Leviathan Gold to Acquire Significant Mineral Exploration Land Package in Bosnia and Herzegovina.
Leviathan Gold to Acquire Significant Mineral Exploration Land Package in Bosnia and
Herzegovina.
• Foča Project covers a highly prospective land package in an under explored mineral
belt between the Rupice Mine (Adriatic Metals plc.) and the Trepča Mines of Kosovo.
• Yugoslav drilling records indicate an average mineralized thickness of 15 metres at
13.25% Pb+Zn over three diamond drill holes at Vrela; recent rock chip sampling at
this vicinity has returned values of up to 347 g/t Ag, 10.1% Pb and 40% Zn.
• Recent s oil sampling ha s identified continuous base metal anomalism for over 2
kilometres beyond the area of historic drilling and high grade rock chip sampling at
Vrela.
Vancouver, BC – November 25, 2024 - Leviathan Gold Ltd. (“ Leviathan”, the “ Company”)
(LVX – TSXV, 0GP – Germany) is pleased to announce that it has entered into a share exchange
agreement dated November 22, 2024 (the “Agreement”), with LS Lithium Corp. (to be renamed
Foca Metals Corp. ) (“FMC”) and the shareholders of FMC to acquire 100% of the issued and
outstanding common shares of FMC (the “ Acquisition”) in consideration for an aggregate of
9,000,000 common shares of the Company at a deemed price of $0.0525 per share (the
“Consideration Shares”), and thereby a 100% indirect interest in the Fo ča Project (“Foča”, the
“Project”), a highly prospective land package in Republika Srpska, Bosnia and Herzegovina.
The Project covers 100.7 square kilometres across three exploration licenses, includes a series of
silver and base metal targets tentatively considered to be of s edimentary exhalative or related
origin, and lies approximately 100 kilometres south of the Vareš project of Adriatic Metals plc.
Vareš hosts Indicated Mineral Resources of 18.3 Mt at 168 g/t Ag, 1.3 g/t Au, 4.6% Zn, 2.9% Pb,
0.4% Cu and 30% BaSO4 and Inferred Mineral Resources of 2.8 Mt at 75 g/t Ag, 0.5 g/t Au, 2.4%
Zn, 1.6% Pb, 0.2% Cu and 13% BaSO41 in rocks of closely comparable age and host lithology to
those at Foča - within the so-called Central Dinaride metallogenic zone of the Western Tethyan
Belt.
1 Updated Mineral Resource estimate for the Rupice Deposit by AMC Consultants Pty Ltd., (Press Release, Adriatic
Metals plc. July 27, 2023).
Another prominent group of Central Dinaride polymetallic deposits is the Trepča Mines complex
in Kosovo, which falls approximately 300 kilometers southeast of the Project at which historic
production of 60.5 Mt at 8% Pb+Zn and more than 4,500 t ons of Ag2 is documented, and which
in the 1980’s reportedly employed 20,000 people , supposedly accounting for 70% of all
Yugoslavia's mineral wealth3. A number of other polymetallic mineral occurrences including past
and current producing mines fall in closer proximity to Foča (Figure 1) , and provide a broader
indication of the potential metal endowment of this highly under-explored mineral district, which
is almost entirely untouched by modern, systematic exploration.
Key targets at Foča presently include:
• The Vrela Prospect: records of Yugoslav-era drilling completed in 1967 present an average
mineralized thickness of 15 metres at a grade of 13.25% Pb+Zn over three diamond drill
holes4 at Vrela, without any Ag or Cu assay records. While original copies of historic
reports have been inspected by Leviathan, the constituent drill hole logs and assay s are
unavailable. Recent rock chip sampling by OC44 and FMC in the area of historic drilling
returned grades of up to 347 g/t Ag, 10.1% Pb and 40% Zn from field exposures and
mineralized float subsequently visited by Leviathan personnel (Figure 2). Soil sampling
completed by FMC in the summer of 2024 at a spacing of approximately 200 metres by
100 metres defined a highly coherent Pb, Zn and Cu anomaly extending for over 2
kilometres to the northeast of the area of historic drilling, and high-grade rock chip samples
at a width in the order of 500 metres, suggesting that the mineralization identified in
exposure and in historic drilling has potential to manifest itself at a far greater scale.
