Sterling Metals Announces Exploration Update Extension of High-Grade Mineralization Trend by 200 Metres North of Existing Heimdall North Zone at Sail Pond
Sterling Metals Announces Exploration Update
Extension of High-Grade Mineralization Trend by 200 Metres North
of Existing Heimdall North Zone at Sail Pond
November 15, 2023 – Toronto, Ontario – Sterling Metals Corp. (TSXV: SAG, OTCQB: SAGGF) (“Sterling
Metals” or the “Company”) is pleased to report assay results from its 2023 drilling on the Sail Pond Silver
and Base Metal Project (“Sail Pond”) in the Great Northern Peninsula of Newfoundland. Despite drilling
not being able to identify a potential economic trap of high grade sulphides via the 3D Orion survey, using
structural interpretations the Company intersected additional high-grade silver -copper mineralization,
expanding the Heimdall trend by 200 m (Figure 1).
Key 2023 Exploration Highlights at Sail Pond:
• A total of 8 drill holes covering 2,058 m were completed, focusing on 4 distinct target areas
defined by the Orion 3D geophysical survey (the “Orion survey”)
• Drilling extended high-grade silver-copper mineralization 200 m beyond previous intersections
(Figure 2) and the area remains open to the north
• The new extension of the Heimdall North Zone discovered through structural interpretation of
the project lidar, graded 932 g/t Ag, 4.51% Cu over 0.3 m starting at 209 m depth in hole SP-23-
085 (Figure 3) and 303 g/t Ag, 1.26% Cu and 5.59% Pb over 0.3 m starting at 279.9 m (Figure 4)
• The Company is currently undertaking physical property studies using the relevant core from Sail
Pond and its new structural understanding to delineate areas of interest for higher permeability
where economic quantities of high-grade sulfides are trapped
Jeremy Niemi, SVP Exploration and Evaluation, stated, "Ahead of our 2023 drilling campaign at Sail Pond,
we implemented a systematic approach targeting the source of the mineralization at Heimdall North by
employing the deep looking Orion survey. We were encouraged by strong geophysical targets in the right
geological locations and these targets are where we started our 2023 drilling. Learning from the initial
holes and with the mineralization source eluding us, our team rapidly pivoted to focus on structural data
and on -the-ground observations for the final holes of the program. The final two holes yielded an
additional high -grade copper -silver intersection and a broad mineralization zone spanning nearly 30
meters north of the Heimdall North Zone. Notably, this zone remains open to the north. Moving forward,
our efforts will continue to concentrate on locating large areas of interest with the potential for massive
sulphide accumulations, aiming to uncover the origins of the numerous high -grade intersections at Sail
Pond.”
2023 Exploration Results
During the winter of 2023 Sterling initiated a comprehensive ground geophysical survey in the vicinity of
the Heimdall and Heimdall North zones. The primary objective was to detect economic orebody sized
anomalies suggesting a potential trap (or pod) of the widespread high-grade silver-copper mineralization.
With the deep-looking Orion survey and resistivity technology, multiple target zones were identified, out
of which four were prioritized for drilling. The geophysical survey was centered on the Heimdall and
Heimdall North zones, covering 39.2-line km of IP to pinpoint mineralization targets, complemented by
19.6km of Titan MT to map crucial structures and lithologies hosting the mineralization. Of particular
interest was the high chargeable plume beneath the discovery intersection at Heimdall North, which i s
down dip from the mineralization and the interpreted location for the source of the mineralization (Figure
1).
Figure 1. Target one of four from the 2023 Orion Survey at line 5600N showing a large anomaly below
hole 64 at the Heimdall North Zone
During the drilling at Heimdall North, a significant fault was encountered over the last 4 metres of hole 79
which was the first hole drilled into this plume . The fault contained sand and loose fault gauge which
prevented the completion of the hole . It is now thought that large fault, and especially the gauge in the
wide fault, which undercuts the mineralization at Heimdall North is potentially contributing to the
chargeability response beneath the zone and not an accumulation of sulfides.
