District Reports on Historic Drill Results from the Svärdsjö Property Including 15.6 m at 13.3% ZnEq
District Reports on Historic Drill Results from
the Svärdsjö Property Including 15.6 m at
13.3% ZnEq
Vancouver, British Columbia--(Newsfile Corp. - December 14, 2022) -
District Metals Corp. (TSXV:
DMX) (FSE: DFPP) ("District" or the "Company")
is pleased to report on compilation work from
historical exploration data at the high grade polymetallic Svärdsjö Property located in the Bergslagen
Mining District in south-central Sweden. The Mining Inspectorate of Sweden (Bergsstaten) recently
relinquished exploration data from Swedish mining company, Boliden, after a confidentiality period of
three years. Review of this historical data, in combination with the recently flown SkyTEM survey (
May
16, 2022 News Release
), has revealed several priority target areas that strongly warrant follow up work
and drilling.
Svärdsjö Property Historic Drill Highlights:
Fäbodgruvan mineralization
SVASJ-269:
15.55 m at 13.33% ZnEq
1
(68.20 to 83.75 m).
SVASJ-265:
5.50 m at 15.17% ZnEq
1
(179.80 to 185.30 m).
SVASJ-279:
8.45 m at 7.28% ZnEq
1
(236.80 to 245.25 m).
SVASJ-270:
1.70 m at 17.68% ZnEq
1
(516.00 to 517.70 m).
Vilnäset mineralization
SVASJ-281:
32.65 m at 3.35% ZnEq
1
(105.90 to 138.55 m).
SVASJ-280:
20.35 m at 4.90% ZnEq
1
(256.10 to 276.45 m).
SVASJ-272:
6.60 m at 8.96% ZnEq
1
(314.90 to 321.50 m).
SVASJ-297:
9.20 m at 6.14% ZnEq
1
(396.70 to 405.90 m).
Svärdsjö Mine extension
(underground drilling)
SVASJ-152:
14.11 m at 7.78% ZnEq
1
(62.30 to 76.41 m).
SVASJ-195:
7.61 m at 12.21% ZnEq
1
(50.58 to 58.19 m).
SVASJ-199:
22.11 m at 5.88% ZnEq
1
(117.94 to 140.05 m).
SVASJ-255:
4.50 m at 15.55% ZnEq
1
(54.85 to 59.35 m).
SVASJ-255:
4.67 m at 11.26%
ZnEq
1
(62.83 to 67.50 m).
A drill hole plan and long section are shown in Figures 1 to 2, and historical drill assay results are shown
in Table 1.
Garrett Ainsworth, CEO of District, commented: "We acquired the Svärdsjö Property in November 2021
with an understanding that historical exploration data would be released after the standard confidentiality
period ended. The recently obtained historical drill results from the historical Svärdsjö Mine area show
impressive continuity along strike and at depth with high grade polymetallic mineralization open in most
directions. Significant polymetallic mineralization has been encountered by historical drilling along a
strike of greater than 1,000 m and at depths of greater than 600 m.
"With our historical data compilation complete, it is clear that the Svärdsjö Property compliments and
bolsters our Tomtebo and Gruvberget Properties, which are all located within the world class Bergslagen
Mining District."
The Svärdsjö Zn-Pb-Cu sulphide deposit is situated in the northern part of the Bergslagen Mining
District. Mining in the Svärdsjö area started during the fifteenth century and the Svärdsjö deposit itself
was mined from the mid-1700's until 1989, producing
1.03 Mt at 112 g/t Ag, 6.0% Zn, 2.7% Pb, 0.6%
Cu and 0.4 g/t Au
2
.
More recent exploration drilling by Boliden discovered a continuation of high grade polymetallic
mineralization at the Svärdsjö and Kompanigruvan Mines at depth and to the southwest as two separate
polymetallic bodies named the Fäbodgruvan and Vilnäset zones (Figure 1). The polymetallic
mineralization at these zones comprises sphalerite (zinc), galena (lead and silver), and chalcopyrite
(copper and gold), which remains open in most directions.
