District Metals Commences Drilling at the Tomtebo Property
District Metals Commences Drilling at the
Tomtebo Property
Vancouver, British Columbia--(Newsfile Corp. - April 11, 2022) -
District Metals Corp. (TSXV: DMX)
(FSE: DFPP) ("District" or the "Company")
is pleased to announce that it has commenced core
drilling at its high grade polymetallic Tomtebo Property located in the Bergslagen Mining District in
south-central Sweden. GEOPS-Bolkan Drilling Services Ltd. has been awarded the contract for this drill
program.
Core drilling at the Tomtebo Property will comprise 1,200 m in three holes, which will be followed by
drilling 1,800 m in 10 holes at the Gruvberget Property located 40 km northwest from Tomtebo.
Drill
permitting for 800 m in two holes at our Bakar Copper Property on Northern Vancouver Island continues
and drilling may commence in June or July 2022.
Garrett Ainsworth, CEO of District, commented: "We continue to increase our understanding of the high
grade polymetallic mineralized system at the historic Tomtebo Mine through the utilization of modern
exploration techniques.
This phase of drilling will test some very exciting targets identified from our work
to date.
By way of example, the massive sulphide lenses at the Steffenburgs zone intercepted by our
drilling in 2021 have returned significant widths of high grade polymetallic mineralization that remain
open in many directions.
We are also keen to aggressively step out from the Tomtebo Mine with this
current drill program, to further assess one of the numerous other coincident geophysical targets outside
of and along trend from the Tomtebo Mine that remain untested."
The primary objectives of the Tomtebo Property drill program include:
1)
two step out holes below high grade polymetallic mineralization at the Steffenburgs zone where
our recently reported hole
TOM21-028 intersected 30.0 m at 10.9% ZnEq
1
(
see February 28,
2022 news release
), to test for potential extensions of the massive sulphide lenses at depth.
2)
an aggressive 665 m step out northeast from the historic Tomtebo Mine at a virgin regional
target to test a magnetic high anomaly along the Tomtebo Mine Volcanogenic Massive Sulphide
(VMS) mineralized horizon.
The magnetic high anomaly at this target has a similar signature to the
magnetic high associated with polymetallic mineralization at the Steffenburgs zone.
The location of
the favourable VMS mineralized horizon has been established through the use of whole rock
geochemistry that connects the Oscarsgruvan zone to regional drill hole TOM21-023B, which was
drilled 1.0 km northeast along trend from the Tomtebo Mine.
The planned drill hole locations for this phase of drilling are shown in Figure 1.
Figure 1: Plan View of Proposed Drill Holes on Tomtebo Property
To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/7971/119891_b4af0b1c942f9ae2_002full.jpg
References
1
Metal prices used in USD for the ZnEq calculation were based on Ag $15.00/oz, Au $1650/oz, Cu $2.15/lb, Zn $0.85/lb, and Pb $0.75/lb.
ZnEq
equals = Zn% + (Ag g/t × 0.0257) + (Au g/t x 2.831) + (Cu% × 2.529) + (Pb% × 0.882).
The use of ZnEq is to calculate cut-off grades for exploration
purposes, and no adjustments were made for metal recovery.
Technical Information
All scientific and technical information in this news release has been prepared by, or approved by
Garrett Ainsworth, PGeo, President and CEO of the Company.
Mr. Ainsworth is a qualified person for
the purposes of National Instrument 43-101 -
Standards of Disclosure for Mineral Projects.
The drill core reported from the Tomtebo Property in this news release was logged and prepared at the
District Metals AB core facility in Säter, Sweden before submittal to ALS Geochemistry in Malå, Sweden
where the NQ-size drill core is cut, bagged, and prepared for analysis.
