Nickel North Announces Significant Mineral Resource Update at Hawk Ridge Nickel- Copper-Cobalt-PGE Project, Resources Increase 76.6% to 34.66 Mt Nickel 0.22% Copper 0.56% and more
Nickel North Announces Significant Mineral
Resource Update at Hawk Ridge Nickel-
Copper-Cobalt-PGE Project, Resources
Increase 76.6% to 34.66 Mt Nickel 0.22%
Copper 0.56% and more
Vancouver, British Columbia--(Newsfile Corp. - July 5, 2022) - Nickel North Exploration Corp. (TSXV:
NNX) (" Nickel North" or the "Company") today announced an updated Mineral Resource Estimate
("MRE") for its 100% owned Hawk Ridge Nickel-Nickel-Cobalt-PGE Sulphide Project ("Hawk Ridge") in
Northern Québec. The NI-43-101 Inferred MRE increased by 76.6% to 34.66 Mt from 19.63 Mt and
includes an update on its previously reported Hope Advance Main ("HAM") Zone and Hope Advance
North ("HAN"), Gamma and Falco 7 Deposits.
Highlights:
Total Inferred Mineral Resources for four mineralized deposits (Hope Advance Main (HAM), Hope
Advance North (HAN), Gamma and Falco 7) increase by 76.6% to 34.66 Mt at 0.22%, 0.56% Cu,
0.013% Co, 0.19 g/t Pd, 0.05 g/t Pt and 0.025 g/t Au (Table 1), which includes:
Total Pit-Constrained Inferred Mineral Resources at a CDN$35/t NSR cut-off increase by
50% to 29.44 Mt at 0.20% Ni, 0.52% Cu, 0.012% Co, 0.19 g/t Pd, 0.04 g/t Pt and 0.021 g/t
Au, which equates to 0.56% NiEq.
Total Out-Of-Pit (Underground) Inferred Mineral Resources at a CDN$100/t NSR cut-off are
estimated at 5.22 Mt at average grades of 0.35% Ni, 0.79% Cu, 0.014% Co, 0.23 g/t Pd,
0.06 g/t Pt, and 0.04 g/t Au, which equates to 0.88% NiEq.
The higher-grade "Raglan Type" sulphide mineralization exists in all four reported nickel-copper
sulphide deposits and all of them remain open along strike and down-dip (Figure 2-4); Hawk
Ridge has a similar rock age/type and is part of the same Circum-Superior nickel belt, and lastly
same occurrences of Ni-Cu & PGE metals found (Figure 1).
Figure 1
To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/1698/129949_1af65cf22498483f_001full.jpg
Figure 1, Comparison Diagram of Glencore's Raglan project and NNX's Hawk Ridge Project
Significant exploration potential remains with approximately 50% of the Hawk Ridge mineralized
structure and mineral occurrences being undrilled or untested and will soon be actively explored
(Figure 5).
Tony Guo, President and CEO of Nickel North commented, "This Mineral Resource update delivers on
both of its key objectives - better definition and increased the Pit-Constrained Mineral Resource and
establishing an initial Mineral Resource for potential underground mining. With a 76.6% increase in total
Inferred Mineral Resources, and an initial Out-of-Pit Mineral Resource, this update puts NNX in excellent
position for the planning the next large drilling program to further define both high grade Out-of-Pit targets
and expanding the Pit-Constrained Mineral Resources in the late 2022 to summer 2023 working
seasons.
"Note that the Mineral Resource Estimate is based on drilling up to 2014 and there has been no drilling
since then, with over 50 kilometers of north-south strike length. The entire Hawk Ridge land package is
open for exploration and only a fraction of it included in this Mineral Resource Estimate. (Figure 5)
"I look forward to the 2022 summer surface exploration program and 2023 drilling program to explore
our several highly prospective nickel-copper-cobalt-PGM targets at Hawk Ridge, and to completing
further mineral and metallurgical testing for the Hawk Ridge."
