News Release - October 29, 2013
Pure Nickel Inc. confirms extensive Ni-Cu-Co-PGE mineralization on the MAN property, Alaska
Highlights:
- Drill holes encounter broad intervals of Nickel (Ni) - Copper (Cu) - Cobalt (Co) - Gold (Au) - Silver (Ag) - Platinum (Pt) - Palladium (Pd) mineralization in the Alpha mafic-ultramafic complex
- Drill results, coupled with previous work, define what is now interpreted as a continuous zone of disseminated sulphide mineralization - the Eureka Zone - extending a minimum of 15 km along strike in the Alpha Complex
- The Eureka Zone potentially represents a very large magmatic sulphide deposit with similarities to the Dumont project of Royal Nickel Corporation
TORONTO: October 29, 2013. Pure Nickel Inc. (TSX-V: NIC) is pleased to announce results for the 2013 summer field program at its MAN property in south central Alaska. The MAN property is the subject of a joint venture agreement with ITOCHU Corporation of Tokyo, Japan. ITOCHU currently holds a 30% interest in the MAN property, and can earn up to a 75% interest by funding a total of US$ 40 million in exploration.
The 2013 field program on the MAN property was completed between May 29th and August 28th. The program included an eight hole, 2,991 meter drill program primarily targeting the Eureka Zone in the central part of the Alpha Complex, as well as prospecting and mapping work in various parts of the property.
The 2013 drill program successfully intersected the Eureka Zone, first recognized in 2012 (see press releases January 23, 2013 and May 23, 2013), in six of the seven holes that were targeted, with one hole being abandoned in a fault zone. An eighth hole, PNI-13-70, targeted coincident Induced Polarization (IP) and soil geochemical anomalies to the south of the Eureka Zone.
The drill results confirm the presence of what is now interpreted as a continuous zone of magmatic sulphide mineralization containing elevated concentrations of Ni, Cu, Co, Au, Ag, Pt and Pd. Estimated true widths of intersection for 2013 drill holes cutting the Eureka Zone in the central Alpha segment range from 120 m to 250 m. Composite intersection grades across the mineralized zone in the drill holes range from 123 ppb to 212 ppb Au+Pt+Pd, 0.05-0.16% Cu, and 0.17-0.24% Ni. The mineralization also includes minor Ag and Co. Higher grade mineralization over narrower widths is present in most of the holes. 2013 drill results are summarized in Table 1, and collar locations are indicated on the accompanying map. For ease of comparison to other occurrences, metal values are also reported as in situ Ni Equivalent (Ni EQ.) %. Metal prices used in metal equivalent calculations were derived from metal price forecasts (see note 3 in Table 1 for prices) reported in various recently published Preliminary Economic Assessments and Feasibility studies for other deposits. The reader is warned that use of metal equivalent values requires assumptions regarding metal prices that are subject to change.
Table 1. Summary of intersections for 2013 drilling on the MAN project.
|
Drill Hole |
From
(m) |
To
(m) |
2Estimated
True Width
(m) |
Au
(ppb) |
Pt
(ppb) |
Pd
(ppb) |
Co
(%) |
Cu
(%) |
Ni
(%) |
Ag
(g/t) |
3Ni EQ.
(%) |
| PNI-13-068 |
Abandoned in Fault Zone |
| 1PNI-13-069 |
160.3 |
373.7 |
205.2 |
19 |
61 |
122 |
0.017 |
0.09 |
0.24 |
0.72 |
0.34 |
| PNI-13-070 |
No Significant Intersections |
| PNI-13-071 |
99.4 |
247.0 |
146.8 |
14 |
46 |
76 |
0.015 |
0.08 |
0.17 |
0.57 |
0.25 |
|
And |
328.0 |
342.7 |
14.6 |
21 |
64 |
127 |
0.016 |
0.16 |
0.19 |
1.19 |
0.31 |
| PNI-13-072 |
217.0 |
432.5 |
162.6 |
13 |
49 |
104 |
0.017 |
0.08 |
0.20 |
0.45 |
0.29 |
| 1PNI-13-073 |
245.5 |
376.7 |
130.5 |
16 |
52 |
118 |
0.016 |
0.07 |
0.22 |
0.36 |
0.30 |
| 1PNI-13-074 |
198.0 |
453.2 |
253.9 |
11 |
38 |
91 |
0.016 |
0.06 |
0.20 |
0.34 |
0.27 |
| 1PNI-13-075 |
73.0 |
116.7 |
43.4 |
11 |
46 |
105 |
0.016 |
0.06 |
0.23 |
0.34 |
0.30 |
|
And |
254.0 |
377.0 |
122.4 |
11 |
33 |
80 |
0.015 |
0.05 |
0.17 |
0.18 |
0.23 |
| |
| 1Incomplete Intersection of zone |
| 2True width estimated from hole angle and average dip of mineralization (46�) |
| 3Calculated using metal prices of US$ 1500/oz for Au, US$ 1500/oz for Pt, US$ 700/oz for Pd, US$ 14/lb for Co, US$ 3.5/lb for Cu, US$ 9/lb for Ni and US$ 20/oz for Ag |
| m=meters, ppb = parts per billion, g/t = grams per tonne |
The Eureka Zone extends over a minimum strike length of 15 km as defined by drilling and mapping. Prior years' drilling in the zone has encountered intersections ranging up to 320 m estimated true thickness, with metal grades for complete intersections ranging up to 0.36 Ni EQ. %. Results for previous drill holes that have encountered the zone are summarized in Table 2, and shown on the accompanying map. Given that the Alpha Complex as a whole stretches for more than 30 km along strike it is likely that additional work could extend the Eureka Zone even further than the 15 km strike now known.
