Highlights
- Initial metallurgy work yields excellent nickel and cobalt
recoveries producing high-grade concentrates:
-
- Nickel recoveries of 79 - 84%
- Cobalt recoveries of 77 - 83%
- Final concentrate grades of 18 - 28% nickel with up to 0.7%
cobalt
- Simple process can be used and would provide significant
flexibility for potential toll milling opportunities
- Company acquires 9,520 hectares of mining claims covering 20
kilometres of strike length with the potential to host Texmont
style mineralization
TORONTO, June 22,
2023 /CNW/ - Canada Nickel Company Inc. ("Canada
Nickel" or the "Company") (TSXV: CNC) (OTCQX: CNIKF) is pleased to
announce the initial results from preliminary metallurgical test
work on the first set of samples from the Texmont Nickel Sulphide
Project, which demonstrates a range of grades could be processed
using a simple process flowsheet and recoveries that meet or exceed
historical results.
Mark Selby, CEO said, "Texmont
continues to deliver excellent results, with initial metallurgy
yielding nickel and cobalt recoveries and concentrate grades
exceeding our expectations. Further, these results were achieved
with a simple flowsheet which will maximize potential opportunities
to toll mill our initial production. I look forward to the next
phases of work while we complete our initial resource
on Texmont and complete a Preliminary Economic Analysis
("PEA") by year-end."
Mr. Selby continued, "Given our success at Texmont, we
capitalized on the opportunity to acquire regional mining claims,
consolidating 20 kilometres of property with the potential to find
more Texmont-style deposits. We have signed a total of 10
agreements which consolidate 9,520 hectares of mining claims. We
view this as an important and highly prospective addition to our
Timmins Nickel District."
Description of Results
The Texmont property is a past producing mine, located
approximately 36 kilometres south of Timmins, that contains a large ultramafic
body. Through analysis of historic drill data and supported by new
drilling (refer to news release June 1,
2023), Canada Nickel has identified a near surface, high
grade zone of > 1% nickel wrapped within a moderate-high grade
zone of 0.6 to 1.0% nickel. The company is evaluating the potential
for near term production from Texmont through open pit mining of
this moderate-high grade material.
Table 1 summarizes the results of open circuit testing completed
at XPS (A Glencore Company), on three samples from Texmont, with
head grades ranging from 0.67 – 1.52% nickel. The samples were
selected to represent the moderate-high grade zone of the deposit
and were tested using a simple flowsheet with samples ground to 100
microns, that does not require desliming, and which offers
flexibility for toll milling. Nickel recoveries were in the range
of 79 to 84%, while cobalt recoveries were similarly high, ranging
from 77 to 83%. The mineralization shows excellent upgrading
potential, with final cleaner concentrate grades between 18 to 28%
nickel and 0.44 to 0.70% cobalt, which is considered a high-grade
concentrate for material with pentlandite style mineralization. The
Company is very encouraged by these results, which are in line with
and exceeding the historical results documented in the 2007
Fletcher Nickel NI 43-101 report, supporting the potential for a
near term open pit operation.
Table 1. Open Circuit Metallurgical Test Results at
Texmont
|
Head
Grades
(%)
|
Rougher
Recovery1
(%)
|
Final Cleaner
Concentrate Grade1
(%)
|
Sample
ID
|
Ni
|
Co
|
S
|
Ni
|
Co
|
Ni
|
Co
|
Sample 1
|
1.52
|
0.038
|
1.46
|
84
|
83
|
28
|
0.70
|
Sample 2
|
1.04
|
0.028
|
0.97
|
81
|
79
|
26
|
0.68
|
Sample 3
|
0.67
|
0.017
|
0.68
|
79
|
77
|
18
|
0.44
|
1
The grades and recoveries in Table 1 are from open cycle tests
and should be considered indicative of what could be achieved in a
locked cycle test. Final results will be determined by completing
locked cycle testing in the next phase of metallurgical
work.
|
Next Steps in Metallurgical
Testing
Through the summer months, Canada Nickel expects to finalize the
metallurgical flowsheet by conducting locked cycle and
metallurgical variability tests. This test program will be used to
define recovery equations for the Texmont PEA, which is expected to
be released by the end of 2023.
