Nicola Mining Inc. Completes Mineral Purchase Agreement to Acquire 75% Economic Interest of Dominion Creek GOLD Project
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Sample 204481: 125.0 g/t Au and 256.0 g/t Ag
Sample 204484: 106.0 g/t Au and 164.0 g/t Ag
The average grade from this sampling is 61.3 g/t Au and 173.7 g/t Ag (see Table 1).
Table 1: Gold and Silver Grades from Select Samples Taken from the 16 Vein and Pit Vein
Subsequent to assaying the 23 samples taken from the Number 16 Vein and the Pit Vein
material, the Company took four chip samples across mineralizat ion exposed in a historical
trench comprising vein material and adjacent rock, and one grab sample representative of vein
material from both exposed veins. The results, which were in a news release dated October 26,
2020, are shown in Table 2, below:
Table 2: Chip Sample and Representative Vein Grab Sample Results.
DOMINION CREEK PROPERTY HISTORY
The Dominion Creek Property consists of 8 contiguous mineral cl aims (55 units) totaling
approximately 1,040 hectares. A 1,180 tonne bulk sample from t he South Zone was excavated
in 1992 and limited drilling has occurred. The site was owned b y Noranda Exploration Company
Ltd., who initially completed a small (20 sample) geochemical s ilt survey in 1986 and was
encouraged by those results to complete a larger geochemical so il sampling campaign (3,399
samples). There are two mineralized areas that include a small bulk sample pit and a
mineralized outcrop containing multiple distinctive veins.
Eighty tonnes of concentrate was shipped and processed at the C ominco smelter in Trail in
1992. The mill head grade determined for the bulk sample was 14.1 g/t Au and the average gold
Sample Number Au
g / t
Ag
g / t
Sample Number Au
g / t
Ag
g / t
204465 27.0 178 204476 68.1 246
204466 38.0 386 204477 37.6 130
204467 81.7 136 204478 45.6 118
204468 37.4 150 204479 71.4 134
205569 24.0 68 204480 57.1 138
204470 50.5 164 204481 125.0 256
204471 17.8 124 204482 45.7 84
204472 63.3 248 204483 37.7 178
204473 105.0 156 204484 106.0 164
204474 149.0 270 204485 51.7 238
204475 78.2 170 204486 66.4 132
204487 25.4 126
Assay Percentage
Pb Zn Ag Au
Surface Chip (no tag) 2.4 22.1 16.2 209.0 56.2
A00204491 1.3 12.7 8.6 176.0 34.9
A00204490 0.95 0.2 0.1 4.0 0.27
A00204489 1.3 2.7 2.7 46.0 13.2
A00204488 0.96 0.3 0.1 5.0 1.55
Sample KG Assay g / t
recovery was 93% 6. Little material sorting was conducted at the time but visual separation of
mineralized rock on site prior to transport is viable. This sor ting is expected to increase grade
and minimize transportation cost. Noranda Exploration Company Ltd.'s exploration program
included 53 diamond drill holes, totaling 3,483.7 meters. Drill ing in the South Zone covered an
area of approximately 300 meters by 200 meters. Limited drillin g in the North Zone covered two
small areas (approximately 50 meters by 60 meters) 300 meters a part. The drill targets were
selected using the geochemical sample data and outcrop sampling from trenches and drill
access roads.
A Technical Report on the Dominion Creek Project 7 was completed by Geospectrum
Engineering on August 22, 2003.
Qualified Person
Kevin Wells, P. Geo, a consulting geologist to the Company, is the independent qualified person
as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects for the
technical disclosure contained in this news release.
About Nicola Mining
Nicola Mining Inc. is a junior mining company listed on the TSX Venture and Frankfurt
Exchanges that maintains a 100% owned mill and tailings facilit y, located near Merritt, British
Columbia. The fully-permitted mill can process both gold and si lver mill feed via gravity and
flotation processes. The Company also owns 100% of the New Crai gmont Project, a high-grade
copper property, and an active gravel pit that is located adjacent to its milling operations.
On behalf of the Board of Directors
“Peter Espig”
Peter Espig
CEO & Director
For additional information
Contact: Peter Espig
Phone: (778) 385-1213
Email: [email protected]
Neither the TSX Venture Exchange nor its Regul ation Services Provider (as that term is
defined in the policies of the TSX Venture Ex change) accepts responsibility for the adequacy
or accuracy of this release.
6 Makepiece, D.A. (2003): Technical Report for Dominion Creek Project. Unpublished. Prepared for XMP
Mining Limited. p. 41 p
7 Dominion Creek Project: Cariboo Mining Division of British Columbia for XMP Mining Limited and
written by David K. Makepeace, M.Eng., P.Eng. of Geospectrum Engineering.