Table 2. Summary of intersections for prior drill holes in the Eureka Zone.
|
Drill Hole |
From
(m) |
To
(m) |
2Estimated True
Width
(m) |
Au
(ppb) |
Pt
(ppb) |
Pd
(ppb) |
Co
(%) |
Cu
(%) |
Ni
(%) |
Ag
(g/t) |
3Ni EQ.
(%) |
| 1,4MAN05-01A |
35.0 |
136.8 |
99.9 |
23 |
79 |
49 |
0.017 |
0.08 |
0.25 |
N/A |
0.34 |
| 1PNI-07-002 |
100.6 |
388.0 |
246.4 |
11 |
54 |
37 |
0.016 |
0.02 |
0.21 |
0.20 |
0.26 |
| 1,4FL-004 |
108.8 |
242.6 |
114.7 |
24 |
52 |
35 |
0.015 |
0.05 |
0.20 |
0.00 |
0.26 |
| PNI-10-028 |
201.0 |
488.4 |
226.4 |
10 |
38 |
82 |
0.016 |
0.07 |
0.21 |
0.41 |
0.28 |
| PNI-10-029 |
172.1 |
399.0 |
211.8 |
6 |
34 |
77 |
0.015 |
0.04 |
0.21 |
0.36 |
0.27 |
| PNI-10-030 |
377.7 |
729.5 |
284.6 |
11 |
39 |
74 |
0.016 |
0.06 |
0.20 |
0.44 |
0.28 |
| 1PNI-10-033 |
210.2 |
496.0 |
231.2 |
20 |
36 |
62 |
0.017 |
0.05 |
0.21 |
0.37 |
0.27 |
| 1PNI-10-035 |
192.4 |
471.0 |
224.6 |
8 |
39 |
81 |
0.017 |
0.06 |
0.23 |
0.40 |
0.30 |
| 1PNI-12-063 |
146.6 |
241.7 |
94.8 |
31 |
97 |
156 |
0.018 |
0.15 |
0.24 |
1.11 |
0.37 |
| 1PNI-07-001 |
397.5 |
659.0 |
211.6 |
10 |
50 |
114 |
0.018 |
0.08 |
0.24 |
0.56 |
0.33 |
| 1PNI-10-036 |
163.2 |
559.9 |
319.7 |
13 |
54 |
121 |
0.018 |
0.09 |
0.25 |
0.59 |
0.34 |
| 1,4FL-006 |
185.0 |
382.8 |
160.0 |
14 |
57 |
115 |
0.019 |
0.09 |
0.24 |
N/A |
0.34 |
| 1,4FL-003 |
60.2 |
393.2 |
269.4 |
12 |
54 |
117 |
0.017 |
0.08 |
0.21 |
N/A |
0.30 |
| 1,4MAN05-5 |
Insufficient Sampling |
| 1,4PNI-09-20 |
192.5 |
394.0 |
200.4 |
7 |
N/A |
N/A |
0.014 |
0.02 |
0.24 |
0.11 |
0.28 |
| |
| 1Incomplete intersection of the Eureka Zone |
| 2True width estimated from hole angle and average dip of mineralization (46�) |
| 3Calculated using metal prices of US$ 1500/oz for Au, US$ 1500/oz for Pt, US$ 700/oz for Pd, US$ 14/lb for Co, US$ 3.5/lb for Cu, US$ 9/lb for Ni and US$ 20/oz for Ag |
| 4Not Continuously Sampled |
| N/A No Assays Reported |
| m = meters, ppb = parts per billion, g/t = grams per tonne |
The thickness, strike length, and continuity of the Eureka Zone indicate that there is the potential to delineate a very significant tonnage of sulphide mineralization from which potentially recoverable metals would include Ni, Cu, Co, PGE, Au and Ag. The metal grades and scale of a potential deposit in the Eureka Zone may be similar to that of the very large Dumont project of Royal Nickel Corporation, who recently published a positive feasibility study on the project. There are currently insufficient drilling data to define a NI 43-101 compliant resource in the Eureka Zone.
