SUDBURY,
ON, March 4, 2024 /CNW/ - SPC Nickel
Corp. (TSXV: SPC) ("SPC Nickel" or the "Company"), is
pleased to announce that the Company has filed an independent
technical report prepared in accordance with National Instrument
43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101")
supporting the previously announced West Graham Mineral Resource
Estimate ("MRE") (reported in the Company's news release dated
January 17, 2024) and the adjacent
updated MRE for the LKE Deposit ("LKE").
The technical report, titled "Mineral Resource Estimates for the
West Graham and LKE Deposits, Lockerby East Ni-Cu-PGM Sulphide
Property, Sudbury, Ontario Canada"
can be found on the Company's website at www.spcnickel.com and
under the Company's issuer profile at www.sedarplus.ca. The MRE, in
accordance with National Instrument 43-101, is effective as of
December 4, 2023.
Highlights:
- LKE: Resource at a 0.9% NiEq1 Cutoff Grade
- Indicated Resource of 0.67 Mt at 1.17% Ni, 0.54% Cu (1.59%
NiEq2)
- Inferred Resource of 0.12 Mt at 0.99% Ni, 0.42% Cu (1.39%
NiEq2)
- The LKE Resource is strategically located immediately below
the existing mining working developed by Falconbridge in the 1990's.
- Exploration Potential: Significant potential to expand the
LKE Resource down-dip over a distance of 1,000 metres.
- West Graham: In-Pit Resource at a 0.3% NiEq1
Cutoff Grade (previously released)
- Indicated Resource of 19.3 Mt at 0.42% Ni, 0.28% Cu (0.57%
NiEq2)
- Inferred Resource of 3.2 Mt at 0.37% Ni, 0.28% Cu (0.53%
NiEq2)
- West Graham: Out-of-Pit Resource at a 0.7% NiEq1
Cutoff Grade (previously released)
- Indicated Resource of 3.2 Mt at 0.63% Ni, 0.47% Cu
(0.92% NiEq2)
- Inferred Resource of 3.8 Mt at 0.69% Ni, 0.43% Cu
(0.97% NiEq2)
*Please see LKE Mineral Resource Estimate Notes at the end of
this release. Refer to the Company's news release dated
January 17, 2024 for Notes on the
West Graham MRE.
Grant Mourre, CEO and President
of SPC Nickel commented, "SPC Nickel is very pleased to deliver
this NI43-101 Technical Report representing yet another major
milestone for the Company. We believe the combined West Graham and
LKE Mineral Resource Estimates along with our positioning at the
heart of the Sudbury mining camp,
one of the most developed and prolific nickel jurisdictions
globally, establishes the Company as one of the best nickel
investment opportunities anywhere. In addition to the Company's
impressive progress at West Graham, the announcement of an updated
resource at LKE combined with the down-dip potential further
highlights the vast exploration potential that exists on the
Property."
LKE Deposit Mineral
Resource
The Mineral Resources at the LKE Project were estimated by SGS
Geological Services and are summarized in Table 1.
Sensitivity to cut-off grade is summarized in Table 2, and
contained metal summarized in Table 3. The LKE MRE was based
on a validated historical database containing drill holes completed
by both Falconbridge Limited (Falconbridge) and First Nickel Inc (FNI). A
revised resource model, economic parameters and cutoff grade were
used in the LKE MRE. Since acquiring the property in 2016, the
Company has not completed any exploration drilling on the LKE
Deposit.
Table 1: LKE and West Graham Maiden Mineral Resource Estimate
effective December 4, 2023
*Please see LKE Mineral Resource Estimate Notes at the end of
this release. Refer to Company's news release dated January 17, 2024 for Notes on the West Graham
MRE.
|
Area
|
Category
|
NiEq
Cuttoff1
|
Tonnes
|
Ni %
|
Cu %
|
Co %
|
Pt
g/t
|
Pd
g/t
|
Au
g/t
|
Ag
g/t
|
NiEq
%2
|
|
LKE Mineral
Resource
|
|
LKE
|
Indicated
|
0.9
|
66,000
|
1.17
|
0.54
|
0.02
|
0.49
|
0.24
|
0.09
|
2.99
|
1.59
|
|
LKE
|
Inferred
|
0.9
|
124,000
|
0.99
|
0.42
|
0.02
|
0.57
|
0.36
|
0.07
|
2.30
|
1.39
|
|
West Graham In-Pit
Resource
|
|
In-Pit
|
Indicated
|
0.3
|
19,326,000
|
0.42
|
0.28
|
0.01
|
0.06
|
0.02
|
0.02
|
1.47
|
0.57
|
|
In-Pit
|
Inferred
|
0.3
|
3,283,000
|
0.37
|
0.28
|
0.01
|
0.10
|
0.03
|
0.03
|
1.24
|
0.53
|
|
West Graham
Out-of-Pit Resource
|
|
Out-of-Pit
|
Indicated
|
0.7
|
3,238,000
|
0.63
|
0.47
|
0.02
|
0.24
|
0.06
|
0.07
|
2.64
|
0.92
|
|
Out-of-Pit
|
Inferred
|
0.7
|
3,867,000
|
0.69
|
0.43
|
0.03
|
0.22
|
0.06
|
0.06
|
2.20
|
0.97
|
|
(1)
|
NiEq cutoff grades
consider metal prices of $9.50/lb Ni, $3.50/lb Cu, $22.00/lb Co,
$1000/oz Pt, $1,800/oz Pd and $1,700/oz Au and consider metal
recoveries of 90% for Ni, 90% for Cu, 56% for Co, 69% for Pt, 68%
for Pd and 68% for Au. Ag is not used.
