TORONTO, Sept. 25, 2018 /CNW/ - Nickel Creek Platinum
Corp. (TSX: NCP) ("Nickel Creek" or the "Company") announces an
update on the status of its Nickel Shäw Project (the "Project")
located in the Yukon,
Canada.
Following the conclusion of its Phase II Metallurgical Program,
the Company embarked on further work toward completing a
preliminary economic assessment ("PEA"). During the course of
the Phase II Metallurgical Program, the Company reported that it
had identified a strong correlation between nickel recovery and
total sulphide content (see news release dated July 10, 2018). Specifically, it was determined
that the presence of sulphides (namely sulphur in pyrrhotite) was
an important marker of nickel recovery, meaning that the areas of
higher sulphur yielded higher recoveries, and areas of lower
sulphur yielded lower recoveries, irrespective of nickel head grade
which remains relatively consistent throughout the deposit. The
Company has incorporated these findings into a nickel-sulphur
recovery formula and tested it against numerous recent and
historical metallurgical testwork results. This review has
demonstrated a high correlation between the nickel-sulphur recovery
model and actual nickel recovery results.
The Company has analysed the impact of this new relationship on
the Project. The nickel recovery correlation to sulphur results in
a reduction in the average nickel recoveries to levels below those
observed in our Phase II Metallurgical Program. By applying the
nickel sulphur recovery formula discussed above, the Company
estimates that the Project's 2017 stated mineral resource tonnage
would be reduced by approximately 10% using a nickel price of
US$8.25 per pound (see table below).
Given this new understanding, combined with current and projected
long term commodity prices and financial market conditions, the
Company believes it wouldn't be prudent to complete a PEA until the
emergence of improved financial market conditions and a stronger
commodity price environment, and notionally not until nickel prices
settle in the range of at least US$9.00 to US$11.00
per pound. Any decision at that time will need to factor in all
relevant considerations, including but not limited to commodity
pricing, mine plan, capital and operating costs, metal recoveries
and capital market conditions.
In the interim, the Company will follow-up on the 2018 field
season program (as described below), maintain environmental
baseline activities, consider optimization alternatives and
investigate other opportunities.
Diane Garrett, President and CEO
commented: "The Nickel Shäw Project is a large undeveloped nickel
sulphide project in one of the most favourable jurisdictions in the
world, with a unique mix of metals including copper, cobalt,
platinum group metals and gold. While we have made several
significant achievements on the technical understanding of the
Project, like many nickel projects today, the Nickel Shäw Project
will require higher commodity prices for its development. The
Project remains a flagship asset of the Company and a significant
option on nickel. The growing demand in the battery market,
combined with the size, location and infrastructure of the Nickel
Shäw Project, uniquely positions the Company with leverage to
nickel, copper and cobalt – the metals for the new economy. With
the continued support of our large shareholders, we will seek
additional opportunities to create value for all shareholders in
the interim."
New Resource Report
With the new information from the metallurgical testwork
described above, the Company has updated the Mineral Resource for
the Nickel Shaw Project.
Nickel Creek
Platinum
Nickel Shaw
Project
Mineral Resources
on 24 September 2018
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Contained
Metal
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Class
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Ktonnes
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Nickel
%
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Copper
%
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Cobalt
%
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Platinum
gm/t
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Paladium
gm/t
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Gold
gm/t
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Ni
M Lbs
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Cu
M Lbs
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Co
M Lbs
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Pt
K Ozs
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Pd
K Ozs
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Au
K Ozs
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Measured
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93,300
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0.25
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0.17
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0.015
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0.262
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0.244
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0.054
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514
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350
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31
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786
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732
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162
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Indicated
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230,100
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0.27
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0.15
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0.015
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0.249
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0.259
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0.043
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1,370
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761
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76
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1,842
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1,916
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318
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Total M+I
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323,400
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0.26
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0.16
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0.015
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0.253
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0.255
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0.046
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1,884
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1,111
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107
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2,628
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2,648
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480
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Inferred
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108,100
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0.29
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0.15
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0.016
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0.256
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0.279
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0.040
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691
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357
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38
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890
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970
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139
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Notes:
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Mineral Resources do
not have demonstrated economic viability
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The Qualified Person
for the Mineral Resource is John Marek RM-SME, Professional
Engineer Yukon Territory
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Average grade
calculations on this table are impacted by rounding.