Sample pulps were sent to ALS
Geochemistry in Ireland (an accredited mineral analysis laboratory) for analysis. Samples were analyzed
using a multi-element ultra trace method combining a four-acid digestion with ICP-MS analytical
package ("ME-MS61"). Over limit sample values were re-assayed for: (1) values of copper >1%; (2)
values of zinc >1%; (3) values of lead >1%; and (4) values of silver >100 g/t using the high-grade
material ICP-AES analytical package ("ME-OG62").
Additional over limit sample values were re-
assayed for: (1) values of zinc >30%; (2) values of lead >20% using the high precision analysis of base
metal ores AAS analytical package ("Zn, Pb-AAORE").
Gold, platinum, and palladium were analyzed
using the 30 g lead fire assay with ICP-AES finish analytical package ("PGM-ICP23"). Certified
standards, blanks, and duplicates were inserted into the sample shipment to ensure integrity of the
assay process. Selected samples were chosen for duplicate assay from the coarse reject and pulps of
the original sample. No QA/QC issues were noted with the results reported.
Mr. Ainsworth has not verified any of the information regarding any of the properties or projects referred
to herein other than District's Properties. Mineralization on any other properties referred to herein is not
necessarily indicative of mineralization on District's Properties.
About District Metals Corp.
District Metals Corp. is led by industry professionals with a track record of success in the mining
industry. The Company's mandate is to seek out, explore, and develop prospective mineral properties
through a disciplined science-based approach to create shareholder value and benefit other
stakeholders.
The advanced exploration stage Tomtebo Property is located in the Bergslagen Mining District of south-
central Sweden is the Company's main focus. Tomtebo comprises 5,144 ha and is situated between the
historic Falun Mine and Boliden's Garpenberg Mine that are located 25 km to the northwest and
southeast, respectively. Two historic polymetallic mines and numerous polymetallic showings are located
on the Tomtebo Property along an approximate 17 km trend that exhibits similar geology, structure,
alteration and VMS/SedEx style mineralization as other significant mines within the district.
Mineralization that is open at depth and along strike at the historic mines on the Tomtebo Property has
not been followed up on, and modern systematic exploration has never been conducted on the Property.
For further information on the Tomtebo Property, please see the technical report entitled "NI 43-101
Update Technical Report on the Tomtebo Project, Bergslagen Region of Sweden" dated effective
October 15, 2020 and amended and restated on February 26, 2021, which is available on SEDAR at
www.sedar.com
.
On Behalf of the Board of Directors
"
Garrett Ainsworth
"
President and Chief Executive Officer
(604) 288-4430
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Cautionary Statement Regarding "Forward-Looking" Information.
This news release contains certain statements that may be considered "forward-looking information"
with respect to the Company within the meaning of applicable securities laws. In some cases, but not
necessarily in all cases, forward-looking information can be identified by the use of forward-looking
terminology such as "plans", "targets", "expects" or "does not expect", "is expected", "an opportunity
exists", "is positioned", "estimates", "intends", "assumes", "anticipates" or "does not anticipate" or
"believes", or variations of such words and phrases or statements that certain actions, events or
results "may", "could", "would", "might", "will" or "will be taken", "occur" or "be achieved" and any
similar expressions. In addition, any statements that refer to expectations, predictions, indications,
projections or other characterizations of future events or circumstances contain forward-looking
information. Statements containing forward-looking information are not historical facts but instead
represent management's expectations, estimates and projections regarding future events.
Forward-
looking statements in this news release relating to the Company include, among other things,
statements relating to the Company's planned exploration activities, including its drill target strategy
and next steps for the Tomtebo Property; the company's interpretations and expectations about the
mineralization of the Tomtebo Mine; the Company's belief that the numerous gravity high anomalies
identified at the historic Tomtebo Mine provide immense expansion potential; the Company's belief
that the modeled gravity high anomalies at the historic Tomtebo Mine could correspond with
polymetallic and/or iron sulphide mineralization, or a mafic unit; and the Company's belief that the
gravity high anomaly located one kilometer to the northeast of the Tomtebo Mine represents a
potential grassroots discovery opportunity with a modeled tonnage that compares with the historic
production tonnage from the historic Falun Mine.