Boliden was active in the Svärdsjö area between 2009 and 2019 where their exploration activities
included various soil surveys, geophysical ground surveys and 40 regional drill holes from surface
(22,690 m). The Swedish Mineral Act requires relinquishment of exploration data after dropping the
exploration license with a maximum of four years confidentiality. District's review of the historical drill
assay data shows several areas that exhibit potential to generate a significant mineral resource estimate
with additional drilling. Numerous potential extensions from existing high grade polymetallic
mineralization are evident below the Svärdsjö Mine, and at the Fäbodgruvan and Vilnäset zones, which
are also supported by coincident conductive and magnetic anomalies identified from the May 2022
SkyTEM geophysical interpretation.
A recent scientific paper
3
on the Svärdsjö deposit (Fahlvik et al, 2022) has provided valuable insights on
the geology, mineralization style and geochemical characterization of the host succession and the
surrounding zone of accompanying hydrothermally altered rocks. These observations will be
implemented as exploration vectors towards polymetallic mineralization on the Svärdsjö Property.
Figure 1: Plan View of Svärdsjö Mine Area
To view an enhanced version of Figure 1, please visit:
https://images.newsfilecorp.com/files/7971/147962_244bce2794901bde_002full.jpg
Figure 2: Long Section Looking Northwest at Svärdsjö Mine Area
To view an enhanced version of Figure 2, please visit:
https://images.newsfilecorp.com/files/7971/147962_244bce2794901bde_003full.jpg
Table 1: Svärdsjö Property Historical Drill Results
Drill Hole
Depths and Interval
Historical Assay Results
Hole ID
Azimuth
Dip
Total
Depth (m)
From (m)
To (m)
Interval
(m)
Au (g/t)
Ag (g/t)
Cu (%)
Pb (%)
Zn (%)
ZnEq (%)
SVASJ-259
313
-65
902.60
96.90
100.10
3.20
0.02
5
0.31
0.51
1.89
3.33
127.20
127.75
0.55
0.01
6
0.19
1.16
1.72
3.41
635.60
639.60
4.00
1.01
10
1.46
0.19
0.52
7.50
648.50
652.80
4.30
0.04
32
0.09
0.96
2.43
4.45
SVASJ-263
312
-63
1015.70
930.25
934.50
4.25
0.13
23
0.31
1.14
3.04
5.83
954.45
960.75
6.30
0.29
41
0.58
1.12
3.52
7.84
SVASJ-264
311
-48
500.15
355.60
356.50
0.90
0.45
356
0.91
3.46
7.57
23.39
SVASJ-265
310
-51
353.60
153.80
154.85
1.05
0.02
16
0.03
2.94
8.14
11.30
170.75
174.75
4.00
0.01
13
0.03
1.01
3.24
4.55
179.80
185.30
5.50
0.10
45
0.19
4.32
9.44
15.17
SVASJ-267
312
-46
244.60
123.20
127.70
4.50
0.05
99
0.05
2.09
5.58
10.25
SVASJ-268
308
-50
250.80
201.50
202.00
0.50
0.02
24
0.02
1.24
4.57
6.39
SVASJ-269
308
-51
116.20
68.20
83.75
15.55
0.04
80
0.06
2.90
8.44
13.33
incl.
70.50
79.65
9.15
0.07
123
0.07
4.38
12.85
20.24
SVASJ-270
311
-50
572.60
213.15
214.50
1.35
0.90
14
1.05
0.13
0.28
5.98
516.00
517.70
1.70
0.86
35
0.80
1.74
10.80
17.68
SVASJ-272
309
-50
827.60
304.90
309.65
4.75
0.66
14
0.14
0.58
1.19
4.27
314.90
321.50
6.60
1.56
28
0.29
0.89
2.29
8.97
incl.
314.90
319.00
4.10
2.29
34
0.34
1.20
2.72
12.02
335.70
337.15
1.45
0.06
31
0.05
3.52
7.86
12.07
SVASJ-274
309
-50
616.40
508.00
515.40
7.40
0.02
13
0.11
1.27
3.14
4.90
549.20
551.50
2.30
0.29
33
0.66
0.42
3.11
6.84
SVASJ-277
312
-50
752.30
652.15
663.30
11.15
0.10
15
0.35
0.57
1.29
3.39
SVASJ-278
311
-50
761.40
658.45
658.75
0.30
0.07
10
0.09
1.50
10.40
12.42
SVASJ-279
313
-50
449.50
236.80
245.25
8.45
0.03
23
0.09
1.68
4.91
7.28
SVASJ-280
310
-50
554.60
256.10
276.45
20.35
1.72
0
0.00
0.00
0.01
4.91
incl.
