11 Oct 2010 ASX Code: WCN Sixth Copper Zone Discovered – Chanach Project Highlights • Channel sampling identifies sixth copper rich mineralised zone including: o 20 metres at 1.35% copper within 51 metres at 0.70% copper including; o 11 metres at 1.8% copper with a peak copper grade of 2.6% • Combined total channel sample intersections of all zones is 302m at 0.75% copper • RC drilling program in progress Channel sampling across the final bulldozer trench completed at Chanach has identified a sixth zone of rich copper mineralisation including 20 metres at 1.35% copper within 51 metres at 0.7% copper including a 11 metre zone at 1.8% copper and a peak copper grade of 2.6% (Figures 1-3). Mapping indicates that Zone 6 consists of three parallel higher grade zones surrounded by alteration halos and narrow (~1m) shear zones containing copper grades (0.2%-1%) which weaken with distance from the higher grade zones. The mineralised copper rich shear zones within the alteration halo strike northwest (320 degrees) and dip steeply to the southwest. The sixth copper rich zone appears to have the same strike and dip as the initial discovery 450 metres to the Southwest which contains an intersection of 49 metres at 0.93% copper with higher grade core zones. Zones 2-4 Zone 6 51 m Zone 5 48 m Figure 1 Sixth copper zone containing 20 metres at 1.35% Cu within 51 metres at 0.70% copper including 11 metres at 1.8% copper. White Cliff Nickel Limited ABN 22 126 299 125 Suite 2, 5 Ord Street, West Perth WA 6005, PO Box 368 West Perth WA 6872. Telephone +61 8 9321 2233 Facsimile +61 8 9324 2977 www.wcnickel.com.au Fig 3 Figure 2 Location map of Chanach project area and copper alteration zones observed in bulldozer cuts (thick black lines) Figure 3 Geological map showing the copper grades encountered in the newly discovered sixth copper zone. Page 2 of 7 Copper Zone Summary Six zones of copper mineralisation have now been identified that cover an area of approximately 500 metres by 400 metres. Copper rich mineralised zones occur in two main orientations, North-northwest (NNW) along 320 degrees and Northeast (NE) along 40 degrees. Both orientations appear to have sub vertical dips. The mineralisation outcrops on the sides and top of hills in the lower parts of the project area (figures 4-5). The total intersections of all the high grade cores is 106 metres at 1.25% copper, the total intersection of all the mineralised zone is 195 metres at 1.03% and the total intersection of all the alteration zones is 302 metres at 0.75% copper. The combined total intersections across all of the mineralised zones are summarised below: Zone 1 2 3 4 5 6 Total High Grade Core Intersection Grade 28 1.01% 3 1.12% 8 1.01% 27 1.23% 20 1.63% 20 1.35% 106 1.25% Mineralised Zone Intersection Grade 45 0.93% 15 0.99% 14 0.61% 40 1.08% 43 1.34% 38 0.89% 195 1.03% Alteration Zone Intersection Grade 70 0.73% 24 0.65% 39 0.55% 70 0.78% 48 1.01% 51 0.70% 302 0.75% Table 2 Summary of intersections to date. The high grade cores are within the mineralised zone and the mineralised zone is within the alteration zone. Copper Zone Figure 4 Oblique image of the Chanach copper discovery showing local elevation looking northeast. Copper results in orange and gold results in yellow. Page 3 of 7 Zone 3 14m at 0.61% Cu Zone 5 43m at 1.34% Cu Zone 2 15m at 0.99% Cu Zone 4 40m at 1.08% Cu Zone 1 45m at 0.93% Cu Zone 6 51m at 0.70% Cu Figure 5 Detailed image of the Chanach copper discovery showing average grades of the mineralised zones. Copper results in orange and gold results in yellow. Reverse Circulation Drilling In Progress A reverse circulation drilling program is in progress at the Chanach Gold Copper project targeting the copper mineralisation identified to date. The program consists of 7 drill holes between 100 and 150 metres. Drilling locations have been selected based on identified mineralised zones, observed veining, shearing and alteration zones. Currently five of the seven holes have been completed. Results from this drilling are expected in November. For further information please contact: www.wcnickel.com.au Todd Hibberd Managing Director Mike Langoulant Executive Chairman Rodd Boland Investor Relations Director - Sydney 0408 969609 +612 9251 5065 Page 4 of 7 About White Cliff Nickel Limited White Cliff Nickel Limited is a Western Australian based nickel explorer which listed on ASX on 14 December 2007 having raised $6 million. Laverton Gold Project: The project consists of 1200 square kilometres of tenement applications in the Laverton