Sterling Metals Corp. reported assay results from its inaugural drilling on the Adeline project ("Adeline" or the "Project") in Labrador Canada. A total of 1,930 meters of drilling was completed in 11 drill holes focused on testing the Ellis Main prospect ("Ellis") and the Whiskey target.

In addition to the drilling campaign, the Company completed a surface sampling program from outcrops in the Whiskey area. The Company's 2023 Adeline drill program (Figures 1 and 2) (See Tables 1 and 2 for full results and drill hole locations) was designed to test both the extents of the mineralized grey beds at Ellis at depth and along strike as well as a potential blowout of the copper mineralization interpreted from the model of historical IP carried out on the project. In the first 3 holes it became clear that the grey bed mineralization observed on surface and in historical drill core, had disappeared and appeared to be replaced by a mafic sill.

The top surface of the mafic sill was mineralized with copper oxide and native copper. Copper mineralization was intersected in the tops of mafic flows in veined and brecciated rocks. This prompted the Company to adjust the angle of the last two holes at the target and approach the mineralization from a new perspective.

Hole ELS-23-007 intersected a relatively wide zone of copper oxide mineralization which extended beyond fractures as observed in the initial holes. This was thought to potentially be the top of a flow breccia. Hole ELS-23-008 was an attempt to follow this mineralization to the south along the structure and towards historic conductors but deviated to the north and hit the edge of the oxide/sulfide zone, intercepting native copper in quartz veins.

Additionally, the copper zone identified in drilling was not consistent with the IP anomaly identified by Noranda from the 90's. The Company is currently carrying out physical properties on the core, especially the rocks above the copper zone, to identify potential alternative sources of the chargeability response shown in the IP survey. There is extensive hematite mineralization and this may be responsible for the large target area shown in the chargeability response. The final three holes of the program were drilled at the Whiskey target, approximately 25km east of the Ellis target.

The drilling was designed to undercut copper mineralization within grey beds at a historical trench. Drilling showed that the grey bed appeared to pinch resulting in narrower intersections than observed in the trench. Holes WHS-23-010 and WHS-23-011 intersected 3.54% and 3.22% copper of approximately 0.6m which were haloed by lower grade mineralization of 1-2m wide.

Next Steps: The Company is undertaking a number of exploration activities to extract further value from both recent drilling and historical data. Additional analytical work is underway to examine the role of hydrocarbons within the sedimentary rocks in triggering the accumulation of copper mineralization. Analysis of non-carbonate sources of carbon is the initial step and will be followed by a hyperspectral analysis of historical holes for the presence of hydrocarbons across the property.

Hydrocarbons in the sediments would be part of a favourable copper mineralization setting and open the opportunity to scan the entire property for new target areas with satellite data. The Company anticipates undertaking an advanced hyperspectral study using shortwave infrared channels to map favourable rocks and to bring new target areas across the property forward. Currently, the field team is carrying out a physical property study on Sterling Metals 2023 core and historical core available in the Newfoundland and Labrador core library in Goose Bay.

Measurements of magnetic susceptibility, gravity, resistivity, chargeability, and conductivity are being made on mineralized and non-mineralized drill core to aid in geophysical modeling and in designing future work programs. Additionally, interpretation of the data from a DIGHEM airborne EM survey flown in 1992 for Noranda Exploration is underway. The survey identified numerous weak and moderate conductors and Sterling is modelling the conductors, which is expected to allow the team to characterize and rank each conductor. The team will prioritize conductors along favourable regional structures, within ideal host rocks and where copper occurrences have been identified nearby.

This study will lead to sites which should be visited in the next exploration campaign for groundwork in 2024. About the Adeline Project, Labrador: Comprised of roughly 30,000 hectares and a 44 km strike of copper-silver-rich terrain, Adeline covers the youngest middle Mesoproterozoic volcano-sedimentary sequences, known as the Seal Lake Group. The Seal Lake Group consists of supracrustal argillaceous and arenaceous sedimentary rocks, intercalated with basalt flows and intruded by gabbro sills.

The volcano-sedimentary rocks formed as a result of extensive continental sedimentation from the transition from subaerial to shallow-marine during a rift-related cycle of uplift and erosions. While sediment-hosted stratiform copper deposits are widespread, economically significant occurrences are infrequent. These deposits contribute to roughly 20% of global copper production and known reserves.

Supergiant and giant deposits are formed in basins that experienced extended periods of fluid flow, where specific conditions facilitated the accumulation of substantial quantities of metal-rich fluid, ample reduced sulfur, and significant amounts of reductants.