269.25
273.55
4.30
3.27
1
0.00
0.00
0.02
9.32
281.05
291.45
10.40
0.51
36
0.15
1.38
2.95
6.94
493.75
496.80
3.05
0.28
19
1.10
0.75
1.12
5.84
SVASJ-281
314
-50
428.50
105.90
138.55
32.65
0.14
17
0.64
0.30
0.66
3.35
incl.
128.10
138.55
10.45
0.20
22
0.85
0.40
1.18
4.84
377.10
379.40
2.30
0.03
24
0.27
1.50
4.26
6.97
408.30
413.50
5.20
0.30
22
0.69
0.38
1.86
5.35
SVASJ-282
315
-50
500.40
384.25
385.10
0.85
0.20
3
0.85
0.06
0.88
3.73
396.65
403.85
7.20
0.07
11
0.18
0.44
1.14
2.46
incl.
396.65
401.25
4.60
0.10
9
0.24
0.54
1.45
3.02
SVASJ-283
310
-60
425.60
234.00
237.00
3.00
0.01
4
0.07
1.08
3.17
4.42
SVASJ-285
280
-55
547.20
346.65
355.20
8.55
0.18
14
0.47
0.32
0.81
3.17
SVASJ-286
310
-55
197.45
64.30
66.30
2.00
0.02
6
0.28
1.59
4.53
6.83
SVASJ-288
315
-55
741.20
384.65
385.15
0.50
0.43
123
0.29
2.91
7.41
15.09
633.90
641.85
7.95
0.05
23
0.20
0.82
2.48
4.45
SVASJ-289
280
-60
546.35
427.15
430.25
3.10
0.79
9
0.58
0.00
0.02
3.97
456.05
465.15
9.10
0.45
18
0.27
0.58
1.74
4.66
SVASJ-290
310
-55
630.50
424.30
425.75
1.45
0.08
10
0.10
4.82
13.45
18.45
465.10
469.00
3.90
0.01
8
0.03
0.64
2.69
3.58
SVASJ-292
310
-55
809.60
613.70
617.40
3.70
0.05
21
0.05
0.57
1.37
2.69
SVASJ-296
307
-65
815.25
681.50
692.50
11.00
0.04
49
0.23
1.50
3.22
6.51
696.50
701.70
5.20
0.01
70
0.18
0.15
0.27
2.68
SVASJ-297
313
-68
851.75
340.80
343.90
3.10
0.19
13
0.48
0.16
0.34
2.58
346.55
349.50
2.95
0.20
28
0.39
0.80
2.08
5.06
366.80
378.50
11.70
0.42
12
0.77
0.16
0.45
4.03
396.70
405.90
9.20
0.96
51
0.41
0.42
0.70
6.14
incl.
396.70
404.50
7.80
1.09
59
0.42
0.49
0.80
6.93
726.00
726.80
0.80
0.19
9
1.17
0.85
2.69
7.15
748.80
753.60
4.80
0.06
7
0.26
1.20
3.91
5.97
incl.
750.05
753.60
3.55
0.07
9
0.30
1.59
4.69
7.29
SVASJ-298
280
-66
752.60
466.30
469.65
3.35
0.02
13
0.18
2.13
4.15
6.87
506.45
508.65
2.20
0.85
125
0.48
2.31
5.01
13.88
551.15
554.75
3.60
0.29
40
0.72
1.28
2.46
7.25
714.10
719.30
5.20
0.17
15
0.66
0.70
2.00
5.15
SVASJ-299
291
-67
910.80
797.70
798.60
0.90
0.04
4
0.02
2.25
7.18
9.43
Drill Holes from drift at -350z Level
SVASJ-151
131
-57
92.11
52.00
53.98
1.98
0.25
92
2.15
0.85
2.09
11.37
87.30
90.98
3.68
0.17
49
0.14
1.43
1.26
4.63
SVASJ-152
136
-55
93.75
62.30
76.41
14.11
0.63
49
0.77
0.55
2.32
7.79
incl.