Nickel North Mineral Resource Estimate Update
For this update to the 2013 initial Mineral Resource Estimate, two drill holes (HR2014-49 and HR2014-
50) completed in late-2014 were added to the original 2013 database, for a total of 37,262 m drilled. A
sampling and mineral characteristic study was completed in 2014 by XPS Consulting and Testwork
Service (
www.xps.ca
), a Glencore company. The results of the study were utilized to calculate the Mineral
Resources in the four deposits as provided in Table 1 below. The Pit-Constrained Inferred Mineral
Resources of 29.44 Mt grading 0.20% Ni, 0.52% Cu, 0.012% Co, 0.19 g/t Pd, 0.04 g/t Pt and 0.021 g/t
Au, which equates to a 0.56% NiEq and Out-Pit Inferred Mineral Resources of 5.22 Mt at average
grades of 0.35% Ni, 0.79% Cu, 0.014% Co, 0.06 g/t Pt, 0.23 g/t Pd and 0.04 g/t Au, which equates to a
0.88% NiEq. An NSR cut-off of CDN$35/t was used for Pit-Constrained Mineral Resource reporting and
an NSR cut-off of CDN$100/t for the higher-grade Out-of-Pit Mineral Resource reporting. Example block
model views of the Mineral Resource Estimate are provided in Figures 2 to 4 below. The drilling
programs were conducted from the 1960s to 2014. This Mineral Resource Estimate was prepared by
P&E Mining Consultants Inc. in accordance with 2014 CIM Definition Standards on Mineral Resources
and Reserves and 2019 CIM Best Practices Guidelines. A Technical Report in support of the Mineral
Resource Estimate will be filed on SEDAR (
www.sedar.com
) within 45 days of this news release.
The Mineral Resource Estimate is effective as of May 31, 2022.
Table 1 - Updated Total Inferred Mineral Resource Estimate for the Hawk Ridge Nickel-Copper-
Cobalt-PGE Sulphide Project, North Québec
Deposit
NSR
Cut-off
Tonnes
Cu
Cu
Ni
Ni
Pt
Pt
Pd
Pd
Co
Co
Au
Au
Fe
CDN$/t
k
%
t
%
t
g/t
oz
g/t
oz
%
t
g/t
oz
%
HAM
Pit
Constrained
35
14,099
0.54
75,556
0.19
26,484
0.04
18,794
0.18
82,362
0.010
1,459
0.013
5,979
8.44
HAN
35
1,305
0.91
11,893
0.36
4,751
0.07
2,861
0.25
10,384
0.013
172
0.023
983
11.21
Subtotal
35
15,404
0.57
87,449
0.20
31,236
0.04
21,655
0.19
92,746
0.011
1,631
0.014
6,962
8.67
HAM
Out-of-pit
100
693
0.76
5,257
0.26
1,813
0.06
1,235
0.22
4,812
0.012
81
0.019
421
9.34
HAN
100
118
1.30
1,540
0.16
194
0.03
127
0.15
588
0.009
10
0.023
86
8.35
Subtotal
100
811
0.84
6,797
0.25
2,006
0.05
1,362
0.21
5,400
0.011
92
0.019
507
9.20
HAM &
HAN
Subtotal
35+100
16,215
0.58
94,246
0.21
33,242
0.04
23,017
0.19
98,146
0.011
1,723
0.014
7,469
8.70
Falco 7
Pit
Constrained
35
8,410
0.40
33,852
0.17
14,291
0.04
10,984
0.16
41,961
0.017
1,401
0.023
6,259
15.71
Out-of-pit
100
404
0.77
3,116
0.21
859
0.06
765
0.22
2,841
0.014
56
0.067
872
10.53
Subtotal
35+100
8,814
0.42
36,969
0.17
15,150
0.04
11,749
0.16
44,801
0.017
1,457
0.025
7,131
15.47
Gamma
Pit
Constrained
35
5,624
0.59
33,125
0.23
13,031
0.05
9,318
0.23
41,508
0.011
641
0.039
6,967
8.92
Out-of-pit
100
4,005
0.78
31,413
0.38
15,189
0.06
7,846
0.23
30,232
0.015
596
0.045
5,794
9.70
Subtotal
35+100
9,629
0.67
64,538
0.29
28,219
0.06
17,164
0.23
71,740
0.013
1,237
0.041
12,761
9.24
HAM,
HAN,
Falco 7
&
Gamma
Pit
Constrained
35
29,438
0.52
154,426
0.20
58,557
0.04
41,957
0.19
176,214
0.012
3,673
0.021
20,188
10.73
Out-of-pit
100
5,220
0.79
41,326
0.35
18,054
0.06
9,973
0.23
38,473
0.014
744
0.043
7,173
9.68
Grand
Total
35+100
34,658
0.56
195,752
0.22
76,611
0.05
51,930
0.19
214,687
0.013
4,417
0.025
27,361
10.57
Notes:
CIM definitions (2014) and Best Practices Guidelines (2019) were followed for Mineral Resource estimation
Mineral Resources were estimated by conventional 3-D block modelling based on wireframing at a CDN$35/tonne NSR cut-off for Pit-
Constrained Mineral Resources and a CDN$100/tonne NSR cut-off for Out-of-Pit Mineral Resources using inverse distance squared
grade interpolation.