Acquisition of Texmont
Trend
Canada Nickel, through a series of ten Purchase and Sale
Agreements (including one previously announced for 54,000 common
shares) has acquired 403 additional mining claims within the
Texmont ultramafic trend. The Company will issue a total of 515,400
common shares (461,400 and 54,000) and make cash payments totaling
$300,550. Each of the foregoing
issuances of common shares are subject to the prior approval of the
TSX Venture Exchange, and the shares will be subject to a
four-month hold period under Canadian securities laws from the date
of the respective issuance.
Qualified Person and Data
Verification
Arthur G. Stokreef, P.Eng. (ON),
Manager of Process Engineering & Geometallurgy and a "qualified
person" as such term is defined by National Instrument 43-101, has
reviewed and approved the technical information in this news
release on behalf of Canada Nickel Company Inc.
About Canada Nickel
Canada Nickel Company Inc. is advancing the next generation of
nickel-sulphide projects to deliver nickel required to feed the
high growth electric vehicle and stainless steel markets. Canada
Nickel Company has applied in multiple jurisdictions to trademark
the terms NetZero Nickel™, NetZero Cobalt™ and NetZero Iron™
and is pursuing the development of processes to allow the
production of net zero carbon nickel, cobalt, and iron products.
Canada Nickel provides investors with leverage to nickel in low
political risk jurisdictions. Canada Nickel is currently anchored
by its 100% owned flagship Crawford Nickel-Cobalt Sulphide Project
in the heart of the prolific Timmins-Cochrane mining camp. For more information,
please visit www.canadanickel.com.
About XPS (A Glencore
Company)
XPS (A Glencore Company) is an engineering and testing facility
based in Falconbridge,
Ontario. They provide Industry Relevant Solutions to the
mining and metals industry, including process development for new
mines. Services offered range from materials selection,
process control, process modelling, mineralogy, geometallurgy,
mineral processing and extractive metallurgy.
For further information, please contact:
Mark Selby, CEO
Phone: 647-256-1954
Email: info@canadanickel.com
Cautionary Note and Statement
Concerning Forward Looking Statements
This press release contains certain information that may
constitute "forward-looking information" under applicable Canadian
securities legislation. Forward looking information includes, but
is not limited to, drill and exploration results relating to the
target properties described herein (the "Properties"), the
potential of the Crawford Nickel Sulphide Project, the Texmont
Project and the other Properties, timing of economic studies and
mineral resource estimates, nickel and cobalt recoveries, grades of
concentrates, the ability to toll mill material from Texmont, the
potential for near term production at Texmont using an open pit
mine, the potential to find more Texmont style deposits in the
newly acquired claims, the ability to sell marketable materials,
strategic plans, including future exploration and development
results, and corporate and technical objectives. Forward-looking
information is necessarily based upon several assumptions that,
while considered reasonable, are subject to known and unknown
risks, uncertainties, and other factors which may cause the actual
results and future events to differ materially from those expressed
or implied by such forward-looking information. Factors that could
affect the outcome include, among others: future prices and the
supply of metals, the future demand for metals, the results of
drilling, inability to raise the money necessary to incur the
expenditures required to retain and advance the property,
environmental liabilities (known and unknown), general business,
economic, competitive, political and social uncertainties, results
of exploration programs, risks of the mining industry, delays in
obtaining governmental approvals, failure to obtain regulatory or
shareholder approvals, and the impact of COVID-19 related
disruptions in relation to the Company's business operations
including upon its employees, suppliers, facilities and other
stakeholders. There can be no assurance that such information will
prove to be accurate, as actual results and future events could
differ materially from those anticipated in such information.
Accordingly, readers should not place undue reliance on
forward-looking information. All forward-looking information
contained in this press release is given as of the date hereof and
is based upon the opinions and estimates of management and
information available to management as at the date hereof. Canada
Nickel disclaims any intention or obligation to update or revise
any forward-looking information, whether because of new
information, future events or otherwise, except as required by
law.
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SOURCE Canada Nickel Company Inc.