Fjordland and Commander Announce Results from Drilling at South Voisey’s Bay Nickel Project, Labrador
NEWS RELEASE NR#18-01
Fjordland and Commander Announce Results from Drilling at
South Voisey’s Bay Nickel Project, Labrador
Vancouver, BC, January 18, 2018 ─ Fjordland Exploration Inc. (“Fjordland”) (TSX-V: FEX) and project partner
Commander Resources Ltd. (" Commander") (TSX-V: CMD) provide results from the recent drilling at their South
Voisey’s Bay nickel-copper-cobalt project (the “SVB Property”) located 80 kilometres south of Vale's Voisey's Bay nickel
mine located in Labrador, Canada. The exploration program was completed in October 2017 and comprised 1,469
metres of drilling in eight holes and accompanying borehole geophysics for five of the holes.
Best results were from holes 17-2 which returned 0.8 metres grading 0.63% nickel, 0.30% copper and 0.1% cobalt and
hole 17-6 which returned 3.9 metres grading 0.37% nickel, 0.27% copper and 0.1 % cobalt. The intersections are semi-
massive to massive sulphide comprised of pyrrhotite, pentlandite and chalcopyrite. Both intersections occur within or
at the base of the Worm Gabbro within a sequence of troctolite. They are overlain by several metres of blebby and net
textured sulphides. Holes 17-3, 5 and 7 returned low nickel values. Three holes, 17-1, 17-4 and 17-8, located 1.8 km
south of hole 17-6 tested a prominent low angle conductor within paragnei ss adjacent to an arm of the Worm Gabbro
and all three holes encountered zones of high sulphide with low nickel values hosted by structures and sometimes
accompanied by mixed gabbro breccia. Borehole Electro -Magnetic (BHEM) data, collected by Crone Geophy sics in
November, defined several extremely high conductivity targets between holes 17-1, 17-4, and 17-8. In addition, BHEM
data from holes 17 -6 and 17-7 delineate a strong conductor associated with the intersected sulphides, and an even
stronger non-decaying off-hole conductor.
Drill results are summarized below in Table 1 and hole locations in Table 2 at the end of this release. Sections and
plans will be posted to the company website. Reported core lengths are estimated to be true width for hole 17-6, while
hole 17-2 is of unknown orientation.
Table 1: Results
Hole From(m) To (m) length (m) Ni (%) Co (%) Cu (%)
FL17-2 52.4 53.2 0.8 0.63 0.11 0.30
FL17-6 45.3 49.2 3.9 0.37 0.10 0.27
Discussion
The large 29,400 Ha SVB Property is in central Labrador 80 kilometres south of Vale’s Voisey’s Bay Nickel mine and
covers parts of the Pants Lake Gabbro Complex. The Pants Lake Complex contains host rocks with alteration and
nickel mineralization styles consistent with high nickel prospectivity. This drill program tested a single exploration target
centred of a portion of the Worm Gabbro, a 200 metre thick possible feeder dyke to larger magma bodies or chambers
located both north and south of the area. Drilling was centred on modeled conductor s derived from re -processed
historical UTEM -3 surveys conducted in 2002 and 2014. Targeting incorporated recent geological concepts being
successfully applied at the Voisey’s Bay Mine wherein structure plays an important ore control role and where massive
sulphide accumulations may also occur in wall rock structures.
Dawn Evans-Lamswood, project manager and former head of brownfields exploration at the Voisey’s Bay Mine states,
“Drill holes within the wall rock paragneiss (in particular hole 17-4) intersected a feeder environment that can be
described as a “nursery” for sulphide production, an essential ingredient for the production of high grade sulphides.
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Key ingredients include ultramafic cumulates, digested paragneiss, magmatic contamination and structural controls to
focus wall rock digestion, sulphide production and distribution. The observations suggest the system is not rootless,
that it has a sulphide source rock and favorable structural constraints and establishes the SVB property as hosting a
Voisey’s Bay-styled nickel environment.”
Ongoing work includes property wide re -processing of additional historical EM data including UTEM -3 surveys and
Crone pulse EM surveys. Initial focus is on the large South Gabbro body where limited his torical drilling has retuned
elevated nickel within basal olivine gabbro units and in wall rock veins.