Metal prices for the estimate are: US$4.00/lb Cu, US$9.25/lb Ni, US$1,350/oz Pt, US$1800/oz Pd, US$1,750/oz Au and US$26.00/lb Co
based on a two-year trailing average as of May 31, 2022, along with Consensus Economics metal price forecasting.
A variable bulk density of 3.01 tonnes/m
3
or greater has been applied for volume to tonnes conversion.
- Pit-Constrained Mineral Resources are estimated from surface to pit floor depths of 100 m to 230 m.
Out-of-Pit Mineral Resources are estimated from 100 m to 275 m below pit floors
Mineral Resources are classified as Inferred based on drill hole spacing, geologic continuity and quality of data.
Mineral Resources which are not Mineral Reserves do not have demonstrated economic viability. The estimate of Mineral Resources may
be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.
The Inferred Mineral Resource in this estimate has a lower level of confidence that applied to an Indicated Mineral Resource and must not
be converted to a Mineral Reserve. It is reasonably expected that the majority of the Inferred Mineral Resource could be upgraded to an
Indicated Mineral Resource with continued exploration.
Figure 2, Block Model for Hope Advance Main (HAM) and North (HAN) Zone with variable CDN$/t NSR
cut-offs, Top part (Blue colour), Pit-Constrained Mineral Resource block models; Lower part, High-grade
mineralization "potato" with & NSR > CDN$100/t within large, low-grade mineralized zone (NSR >
CDN$35/t)
To view an enhanced version of Figure 2, please visit:
https://orders.newsfilecorp.com/files/1698/129949_1af65cf22498483f_002full.jpg
Figure 3, Block Model for Gamma Zone with variable CDN$/t NSR cut-offs, Top part (Blue colour), Pit-
Constrained Mineral Resource block models; Lower part, High-grade mineralization "potato"
with an
NSR >CDN$100/t within large low-grade mineralized zone(NSR >CDN$35/t)
To view an enhanced version of Figure 3, please visit:
https://orders.newsfilecorp.com/files/1698/129949_1af65cf22498483f_003full.jpg
Figure 4, Block Model for Falco 7 Zone with variable CDN$/t NSR cut-offs, Top part (Blue colour), Pit-
Constrained Mineral Resource block models; Lower part, High-grade mineralization "potato" with an
NSR >CDN$100/t within large low-grade mineralized zone (NSR >CDN$35/t)
To view an enhanced version of Figure 4, please visit:
https://orders.newsfilecorp.com/files/1698/129949_1af65cf22498483f_004full.jpg
Figure 5, Outline Map of Hawk Ridge Property Claims and Mineral Occurrences/Deposits
To view an enhanced version of Figure 5, please visit:
https://orders.newsfilecorp.com/files/1698/129949_1af65cf22498483f_005full.jpg
The Cu, Ni, Co, Pt, Pd, and Au mineralization lies at or near surface and is potentially amenable to low
strip ratio, open-pit mining. The mineralized wireframes for the four deposits were constructed based on
host rock lithology and mineralization at an open pit operating cut-off Net Smelter Return ("NSR") of
CDN$35/t as calculated by P&E. The NSR calculation was based on a two-year trailing average metal
prices and Consensus Economics metal price forecasts as of May 31, 2022, metal recoveries and
smelter payable metal and treatment costs generalized from other P&E projects and a US exchange
rate at 0.78. One-metre composites were generated from the assays captured within each deposit
wireframe. The Mineral Resources were all classified as Inferred based on the wide drill hole spacing,
level of assaying and geologic confidence in grade continuity.
