| | |
|       
| |
| 
| |    OverviewLocation:
Formerly under British rule, Cyprus gained its independence from Britain in 1960. Civil unrest between the island's Greek and Turkish communities and a coup against the Cypriot government backed by the Greek military, culminated in an invasion by Turkish forces in 1974. The country remains split with the Turkish forces occupying approximately 36% of the island. The "Green Line", or buffer zone, is monitored by the United Nations (UN). This buffer zone cuts through the capital of Nicosia. Economy: The Republic of Cyprus has a market economy dominated by the service sector, which accounts for nearly four-fifths of Gross Domestic Product ("GDP"). Tourism, financial services, and real estate are the most important sectors. Current GDP is approximately US$21,000 per person and is ranked 62nd in the world. On May 1, 2004 the country entered into the European Union. The country has both adopted the euro and the European Central Bank monetary policy. Despite the fluctuation of growth rates, the economy has grown at a rate well above the European Union average since 2000. The Republic of Cyprus also has a favourable mining code that provides security of tenure and right to access to private land for exploration purposes. Geological Setting: The island's morphology features a central plateau surrounding Nicosia, with mountain ranges to the north and south. The Troodos Ophiolite Complex trends east southeasterly through the center of the island and hosts all of the known Volcanogenic Hosted Massive Sulphide (VHMS) deposits. The Troodos Ophiolite Complex represents a preserved section of ancient oceanic crust along with underlying upper mantle rocks. Uplift and unroofing of the complex has produced a symmetrical batholithic plutonic body flanked by volcanic units of the Lower and Upper pillow lavas and overlying sediments. The volcanic units are believed to be around 100 million years old (Late Cretaceous). The Ophiolite formed along the edge of the northward moving subduction zone where the African plate encountered the Eurasian plate. The Troodos Ophiolites are unique in that they display a complete sequence of ultramafic plutonic rocks through the dyke complexes to the marine floor pillow lavas and overlying sediments.
Typically ophiolites found elsewhere in the world are often missing sections of the stratigraphy or have been extensively deformed and metamorphosed. Geological processes such as erosion, and tectonic influences such as faulting have played their part in re-working the landscape and provide a plumbing system for the emplacement of the massive and disseminated sulphide orebodies. Economic Potential:
The history of mineral exploitation (copper, gold and other metals) on the island of Cyprus dates back to the Bronze Age, approximately 5,000 years ago, and has continued through the ages, by the Phoenicians and then the Romans. The evidence of this long history of mining is seen by the extensive slag heaps and numerous ancient surface and underground workings. The main economic base metal deposits of Cyprus are the copper-bearing volcanogenic hosted massive sulphide "VHMS" deposits. These deposits are hosted within the pillow lava sequence of the Troodos Volcanic Complex. The pillow lava sequence is divided into Upper and Lower Pillow Lavas. Well over 90 percent of known mineralizated deposits came to surface, and management believes that there is a high probability of additional massive sulphide bodies being present that do not outcrop. Mineral exploration on the island has been at very low levels for over 35 years and has undergone limited modern exploration techniques. 2011 Exploration Program: Northern Lion plans to complete over 1,000 line kilometres of a Versatile Time-Domain Electromagnetic system (VTEM) airbourne geophysical survey and 5,000 metres of rotary drilling, as well as continuing with the ongoing mapping, prospecting, soil and rock sampling. Drilling and the VTEM survey are currently underway in Cyprus and the Company is also drilling at the Moura Project located in Portugal. 
