February 05, 2020

STRATEGIC PLAN INCLUDING PALLADIUM AND PLATINUM POTENTIAL

THUNDER BAY, ONTARIO, CANADA (February 05, 2020) - MetalCorp Limited (“MetalCorp”, “MTC” or the “Company”) (TSXV – MTC) has been in communication with several junior and major companiesregarding its various projects, the two with Palladium mineralization gaining most of the interest following the surge in the price of Palladium over the past two years and forecasted growth in demand for the metal driven by the automotive industry in all major markets.  Earlier this month, Palladium traded as high as US$2,335 per troy ounce and on February 4, 2020 closed at US$2,439 per troy ounce. Earlier this month, Platinum traded as high as US$980 per troy ounce and on February 4, 2020 closed at US$964.50 per troy ounce.

The Greater North Rock Project has assayed drill-holes with significant Palladium (“Pd”) and Platinum (“Pt”) values (reported on a grams per tonne (“g/t”) basis), including some drill-holes with assay results ranging from 1.76 g/t Pd to 14.6 g/t Pd and 0.75 g/t Pt to 46.1 g/t Pt while the Big Lake Project has some drill-holes with assay results ranging from 0.46 g/t Pd to 1.46 g/t Pd with good showings in Copper (“Cu”), Silver (“Ag”), Gold (“Au”) and Zinc (“Zn”).

CURRENT PLANS AND STRATEGIC ALTERNATIVES

MetalCorp continues to consider its strategic alternatives, including optioning or divesting any of its principal properties, or a business combination with another mineral exploration or mining company, in each case if financing can be arranged to support the transaction and further exploration activities.  

TWO PROPERTIES WITH PALLADIUM MINERALIZATION

MetalCorp is pleased to note that its suite of Ontario properties includes two projects which have significant potential in Platinum Group Elements (“PGE”) including, most particularly, Palladium:

Greater North Rock Project near Fort Frances in northwestern Ontario, which includes one drill-hole intersection assaying 1.76 g/t Pd over 4.4 meters (“m”), another assaying 3.47 g/t Pd over 2.75m and another drill-hole assaying 4.01 g/t Pd over 3.8 m (true width estimated to be 1.8m).

Big Lake Project south-east of the town of Marathon, Ontario, on the east shore of Lake Superior, which includes one drill hole intersection assaying 0.585 g/t Pt and 0.64 g/t Pd over 4.0m, another assaying 1.37 g/t Pt and 1.46 Pd over 0.95 m and another assaying 0.409 g/t Pt and 0.46 g/t Pd over 1.82m(both estimated to be their approximate true widths).

More details of these and other selected assay results for some of the properties’ drill-holes are set out below.  All of the foregoing and following scientific and technical information is taken from previously published information in the Company’s continuous disclosure material published on SEDAR and in the Company’s website.  Information regarding data verification, quality assurance programs and quality control measures are contained in applicable news releases, material change reports and other continuous disclosure materials issues at the time of initial disclosures of the applicable scientific and technical information, details of which can be obtained from the Company’s profile on SEDAR.  The summarizing scientific and technical information in this news release was prepared under the supervision of Michel Dumoulin, P.Geo. (QP – NI 43-101), an independent consultant to the Company.

(a)Greater North Rock Project

The Greater North Rock Project, a highly prospective Copper-Nickel-PGE property, part of which was formerly held by Noranda, contains a historical resource of 1 million tons at 1.2% copper (Cu) (Bergman 1973), and underground work that delineated two copper zones of 3.59% Cu over 30m and 3.51% Cu over 55m (the historical estimates pre-date National Instrument 43-101 and no qualified person has done sufficient work to classify the historical estimates as current mineral resources or mineral reservesaccordingly, the Company is not treating the historical estimates as current mineral resources or reserves). 

No assays tested for PGEs in those historical years. However, more recently (2005-2008), the Company’s exploration efforts on the Greater North Rock Property yielded significant results from drilling programs, including many significant PGE drill-hole results such as those set out below: 

Holes Coordinates

Hole #     East Nad83   North Nad83Elevation (m)   Azimuth (°)   Dip (°)Length (m)

