North American Nickel Update

 

Richard (Rick) Mills
Ahead of the Herd

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As a general rule, the most successful man in life is the man who has the best information

 

This year’s program at North American Nickels (TSX.V – NAN) Ni-Cu-Co-PGM Maniitsoq project on Greenland’s south east coast is going to be extremely large, possibly the largest green fields exploration/discovery phase program being done anywhere in the world this year. The company is suggesting over $9 million possibly approaching the $10,000,000.00 mark.

 

The first holes will pick up where last year’s program finished and expect at least 75% of all holes drilled to be in the Imiak Hill Conduit Complex (IHCC).

 

“The Imiak Hill Conduit Complex (IHCC) represents the three mineralized norite intrusions (Imiak Hill, Imiak North and Spotty Hill) discovered in the northern part of the Maniitsoq Property (Figures 6 & 7). The complex covers an area of 12 square km at the north end of the GNB. The three mineralized norites occur within a 1.6 km radius. At the present time, mineralization remains open at depth for all zones. The complex is only 25 km from tide water at Kangia Fjord.”

 

It’s been roughly two weeks since crews hit the ground at Maniitsoq. They are doing geophysics – TDPEM & Gravity.

 

“Our deepest hole to date at Imiak Hill in the IHCC intersected high-grade massive sulphide nickel-copper mineralization 185 metres below surface. The new geophysical ground surveys are designed to look below that depth and define the extent and shape of our high-grade mineralized zones providing plunge, strike and dip attitudes for the mineralization. The results from these 2014 ground geophysical surveys coupled with the airborne surveys and drill results from 2012 and 2013 will assist with drill targeting at the IHCC.” North American nickelPresident Dr. Mark Fedikow, PGeo

 

The PEM survey

 

The PEM system operates by placing a large loop of insulated wire on the ground through which a precisely controlled changing current induces magnetic responses from conductors hundreds of meters deep in the ground. It can be used to detect and discriminate between a wide range of conductivities from poor (zinc), to excellent (copper and nickel). Due to its unique transmitted current waveform and its receiver’s measuring system, a step-response transformation of the data has been developed which extends this range of detection and discrimination into the extremely high conductance that is seen in nickel exploration. This feature has made the Crone PEM system an important part of the exploration efforts in nickel exploration camps around the world, such as the Raglan camp, Voisey’s Bay, Sudbury, Alaska, Tanzania, Western Australia and now Greenland.

 

The gravity survey

 

In addition to the PEM survey, a gravity survey will be carried out by a two-person crew consisting of a gravity operator and a GPS operator. Gravity surveys measure extremely small variations in the Earth’s gravitational field, which can be used to locate high-density material such as nickel sulphide-bearing rock.

 

Expect the first drill to start up in the second week of June. A second drill will be added shortly thereafter. There is an excellent chance of a second phase 2014 drill program starting in early fall and ending in October.

 

There is north of $5 million in the treasury but with up to a $10m program already announced and with a possible second phase drill program this fall there will be a financing. North American Nickel is planning to raise almost $9.5m and both the Sentient Group (beneficially owns, or exercises control or direction over, 58,127,098 common shares of the company – approximately 41.3 per cent of the issued and outstanding common shares of the company, and no warrants) and VMS Ventures TSX.V-VMS (VMS, which is an insider and a related party of the company, beneficially owns, or exercises control or direction over, 33,589,704 common shares – approximately 23.9 per cent of the issued and outstanding common shares) of the company and warrants) will be participating.

 

 

There will not be any major mining Co. involvement at this point. Simply not in either group’s favor right now to let this happen.

 

The Sentient Group are not miners, their payoff comes further down the road when a project sale happens.

 

VMS Ventures owns almost 24 percent of North American Nickel.

 

This team are miners as evidenced by their 30/70 joint venture with Hudbay Minerals in the producing high grade Reed Lake copper mine.

 

 

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