Murchison Minerals Ltd. [MUR-TSXV] has commenced drilling at its 100%-owned HPM (Haut-Plateau de la Manicouagan) project in Quebec. The proposed drill program is designed to test the subsurface continuation of the significant nickel-copper-cobalt surface mineralization discovered at the PYC target.
In an August 16, 2021 press release, Murchison said assay results from a June, 2021, prospecting program confirm widespread nickel-copper-cobalt surface mineralization across the entireity of the traced 1.7-kilometre length of sulphide mineralization at the PYC target area.
It said the results were from grab samples and short backpack drill core samples, featuring assays as high as 1.27% nickel equivalent or 2.59% copper equivalent (0.79% nickel, 0.14% copper, 0.15% cobalt) from 0.83 metres of backpack drill core.
The assay results also confirm mineralization south-east of the PYC target at the newly discovered Dix showing, which assayed as high as 0.90% nickel equivalent or 1.83% copper equivalent (0.44% nickel, 0.39% copper and 0.10% cobalt) from 0.45 metres of backpack drill core.
The company said the backpack drill core samples are being treated as grab samples only used to collect-non-weathered sample material.
Murchison said the prospecting results confirm that the PYC target is highly prospective for hosting large-tonnage nickel-copper-cobalt mineralization within a large, semi-massive, pyrrhotite body. It said the prospecting included the collection of 49 litho-geochemical samples, with 38 of the samples exceeding 0.3% copper equivalent.
“If the mineralization at PYC continues at depth, then we may be looking at a sulphide body with significant tonnage potential,’’ said John Shmyr, Muchison’s Vice-President, exploration.
Drilling has commenced after Murchison recently closed a $4 million non-brokered private placement consisting of 13.5 million units at $0.08 per unit as well as 30.7 million flow-through units at $0.095 per unit. Each unit consisted of one common share of the company and one-half of a common share purchase warrant. Each flow-through until consists of one flow-through common share and one half of a warrant. Each whole warrant enables to holder to acquire on additional common share for 12 cents for a one-year period expiring on October 21, 2022.
The company said proceeds of the private placement puts it in an excellent financial position to unlock the potential of the HPM.
On November 1, 2021, Muchison shares were trading at 14 cents in a 52-week range of 16 cents and $0.055.
The company recently welcomed Michael Gentile as a strategic investor. He currently owns a 6.85% stake in Murchison as warrants that will enable him to increase his stake to 9.94%.
The company said Gentile has an extensive institutional money management background. He is an active strategic investor in the mining sector, owning significant interests in over 20 small cap exploration companies, including Radisson Mining Resources Inc. [RDS-TSXV, RMRDF-OTC] and Solstice Gold Corp. [SGC-TSXV]