|
|
(2)
|
NiEq grades are
calculated using this formula: Ni (%) + [Cu (%) * 0.369] + [Co (%)
* 2.318] + [Pt / 31.1 * 4.779] + [Pd / 31.1 * 8.602] + [Au / 31.1 *
8.124] with price assumptions of $9.50/lb Ni, $3.50/lb Cu,
$22.00/lb Co, $1000/oz Pt, $1,800/oz Pd and $1,700/oz Au. Ag is not
used.
|
LKE Deposit – Geology
Discovered in 1968 by Falconbridge, the LKE Resource is located
approximately 1,500 metres east of the former Lockerby Mine and 200
metres down-dip of the West Graham Resource (Figure 2).
Mineralization is predominately contact style, with
narrow (less than 5 metres thick) high-grade semi-massive to nearly
massive breccia sulphide veins anastomosing proximal to the folded
granite footwall contact. LKE sulphide mineralization is
characterized by a high pentlandite to pyrrhotite ratio with the
overall grade, tenor and PGM content of the mineralization
increasing with depth. Historical drilling completed by FNI
returned values as high as 5.60% Ni and 1.26% Cu over a core length
of 10.0 metres (see reference section below).
LKE Deposit – Exploration
Opportunity
In 2016, the Company completed a borehole geophysical program
(reported in the Company's news release dated November 21, 2016) on seven historic holes
completed by Falconbridge and FNI
down-dip of the LKE Resource. The results from the surveys
identified a trend of very strong geophysical conductors
(2,000-20,000 siemens) over a combined distance of 1,100 metres
extending down-dip from the LKE Resource (Figure 3). Of
particular interest, is a 200 metre by 700 metre area with several
>10,000 siemen conductors that remain virtually untested by
drilling. Historical hole GRA-21DE, drilling by Falconbridge in 1988, encountered a thick zone
of Ni-Cu-PGM mineralization include several high-grade massive
sulphide stringers with extremely high nickel tenors (9.5% -12.3%)
along the fringes of the modelled EM conductors.
Table 2: LKE Resource, Sensitivity to cut-off grade.
|
NiEq
Cutoff1
|
Tonnes
|
Ni %
|
Cu %
|
Co %
|
Pt
g/t
|
Pd
g/t
|
Au
g/t
|
Ag
g/t
|
NiEq
%2
|
|
LKE Indicated
Resource
|
|
0.8
|
801,000
|
1.07
|
0.51
|
0.02
|
0.48
|
0.22
|
0.09
|
2.91
|
1.47
|
|
0.9
|
665,000
|
1.17
|
0.54
|
0.02
|
0.49
|
0.24
|
0.09
|
2.99
|
1.59
|
|
1.0
|
559,000
|
1.28
|
0.56
|
0.02
|
0.51
|
0.25
|
0.09
|
3.02
|
1.71
|
|
1.1
|
453,000
|
1.42
|
0.58
|
0.03
|
0.51
|
0.27
|
0.08
|
3.07
|
1.87
|
|
1.2
|
369,000
|
1.57
|
0.60
|
0.03
|
0.52
|
0.28
|
0.08
|
3.13
|
2.03
|
|
1.5
|
244,000
|
1.90
|
0.66
|
0.03
|
0.50
|
0.30
|
0.08
|
3.19
|
2.39
|
|
LKE Inferred
Resource
|
|
0.8
|
142,000
|
0.94
|
0.41
|
0.02
|
0.55
|
0.33
|
0.07
|
2.19
|
1.32
|
|
0.9
|
124,000
|
0.99
|
0.42
|
0.02
|
0.57
|
0.36
|
0.07
|
2.30
|
1.39
|
|
1.0
|
111,000
|
1.03
|
0.43
|
0.02
|
0.58
|
0.38
|
0.07
|
2.36
|
1.44
|
|
1.1
|
85,000
|
1.14
|
0.43
|
0.02
|
0.59
|
0.41
|
0.07
|
2.38
|
1.57
|
|
1.2
|
66,000
|
1.23
|
0.45
|
0.02
|
0.62
|
0.44
|
0.07
|
2.43
|
1.68
|
|
1.5
|
33,000
|
1.58
|
0.45
|
0.03
|
0.53
|
0.46
|
0.05
|
2.44
|
2.03
|
|
(1)
|
NiEq cutoff grades
consider metal prices of $9.50/lb Ni, $3.50/lb Cu, $22.00/lb Co,
$1000/oz Pt, $1,800/oz Pd and $1,700/oz Au and consider metal
recoveries of 90% for Ni, 90% for Cu, 56% for Co, 69% for Pt, 68%
for Pd and 68% for Au. Ag is not used.