Limited follow up investigation within this area yielded rock chip results of up to 40 g/t
Ag, 2.6% Pb and 11.2 % Zn approximately 1.6 kilometers along trend from the area of
historic drilling at the so-called “Marevo Ridge”.
To the east and south of Vrela, occurrences of limonitic, sideritic and ankeritic limestones,
containing variable components of galena, sphalerite and chalcopyrite are also recorded by
Kulenović and Ramović including - amongst others - Kozja Luka, Putojevići, Selište and
Lisičine, which provide further context to the potential extent of mineralization.
• The Barice Prospect: OC44 and FMC identified massive sulphide mineralization in
mineralized float and outcrop, with rock chip assays returning grades of up to 4.48% Cu,
110 g/t Ag, 30.2% Pb and 6.45% Zn within a coherent, southeast trending Pb, Zn and Cu
soil anomaly over a strike of approximately 500 metres and a width of up to 200 metres
(Figure 3) . Photographs of m assive galena boulders discovered at Barice are shown in
Figures 4 and 5.
2 Palinkas, S. S. (2013), Metallogenic Model of the Trepča Pb-Zn-Ag Skarn Deposit, Kosovo: Evidence from Fluid
Inclusions, Rare Earth Elements, and Stable Isotope Data, in Economic Geology, v.108, pp. 135–162.
Evidence from Fluid Inclusions, Rare Earth Elements, and Stable Isotope Data
3 Trepča Mines - Wikipedia, accessed on September 30, 2024.
4 Kulenović, E. and Ramović, E. (1976) Elaborat o geološkim istraživanjima korisnih mineralnih sirovina na području
općine Foca u 1975 godini (Region: Trijas Drina-Lim). “Geoinzenjering” Institut za Geologiju-Ilidža, Sarajevo.
Leviathan intends to deploy Induced Polarization geophysical surveys at both Vrela and Barice in
the near term with the objective of defining high grade and bulk- tonnage silver and base metal
drilling targets.
Changes to the Law on Geologica l Exploration in Republika Srpska , which came into force on
July 24, 2024, are viewed by the Company as mining friendly, and consistent with the legal
provisions of other leading international mining jurisdictions.
Figure 1: The Western Tethyan Belt and location of the Foča Project
Figure 2: Rock chip and soil sampling at Vrela
Figure 3: Rock chip and soil sampling at Barice
Figure 4: Massive galena mineralization in boulders at Barice
Figure 5: Massive galena mineralization in boulders at Barice
Leviathan Chief Executive Officer, Luke Norman, remarked: “We are very pleased indeed to have
secured this rare and compelling silver and base metal exploration opportunity in southern
Bosnia. Despite the success of Adriatic Metals at their Vareš project to our north – not to mention
the vast historic Trepča complex in Kosovo to our south - the remainder of the so-called Central
Dinaride Zone remains largely untouched by modern, systematic exploration, leaving it open for
discovery. Recent legal changes in Republika Srpska not only improve land availability, but also
add a unique first -mover advantage to this opportunity - in a safe, modern, developed, EU-
membership candidate country.
This acquisition by Leviathan provides the Company with the opportunity to discover a silver and
base metal deposit of significance within a growing land package. Leviathan’s team members have
substantial experience of the Balkan operating environment and its mineral systems, specifically
in Bosnia. We thank the people and government of Foča and Republika Srpska for their support
in our achievement of this transaction, and we look forward continually building on this highly
constructive relationship as the project advances.”
The Geology of the Foča District
The Foča district is located in the Durmitor Nappe, a thrusted, folded and faulted geological
succession of Palaeozoic basement, with overlying Triassic and Jurassic -Cretaceous aged rocks
consisting of carbonate , flysch volcanogenic -sedimentary formations deposited in response to
rifting on the margin of Gondwana and the opening of the Neo- Tethys ocean, and subsequently
deformed by the Late Palaeozoic age Alpine Orogeny.
By way of analogy, the Vareš district reportedly lies near the western closure of the Durmitor
Nappe, the with geology of the area consist ing of Lower Triassic, Middle Triassic and
undifferentiated Jurassic -Cretaceous formati ons5. The polymetallic mineralization is
predominately hosted in the matrix of a polymictic breccia of banded shale, siltstone or sandstone
clasts, both overlain and underlain by a succession of sandstone, siltstone, shale or limestone.