The Hopes Advance North and Main Deposits have been considered, and reported, as one domain
(Hopes Advance). The geologically similar Gamma Deposit occurs 15.5 km to the southeast in a similar
stratigraphic setting as the above. The Falco 7 Deposit is 11.4 km north-northeast of this trend. All
deposits have strikingly similar geology and styles of mineralization. Mineral Resources for each deposit
were estimated individually using Inverse Distance Squared (1/D
2
) weighting of composited assay
values. The drill-hole database for the Property contains 407 diamond drill holes totalling 37,262 m, of
which 88 drill holes for 15,268 m have been utilized to delineate the Mineral Resources. The spacing of
the drill-hole sections in the individual deposit areas ranges from 50 m to 200 m.
The
mineral deposits contain an additional Exploration Target with a potential range of 35
million tonnes to 60 million tonnes at grade ranges of 0.35% to 0.40% Cu, 0.10% to 0.20% Ni,
0.01% to 0.02% Co, 0.03 g/t to 0.05 g/t Pt, 0.15 g/t to 0.20 g/t Pd, and 0.03 g/t to 0.05 g/t Au, which
equates to a 0.35% to 0.55% NiEq.
The Exploration Target is based on the estimated strike length, depth and width of the known
mineralization, which is supported by intermittent drill-holes, geophysics and observations of mineralized
surface exposures. The potential quantities and grades of this Exploration Target are conceptual in
nature. There has been insufficient work done by a Qualified Person to define these estimates as
Mineral Resources. The Company is not treating these estimates as Mineral Resources, and readers
should not place undue reliance on these estimates. Even with additional work, there is no certainty that
these estimates will be classified as Mineral Resources. In addition, there is no certainty that these
estimates will prove to be economically recoverable.
All of the deposits within the 50 km long Hawk Ridge Project occur within the northern portion of the New
Québec Orogen (Labrador Trough), near the southwest coast of Ungava Bay, Northern Québec. The
Hawk Ridge Property is underlain by Proterozoic rocks that unconformably overlie Archean cratonic
rocks of the Superior Province that are exposed to the west. The Proterozoic rocks are composed of a
thick sequence of marine metasedimentary and mafic metavolcanic rocks that were intruded by mafic
and ultramafic sills and dykes. Regionally, these rocks have been thrust to the West onto the Superior
Craton and now dip steeply to the east. Disseminated copper-nickel-PGE and gold-bearing sulphides,
with narrow high-grade massive sulphide bands, are predominantly hosted in the mafic and to a minor
extent by metasedimentary rocks.
Mineral Resources by Deposit are presented in the tables below.
Table 2 Pit-Constrained Inferred Mineral Resources by Deposit at Various NSR Cut-Offs
NSR
Cut-off
Tonnes
Cu
Cu
Ni
Ni
Pt
Pt
Pd
Pd
Co
Co
Au
Au
Fe
CDN$/t
k
%
t
%
t
g/t
oz
g/t
oz
%
t
g/t
oz
%
HAM
55
12,741
0.56
71,629
0.19
24,833
0.04
17,591
0.19
75,911
0.010
1,332
0.014
5,533
8.55
45
13,810
0.54
74,858
0.19
26,190
0.04
18,565
0.18
81,155
0.010
1,434
0.013
5,883
8.47
35
14,099
0.54
75,556
0.19
26,484
0.04
18,794
0.18
82,362
0.010
1,459
0.013
5,979
8.44
25
14,143
0.53
75,648
0.19
26,514
0.04
18,827
0.18
82,505
0.010
1,462
0.013
6,011
8.43
15
14,170
0.53
75,684
0.19
26,523
0.04
18,843
0.18
82,587
