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Philani Project
 Joint Venture Partner and drill collar on the Philani Project
Philani, hosts a partially defined orebody of high grade copper and zinc massive sulphide mineralization with significant gold values recently identified (this resource predates National Instrument 43-101 ("NI 43-101") and was not prepared in accordance with its requirements). The Company has obtained the right to earn a 100% interest in the Philani and Red Hill and Red Water projects through a combination of cash payments, work commitments and share issuance.
The following table contains a summary of the significant values returned from samples collected from a property evaluation trip. The results of that work clearly illustrate the potential of the Cyprus type massive sulphide bodies to host significant gold mineralization as well as high grade copper, zinc and silver.
Sample # |
Sample type |
AU g/t |
Cu % |
Pb % |
Zn % |
Ag g/t |
PH27 |
10-11m drill chips |
0.334 |
1.667 |
0.013 |
0.7 |
4.1 |
PH28 |
11-12m drill chips |
2.184 |
7.364 |
0.2668 |
7.15 |
67 |
PH29 |
12-14m drill chips |
1.637 |
8.043 |
0.1134 |
13.38 |
43.1 |
PH30 |
14-16m drill chips |
1.156 |
6.568 |
0.0807 |
17.59 |
36 |
PH31 |
16-20m drill chips |
0.173 |
1.697 |
0.0145 |
2.56 |
6.9 |
PH5 |
Grab from surface |
4.046 |
0.5999 |
0.0553 |
0.2343 |
162 |
All of the PH samples are from the Philani project, which has undergone limited drilling and contains a small resource (this resource predates NI 43-101 and was not prepared in accordance with its requirements). Samples PH27 through 31 are drill chips from hole DDH EXPL-1. At Philani the area of massive sulphide mineralization currently outlined by drilling covers 40m by 30m, is roughly elliptical in shape and remains open along the long axis. Northern Lion's previous surface sampling returned over 4g/t gold from a gossan located peripheral to the massive sulphide body. The current mapping has shown the anomalous gossan to be one of a series located along a northwest trend, none of which had been previously tested.
Research in the files of the Cyprus Geological Survey has uncovered historical drill data that indicates a hole located to the west of the massive sulphide body that appears to intersect a feeder zone. This hole encountered 24m of 0.4% copper, but was not analysed for gold. It is also proximal to the 4g/t gold assay from the surface gossan.
One of the recent Northern Lion permit application areas entirely surrounds the Philani project and is considered prospective for additional massive sulphide deposits nearby, as this is a hallmark of Cyprus style massive sulphide deposits.
An option agreement has been signed with the owner, Michael Poullaides, of the Philani, and Red Hill and Red Water projects whereby the Company may earn a 100% interest in the properties through a combination of cash payments, share issuances and work commitments according to the following schedule, subject to TSX Venture Exchange approval.
Philani Project
Due Date |
Cash Payment |
Shares |
Exploration Expenditures |
On signing |
€12,000 (paid) |
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1st Anniversary |
€5,000 |
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€20,000 |
2nd Anniversary |
€10,000 |
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€30,000 |
3rd Anniversary |
€10,000 |
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€50,000 |
4th Anniversary |
€25,000 |
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€75,000 |
5th Anniversary |
€650,000 |
200,000 |
€50,000 |
Total |
€712,000 |
200,000 |
€225,000 |
Red Hill and Red Water Project
Due Date |
Cash Payment |
Exploration Expenditures |
On signing |
€10,000 (paid) |
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1st Anniversary |
€5,000 |
€15,000 |
2nd Anniversary |
€5,000 |
€25,000 |
3rd Anniversary |
€10,000 |
€40,000 |
4th Anniversary |
€10,000 |
€40,000 |
5th Anniversary |
€225,000 |
€30,000 |
Total |
€265,000 |
€150,000 |
 Project Manager Sampling Philani outcrop that returned 4 g/t gold and 162 g/t silver
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