These statements and other forward-looking information are based on opinions, assumptions and
estimates made by the Company in light of its experience and perception of historical trends, current
conditions and expected future developments, as well as other factors that the Company believes are
appropriate and reasonable in the circumstances, as of the date of this news release, including,
without limitation, assumptions about the reliability of historical data and the accuracy of publicly
reported information regarding past and historic mines in the Bergslagen district; the Company's
ability to raise sufficient capital to fund planned exploration activities, maintain corporate capacity and
satisfy the
exploration expenditure requirements required by the definitive purchase agreement
between the Company and the vendor of the Tomtebo Property (the "
Tomtebo Purchase
Agreement
") by the times specified therein; and stability in financial and capital markets.
Forward-looking information is necessarily based on a number of
opinions, assumptions and
estimates that, while considered reasonable by the Company as of the date such statements are
made, are subject to known and unknown risks, uncertainties, assumptions and other factors that may
cause the actual results, level of activity, performance or achievements to be materially different from
those expressed or implied by such forward-looking information, including but not limited to risks
associated with the following: the reliability of historic data regarding the Tomtebo Property; the
Company's ability to raise sufficient capital to finance planned exploration (including incurring
prescribed exploration expenditures required by the Tomtebo Purchase Agreement, failing which the
Tomtebo Property will be forfeited without any repayment of the purchase price); the Company's
limited operating history; the Company's negative operating cash flow and dependence on third-party
financing; the uncertainty of additional funding; the uncertainties associated with early stage
exploration activities including general economic, market and business conditions, the regulatory
process, failure to obtain necessary permits and approvals, technical issues, potential delays,
unexpected events and management's capacity to execute and implement its future plans; the
Company's ability to identify any mineral resources and mineral reserves; the substantial
expenditures required to establish mineral reserves through drilling and the estimation of mineral
reserves or mineral resources; the Company's dependence on one material project, the Tomtebo
Property; the uncertainty of estimates used to calculated mineralization figures; changes in
governmental regulations; compliance with applicable laws and regulations; competition for future
resource acquisitions and skilled industry personnel; reliance on key personnel; title matters; conflicts
of interest; environmental laws and regulations and associated risks, including climate change
legislation; land reclamation requirements; changes in government policies; volatility of the
Company's share price; the unlikelihood that shareholders will receive dividends from the Company;
potential future acquisitions and joint ventures; infrastructure risks; fluctuations in demand for, and
prices of gold, silver and copper; fluctuations in foreign currency exchange rates; legal proceedings
and the enforceability of judgments; going concern risk; risks related to the Company's information
technology systems and cyber-security risks; and risk related to the outbreak of epidemics or
pandemics or other health crises, including the recent outbreak of COVID-19. For additional
information regarding these risks, please see the Company's Annual Information Form, under the
heading "Risk Factors", which is available at
www.sedar.com
. These factors and assumptions are not
intended to represent a complete list of the factors and assumptions that could affect the Company.
These factors and assumptions, however, should be considered carefully. Although the Company has
attempted to identify factors that would cause actual actions, events or results to differ materially from
those disclosed in the forward-looking statements or information, there may be other factors that
cause actions, events or results not to be as anticipated, estimated or intended. Also, many of such
factors are beyond the control of the Company. Accordingly, readers should not place undue reliance
on forward-looking statements or information. The forward-looking information is made as of the date
of this news release, and the Company assumes no obligation to publicly update or revise such
forward-looking information, except as required by applicable securities laws. All scientific and
technical information contained in this news release has been prepared by or reviewed and approved
by Garrett Ainsworth, PGeo, President and CEO of the Company. Mr. Ainsworth is a qualified person
for the purposes of National Instrument 43-101 - Standards of Disclosure for Mineral Projects.
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/119891