67.52
76.41
8.89
0.90
62
1.10
0.81
2.98
10.62
SVASJ-195
132
-50
85.80
43.32
45.85
2.53
0.17
99
1.57
2.31
7.94
17.00
50.58
58.19
7.61
0.62
91
0.38
2.57
4.91
12.22
SVASJ-197
130
-52
106.17
57.92
75.76
17.84
0.07
23
0.16
0.39
1.59
3.14
incl.
62.60
70.11
7.51
0.10
34
0.14
0.76
2.69
4.88
SVASJ-198
142
-60
139.77
125.45
137.58
12.13
0.12
38
0.27
0.75
2.23
4.92
SVASJ-199
135
-60
178.44
117.94
140.05
22.11
0.26
46
0.56
0.88
1.79
5.88
incl.
124.08
140.05
15.97
0.32
58
0.76
1.17
2.32
7.66
incl.
129.75
140.05
10.30
0.44
75
1.06
1.31
2.15
9.15
SVASJ-246
174
1
107.10
83.00
88.43
5.43
0.24
61
0.80
0.56
1.00
5.75
SVASJ-247
166
-20
100.20
78.46
89.60
11.14
0.01
90
0.25
0.83
1.01
4.72
SVASJ-248
167
15
113.50
71.19
80.50
9.31
0.10
55
0.53
0.97
1.47
5.37
incl.
71.19
75.17
3.98
0.11
105
0.86
1.75
2.31
9.07
SVASJ-252
353
-25
88.70
70.96
74.90
3.94
0.00
194
0.95
1.18
1.17
9.63
SVASJ-255
142
-25
91.35
54.85
59.35
4.50
0.07
78
2.83
0.14
6.06
15.55
62.83
67.50
4.67
1.72
71
0.27
1.32
2.72
11.28
74.98
87.05
12.07
0.14
35
0.16
2.10
2.00
5.57
SVASJ-256
157
-25
94.35
74.55
83.43
8.88
0.00
40
0.26
0.87
1.93
4.39
89.63
90.80
1.17
0.00
39
0.22
0.77
2.90
5.14
Notes:
All intervals are core lengths, and true thicknesses are yet to be determined. Mineral resource modeling is required
before true thicknesses can be estimated.
Cut-off grade of 1.5% ZnEq was utilized, which may include up to 2.0 m of internal dilution.
Underground mining cut-off at
the nearby Garpenberg Mine was US$29/tonne in 2021.
Metal prices used in USD for the ZnEq cut-off calculations were based on Ag $15.00/oz, Au $1650/oz, Cu $2.15/lb, Zn $0.85/lb,
and Pb $0.75/lb.
ZnEq = 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.
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.
2
Sveriges Geologiska Undersökning (SGU) Map Viewer:
https://apps.sgu.se/kartvisare/kartvisare-malm-mineral.html
3
Anton Fahlvik, Tobias C. Kampmann & Nils F. Jansson (2022): Hydrothermal alteration, lithogeochemical marker units and vectors towards
mineralisation at the Svärdsjö Zn-Pb-Cu deposit, Bergslagen, Sweden, GFF,
https://doi.org/10.1080/11035897.2022.2120065
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 data disclosed in this news release is related to historical drilling results. District has not undertaken
any independent investigation of the sampling nor has it independently analyzed the results of the
historical exploration work in order to verify the results. District considers these historical drill results
relevant as the Company is using this data as a guide to plan exploration programs. The Company's
current and future exploration work includes verification of the historical data through drilling.
Mr. Ainsworth has not verified any of the information regarding any of the properties or projects referred
to herein other than the Svärdsjö Property. Mineralization on any other properties referred to herein is not
necessarily indicative of mineralization on the Svärdsjö Property.
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 Svärdsjö Property; and the Company's interpretations and expectations about the results on the Svärdsjö Property.
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 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/147962