SUDBURY, ON / ACCESSWIRE / February 28, 2020 / Northern Superior Resources (TSXV:SUP) (“Northern Superior” or the “Company”) is pleased to announce that it will be at the Prospectors and Developers Conference (“PDAC”), March 1 to 4, 2020. The Company’s exhibit booth is located in the Investors Exchange, Booth Number 3029.
Dr. T.F. Morris, President and CEO states: “2020 has the potential to be an exciting year for Northern Superior. The Company has undergone an important restructuring of its Board of Directors and a strategic review of its exploration assets in northwestern Ontario and Québec. The Company is in an enviable position with 3 large scale assets: TPK, Croteau Est and Lac Surprise, each with the potential to create enormous value for our shareholders in this strengthening gold price environment.”
From understanding and learning from the results of previous core drill programs associated with the Company’s 100% owned TPK property, Northern Superior feels strongly that it is now poised for discovery within the Big Dam and Annex areas. Within the Big Dam area, two critical high value targets have been re-assessed. From that exercise, the Company feels strongly that a cost-effective, focused drill program targeting a northwest to southeast gold-bearing silicified alteration zone, will identify two key areas responsible for previously reported high-grade-intersections as well as the highly anomalous gold grain-in-till and high-grade gold mineralized boulders within at least part of the Big Dam gold grain-in-till apron. It simply involves turning the drill from south to north, to east to west. Assuming discovery is made in association with these two targets, there are three similar targets ready for drilling. Please refer to slides 14-25 of the March 2020 Corporate presentation, posted on the Company’s website.
Regarding the Annex area of the property, three targets are now also clearly defined. Two of these targets are gold-silver focus and are associated with the head of the Keely Lake gold grain-in-till dispersal corridor, clearly terminating at a mafic metavolcanic-intrusion contact. The third target is a gold-copper target associated with a gold-grain-in-till dispersal train with high grade gold-copper mineralized boulders embed within it. This dispersal train terminates at a strong induced polarization geophysical signature. Please refer to slides 26-32 of the March 2020 Corporate presentation, posted on the Company’s website.
Croteau Est Property
The Company is also confident that it has cracked the code with regard to understanding the gold mineral system on its 100% owned Croteau Est property, Chapais-Chibougamau gold camp. The last phase of core drilling of the historical resource defined on the property was highly successful, as a 96% success rate of intersecting high grade gold was achieved. The Company feels that this demonstrates an understanding of where high grade gold is within the system, including:
- high-grade intersections of up to 705 g/t gold over 0.50m;
- high-grade widths of up to 11.06 g/t gold over 9.10m (including 43.75 g/t gold over 2.00m), 61.24 g/t gold over 5.95m (including 705 g/t gold over 0.5m);
- High-grade mineralization occurring >400m vertical depth 7.50 g/t gold over 7.95m including 56.40 g/t gold over 1.00m between 489.90m to 497.85m; and
- mineralized widths up to 1.99 g/t gold over 34.65m (including 9.46 g/t gold over 2.35m)
Please refer to slide 50 of the March 2020 Corporate presentation, posted on the Company’s website.
This system is open at depth and along strike in both directions. A drill plan and budget are in place to further extend this understanding to depth and along strike to the east. Please refer to slides 49-53 of the March 2020 Corporate presentation, posted on the Company’s website.
It is also important to note, that Northern Superior has identified a number of additional targets across the property, all drill ready. Please refer to slide 54 of the March 2020 Corporate presentation, posted on the Company’s website.
Lac Surprise Property
Northern Superior recently defined the extension of the hydrothermal system associated with the neighboring Nelligan gold deposit onto the Company’s 100% owned Lac Surprise property (see Northern Superior press release, December 9, 2019). The Nelligan deposit is a 3.2 million inferred ounce discovery announced by IAMGold (TSX-IMG) and Vanstar Mining Resources (TSX.V-VSR)(see Vanstar press release, October 22, 2019). Originally defined 5km east and along strike from Lac Surprise, a recently announced drilling program has been initiated in part to prove the extension of the system along strike (see Vanstar press release, January 16, 2020). Please refer to slides 61-62 of the March 2020 Corporate presentation, posted on the Company’s website.
As with Northern Superior’s other mineral properties, Lac Surprise is a large property hosting additional opportunities through the discovery of numerous gold showings and gold-bearing systems. Please refer to slides 63-65 of the March 2020 Corporate presentation, posted on the Company’s website.
As with the Croteau Est property, the Lac Surprise property is also located within the Chapais-Chibougamau gold camp. This camp is currently experiencing a significant investment and focus on mineral exploration. For example, Blue Thunder Mining Inc. (TSX.V: BLUE) has recently completed an IPO, and staked much ground, tying onto the south and north boundaries of the Lac Surprise property. Please refer to slide 60 of the March 2020 Corporate presentation, posted on the Company’s website.
Northern Superior Will Issue Shares Owed to Board Members
Payment of Northern Superior’s board member fees were split 50/50 between cash and shares. Due to the Directors confidence in the future outlook for Northern Superior and in an effort to preserve cash for future drill programs, the Board suspended the cash payment portion of its fees, Q3, 2019. However, compensation through the issuance of shares owed was to continue, but has not been done so since Q2, 2018. The cash value of shares owed amounts to $81,766.30.
Pursuant to the Company’s policy of compensating its Directors in part with shares, the Company will settle $81,766.30 of debt owing to the Directors through the issuance of common shares of the Company (the “Debt Settlement”). Pursuant to the Debt Settlement, the Company would issue up to 389,365 common shares of the Company (the “Shares”) at a deemed price of $0.21 per Share to certain non-management directors of the Company (the “Creditors”) for unpaid director fees owing as at December 31, 2019.
The issuance of the Shares to the Creditors is subject to the approval of the TSX Venture Exchange. All securities issued will be subject to a four month hold period which will expire on the date that is four months and one day from the date of issue.
As certain insiders participated in the Debt Settlement, it is considered to be a “related party transaction” under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). All of the independent directors of the Company, acting in good faith, considered the transactions and have determined that the fair market value of the securities being issued to insiders and the consideration being paid is reasonable. The Company intends to rely on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(b) and 5.7(b) of MI 61-101.
About Northern Superior Resources Inc.
Northern Superior is a reporting issuer in British Columbia, Alberta, Ontario and Québec, and trades on the TSX Venture Exchange under the symbol SUP, and the OTCQB Venture Market under the symbol NSUPF.
For further information please visit the Company’s website at www.nsuperior.com or contact:
Thomas F. Morris P.Geo., PhD., FGAC
President and CEO
Tel: (705) 525 ‐0992
Fax: (705) 525 ‐7701
Cautionary Note Regarding Forward-Looking Statements
This Press Release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to such risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such actual results of current exploration programs, the general risks associated with the mining industry, the price of gold and other metals, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements, except as required by law. Shareholders are cautioned not to put undue reliance on such forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Northern Superior Resources Inc.
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