MANIITSOQ Ni-Cu PROJECT Slide THE MANIITSOQ Ni-Cu-PGE PROJECT NORTH AMERICAN NICKEL INC TSX V: NAN Southwest Greenland February, 2012
Forward-Looking Statements Slide NOTE: Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward-looking statements that involve various risks. The following are important factors that could cause the Company’s actual results to differ materially from those expressed or implied by such forward-looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital. There can be no assurance that forward-looking statements will prove to be accurate as actual results and future events may differ materially from those anticipated in such statements. North American Nickel Inc. undertakes no obligation to update such forward-looking statements if circumstances or management’s estimates or opinions should change. The reader is cautioned not to place undue reliance on such forward-looking statements.
Directors & Management Slide Rick Mark, M.Ed (Admin) - CEO & Chairman: Rick has over 23 years experience in the public market place. He is also the CEO & Chair of VMS Ventures Inc. (VMS:TSX.V), and Harvest Gold Corporation (HVG-TSX.V), a December 2005 "spin off" from VMS, and is the President and CEO of Pancontinental Uranium Corp. (PUC-TSX.V). Mark Fedikow, HBSc., M.Sc., Ph.D., P.Eng., P. Geo., C.P.G. - President and C.O.O., Director: Mark has 34 years of industry and government experience as an exploration geochemist and mineral deposits geologist. He was the Chief Geologist of the Mineral Deposits Section in Manitoba. In 2001, Mark was the recipient of the Provincial Geologists Medal, a Canadian national award for outstanding geoscientific achievement. He is also the Vice President of Exploration and Technical Services of VMS Ventures Inc. John Pattison, P. Geo., B.Sc. – Chief Geologist: John has extensive experience in base metal exploration, in particular, nickel sulphide deposits. His career extends from the nickel camps of Canada to southern Africa. From 1983 to 2002, John worked with Falconbridge Limited and associated companies where he was responsible for managing base metal, PGE and gold exploration projects throughout Canada and southern Africa. John Roozendaal – Director: John is the founding director and President of VMS Ventures Inc. He has been involved with the minerals exploration industry for over 20 years, and was directly involved in the VMS Ventures Reed Lake discovery in 2007, which is now Joint Ventured with HudBay Minerals Inc.
Advisors Slide James M. Patterson B.A., D.I.C., Ph.D., P. Geo.: Jim has over 40 years experience in mineral exploration in Canada, Ireland, SE Asia and South America working with major and junior exploration companies, government and international development agencies. He was formerly with FNX Mining Company Inc. where he was Geological Consultant (2001-2002), Vice President Exploration (2002-2005) and VP & Executive Consultant (2005-2006). Cashel Meagher B.Sc. P. Geo.: Cashel is currently Vice President Exploration of HudBay Minerals. He has worked with the technical and management teams at VMS Ventures and North American Nickel through the Reed Lake joint venture with VMS. Prior to joining HudBay, Mr. Meagher held management positions with Vale Inco in exploration, technical services, and mine operations. Walter Peredery Ph.D. P.Geo.: Walter has more than 40 years experience in nickel-copper-PGE exploration in the Sudbury Basin as well as the Thompson Nickel Belt in Manitoba. Dr. Peredery is a recognized expert in the geology and ore deposits of the Sudbury mining camp. He is the author of the qualifying N.I. 43-101 report for North American Nickel. Dr. Peredery’s accomplishments include co-authoring of the impact theory of the Sudbury igneous complex which is recognized around the world as the definitive work on the Sudbury basin.` Mike Muzylowski: Mike Muzylowski, Callinan Mines Ltd. (CAA-TSX.V) accomplished President and CEO, has played key roles in the discovery of 15 Canadian mines, 13 in Manitoba, during his distinguished career as a geologist, geophysicist and senior mining executive.