and Merolia Greenstone belts. The core prospects are located 20km south of Laverton in the core of the structurally complex Laverton Tectonic zone immediately south of the Granny Smith Gold Mine (3 MOz) and 7 kilometres east of the Wallaby Gold Mine (7MOz). In addition, applications are pending over a large part of the Merolia Greenstone belt immediately Southwest of Laverton. Mount Remarkable Project: The project covers 266 square kilometres and is located approximately 170 km N-NE of Kalgoorlie and about 25 km SE of Kookynie in the Northern Goldfields. Included in the project area are the historic gold mining centres of Mt Remarkable and Yerilla which consists of several old workings. Major gold mines in the surrounding area include Sons of Gwalia, Tarmoola, Carosue Dam, Granny Smith, Wallaby and Sunrise Dam. The project includes several areas adjacent to and along strike from existing nickel deposits at Aublis, Yerilla and Boyce Creek. These deposits form Heron Resources Yerilla Nickel Project which contains 135 Mt @ 0.77% Nickel and 0.05% Cobalt. Chanach Gold Copper Project: The project consists of 93 square kilometres and is located in the Kyrgyz Republic 350km west-southwest of the capital city of Bishkek. The Chanach project is located in the western part of the Tien Shan Belt, a highly mineralised zone that extending for over 2500 km, from western Uzbekistan, through Tajikistan, Kyrgyz Republic and southern Kazakhstan to western China. Mineralisation occurs as porphyry and epithermal systems developed within magmatic arcs, and orogenic type gold deposits that are structurally controlled. Major deposits located within 100km of Chanach contain up to 93 million ounces of gold. Initial work indicates that the project may host porphyry and skarn style gold and copper mineralisation. Sampling during 20072009 has identified several areas containing gold values of up to 20 g/t and copper values of up to 5%. White Cliff Nickel Project: The project which covers over 1,200 square kilometres in the Merolia section of the Laverton Greenstone Belt situated 60 kilometres south-east of Laverton WA. The region contains the Irwin-Coglia and Mineral Patch Hill nickel deposits and Fish and Lord Byron Gold deposits. The project has been joint ventured with a Korean consortium, comprising Daewoo Intl and the 100% government owned Korea Resources Corporation. The Korean consortium can earn up to 50% of the project by the expenditure of up to $5 million over the next 3 years. Lake Johnston Project: The project covers over 1400 square kilometres in the Lake Johnson Greenstone Belt, which contains the Emily Ann and Maggie Hayes nickel sulphide deposits. These mines have a total resource of approximately 140,000 tonnes of contained nickel. The project area was previously held by Norilsk and has excellent prospectivity for both komatiite associated nickel sulphides and amphibolite facies high-grade gold mineralisation. Oakover River Iron-Manganese Project: The project covers 970 square kilometres and is located approximately 140 km east of the town of Newman, Western Australia. The Northern lease contains the same sedimentary sequences area that host Hancock Mining’s Balfour Manganese Mine 30 kilometres West and is considered to have potential iron and manganese mineralisation. Previous exploration data of the area is currently being evaluated and a field visit is planned later this year to further assess the project potential and to formulate an exploration program. The Information in this report that relates to exploration results, mineral resources or ore reserves is based on information compiled by Mr Todd Hibberd, who is a member of the Australian Institute of Mining and Metallurgy. Mr Hibberd is a full time employee of the company. Mr Hibberd has sufficient experience which is relevant to the style of mineralisation and type of deposits under consideration and to the activity that he is undertaking to qualify as a Competent Person as defined in the 2004 edition of the `Australian Code for Reporting Exploration Results, Mineral Resources and Ore Reserves (the JORC Code)`. Mr Hibberd consents to the inclusion of this information in the form and context in which it appears in this report. Page 5 of 7 Tenement Map- Australia. A regional geology and location plan of White Cliff Nickel Limited exploration projects in the Yilgarn Craton, Western Australia Page 6 of 7 Project Map- Kyrgyzs Republic. Location of the Chanach Gold-Copper Project Page 7 of 7
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