|
|
(2)
|
NiEq grades are
calculated using this formula: Ni (%) + [Cu (%) * 0.369] + [Co (%)
* 2.318] + [Pt / 31.1 * 4.779] + [Pd / 31.1 * 8.602] + [Au / 31.1 *
8.124] with price assumptions of $9.50/lb Ni, $3.50/lb Cu,
$22.00/lb Co, $1000/oz Pt, $1,800/oz Pd and $1,700/oz Au. Ag is not
used.
|
Table 3: LKE Resource, Contained Metal.
|
NiEq
Cutoff1
|
Category
|
Tonnes
|
Ni lbs
(Millions)
|
Cu lbs
(Millions)
|
Co lbs
(Millions)
|
Pt
(ozs)
|
Pd
(ozs)
|
Au
(ozs)
|
Ag
(ozs)
|
|
LKE MRE Contained
Metals
|
|
0.9
|
Indicated
|
665,000
|
17.2
|
7.9
|
0.33
|
11,000
|
5,000
|
2,000
|
64,000
|
|
0.9
|
Inferred
|
124,000
|
2.7
|
1.2
|
0.05
|
2,000
|
1,000
|
300
|
9,000
|
|
(1)
|
NiEq cutoff grades
consider metal prices of $9.50/lb Ni, $3.50/lb Cu, $22.00/lb Co,
$1000/oz Pt, $1,800/oz Pd and $1,700/oz Au and consider metal
recoveries of 90% for Ni, 90% for Cu, 56% for Co, 69% for Pt, 68%
for Pd and 68% for Au. Ag is not used.
|
Mineral Resource Estimate Notes:
|
(1)
|
The classification
of the current Mineral Resource Estimates for the LKE Deposit into
Indicated and Inferred is consistent with current 2014 CIM
Definition Standards - For Mineral Resources and Mineral
Reserves.
|
|
(2)
|
All figures are
rounded to reflect the relative accuracy of the estimate and
numbers may not add due to rounding.
|
|
(3)
|
All mineral
resources are presented undiluted and in situ, constrained by
continuous 3D wireframe models (the constraining volumes), and are
considered to have reasonable prospects for eventual economic
extraction.
|
|
(4)
|
Mineral resources
which are not mineral reserves do not have demonstrated economic
viability. An Inferred Mineral Resource has a lower level of
confidence than that applying to an Indicated Mineral Resource and
must not be converted to a Mineral Reserve. It is reasonably
expected that most of the Inferred Mineral Resources could be
upgraded to Indicated Mineral Resources with continued
exploration.
|
|
(5)
|
The validated
database provided by SPC for the MREs includes data for 560 surface
and underground diamond drill holes and 26 surface channels
totalling 182,936 metres. The database totals 20,294 assay
intervals representing 27,388 metres of drilling and channeling.
The average assay sample length is 1.35 metres.
|
|
(6)
|
The mineral resource
estimate is based on a three-dimensional ("3D") resource domains,
constructed in GEOVIA GEMS version 6.8.3 software
("GEMS").
|
|
(7)
|
Nickel, copper,
cobalt, platinum, palladium, gold and silver were estimated for
each mineralization domain. Blocks within each mineralized domain
were interpolated using 1.5 metre capped composites assigned to
that model. To generate grade within the blocks, the inverse
distance squared (ID2) interpolation method was used for all
domains. All estimates are based on variable block dimensions (by
deposit area) and estimation search parameters (by domain), which
are based on drill hole spacing, and size, shape and orientation of
the resource domains. The classification of resources into Inferred
and Indicated is based primarily on drill hole
spacing.
|
|
(8)
|
An average density
value for the LKE Deposit was assigned based on a database of 7,406
mineralized samples. A value of 3.04 for the LKE Deposit. Values
ranging from 2.85 to 3.00 are used for waste. Waste densities are
based on a database of 7,039 samples.
|
|
(9)
|
The LKE Deposit is
considered amenable to underground extraction.
|
|
(10)
|
As the LKE Deposit
is deeper and narrower, a selected base case cut-off grade of 0.9 %
NiEq is used to determine the underground MRE for the LKE Deposit.
