Canada Nickel confirms second notable discovery at new property in Ontario

Canada Nickel Co. (TSXV: CNC; OTC: CNIKF) has confirmed a second significant discovery through new assay results from its Deloro property in Ontario, acquired by the miner less than one year ago.

Deloro is located 9 km southeast of Timmins and contains an ultramafic target that measures 1.4 km north-south by 450 metres east-west based on the total magnetic intensity (TMI). Ultramafic lithologies and nickel mineralization have been found throughout the target anomaly.

Highlights from recent drilling include hole DEL22-01, which intersected 487 metres of 0.25% nickel with a higher-grade section near the bottom of the hole intersecting 0.28% nickel over 91 metres. Hole DEL 22-09 also intersected 393 metres of 0.26% nickel.

Mark Selby, chair and CEO of Canada Nickel, said in a comment that the positive results from Deloro follow the company’s successful delineation of its target mineralization and grades throughout the deposit. 

“Deloro now joins Reid as another significant, sizeable nickel discovery and we look forward to continued success as we continue exploration around our regional properties, developing what we believe has the potential to be one of the world’s leading nickel districts,” he said.

In November 2021, Canada Nickel announced its acquisition of 13 properties — including Deloro and Reid – to consolidate its district-scale mining potential in the Timmins area of Ontario. These projects are located within a radius of 95 km of the company’s flagship Crawford nickel sulphide project.

The Crawford project is said to contain the fifth-largest nickel sulphide resource globally following a recent update, totalling 1.4 billion tonnes grading 0.24% nickel in the measured and indicated category and 670.1 million tonnes grading 0.23% nickel in the inferred category.

The project’s preliminary economic assessment (PEA) based on prior resource estimates outlined a 25-year operation that would produce 842,000 tonnes of nickel.

Shares of Canada Nickel were trading at $1.66 as of mid-day Wednesday in Toronto. Its shares have traded in a 52-week window of $1.40 and $4.01. It has a market cap of $188 million.