Advisors Slide John Rowntree, Hons B.Sc., FAusIMM, CIMM: John Rowntree has 46 years experience in the minerals exploration industry. He has been a founding director of several public exploration companies and has been responsible for property acquisition and for directing exploration leading to the discovery of economic gold, tantalum, uranium, platinum, copper/gold and TVM iron deposits in Australia and Greenland. John Ferguson, Ph.D., D.Sc., FAusIMM & Life Fellow Geological Soc. S. Africa: John Ferguson has been involved in the minerals industry, academia and four geological surveys for the past 50 years. He has conducted extensive exploration activities in several continents particularly focusing on gold, base metals, platinum group elements, iron ores, uranium, rare earth elements & diamonds. He has held positions as founding director of publicly listed companies, Professor/Reader at the University of the Witwatersrand and Division Head/Acting Director at the Bureau of Mineral Resources Geology & Geophysics, Canberra (now Geoscience Australia). Other survey appointments include working for the Greenland Geological Survey and as a NRC Fellow at the Geological Survey of Canada. He was responsible for the discovery of the platinum group metals resource at Munni Munni, Western Australia as well as the discovery of kimberlites and industrial minerals in southern Africa and Greenland. Neil Richardson, P. Geo.: Neil received his Geological Engineering Technical Diploma from Cambrian College in Sudbury and has a long history of mineral exploration and mining experience with HudBay Minerals and a host of junior explorers including Murgor Resources. Neil is the Chief Operating Officer for VMS Ventures and is responsible for developing and implementing exploration programs in the Flin Flon-Snow Lake area
Maniitsoq Project <ul><li>Underexplored (previous hole lengths averaged < 60 m) but lots of high-grade historical assays (e.g. 9.85 m @ 2.67% Ni and 0.60% Cu ). </li></ul><ul><li>Strong evidence of a large-scale, long lived mafic igneous event. </li></ul><ul><li>Major, deep seated structures that were active from the Archean through to the Mesozoic. </li></ul><ul><li>Intrusions hosting the mineralization appear to have been part of a dynamic magma conduit system. </li></ul><ul><li>Proof that modern helicopter geophysical technology is significantly more effective in this rugged terrain than techniques used in the past. </li></ul><ul><li>6 months from acquisition of land to identification of initial drill targets. </li></ul><ul><li>Only 8% of project area investigated to date. </li></ul>Slide A World Class Nickel Camp?
North America / Maniitsoq <ul><li>Major projects situated in Thompson and Sudbury, the two most productive mining camps in the world class Circum-Superior Nickel Belt. </li></ul>Slide Maniitsoq Project <ul><li>Camp-scale project in an underexplored nickel belt. </li></ul><ul><li>Adjacent to tide water that is open year round. </li></ul><ul><li>1,400 nautical miles from Vale’s nickel processing facility at Long Harbour, NL. </li></ul>Other Projects
Maniitsoq Project Location <ul><li>Situated in a safe, stable, mining-friendly jurisdiction. </li></ul><ul><li>Straight forward permitting process. </li></ul><ul><li>No land claims issues. </li></ul><ul><li>Mine development activities nearby including road and deep water port construction (London Mining’s Isua Iron project). </li></ul>Slide
THE MANIITSOQ NICKEL BELT - PLENTY OF ROOM FOR WORLD CLASS DEPOSIT(S) Slide From Eckstrand & Hulbert, 2007 Voisey’s Bay Deposit at same scale as map to left. Plan view of the Voisey’s Bay intrusion (from Eckstrand & Hulbert, 2007) Sudbury Intrusive Complex at same scale as map to left. Enlarged view of scaled drawing above .
Regional Setting <ul><li>Located in the Archean Akia terrane of the South-West Greenland Archean complex (correlated with the Nain province in Labrador, Canada). </li></ul><ul><li>Akia terrane consists of 80% retrogressed 3.4 – 2.9 Ga granulite facies gneisses intercalated with supracrustal rocks (15% amphibolites of volcanic origin and 5% layered mafic complexes). The supracrustal rocks occur in belts up to 6 km wide folded into dome and basin patterns. </li></ul><ul><li>Project is roughly centred on the Finnefjeld gneiss complex (2975 Ma), which has recently been interpreted to represent the centre of a giant meteorite impact site (Garde, 2010). </li></ul>Slide Finne- Fjeld Gneiss
