02:34:36 EDT Wed 15 May 2024
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Northern Superior Resources Inc (2)
Symbol SUP
Shares Issued 137,492,766
Close 2023-06-05 C$ 0.41
Market Cap C$ 56,372,034
Recent Sedar Documents

N. Superior drills 59 m of 0.9 g/t Au at Lac Surprise

2023-06-06 08:02 ET - News Release

Mr. Simon Marcotte reports

NORTHERN SUPERIOR REPORTS 0.90 G/T GOLD OVER 59.0 METRES AND 0.73 G/T GOLD OVER 61.0 METRES FROM THE FALCON GOLD ZONE AND 1.84 G/T AU OVER 11.5 METRES FROM EXPLORATION DRILLING AT LAC SURPRISE

Northern Superior Resources Inc. has released the final assay results for nine holes completed at the Falcon gold zone (FGZ) on its 20-kilometre-by-15-kilometre, 100-per-cent-owned Lac Surprise property, located within the Chibougamau gold camp, Quebec.

Highlights (grades uncut, lengths measured along hole, see an attached table):

  • Diamond drill hole LCS-22-075 returned 0.9 gram per tonne gold over 59.0 metres from 86.0 metres to 145.0 metres, including 3.23 g/t Au over 4.2 metres from 96.5 metres to 100.7 metres and 3.67 g/t Au over 4.5 metres from 126.0 metres to 127.5 metres.
  • DDH LCS-22-077 returned 0.73 g/t over 61.0 metres from 233.5 metres to 294.5 metres, including 6.67 g/t Au over 1.5 metres from 264.0 metres to 265.5 metres.
  • DDH LCS-22-073 returned 0.82 g/t Au over 36.4 metres from 68.8 metres to 105.2 metres.
  • DDH LCS-22-091 returned 0.87 g/t Au over 27.4 metres from 300.1 metres to 327.5 metres, including 2.22 g/t Au over 6.5 metres from 321 metres to 327.5 metres.

Simon Marcotte, president and chief executive officer of Northern Superior, commented: "The results released today from the Falcon gold zone reinforce the striking similarities it shares with Iamgold's Nelligan gold deposit, which is located only two kilometres to the east. Nelligan recently witnessed a 72-per-cent increase in its NI 43-101 [National Instrument] resource estimate following an additional 22,000 metres of drilling, and now encompasses a total of 1.9 million ounces in the indicated category and 3.6 million ounces in the inferred category, using a 0.35 g/t cut-off. We also note that the robust thickness and remarkable vertical and lateral continuity observed in the Falcon gold zone emphasizes how the deposit allows for an easy conversion of near-surface gold ounces. The company has set its sights on conducting a maiden resource estimate for the Falcon gold zone, subsequently to the resource estimate on the Philibert project, which is only nine km from the Nelligan."

Definition drilling program confirms grades and widths

The company completed 11 definition core drill holes in this program designed to test the near-surface continuity and depth extension of the FGZ. All eight holes reported in this release were successful in intersecting gold-bearing zones, highlighted by: drill hole LCS-22-075, located in the central portion and near surface of the FGZ, intersected 0.90 g/t Au over 59.0 metres; LCS-22-077, drilled down dip on the same easting, returned 0.73 g/t Au over 61.0 metres; and hole LCS-22-073, drilled up dip on the same easting but drilled north versus south due to the ground conditions, returned 0.82 g/t Au over 36.4 metres, again highlighting the robust thickness and consistency of the FGZ. Drill hole LCS-22-091 also tested the central portion of the FGZ at a vertical depth of 230 metres and returned 0.87 g/t Au over 27.4 metres. A possible new zone was also intersected farther down hole in hole LCS-22-091, which returned 1.23 g/t Au over 7.5 metres, and again farther down hole, the Epervier zone returned 5.29 g/t Au over 2.6 metres, including 17.05 g/t Au over 0.8 metre.

