Swedish junior resource company Vilhelmina Mineral AB (publ) (the "Company") is reporting new drilling results from the Joma Project in Røyrvik municipality in central Norway. This drilling program tested exploration and brownfield targets in and nearby Joma. The Joma Mine is an historic producer of copper (Cu) and zinc (Zn) from a volcanogenic massive sulfide-type deposit that operated from 1972 to 1998, mining 11.5 Mt at 1.49% Cu and 1.45% Zn. The Joma Project includes the Joma Mine and proximal areas held as exploitation concessions and exploration permits by Joma Gruver AS which is a jointly owned company between Vilhelmina Mineral AB (publ) and Joma Næringspark AS. Results from new drilling program include several intersections with significant length and grade, supporting the Company's plans to embark on studies to evaluate potential economics from residual resources in the mine area.
This current program is the first drilling activity in the Joma Mine Area since mine closure and is part of the efforts to test exploration and un-mined mineralization in the mine area. The aim of the Company and Joma Gruver is to evaluate and advance the Joma Project towards re-activation of mining activity. A total of 2,465 meters of diamond drilling from 13 drill-holes was completed in April to June 2018. Intersection highlights from the brownfield drill holes testing near-surface un-mined mineralization, include the following intersections (note: complete list of drill hole intersections with estimated true widths (Table 1), drill hole coordinates and orientations (Table 2), and drill hole location map (Figure 1) are shown below):
Drill hole Mine-19: 36-60 meters (m) (24m) at 2.06% Zinc (Zn), 0.58% Copper (Cu), 27 g/t Silver (Ag) Includes 39-44m (5m) at 0.66% Zn, 1.25% Cu, and 35 g/t Ag Also 55-58m (3m) 6.22% Zn, 0.21% Cu, and 26 g/t Ag
Drill hole Mine-20: 30-54m (24m) at 3.23% Zn, 0.22% Cu, and 27 g/t Ag Includes 31-43m (12m) at 4.17% Zn, 0.15% Cu, and 29 g/t Ag
Drill hole Mine-21: 27-61m (34m) at 1.74% Zn, 0.37% Cu, and 28 g/t Ag Includes 40-47m (7m) at 3.20% Zn, 0.18% Cu, and 32 g/t Ag
"These three drill holes targeted mineralization near a historic open pit" says Peter Hjorth, CEO of Vilhelmina Mineral and adds "the near-surface intersections of significant length and grade are encouraging and support our plans to evaluate potential economics from residual resources in the mine area".
A total of five (5) drill holes were completed in the Joma Mine area, two of which ended in mine voids (Mine-15, and Mine-16). Drill hole Mine-16, however, intercepted 1.7 m (from 116.23 m) of 3.20% Cu, 0.77% Zn, and 11 g/t Ag just above the void. Drill hole Mine 19, 20, and 21 listed above did not encounter any mine voids.
Additional eight (8) drill holes tested four (4) geophysical exploration targets periphery to the Joma Mine (Figure 1). These holes did not contain any significant mineralization.
Based on the drill results and other information, the Company is working on an updated and detailed work plan for the next 12 months. This work plan may include additional drilling and other surveys that that could serve as input for a Preliminary Economic Assessment (PEA) of the Joma Project.
The Joma Mine
The Joma deposit is the largest Cu-Zn deposit in the Koli nappe complex of the Caledonian orogenic province of Norway-Sweden. The historic mine operator lists geologic pre-mining resources at 22.5 Mt, of which 11.5 Mt of ore was produced at an average grade of 1.49% Cu and 1.45% Zn during the period 1972 to 1998 (Nordsulfid AS Grong Gruber reports as tabulated in Geologic Survey of Finland, 2012, Special Paper. Nr. 53, p. 12. Note, these were historic resources and have not been updated to "NI 43-101" or "JORC" compliance).
The deposit is a volcanogenic massive sulfide type-deposit hosted in sea-floor mafic volcanics (basaltic lava flows with pillow structures) within a package of volcaniclastic rocks and widely occurring silicic meta-sediments (phyllites). The deposit covers an approximate area of 750 meters north-south and 600 meters east-west and is centered on a late stage open-style fold axis with mineralization extended into the limbs. At depth, the mineralization is shallow dipping and was mined underground. At shallower depths the mineralization dips more steeply and comes to the surface where it was partly mined in a small open pit. Copper and zinc mineralization, generally, are not spatially associated and appears to be either stratigraphically or laterally juxtaposed.
Drilling Technical and QA/QC
All drill results in this news release are from surface diamond core drilling of BQ size. Recoveries and rock quality are considered excellent with >95% recovery through mineralized zones. Drill core is sawn in half with samples shipped to ALS Laboratories (ALS) in Pitea, Sweden, for sample preparation followed by shipment of sub-samples to ALS in Loughrea, Ireland for chemical analysis. All samples were analyzed using the ALS ME-ICPORE multielement method following an oxidizing digestion recommended for massive sulfide type mineralization. ALS is ISO 9000:2008 accredited and the ME-ICPORE analytical method is INAB accredited under ISO 17025:2005.
Vilhelmina's QA-QC program includes regular insertion of blind standards, blanks, and duplicates into the sample sequence representing a total of 9% of the submitted samples. The samples reported in this news release are dominantly 1 meter in length. Intersections are calculated using a minimum of 1% Cu+Zn grade with maximum allowed dilution of 3 consecutive meters.
