Wale Property -- Eagle Target defined in red; distance between DH-1 and DH-3 is 1,190 metres.

Wale Property — Eagle Target defined in red; distance between DH-1 and DH-3 is 1,190 metres.

The Eagle target lies mainly on the Wale claims and extends southward onto the Polar claims, a small package of adjoining claims totalling 2.4 square kilometres that was optioned by First Point in late 2012 from Greenrock Exploration Ltd., a private jade mining company (see First Point’s news release dated December 17, 2012).

The Eagle target is a large anomalous northwest-southeast trending zone of fine-grained nickel-iron alloy mineralization extending more than 3 kilometres in length, and containing zones of abundant coarse-grained awaruite with corresponding nickel-in-alloy grades that exceed 0.1%.

Wide-spaced exploration drilling of hole DH-07 at Wale "Eagle Target"; the Orca Target is visible to the northwest.

Wide-spaced exploration drilling of hole DH-07 at Wale “Eagle Target”; the Orca Target is visible to the northwest.

During 2012, a helicopter-supported drill program tested the Eagle target with 10 core holes totalling 2,764 metres. The holes were drilled from six sections spaced 510 to 1,210 metres apart. The drill results indicate the underlying ultramafic package of rocks host strong zones of disseminated, fine-grained awaruite carrying grades better than 0.5% nickel-in-alloy.

The tops of hole DH-1 and DH-2, and portions of holes DH-4, DH-5, DH-6, DH-9 and DH-10, encountered promising nickel-in-alloy grades exceeding 0.1%, and as high as 0.142%. Highlights included 162 metres of 0.137% nickel-in-alloy starting from 3 metres below surface in hole DH-1 (excluding internal dilution by five non-mineralized dykes totalling 23.1 metres in length), and 261 metres of 0.126% nickel-in-alloy over the entire length of hole DH-6 (excluding 10 non-mineralized dykes totalling 35.1 metres). A summary of the Eagle drill results and a drill hole location map are provided below.

Eagle Nickel-In-Alloy Drill Hole Results Measured by Partial Extraction Analytical Method

Hole
#
Cover
(m)
End of Hole
(m)
Intersections (m) Nickel-In-Alloy
(%)
Comments
From To Intercept
12DH-01* 3.1 303.0 3.1 188.0 161.8 0.137 Excludes 2.7, 4.8, 5.1, 7.9 & 2.6m dykes
and 188.0 303.0 115.0 0.049  
12DH-02* 4.6 340.8 4.6 35.3 30.8 0.111  
and 35.4 340.8 296.9 0.075 Excludes 2.9 & 5.4m dykes
12DH-03 3.1 306.9 3.1 306.9 294.2 0.053 Excludes 2.5, 2.3, 2.6 & 2.3m dykes
12DH-04 3.1 407.5 3.1 258.9 251.8 0.077 Excludes 4m dyke
and* 258.9 407.5 140.8 0.111 Excludes 3 & 4.8m dykes
12DH-05 6.1 361.9 6.1 255.1 223.1 0.061 Excludes 3.6, 4, 10.5, 2.4, 2 & 3.3m dykes
and 255.1 361.9 106.8 0.104  
12DH-06 4.3 300.2 4.3 300.2 260.7 0.126  
including 4.3 69.0 60.7 0.086 Excludes 4m dyke
including* 69.0 210.5 129.5 0.137 Excludes 2.3, 3.1 & 6.6m dykes
including 210.5 300.2 70.6 0.090 Excludes 3.7, 2, 6, 3, 2.1 & 2.3m dykes
12DH-07 2.6 108.8 2.6 108.8 106.2 0.083 Hole abandoned due to bad ground
12DH-08 12.9 178.9 12.9 46.0 27.0 0.099 Enters iron-carbonate alteration at 46m
12DH-09 31.0 303.0 31.0 140.0 109.0 0.060  
and* 140.0 194.0 54.0 0.142  
and 194.0 303.0 101.6 0.077 Excludes 7.4m dyke
12DH-10 3.5 152.4 3.5 152.4 140.2 0.100 Excludes 3.3 & 5.4m dykes

*The reported nickel-in-alloy grades are based on a threshold of 0.10%.

Eagle Drill Hole Location Map

Eagle Drill Hole Location Map

Follow-up Davis Tube metallurgical sampling of the drill core has identified a potential zone of coarser-grained awaruite mineralization amenable to magnetic recovery, based on 80% recovery of the partial extraction nickel-in-alloy values. The drill core returned DTR nickel values ranging from 52% to 108% recovery when compared to the partial extraction nickel-in-alloy results. The coarser-grained portion of the Eagle target is interpreted to measure more than 1,300 metres long and 170 to greater than 250 metres wide. It is open to the southwest and along strike to the southeast.

Anomalous samples from the Garth’s Knob target area, some 1,200 metres southeast of Eagle, were first discovered in 2011. Detailed mapping and sampling in 2012 further expanded the target area. The Garth’s Knob target measures 1,920 metres long and 350 to 950 metres wide as defined by 67 surface rock samples ranging in value from 0.062% to 0.216% nickel-in-alloy. Preliminary Davis Tube analysis showed approximately 42% of the nickel-in-alloy was recoverable by magnetic separation in 30 selected samples. The Davis Tube results suggest a coarser-grained awaruite corridor may exist along the southwest margin of Garth’s Knob, representing a potential extension of the Eagle target.

The 2013 field program at Wale will include ground-based magnetic surveys targeting the overburden-covered valley between the Eagle and Garth’s Knob target, and the potential southeast extension beyond Garth’s Knob. Detailed mapping and sampling will target the coarser-grained areas of Eagle and Garth’s Knob to define potential drill targets.

Coarser-grained Target Areas of Eagle and Garth's Knob

Coarser-grained Target Areas of Eagle and Garth’s Knob

Cautionary Note

Investors are cautioned that the exploration targets at Wale are early-stage exploration prospects, conceptual in nature. There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource.

The above technical information and all the other technical information on this website pertaining to geology and drill hole data was prepared under the supervision of First Point’s Chairman Dr. Peter Bradshaw, P. Eng., a Qualified Person as defined in National Instruments 43-101 – Standards of Disclosure for Mineral Projects.