Drill hole LCS-22-074, located near the eastern extent of the zone and at a vertical depth of 170 metres, returned 0.66 g/t Au over 22.5 metres, and hole LCS-22-076, drilled 40 metres west but near surface, returned 0.50 g/t Au over 10.0 metres for the FGZ and 0.43 g/t Au over 9.1 metres from the footwall zone. Near the west-central portion of the FGZ, hole LCS-22-072 returned 0.49 g/t Au over 40.3 metres, including 2.79 g/t Au over 3.5 metres. Drill hole LCS-22-090 tested the west side of an interpreted fault that offsets mineralization and intersected a weakly mineralized FGZ with 0.24 g/t Au over 19.0 metres.

The FGZ is associated with a silicified-sericitized greywacke host rock. It is oriented approximately east-west and dips steeply (70 degrees to 80 degrees) to the south. Characteristics defining the mineralized zone include the presence of silicification, sericitization and pyrite, traceable along the whole 900 metres of strike length and 380 m vertical depth. Higher gold and silver grades within the FGZ are spatially associated with smokey-grey quartz veins and silicification, often containing molybdenite and pyrite, enveloped within strong sericite-carbonate-pyrite alteration. Higher-grade intersections are shown in an attached table. The mineralization style, gold grade and thickness have strong similarities to the Nelligan gold zone located two kilometres to the east of the FGZ.

The company completed 12 exploration drill holes on the Lac Surprise property to test regional targets and follow up drilling on the newly discovered mineralized trend associated with the Guercheville deformation zone (GDZ). Located north of the Falcon zone, this broad, weakly anomalous gold trend is defined by drill holes completed historically and by the company in recent years, including hole LCS-19-003ext, which returned 1.15 g/t Au over 9.5 metres. Included in this release are hole LCS-22-081, drilled 70 metres west of LCS-19-003ext, which returned 1.84 g/t Au over 11.5 metres, including 18.5 g/t Au over 1.0 metre, and 80 metres to the east of LCS-19-003ext, hole LCS-22-080, which returned 0.78 g/t Au over 14.5 metres within a broader interval that returned 0.41 g/t Au over 31.9 metres (see an attached table). Mineralization shows strong similarities to the FGZ mineralization, including similar host rocks and structural setting.

Exploration drilling followed up on previous exploration work northeast of the Amber showing, where a historical intersection returned 0.82 g/t Au over 11.5 metres. Three drill holes tested this trend over 350 metres along strike, with easternmost hole LCS-22-086 returning 0.65 g/t Au over 10.5 metres, LCS-22-085 returning 0.27 g/t Au over 19 metres, including 0.80 g/t Au over 4.0 metres, and LCS-22-084 returning 4.06 g/t Au over 0.5 metres and 0.47 g/t Au over 3.0 metres (see an attached table). The mineralized trend is associated with deformed and altered felsic porphyry dikes within gabbro host rocks and is open along strike and down dip.

Other exploration holes intersected weakly anomalous gold values, and the company is working to integrate the new data with the already-existing large geological database for future exploration targeting. An attached table includes highlights from the exploration drill program.

Sampling and laboratory

True widths of the intercepts reported in this press release have yet to be determined, but are estimated to be 50 per cent to 70 per cent of reported core lengths. All NQ-size split core assays reported were obtained by fire assay with atomic absorption finish, and samples returning values over three parts per million Au are reanalyzed, utilizing standard fire assay/gravimetric methods. Samples were shipped to ALS (sample preparation done in Sudbury, Ont., and/or Val d'Or, Que., and analysis done in Vancouver, B.C.), AGAT Laboratories (sample preparation done in Val d'Or, Que., and sample analysis done in Mississauga, Ont.) and SGS Laboratories (sample preparation done in Val d'Or, Que., and sample analysis done in Vancouver, B.C.). The quality assurance/quality control protocols include the insertion of a blank or standard every 20 samples on average, in addition to the regular insertion of blank, duplicate and standard samples inserted by the laboratories during the analytical process.

The technical content and scientific aspects of this press release have been reviewed by Sarah Dean, PGeo. Ms. Dean is a qualified person within the meaning of NI 43-101 and has reviewed and approved the technical information disclosed in this press release related to the Lac Surprise program. Ms. Dean is not considered independent.

