Nicola Mining Inc. Drills 73.6 Metres of 1.05% Copper (150 Metres of 0.54%) in Previously Unexplored Zone Located Within the Mineralized Historic Pit Halo
Nicola Mining Inc. Drills 73.6 Metres of 1.05% Copper
(150 Metres of 0.54%) in Previously Unexplored Zone
Located Within the Mineralized Historic Pit Halo
Vancouver, British Columbia--(Newsfile Corp. - September 25, 2018) - Nicola Mining Inc. (TSXV: NIM), (the "
Company
" or
"
Nicola
") is pleased to announce and confirm the presence of a previously unexplored mineralized zone north of the historic
Craigmont open pit.
The near-surface zone is located within the boundaries of Nicola's active Mine Permit M-68.
Nicola targeted
the area after historic data and recent mapping from the Company's 2017 and 2018 Exploration Programs revealed the
potential of mineralization north of the pit.
The second exploratory diamond drill hole (CC-18-02) targeting the northern extension of the Craigmont Pit Halo (the
"Mineralized Halo") (Figure 1) was located approximately 100 metres from the pit and intercepted 1.05% Copper over 73.6
meters.
The results confirm the existence of an in-situ mineralized halo adjacent to the Craigmont pit that is within the Craigmont
Central exploration area. The mineralization within the hole appeared unique because, in addition to chalcopyrite, the presence
of bornite was seen for the first time.
Bornite often occurs closer to the source of high-temperature source of copper
mineralization.
Intercepts from CC-18-02 include:
150 Metres grading 0.54% Cu, including
73.6 Metres grading 1.05% Cu
30.7 Metres grading 2.1% Cu
1.5 Metres grading 9.6% Cu and 1.5 Metres grading 9.8% Cu
Frank Hogel, Chairman commented, "It is becoming increasingly clear that this is a very special project.
The Company
understands the importance of combining the zones to create one large consolidated deposit.
We look forward to providing
additional exploration and operational updates in subsequent news releases."
Nicola continues to follow up by drilling additional holes to the east and west along the predicted strike orientation in a previously
un-drilled area within Craigmont Central.
Figure 1: Pit Halo Leapfrog Model Highlighting Grades 0.5% - 1.0% Cu
To view an enhanced version of Figure 1, please visit:
http://orders.newsfilecorp.com/files/4873/38886_a1537832082102_25.jpg
Craigmont Central
A key target planned for Nicola Mining's 2018 Exploration Program is exploration of a Mineralized Halo, which represents an
outward zonation of mineralization within the altered wall rock of the skarn deposit, particularly along the contact between the
Guichon and the Nicola group rocks.
A diamond drilling program is currently underway in a previously undrilled area, 100 meters north of the Historic Craigmont open
pit. Continuity of mineralization along strike to the East of hole CC-18-02 has been observed in hole CC-18-03 (assays pending)
and step-out hole CC-18-04 is currently being drilled to the west of CC-18-02
This mineralization occurs within an unexplored zone that is within the active mine permit.
While historic Craigmont ore bodies
are well-delineated and documented, previous operators conducted minimal exploration beyond proven ore bodies grading
below 2.0% copper. The Company's exploration program continues to target known mineralized zones within the skarn units that
were under explored by previous operators. In addition, the Company plans to drill untested porphyry targets which may
represent the source of the known skarn hosted copper mineralization of the historic Craigmont mine.
Within Craigmont Central, the western extension of the Pit Halo is well documented in various historic reports including a report
produced by Jim Bristow P Eng., which documents a mineralized halo of approximately 50.0 million tonnes surrounding the
underground workings, grading over 0.4% Cu. This mineralized halo was never mined by previous operators.
The 2018 Exploration Program focuses on testing previously unexplored sections of the property with the intention of working
towards a maiden resource estimate for New Craigmont.
Overall Plan / Vision
The exploration program announced in the Company's July 19, 2018 news release is on track, with diamond drilling, reverse
circulation drilling and an induced polarization geophysical survey underway. The objective of the program is to test the following
five key zones:
Waste Piles (80-90 million tonnes)
Craigmont Central which hosts the Pit Halo
Craigmont West (which returned 101.1 metres of 1.33% Cu in Hole 2018-03 as announced in the Company's,
April 2,
2018
news release)
Northwest Promontory porphyry target
East Promontory porphyry target
The Company does not view the five targets as standalone programs, but, rather, all five targets add to the overall viability and
resource of the New Craigmont Project as a whole.
Upon completion and releasing news on the other five 2018 Exploration target zones, the Company will be able to provide a
better picture of one substantial project.
Peter Espig, CEO commented, "The initial drill result is very exciting, not only because of the high-grade copper mineralization,
but also because of the existence of bornite.
As highlighted by the Bristow Report, we are starting with a solid base that we will
continue to add to with exploration."
Scientific and Technical Information
All information of a scientific or technical nature contained in this document, including sampling, analytical and test data has
been reviewed and approved by Kevin Wells, P. Geo., a consulting Geologist to Nicola Mining. Wells is a Qualified Person as
defined by National Instrument 43-101 — Standards of Disclosure for Mineral Projects.