Regional Setting Slide Property Geology GREENLAND NORITE BELT <ul><li>Abundant Ni-Cu sulphide showings associated with noritic intrusions. </li></ul><ul><li>Norites are concentrated in, but not restricted to, a J-shaped belt 75 km long by up to 15 km wide that wraps around the Finnefjeld Gneiss Complex. </li></ul><ul><li>Intrusion of nickeliferous norites over a period of time spanning at least one complete geomagnetic reversal. </li></ul>
Regional Setting Slide Ni-Cu Occurrences <ul><li>14 significant Ni-Cu showings. </li></ul><ul><li>KØ made numerous intersections including: </li></ul><ul><ul><li>9.85 meters averaging 2.67% Ni and 0.60% Cu at Imiak Hill </li></ul></ul><ul><ul><li>12.89 meters averaging 2.24% Ni and 0.63% Cu at the Fossilik showing. </li></ul></ul><ul><li>KØ drilled 119 holes totalling 6,287 m (i.e. average hole <55 m long) to test outcropping norites, exposed sulphide mineralization and shallow electromagnetic (EM) anomalies directly associated with exposed mineralization. </li></ul><ul><li>All discovered by Kyrolitselskabet Ø resund A/S between 1962 and 1972 through surface prospecting. </li></ul>
Undeformed Norite Host Rocks Slide <ul><li>Distinct appearance in field forming rounded hills covered with brownish-grey, often rusty, coarse gravel. </li></ul><ul><li>Individual bodies range in size from <2x2 m to 2 x 4 km. </li></ul><ul><li>Intrusions often crosscut gneissosity (i.e. significantly younger than country rock). </li></ul><ul><li>Many intrusions appear to be emplaced along 060° trending structures. </li></ul><ul><li>Bodies are often enveloped by narrow mylonite zones but interiors are usually massive with little or no foliation . </li></ul><ul><li>Intrusions are typically multi-phase and range in composition from quartz diorite, through norite, to lherzolite. Gabbronorite is the most common phase. </li></ul><ul><li>Insitu differentiation is minimal (dynamic system). </li></ul><ul><li>Assimilation of host gneiss is common. </li></ul>
Mineralization Slide <ul><li>Sulphide mineralization consists of mono-clinc pyrrhotite, pyrite, pentlandite and chalcopyrite. </li></ul><ul><li>Inclusion-bearing sulphide is a common texture. </li></ul><ul><li>Disseminated and net textured sulphides also common. </li></ul>Pingo Imiak Hill Imiak Hill Quagssuk 5 cm
Nickel Tenor <ul><li>Maniitsoq sulphides have a relatively consistent nickel tenor of 6 to 8% Ni recalculated to 100% sulphide. </li></ul><ul><li>Presence of pyrite means there is more S for a given amount of sulphide than in typical magmatic sulphide deposits consisting mainly of pyrrhotite-pentlandite and chalcopyrite. </li></ul>Slide Typical 100% sulphide mixture of Po+Cp+Pn contains 35.7% S Kerr, 2003 After Shore, 2000 (Falconbridge Limited) Nickel wt. % Sulphur wt. % Ni vs. S for Maniitsoq Drill Core DRILL CORE
Deposit Model Slide <ul><li>Deposition of Ni-Sulphides in a Magma Conduit System </li></ul><ul><li>Superheated noritic magma flows through gneiss and paragneiss in an open system. </li></ul><ul><li>Gneiss is assimilated by the hot magma and triggers sulphide saturation. </li></ul><ul><li>Ni + Cu ± PGE sulphides are deposited in zones of lower velocity within the magmatic plumbing system. </li></ul><ul><li>Continual magma flow upgrades nickel tenor of sulphide. </li></ul><ul><li>Similar to Voisey’s Bay </li></ul>Modified after Maier et al., 2001 VERTICAL SECTION PRESENT DAY EROSION LEVEL
Old Technology Did Not Work <ul><li>Cominco 1995 – 1996 </li></ul><ul><li>20,446 line-km of airborne GeoTEM EM and magnetic surveying. </li></ul><ul><ul><li>Lines 200-400 m apart oriented 080° (i.e. subparallel to orientation of norites resulting in poor coupling). </li></ul></ul><ul><ul><li>Large fixed wing aircraft had difficulty hugging the rugged terrain resulting in noisey data. </li></ul></ul><ul><ul><li>Very few anomalies associated with norites. </li></ul></ul><ul><ul><li>Ground follow-up prospecting, minor surface geophysics (<30 line-km) but no drilling . </li></ul></ul><ul><li>Falconbridge 1993 & 2000 </li></ul><ul><li>100 line-km of UTEM over Imiak Hill and part of Fossilik. </li></ul><ul><ul><li>Lines 200 to 400 m apart. </li></ul></ul><ul><ul><li>No conductors detected and no drilling done. </li></ul></ul>Slide