St. Nikolas ProjectThe St. Nikolas project forms part of the Northern Lion's existing land package of 20 permits covering an area of approximately 54 square kilometres. Northern Lion has entered into an option agreement to acquire 90% interest in the St. Nikolas project in the Paphos District of the Republic of Cyprus by issuing common shares and making payments to SES (A private Swedish based company). St. Nikolas' initial seven hole 2011 drill program totalling 541.1 metres has been completed. It covered a strike length of over 200m in a northwesterly direction. This occurrence represents a younger mineralizing event than the typical Cyprus style VHMS deposits which are dominantly hosted within the Lower Pillow Lava sequence. Drill hole 11SN-02 intersected 4.5 g/t gold over 28.6 metres that starts at 10 meters below surface and includes a higher grade zone of 6.1 g/t gold over 12.3 metres. These results include a 12.3m zone encompassing the adit, that contains 5.8g/t gold, 26.8g/t silver and 1.5% copper. The majority of the recovered massive sulphide material is within this interval, with the overlying mineralization consisting of a zone of stockwork veining and brecciation. Both the massive sulphides and the oxidized stockwork zones have been identified in the flanking holes 11SN03 and 05, to the north and south. The table below contains all of the significant intercepts at St. Nikolas.
** No significant results  St. Nikolas Drill Plan - View PDF Version 
Asproyia ProjectThe Asproyia project lies at the southeast end of the Limni project on the south west flank of the ophiolite complex. Northern Lion has a right to earn 90% interest by issuing common shares and making payments to SES (A private Swedish based company). In the 1950's Hellenic Mining Company carried out a considerable amount of exploration work on the Asproyia project area, including prospecting pits and trenches. Ancient galleries were excavated and a total of 14 boreholes were drilled. In 1977, Noranda Exploration carried out geological mapping and geophysics. The main efforts were made to investigate the feeder systems in the basal group and also to investigate the ancient workings that had been mined within the feeder system of chalcopyrite -- pyrite veining. One drill hole sited on the upper pillow lavas had 300 feet of a feeder system averaging 0.5% copper, including 26 feet of 2.2% copper. During the 2009 review of the Asproyia permit area a total of 77 soil samples were collected of which 27 returned moderately to strongly anomalous results. These results indicate that there are gold values associated with the Cyprus style massive sulphides deposits. A follow-up program of regional soil sampling was carried out in 2010 throughout the Asproyia to Evloimeni area, in order to tighten up the spacing of the original 2008 program. Results of the Phase I 2010 exploration grid soil sampling have returned gold values up to 1.2g/t and copper values up to 1.5%. The IP survey carried out in early 2011 defined a strong chargeability anomaly with a weaker resistivity high through the south central portion of the grid. This is located in the vicinity of some historical rotary drill holes with up to 60m of 0.60% copper. No gold assays were carried out. The Northern Lion drill program was designed to test this chargeability anomaly. The seven holes drilled on the Asproyia permit were designed to test this area of anomalous geochemical and geophysical results. The majority of the Asproyia grid area is underlain by Basal Group rocks and the style of mineralization encountered in the drilling reflects this environment. Chalcopyrite filled fractures and stringers up to 1cm wide were intersected in all holes. Drill hole 11AS02 returned 0.57% copper over a 49.7m interval. Asproyia - Significant assay drill results:
 Chalocpyrite veining at Asproyia  Ancient Workings at Asproyia 
Evloimeni ProjectThe Evloimeni property is the northernmost of the Company's western permits. Northern Lion has entered into an option agreement to earn 90% interest by issuing common shares and making payments to SES. On the Evloimeni property a small historical cut approximately 75m by 125m had been partially excavated while testing for copper and pyrite bodies. The project is located to the southeast of and along the same trend as the old Limni orebody which was mined in the 1930's. Limni was one of the larger orebodies on the island and at least 4.2 million tonnes of material at a grade of 1.4% copper was produced from this operation. During the 2010 exploration program a chip and channel sampling program was carried out over the exposures in the pit and along trend to the southeast. Highlights of this sampling include 1.13g/t gold over 22.6m across the bench and grabs of up to 30.8 g/t gold from the wall of the upper bench. Five holes were completed during the 2011 drill program, hole 11EV01 was drilled in the base of the old cut and intersected a zone of anomalous gold mineralization between 8.4 metres and 50.4 metres, with a higher grade portion from 8.4 metres to 32.7 metres averaging 1.3 g/t gold. Anomalous copper and zinc are also associated with this zone. Hole 11EV02 located approximately 120 metres southeast of EV01, was collared on a bench of the cut and was designed to test the 30 g/t surface gold anomaly. This hole intersected what appears to be a feeder system from 3 metres to 26.3 metres which averaged 0.6 g/t gold, with a higher grade interval from 3 metres to 15 metres averaging 1.07 g/t gold. Locally grades of up to 4.6 g/t over 1.0 metres occur beneath the high grade surface samples. Hole 11EV03 was designed to test a target to the southwest of the main cut where a grab sample from a water well drill cuttings returned over 1 g/t gold. This hole intersected unaltered pillow lavas from 0 to 45 metres then intensely argillic altered lavas locally containing zones of massive and semi massive pyrite. Anomalous gold mineralization is present from 45.4 metres to 92.4 metres, with sporadic zones of anomalous copper up to 0.85% over 0.9 metres, and zinc up to 5.8% over 1.8 metres. Anomalous gold mineralization was encountered from 4.5 to 35.85 metres in hole 11EV04. This hole is located at the southeastern edge of the old workings and targeted a series of surface rock samples containing over 1 g/t gold. The following table contains the assay results for the Evloimeni drilling.
