BTU Discovers New VMS Target ON Southern Portion of Dixie Halo Property/ Partial Assays Received
Suite 1240, 789 West Pender St. Vancouver, British Columbia
Phone: 604-683-3995/ Toll Free: 888-945-4770/Fax: 604-683-3988
BTU DISCOVERS NEW VMS TARGET ON SOUTHERN PORTION OF DIXIE
HALO PROPERTY/ PARTIAL ASSAYS RECEIVED
November 28th, 2019, Vancouver, BC, Canada – BTU METALS CORP. ("BTU" or the "Company") (BTU -
TSX:V) announced today that in the course of its current drill campaign towards the southern portion of the Dixie
Halo property, BTU has discovered compelling indications suggestive of a notable volcanogenic massive sulphide
(“VMS”) target. Partial results have been received to date for hole 13 showing elevated copper, gold and silver
numbers. The Company awaits the remaining results and over-limit assays (>1% Cu) for numerous copper intervals.
Additional drill permits have now been received and drilling has commenced to begin further exploration at this
location.
Drilling of holes 12 and 13 have identified polymetallic mineralization, including chal copyrite, copper and gold,
which is extremely rare. BTU immediately commissioned a VTEM survey which has provided further evidence of
a potential VMS target. The newly discovered prospective area has been named the “TNT Target”.
BTU CEO Paul Wood commented “The discovery of the new TNT Target, several kilometers away from the Dixie
Creek Target, is an attestation to our geological team’s methodical work in following up historical work, and in
applying modern exploration techniques to identify these new targets. It adds a new dimension to BTU’s exploration
campaign and is testament to the potential for discoveries on the Dixie Halo property. While we continue to pursue
our gold targets, soon to be aided with the SGH survey analysis, we are now eager to also pursue the potential of a
VMS situation at the TNT Target.”
It should be stressed that drilling to date has only been completed on what appears to be the north-western extremity
of the target. This area is marginal to the strongest part of the chargeability feature and the lowest resistivity feature
(best part of the target). Results of the recently completed VTEM survey show the TNT Target to be located east
and south of the current drilling and is interpreted to be related to a higher sulphide content, possibly volcanogenic
massive sulphide (“VMS”) style mineralization. The drilling completed so far on the new polymetallic TNT Target
is located near the north extremity of a feature known to be at least 800 metres in length and with interpreted widths
of up to 100 metres or more.
Rock types intersected in the drilling to date include highly altered and bleached basalt, rhyodacite tuffs and flows
as well as felsic intrusive bodies. Mineralization intersected in the two holes is comprised of s trong disseminated
pyrite with scattered disseminated to stringer chalcopyrite in places . Fractures that are particularly rich in
disseminated pyrite and/or chalcopyrite are also more chlorite altered, typical of footwall alteration in VMS systems.
Some intervals of quartz sulphide and quartz tourmaline sulphide veining were intersected in hole BTU-19-13.
To view pictures of holes 12 and 13 core visit the BTU website: https://btumetals.com/?project=3&gallery.
Historic reports of pyrite and chalcopyrite in boulders 500 metres down-ice (W-SW) from the location of the new
drill holes were reported to assay up to 3% copper and 0.6 g/t gold. Teck completed several drill holes in that area
in search of the source of the boulders but were unsuccessful. Teck did not own the claims where BTU’s new
drilling was undertaken. Noranda Exploration also carried out exploration in the area but did not drill in the vicinity
of this newly defined target.
Overburden cover in the immediate are a of the new discovery is nearly 100% , however recent field prospecting
discovered several angular boulders with disseminated pyrite and chalcopyrite in the vicinity of drill hole s BTU-
19-12,13. Assays for the intervals in BTU-19-12,13 as well as samples from the nearby angular glacial boulders are
pending. Angular boulders are interpreted to be close to their bedrock source, as boulders are more rounded as they
travel farther during glaciation.
Chargeability and resistivity data were collected by the Company along two east-west oriented lines separated by
approximately 800 m. This data shows that the TNT Target strikes almost north-south and is at least 800 m long.
Current interpretation of the data is that the target is up to 100 m or more in width at surface and the dip of the zone
is near -45 degrees east.
Airborne geophysical surveys were completed in the area dating back to the 1970’s to outline potential VMS targets,
some of which were drill tested and found to be caused by various barren sulphides , conductive overburden or
graphite. Proximal to the main part of the resistivity low and chargeable feature outlined by the Company, a short
strike length isolated airborne electromagnetic feature was outlined although the target remains untested.
The company recently contracted a state-of-the-art airborne geophysical survey of the TNT Target, the GEOTECH
Ltd., VTEM and magnetic survey has been completed, and the resultant data is currently being evaluated. Additional
ground geophysical surveys are underway between the chargeability/resistivity lines that were separated by 800
metres in order to give a better understanding of the size and geometry of the target. This work will be done by the
end of the month which will further guide the drilling slated for December.
Importance of VMS Mineralization in Canada
VMS style mineralization is one of the primary sources of co pper and zinc production in Canada . Some VMS
systems are enriched in gold and in some cases the contained gold is worth a significant portion of the val ue of
those deposits. Examples would include: the polymetallic mines of the Flin Flon-Snow Lake District and the Horne
copper-gold deposit in Noranda.
Historic interest in the potential for VMS discoveries in the area was in large part driven by the discov ery of the
South Bay VMS deposit which was discovered in 1968 and later mined between 1971 and 1982 by Selco. It is well
known in the industry that VMS deposits tend to form in clusters within mining camps, with several or even dozens
of discoveries being in the 1-5 million tonne range, and with occasional deposits being tens to hundreds of millions
of tonnes. These deposits are known to be high dollar value deposits that are relatively easy to define, develop and
mine.
The technical contents of this release were approved by Mr. Bruce Durham, P. Geo., a qualified person as defined
by National Instrument 43-101.
ON BEHALF OF THE BOARD
“Paul Wood”
Paul Wood, CEO, Director
FOR FURTHER INFORMATION, PLEASE CONTACT:
Andreas Curkovic, Investor Relations
+1 416-577-9927
BTU Metals Corp.
Telephone: 1-604-683-3995
Toll Free: 1-888-945-4770
Neither the TSX Venture Ex change nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.
FORWARD-LOOKING STATEMENTS: This news release contains forward-looking statements, which relate to future events or future
performance and reflect management’s current expectations and assumptions. Such forward -looking statements reflect management’s
current beliefs and are based on assumptions made by and using information currently available to the Company. Investors are cautioned
that these forward-looking statements are neither promises nor guarantees, and they are subject to risks and uncertainties that may cause
future results to differ materially from those expected. These forward -looking statements are made as of the date hereof and, except as
required under applicable securities legislation, the Company does not assume any obligation to update or revise them to refl ect new
events or circumstances. All of the forward -looking statements made in this press release are qualified by these cautionary statements
and by those made in our filings with SEDAR in Canada (available at WWW.SEDAR.COM).