metal grade.

The Hopes Advance North Zone is approximately 800 m to the north of the Hopes Advance Main Zone. Both zones are within similar mineralized gabbroic rocks but the Hopes Advance North Zone is in a more complex structural setting, separated from the Main Zone by a NE trending dextral fault. Drill-hole HR-2013-13 intersected 11.65m (from 29.35m to 41 m) of disseminated mineralization which assayed 0.62% Cu, 0.22% Ni and 0.32 g/t Pt+Pd+Au or 1.25% CuEq. This drill-hole was targeted by reprocessing a 1997 CRONE PEM geophysical conductor and is located approximately 55m north of the historical drill-hole 97-112 that returned a 3.5 m interval of semi-massive sulphide containing 2.45% Cu, 3.39% Ni, significant PGE concentrations and is overlain by 24 m of mineralized gabbro grading 0.50% Cu and 0.19% Ni. The mineralized gabbro in HR-2013-13 looks very similar to the gabbro overlying the semi-massive sulphides in drill-hole 97-112. Future geophysical surveying and drilling in 2014 may be able to trace the thicker higher grade mineralized interval seen in 97-112.

Gamma Zone assay results are pending for three holes (HR-2013-30A, 39 and 42) drilled to test down-dip and the along-strike continuity. The holes intersected the mineralized interval 320 m, 280 m and 325 m down-dip from surface, respectively. The mineralized interval is very similar in mineralogical character and metal content of the Hopes Advance Main zone. On surface the mineralized interval can be followed for at least 850m along strike. Shallow drilling in 2012 and previous shallow historical holes defined a mineralized zone returning grades similar to that seen in HR-2012-01 which returned 0.52% Cu, 0.22% Ni, 0.39 g/t Pt+Pd+Au over an intersection of 35.6m (apparent width).

Other reconnaissance exploration drill-holes on the property tested several airborne VTEM survey conductors proximal to ultramafic and mafic intrusions in the Fold, Pio, Horseshoe, Hopes Advance Main-east, and Hopes Advanced East zones (HR-2013-08, 09, 10, 11, 12, 14, and 15). All of these drill-holes intersected semi-massive to massive sulphide mineralization in a geological environment conducive for magmatic Cu-Ni-PGE mineralization; however, preliminary assay results indicated that the associated sulphides are low in Cu, Ni, Pt, Pd and Au.

Nickel North Exploration management are very pleased with the results and look forward to receiving the pending assays for the remaining 26 holes. The 2013 drilling and surface exploration program provided a significant leap in understanding and appreciation of the potential of the Hawk Ridge property. This year's program identified a new zone (Falco 7) that is expected to expand the resources of the property and help identified new intrusive complexes to be tested in future exploration.

In August the Company initiated a metallurgical study and a 43-101 resource study, both of which are expected to be completed this year once all the drill core assays have been received. The Metallurgical Study is to be completed by XPS Consulting and Testwork Services of Falconbridge, Ontario and the 43-101 Resource Study will be completed by P&E Mining Consultants of Toronto, Ontario.

Quality Assurance and Quality Control

Drill core assay results are monitored and evaluated upon receiving each new assay certificate. Two certified international standards, two certified standards, two certified laboratory inserted standards, and two company inserted blanks, laboratory inserted blanks, company duplicates and laboratory repeats are monitored in each certificate using industry accepted protocols. The geochemical protocol for the project in 2012 & 2013 includes sampling the entire length of the diamond drill-hole (half cut NQ core) for Ni, Cu and Pt, Pd, Au (fire assay) and a 39-element ICP-MS package following a 4 acid digestion. Core sample analysis was completed by TSL Laboratories, Saskatoon, Saskatchewan.

Qualified Person

Gabe Fortin, P.Geol., the exploration manager for the project, has reviewed the contents of this news release and is a Qualified Person as defined by NI 43-101.

About Nickel North Exploration Corp.

Nickel North Exploration is a Canadian based explorer focused on defining a Ni-Cu-PGE resource at our Hawk Ridge Project in Northern Quebec. The board of directors, advisor committee and management team are experienced, successful mine finders. The property consists of a 50 km long belt of magmatic Ni-Cu-PGE occurrences covering over 29,600 hectares. The project is located near tidewater. Quebec is a mining friendly jurisdiction. Nickel North Exploration is a conscientious corporate citizen, maintains good relations with Communities and Aboriginal people, and is committed to sustainable development. For more information on the company, please visit www.nickelnorthexploration.com.

ON BEHALF OF NICKEL NORTH EXPLORATION CORP.

Phillip Mudry, P.Geol., President and Chief Executive Officer

Disclaimer for Forward-Looking Statements

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The foregoing information may contain forward-looking statements relating to the future performance of Nickel North Exploration Corp. Forward-looking statements, specifically those concerning future performance, are subject to certain risks and uncertainties, and actual results may differ materially from those currently anticipated due to a number of factors beyond the Company's control. These risks and uncertainties include, among other things, final results from sampling the entire length of the diamond drill-hole (half cut NQ core) for Ni, Cu and Pt, Pd (fire assay) and 39-element ICP-MS package following a 4 acid digestion are expected in late November to mid-December; competition for qualified personnel and risks that are inherent in the Company's operations including the risks that the Company may not find any minerals in commercially feasible quantity or raise enough money to fund its exploration plans. These and other risks and uncertainties are described herein and from time to time in the Company's public disclosure documents filed on the SEDAR website maintained by the Canadian Securities Administrators. Except as required by law, the Company assumes no obligation to update forward-looking statements should circumstances or management's estimates or opinions change. Nickel North Exploration does not assume any obligation to update or revise its forward-looking statements wither as a results of new information, future events or otherwise.

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