Sudbury

The Sudbury nickel assets include a large property package comprised of 309.84 km2 within 37 properties, including the Parkin, Wisner, North Range, Windy Lake, Trill, South Range, South Range West and East Range Wahnapitae projects (collectively, the “Sudbury Project”). The Sudbury Project is located within the world-class mining district of Sudbury, with the individual properties acquired on the basis of recognised prospective geological settings and proximity to several significant producing mines.

NorthX believes that offset dykes, particularly at the Parkin and Trill projects may retain considerable upside discovery potential for high-grade nickel that remains open at depth with insufficiently drilled high-grade ore shoots present at variable depths. Discovery upside may exist for copper-rich footwall-style mineralization along strike from large producing mines within the East and South Range project areas. The Windy Lake and Cascaden properties retain potential for sub-layer style massive Ni-Cu sulphide mineralisation.

There is significant optionality for funding and developing the known deposits and prospects on other areas of the Sudbury Project.

Figure 1 – Sudbury Properties Location Map

Overview

The Parkin project consists of four properties (Glencore Parkin, Milnet, Parkin CBA, and Parkin East) covering 23 km2 located on the northeast corner of the Sudbury Basin, approximately 45 kilometres north-northeast of the town of Sudbury, Ontario.

The Parkin properties are being explored for high-grade polymetallic nickel, copper and PGEs within the 9.5-kilometre strike length of the Parkin Offset Dyke in Sudbury, Ontario. The properties include the past-producing Milnet mine, the high-grade Milnet 1500 Zone, the historic near-surface Glencore Parkin resources, the Malbeuf Zone, and a number of high-grade surface occurrences.

Significant economic examples of offset dyke type Ni-Cu-PGE sulphide mineralization include the prolific deposits at Vale's North and South Mines hosted by the Copper Cliff Offset dyke; Vale's new Totten mine in the Worthington Offset Dyke and KGHM International Ltd.'s recent discovery on its Victoria project, also hosted in the Worthington Offset dyke. Ni-Cu-PGE sulphide mineralization within these offset dykes is commonly associated with specific units such as inclusion quartz diorite (“IQD’) ± meta-breccia units and is often concentrated within structural traps in the dykes such as vertical or horizontal pinches/terminations, flexures in the dyke, splays/convergences of the dyke, along margins or “pressure shadows” of large blocks caught up in the dyke. The location of currently known Ni-Cu-PGE sulphide mineralization in the Parkin Offset dyke indicates similar controls.

The quality of the mineralization found in the Parkin Offset is high. The average nickel tenor for the mineralization found within the Parkin Offset is approximately 4%, which is comparable to the tenors of some deposits found in the Copper Cliff Offset dyke.

Milnet Mine

The historic Milnet mine produced 157,130 tons averaging 2.26 g/t Pt, 2.98 g/t Pd, 0.93 g/t Au, 1.49% Ni and 1.54% Cu. At the time of production, orebodies #1 and #2 were mined to a depth of approximately 150 metres.

Between 2008 and 2012, Wallbridge completed drilling on the Parkin properties through a joint venture funded largely by Impala Platinum Holdings Limited (“Implats”). Drilling in 2009 beneath the Milnet mine discovered the Milnet 1500 Zone, which yielded significant high-grade Ni-Cu-PGE mineralization. Drilling from 2010 to 2012 was directed further north with much deeper drilling beneath the Milnet mine following the Milnet 1500 discovery.

Significant intersections at the Milnet 1500 Zone included: 0.78% Ni, 2.57% Cu, 1.50 g/t Pt, 2.52 g/t Pd, and 3.99 g/t Au over 14.24 m from 1,499.66 to 1,513.90 m (2009, hole WMM-014) and 4.11% Ni, 0.60% Cu, 1.40 g/t Pt, 2.68 g/t Pd, and 0.23 g/t Au over 8.0 m from 1,473 to 1,481 m  (2011, hole WMM-015-W2). Modelling of mineralized intersections and borehole electromagnetic geophysics indicate that the Milnet 1500 Zone is a minimum of 400 metres by 35 to 60 metres with an unknown true width. The full extent of the zone is not known and most of the dyke in the area has not been tested by drilling.

Glencore Parkin

A historic surface resource was reported in 2002 on the Glencore Parkin property and included five zones along a strike length of ~700 metres, which are less than 200 metres from surface. It included an Indicated resource of 264,000 tonnes grading 0.70% Cu, 0.65% Ni, 0.62 g/t Pt, 0.80 g/t Pd and 0.23g/t Au, and an Inferred resource of approximately 87,000 tonnes grading 0.7% Cu, 0.4% Ni, 1.2 g/t Pt, 1.1 g/t Pd and 0.6g/t Au. These historic mineral resources occur at surface and above 200 metres depth.

Drilling in 2015 and in early 2016 by the Wallbridge-Lonmin JV significantly expanded the extent of the near-surface mineralization around the historic resource at Glencore Parkin and identified several areas with significantly thicker mineralization than previously intersected (i.e. 24.25 m of 1.22% Ni, 1.50% Cu, 0.81 g/t Pt, 0.96 g/t Pl and 0.38 g/t Au from 35.60 to 59.85 m in hole WMP-170). One objective of the 2016-2017 program was to determine the viability of initial bulk sampling within the top 50-100 metres from surface. Another objective was to establish a significant resource from surface to 600 metres depth with an exploration target of 1.5-5.0 Mt with typical Sudbury grades.

In addition, several drill holes intersected significant mineralization at shallow depths outside of the historic resource:

• Hole WMP-195 with 1.36% Ni, 1.02% Cu, and 1.59 g/t TPM (including 0.67 g/t Pt, 0.74 g/t Pd, and 0.18 g/t Au) over 7.46 m from 58.60 to 66.06 m.
• Hole WMP-199 with 0.85% Ni, 1.61% Cu, and 1.40 g/t TPM (including 0.61 g/t Pt, 0.64 g/t Pd, and 0.15 g/t Au) over 10.30 m from 77.0 to 87.3 m.

Several significant intersections drilled subsequent to, and below the historic surface resource are open laterally and to depth, and are either associated with off-hole BHEM conductors that have never been drill-tested or in-hole BHEM conductors that extend past the hole.

CBA Parkin North Block

At the Milnet mine, and near the southern boundary of the CBA Parkin north block, the dyke follows two left-stepping (northwest trending) flexures, each for about 250 metres. The dyke is discontinuous along these flexures with pinched terminations interpreted to be a structural control on the Milnet mine mineralization. North of these flexures, the dyke is between 30 and 90 metres thick and strikes NNE for several kilometres. The dyke generally consists of massive quartz diorite (QD) on the margins with inclusion quartz diorite (IQD) and minor meta-breccia (an inclusion bearing phase with a partial melt matrix) in the centre. Compared to the areas south of Milnet Mine, the northern portion of the offset dyke is relatively underexplored.

Figure 2 – Parkin Project Cross Sections

Figure 3 – Parkin Project Boundaries

Figure 4 – Parkin Offset Dyke