Great start to Nickel Mountain drilling

Garibaldi Resources Inc. Aug. 9 reported that drills have tapped the widest zone of nickel- and copper-rich massive sulfide ever encountered at its Nickel Mountain project about 18 kilometers (11 miles) southwest of the historic Eskay Creek Mine in the heart of British Columbia's Golden Triangle.

"This season's drill program is our best start yet at Nickel Mountain at a time when nickel prices are hitting new multi-year highs," said Garibaldi Resources President and CEO Steve Regoci. "We are fully funded to complete our most extensive program ever at Nickel Mountain."

Garibaldi first tapped the nickel- and copper-rich E&L intrusion at Nickel Mountain in 2017. This hole, EL-17-14, cut 16.75 meters averaging 8.3 percent nickel, 4.2 percent copper, 0.19 percent cobalt, 1.96 grams per metric ton platinum, 4.5 g/t palladium, 1.1 g/t gold and 11.1 g/t silver from a depth of 100.4 meters.

By the end of 2018, the company had drilled 46 holes into this nickel- and copper-rich magmatic massive sulfide discovery.

This year's drilling is off to a good start toward meeting the objective of expanding the high-grade zones at E&L.

The first hole of the 2019 season, EL-19-47, cut 50.57 meters (estimated true width is 40.45 meters) containing 1.5 percent nickel and 0.94 percent copper (plus cobalt, platinum, palladium, gold and silver), including 9.32 meters of 6.1 percent nickel and 2.8 percent copper. Drilled about 64 meters southeast of EL-17-14, this hole expands Lower Discovery Zone at E&L in this direction.

"EL-19-47 extends the Lower Discovery Zone along the southern flank of the E&L Intrusion to the east of previous massive sulfide intervals," said Garibaldi Technical Adviser Peter Lightfoot. "The mineralization continues to exhibit a very pure combination of pyrrhotite, pentlandite and chalcopyrite with a very high nickel tenor over the massive sulfide interval. The LDZ remains open along a shallow plunge to the east with more holes planned to establish continuity with previous intercepts to the south."

Drill hole EL-19-53 has cut the widest massive sulfide intersection so far at Nickel Mountain. While the assays are pending, Garibaldi reports this hole cut through 18 meters of massive sulfide featuring a characteristic Nickel Mountain "leopard print texture," within 86 meters (estimated true width is 68.8 meters) of nickel- and copper-rich mineralization from 67 meters to 153 meters. EL-19-53 thickens and extends the robust LDZ along a shallow western plunge on the south flank of the E&L intrusion.

Garibaldi Resources Vice President of Exploration Jeremy Hanson indicates that the turnaround time for assay results have been slow but is picking up. As of Aug. 9, the company was awaiting results for 13 holes, including EL-19-53

In addition to successful step outs beyond the five known mineralized zones at E&L, objectives of early 2019 drilling are to confirm the presence of an olivine gabbro (mafic intrusive igneous rock with significant olivine) chamber beneath the LDZ while also linking the Northwest and Crevasse zones. The company is confident in terms of achieving these objectives and eagerly awaits more assay results.

"Our understanding of the structural controls on mineralization continues to improve, allowing for very productive targeting for infill and step out drilling," said Hanson.

–SHANE LASLEY

CORRECTION: This article was updated to include the correct hole number (EL-19-47) in Peter Lightfoot's quote. Sorry for any confusion caused by the incorrect hole number.