Victory Nickel Drilling Nickel Bearing Area South of Minago Sulphide Nickel Deposit
TORONTO, ONTARIO -- (Marketwire) -- 04/12/12 -- Victory Nickel Inc. (the "Company") (TSX: NI) (www.victorynickel.ca) today announced that drilling is nearing completion on Mining Lease ML-003, approximately five kilometres south of its 100%-owned Minago sulphide nickel project in Manitoba. The Company has been progressively testing nickel bearing rock around the Minago Property beyond the immediate Minago Deposit for several years; with the work now being conducted on ML-003 nickel bearing rock will have been drill tested over a 10 kilometre north-south interval between ML-003 in the south and the most northern intercepts. The widespread nature of nickel mineralization at Minago serves to provide further evidence of the exceptional exploration target at Minago indicating a potentially long production life.
Two holes will test known nickel-bearing serpentinite that underlies ML-003. Thirteen historic holes were drilled in this area between 1968 and 1971. Ten holes intersected serpentinized ultramafic rock, while seven obtained significant intersections of nickel mineralized serpentinite from within a body interpreted to be greater than 2 kilometres long. The most extensive intersection, in MXB-70-60, was 605m grading 0.3% Ni from 154m down hole. However 16.15m grading 0.71% Ni starting at 163.68m was obtained from MXB-70-34 and 30.48m grading 0.53% Ni starting at 304.19m was intersected in MXB-70-37 while the highest grade interval was 3.51m grading 1.1% Ni in MX-70-34 (see table below for other assays intervals - all intervals are core length).
The property-wide, minimum 3,500 metre, program is testing a number of targets around the property that have been identified in previous work programs as well as areas that are scheduled for Minago mine infrastructure development. In part the drilling is evaluating the nickel bearing Ospwagan Group/Pipe Formation rocks in the vicinity of the Minago Nose Deposit - given the widespread nature of nickel mineralization on the Minago Project and the number of targets identified the possibility of intersecting completely new nickel mineralization is considered good. Samples have been submitted to TSL Laboratories Inc., in Saskatoon; assays will be reported as they are received.
Victory Nickel's Qualified Person under the NI 43-101 guidelines is Paul Jones, Vice-President, Exploration. Mr. Jones has reviewed and approved the technical contents of this news release.
About Victory Nickel
Victory Nickel Inc. is a Canadian company with four sulphide nickel deposits containing significant NI 43-101-compliant nickel resources. Victory Nickel is focused on becoming a mid-tier nickel producer by developing its existing properties, Minago, Mel and Lynn Lake in Manitoba, and Lac Rocher in northwestern Quebec, and by evaluating opportunities to expand its nickel asset base. Victory Nickel also owns shares in Prophecy Coal Corp. (TSX VENTURE: PCY), Prophecy Platinum Corp. (TSX VENTURE: NKL), Miocene Metals Limited (TSX VENTURE: MII) and Wallbridge Mining Company Limited (TSX: WM), the third largest landholder in the Sudbury Basin, which in turn owns an interest in Duluth Metals Limited.
Please visit the Company's website at www.victorynickel.ca. Should you wish to receive Company news via email, please email juliet@chfir.com and specify "Victory Nickel" in the subject line.
Forward-Looking Information: This news release contains forward-looking information. All statements, other than statements of historic fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future constitute forward-looking information. This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things: uncertainty of estimates of capital and operating costs, production estimates and estimated economic return; the possibility that actual circumstances will differ from estimates and assumptions; uncertainties relating to the availability and costs of financing needed in the future; failure to establish estimated mineral resources; fluctuations in commodity prices and currency exchange rates; inflation; recoveries being less than those indicated by the testwork carried out to date (there can be no assurance that recoveries in small scale laboratory tests will be duplicated in large tests under on-site conditions or during production); changes in equity markets; operating performance of facilities; environmental and safety risks; delays in obtaining or failure to obtain necessary permits and approvals from government authorities; unavailability of plant, equipment or labour; inability to retain key management and personnel; changes to regulations or policies affecting the Company's activities; the uncertainties involved in interpreting geological data; and the other risks disclosed under the heading "Risk Factors" and elsewhere in the Company's annual information form dated March 30, 2012 filed on SEDAR at www.sedar.com. Forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.
Minago Mining Lease ML-003 Historic Drill Intersections
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From Width Width
HoleID (ft) To (ft) (ft) From (m) To (m) (m) Ni (total) %
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MXB-69-23 595 685 90 181.36 208.79 27.43 0.34
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MXB-70-34 403 1003 600 122.83 305.71 182.88 0.31
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Including 537 710 173 163.68 216.41 52.73 0.42
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Including 537 590 53 163.68 179.83 16.15 0.71
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Including 558.5 570 11.5 170.23 173.74 3.51 1.10
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MXB-70-36 183 1067 884 55.78 325.22 269.44 0.30
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MXB-70-37 343 395 52 104.55 120.4 15.85 0.30
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435 585 150 132.59 178.31 45.72 0.33
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735 1132 397 224.03 345.03 121 0.37
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Including 998 1098 100 304.19 334.67 30.48 0.53
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1128 1132 4 343.81 345.03 1.22 0.86
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MXB-70-60 697 725 40 212.45 220.98 8.53 0.49
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1188 1264 76 362.1 385.27 23.17 0.47
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1626 1647 21 495.6 502.01 6.41 0.62
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1757 1877 120 535.53 572.11 36.58 0.60
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Including 1757 1807 50 535.53 550.77 15.24 0.76
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MXB-71-70 1077 1157 80 328.27 352.65 24.38 0.30
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1256.5 1477 220.5 382.98 450.19 67.21 0.30
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MXB-71-80 247 257 10 75.29 78.33 3.04 0.43
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777 877 100 236.83 267.31 30.48 0.31
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Including 817 837 20 249.02 255.12 6.1 0.39
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957 1047 90 291.69 319.13 27.44 0.32
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Contacts:
Victory Nickel Inc.
Paul Jones or Rene Galipeau
416.363.8527
416.626.0890 (FAX)
admin@victorynickel.ca
CHF Investor Relations
Juliet Heading
416.868.1079 ext. 239
416.868.6198 (FAX)
juliet@chfir.com