Sample Preparation, Analysis and Quality Assurance/Quality Control
Nicola Mining applies a thorough quality assurance/quality control program at the New Craigmont Project compliant with industry
best practices. A qualified geoscientist has logged and sampled all core and samples have been delimited according to
lithologic, alteration and mineralization characteristics. This includes systematic insertion of blank, duplicate and certified
reference materials into the sample batches by Nicola's geological staff. Core is then halved, where the sample is placed in a
labelled sample bag with sample tag and the other half of the core is retained on site as a physical record. Samples are placed
in sealed bags and transported to Actlabs (ISO 17025 Certified) in Kamloops, British Columbia for analysis, following a Chain of
Custody. Samples are crushed up to 80% passing 2mm, rifle split (250 g) and pulverized to 95% passing 105 µm. Samples are
analyzed using Aqua Regia-ICP-OES 38-element (1E3) packages. All samples greater than 10,000 ppm Copper are tested
using over-limit mass spectrometry methods (8-AR). All results included in this release have passed the QA/QC procedures as
described above and have been reviewed by Kevin Wells, P.Geo. There are no known factors that could materially affect the
reliability of data collected and verified. No quality assurance/quality control issues have been identified to date.
About Nicola Mining
Nicola Mining Inc. is a junior mining company listed on the TSX Venture Exchange and is in the process of recommencing mill
feed processing operations at its 100% owned state-of-the-art mill and tailings facility, located near Merritt, British Columbia. It
has already signed four mill profit share agreements with high grade gold producers. The fully-permitted mill can process both
gold and silver mill feed via gravity and flotation processes. The Company also owns 100% of Treasure Mountain, a high-grade
silver property, and an active gravel pit that is located adjacent to its milling operations.
About New Craigmont
The New Craigmont Project (the "
Property
") is a wholly-owned copper property with an active mine permit (M-68), located
within the world-class Highland Valley porphyry district. It benefits from excellent infrastructure. The Property is at the corner
intersection of the Nicola and Guichon batholiths, of which the latter is the precursor to mineralization at Highland Valley. In
November of 2015, Nicola became the first group in decades to consolidate ownership of the Property and has been actively
conducting mineral exploration since.
There are currently no mineral resource estimates on the Property. Historical "non-NI 43-101" resource calculations are
recorded in internal memos and geological reports for Placer Development. An internal memo written by J.F. Bristow on October
30, 1985 to Craigmont Mines Ltd. reported a zone known as Body No. 3 containing a historic estimate of 1,290,000 tons
(1,170,268 metric tonnes) of copper grading1.53% copper.
This estimate assumes a 0.7% copper cut-off and a 20-foot mining
width between drill sections 6565E and 8015E. The material in Body No. 3 contains mineralization primarily in silicate-rich
rocks.
Additionally, J.F. Bristow reported in an internal memo on July 22, 1985 to Craigmont Mines Ltd., a rough calculation of
60,000,000 pounds (1.6 million short tons or 1.45 metric tonnes) of +1.5% copper from an original ore estimate of 27,754,000
short tons (25,178,005 metric tonnes) of copper grading1.79% copper left behind in the sub-level cave. In addition, the Bristow
report highlights a 50.0 million tonne halo grading greater than 0.4% surrounding the high-grade underground ore body.
It should be noted that these historical estimates do not meet the requirements needed to conform to National Instrument 43-101
standards. The Company notes that an independent Qualified Person has not done sufficient work to verify and classify the
historical estimates as current mineral resources and is therefore not treating the historical estimates as current mineral
resources or mineral reserves. For further details on the Property, see the technical report entitled "TECHNICAL REPORT on
the THULE COPPER — IRONPROPERTY, Southern British Columbia, Canada", filed on May 8, 2013 on Sedar at
www.sedar.com
.
On behalf of the Board of Directors
"
Peter Espig
"
Peter Espig
CEO & Director
For additional information
Contact: Peter Espig
Phone: (778) 385-1213
Email:
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
DISCLAIMER FOR FORWARD-LOOKING INFORMATION
All statements in this release, other than statements of historical fact, are "forward-looking information" within the meaning of
applicable Canadian securities laws, including statements that address future exploration and drilling plans, including with
respect to the 2018 DD Program; the expected information to be derived therefrom; and potential mineralization. Forward-
looking information is often, but not always, identified by the use of words such as "seek", "anticipate", "plan", "continue",
"estimate", "expect", "project", "predict", "potential", "targeting", "intends", "believe", "potential", and similar expressions, or
state that certain actions, events or results "may", "should", "could", "would", "might" or "will" be taken, occur or be achieved.
These statements involve known and unknown risks, uncertainties and other factors which may cause the actual results,
performance or achievement of the Company to differ materially from those anticipated in such forward-looking information.
Such factors include, among others: changes in 2018 DD Program parameters as plans continue to be refined; risks related to
the interpretation and actual results of historical exploration at the Property; reliance on technical information provided by third
parties, including access to historical information on the Property; current exploration and development activities; current
economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or
processes to operate as anticipated; the failure of contracted parties to perform; labor disputes and other risks of the mining
industry; and delays in obtaining governmental approvals, financing or in the completion of exploration. 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 information, there may be other factors that cause actions, events or results not to be as
anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results
and future events could differ materially from those anticipated in such statements. Forward-looking information is provided as of
the date hereof and accordingly is subject to change after such date. The Company does not undertake to update any forward-
looking information included in this news release, except as required by applicable securities laws.