** No significant results  Red Hill & Red Rock ProjectsNorthern Lion has an option with Poullaides to acquire a 100% interest in the Kokkinovounaros Project ("Red Hill") located in the Kambia-Kapedhes Region of the Republic of Cyprus. At Red Hill some pre-WWII gold workings focused on a substantial gossan covering the peak of a small hill. In the 1950's Hellenic Mining acquired this area under an exploration permit and through a combination of geochemical and geophysical techniques identified a massive pyrite body (Kambia Mine) approximately 500m to the northwest of Red Hill which is known as Red Water. This became their main focus of attention and ultimately produced 330,000 tonnes of pyrite. It contained a copper rich zone at the northwest edge of the main body of pyrite. During this period Hellenic Mining drilled five holes on the Red Hill workings and the samples were analyzed analyzed for gold, all of which were reported to have assayed over 1g/t for the entire hole to a maximum depth of 50 metres below surface. No other holes drilled in the area by Hellenic or the Geological Survey of Cyprus were analyzed for gold. Significant historical results from this area include 143 metres of 0.4% copper to the south of Red Hill and 40 metres of 1% copper in a hole to the northwest (Red Rock) of Red Water open pit. During the 2010 drill program Northern Lion drilled a total five holes totalling 673.8 metres at Red Hill within the historical gold zone exposed at the top of the hill and a copper zone along the southern edge of the gossan. A vertical hole in the center of the gold anomaly was designed to determine the distribution of gold within the extensive gossan exposed at the top of the hill. All of the historical holes were less than 50 metres deep and Northern Lion's first hole was drilled to 135 metres to determine the actual depth of the gold mineralization. Northern Lion's holes 10RH02 and 05 were angled holes to provide a cross section of the mineralized zone which is believed to be subvertical. The copper zone along the southern edge of the Red Hill gossan was tested by holes 10RH03 and 04 as the historical drilling was not assayed for gold. Surface sampling had returned values up to 6.64 g/t gold associated with intensely argillic altered pillow lavas of the Upper Pillow sequence. The highest gold value received from the drill program was 0.6 g/t over 1.5 metres, indicating that the source of the surface gold may not be associated with the northerly trending structure tested. Two of the five holes tested the copper bearing zone at the south end of the open pit, where a chalcocite bearing zone was intersected in hole 10RH03 from 20 metres to the end of the hole at 48.3 metres. This interval assayed 0.71% copper and 0.12 g/t gold, with a higher grade 12 metre interval from 31 to 43 metres containing 1.19% copper. This chalcocite zone was also encountered in hole 10RH05, 240 metres to the northwest. The Red Rock project is located over a kilometre to the northwest of Red Hill. Three historical drill holes encountered sulphide mineralization, one of which reported an assay of 1% copper over 40m. The sulphides were fault bounded in all three holes. This sulphide body has not been fully delineated and gold was not analyzed. Northern Lion drilled one hole at Red Rocks during the Phase I drill program to verify the historical copper results and to test for any associated gold values. No significant assays were received from this hole.   Open Cut at Red Hill  Looking south from Red Hill  Looking North at Red Water, Mined in the 1950's for pyrite  Red Water past producer of pyrite - looking East  Pitha ProjectThe Pitha project forms part of the Kambia Exploration Permits, which incorporate the Pitha and Peristerka massive sulphide bodies. Northern Lion has an option to earn 100% of the Pitha project. Peristerka which consisted of two adjacent vertical massive sulphide bodies, was mined in the 1970's for pyrite, but also contained a high grade copper and zinc portion in the western orebody. The Peristerka orebodies contained 1.12 million tonnes at an average of 0.8% copper, and an unknown gold grade. At Pitha (1km to the west) the area was partially pre-striped preparing for production when the Turkish invasion of 1974 halted activities. The company operating