NR05-04      494930   5394117         340 156                 -50.0 270

NR05-05      494930   5394117         340 156                 -67.5 394

NR05-07     494852     5394049         348 153                 -51.5 210

NR05-09     495316     5393996         333 320                 -46.0 360

NR06-17     496500   5394932           356 149                 -43 222

NR06-20     496215   5394825           352 151                 -42.5 219

NR06-35     495849   5394555           353 153                 -42 111

NR07-37     497069   5396398           372 114                 -45 348

NR07-38     497279   5396309           350 103                 -40 314

NR07-45     498061   5397108           381 115.5              -47 318

NR07-62     495007   5394160           349 173                 -79 779

Best Results

Drill hole NR05-04: 2.28 g/t Pt over 3.46m from 147.94m to 151.40m   

Drill Hole NR05-05: 1.76 g/t Pd over 4.40m from 152.10m to 156.50m including 7.09 g/t Pd and 3.74 g/t Pt over 0.8m and 1.94 g/t Pd with 7.30% Cu over 0.5m between 155.20-155.70m

Drill hole NR05-07: 1.0 g/t Pd and 1.17 g/t Pt over 4.0m from 149.70m to 153.70m   

Drill hole NR05-09: 2.21 g/t Pd and 1.22 g/t Pt over 1.0m from 346.75m to 347.75m   

Drill hole NR06-17:   2.83 g/t Pt over 1.0m from 52.70m to 53.70m   

Drill hole NR06-20: 12.2 g/t Pt over 3.7 m (2.5m true width) from 151.90m to 155.60m, including 46.1 g/t Pt over 0.5m between 154.40-154.90m. The entire zone assayed 1.7 g/t Pt over 28.5m (19.3 m true width) from 147.4m to 175.9m.

Drill hole NR06-35:   2.32 g/t Pd with 5.1% Cu over 0.5m from 14.70m to 15.20m   

Drill hole NR07-37: 2.85 g/t Pd over 0.9m from 220.00m to 220.90m   

Drill hole NR07-38:   3.47 g/t Pd over 2.75m from 68.30m to 71.05m including 7.50 g/t Pd over 0.6m

Drill hole NR07-45: 0.46 g/t Pd and 0.75 g/t Pt over 4.0m from 225.00m to 229.00m including 0.93 g/t Pd and 1.18 g/t Pt over 1.0m between 228.00m and 229.00m

Drill hole NR07-62 testing the Beaver Pond Zone intersected 4.01 g/t Pd over 3.8 m (estimated true width 1.8m) between 450.20m and 454.00m, including 14.6 g/t Pd over 0.6 m from 451.60m to 452.20m, being the deepest hole drilled on the property and opening the potential at depth.

Also, a grab sample assayed in 2004 from the 10,000-tonne muck pile left by Noranda in 1966 at the Beaver Pond Zone returned assay results of 5.2 g/t Pt, 0.7 g/t Pd, 8.9% Cu, 0.8% Nickel (“Ni”) and 0.7 g/t Gold (“Au”).

Other than the Beaver Pond and East Zones, the Gabbro contact at North Rock comprises 16 kilometers of exploration ground opened for PGEs through that gabbro complex.

(b)Big Lake Property

MetalCorp has performed staged exploration programs on the Big Lake Property located in the Mussy Lake, Pic and Lecours Townships of northern Ontario. The property claims are located northeast of Lake Superior, eighteen kilometers southeast of the town of Marathon. The property is located within the southern portion of the eastern Schreiber-Hemlo Greenstone Belt of northwestern Ontario. It exhibits excellent potential to host VHMS, Ni-Cu-PGE and/or disseminated, reef-type PGE deposits given the presence of a high-grade VHMS stringer zone and several large and small mafic and ultramafic intrusions. Peridotites of the Big Lake Ultramafic Complex (“BLUC”) contain reef-style accumulations of PGEs.  The term “reef-style” is justified here as it describes stratiform and laterally continuous concentrations of PGE in mafic-ultramafic bodies. The two main BLUC reefs are approximately 1.5 to 2.0 m thick with approximately 0.8 to 2.0 g/t combined Pt + Pd (see below for specific grades of Pt and Pd).

The Big Lake Property is host of the BL-14 zone discovered in 2006 through a series of diamond-drill-hole intercepts, including hole BL06-24 which assayed 7.5% copper (“Cu”), 2.2% zinc (Zn), 138.0 g/t silver (“Ag”) and 9.2 g/t gold (“Au”) over 4.0 metres (estimated to be its approximate true width). Following these results, an additional drill program was aimed at testing the “Reefs” of the BLUC. Two main reefs were identified as J4 and J5 reefs just west of and nearby the BL14 Zone. The best results related to this separate drill program related to the PGE reefs are in the table set out below:

Holes Coordinates

Hole #   East Nad27     North Nad27   Elevation (m)     Azimuth (°) Dip (°)   Length (m)

