Highlights:
- Significant discovery at Nesbitt - first two drill holes returned
significant intersections of mineralization with intervals of
visible disseminated sulphides consistent with Higher Grade Zone at Crawford
- Additional discovery at Mahaffy further confirm district
scale potential of property
TORONTO, June 29, 2021 /CNW/ - Canada Nickel Company Inc.
("Canada Nickel" or the "Company") (TSXV:
CNC) (OTCQB: CNIKF) today announced initial results from its
drill program testing targets located on its regional
properties around its cornerstone Crawford Nickel Project.
The first two discovery holes at the Nesbitt Nickel property
intersected visible disseminated nickel sulphides on a geophysical
target that is 3.7 kilometres long and 100 to 300 metres wide and
located just 8 kilometres north of the Company's Crawford Nickel
Project. The first two holes at the Mahaffy Nickel property and the
first two holes drilled by Canada Nickel on the Kingsmill property
intersected mineralized dunite across core lengths up to 417
metres. Assays are pending on all holes.
Mark Selby, Chair & CEO
said, "This discovery at Nesbitt of sulphide mineralization just 8
kilometres from Crawford is very exciting as it opens up the
potential for another higher-grade source of feed for the Crawford
mill. This discovery also further confirms the district scale
potential of our properties. The success of our geophysical
approach combined with the success in confirming the results of the
historic Nesbitt drilling
increases the potential for success following up on the historic
0.38% nickel interval at the recently acquired Bradburn/Dargavel
target."
Steve Balch, VP Exploration said
"These results highlight the success of our geophysical approach
to define these hidden targets as we have intersected significant
mineralization in every drill hole on our first three regional
properties. While this approach has identified multiple targets on
each property, we will focus our efforts outside of Crawford on
Nesbitt, MacDiarmid, and our recently acquired
Dargavel/Bradburn property as those properties will be closest to
the Crawford infrastructure, appear to be more serpentinized, and
most importantly, now have demonstrated higher grade potential. We
will continue to explore targets on the other properties as we
improve our robust methodology to rapidly evaluate
prospects."
The Nesbitt Nickel property is located 8 kilometres north of the
Company's initial discoveries in Crawford Township. The Mahaffy
Nickel property is located 15 kilometres west of Crawford and the
Kingsmill Nickel property is located 22 kilometres northwest of
Crawford.
The Crawford Nickel Sulphide Project is located in the heart of the prolific Timmins-Cochrane mining camp
in Ontario, Canada, and is
adjacent to well-established, major infrastructure associated with
over 100 years of mining activity.
Nesbitt Nickel Project
The Nesbitt Nickel project is centered on an ultramafic sill
that strikes east-west for a distance of 3.7 kilometres and a width
that is estimated to vary between 100 to 300 metres (for reference,
the Crawford Main Zone resource is 1.7 kilometres long and 225 to
425 metres wide). The ultramafic sill was previously drilled in
1966 with Historic hole 27083 yielding 0.28% nickel over a core
length of 163 metres including 0.33% nickel over a core length of
43 metres and Historic hole 25027 yielding 0.23% nickel over 114
metres. See below Cautionary Statement Concerning Historical
Information.
Two holes were collared on the central Nesbitt trend to explore a coincident (high)
magnetic and (low) gravity anomaly (see Figure 2 below) identified
during Canada Nickel's geophysical interpretation earlier this
year. The first hole was set up on the same section as Historic
hole 27083. The second hole was positioned within the most intense
section of the geophysical anomaly 300 metres to the east of the
first hole.
Nesbitt NES21-01 was collared
on the south side of the intrusion and drilled to the north. The
hole was pulled back into the volcanics to test for possible PGM
(platinum group metals) mineralization at the pyroxenite-peridotite
contact. It exited the volcanics and intersected dunite with
visible sulphides for a core length of 154 metres from 315 metres
until 469 metres where the hole returned to volcanics. NES21-02 was
collared on the south side of the intrusion 300 metres east of the
first hole, also pulled south into volcanic rocks to test for a
possible PGM intersection. The hole encountered a gabbro,
pyroxenite and peridotite sequence (similar to the north side of
Crawford Main Zone hosting the PGM Zone) from 113 to 222 metres
with visible sulphides throughout the pyroxenite and peridotite
before intersecting mineralized dunite for 138 metres and remains
underway in dunite at 360 metres. The area around Nesbitt may have been subjected to faulting
with unknown displacement if any.