Corporate matters

Further to the Royal Fox Gold Inc. press release dated May 21, 2021, and pursuant to the terms of the share purchase agreement dated Nov. 30, 2020, as amended March 23, 2021, and April 21, 2021, entered into between the Royal Fox, Frank Guillemette, Jonathan Girard and Jean-Francois Girard, Royal Fox has purchased from the vendors all of the issued and outstanding common shares in the capital of 9396-1217 Quebec Inc., which transaction closed on May 27, 2021, whose sole asset is 100 per cent of the common shares in the capital of 9220-5392 Quebec Inc. (operating as Mines Royales Quebec (MRQ)). Pursuant to the provisions of the definitive agreement, as part consideration for the acquisition of 9396-1217 Quebec, Royal Fox agreed to issue $3-million worth of shares to the vendors in three equal instalments on each of: (i) the 12-month anniversary of the closing date; (ii) the 18-month anniversary of the closing date; and (iii) the 24-month anniversary of the closing date, in each case at an issue price per share equal to the volume-weighted average trading price of the shares for the 20 trading days prior to the date on which such instalment is due. As a result of the company's acquisition of Royal Fox on Nov. 4, 2022, Northern Superior assumed Royal Fox's second-instalment and third-instalment payment obligations.

The company has issued an aggregate of 2,293,051 common shares of the company at an issue price of 43.61 cents per share for the settlement of the second instalment and 2,119,541 common shares at an issue price of 47.18 cents per share for the settlement of the third instalment to the vendors. The consideration shares will be subject to a statutory hold period of four months and one day from the date of issuance, which hold period will expire on Oct. 3, 2023. Moreover, 30 per cent of the consideration shares were deposited in escrow and will be released to the vendors in accordance with a TSX-V Form 5B -- Escrow Agreement, dated May 21, 2021, among the vendors (and others), Royal Fox and TSX Trust Company.

Pursuant to the definitive agreement, Mr. Guillemette was issued 4,305,405 common shares. Immediately prior to the issuance, Mr. Guillemette held, directly or indirectly, 8,924,373 common shares and 60,000 stock options. Upon completion of is issuance, Mr. Guillemette will beneficially own or control 13,229,778 common shares of the company and 60,000 stock options, representing approximately 9.32 per cent of the company's issued and outstanding common shares on a non-diluted basis and approximately 9.37 per cent of the company's issued and outstanding common shares on a partially basis. Depending on market and other conditions, or as future circumstances may dictate, Mr. Guillemette may, from time to time, increase or decrease his holdings of common shares or other securities of the company. A copy of the early warning report will be available under the company's issuer profile on SEDAR.

Further to the press release dated May 2, 2023, Rockland Resources Ltd. has fully exercised its option to acquire the Wapistan property from Northern Superior, by accelerating its final option payment of $200,000 and its issuance of an additional 5.4 million Rockland shares. Northern Superior has retained a 2-per-cent net smelter return royalty on the property, 1 per cent of which may be repurchased by Rockland for $1-million.

Lastly, the company has engaged Independent Trading Group (ITG), a Toronto-based Investment Industry Regulatory Organization of Canada dealer-member, to assist with market-making activities. ITG is Canada's only brokerage firm dedicated specifically to professional trading. As Canada's foremost market-making firm, ITG provides market-making and liquidity provider services that are objective and focused. ITG employs real traders and provides real liquidity, with an underlying emphasis on integrity and success. The company has agreed to pay ITG a fee of $6,000 per month for the duration of the contract, with an initial term of three months, followed by consecutive one-month terms, unless cancelled by either party on 30-day notice.

About Northern Superior Resources Inc.

Northern Superior is a gold exploration company focused on the Chapais-Chibougamau camp in Quebec. The company has consolidated the largest land package in the region, with total landholdings currently exceeding 62,000 hectares. The main properties include Philibert, Lac Surprise, Chevrier and Croteau Est. Northern Superior also owns significant exploration assets in Northern Ontario, highlighted by the district-scale TPK project.

We seek Safe Harbor.

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