VMS Ventures Inc.
TSX VENTURE : VMS

VMS Ventures Inc.

October 10, 2013 03:01 ET

VMS Ventures Inc.: High Grade Nickel-Copper-Cobalt Sulphides Confirmed at Imiak Hill; MQ-13-026 Intersects 18.62m of 4.31% Ni, Including 7.12m of 5.18% Ni

All Imiak Hill's 2013 Drill Holes, Regional Exploration Holes MQ-13-010 Through MQ-13-017 and 2013 VTEM Flying From Maniitsoq, Southwest Greenland

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 10, 2013) - VMS Ventures Inc. (TSX VENTURE:VMS) ("VMS Ventures" or the "Company") is pleased to announce that North American Nickel Inc. (TSX VENTURE:NAN) ("North American Nickel" or "NAN") issued a press release this morning announcing high grade nickel-copper-cobalt mineralization at its Imiak Hill discovery based on results from drill holes MQ-13-019, MQ-13-024 and MQ-13-026, Maniitsoq, Southwest Greenland Nickel Sulphide Project. VMS owns approximately 23.9% of NAN. The release is as follows:

"North American Nickel Inc. is pleased to announce high grade nickel-copper-cobalt mineralization at its Imiak Hill discovery based on results from drill holes MQ-13-019, MQ-13-024 and MQ-13-026.

Assays of up to 7.06% nickel in MQ-13-026 and 6.26% nickel in MQ-13-024 have been received.

Imiak Hill is one of three mineralized conduits at the Imiak Hill Conduit Complex (IHCC) located in the northern part of the Company's 100% owned Maniitsoq Nickel - Copper - Cobalt and PGM project in southwest Greenland (See figure 1 and figure 2).

IMIAK HILL

Highlights of the Imiak Hill drilling:

DDH MQ-13-026: at 149 m down the hole:

  • Intersected 25.51m grading: 3.25% nickel, 0.48% copper, 0.11% cobalt,

    • Including: 18.62m of 4.31% nickel, 0.62% copper, 0.14% cobalt

DDH MQ-13-024: at 136 m down the hole:

  • Intersected 14.90m grading: 2.67% nickel, 0.39% copper, 0.09% cobalt

    • Including: 5.23m of 5.03% nickel, 0.30% copper, 0.16% cobalt

DDH MQ-13-019: at 118 m down the hole:

  • Intersected 8.68m grading: 1.53% nickel, 0.43% copper, 0.06% cobalt

    • Including: 3.56m of 3.27% nickel, 0.66% copper, 0.10% cobalt

Assays for the deepest 2013 hole at Imiak Hill, DDH MQ-13-028, which is below DDH MQ-13-026, are pending. The mineralization at Imiak Hill remains open at depth (see figure 3).

Assays for the other two mineralized intrusions at the Imiak Hill Conduit Complex, Imiak North and Spotty Hill, are also pending.

NAN CEO and Chair, Rick Mark, states: "It is especially positive that at Imiak Hill that we are seeing stronger grades and widths at depth within a geological setting consistent with our conduit system model of an expected accumulated zone of nickel-copper mineralization in an embayment or footwall contact. Our 2013 drill program at Imiak Hill has now extended the sulphide mineralization from surface to 185m below surface, where it remains open, and assays are still pending for hole 28. The results from our first regional evaluation of the mineralized norites underscores the potential along the 75km-long Greenland Norite Belt. We believe the Maniitsoq project is unique in the world. It is considered a greenfields exploration project, but it is a district-scale, nickel sulphide project that has mineralization starting at, or near, surface containing high grades of Ni-Cu-Co and it is located adjacent to ice free, deep tide water suitable for year round shipping. I offer congratulations to our outstanding technical team, not only for today's results, but for the constant and impressive advancement at Maniitsoq for the past two and one half years. The future looks just as exciting. We look forward to the upcoming assays from the Imiak Hill Conduit Complex."

Table 1. Summary of drill holes with sulphide intercepts and assay results from Imiak hill