Expenditures by Fjordland have resulted in the increase of their property interest to 35%. Under the terms of the
Commander/Fjordland option agreemen t, announced on June 5, 2017, Fjordland may earn up to a 100% interest in
the property by paying Commander combined cash payments of $290,000, completing $8.0 million in exploration
expenditures and issuing to Commander an aggregate of 4.5 million shares o f Fjordland. Upon Fjordland acquiring a
100% interest in the project, Commander will retain a 2% NSR with Fjordland having the right to buy down 50% of the
Royalty for a payment of $5,000,000 as a cash payment, or a cash payment equal $2,500,000 plus the issuance of shares
having a fair market value of 50% of the buy down amount. Commander will receive a $10,000,000 advance royalty
payment at the commencement of commercial production. Fjordland is 30% held by an affiliate of High Power Exploration
Inc. who have separately entered into a funding agreement with Fjordland to provide up to $7.4 million in expenditures and
$290,000 in property payments, following which Fjordland has agreed to assign a 65% project interest in SVB to HPX (see
FEX news release dated August 28, 2017). HPX is a privately owned, metals -focused exploration company deploying
proprietary in-house geophysical technologies to rapidly evaluate mineral prospects. The HPX technology cluster comprises
systems for targeting, modelling, survey optimization, acquisition, processing and interpretation. HPX has a highly
experienced board and management team led by Co-Chair and Chief Executive Officer Robert Friedland.
QA/QC
Drill core was NTQ with recoveries typically above 90 per cent. After drilling, the core is logged for geology, structure
and geotechnical characteristics, marked up for sampling, and photographed on site. The cores for analyses are
marked for sampling based on geological intervals with individual samples 1.0 m or less in length. They are cut in half
lengthwise, with a rock saw on site. One half -core are stored on site for future reference. The other with half -core are
bagged in individual plastic bags along with ID tag and sealed. The individual plastic sample bags are then placed into
rice bags labelled with sample ID’s for all enclosed samples (typically 3 to 5 samples per rice bag); and then the rice
bag is sealed with packing tape. The rice bags are sent by commercial carrier to Eastern Analytical Ltd, Springdale NL.
for assaying. A QA/QC program, including insertion of standards, blanks and duplicates with regular samples under,
the supervision of Gary Thompson, P.Geo. was undertaken.
Upon arrival at Eastern Analytical rice bags and sample bags are inspected for tampering or damage during
transportation. The samples are dried and then crushed to 80% -10mesh, and a 250g split is then pulverized to 95%
150mesh. A 200mg subsample is dissolved in four acid s and analyzed by ICP -OES for 34 elements. Samples
with significant Ni, Cu or Co are re-analyzed by atomic absorption following a three acid digestion. Eastern Analytical
is an ISO17025 certified laboratory. On site supervision and core logging was by Dawn Evans-Lamswood, P, Geo.
Table 2- Drill Collars
Hole Easting Northing Elev (m) LENGTH(m) Az Dip
FL17-1 567500 6147644 427.8 212.3 220 -65
FL17-2 567430 6148949 436 153 210 -55
FL17-3 567302 6148761 408.4 150.55 180 -50
FL17-4 567676 6147783 421 271.1 170 -50
FL17-5 566202 6148848 418.4 157.2 180 -60
FL17-6 566660 6149010 450 150.85 180 -50
FL17-7 566600 6149060 451 225.95 180 -50
FL17-8 567598 6147584 408.4 151.55 220 -65
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Robert Cameron, P. Geo. is a qualified person within the context of National Instrument 43 -101, and has read and
takes responsibility for the technical aspects of this release.
About Fjordland Exploration Inc.
Fjordland Exploration Inc. is a mineral exploration company that is focu sed on the discovery of large scale
potentially economic deposits located in Canada. For further information visit Fjordland’s website at
www.fjordlandex.com
On behalf of the Board of Directors,
“Richard C. Atkinson”
Richard C. Atkinson, P.Eng.
President & CEO
For further information, please call:
FJORDLAND EXPLORATION INC.
Richard C. Atkinson, President and CEO
1-604-805-3232
www.fjordlandex.com
Some statements in this news release may contain forward -looking information. These statements address future events and
conditions and, as such, invol ve known and unknown risks, uncertainties and other factors which may cause the actual results,
performance or achievements to be materially different from any future results, performance or achievements expressed or impl ied
by the statements. Such factors include without limitation the completion of planned expenditures, the ability to complete exploration
programs on schedule and the success of exploration programs.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.