Sail Pond

Project Highlights

Sterling Metals has the option to earn 100% of this project via $500,000 in spending by October 2, 2021 and $1,500,000 in spending by October 2, 2023.
High-grade, silver, copper, lead and zinc associated with quartz-carbonate veining
Rock sample analysis of 2,030 g/t silver, 7% copper, 9% lead, 2.3% zinc and 0.5 g/t gold
Two defined target zones – combined strike-length of 9 km
Discovered in 2016, no prior drilling and $1,500,000~ spent to date
Large project area (13,500 Ha), road accessible and with nearby services and airport
Straight forward provincial permitting process

SAIL POND PROJECT AREA VIEWING NORTH FROM THE SOUTH MINERALIZED ZONE

Location and Ownership

13,500 Ha project located on Newfoundland’s Great Northern Peninsula, eastern Canada
Easily accessible by a series of paved highways, forest access roads and trails
Adjacent to many regional services and within 32 km of the St. Anthony regional airport
Option to own 100% interest subject to a 2% NSR

SAIL POND PROJECT LOCATION

Coordinates: 578000mE, 5657000mN (NAD27, UTM Zone 20N)

Geological Setting

High-grade Ag plus Cu, Pb, and Zn mineralization found at Sail Pond unique for eastern Canada
Laurentian Margin – Humber Tectonostratigraphic Zone
Geology records a prolonged geological history as part of the Appalachian Orogenic cycle
Active to passive margin environments represented by Early Cambrian to Middle Ordovician rift-related siliciclastics to platformal carbonates
Parautochthonous and allochthonous displacement resulting in westward verging folds and NE orientated thrust faults and shear zones
Dominantly carbonate-hosted Zn ± Pb, Ag occurrences in the region; e.g. Daniel’s Harbour – 7 Mt @ 7.8% Zn (mined between 1975-1990); minor Cu occurrences

GEOLOGICAL MAP OF NEWFOUNDLAND

Geology & Distribution of Mineralization

GEOLOGY OF THE SAIL POND PROJECT

(1:50K scale mapping from Stouge, 1983)

Mineralization

High-grade Ag plus Cu, Pb, Zn (± Au) mineralization within two zones exposed at surface
Main sulphide species; tetrahedrite, sphalerite, galena, boulangerite, chalcocite
Combined strike-length of 9 km; up to 200 m wide; remains open to the north and south, and a depth
Quartz-carbonate vein hosted – orogenic, multi- stage; cm to meter-scale widths
Lower to Mid-Ordovician dolostone (or dolomitized limestone) is the primary trap rock; stratabound and
brittle fracturing
Silica, dolomite ± calcite ± sericite alteration
Quartz veins related to D2 (transtensional) & D4 (compressional) deformation events
Adjacent to the west margin of the White Arm Window doubly-plunging anticline; bounded and adjacent to major thrust/shear zones

Recent Exploration Work

Preliminary prospecting and mapping – definition of the two mineralized zones (South and North Zones), as well as additional occurrences
Collection and multi-element analysis of > 250 rock grab samples from the main zones
Structural study of the mineralized quartz veins and host rocks
Characterization study of mineralization (petrography combined with SEM and multi-element analysis)
Collection and analysis of 4021 B-horizon soil samples – “real time” pXRF analysis, predominantly for Cu, Pb, Zn
17 excavations of new mineralized outcrop exposures for a total 1.28 Ha (6 in the South Zone, 11 in the North Zone) – several sites left open for future use; all excavated areas photographed using a Drone and mapped; collection and multi-element analysis of 1034 channel samples (average length of 1.1 m)
A NI 43-101 technical report was prepared on the project by Dr. Stephen Piercey of Memorial University
A physical properties database was established for the major rock-types found within and around the mineralization zones (i.e. specific gravity, magnetic susceptibility, resistivity, chargeability)
A 105 line-km grid was cut followed by an IP and Resistivity survey (Abitibi Geophysics)
A small gravity survey was conducted in three areas (MES Geophysics Inc) following up on chargeability targets

Multi-element Soil Geochem Highlights Zones

Cu in soils being used here as a proxy for Ag – rock grab samples of Cu vs Ag shows a positive correlation (R2 = 0.92)

IP + Resistivity (105 line-km)

Targets

NI-43101

Click here for the September, 2020 NI-43101 Technical Report for the Sail Pond Project

Qualified Person’s Statement

Roderick Smith, M.Sc., P.Geo., Chief Geologist for Altius, is the Qualified Person as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects. Mr. Smith is responsible for the scientific and technical data presented herein and has reviewed and approved this project summary.

Project Information