0.010
1,463
0.013
6,039
8.43
HAN
55
1,186
0.97
11,540
0.39
4,610
0.07
2,759
0.26
9,823
0.014
161
0.025
954
11.59
45
1,287
0.92
11,851
0.37
4,733
0.07
2,848
0.25
10,304
0.013
171
0.024
979
11.27
35
1,305
0.91
11,893
0.36
4,751
0.07
2,861
0.25
10,384
0.013
172
0.023
983
11.21
25
1,306
0.91
11,894
0.36
4,752
0.07
2,862
0.25
10,386
0.013
173
0.023
983
11.21
15
1,307
0.91
11,897
0.36
4,752
0.07
2,862
0.25
10,390
0.013
173
0.023
984
11.21
GAMMA
55
5,284
0.61
32,199
0.24
12,636
0.05
8,871
0.23
39,489
0.012
611
0.039
6,666
8.95
45
5,552
0.59
33,002
0.23
12,939
0.05
9,237
0.23
41,109
0.011
633
0.039
6,927
8.91
35
5,624
0.59
33,125
0.23
13,031
0.05
9,318
0.23
41,508
0.011
641
0.039
6,967
8.92
25
5,626
0.59
33,130
0.23
13,033
0.05
9,320
0.23
41,516
0.011
641
0.039
6,969
8.92
15
5,626
0.59
33,130
9,320
0.23
41,516
0.011
641
0.039
6,969
8.92
Falco 7
55
6,515
0.44
28,618
0.18
11,923
0.04
9,111
0.17
34,629
0.018
1,168
0.024
5,052
16.96
45
8,013
0.41
32,860
0.17
13,881
0.04
10,639
0.16
40,728
0.017
1,358
0.023
6,028
15.98
35
8,410
0.40
33,852
0.17
14,291
0.04
10,984
0.16
41,961
0.017
1,401
0.023
6,259
15.71
25
8,659
0.40
34,307
0.17
14,484
0.04
11,151
0.15
42,567
0.016
1,419
0.023
6,379
15.44
15
8,772
0.39
34,464
0.17
14,550
0.04
11,211
0.15
42,773
0.016
1,426
0.023
6,420
15.33
Table 3 Out-of-Pit Inferred Mineral Resources by Deposit at Various NSR Cut-Offs
NSR
Cut-off
Tonnes
Cu
Cu
Ni
Ni
Pt
Pt
Pd
Pd
Co
Co
Au
Au
Fe
CDN$/t
k
%
t
%
t
g/t
oz
g/t
oz
%
t
g/t
oz
%
HAM
120
205
0.78
1,593
0.36
734
0.07
460
0.25
1,675
0.014
28
0.032
212
10.23
110
342
0.76
2,591
0.32
1,096
0.07
715
0.24
2,665
0.013
44
0.025
278
10.13
100
693
0.76
5,257
0.26
1,813
0.06
1,235
0.22
4,812
0.012
81
0.019
421
9.34
90
1,333
0.70
9,329
0.24
3,174
0.05
2,153
0.20
8,756
0.011
150
0.016
687
9.16
80
2,114
0.65
13,785
0.22
4,654
0.05
3,161
0.20
13,336
0.011
233
0.014
981
9.00
HAN
120
89
1.46
1,297
0.15
131
0.03
86
0.15
419
0.008
7
0.025
71
8.10
110
104
1.38
1,433
0.16
161
0.03
105
0.15
501
0.008
9
0.024
80
8.22
100
118
1.30
1,540
0.16
194
0.03
127
0.15
588
0.009
10
0.023
86
8.35
90
143
1.18
1,691
0.17
248
0.04
163
0.16
737
0.009
13
0.020
93
8.48
80
248
0.93
2,315
0.17
426
0.04
285
0.16
1,315
0.010
24
0.014
112
8.40
Gamma
120
2,632
0.85
22,331
0.43
11,441
0.06
5,444
0.24
20,437
0.016
431
0.049
4,133
10.31
110
3,277
0.82
26,729
0.41
13,337
0.06
6,593
0.24
25,085
0.016
512
0.047
4,944
10.01
100
4,005
0.78
31,413
0.38
15,189
0.06
7,846
0.23
30,232
0.015
596
0.045
5,794
9.70
90
5,108
0.74
37,910
0.35
17,653
0.06
9,626
0.23
37,765
0.014
713
0.043
7,028
9.34
80
6,760
0.69
46,696
0.31
20,876
0.06
12,218
0.22
48,691
0.013
877
0.041
8,854
8.99
Falco 7
120
82
0.95
781
0.23
189
0.05
122
0.22
573
0.015
12
0.096
253
10.74
110
160
0.86
1,369
0.23
370
0.05
242
0.22
1,114
0.015
24
0.087
447
10.70
100
404
0.77
3,116
0.21
859
0.06
765
0.22
2,841
0.014
56
0.067
872
10.53
90
750
0.71
5,359
0.20
1,522
0.06
1,430
0.21
5,057
0.013
101
0.058
1,390
10.50
80
1,504
0.63
9,438
0.19
2,856
0.05
2,494
0.17
8,330
0.019
281
0.044
2,148
17.22
Quality Assurance and Quality Control
The QA-QC procedures employed by Nickel North were industry standard and included collection of drill
core field duplicate samples, insertion of certified reference materials (standards) and blanks, and
systematic laboratory inserted certified reference materials, pulp duplicates and client specified sample
pulp repeats.