Imiak Hill Zone Holes
Hole Number From (m) To (m) Core Length (m) Ni % Cu% Co % Pt g/t Pd g/t Au g/t TPM g/t (1) S % True Width (m) (2) Zone
MQ-13-019 112.67 113.24 0.57 5.71 1.66 0.18 0.02 0.01 0.00 0.03 27.50 0.37 Imiak Z-20
MQ-13-019 118.09 126.77 8.68 1.53 0.43 0.06 0.00 0.00 0.00 0.00 9.42 5.58 Imiak Z-30
MQ-13-019 118.09 121.65 3.56 3.27 0.66 0.10 0.01 0.00 0.00 0.01 17.67 2.29 Including
MQ-13-020 125.00 128.40 1.40 NSA* Imiak Z-30
MQ-13-023 75.97 86.30 10.33 1.10 0.38 0.04 0.01 0.00 0.00 0.01 6.02 5.94 Imiak Z-10
MQ-13-023 130.00 140.00 10.00 NSA* Imiak Z-30
MQ-13-024 136.00 150.90 14.90 2.67 0.39 0.09 0.01 0.00 0.00 0.01 14.88 8.33 Imiak Z-30
MQ-13-024 136.75 141.98 5.23 5.03 0.30 0.16 0.02 0.01 0.00 0.03 26.77 2.92 including
MQ-13-025 93.25 98.71 5.46 0.34 0.06 0.01 0.01 0.00 0.00 0.01 2.02 4.19 Imiak Z-30
MQ-13-025 97.10 97.64 0.54 1.39 0.16 0.06 0.01 0.00 0.00 0.01 9.56 0.41 Including
MQ-13-026 149.81 175.32 25.51 3.25 0.48 0.11 0.01 0.00 0.00 0.01 17.77 11.94 Imiak Z-30
MQ-13-026 156.70 175.32 18.62 4.31 0.62 0.14 0.01 0.00 0.00 0.01 23.15 8.70 Including
MQ-13-026 157.16 161.17 4.01 6.04 0.64 0.19 0.01 0.00 0.01 0.02 31.72 1.88 Including
MQ-13-026 168.20 175.32 7.12 5.18 0.81 0.17 0.02 0.00 0.00 0.02 28.09 3.32 Including
Note: (m) = metres,% = percent, g/t = grams per tonne, NC = not calculated
NSA* - no significant assays
(1) TPM is total precious metals (gold+platinum+palladium)
(2) calculated true width based on current 3D model

Table 2. Collar coordinates of holes drilled at Imiak including MQ13-019 to MQ13-026. The datum used to acquire the UTM coordinates is Universal Transverse Mercator/World Geodetic System 84/Zone 22N. Azimuth is degrees from true north. Elevation indicates metres above sea level.

Hole Number UTM East UTM North UTM Elevation Length (metres) Azimuth Dip Target
MQ-13-019 477484 7257189 546 176 276 -55 Imiak Hill
MQ-13-020 477490 7257141 532 209 279 -62 Imiak Hill
MQ-13-023 477484 7257215 547 188 275 -59 Imiak Hill
MQ-13-024 477497 7257174 547 197 280 -60 Imiak Hill
MQ-13-025 477482 7257238 538 122 269 -45 Imiak Hill
MQ-13-026 477490 7257141 532 215 295 -65 Imiak Hill

REGIONAL DRILLING RESULTS

Holes MQ-13-010 through 17 tested seven VTEM targets related to norite intrusions in the central and southern parts of the 75km-long Greenland Norite Belt. Table 3 summarizes the assay results and table 4 lists the collar coordinates of each hole along with the target tested. The map in Figure 4 shows drill hole locations.

Disseminated sulphide mineralization was intersected in noritic rocks at five of the seven targets.

The strongest mineralization occurred in hole MQ-13-016, which tested VTEM target P-22B. The hole intersected 43.82 m of mineralized norite averaging 0.22% Ni including several higher grade intervals, the best was a 1.26m interval assaying 1.44% Ni, 0.34% Cu, 0.05% Co and 0.32 g/t TPM.

Hole MQ-13-017, drilled on the same section and designed to test 40 to 50 metres down-dip of MQ-13-016, intersected much weaker mineralization over narrow intervals. The best assay was 1.92 m at 0.23% Ni. Based on the surface gossan outcrop, it is possible that MQ-13-017 was drilled below the plunge of the mineralization intersected by MQ-13-016. Initial review of downhole geophysics indicates more conductive material lies to the right and above the drill hole, which also fits the interpretation of the drill hole passing under the plunge.

All eight holes were surveyed with a three-component electromagnetic probe. The results will be reviewed in conjunction with geological observations to determine which of the regional targets drilled in 2013 warrant follow-up drilling and/or surface geophysical surveys in 2014.

Table 3. Summary of drill holes with sulphide intercepts and assay results from regional exploration on the property.

Regional Exploration Holes
Hole Number From (m) To (m) Core Length (m) Ni% Cu % Co % Pt g/t Pd g/t Au g/t TPM g/t (1) S % True Width (m) Zone
MQ-13-010 NSA* P-63
MQ-13-011 31.76 35.98 4.22 0.18 0.06 0.01 0.04 0.01 0.01 0.06 1.26 NC P-97
MQ-13-012 62.44 64.00 1.56 0.10 0.02 0.01 0.03 0.03 0.00 0.06 0.44 NC P-30
MQ-13-013 162.00 164.00 2.00 0.13 0.03 0.01 0.01 0.01 0.00 0.02 0.56 NC P-61
MQ-13-014 47.50 48.00 0.50 0.20 0.07 0.01 0.01 0.00 0.00 0.01 1.26 NC P-32
MQ-13-014 54.48 55.46 0.98 0.20 0.05 0.01 0.00 0.00 0.00 0.00 1.15 NC P-32
MQ-13-014 64.00 65.00 1.00 0.20 0.04 0.01 0.00 0.00 0.00 0.00 0.64 NC P-32
MQ-13-015 NSA* P-22A
MQ-13-016 18.65 62.47 43.82 0.22 0.07 0.01 0.02 0.01 0.01 0.04 1.27 NC P-22B
MQ-13-016 18.65 21.50 2.85 0.68 0.14 0.02 0.07 0.02 0.02 0.11 3.30 NC including
MQ-13-016 34.55 35.23 0.68 1.24 0.23 0.04 0.14 0.04 0.01 0.19 6.36 NC including
MQ-13-016 48.30 49.56 1.26 1.44 0.34 0.05 0.20 0.05 0.07 0.32 7.92 NC including
MQ-13-017 69.08 71.00 1.92 0.23 0.07 0.01 0.02 0.01 0.01 0.04 1.78 NC P-22B
Note: (m) = metres,% = percent, g/t = grams per tonne, NC = not calculated
NSA* - no significant assays
(1) TPM is total precious metals (gold+platinum+palladium)

