Victory Nickel drills 102 m of 0.9% Ni at Minago
2010-05-28 14:47 ET - News Release
Mr. Paul Jones reports
MINAGO DRILLING CONTINUES TO RETURN EXCEPTIONAL INTERSECTIONS
Victory Nickel Inc. has released positive results from six more drill holes on its 100-per-cent-owned Minago sulphide nickel deposit in Manitoba's Thompson nickel belt. The results of the 2010 winter program continue to demonstrate the presence of additional nickel mineralization in parts of the deposit that to date have been under-drilled.
These new intercepts are significant because mineralization that was previously considered waste in the Minago Definitive Feasibility Study (DFS) can now be included to enhance project economics. Further intervals of significant nickel grade may increase the overall grade of the deposit.
"The results provide continuing confirmation of the widespread nature of nickel mineralization at Minago as well as the presence of significant domains of strong nickel grade within the deposit," said Paul Jones, Vice-President, Exploration. "These very wide intersections confirm the extraordinary nickel endowment at Minago - one of Canada's largest undeveloped sulphide nickel resources."
These holes comprise part of a 23 drill-hole program that targeted the portion of the Minago Nose Deposit resource located within the confines of the contemplated open pit. (Three additional holes were drilled on the North Limb mineralization to the north outside of the current resource area). The results tabulated here, combined with the results of seven holes previously reported, show significant total nickel intercepts that occur within an extensive domain of nickel mineralized ultramafic rock that define the global resource at Minago.
Length From Interval AssayDDH No. Location (m) (m) To (m) (m) (Ni %)V-10-07 23C 611 351.79 358.10 6.31 0.67and 376.31 379.55 3.24 1.15and 502.23 513.35 11.12 1.55and 523.34 544.74 21.40 0.42V-10-09 30E 339 176.36 233.96 57.60 0.47including 220.23 233.96 13.73 0.80and 311.60 318.32 6.72 0.76V-10-10 25C 313 147.42 248.40 100.98 0.95including 150.98 192.30 41.32 1.10including 206.86 248.40 41.54 1.09V-10-11 23C 423 161.50 353.15 191.65 0.51including 192.90 285.69 92.79 0.81V-10-14 22C 295 249.16 259.41 10.25 0.27V-10-15 15W 334 111.67 315.00 203.33 0.63including 126.00 228.00 102.00 0.90including 142.00 200.74 58.74 1.11
The Minago Deposit is folded about a near north-south oriented fold axis. The drill holes reported here are located on sections adjacent to or within the fold hinge at the centre of the deposit. Results reported here are total nickel values. All intervals reported in this news release are core lengths. True widths have not yet been established. All analytical results were produced by TSL Laboratories of Saskatoon, Saskatchewan.
The current work program is in large part directed at expanding the near-surface resource at Minago to further enhance the economics of the deposit. As expected, drilling continues to intersect nickel mineralization at the top of the deposit near the contact with the immediately overlying sandstone (frac sand). This nickel mineralization was excluded by Wardrop, a Tetra Tech Company, from the resource and reserve estimates used in the Minago DFS due to a perceived lack of drill coverage (see news release dated March 31, 2010). In addition, a significant portion of in-pit resources currently classified as Inferred are expected to be upgraded to at least the Indicated category for inclusion in future economic evaluations.
The drill program is being supervised by Paul Jones, Vice-President, Exploration for Victory Nickel, who acts as QP under National Instrument 43-101 and has reviewed and approved the contents of this news release.
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