Metallis Provides Update on Nickel Targets at Kirkham Property

Metallis Resources Inc. (TSXV:MTS; OTCQB:MTLFF) (the “Company” or “Metallis”) is pleased to provide an update on its Thunder North and other newly identified targets for magmatic Ni-Cu mineralization within its 100%-owned Kirkham Property in the prolific Eskay mining camp in northwest British Columbia.

2018 Exploration Program

Metallis completed a detailed high-resolution (83.3m line spacing) VTEM Survey, as well as state of the art WorldView-3 satellite imagery which resulted in the identification of follow up targets on the Kirkham Property (click here to view map). An extensive Neogene volcanic carapace covers part of the Thunder North target, but gabbroic rocks crop out under the volcanic center to the immediate south, and leucogabbros occur as inclusions in volcanic breccias. A series of conductive targets were identified in association with strong magnetic responses in 2018. Two drill holes of 195m and 191m depth tested coincident magnetic and electromagnetic anomalies at the edge of the volcanic center and encountered magnetite-rich volcanic rocks that explains the geophysical response.

Metallis’s technical team, led by Dr. Peter Lightfoot, generated a series of targets for follow-up based on the discovery of olivine gabbro outcrops in the footprint of intermediate to felsic intrusive rocks of the Texas Creek Series. Moreover, olivine gabbro boulders with 25-26 wt.% MgO have been identified in Harrymel Creek, and based on this, two areas with coincident magnetic and conductive responses have been identified for follow-up in 2019. This work indicates that olivine gabbros are more widely distributed along the western margin of Eskay Rift than previously thought.

Highlights

• Petrographic thin section analysis confirmed the presence of olivine gabbronorite with 8.55% MgO which points to the potential to identify a small prospective intrusion at Thunder North (click here to view photomicrograph).
• A high-resolution VTEM Survey generated 25 coincident conductive and magnetic anomalies, outside of the footprint of the Neogene volcanic center. This highlights the potential to identify conductive sulfide mineralization in association with magnetic gabbroic rocks.
• Gabbroic boulder samples containing 25-26 wt % MgO from the Harrymel Creek were identified near to magnetic and electromagnetic anomalies in the Iliad and Terwilligen target areas.
• Field mapping in 2018 outlined extensive outcrops of the Hazelton Betty Creek unit at Thunder South and Terwilligen Creek. This is similar to the stratigraphic position of Garilbaldi Resources’ Nickel Mountain Gabbro Complex.

Thunder North and Thunder South collectively cover ~10km2 of the Kirkham Property and are early stage prospects, ideally located on the western margin of Eskay Rift system. Thunder North represents part of the Texas Creek suite “Lehto Pluton”, a segment of the Eskay Rift that has seen no historic exploration for nickel sulfide mineralization. The proposed trans-tensional faults and associated taxitic gabbros hosted by Hazelton’s Betty Creek unit are recognized as an important feature of nickel sulphide ore deposits in this district.

Metallis is planning an aggressive property-wide field program focused on differentiated and taxitic olivine gabbros and coincident VTEM conductors within the Betty Creek unit of the Hazelton Group, leading to a complete evaluation of the nickel potential on the Kirkham Property.

Metallis Chief Geologist, Dr. Razique commented “The pull-apart structural setting of the Eskay Rift and the presence of olivine gabbro in the Texas Creek Suite intrusions encourages further evaluation of the nickel sulfide potential of the Kirkham Property”.

Metallis President and CEO, Fiore Aliperti commented “We’re extremely pleased with the progress the team is making in developing our nickel prospects. The work achieved by our geological team over the last twelve months highlights the size and intricacy of tasks involved in exploring for nickel in the Golden Triangle, an area historically known for gold, copper and silver discoveries. Thunder North has seen very limited exploration in the past which led the team to utilize a wide variety of technologies including satellite imagery, VTEM, detailed fieldwork, petrographic analysis along with drilling where appropriate, to gain the knowledge that we have today”.

Mr. Aliperti went on to add “With Dr. Lightfoot’s guidance we’re furthering our knowledge of the nickel potential on the Kirkham Property and are extremely eager to get on the Property this summer with all the new information & understanding gained from the results of last year’s work as we continue to advance the nickel targets. We continue our responsible approach to managing exploration budgets & our share structure, fundamental oversights that our investors have become accustomed to”.

QAQC and Analytical Procedures

Metallis Resources Inc. employed a rigorous QA/QC program to ensure best practices in sampling diamond drill core. A combination of 1-3 meter intervals of sawn HQ and NQ drill core were delivered to ALS Limited’s facility in Terrace, BC, where the samples were crushed to 70% pass 2 millimeter fraction, and then a 250 gram split was pulverized to better than 85% passed 75-micros screen. The geochemical analyses were performed by ALS Limited in Vancouver using multi-element 4-Acid digest ICP-MS package (ME-MS61) including Gold with fire assay Au-ICP21 gravimetric finish. In addition to the internal QAQC program by ALS, Metallis inserted 10% lab certified standards, field blanks and duplicates into the overall sampling stream. ALS Limited is a global testing, inspection and certification business with facilities and laboratories in dozens of locations and is independent of the Company.

Qualified Person

Technical aspects of this news release have been reviewed and approved by David Dupre, P.Geo., designated as a qualified person under National Instrument 43-101.

About the Kirkham Property

The 106 sq. km Kirkham Property is located about 65 km north of Stewart, B.C., in the heart of the Golden Triangle’s prolific Eskay Camp.  The northern border of Kirkham is contiguous to Garibaldi Resources’ E&L Nickel Mountain Project.  The northeast corner of Kirkham is within 12 km of the Eskay Creek mine while the eastern border is within 15 – 20 km of Seabridge Gold’s KSM deposits and Pretium Resources’ Brucejack mine.

About Metallis

Metallis Resources Inc. is a Vancouver-based company focused on the exploration of gold, copper, nickel and silver at its 100%-owned Kirkham Property situated in northwest British Columbia’s Golden Triangle.  Metallis trades under the symbol MTS on the TSX Venture Exchange and currently has 32,986,079 shares issued and outstanding.

On behalf of the Board of Directors:

/s/ “Fiore Aliperti”
Chief Executive Officer, President and Director

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

This Press Release may contain statements which constitute ‘forward-looking’ statements, including statements regarding the plans, intentions, beliefs and current expectations of the Company, its directors, or its officers with respect to the future business activities and operating performance of the Company. The words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” and similar expressions, as they relate to the Company, or its management, are intended to identify such forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future business activities or performance and involve risks and uncertainties, and that the Company’s future business activities may differ materially from those in the forward-looking statements as a result of various factors. Such risks, uncertainties and factors are described in the periodic filings with the Canadian securities regulatory authorities, including quarterly and annual Management’s Discussion and Analysis, which may be viewed on SEDAR at www.sedar.com. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as intended, planned, anticipated, believed, estimated or expected. The Company does not intend, and does not assume any obligation, to update these forward-looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The TSX-V Stock Exchange has neither approved nor disapproved the contents of this news release.

Click here to connect with Metallis Resources Inc (TSXV:MTS) for an Investor Presentation.