Figure 1 – Hole NES21-01 Pentlandite + Pyrrhotite in
serpentinized dunite.
Core sample at 316.5 metres,
microscope photos at 321 and 326.5 metres, core sample at 352
metres
Figures 2 and 3 – Left to right - plan view of Nesbitt
Property showing Reported– Outline of Gravity Low and Magnetic High
geophysics anomaly overlain on total field magnetic intensity,
Nesbitt Township, Ontario; and Nesbitt Property discovery holes
on gravity low (gDD) over a color image of the total magnetic
intensity (magnetics)
Mahaffy Nickel Project
The Mahaffy Nickel project consists of 4 to 5 closely spaced
ultramafic sills having an aggregate strike length of 24
kilometres. This prospect was previously tested by Historic hole
31901 (1966) which intersected 0.23% nickel over 127 metres, and
hole T2-80-2 (1980) which intersected 277 metres of serpentinized
ultramafic rock with no assays reported. For reference, the
Crawford Main Zone resource is 1.7 kilometres long and 225 to 425
metres wide.
The first hole at Mahaffy (MAH21-01A) was collared southwest of
the intrusive sequence and was pulled back to the southwest to also
test for PGM mineralization. The hole encountered 116.5 metres of
overburden followed by 15.5 metres of volcanics before intersecting
a thick interval of 427 metres of primarily peridotite (with lesser
dunite) to the end of hole at 559 metres. A potential PGM interval
was not identified in the drill core. Hole MAH21-02A was collared
100 metres to the west and along strike from MAH21-01A. The hole
encountered 159 metres of overburden before intersecting a core
length of 335 metres of mineralized dunite to the end of hole at
494 metres (no potential PGM interval).
Figure 4 – Plan view of Mahaffy-Aubin Property – Current
drilling overlain on total field magnetic intensity, Mahaffy and
Aubin Townships, Ontario.
Kingsmill Nickel Project
Kingsmill Nickel project is a large serpentinized ultramafic
intrusion which is 2.2 kilometres long and between 375 to 600
metres wide. For reference, the Crawford Main Zone resource is 1.7
kilometres long and 225 to 425 metres wide. Kingsmill was
previously explored (see Canada Nickel press release dated
July 13, 2020) where thick
intersections of mineralized dunite were encountered. The follow-up
drilling consisted of two in-fill drill holes and two more drill
holes to test an area of major faulting (sometimes an area of
upgraded mineralization).
Kingsmill hole KML21-01 was located at the western portion of
the intrusion and was designed to test the dunite mineralization
and for PGM at the north contact. The hole intersected 15 metres of
overburden followed by 427 metres of dunite before entering
pyroxenite and gabbro (favourable sequence for PGM). The hole ended
in leuco-gabbro at 449 metres. KML21-02 was also collared at the
western portion of the intrusion but was drilled to the west to
test dunite mineralization parallel to strike and to test for PGM
mineralization at the west contact. The hole went through 21 metres
of overburden and then 308 metres of primarily dunite before
entering gabbro. The hole ended in volcanics at 428 metres.
Kingsmill holes KML21-03 and KML21-04 were both located near
faults to test for the possibility of upgraded mineralization.
KML21-03, located near the center of the intrusion, intersected 78
metres of overburden and 74 metres of mineralized dunite before
being lost in a fault zone at 152 metres. KML21-04, located at the
eastern margin, intersected 37 metres of overburden and 108 metres
of mineralized dunite before being lost at 145 metres.
Figure 5 – Plan view of Kingsmill Property – Current and
historical drilling overlain on total field magnetic intensity,
Kingsmill Township, Ontario.
See below Cautionary Statement Concerning Historical
Information.