The second target focused on an area to the south between Heimdall and the Heimdall North gap (see
Figure 2 for plan map), to the site of another chargeability target in line with the trend from the Heimdall
zone. Hole SP-23-83 which intersected pyrite bearing argillite in the vicinity of the target suggesting the
next anomaly was argillite and not a sulfide trap . The balance of the chargeability anomalies has been
explained largely by pyrite in argillite horizons, which are typically adjacent to the common style of
mineralization being sulphides and sulphosalts in dolostone.
The final two holes of the program were based on a structural interpretation of surface mapping and
detailed LiDAR survey data. Holes SP-23-84/85 targeted structural convergence and what appeared to be
a dilation zone which could host additional mineralization 200m north of hole 64 and 600m north of the
Heimdall Zone. Both holes intersected high -grade silver-copper mineralization (see figure 3 and 4). This
structural corridor, in particular dilation zones along it, will be part of the focus of future work at Sail Pond
as we continue to work towards identifying the source of the widespread near surface mineralization.
Adeline Project Update
The Company has completed its 2023 field work program at its Adeline Project in Labrador . A total of
1,930m was drilled, and the Company is currently waiting on assays from ALS. Due to the nature of some
of the mineralization extra steps were taken to ensure full collection of copper , which has delayed the
timeline for assays. The expectation is that all assays will be complete near the end of the month.
Mathew Wilson, CEO of Sterling states, “Although the outcome from our recent drilling at Sail Pond didn’t
align with our expectations following the Orion survey, we are encouraged by the broader structural
targeting that led to additional high grade yet narrow intercepts. We are actively evaluating the
implications of this on our understanding of the property. Additionally, we hope to have Adeline assays
out in the near future and thank our shareholders for their support and patience. With a strong treasury
of over $4.5 million, and a dedicated exploration team with a track record of success, we remain excited
and committed to diligent exploration in what we believe to be a Tier 1 jurisdiction.”
Figure 2. Plan map of 2023 hole locations and known mineralization.
Figure 3. Core photo of high-grade mineralization in hole SP-23-085 from 208.97m to 209.29m
Figure 4. Core photo of high-grade mineralization in hole SP-23-084 from 279.9m to 280.15m
Table 1. Reported assay intervals from 2023 Sail Pond drilling.
Drillhole From
(m)
To (m) Length (m) AgEq (g/t) Ag (g/t) Cu (%) Pb (%) Zn (%) Sb (%)
SP-23-079 98.08 98.43 0.35 209.7 79 0.094 3.89 0.014 0.042
SP-23-080 236 236.25 0.25 110.2 62 0.25 0.17 0.18 0.06
SP-23-081 No Significant Results
SP-23-082 Hole stopped due to hole alignment issue
SP-23-082A Hole stopped due to fault zone
SP-23-083 No Significant Results
SP-23-084 278 280.15 2.15 93.6 40 0.16 0.22 0.70 0.038
inc 279.9 280.15 0.25 718.3 303 1.26 1.54 5.59 0.28
and 287.7 288 0.3 411.4 205 0.73 2.74 0.39 0.20
SP-23-085 208 210.35 2.35 265 147 0.71 0.17 0.14 0.18
inc 208.97 209.29 0.32 1665.3 932 4.51 0.93 0.76 1.12
and 277.45 305.45 28 28.1 8.5 0.037 0.12 0.27 0.019
inc 279.92 280.17 0.25 259.4 105 0.42 0.82 1.83 0.14
inc 288.25 288.6 0.35 201.7 2 0.019 0.06 5.81 0.016
inc 299 299.25 0.25 145.6 10 0.044 2.88 0.36 0.198
inc 300.55 301 0.45 208.9 110 0.39 0.31 0.94 0.10
1. See Figure 2 and Table 2 for drillhole locations.
2. All reported depths and intervals are drill hole depths and intervals unless otherwise noted, and do not
represent true thicknesses, which have yet to be determined.