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Tonnages are reported
in units of 1,000 metric tonnes (Ktonnes)
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Contained Based Metal
reported in units of 1,000,000 lbs, M Lbs
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Contained Precious
Metal reported in units of 1,000 troy ounces, K Ozs
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Metal Prices for
Resource Determination in USD:
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Nickel: $8.25/lb,
Copper: $3.00/lb, Cobalt: $24.00/lb,
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Platinum: $1,200/troy
oz, Palladium: $900/troy oz, Gold: $1,300/troy oz
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Net of Smelting (NSR)
cutoff grades range from $11.51 to $11.74 U.S. Dollars
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The Company will be filing a new resource report pursuant to
National Instrument 43-101 within 45 days.
2018 Field Season Program
The Company has completed its 2018 field season program,
designed to build upon the substantial endowment potential within
the Project area. The current resource area spans a 2.2 km strike
length along an 18 km trend of potential host lithologies within
the 146 km2 land package held by the
Company. Following up on the 2017 mapping program, the Company
initiated a geophysics program in June of this year to test several
of the prospective yet underexplored targets, including: the
western extension of the deposit, as well as Arch, Quill, North
Arm, South Shallow and Lower Contact. The program incorporated a
comprehensive induced polarization/resistivity ("IP") survey to
potentially locate additional disseminated sulphides. Through this
work, the Company aims to identify additional drill targets along
the strike length of the system.
The Company expects to have all data received and analysed in
the fourth quarter of 2018.
About Nickel Creek Platinum Corp.
Nickel Creek Platinum Corp. (TSX: NCP; OTCQX: NCPCF) is a
Canadian mining exploration and development company advancing its
100%-owned Nickel Shäw Project. The Project has exceptional access
to infrastructure, located three hours west of Whitehorse via the paved Alaska Highway, which further offers
year-round access to deep-sea shipping ports in southern
Alaska. The Company is also investigating other
opportunities.
The Company is led by a management team with a proven track
record of successful discovery, development, financing and
operation of large-scale projects. Our vision is to create value
for our shareholders by becoming a leading North American nickel,
copper, cobalt and PGM producer.
Qualified Persons
The scientific and technical information disclosed in this news
release in relation to metallurgical testing, including with
respect to the Phase II Metallurgical Program, was reviewed and
approved by Gordon Marrs, P. Eng.,
of XPS who is a "Qualified Person" as defined in NI 43-101 –
Standards of Disclosure for Mineral Projects ("NI 43-101"), and an
independent consultant to the Company. The technical information
disclosed in this news release in relation to the Nickel Shäw
resource was reviewed and approved by John
Marek of IMC. Mr. Marek is a "Qualified Person" as
defined in NI 43-101, and an independent consultant to the Company.
All other scientific and technical information disclosed in this
news release was reviewed and approved by James Berry, Nickel Creek's Chief Geologist and
a "Qualified Person" as defined in NI 43-101. Please see the
technical report dated June 26, 2017,
filed under the Company's profile at www.sedar.com, for a
description of the Company's data verification and QA/QC
procedures.
Cautionary Note Regarding Forward-Looking Information:
This news release includes certain information that may be deemed
"forward-looking information". Forward-looking information can
generally be identified by the use of forward-looking terminology
such as "may", "will", "expect", "intend", "believe", "continue",
"plans" or similar terminology, or negative connotations thereof.
All information in this release, other than information of
historical facts, including, without limitation, regarding the
results of technical test work, the estimated mineral
resource, the prospect of any future potential economic viability
of the Project, future commodity prices and the potential for them
to improve, that a PEA will ever be completed, the potential to
identify additional mineralization beyond the known resource,
timing of further work on the Project, future demand for
nickel and copper concentrates, future demand for battery products,
the ability of the Company to identify additional opportunities to
create shareholder value, and general future plans and objectives
for the Company and the Project, are forward-looking information
that involve various risks and uncertainties. Although the Company
believes that the expectations expressed in such forward-looking
information are based on reasonable assumptions, such expectations
are not guarantees of future performance and actual results or
developments may differ materially from those in the
forward-looking information.
For more information on the Company and the key assumptions,
risks and challenges with respect to the forward-looking
information discussed herein, and about our business in general,
investors should review the Company's most recently filed annual
information form, and other continuous disclosure filings which are
available at www.sedar.com. Readers are cautioned not to place
undue reliance on forward-looking information. The Company does not
undertake to update any forward-looking information, except in
accordance with applicable securities laws.
SOURCE Nickel Creek Platinum Corp.