Victory Metals Releases Second Set of Phase II Iron Point Drill Results, Supporting Lateral Continuity of Vanadium Mineralization
Victory Metals Releases Second Set of Phase
II Iron Point Drill Results, Supporting Lateral
Continuity of Vanadium Mineralization
VANCOUVER
,
March 3, 2020
/CNW/ - Victory Metals Inc. ("
TSX-V: VMX
") ("
Victory
" or the
"
Company"
) is pleased to announce assay results from the second set of holes completed during
the 53 hole Phase II drilling program at its Iron Point vanadium project,
Nevada
. Today's release
includes eleven holes (nine reverse circulation and two PQ diamond drill holes) that targeted the
northern portion of the Iron Point vanadium zone and were drilled as both vertical and angle holes.
These holes were recommended by Mine Development Associates (
Sparks, NV
) to better define the
outer limits of mineralization and in-fill several gaps in last year's Phase I drill pattern where lateral
correlation of mineralized zones remained unclear.
The collar locations of the eleven holes released today are shown in Figure 1. Four of these holes
are shown in two drill sections oriented in a northwest and northeast direction (Figures 2-3, Sections
J-J' and K-K') crossing the northern half of the historical vanadium mineralized zone. Similar to the
results achieved during the Phase I program last year, all of these holes demonstrate good lateral
continuity and confirm the near surface, flat-lying nature of vanadium mineralization at the deposit
scale.
Highlights
New high-grade RC drill results, reported as estimated true thicknesses comprised of
aggregate intercept lengths (see note above Table 1 for definition of aggregate length), include:
25.9 meters grading 0.41%
V
2
O
5
(including 11.7 meters grading 0.57%
V
2
O
5
) in VM-
84
16.6 meters grading 0.54%
V
2
O
5
(including 4.4 meters grading 0.94%
V
2
O
5
) in VM-
11c
As observed in the Phase I and II drilling these latest intercepts are consistent with two flat-lying
higher grade vanadiferous horizons, referred to as the Upper High Grade and New High Grade
Zones, which occur within a broader and extensive envelope of lower grade mineralization
extending from the surface down to a depth of at least 175 meters. Intercepts of this broader,
low grade envelope (reported as estimated true thicknesses, see the note above Table 1 for
definition of Overall Length) include:
142.9 meters grading 0.21%
V
2
O
5
in VM-10c
147.4 meters grading 0.19%
V
2
O
5
in hole VM-11c
121.6 meters grading 0.19%
V
2
O
5
in hole VM-84
Phase II in-fill drilling has allowed for more accurate matching of vanadium horizons and
confirms the near-horizontal geometry of vanadium mineralization. This is present in both the
lower grade vanadium envelope and the two high-grade zones.
Thicker accumulations of V
2
O
5
mineralization is present between VM-73 and VM-81 on section
J-J' and between VM-13 and VM-20 on section K-K', thus indicating an area amenable to
shallow open pit extraction.
Even though the Phase II drill pattern sought to close-off the lateral extent of vanadium
mineralization, Section J-J' demonstrates that mineralization still remains open in SW and NE
directions.
PQ diamond drill holes VM-10C and VM-11C were positioned within this northern group to verify
earlier Phase I RC drill results. Comparing the Overall Length of
143m
grading 0.207% V
2
O
5
in
VM-10C with the averaged Overall Length of
149m
grading 0.205% V
2
O
5
in the surrounding
Phase I RC holes VM-4,- 5,- 6, and -76 demonstrates very close agreement between the RC
and core drill results. We did see a difference between VM-11C (Overall Length of
147m
grading 0.194% V
2
O
5
) and averaged Overall Lengths of
155m
grading 0.241% V
2
O
5
for Phase
I RC holes VM-4 and VM-73, but with only two RC holes to compare to, this difference
considered to be insignificant from the QAQC standpoint.
Paul Matysek
, Executive Chairman of Victory, stated, "Phase II drilling in the northern portion of the
historic vanadium zone has demonstrated excellent continuity of vanadium and an even better
understanding of the distribution of the vanadium mineralization. It is clear from the drilling along
cross sections J-J' and K-K' that there is favorable potential for a shallow open pit with uniform
grades and low strip. However, additional drilling southwest and northeast of the Phase I and II drill
patterns is clearly necessary in order to fully delimit the lateral extent of vanadium mineralization."