Table 2. Reported 2023 Sail Pond hole locations and directions.
Hole ID Easting Northing Elevation (m) Azimuth Dip Final Depth
(m)
SP-23-079 575543 5653059 63.4 290 -65 343
SP-23-080 575653 5653012 75 290 -65 493
SP-23-081 576255 5652556 106 280 -45 208
SP-23-082 575502 5653080 66.18 290 -45 54
SP-23-082A 575502 5653080 66.18 295 -45 108
SP-23-083 575376 5652667 78 295 -45 178
SP-23-084 575741 5653185 73 290 -45 352
SP-23-085 575741 5653185 73 290 -55 322
Silver Equivalent Calculation
Silver equivalent (Ag Eq) values were calculated using the following formula:
((Ag_oz*$USAg_price/oz)+(Cu_lb*$USCu_price/lb)+(Pb_lb*$USPb price/lb)+(Sb
b*$USSb_price/lb)+(Zn_lb*$USZn_price/lb))/$USAg_price/oz.
Silver equivalent grade calculations are based on the current spot metal prices and are provided for
comparative purposes only. This approach reflects the polymetallic nature of the mineralization. Metal
spot prices as at the close of the London Metals Exchange November 23, 2023 were applied and include:
Ag – $US 22.96/oz; Cu – $US3.57/lb; Zn – $US1.11/lb; Pb – $US 0.97/lb. The Sb – $US 6.01/lb price applied
was sourced from Argus Media, a recognized provider of energy and commodity price benchmarks. The
Company has yet to complete metallurgical test work to confirm individual metal recoveries. At this stage
there is no reason to expect different recoveries for each metal or way to apply unique recoveries, and
thus a constant recovery of 100% for each metal has been applied. Metallurgical tests will be required to
establish recovery levels for each element reported.
Quality Assurance/Quality Control – Sampling Procedures
All drill holes are diamond core with NQ diameter. Drill core is delivered by truck to the Sterling Metals
secure core logging and sampling facility in Roddickton, NL. All core is photographed, logged and sampled
by the Sterling Metals exploration team. Dr ill core was halved by sawing with diamond saw blade at the
Sterling core facility and half -core samples were placed in pre -labelled clear sample bags with a unique
sample ID tag, sealed with a zip tie, and then placed into rice bags sealed with security t ags and securely
and securely stored at the facility until being delivered to SGS Grand Falls site by commercial transport.
Analytical services were provided by SGS Canada Inc., which is an independent, CALA-accredited analytical
services firm registered to ISO 17025 standard. Samples were crushed to 75% passing 2mm mesh, split to
250g, and pulverized to 85% passing 75 micron mesh. Multi-element analyses, including base metals, were
conducted on pulverized material using the sodium -peroxide fusion ICP AES finish method for 29
elements. Laboratory over-limits analysis methods were applied as required. In addition, an aqua -regia
digest with AES finish for 1 -300 ppm silver, over limits analyzed with fire assay and gravimetric finish. A
systematic QAQC protocol was employed that includes systematic insertion in the sample stream of
certified reference materials and blank samples, plus analysis of duplicate core and pulp splits.
Qualified Person
Jeremy Niemi, P.Geo., Senior Vice President, Exploration and Evaluation for Sterling Metals has reviewed
and approved the technical information presented herein.
About Sterling Metals
Sterling Metals (TSXV: SAG and OTCQB: SAGGF) is a mineral exploration company focused on large scale
and high-grade Canadian exploration opportunities. The Company is advancing the Adeline Project in
Labrador which covers an entire sediment-hosted copper belt, with demonstrated potential for important
new copper discoveries with significant silver credits, and the Sail Pond Project in Newfoundland.
For more information, please contact:
Sterling Metals Corp.
Mathew Wilson, CEO and Director
Tel: (416) 643-3887
Email: [email protected]
Website: www.sterlingmetals.ca
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