Noront Resources Ltd. is pleased to provide an update on exploration and financing activities.
The Company completed Phase 1 of its nickel-copper-platinum-palladium exploration program at the end of November. Some compelling IP anomalies within three kilometres of Eagle's Nest were probed by UTEM 5 surveys, resulting in the delineation of a highly conductive target 250 metres to the northeast of the known orebody. The UTEM 5 system has been demonstrated to double the extent of vertical penetration of previous electromagnetic surveys, detecting massive sulphide conductors at depths of up to 450 meters and is also capable of detecting super-conducting massive sulphides at low frequency settings.
Phase 2 of the program will begin in early January with similar IP screening of the favourable footwall contact followed up by UTEM 5 coverage. This round of surveys will concentrate on prospective areas up to ten kilometres north and northeast of Eagle's Nest focusing on footwall zones with existing nickel-copper-platinum-palladium showings. Drill testing of the UTEM 5 conductors will begin in late January 2016.
Noront is finalizing an amending agreement with its largest shareholder, Resource Capital Fund V ("RCF") to extend the term of its existing US$15 million convertible debenture and to satisfy the repayment of the US$2 million bridge loan with RCF both of which are scheduled to mature and become due and payable on December 31, 2015.
The Company has also issued 2,446,552 shares at a deemed issue price of $0.46 per share in satisfaction of advisory fees in relation to the previously announced financing of the purchase of the Cliffs Chromite Assets which closed on April 28, 2015. The issued shares are subject to a four month hold period which will expire on April 30, 2016.