The LKE underground resource grade blocks were quantified above the
base case cut-off grade and within the constraining mineralized
domain (the constraining volume).
|
|
(11)
|
Based on the size,
shape and orientation of the deposits, it is envisioned that the
LKE Deposit underground resource may be mined using the longhole
open stoping mining method (a bulk mining method that has long been
utilized in the Sudbury region).
|
|
(12)
|
NiEq cut-off grades
are based on metal prices of $9.50/lb Ni, $3.50/lb Cu, $22.00/lb
Co, $1000/oz Pt, $1,800/oz Pd and $1,700/oz Au and metal recoveries
of 90% for Ni, 90% for copper, 56% for Co, 69% for Pt, 68% for Pd
and 68% for Au. Silver is not used.
|
|
(13)
|
NiEq grades are
calculated using this formula: Ni (%) + [Cu (%) * 0.369] + [Co (%)
* 2.318] + [Pt / 31.1 * 4.779] + [Pd / 31.1 * 8.602] + [Au / 31.1 *
8.124] with price assumptions of $9.50/lb Ni, $3.50/lb Cu,
$22.00/lb Co, $1000/oz Pt, $1,800/oz Pd and $1,700/oz Au. Ag is not
used.
|
|
(14)
|
For the Lockerby
East Deposit, underground base case cut-off grade of 0.9 % NiEq
considers a mining cost of US$85.00/t rock and processing,
treatment and refining, transportation, and G&A cost of US$38/t
mineralized material.
|
|
(15)
|
The estimate of
Mineral Resources may be materially affected by environmental,
permitting, legal, title, taxation, socio-political, marketing, or
other relevant issues.
|
Reference
News Release, First Nickel Reports: 10 Metres Of 5.60% Ni and
1.26% Cu Hosted in Footwall from Lockerby East Zone, February 7th, 2006.
Quality Assurance, Quality Control
and Qualified Persons
The technical report is authored by Allan Armitage, Ph.D., P. Geo., ("Armitage") and
Ben Eggers, B.Sc. (Hons), MAIG,
P.Geo. ("Eggers") of SGS Geological Services. The Authors are
independent Qualified Persons as defined by NI 43-101 and are
responsible for all sections of the report. The updated MREs
presented in the report were estimated by Dr. Armitage and Dr.
Armitage conducted a site visit to the Lockerby East Property on
July 24, 2023.
Technical elements of this news release have been approved by
Mr. Grant Mourre, P.Geo. (PGO), CEO
and President of SPC Nickel Corp. and a Qualified Person under
National Instrument 43-101.
About the Lockerby East
Property
The Lockerby East Property is located in the heart of the
Sudbury Mining District where nine mines are currently in operation
and two more are in the development phase. The region benefits from
its proximity to well-developed transportation infrastructure
including roads, railways, and electrical grid. In addition, the
Property is situated close to processing, smelting and refining
assets which include two mills, two smelters and one nickel
refinery. Local operators include global mining corporations Vale,
Glencore and KGHM.
About SPC Nickel Corp.
SPC Nickel Corp. is a Canadian public corporation focused on
exploring for Ni-Cu-PGMs within the world class Sudbury Mining
Camp. SPC Nickel is currently exploring its key 100% owned
exploration project Lockerby East located in the heart of the
historic Sudbury Mining Camp that includes the West Graham Resource
and the LKE Resource. SPC Nickel also holds three additional
projects across Canada including
the large camp-scale Muskox Project (located in Nunavut), the past producing Aer-Kidd Project
(located in the Sudbury Mining Camp) and the Janes Project (located
50 km northwest of Sudbury). The
corporate focus is on Sudbury, and
SPC Nickel continues to look for new opportunities to add
shareholder value. Additional information regarding SPC Nickel and
its projects can be found at www.spcnickel.com.
Cautionary Note on Forward-Looking
Information
Except for statements of historical fact contained herein, the
information in this news release constitutes "forward-looking
information" within the meaning of Canadian securities law. Such
forward-looking information may be identified by words such as
"plans", "proposes", "estimates", "intends", "expects", "believes",
"may", "will" and include without limitation, statements regarding
estimated capital and operating costs, expected production
timeline, benefits of updated development plans, foreign exchange
assumptions and regulatory approvals. There can be no assurance
that such statements will prove to be accurate; actual results and
future events could differ materially from such statements. Factors
that could cause actual results to differ materially include, among
others, metal prices, competition, risks inherent in the mining
industry, and regulatory risks. Most of these factors are outside
the control of SPC Nickel. Investors are cautioned not to put undue
reliance on forward-looking information. Except as otherwise
required by applicable securities statutes or regulation, SPC
Nickel expressly disclaims any intent or obligation to update
publicly forward-looking information, whether as a result of new
information, future events or otherwise.
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.
SOURCE SPC Nickel Corp.