Alaska Energy Metals (TSXV:AEMC) announced on Monday that its Eureka deposit at the Nikolai project in Alaska now contains one of the largest known nickel resources in the United States with contained nickel at the project at 8 billion lbs. The company published an updated mineral resource estimate showing 813 million tonnes of indicated resources grading 0.22% nickel plus 0.07% copper, 0.02% cobalt, 0.048 g/t platinum, 0.094 g/t palladium and 0.012 g/t gold. This translates to a nickel equivalent grade of 0.29% and contains 3.9 billion pounds of nickel.

Additionally, the estimate includes 896 million tonnes of inferred resources grading 0.21% nickel, 0.05% copper, 0.02% cobalt, 0.039 g/t platinum, 0.068 g/t palladium and 0.009 g/t gold for a nickel equivalent grade of 0.27% and 4.2 billion pounds of contained nickel. The tonnage of inferred resources increased 180% compared to the initial resource published in November 2023.

The 2024 resource estimate incorporated historical drill data purchased by Alaska Energy in August 2023 as well as eight new drill holes completed in 2023 totalling 4,138 metres. The mineralization covers three zones spanning 4.5 kilometres at the Eureka deposit.

A higher-grade core zone was identified within one of the zones, containing 211 million tonnes of indicated resources grading 0.34% nickel equivalent and 154 million tonnes of inferred resources at 0.33% nickel equivalent. Alaska Energy stated this zone could positively impact project economics and will be a focus for further evaluation.

The Eureka deposit is now one of the largest known nickel deposits in the United States, according to the company. The Nikolai project is located 40 km northwest of Paxson and is thought to host nickel-copper-cobalt-PGE mineralization similar to other large projects globally.

Alaska Energy Metals shares rose over 5% to C$0.29 on Monday for a market capitalization of C$20 million. The stock has traded between C$0.03 and C$0.50 over the past year.

On October 30, 2023, the company also released drill results from two additional holes at Nikolai. Hole EZ-23-003 intersected 324.6 meters grading 0.34% nickel equivalent including 0.23% nickel, 0.08% copper and 0.02% cobalt. Hole EZ-23-005 returned 356.2 meters at 0.34% nickel equivalent including 0.22% nickel, 0.08% copper and 0.02% cobalt. These holes confirmed mineralization over 600 meters of strike length with additional results pending.

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