Spruce Ridge Announces Encouraging Preliminary Results from Mineralogical Studies on the Crawford Property

Crawford Nickel - Cobalt Project

PUSLINCH, ON / ACCESSWIRE / June 11, 2019 / Spruce Ridge Resources Ltd. (TSX-V: SHL) - ("Spruce Ridge" or the "Company") is pleased to announce the results of mineralogical studies on drill core samples from the Company's Crawford project near Timmins, Ontario (see Figure 1). The recent 1,818-metre, 4-hole drill program resulted in wide intersections of up to 558 metres of serpentinized peridotite and dunite with consistent concentrations of nickel, cobalt, palladium and platinum (see news release of March 1st, 2019).

Twelve samples of drill core were selected from 1.5-metre analyzed intervals, to cover a range of nickel, cobalt and palladium contents as well as differing degrees of serpentinization and a range of sulphur contents. Polished thin sections were made from the core samples and were examined under reflected-light microscope and a scanning electron microscope (SEM), which provided chemical analyses of individual mineral grains to aid in their identification.

The following minerals were identified as carrying most of the nickel and cobalt (in order of decreasing abundance): pentlandite (nickel-iron sulphide), heazlewoodite (nickel sulphide), awaruite (nickel-iron alloy) and minor godlevskite (nickel sulphide with minor iron). The pentlandite, which dominates the sulphide mineral assemblage, typically contains between 3% and 4% of cobalt by weight. Grain size varies from 5 to 100 microns, with most of the cobaltiferous pentlandite being in the coarsest fraction.

Also noted in small quantities, were an unknown cobalt-nickel-iron sulphide mineral and an unknown copper-iron-palladium-platinum oxide mineral with the approximate composition 40% Cu, 15% Pd and 1% Pt.

In addition to the mineralogical identification, additional analysis was performed on pulps of the 12 core intervals from which the mineralogy samples were taken. The original multi-element analysis was performed by ICP-OES on samples prepared by sodium peroxide fusion, which digests the entire rock to give total concentrations of the analyzed elements. The new analysis was also done by ICP-OES on samples digested in aqua regia, which will dissolve sulphides, oxides and metallic minerals but will not have an effect on silicate minerals like the olivine which originally contained most of the nickel and associated metals, or the serpentine that formed during low-temperature alteration of the rock. The aqua regia analyses give an estimate of the percentages of nickel and cobalt that were "liberated" during serpentinization. The following table gives the original peroxide fusion-ICP and the aqua regia-ICP analyses of nickel and cobalt, and the percent of "liberation". The reader is cautioned that not all the "liberated" metals would be recoverable because some of them are in very fine mineral grains.

Mr. Ryan stated "We are very encouraged by these preliminary results which suggest that a significant portion of the metals contained in this deposit may be recoverable by conventional metallurgical processes. We will continue to explore and evaluate the Crawford ultramafic complex, which is 3.8 kilometres long and 1.9 kilometres wide. So far, we have barely scratched the surface."

Figure 1

Future plans for the Crawford project include additional drilling to assess the dimensions of the mineralized zone, and additional metallurgical tests to determine how much of the nickel and associated metals are recoverable by standard methods.

Spruce Ridge and its joint-venture partner, a group of private investors, have the option to earn up to 75 percent interest in 2,000 hectares of the Crawford project from Noble Mineral Exploration Ltd.

Technical material in this news release has been prepared and/or reviewed by Colin Bowdidge, Ph.D., P.Geo., a Qualified Person as defined in National Instrument 43-101. Analyses quoted in this news release were performed by Activation Laboratories Ltd. ("ActLabs") in their Timmins and Ancaster facilities.

About Spruce Ridge Resources Ltd.

Spruce Ridge holds a 100% interest in the Great Burnt Copper-Gold Property in Central Newfoundland which covers a series of copper ± gold rich VMS deposits. Spruce Ridge and its joint venture partner, a private investor group, are currently drilling magnetic and EM anomalies in a complex of ultramafic and mafic intrusive rocks that have been interpreted as prospective for nickel mineralization, on the optioned Crawford property 45 kilometres north of Timmins, Ontario. In 2015, Spruce Ridge optioned its Viking/Kramer gold properties in Western Newfoundland to Anaconda Mining Inc. The Company also has a 50% joint venture with Americas Silver Corporation on property that contains tailings with low grade gold and silver from the Drumlummon Mine in Montana.

For further information please contact:

John Ryan, President and CEO
Spruce Ridge Resources Ltd.
Phone: 519-822-5904
Email: [email protected]

Cautionary Statement

Neither 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. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

The foregoing information may contain forward-looking statements relating to the future performance of Spruce Ridge Resources Ltd. Forward-looking statements, specifically those concerning future performance, are subject to certain risks and uncertainties, and actual results may differ materially from the Company's plans and expectations. These plans, expectations, risks and uncertainties are detailed herein and from time to time in the filings made by the Company with the TSX Venture Exchange and securities regulators. Spruce Ridge Resources Ltd. does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.

SOURCE: Spruce Ridge Resources Ltd.