The QA-QC program for Hawk Ridge 2012 to 2014 exploration was set up in advance to ensure the drill
program was compliant to industry standards, and to provide the accuracy and precision of the sampling
and analytical processes to an acceptable level.
Samples were received at TSL Laboratories Inc., ("TSL"), and sorted and dried prior to preparation. Drill
core and rock samples were crushed using a primary jaw crusher to a minimum 70% passing -10 mesh.
A 250 g subsample was pulverized to a minimum 95% passing -150 mesh. The precious metals, Au, Pd
and Pt were analyzed using lead-collection fire assay with ICP finish at TSL.
Sample pulps were then shipped by commercial air freight directly to ACME Labs in Vancouver, BC for
analysis of a 41-element suite, and Ni and Cu were determined by a 4-acid digest at ACME.
TSL Laboratories Inc. ("TSL") is based in Saskatoon, SK and has been in continuous operation since
1981. The TSL quality system conforms to requirements of ISO/IEC Standard 17025 guidelines, and
participates in the Proficiency Testing program sponsored by the Canadian Certified Reference
Materials Project. The lab has qualified for the Certificates of Laboratory Proficiency since the program's
inception in 1997. TSL was recently acquired by Saskatchewan Research Council.
ACME operates 19 offices in 11 countries. At each lab, a quality system compliant with the International
Standards Organization (ISO) 9001 Model for Quality Assurance and ISO/IEC 17025 General
Requirements for the Competence of Testing and Calibration Laboratories is implemented. The
Vancouver laboratory received formal approval of its ISO/IEC 17025:2005 accreditation from the
Standards Council of Canada for the tests listed in the approved scope of accreditation.
Qualified Persons
The technical information in this news release has been prepared in accordance with Canadian
regulatory requirements as set out in National Instrument 43-101 and reviewed and approved by Tony
Guo, P.Geo., who is a Nickel North's Qualified Person as defined by National Instrument 43-101 ("NI 43-
101"). The Mineral Resource Estimate and technical content in this news release have been supervised,
reviewed and approved by, Antoine Yassa, P.Geo, OGQ of P&E Mining Consultants Inc. who is
independent of Nickel North.
About Nickel North Exploration
Nickel North Exploration is a Canada-based exploration company focused on defining a Ni-Cu-Co-PGE
Mineral Resource at its Hawk Ridge Project in Northern Québec. The board of directors, advisor
committee and management team are experienced, successful mine finders. The Project consists of a
50 km long belt of strong magmatic Cu-Ni-Co-PGE occurrences covering 173 km
2
. The Project is
located near tidewater. Québec is a mining-friendly jurisdiction. Nickel North Exploration is a
conscientious corporate citizen maintains good relations with local Inuit communities and is committed
to sustainable development. For more information on the Company, please visit
www.nnexploration.com
.
Nickel North Exploration Corp. has been identified as a key player in the Critical and Strategic Minerals
value chain by Québec's Ministry of Economics and Innovation (MEI) in 2021 (
Québec Plan for the
Development of Critical and Strategic Minerals 2020-2025
(quebec.ca), which is part of Québec's Plan
for the Development of Critical and Strategic Metals (QPDCSM) and aims to stimulate the exploration
and mining of SCMs, their transformation and recycling.