Reporting Standard and Qualified Person
Vilhelmina Mineral AB (publ) applies reporting regulations of SveMin and FinnMin (Swedish and Finnish Associations of Mines, Minerals and Metal Producers) for public mining and exploration companies. The basic data for this press release has been reported by the independent laboratory ALS in Piteå, Sweden. The scientific and technical content of this news release pertaining to the Joma Project drilling program 2018 has been prepared and approved by Randy Ruff, M.Sc., P.Geol., who is a "qualified person" as defined by Canadian National Instrument 43 101 - Standards for Disclosure for Mineral Projects. Mr Ruff is therby also acknowledged as Qualified Person (QP) by SveMin and FinnMin with the authority to report results about mineral resources. Mr. Ruff is Exploration Manager for Vilhelmina Mineral.
Forward Looking Statements
This news release contains certain statements that may be deemed "forward-looking" statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although Vilhelmina Mineral believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of Vilhelmina Mineral management on the date the statements are made. Except as required by law Vilhelmina Mineral undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
For Figures and tables see attached file.
Stockholm, August 29, 2018
For more information:
CEO Vilhelmina Mineral AB (publ)
Mobile: 0725 - 38 25 25, E-post: email@example.com
See also: www.vilhelminamineral.com
Vilhelmina Mineral is a Swedish junior resource company with focus on copper and zinc projects in the Nordic countries. In Sweden the Company owns the Stekenjokk project in which approximately 7 million tons were produced between 1976 and 1988. According to estimates there are remaining indicated mineral resources of 7.4 million tons with grades of 1.17% Cu, 3.01% Zn and 47 g/ton Ag (cut-off 0.9% Cu). In Norway, Vilhelmina Mineral is co-owner in the Joma field in which some 11.5 million tons were previously produced between 1972 and 1998 with average grades of 1.5% Cu and 1.5% Zn. The Joma field (excluding Gjersvik) is estimated to hold approximately 5.7 million tons with grades of 1.55% Cu and 0.82% Zn (cut-off 0.8% Cu).
First Quarter 2019 (January - March)
- Exploration and evaluation costs for first quarter amounts to MSEK 2.1 (1.0)
- After-tax profit for first quarter amounts to MSEK-2.2 (-1.0)
- Profit per share for first quarter amounts to SEK -0.13 (-0.10)
Vilhelmina Mineral AB (publ) ("the Company") has held an annual general meeting on May 3, at which the current members of the board, Scott Moore, Neil Said, Les Kwasik, Jonas Dahllöf and Peter Hjorth, were re-elected. Further, the board has been authorized to issue up to 33,000,000 new shares or other financial instruments.
Vilhelmina Mineral AB (publ), reg. no 556832-3876, (hereinafter the "Company") has previously through the financial calender at the Company's website communicated April 25, 2019 as date for the annual general meeting. Due to administrative reasons, the date has been postponed and the shareholders are hereby invited to the annual general meeting to be held on May 3, 2019 at 4:00 p.m. in the Company's premises at Brahegatan 29 in Stockholm.
The board of Vilhelmina Mineral AB (publ) ("Vilhelmina Mineral" or "the Company") has decided on record date for dividend in kind of the shares in the newly formed subsidiary Upgrade Mineral Nordic AB ("Upgrade Mineral"). The decision was made on the basis of authorization from the Extraordinary General Meeting on August 2, 2018. The record date for obtaining shares in Upgrade Mineral is March 7, 2019.
Fourth Quarter 2018 (October - December)
- Exploration and evaluation costs for fourth quarter amounts to MSEK 3.3 (1.1)
- After-tax profit for fourth quarter amounts to MSEK-3.3 (-1.1)
- Profit per share for fourth quarter amounts to SEK -0.22 (-0.11)
Full year 2018 (January - December)
- Exploration and evaluation costs for the full year amounts to MSEK 11.0 (1.1)
- After-tax profit for the full year amounts to MSEK -11.3 (-2.9)
- Profit per share for the full year amounts to SEK -0.84 (-0.34)
Swedish junior resource company Vilhelmina Mineral AB (publ) (the "Company") has appointed Scott Moore as new chairman of the board. Mr. Moore represents Canadian owner Vilhelmina Minerals Inc. which is indirectly controlled by Canadian investment company Forbes & Manhattan. Mr. Moore's predecessor as chairman, Michael Timmins, is leaving Forbes & Manhattan and thereby also his assignments in portfolio companies.
Swedish junior resource company Vilhelmina Mineral AB's (publ) Norwegian subsidiary
Joma Gruver AS has obtained approval from Røyrvik municipality for its plan program for
the Joma mine industrial area. The plan program is stipulated by Norwegian law and is an
important step in the permitting process related to restart of mining activities in Joma.
Third Quarter 2018 (July - September)
- Exploration and evaluation costs for second quarter amounts to 1.3 (0.0) msek
- After-tax profit for second quarter amounts to -1.3 (-1.3) msek
- Profit per share for second quarter amounts to -0.09 (-0.15) sek
First Nine Months 2018 (January - September)
- Exploration and evaluation costs for first six months amounts to 7.7 (0.0) msek
- After-tax profit for first six months amounts to -8.0 (-1.8) msek
- Profit per share for first six months amounts to -0.64 (-0.21) sek