Dave McPherson, President and CEO of Pure Nickel Inc. stated "The results of our 2013 drilling program confirmed our interpretations regarding the scale and continuity of the Eureka Zone. We feel that we have made a significant discovery on the MAN property, and we believe the zone has the potential to develop into a very large deposit. We look forward to 2014 when we hope to start the resource delineation process".
Sample Procedures
Drilling diameter was HQ or NQ (47.6 or 63.5 mm). Core was transported from the drill sites to a processing facility where it was logged and sampled. The entire holes were sampled, with a standard sample size of 1.5 m, and 0.5m to 1.0m samples in mineralized intervals. The drill core was cut in half by diamond saw, with half placed in polyethylene sample bags. The remaining half was returned to the core boxes for storage. Alternating blanks and standards were inserted in the sample stream at a rate of two blanks and two standards per 96 unknown samples. The samples were packed in bags and shipped by barge and truck to Acme Labs or ALS Minerals prep lab facilities in Fairbanks, where the samples were logged, crushed to 80% passing -10 mesh, and pulverized to 85% passing -200 mesh (Acme method code R200-250, ALS Minerals method code Prep-31). Pulps were shipped to Vancouver where they underwent chemical analysis by 30g Pb-collection Fire Assay with Inductively Coupled Plasma - Emission Spectrometry (ICP-ES) finish for Pt, Pd and Au (Acme method code 3B, ALS Minerals method PGM-ICP23), and by 0.25g multi-acid digestion (Aqua Regia-HF) followed by Inductively Coupled Plasma-Mass Spectrometry (ICP-MS) analysis of a multi-element package (Acme method code 1EX, ALS Minerals method code ME-MS61).
Jon Findlay, Ph.D., P.Geo, Pure Nickel's senior geologist, supervised work on the MAN project, and reviewed the technical content of this press release. Dr. Findlay is a Qualified Person (QP) for the Man project, as defined by NI 43-101.
About the MAN project
The MAN Nickel (Ni) - Copper (Cu) - Platinum Group Element (PGE) Alaska property is located at the junction of the Denali and Richardson highways in south-central Alaska, approximately 250 kilometres southeast of Fairbanks. The property consists of both state and federal claims, with a total area of 47,208.1 hectares. Five discrete mafic-ultramafic intrusive complexes occur on the property, the largest of which, the Alpha complex, measures approximately 33 kilometres by 3 kilometres.
About ITOCHU Corporation
Headquartered in Tokyo, Japan, ITOCHU is a publicly listed multi-billion dollar conglomerate, with a history spanning more than 150 years. The company operates through 9 offices in Japan and 117 offices overseas. ITOCHU is engaged in domestic trading, import/export, and overseas trading of various products such as textiles, machinery, information and communications-related products, metals and mineral resources, products related to coal, oil and other energy sources, general merchandise, chemicals, and provisions and food. The joint venture with Pure Nickel is through ITOCHU's 100% subsidiary held by Metals & Mineral Resources Division, Metals & Minerals Company.
About Pure Nickel Inc.
Pure Nickel is a mineral exploration company with a diverse collection of nickel, copper and platinum group element exploration projects in North America. In 2013 the Company was active at its flagship MAN property in Alaska, which is fully funded under an option agreement with Itochu Corporation of Tokyo, Japan. In addition, the Company is awaiting permitting for a drill program on its 100% owned Salt Chuck property in south-eastern Alaska.
Forward Looking Statements
Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding potential mineralization and resources, exploration results, expectations, plans, and objectives of Pure Nickel are forward-looking statements that involve various risks. The following are important factors that could cause Pure Nickel's actual results to differ materially from those expressed or implied by such forward-looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future exploration activities and cash flows, and the uncertainty of access to additional capital. There can be no assurance that forward-looking statements will prove to be accurate as actual results and future events may differ materially from those anticipated in such statements. Pure Nickel undertakes no obligation to update such forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on such forward-looking statements.
Neither TSX Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information:
|
Pure Nickel Inc.
David McPherson
T. (416) 644-0066
info@purenickel.com
www.purenickel.com |
CHF Investor Relations
Cathy Hume
T. (416) 868-1079 x 231
cathy@chfir.com
www.chfir.com |
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Copyright � 2013 Pure Nickel Inc. (NIC) All rights reserved. For more information visit our website at http://www.purenickel.com/ or send email to info@purenickel.com
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