Northern Lion Gold Corp (NL:CA)

Northern Lion Gold Corp. (TSX-V: NL) is focused on building a strong portfolio of projects within mining-friendly and infrastructure-rich areas of Europe. Northern Lion's current portfolio of projects include a number of exploration licenses in the Republic of Cyprus where the company will actively pursue under-explored copper-gold opportunities and the Moura property, which lies within a lead-zinc and silver belt located in southeastern Portugal.

The Republic of Cyprus:

The history of mineral exploitation (copper, gold and other metals) on the island of Cyprus dates back to the Bronze Age, approximately 5,000 years ago. The Phoenicians were the first to process copper on the island, followed by the Romans and this activity has continued to the present day. The evidence of this long history of mining is readily observed in the abundant ancient surface and underground workings along with extensive slag heaps. Mineral exploration in the Republic of Cyprus has been at a very low level over the last few decades, and management believes that there is a high probability of additional massive sulphide bodies being present that did not outcrop, as nearly all of the known deposits did.



The metal deposits of Cyprus are dominantly copper-bearing volcanogenic hosted massive sulphide "VHMS" deposits. These deposits are hosted within the pillow lava sequence of the Troodos Ophiolite Complex.

St. Nikolas Project, Cyprus

The St. Nikolas project forms part of the Company's existing land package of 20 permits covering over 54 square kilometres. In 2010, Northern Lion entered into an option agreement to acquire 100% interest in the St. Nikolas project in the Paphos District of the Republic of Cyprus.

Northern Lion made a significant gold discovery at St. Nikolas with drill hole 11SN-02 intersecting 4.5 g/t gold over 28. 6 metres that starts at 10 meters below surface and includes a higher grade zone of 6.1g/t gold over 12.3 metres.

St. Nikolas’ initial seven hole drill program totalling 541.1 metres has been completed. It covered a strike length of over 200 metres in a northwesterly direction. This occurrence represents a younger mineralizing event than the typical Cyprus style VHMS deposits which are dominantly hosted within the Lower Pillow Lava sequence. Follow up drilling is planned at St. Nikolas, which remains open to the west, north and south.

Significant St. Nikolas Drill Results

Anglesides Project, Cyprus

Anglesides is located in the Larnaca District of the Republic of Cyprus and has returned the most significant gold values obtained to date from the Cyprus exploration programs. These results support the Company's belief that within the Republic of Cyprus there is an under-evaluated gold mineralizing system in addition to the historically known massive sulphide bodies.

A grid based soil geochemical survey was carried out over the area of the known mineralization, and extended to the north and east as these are the geologically prospective areas. Anomalous copper and gold values were recorded over the showings and over an area of gossanous outcrops approximately 500 metres to the east. Grab samples up to 50.1 g/t gold have been identified at Anglesides.

The 2011 drill program consisted of 6 holes and was designed to test several target types; the area immediately surrounding the surface rock sampling, a strong IP resistivity anomaly located southwest of the surface sampling, and a weak IP chargeability high to the east.

The grade and location of the mineralization within the stratigriaphic section at Anglesides is similar to the mineralization found at St. Nikolas. In both locations there are unweathered and silicified massive sulphides at or close to the contact with the overlying sedimentary sequence. Follow-up work at Anglesides will focus on testing this Upper Pillow Lavas -- Sediment contact zone.

Moura Project, Portugal:

The 46.75 square kilometre Moura license is located 180 kilometres eastsoutheast of Lisbon. The license encompasses two historical deposits (Enfermarias and Preguica), and 11 known mineral occurrences, within a 25 kilometre lead-zinc-silver belt.

In November of 2010, Northern Lion completed a 4 diamond drill hole program at the Machados area. The third hole (MA-03) intersected 12.8 metres of disseminated, semi massive and massive sulphide mineralization between 162 and 174.8 metres. The sulphides are hosted by a fine grained variably chloritic and silicified volcanic tuff representing a Volcanogenic Hosted Massive Sulphide (VHMS) style mineralization that had not previously been recognized in this area. The most significant results from MA-03 are as follows; 5.4 metres from 164.3 to 169.7 metres of 1.01% zinc including 2.5 metres from 166.5 to 169.0 merers of 1.66% zinc. A 0.5 metre interval from 57.6 to 58.1 metres in hole MA-03 returned values of 1.73% copper, 34.3 g/t silver and 0.13 g/t gold.

Machados is located approximately 3 km south of the Enfermarias deposit. This deposit was discovered by the Portuguese government exploration authority in the 1980’s where they drilled the 13 holes on 200 metre centres, 11 of which intersected mineralization. In 2008, Northern Lion drilled four holes into the Enfermairas area (reported March 18, 2008 and May 14, 2008), the most significant intersection was 16.5 metres that returned 1.3% copper and 3.1 metres of 1.4% copper. The style of mineralization intersected in 2008 at Enfermarias is very similar to what was discovered in Machados area.

In 2011, the Company expanded the ground magnetic survey by connecting the existing survey at Machados and extending it north to encompass the Enfermarias deposit. Several drill targets have been selected for drilling.