Duluth Metals to Mobilize and Commence Exploration Drilling at South Kawishiwi Intrusion

Duluth Metals has announced that it will mobilize and begin an immediate exploration drilling at the company’s main land positions, located in the Duluth Complex’s south Kawishiwi intrusion (SKI) in Minnesota.

This has been done with respect to the receipt of Bureau of Land Management (BLM) prospecting permits that may be issued on 20 September, 2012.

Drilling target areas, which are located on the East and Nor'East shore exploration properties, are adjacent to the Nickel Lake Macrodike. This geological characteristic is considered to be the main feeder structure for the mineralization, containing copper, gold, nickel, palladium and platinum, identified in the SKI.

Duluth Metal’s President, Vern Baker stated that the East and Nor'East Shore exploration properties were specifically applied based on a geological model devised by the company’s Senior Vice President for Exploration, Dr. Dean Peterson. The company believes that these properties have high potential to house identical mineralization near the Maturi deposit, as the Nickel Lake Macrodike is considered to be the origin of adjacent mineralization. It is planning to move drill rigs and start a detailed drilling campaign to examine these important properties for magma conduit-hosted type targets, once the prospecting permits are received.

The exploration program is mainly targeting the East and Nor'East Shore properties for mineralization containing copper, nickel and PGM, identical to other popular deposits in the Duluth Complex.

The Nor'East property lies at the corner of the South Kawishiwi and Nickel Lake Macrodike Intrusions and shows a main target region for the company. Geological modeling shows that the property has the capability to house a "Voisey's Bay" type huge sulfide target area.

The three primary drill targets are Target area 1, the Nickel Lake Macrodike, Target area 2, which is 2 mi. towards the Nickel Lake Macrodike’s southern part, and target area 3, the Heart Lake or Harris Lake.

A 7,053 line-km aerial Magnetic-VTEM survey, a geochemical survey, a comprehensive ground gravity survey, and a detailed geological mapping campaign have been completed and the company has outlined high-priority exploration target areas at the East and Nor'East Shore properties.

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