Table 1 Drill Hole Orientation
Target
|
DDH
ID
|
Northing
|
Easting
|
Azimuth
|
Dip
|
Length
|
|
|
(mN)
|
(mE)
|
(°)
|
(°)
|
(m)
|
Kingsmill
|
KML21-01
|
5,423,113
|
454,867
|
360.00
|
-52.00
|
449.0
|
Kingsmill
|
KML21-02
|
5,423,105
|
454,810
|
270.00
|
-50.00
|
428.0
|
Kingsmill
|
KML21-03A
|
5,423,097
|
456,498
|
90.00
|
-50.00
|
156.0
|
Kingsmill
|
KML21-04
|
5,422,900
|
455,773
|
90.00
|
-50.00
|
198.0
|
Mahaffy
|
MAH21-01A
|
5,413,477
|
457,650
|
45.00
|
-70.00
|
561.0
|
Mahaffy
|
MAH21-02A
|
5,413,681
|
457,562
|
60.00
|
-70.00
|
495.0
|
Nesbitt
|
NES21-01
|
5,416,550
|
468,015
|
5.00
|
-50.00
|
499.0
|
Nesbitt
|
NES21-02
|
5,416,775
|
468,351
|
360.00
|
-50.00
|
329.0
|
Qualified Person and Data Verification
Stephen J. Balch P.Geo. (ON), VP
Exploration of Canada Nickel and a "qualified person" as such term
is defined by National Instrument 43-101, has verified the data
disclosed in this news release, and has otherwise reviewed and
approved the technical information in this news release on behalf
of Canada Nickel Company Inc.
Cautionary Statement Concerning Historical
Information
The historical information referenced in this press release is
based primarily on drilling results reported by Inco Ltd. and Noble
Mineral Exploration Inc. The information has also been filed with
the Ontario Government and is available on-line though the Mining
Lands Administration System (MLAS) website. The company believes
this information is relevant, as it was completed by reputable
companies using industry standard drilling and sampling practices.
The company or its "qualified person" (for the purposes of National
Instrument 43-101 – Standards of Disclosure for Mineral Projects)
has reviewed the information to confirm it has been correctly
reproduced from the public MLAS database, but given the Company's
and its qualified person's inability to access the underlying data,
the Company or its qualified person has not done sufficient work to
verify the historical information contained in this news
release.
About Canada Nickel Company
Canada Nickel Company Inc. is advancing the next generation of
nickel-cobalt sulphide projects to deliver nickel and cobalt
required to feed the high growth electric vehicle and stainless
steel markets. Canada Nickel Company has applied in
multiple jurisdictions to trademark the terms NetZero
NickelTM, NetZero CobaltTM, NetZero
IronTM and is pursuing the development of processes
to allow the production of net zero carbon nickel, cobalt, and
iron products. Canada Nickel provides investors with leverage
to nickel and cobalt in low political risk jurisdictions. Canada
Nickel is currently anchored by its 100% owned flagship Crawford
Nickel-Cobalt Sulphide Project in the heart of the prolific
Timmins-Cochrane mining camp. For more information,
please visit www.canadanickel.com.
Cautionary Statement Concerning Forward-Looking Statements
This press release contains certain information that may
constitute "forward-looking information" under applicable Canadian
securities legislation. Forward looking information includes, but
is not limited to, drill results relating to the Crawford Nickel
Sulphide Project, the Nesbit Nickel Project, the Mahaffy Nickel
Project and the Kingsmill Nickel Project, the potential thereof,
timing of economic studies and mineral resource estimates, the
ability to sell marketable materials, strategic plans, including
future exploration and development results, and corporate and
technical objectives. Forward-looking information is necessarily
based upon a number of assumptions that, while considered
reasonable, are subject to known and unknown risks, uncertainties,
and other factors which may cause the actual results and future
events to differ materially from those expressed or implied by such
forward-looking information. Factors that could affect the outcome
include, among others: future prices and the supply of metals, the
future demand for metals, the results of drilling, inability
to raise the money necessary to incur the expenditures required to
retain and advance the property, environmental liabilities (known
and unknown), general business, economic, competitive, political
and social uncertainties, results of exploration programs, risks of
the mining industry, delays in obtaining governmental approvals,
failure to obtain regulatory or shareholder approvals, and the
impact of COVID-19 related disruptions in relation to the Company's
business operations including upon its employees, suppliers,
facilities and other stakeholders. There can be no assurance
that such information will prove to be accurate, as actual results
and future events could differ materially from those anticipated in
such information. Accordingly, readers should not place undue
reliance on forward-looking information. All forward-looking
information contained in this press release is given as of the date
hereof and is based upon the opinions and estimates of management
and information available to management as at the date hereof.
Canada Nickel disclaims any intention or obligation to update or
revise any forward-looking information, whether as a result of new
information, future events or otherwise, except as required by
law.
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SOURCE Canada Nickel Company Inc.