NAN’s 2011 Work Program <ul><li>Compiled all previous work. </li></ul><ul><li>Conducted 1-week field program to sample and confirm selected showings, locate key historical drill holes and select areas for helicopter TEM and magnetic surveying. </li></ul><ul><li>Flew 2,217 line-km of SkyTEM helicopter-borne TEM and magnetic surveys over two blocks of ground totaling 373 km 2 (<8% of the total project area). </li></ul>Slide
Block 1 SkyTEM Results <ul><li>1995 GeoTEM survey detected only 2 significant (>2 channel) EM anomalies in this block. </li></ul><ul><li>NAN’s 2011 SkyTEM survey outlined 17 conductive target zones in block 1. </li></ul><ul><li>3D modeling of the SkyTEM data has identified 3 high priority targets (B1-B, B1-J and B1-L). </li></ul>Slide B1-B Target area B1-L Target area B1-J Target area
3D EM Modeling Target B1-J <ul><li>170 m long by 16 m wide conductor that comes to surface and is directly coincident with the Imiak Hill showing. </li></ul><ul><li>The model shows that the mineralization strikes parallel to most of the historical drilling and therefore has not been properly tested. </li></ul><ul><li>The model has very limited dip extent (21 m) but the best intersection on the showing (9.85 m averaging 2.67% Ni and 0.60% Cu) occurs 130 m below surface indicating that strong mineralization at surface is masking the EM response from mineralization at depth. </li></ul>Slide FOOTWALL CONTACT OF NORITE 9.85m @ 2.67% Ni, 0.60% Cu STRIKE 9.85m @ 2.67% Ni, 0.60% Cu TARGET B1-J (IMIAK HILL): 3D VIEW LOOKING WEST
3D EM Modeling Target B1-B <ul><li>700 m long, near surface conductive zone. </li></ul><ul><li>No previous drilling. </li></ul><ul><li>Characteristics and orientation of the conductor vary considerably along strike suggesting it is not formational. </li></ul><ul><li>Magnetic data suggests that it is hosted in a large (2.5 x 1.0 km) norite body. </li></ul>Slide Target B1-B Interpreted Norite
3D EM Modeling Target B1-L <ul><li>Modeled as a 330 x 100 m flat-lying conductor located 160 m below surface within a norite intrusion. </li></ul><ul><li>The conductor is untested but past shallow drilling 100 m above intersected weakly disseminated, nickeliferous sulphides grading up to 0.52% Ni and 0.26% Cu over 12.94 m. </li></ul><ul><li>Clearly, mineralizing processes were at work in the intrusion as indicated by the disseminated near-surface mineralization and the most logical location to look for massive sulphides is at depth. </li></ul>Slide 100 m 330 m TARGET B1-L (SPOTTY HILL): 3D VIEW LOOKING NORTH ~ 160 m BELOW SURFACE (i.e. 100 m BENEATH PREVIOUS DRILLING)
Investor Risk Mitigation <ul><li>100% ownership; Camp-sized land package (Sudbury) </li></ul><ul><li>Public Co management/financing experience </li></ul><ul><li>Technical team is deep </li></ul><ul><li>Secure political jurisdiction </li></ul><ul><li>Regional setting; year round exploration </li></ul><ul><li>Historic exploration data is remarkable ($10M plus) </li></ul><ul><li>Geology </li></ul><ul><ul><li>Abundance of Ni-Cu occurrences at surface & in drilling </li></ul></ul><ul><ul><li>Undeformed norite host rocks </li></ul></ul><ul><ul><li>Mineralization: inclusion-bearing sulphides </li></ul></ul><ul><ul><li>Nickel Tenor – consistent and economic grade </li></ul></ul><ul><li>New technologies in “old” camp work </li></ul><ul><ul><li>25 EM targets in 8% of land package </li></ul></ul>Slide
Plans for 2012 & Beyond <ul><li>2012 </li></ul><ul><li>Ground truth all 25 conductive target zones identified by SkyTEM with emphasis on 3 highest priority zones (B1-B, B1-J and B1-L). </li></ul><ul><li>Minimum 2,000 m of drilling to the three highest priority targets. </li></ul><ul><li>3,000 line-km of helicopter TEM over prospective norites in southern part of the norite belt. </li></ul><ul><li>Prospecting outside of main norite belt looking for new showings and norites. </li></ul><ul><li>Estimated cost $3.0 million </li></ul><ul><li>2013 </li></ul><ul><li>Minimum 6,000 m of follow-up drilling on targets derived from 2012 work </li></ul><ul><li>3,000 line-km of helicopter TEM </li></ul><ul><li>Estimated cost $ 7.5 million. </li></ul>Slide