BL04-05     565143     5381812       N/A         180 -65         234

BL04-06     565224     5381772       N/A         180 -75         159

BL05-17     566137     5381943       N/A         180 -65         340

BL05-19     565140     5381911       N/A         180 -64.5       366  

BL05-20     564522     5381773       N/A         183 -61         306

BL06-23     566707     5382057       N/A         165.5 -70.5     264

BL06-30B  566662       5382059         N/A       176.7 -70         273

Best Results

Drill

From

To

Length

Ni

Cu

Pt

Pd

Zn

Ag

Description

Hole

(m)

(m)

(m)

(ppm)

(ppm)

g/t

g/t

(ppm)

(ppm)

Mineralized Zone

BL04-05

195.0

196.5

1.5

   

0.74

0.81

   

J4 reef

BL04-06

10.5

12.0

1.5

   

0.59

0.53

   

J4 reef

BL05-17

110.4

111.0

0.6

   

0.53

0.36

   

J4 reef

BL05-19

92.20

93.53

1.33

1045

1440

0.203

0.227

   

J4T Zone

 

101.33

103.00

1.67

1302

965

0.512

0.541

93

<1.0

J4 Reef; trace very finely disseminated cp-po; fine-grained peridotite

incl.

102.00

103.00

1.00

1415

577

0.704

0.787

94

<1.0

J4 Reef; as above

 

245.25

246.00

0.75

1595

759

0.806

0.851

88

<1.0

J5 Reef; ~1% very finely disseminated cp-po; fine-grained peridotite

BL05-20

30.00

34.15

4.15

1690

1380

0.377

0.318

100

1.0

J4 Reef; trace very finely disseminated cp-po; fine-grained peridotite; near base of host peridotite

 

30.00

31.50

1.50

1605

666

0.557

0.433

98

<1.0

J4 Reef; as above

 

123.02

125.00

1.98

1583

1228

0.471

0.413

81

1.0

J5 Reef; ~1% very finely disseminated cp-po; fine-grained peridotite

incl.

124.00

125.00

1.00

1665

946

0.806

0.714

91

1.0

J5 Reef; as above

BL06-23

158

159

1.00

   

0.47

0.76

   

J4 reef

BL06-30B

174.5

175.5

1.00

   

0.43

0.45

   

J4 reef

 

Playter Vein Area

The western part of the BLUC is host of the Playter Molybdenum vein. Two PGE reefs, approximately 1.5 to 2.0m thick, have been shown in cross section to be stratiform and continuous with igneous layering of the BLUC, generally occurring within 5.0 m or less from both peridotite-pyroxenite contacts, within the peridotites.  Between August 2007 and June 2008, a series of 24 drill-holes crossed the vein and the reefs looking for Molybdenum, Rhenium and PGEs. Some of the best results of Platinum and Palladium (with ratio Pt/Pd in a ratio of roughly 1:1) are tabled below, although in most drill-holes there were also significant assay results for Molybdenum and Rhenium which are not shown here:

Holes Coordinates

Hole #   East Nad27   North Nad27     Elevation (m) Azimuth (°)    Dip (°)Length (m)

BL07-54     566780     5382034       N/A 180              -71.3 243

BL07-59     566730     5382086       N/A 180              -70.7 300

BL07-67     566123     5381720       N/A 194              -60.5 354

BL07-76     565861     5381930       N/A 180              -44.8 465

BL07-77     565040     5382005       N/A 180              -62 411

BL07-85     557177     5381168       N/A 180              -50 285

BL07-86     557177     5381168       N/A 180              -60 425

BL07-87     556661     5381177       N/A 180              -50 300

BL08-103   557433     5381157         N/A 180              -70 580

BL08-104   557433     5381137         N/A 180              -50 453

BL08-108   556948     5381462         N/A 180              -55 678  

BL08-111   556948     5381462         N/A 180              -70 975

BL08-113   556663     5381465         N/A 180              -67 823.7

BL08-114   556471     5381444         N/A 180              -73 1002 

Best Results

Drill hole BL07-54: 0.48 g/t Pt and 0.57 g/t Pd over 1.0m from 147.0m to 148.0m

Drill hole BL07-59: 0.59 g/t Pt and 0.43 g/t Pd over 0.6m from 83.9m to 84.5m

Drill hole BL07-67: 0.39 g/t Pt and 0.37 g/t Pd over 1.6m from 12.91m to14.5m

Drill hole BL07-76: 1.37 g/t Pt and 1.46 g/t Pd over 0.95m from 126.5m to 127.45m, including: 2.04 g/t Pt and 1.19 g/t Pd over 0.45m from 127.0m to 127.45m

