Victory Nickel Receives Board Approval to Proceed With Development of Minago Mine

Victory Nickel Inc. (TSX:NI) announced its Board of Directors has approved the development of the Minago sulphide nickel mine in Canada.

Victory’s President and COO, Steve Harapiak said,

The Minago Mine has the potential to be an extremely low cost nickel producer due to the significant by-product value of the frac sand resource. The frac sand market has grown immensely since we completed the feasibility study and we expect this to result in even better value than originally forecast. My initial focus will be to build the technical team to take this forward.

The press release is quoted as saying,

Throughout the summer months Victory Nickel was busy optimizing Minago and working toward the issuance of the Environment Act Licence. In addition to drill results confirming the potential for a second open pit in the North Limb, significant developments during this period include:

• May 2: A 24% increase in the pit constrained M&I resource.
• June 29: Receipt of the draft Minago Environment Act Licence.
• August 8: Identifying a western extension of the Minago Nose Deposit.
• August 10: Improved economics at Minago, including an increase in the IRR to 22.9%.
• August 16: Estimating an exploration target mineralization inventory (ETMI) of 21 million to 34 million tonnes grading 0.49% to 0.59% Ni in Minago’s North Limb.
• August 24: Receipt of the final Minago Environment Act Licence, the final major regulatory requirement for mine development.