2)
Low Pyrrhotite to Nickel Ratio
Drilling completed to date along with early results supports an initial analysis by Dr. Lightfoot that sulphide mineralization at Nickel Mountain has a low pyrrhotite to nickel ratio and contains no significant deleterious elements, meaning the nickel sulphide is potentially of very high quality for processing purposes.
The Nickel Mountain "Magma Highway"
Mineralization at Nickel Mountain remains open in all directions including at depth and exhibits features consistent with a dynamic sulphide system within the Eskay Rift, one with interpreted pipe-like structures and dykes and sheet-like intrusions to serve as pathways and entrapments for high-grade nickel and copper.
Dr. Lightfoot states, "The E&L intrusion is emplaced along a magma highway likely provided by the motion of faults at the margins of the Eskay Rift. This is what also makes the rest of the Nickel Mountain Property so prospective. The exploration effort can expand greatly given the trend of VTEM plates and favorable geology."
Initial Assays Support Broad, Robust Disseminated Halo
Assay results for the first four holes at Nickel Mountain underscore the very well-mineralized disseminated halo of the Nickel Mountain system with increasing grades from EL-17-01 through EL-17-04 and each hole generating credits in palladium, platinum, gold, silver and cobalt to go along with high-grade nickel and copper.
Fourteen holes over 3,671 meters have been completed to date (new photos, maps and an updated presentation will be posted soon at GaribaldiResources.com).
EL-17-04 cut 7.2% nickel, 3.4% copper, 0.82 g/t palladium, 0.78 g/t platinum, 0.40 g/t Au, 10 g/t Ag and 0.195% cobalt over 4.8 meters at the bottom of a broader 48.2-meter interval from 108.4 meters grading 1.1% nickel, 0.69% copper, 0.38 g/t palladium, 0.23 g/t platinum, 0.16 g/t Au, 3.1 g/t Ag and 0.032% cobalt;
EL-17-04 also intersected a second zone of mineralization within a variable-textured gabbro featuring 1.08% nickel and 0.68% copper over 12 meters starting at a depth of 189 meters;
EL-17-03, cutting across part of the historic northwest zone, intersected 13.5 meters grading 1.05% nickel and 1.0% copper within a broader core interval of 39 meters featuring 0.91% nickel and 0.74% copper beginning at a depth of 42 meters;
EL-17-02 intersected broad core intervals of disseminated sulphide mineralization between a depth of 58.5 meters and 190.5 meters. Significant intercepts included 18 meters @ 0.69% nickel and 0.80% copper, and 24 meters @ 0.56% nickel and 0.65% copper. The hole was drilled toward the east into a previously untested area. Valuable data was generated from the downhole probe;
EL-17-01 was drilled away from the historic northwest zone toward the untested east, providing the best platform to collect important data from the downhole probe. Encouragingly, the hole intersected two long core intervals of disseminated sulphide mineralization totaling 176 meters to a depth of 332 meters, highlighted by a 60.5-meter section grading 0.54% nickel and 0.53% copper. Higher grades of copper (0.80%), palladium (1.26 g/t), platinum (0.60 g/t) and gold (0.60 g/t) were intersected over 4.5 meters starting at 279.5 meters within a broad disseminated zone.
Moving Forward at Nickel Mountain
Garibaldi is fully financed to launch an expanded new phase of drilling at Nickel Mountain. Faced with very challenging weather, crews did a remarkable job completing hole 14. As they were preparing to drill EL-17-15 toward another massive sulphide target, a severe winter storm enveloped the area and made conditions unsafe, causing a pause in drilling. The two rigs and other equipment have been winterized at the top of Nickel Mountain and drilling will resume as soon as weather conditions allow.
"With many more drill results to follow, in addition to an interpretation of the very promising multi-kilometer trend of VTEM conductors to the northeast of Nickel Mountain, news flow will be strong over the coming weeks," stated Regoci.
Garibaldi will also be expanding its team to carry out extensive sampling and potential drilling of Anomalies "A", "B" and "C" to the northeast in 2018 (see July 17, 2017 news release). Assays from chip and grab samples collected from weathered material along the periphery of the Anomaly "A" VTEM conductor (the main conductor area at a higher elevation has not yet been sampled) returned very encouraging copper values ranging from anomalous to 2%. While initial sampling (20 chip samples and 30 grab samples) was not a large enough in situ population size to produce a material conclusion by Garibaldi's QP, company geologists are excited about the potential of the VTEM-identified target areas and are continuing a comprehensive review of whole rock geochemistry, petrographics and geophysics with further details as soon as interpretations are finalized.