Drill hole BL07-77: 1.10 g/t Pt and 1.57 g/t Pd over 0.5m from 312.6m to 313.1m

Drill hole BL07-85: 0.409 g/t Pt and 0.46 g/t Pd over 1.82m from 117.3m to 119.12m

Drill hole BL07-86: 0.237 g/t Pt and 0.25 g/t Pd over 6.0m from 183.0m to 189.0m

Drill hole BL07-87: 0.314 g/t Pt and 0.34 g/t Pd over 2.0m from 281.58m to 283.58m

Drill hole BL08-103: 0.50 g/t Pt and 0.54 g/t Pd over 1.0m from 379.33m to 380.33m

Drill hole BL08-104: 0.38 g/t Pt and 0.41 g/t Pd over 2.0m from 175.5m to 177.5m

Drill hole BL08-108: 0.20 g/t Pt and 0.22 g/t Pd over 3.8m from 308.0m to 311.8m

Drill hole BL08-111: 0.256 g/t Pt and 0.263 g/t Pd over 9.7m from 514.3m to 524.0m and 0.263 g/t Pt and 0.27 g/t Pd over 2.0m from 754.0m to 756.0m

Drill hole BL08-113: 0.208 g/t Pt and 0.256 g/t Pd over 10.0m from 370.0m to 380.0m 0.585 g/t Pt and 0.64 g/t Pd over 4.0m from 631m to-635m, including 0.900 g/t Pt and 0.99 g/t Pd over 1.0m from  632.2 m to633.2m

Drill hole BL08-114: 0.264 g/t Pt and 0.267 g/t Pd over 1.15m from 401.70m to 402.85m and 0.212 g/t Pt and 0.30 g/t Pd over 1.34m from 701.75m to 703.10m and 0.259 g/t Pt and 0.31 g/t Pd over 3.5mfrom780.14m to 783.64m

The BLUC is up to 350 m thick, with a strike-length in excess of 30 km (11 km within the Big Lake Property), and exhibits a prominent, east-west-trending, airborne magnetic anomaly that is observed to extend well into Lake Superior, where it is eventually deflected and truncated by the Trans-Superior Tectonic Zone. These series of anomalous Reefs represent a very large potential of mineralized PGEs, and warrant major delineation drill programs in conjunction with historical work in developing this property.

Cautionary note about true widths

Except where indicated, true widths were not determined and are not available for most holes.  In the past, a few intervals were measured to determine their true widths for presentation in some of the Company’s prior press releases and other continuous disclosure materials, and are presented accordingly in this press release which provides select information from those prior press releases.

Drill Core Preparation and Sample Protocol including Quality Control (QA/QC)

Drill core samples consist of a maximum of 1.5 metres length of split NQ core (2”-diametre). The drill core was split or sawed at the MetalCorp core facilities in Fort Frances and Marathon, Ontario, with the remaining core returned to the property to be stored in appropriate locations. All samples were bagged and tagged, and sent to the ALS Chemex Laboratory in Thunder Bay for preparation, and Vancouver Head Office for analysis.

Also, while the samples were split or cut from drill core, chosen intervals of samples were inserted as QA/QC for quality control such as blanks and standards, sequentially in the sample stream and all sent for assay analysis at the ALS Chemex with the drill samples.

THE COMPANY

MetalCorp is a mineral exploration company based in Thunder Bay, Ontario, with gold, PGE and base metal projects in the Canadian Shield of Northern Ontario, Canada, one of the most prolific mineral districts in the world. To find out more about MetalCorp visit its website at www.metalcorp.ca.

For further information, please contact:

Pierre Gagné, Director
Phone: (807) 626-3621
info(at)metalcorp(dot)ca

Except for statements of historical fact contained herein, information in this press release may constitute "forward-looking information" within the meaning of Canadian securities laws. Other than statements of historical fact, all statements that involve various known and unknown risks, uncertainties and other factors are "forward-looking statements". There can be no assurance that such statements will prove accurate. Results and future events could differ materially from those anticipated in such statements. Readers of this news release are cautioned not to place undue reliance on these "forward-looking statements". Except as otherwise required by applicable securities statutes or regulation, MetalCorp expressly disclaims any intention or obligation to update publicly any forward-looking information, whether as a result of new information, future events or otherwise.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy, accuracy or contents of this news release.