Peristerka went bankrupt when their ore stockpile sitting at the port of Famagusta was seized during the invasion. Historical drill data indicates a vertically oriented massive sulphide body in excess of 500,000 tonnes. No gold assays were carried out during the period when the massive sulphide was drilled. The 2010 exploration program was designed to confirm the presence of this body and to provide core samples to better understand the structure and mineralogy of the mineralization including the gold potential of this area. Previous drilling had all been rotary and no chips or detail logs were available. During the 2010 drill program two holes were completed at the Pitha open cut and were designed to test at depth the surface chip samples. The majority of the gold and copper surface values are located at the western end of the existing cut. In addition one of the historical holes in this area assayed 0.75% copper over 40m. Hole 10PT01 was oriented to intersect this vertical hole at a depth of 65m and to continue through the postulated down dip extension of the surface sampling. Hole 10PT01 was oriented at Az 220 and -55 degrees to test the mineralization noted in the historical hole RH-71. Hole 10PT01 intersected a 44 metre thick zone of copper, zinc, silver and gold mineralization, starting at 38 metres. Within this interval are several zones of massive to semi massive sulphides, consisting of pyrite, chalcopyrite and sphalerite. The highest zinc grades are located at the top and base of the interval. The top of the interval, from 40 to 51 metres returned 1.75% zinc and at the base of the interval from 76.6 to 81 metres returned 2.71% zinc. Narrow lenses of chalcopyrite rich massive sulphide were encountered near the base of the interval and assayed > 1.3% copper over 2 metres. Gold values while not high are significantly anomalous throughout the entire interval and appear to correlate well with the zinc grades. A second deeper zone was encountered from 135.5 to 153 metres. This indicates that there could be multiple stratigraphic horizons of massive sulphide. The 2011 drill program was designed to follow-up on the 2010 results and test geochemical and geophysical Induced Polarization (IP) targets. A single hole (11PT03) was drilled within the pre-existing cut to test for a possible extension of the massive sulphide zone encountered in a hole drilled in 2010 (10PT02), which returned 4.9 meters of 5.1% copper and 0.2 g/t gold within a larger interval of 38.9 meters of 0.8% copper and 0.2 g/t gold). Narrow intercepts of massive pyrite were encountered with minor copper and zinc values. Holes 11PT04, 05 and 06 tested IP targets with coincident geochemical anomalies in the southern portion of the property. In 11PT04 a 33.8m zone contained anomalous gold and silver mineralization starting near surface and correlates with surface rock samples containing up to 2g/t gold. Sporadic gold values were intersected along with stringer type copper mineralization in holes 11PT05 and 06. These intercepts occur within the Basal Group rocks, that underlie the lower pillow sequence. Hole 11PT07 tested a strong IP chargeability anomaly in Lower Pillow Lavas associated with a weak soil anomaly 400m north of the cut area. Abundant disseminated to stringer type pyrite mineralization was encountered with minor gold, copper and zinc values. Holes 11PT08 and 09 targeted a combined IP chargeability and zinc-gold soil geochemical anomaly within the Upper Pillow Lava series. Strongly altered pillow lavas were encountered in 11PT08 with weakly anomalous gold values. Drill hole 11PT09 intersected a major northerly trending structure carrying anomalous values in gold, silver copper and zinc over a width of 29.9m. Within this large structure a narrower zone of 9.6m contained elevated gold, silver and zinc values that correlate with a zone of surface gossans. Pitha - Significant assay drill results:
 Sample Maps of the entire Pitha Pit and the west end of the Pitha Pit:  Anglesides ProjectThe Anglesides project is 100% owned and located in the Larnaca district of the Republic of Cyprus. A small amount of mining was carried out within the Anglesides project area in the 1930's by the Cyprus Mines Corporation, when it reportedly extracted 88 long tonnes of cuprous pyrite grading 5.98% copper. At