Margaret Lake Diamonds announces Old Nick and Letain Nickel-Cobalt technical reports NI 43-101 compliant and provides further corporate update
Margaret Lake Diamonds announces Old Nick and Letain Nickel-Cobalt technical reports
NI 43-101 compliant and provides further corporate update
VANCOUVER, BC / June 2 , 2021 / Margaret Lake Diamonds Inc. ("MLD" or the "Company")
(TSXV:DIA ) (FKT:M85) (OTC PINK:DDIAF) is pleased to announce the TSXV has reviewed the
technical reports of the Old Nick, Nickel-Cobalt (Old Nick) project in Southern British Columbia and the
Letain, Nickel-Cobalt (Letain) project in North-Western British Columbia and has found them both to be
NI 43-101 compliant. The approval on the acquisition of the properties has not yet been obtained. The
completed report is available under the Company’s profile on SEDAR at www.sedar.com.
The Old Nick-Nickel Cobalt project
The property is a quartzite-hosted stratabound nickel-cobalt deposit (with minor chromite). The
mineralization is hosted by Paleozoic Anarchist Group fuchsite-bearing quartzites with disseminated
pentlandite/pyrrhotite. The deposit has been defined by 51 drill holes totalling 4,417 meters and 19
trenches totalling 1,533 meters. Laterally, the zones extend for at least 500 meters along strike. Bench
scale column leach testing in 1995-1996 and 2004-2005 indicated the potential for economic recovery of
nickel and cobalt by acid heap leaching and Solvent Extraction/Electrowinning processes. There is
significant potential to expand the deposit both along strike and down the dip of the known mineralization
as well as within the same prospective stratigraphy elsewhere on the property. Makepeace (2007) defined
an historic Inferred Mineral Resource estimate of 17.24 million tonnes at a grade of 0.1914 %Ni and
0.0095 %Co, with a nickel cut off grade of 0.14 %Ni. This estimate is not current and not to be relied
upon.
In 1971, a MSc. thesis on the Old Nick deposit outlined 2 generations of pentlandite occurring
interstitially within the pyrrhotite. Elevated nickel values are associated with mariposite bands. The dunite
and quartzite had similar Ni/Cr values suggesting a common source of metal mineralization. Chromium
occurs in mariposite. From 1995-1998 Applied Mine Technologies Ltd. (AMT) completed 6 diamond
drill holes into the deposit. Part of the resultant core was used for their bench scale and column leach
testing of the Old Nick mineralization. The metallurgical tests indicated that acid heap leaching and
selective SX/EW recovery methods could recover the nickel and cobalt. A preliminary scoping study at
the time indicated the potential for positive economics based on this new process technology. The
economics were based on a 50 million tonne deposit with an anticipated grade of 0.2 % Ni and 0.01 % Co
with recoveries of 60 % Ni and 50 % Co. The metal prices used in the calculation were USD 8.20 per
kilogram of Ni and USD 41.06 per kilogram of Co. This study is also not current and not to be relied
upon.
Letain Nickel
The Letain Ni claims cover ultramafic rocks that consist of variably deformed and serpentinized peridotite
and minor dunite, associated intrusive mafic dykes, and fault-bound volcanic and sedimentary rocks
which are part of the ophiolitic Cache Creek Group allochthonous terrain. Several peridotite-hosted zones
contain fine and coarse Ni-Fe alloy grains (awaruite), which are exposed as bedrock ridges in the east-
central portion of the claim group at 1,700-2,050 m elevation. Disseminated fine to coarser grain
awaruite was found in serpentinized ultramafic rocks. In the north portion of the property the peridotite is
massive, black in colour with fewer vein-fracture textures, however the change in texture of the peridotite
appears to have little or no effect on the Ni-Cr-Co content which appears to be relatively consistent
(2,000-3,000 ppm Ni, 1,000-3,000 ppm Cr and 100-150 ppm Co) throughout the ultramafic complex
exposed on Tenure #1058958. Samples from the central ridge of the property delineated a 1,100 metre
long discontinuous zone of coarse-grained (>100µm) awaruite. Rock chip samples (25 in total) in 2018
covered a 1 X 1.3 km area located in the east-central part of the claims, where First Point Minerals
discovered fine and coarse-grained awaruite (native Ni-Fe) mineralization in 2010-2011. Awaruite
mineralization occurs in 2 different habits, fine Ni-Fe alloys or larger composite grains. Fine awaruite
grains (10-100 µm) are disseminated in the serpentine matrix. NiFe alloys have a highly reflective
white/silver color. Larger composite grains (100-300 µm) are a mixture of Ni-Fe alloys and lesser Ni-Fe
sulphides. Awaruite (native Ni-Fe) occurrences are the main focus of economic mineralization on the
Letain nickel property.
Mutual Release and Rescission of Contract with Korid Energy Co. Ltd.
Margaret Lake Diamonds announces the mutual release and rescission of contract that was entered into on
the 13th day of January 2020 with Korid Energy Co. for circumstances beyond the reasonable control of
both parties, which materially and adversely affected contractual performance. The parties have mutually
agreed that the agreement between the two companies shall be rescinded, terminated and cancelled.
Qualified Person
The Qualified Person for this news release is Jo Shearer, an independent economic geologist with
extensive experience in mineral exploration throughout North America. A Qualified Person under the
provisions of National Instrument 43-101.
Contact I nformation
Neil Foran
Chief Executive Officer
(604) 681 -7735
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of
the TSXV) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
This press release contains forward -looking information or forward- looking statements (collectively
"forward-looking information") within the meaning of applicable securities laws. Forward -looking
information is typically identified by words such as: "believe", "expect", "anticipate", "intend",
"estimate", "potentially" and similar expressions, or are those, which, by their nature, refer to future
events. The Company cautions investors that any forward- looking information provided by the
Company is not a guarantee of future results or performance, and that actual results may differ
materially from those in forward -looking information as a result of various factors. The reader is
referred to the Company's public filings for a more complete discussion of such risk factors and their
potential effects, which may be accessed through the Company's profile on SEDAR
at www.sedar.com .