Canadian North Resources Files NI 43-101 Technical Report on the Updated Mineral Resources Estimates for the Ferguson Lake Mining Property in
Canadian North Resources Files NI 43-101 Technical Report on the Updated
Mineral Resources Estimates for the Ferguson Lake Mining Property in
Nunavut, Canada
TORONTO, July 13, 2022 -- Canadian North Resources Inc. (“Canadian North” or the “Company”) (TSXV: CNRI) is pleased
to announce that following the release of the mineral resource estimates on June 13, 2022, it has filed its National Instrument
43-101 Technical Report entitled “Independent Technical Report - Updated Mineral Resource Estimate, the Ferguson Lake
Project, Nunavut, Canada”, effective June 13, 2022, on SEDAR at http://www.sedar.com. The report has also been posted on
the Company’s website at www.cnresources.com.
“We are pleased to file the NI43-101 Technical Report for the mineral resources estimate on our 100% owned Ferguson Lake
base metal (nickel, copper, cobalt) and platinum-group metals (“PGM”, palladium and platinum) Project (“the Project”),” said
Dr. Kaihui Yang, President and CEO of Canadian North. “The results show high potential value of the mineral resources for
development. The resource model indicates significant potential for resource expansion along strike and at depth over the 15
kilometers long mineralized belt. We are currently drilling to expand the potential high-grade large-tonnage economic base
metal and PGM resource on the Project.”
Project Highlights:
On June 13, 2022, the Company announced the results of the mineral resource estimation for the Project. On June 27, the
Company also announced completion of 7,400 meter drilling and staking of large exploration area surrounding the mining
leases of the Project. The Project highlights are summarized below:
• Mineral Resources (Table 1) were estimated using net smelter return (“NSR”) cutoff values of US$49.70 for Open Pit
Mining and US$94.50 for Underground mining. The NSR is calculated using nickel, copper, cobalt, palladium and
platinum grades, prices, and assumed metallurgical recoveries.
• The Mineral Resources modelled primarily on the occurrence of massive or semi-massive sulphide as a lithological
type. The metal content of intercepts comprising this unit typically results in a NSR value greater than US$180.
• Mineral resources also include a newly interpreted zone of low sulphide PGM (palladium and platinum) style of
mineralization characterized by weakly disseminated sulphide, low to very low base metal values and elevated to high
grade palladium and platinum values.
• High-grade Open Pit Indicated Mineral Resources of 22.4 million tonnes with the NSR value of US$255 per
tonne, at the grades of 0.84% copper, 0.60% nickel, 0.07% cobalt, 1.37gpt palladium and 0.23gpt platinum,.
• Total Indicated Mineral Resources of 24.3 million tonnes with the NSR value of US$257 per tonne, containing
455 million pounds (Mlb) copper at 0.85%, 321Mlb nickel at 0.60%, 37.5Mlb cobalt at 0.07%, 1.08 million
ounces (Moz) palladium at 1.38gpt and 0.18Moz platinum at 0.23gpt;.
• Total Inferred Mineral Resources of 47.2 million tonnes with the NSR value of US$244 per tonne, containing
947Mlb copper at 0.91%, 551.5Mlb nickel at 0.53%, 62.4Mlb cobalt at 0.06%, 2.12Moz palladium at 1.4gpt and
0.38Moz platinum at 0.25gpt;
• Open pit and underground Mineral Resources (Indicated and Inferred) are characterized by high NSR values relative to
the respective NSR resource cutoff values and are relatively insensitive to reasonable increases in NSR cut-off values.
Application of a US$70 NSR cutoff value to Indicated blocks within the conceptual pit shell totals 22.1 million tonnes at
an average NSR value of US$258 which is an approximately 30% increase in cutoff resulting in an approximately 1%
decrease in tonnes, and an approximately 1% increase in NSR value.
• The mineral resource model was based on a database that contains 611 historic diamond drill holes and a total of
186,416 metres of drilling and 36,740 assay samples.
• This Mineral Resource estimation incorporates mostly the Central and West Zones, which represents approximately
6km of the presently known 15-kilometer-long mineralized belt. The results of the 7,400 meter recently drilled are
pending and will be incorporated into the future update of the resource estimates. Rhodium and gold are not included in
the resource modeling due to no systematic assaying results, although there are significant values in several
mineralized zones.
• Based upon the exploration work completed to-date on the Property, including close examination of the deposit model
of the Ferguson Lake mineralized zones, and the current resource estimate, it is concluded that the West, Central and
East mineralized zones remain open for expansion down-plunge to the west, along strike to the east and down dip at
multiple locations along its mineralized horizon. There is significant potential for resource expansion along strike and at
depth over the 15 km long mineralized belt.
• The Project covers an area of 253.8 km2, including 96.9 km2 of mining leases and 156.9 km2 of exploration claims.
This land package covers all the known base metals and PGM mineralized zones and outcrops at the Ferguson Lake
area. Drilling and surface programs are being carried out over the area.