Table 4. Collar coordinates of regional drill holes MQ-13-010 to MQ-13-017. The datum used to acquire the UTM coordinates is Universal Transverse Mercator/World Geodetic System 84/Zone 22N. Azimuth is degrees from true north. Elevation indicates metres above sea level.

Hole Number UTM East UTM North UTM Elevation Length (metres) Azimuth Dip Target
MQ-13-010 456032 7218322 713 200 159 -50 P-63
MQ-13-011 461980 7216150 285 101 189 -50 P-97
MQ-13-012 471440 7217072 254 101 319 -50 P-30
MQ-13-013 472278 7217331 295 173 149 -60 P-61
MQ-13-014 472655 7217521 185 181 327 -60 P-32
MQ-13-015 470255 7231757 504 114.82 335 -60 P-22A
MQ-13-016 470270 7231729 494 116 148 -60 P-22B
MQ-13-017 470255 7231757 504 176 152 -62 P-22B

Drill core assay results are evaluated as part of a Quality Assurance and Quality Control procedure that includes the use of multi-element, certified standards with known precious and base metal values, blank standards and control charts to determine accuracy and precision of analytical results. Core sample analysis was completed by ALS Scandinavia AS of Ojebyn, Sweden. Three methods of analysis were used to determine element concentrations in the rock samples submitted to ALS. These were 1. A multi-element scan, subsequent to a four-acid digestion and ICP/ICP-AES finish; 2. Au, Pt and Pd lead fire assay on a 30 gram sample with ICP-AES finish; and 3. Samples with >1.00% Ni or Cu were re-analyzed by ICP-AES calibrated for ore grade detection limits. Samples with >0.50% S were re-analyzed by Leco furnace and infrared spectroscopy.

2013 VTEM FLYING SUMMARY

In 2013 NAN flew an additional 917.3 line-km of VTEM helicopter borne time domain electromagnetic and magnetic surveys over portions of the Maniitsoq property. A total of nine flight blocks were surveyed. They covered norite and other mafic-ultramafic intrusions outside the Greenland Norite Belt (GNB) as well as areas within the belt that required more detailed surveying. Significant new conductors were identified in the Pingo norite intrusion, situated about 14 km north of the GNB; in areas to the south and southeast of the GNB; and, within the GNB itself. These new conductors are currently being evaluated in preparation for next year's drilling program.

The Maniitsoq nickel-copper-cobalt & PGM project in southwest Greenland contains the 75km-long Greenland Norite Belt (GNB) and is 100% owned by North American Nickel.

Qualified Person

All technical information in this release has been reviewed by Dr. Mark Fedikow, P.Geo, who is the Qualified Person for the Company and President, North American Nickel Inc."

About VMS Ventures Inc:

VMS Ventures Inc. is focused primarily on acquiring, exploring and developing copper-zinc-gold-silver massive sulphide deposits in the Flin Flon-Snow Lake VMS Belt of Manitoba. The Company's VMS project property portfolio consists of the Reed Copper Project, which is subject to a 70-30 JV with HudBay Minerals and, subject to receipt of required permits, is scheduled for production in Q4-2013, Copper Project, McClarty Lake Project, Sails Lake Project, Puella Bay Project and Morton Lake Project. Outside of the Snow Lake camp, the Company holds massive sulphide prospective properties near the past producing Fox Lake and Ruttan copper-zinc mines, near the communities of Lynn Lake and Leaf Rapids in northern Manitoba. These properties are located in the mining friendly province of Manitoba, Canada. The Company also has optioned the Black Creek property in the Sudbury mining camp.

VMS Ventures owns approximately 23.9% of North American Nickel Inc. (TSX VENTURE:NAN). For more information on North American Nickel Inc., please visit www.northamericannickel.com.

Forward Looking Statement

Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding the costs, plans and schedule to develop the Reed Copper Project, potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward-looking statements that involve various risks. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward-looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital. There can be no assurance that forward-looking statements will prove to be accurate as actual results and future events may differ materially from those anticipated in such statements. VMS Ventures Inc. undertakes no obligation to update such forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on such forward-looking statements.

ON BEHALF OF THE BOARD OF DIRECTORS

Neil Richardson, COO

VMS Ventures Inc.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

To view the figures associated with this press release, please visit the following link: http://media3.marketwire.com/docs/vms-figures-101013.pdf.

Contact Information

  • VMS Ventures Inc.
    Evan Sleeman
    Director
    (604) 986-2020 or Toll Free: 1-866-816-0118
    www.vmsventures.com