Mequillon strike length pulled eastward

High-grade nickel intersections in holes testing the northeastern extension of the Lac Mequillon deposit, in the Nunavik region of Quebec, have traced the deposit 1,000 metres along strike.

Operator Canadian Royalties (CZZ-T), which completed its drill program early in November, has received results from the easternmost drill holes on the deposit, 600 metres northeast of the limit of a conceptual pit drawn for a resource estimate last September. The two easternmost holes intersected disseminated to massive nickel and copper sulphides.

Hole 58 intersected 126 metres of sulphide mineralization, with average grades of 0.58% nickel, 0.88% copper, 0.03% cobalt, 0.46 gram platinum, 2.09 grams palladium and 0.15 gram gold per tonne. Included in that interval was a higher-grade interval of 11 metres that ran 1.82% nickel, 1.51% copper, 0.07% cobalt, 1.17 grams platinum, 6.41 grams palladium, and 0.14 gram gold per tonne.

Drilled from the same collar, hole 57 cut a 25-metre length of sulphides grading 0.45% nickel, 0.98% copper, 0.02% cobalt, 0.34 gram platinum, 1.54 grams palladium, and 0.08 gram gold per tonne. The style of mineralization on the northeast extension was very similar to other mineralized intersections at Mequillon. Royalties believes the mineralized zones have true widths at least 70% of the intersected core length, suggesting, for example, that the 126-metre zone cut in hole 58 is at least 88 metres wide.

Other drill holes about 500 to 600 metres northeast of the defined resource intersected significant grades over wide intervals. Hole 42, collared 600 metres northeast of the proposed pit, intersected 69.8 metres grading 0.54% nickel, 0.77% copper, 0.03% cobalt, 0.48 gram platinum, 1.80 grams palladium, and 0.15 gram gold per tonne. Hole 41, drilled from the same collar, cut a 6.2-metre zone of sulphides with grades of 0.59% nickel, 0.89% copper, 0.03% cobalt, 0.43 gram platinum, 1.91 grams palladium, and 0.21 grams gold.

An updated resource estimate is planned and metallurgical tests on mineralization from Mequillon and two nearby deposits, Mesamax and Expo-Ungava are ongoing.