Table 1, NI43-101 Mineral Resources of the Ferguson Lake mining property
Indicated Resources
Method Tonnes Co Cu Ni Pd Pt NSR
(Mt) (%) (%) (%) (gpt) (gpt) ($US)
Open Pit 22.4 0.07 0.84 0.60 1.37 0.23 255
Underground 1.9 0.07 1.03 0.60 1.49 0.32 275
Total 24.3 0.07 0.85 0.60 1.38 0.23 257
Inferred Resources
Method Tonnes Co Cu Ni Pd Pt NSR
(Mt) (%) (%) (%) (gpt) (gpt) ($US)
Open Pit 12.1 0.04 0.59 0.40 0.99 0.22 170
Underground 35.1 0.07 1.02 0.57 1.54 0.26 269
Total 47.2 0.06 0.91 0.53 1.40 0.25 244
1. CIM definitions (2014) and CIM Estimation of Mineral Resources & Mineral Reserves Best Practice Guidelines (2019)
were followed for Mineral Resources.
2. Mineral Resources were estimated at NSR cutoff values of US$49.70 for open pit and US$94.50 for underground.
3. NSR values were calculated using long-term metal prices of US$8.00/lb for Nickel, $US3.30/lb for Copper, US$20.60/lb
of Cobalt, US$900/oz Platinum, and US$1,910/oz Palladium.
4. Metallurgical recoveries used in the NSR calculation were 91% for Nickel, 96% for Copper, 90% for Cobalt, 50% for
Platinum and 81% for Palladium.
5. Open pit Mineral Resources are reported at a base case NSR value of US$49.70 within a conceptual pit.
6. Underground Mineral Resources were estimated using a minimum true width of 2.5 metres and US$94.50 NSR value.
7. The independent Qualified Person for the current Mineral Resource estimate is Mr. Jamie Lavigne, P. Geo.
8. The Mineral Resource block model was peer-reviewed by Allan Armitage, PhD, P.Geo of SGS Geological Services. Dr.
Armitage is an Independent Qualified Person as defined in NI-43-101.
9. Mineral Resources, which are not Mineral Reserves, do not have demonstrated economic viability.
10. All figures are rounded to reflect the relative accuracy of the estimate. Numbers may not add due to rounding
Authors and Qualified Persons Statement:
The NI43-101 Technical Report was completed by Elisabeth Ronacher, PhD, P.Geo. of Ronacher McKenzie Geoscience Inc.
and Jamie Lavigne. P.Geo of Francis Minerals Ltd. Dr. Ronacher prepared all sections of the report except Section 12, which
was jointly prepared with co-author Jamie Lavigne and Section 14 for which Jamie Lavigne is solely responsible. Dr. Ronacher
and Mr. Lavigne are Independent Qualified Persons (QP) as defined in National Instrument 43-101.
Dr. Trevor Boyd, P.Geo. and Vice President of Exploration for Canadian North Resources, a qualified person as defined by
Canadian National Instrument 43-101 standards and has reviewed the technical content of this news release and has approved
its dissemination.
About Canadian North Resources Inc.:
Canadian North Resources Inc. is an exploration and development company focusing on the metals for the clean-energy,
electric vehicles, battery and high-tech industries. The company is advancing its 100% owned Ferguson Lake nickel, copper,
cobalt, palladium, and platinum project in Nunavut, Canada.
Further information please visit the website at www.cnresources.com or contact:
Dr. Kaihui Yang, President and CEO
Phone: 905-696-8288 (Canada) 1-888-688-8809 (Toll-Free)
Email: [email protected]
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.
Cautionary Note Regarding Forward-Looking Statements
Certain statements contained in this news release, including statements which may contain words such as “expects”,
“anticipates”, “intends”, “plans”, “believes”, “estimates”, or similar expressions, and statements related to matters which are
not historical facts, are forward-looking information within the meaning of applicable securities laws. Such forward-looking
statements, which reflect management’s expectations regarding the Company’s future growth, results of operations,
performance, business prospects and opportunities, are based on certain factors and assumptions and involve known and
unknown risks and uncertainties which may cause the actual results, performance, or achievements to be materially different
from future results, performance, or achievements expressed or implied by such forward-looking statements.
These factors should be considered carefully, and readers should not place undue reliance on the Company’s forward-looking
statements. The Company believes that the expectations reflected in the forward-looking statements contained in this news
release and the documents incorporated by reference herein are reasonable, but no assurance can be given that these
expectations will prove to be correct. In addition, although the Company has attempted to identify important factors that could
cause actual actions, events or results to differ materially from those described in forward looking statements, there may be
other factors that cause actions, events or results not to be as anticipated, estimated or intended. The Company undertakes
no obligation to release publicly any future revisions to forward-looking statements to reflect events or circumstances after the
date of this news or to reflect the occurrence of unanticipated events, except as expressly required by law.