Hi Ho Silver acquires 300 hectares in Labrador Ni belt
2015-09-24 16:54 ET - News Release
Mr. Dennis McKnight reports
HI HO SILVER ACQUIRES ADDITIONAL LAND IN THE LABRADOR NICKEL BELT
Hi Ho Silver Resources Inc. has entered into an agreement to acquire 100-per-cent interest in three mineral titles encompassing 300 hectares covering two additional tracts of land in the Labrador nickel belt of Canada. This area lies 30 kilometres south of the Voisey's Bay nickel mine.
One tract lies west of Hi Ho's previously discussed Plugger Hill claim group (see press release Sept. 21, 2015), south of the Garland project of Equitas Resources Corp. (EQT) and south of the newly expanded land block of Equitas on the west flank of their previous land holding as illustrated in the Equitas press release of Sept. 23, 2015.
This newly acquired tract encompasses an anomalous nickel sample numbered 290 (2,988 parts per million copper, 530 ppm nickel, 80 ppm cobalt) obtained by Cartaway Resources in previous exploration for nickel in the area, as referenced on a map and on page 37 in the archived assessment documents located on the website of the Newfoundland/Labrador Department of Natural Resources.
More deeply penetrating geophysical surveys that are now available may allow detection of potential deep sulphide masses developed below the complex surface geology described in the assessment reports (page 13) which reads as follows: "The presence of rafted fragments of sulphide-bearing, graphitic gneiss in a Nain Plutonic Suite gabbro sill intruding pink quartzofeldspathic gneisses is reminsiscent of the description of the Basal Breccia Sequence at the Eastern Deeps at the Voisey's Bay deposit 35 km to the north of claim blocs FP-C Q and R.
"The presence of zones of disseminated sulphides carrying elevated metal values (sample 277 -- 1,180 ppm copper, 1,361 ppm nickel and 526 ppm cobalt) in flat-lying to shallowly-dipping gabbro sills in a Nain Plutonic Suite mafic intrusive sequence is reminiscent of the targets in the Donner property (Teck joint venture ) 35 km to the south of claim blocks FP-C, Q and R."
The second tract lies on the east flank of the Garland project of Equitas and south of a land position recently acquired by Strike Diamond Corp., and south of a previously announced land acquisition by Hi Ho (press release Sept. 15, 2015). In consideration for 100-per-cent interest in the properties, with no retained net smelter royalty, the company will issue four million common shares at a deemed price of five cents per share to 0998601 B.C. Ltd., and Marcie Kiesman upon closing date of the transaction, which is anticipated to be on or before Sept. 30, 2015. The shares will be subject to a hold period expiring four months plus one day from the date of issuance.
Recent staking activity has accelerated in the Labrador nickel belt based on renewed interest in nickel exploration in this prominent nickel production area. Strike Diamond Corp. has acquired a land position on the east flank of the Equitas Garland project where Hi Ho's most recent acquisition is also located. A number of other land positions have been staked with the ownership still being established.