Mineralogy across the various mineral occurrences reportedly includes sphalerite, galena,
chalcopyrite, barite, minor tetrahedrite, and pyrite, with associated silver and gold.
About FMC and the Agreement
FMC is a privately held arm’s length party, incorporated in British Columbia. FMC is party to a
share purchase option agreement dated May 30, 2024 (the “Option Agreement”) with Društvo sa
ograničenom odgovornošću “Outcrop 44” (“ OC44”) and the shareholders of OC44 (“OC44
Shareholders”), pursuant to which FMC has been granted an option (the “Option”) to acquire all
the issued and outstanding shares of OC44 (“ OC44 Shares ”), which holds mineral tenements
located in the Republika Srpska, Bosnia and Herzegovina (the “OC44 Property”).
FMC shall be deemed to have exercised the Option upon payment by FMC to OC44 Shareholders
of a cash payment in an amount equal to CAD 200,000 on or by the date that is seven (7) business
days following the Acquisition closing date. In order for FMC to maintain ownership of the OC44
Shares acquired on the exercise of the Option, FMC must (i) make a cash payment in an amount
equal to CAD 350,000 on or by the date that is 12 months following the Acquisition closing date
and (ii) complete certain exploration expenditures on the OC44 Property as set forth in the Option
Agreement on or before May 30, 2025. Notwithstanding the foregoing, if FMC completes all
payments by May 30, 2025, FMC will not be required to incur the exploration expenditures
referred to in (ii) above.
The proposed transaction remains subject to customary conditions of closing, including the
Company completing due diligence to its satisfaction and the approval of the TSX Venture
Exchange, and is expected to complete shortly. There are no guarantees that the Acquisition will
be completed as contemplated or at all.
The Consideration Shares will be issued pursuant to an exemption from the prospectus
requirements under applicable securities laws pursuant to Section 2.12 of National Instrument 45-
106. The Consideration Shares are subject to a restriction of resale for a period of four months and
one day from the closing date of the Acquisition.
5 Independent Technical Assessment Report Adriatic Metals Limited Vares Project CSA Global Report Nº R104.2018,
9 February 2018.
Qualified Person and Data Verification
The technical content of this news release has been reviewed, verified and approved by Mr.
Aleksandar Vučković, MAIG, a qualified person as defined by NI 43-101.
On behalf of the Company,
Luke Norman, Chief Executive Officer and Director
For further information please visit the Company website www.leviathangold.com or contact:
Adam Ross, Investor Relations,
Direct: (604) 229-9445
Toll Free: 1(833) 923-3334
Email: [email protected]
Neither the TSX Venture Exchange 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. No securities regulatory authority has either approval or disapproved of the contents
of this press release.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the
securities in the United States. The securities have not been and will not be registered under the
United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities
laws and may not be offered or sold within the United States unless registered under the U.S.
Securities Act and applicable state securities laws or an exemption from such registration is
available.
Forward-Looking Statements
Information set forth in this news release contains forward -looking statements that are based on
assumptions as of the date of this news release, including with respect to completing the
Acquisition, geological prospects of Leviathan’s mineral projects, planned exploration activities,
success of exploration activities, the relevance of historical information, the continuation of
mineralization, the relevance of comparable projects, the timing of exploration activities, general
business and economic conditions; that applicable approvals are obtained; that qualified workers,
financing, permits, approvals, and equipment are obtained in a timely manner; that market
conditions continue; that contractual counterparties perform their obligations as required; and that
Leviathan is able to locate sufficient financing for favourable ongoing operations . These
statements reflect management's current estimates, beliefs, intentions and expectations. They are
not guarantees of future performance. Leviathan cautions that all forward looking statements are
inherently uncertain and that actual performance may be affected by many material factors, many
of which are beyond Leviathan’s control. Such factors include, among other things: risks and
uncertainties relating to whether exploration activities will result in commercially viable quantities
of mineralized materials; the possibility of changes to project parameters as plans continue to be
refined; the ability to execute planned exploration and future drilling programs ; COVID-19; the