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Canadian North Identifies Extensive Granitic Pegmatites Potentially Hosting Lithium-Bearing Minerals at Ferguson Lake Property

Canadian North Resources Inc. is pleased to report the identification of extensive granitic pegmatites potentially hosting lithium-bearing minerals over the 253.8 km2 area of the 100% owned Ni-Cu-Co-Pd-Pt Ferguson Lake property. The potential for lithium minerals has never been explored at the Ferguson Lake area. The Company will undertake its first lithium-specific exploration programs during 2023.

“We are examining the granitic pegmatites for their potential for hosting lithium minerals over the large area at the Ferguson Lake project.” Said Dr. Kaihui Yang, President and CEO, “We reviewed the regional geology and noticed the potential for lithium minerals, while aggressively drilling to expand the mineral resources of the Ni, Cu, Co and PGM-rich mineralized zones at the Ferguson Lake project. We are exploring and assessing all the valuable critical minerals that could possibly be present over the area.”

The Ferguson Lake area is located in southern part of Nunavut within the northern Canadian Shield that holds a world-class potential for critical minerals including nickel, copper, PGM, diamond, lithium, uranium and rare earths. The review of the regional geology over the Ferguson Lake area was carried out on historic exploration data, and geological maps and reports completed by the governmental geological surveys and the previous owner of the project. The regional geology and tectonic environment are favorable for lithium mineralization, although no lithium exploration was previously carried out.

In particular, the granitic pegmatites, as recorded in the historic geological maps (Figure 1), were identified from the outcrops in large areas on the surface of the Ni-Cu-Co-PGM mineralized West Zone and the East Zone. In the East Zone (Figure 2), the pegmatites occur with quartz diorite, granite, gneiss and mafic outcropping rocks over an area of 4.5 km long by 1.5 km wide. The pegmatites were also found in some drill cores testing south of the East Zone. Similar pegmatites had been mapped over an area of 2.0 km by 1.2 km in the West Zone.

The pegmatites occur as dike swarms in those two areas and were recorded in outcrops as veins and plugs of variable width within amphibolite (metamorphosed mafic intrusions or volcanics) and gneiss over both the core mining leases and surrounding the exploration claims. Little is known about the areal extension of those pegmatite bodies.

These pegmatites could potentially bear the lithium minerals; however, no work has been completed on their mineralogy and geochemistry. The Company has commenced an investigation of the lithium potential associated with these pegmatites. The Company has planned its first lithium-specific exploration programs which include geophysical survey, geological mapping and outcrop sampling on the pegmatite dike swarms and veins, followed up with drill test in 2023.

Qualified Person:

The technical contents of this news release have been reviewed by Dr. Trevor Boyd, P.Geo., a qualified person as defined by Canadian National Instrument 43-101 standards.

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