Class 1 Nickel prioritizes newly identified VTEM™ anomalies for upcoming drilling at Alexo-Dundonald near Timmins

The hunt for world class nickel deposits near Timmins continues. Class 1 Nickel and Technologies Limited has announced quantitative modelling results for the preliminary VTEM™ anomalies on its Alexo-Dundonald Nickel Sulphide Project 45 km northeast of Timmins.

The VTEM™ survey was flown over the entire 20 square-km land package (1,012 line-km) to detect electromagnetic and magnetic signatures that could aid identification of new deposits and extensions of known deposits. The four known nickel sulphide deposits on the property (Alexo North, Alexo South, Dundonald North and Dundonald South) were all detected in the VTEM™ survey.

Interpretation and Ranking

VTEM™ conductor anomalies A to O (collectively, the “Targets”) were identified (Figure 1) based on conductance and the extent of historical drill testing. These Targets were also reviewed for possible cultural interference in Google Earth, by using the VTEM™ powerline monitor data channel, and field checking. The priority Targets were then integrated with all other data, including preliminary Magnetic TMI, db/dt tau, prior AEM/Mag surveys and anomalies, detailed property geology, known deposits and occurrences, and all known drilling from company/property databases and the Ontario ODHD drill hole database. Following data integration and target review, the Targets were tabulated and ranked based on five criteria:

1. Quality and shape of EM/Mag anomalies, with priority assigned to targets with shorter strike length, higher conductivity and magnetic association;
2. Presence or absence of prior drilling, with targets with few or no drill holes given higher priority;
3. Any Ni and Cu values in nearby drill holes;
4. Proximity to known mineral deposits and occurrences; and
5. Local geology (proximity to favourable ultramafic rocks)

This ranking process resulted in four Priority 1 Targets (highest priority), twelve Priority 2 Targets, and a few lower Priority 3 Targets. The characteristics of the Priority 1 Targets are highlighted below (see Figures 2 and 3 and Table 1).

Priority 1 Target Highlights

• The four Priority 1 Targets (A, H, I and J) are multi-line anomalies similar to the known deposits and do not appear to coincide with any cultural interference features;
• The four Priority 1 Targets are short-strike length features from 300 m to 800 m in length;
• Anomaly A follows a local magnetic high, appears to be in mafic-ultramafic rocks and is located 1 km west of the Dundonald North deposit. It has not been subject to previous and historic drilling. Although there are cultural features nearby, they do not appear to explain the anomaly;
• Anomalies H and J have no apparent drilling in the available databases;
• Anomaly H is close to the Dundonald South deposit and proximal to the major southwest-verging fold nose in the south part of the Property;
• Anomaly I is sparsely drilled and located 2 km east of the Dundonald South deposit, on the south limb of the major southwest-verging fold, near the Casey mineral occurrence; and
• Anomaly J is located 1.6 km northeast of the Alexo North and Alexo South deposits and appears to cross-cut stratigraphic units in a major northeast-verging fold nose. 

It is important to note that bedrock conductors can also be caused by graphite, barren sulphides and in this geological environment, by thick units of slightly conductive serpentinized ultramafics

Benjamin Cooper, President & CEO: “Although these interpretations are preliminary, the first-ever modern airborne geophysical survey of Alexo-Dundonald has definitely advanced the case for a much larger mineralized system here at Alexo-Dundonald than was previously understood by the Company.“

Class 1 Nickel now looks forward to the delivery of additional detailed interpretation of the final VTEM™ data set to advance two main objectives.

1) Detailed planning and commissioning of a significant extension drilling campaign to increase the size and scope of the known resources; and

2) Design and planning of new exploration drilling campaign over the areas of mineralisation outside the known resources (i.e. the Targets that have been identified by the VTEM™ survey and associated geophysical modelling).

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