the same time 1,336 short tonnes of auriferous ore were extracted grading 24.5 g/t gold and 86.4 g/t silver. A series of gossanous outcrops occur over an area of 150 by 100 metres ("m") within a northerly trending gulley. Pyrite, chalcopyrite and sphalerite mineralization occurs within a variably silicified stockwork. The Company completed a series of chip and grab samples throughout this gulley and received grab samples as high as 50.1 g/t gold (reported September 15, 2010). Drilling by the Geological Survey of Cyprus in 1970 located immediately east of the main gossans intersected 15.3m of 2.3% copper (gold was not assayed). In 1977 Noranda acquired the project and drilled additional holes and confirmed these results. Noranda also analyzed a portion of this drill hole for gold and returned an interval from 7m to 19m that assayed 1.44% copper and 4.4 g/t gold. No other gold assays within the historical drilling appear to have been carried out. Drilling by the Geological Survey of Cyprus and Noranda has shown the presence of widespread and locally intense silicification in the Anglesides area. Historical Induced Polarization ("IP") surveys in this area indicated strong resistivity anomalies on the property some of which are associated with the silicification noted in the drilling. A grid based soil geochemical survey was carried out over the area of the known mineralization, and extended to the north and east as these are the geologically prospective areas. Anomalous copper and gold values were recorded over the showings and over an area of gossanous outcrops approximately 500m to the east. An IP survey was completed over the Anglesides grid which showed a weak chargeability anomaly associated with the zone of surface mineralization. A separate zone of high resistivity was noted in the southwest portion of the grid. In 2011 six diamond drill holes were designed to test several target types; the area immediately surrounding the surface rock sampling, a strong IP resistivity anomaly located southwest of the surface sampling, and a weak IP chargeability high to the east. It is hypothesized that the gulley tested by the surface sampling may represent an ancient open pit mined by the Romans. The material sampled by the Northern Lion field crew, including 10m of 6.6 g/t gold, (reported September 15, 2010) is now thought to be the material that was left behind on the walls of the excavation, after Romans had removed the high grade massive sulphides. The Company has followed up on results from the previous diamond drill program and various soil and surface rock samples and received results for seven vertical rotary holes totaling 272.37m. Four out of the seven holes returned significant results, (see table below). These assays represent the first results from the ongoing reconnaissance rotary drilling program that began in July 2011. The grade and location of the mineralization within the stratigriaphic section at Anglesides is similar to the mineralization found at St. Nikolas. In both locations there are unweathered and silicified massive sulphides at or close to the contact with the overlying sedimentary sequence. Additional holes are planned to better define the strike and extent of the mineralized zone. Anglesides - Significant Rotary Drill Results:
Sha ProjectThe Sha Project is held 100% by a fully owned subsidiary of Northern Lion. To date Northern Lion has completed limited exploration within this project area. However, the area contains several past producers and extensive favorable horizons that will require further follow up.  The alteration colours of the west wall of the Sha Pit  The Sha Pit was mined from 1937 to 1943 for gold, no production numbers have been recorded.  Limni ProjectNorthern Lion has permits and applications for over 20km strike length of favourable mineralized horizons along the south west margin of the Troodos Ophiolite complex. The south western flanks are poorly explored in modern times and is largely open for claiming and exploration. The pillow and other lavas along the south western flanks of the Troodos Complex:
 Evole Cut -- grab sample returned 7.3 grams per tonne ("g/t") gold and 17.6 g/t silver  Skouriotissa Copper operation - Cyprus |
| |
| | |
| Home Corporate Projects News Investors Qwikreport Contact Us |  |
| |