Figure 1: Victory’s second set of confirmation RC and diamond drill holes from Phase II are shown
by red yellow stars and a square, in relation to the already released Phase II drill holes in red, and
the yet to be released drilling (green stars and blue squares) from the remainder of Phase II. Phase
I drilling (grey stars and squares) are shown from 2019 program, as well as historical Newmont and
Aur Resource (USA) Inc. drill holes (grey circles and diamonds). (CNW Group/Victory Metals Inc)
Figure 2. Cross section J-J’ showing distribution of vanadium mineralization in relation to the current
geologic interpretation. (CNW Group/Victory Metals Inc)
Figure 3. Cross section K-K’ showing distribution of vanadium mineralization in relation to the current
geologic interpretation. (CNW Group/Victory Metals Inc)
Drill Results
Assay results released today are reported in % V
2
O
5,
and intercept lengths within mineralized
horizons have been reduced to true thickness. Intercept lengths are reported as an Overall Length,
which includes all contiguous assay intervals within the low-grade vanadium blanket zone (at a
0.09% V
2
O
5
minimum grade), while higher grade individual zone intercepts reported as aggregate
lengths are comprised of samples grading 0.20% V
2
O
5
and greater.
Table 1.
Hole #
Zone
From (m)
To (m)
Interval (m)
% V2O5
% V
New Holes Located ALONG Section Lines J-J' & K-K'
VM 79
+
Overall*
7.0
60.7
53.7
0.33
0.19
Upper Zone
7.0
60.7
37.4
0.4
0.23
Includes
44.4
49.0
4.7
0.8
0.45
VM 81^
Overall*
3.8
81.2
77.4
0.23
0.13
Upper Zone
10.2
29.2
17.8
0.33
0.18
New Zone
41.9
77.4
20.3
0.29
0.16
VM 84
Overall*
5.9
127.5
121.6
0.19
0.11
Upper Zone
7.3
90.9
14.7
0.29
0.16
New Zone
93.8
123.1
24.9
0.41
0.23
Includes
109.9
121.6
11.7
0.57
0.32
VM 89^
Overall*
7.9
141.3
133.3
0.17
0.10
Upper Zone
30.4
91.1
25.1
0.28
0.16
New Zone
113.5
139.9
7.9
0.37
0.21
VM 11C^
Overall*
5.9
153.3
147.4
0.19
0.11
Upper Zone
5.9
122.7
39.6
0.26
0.15
New Zone
135.3
151.9
16.6
0.54
0.30
Includes
146.4
150.8
4.4
0.94
0.53
New Holes Located OUTSIDE of Section Lines J-J' & K-K'
VM 83
Overall*
13.3
61.8
48.6
0.27
0.15
Upper Zone
13.3
61.8
32.4
0.34
0.19
VM 85^
Overall*
6.3
118.0
111.7
0.15
0.08
Upper Zone
8.9
55.8
10.2
0.25
0.14
New Zone
82.5
106.6
16.5
0.26
0.14
VM 86^
Overall*
1.2
63.9
62.7
0.16
0.09
Upper Zone
3.7
62.7
14.8
0.24
0.13
VM 87
Overall*
1.5
75.1
73.6
0.17
0.10
Upper Zone
3.0
72.1
25.5
0.26
0.15
VM 88^
Overall*
0.0
107.0
107.0
0.17
0.09
Upper Zone
1.2
40.6
12.3
0.26
0.15
New Zone
91.0
10.58
14.8
0.36
0.20
VM 119^
Overall*
0.0
78.6
78.6
0.20
0.11
Upper Zone
1.1
59.4
28.7
0.33
0.18
New Zone
67.9
75.4
7.4
0.22
0.12
VM 10C^
Overall*
8.4
151.3
142.9
0.21
0.12
Upper Zone
8.4
85.9
32.8
0.32
0.18
New Zone
106.7
151.3
29.1
0.31
0.17
* Overall values represent contiguous averages that include V2O5 values ranging from 0% to 1.71%
+
Hole reported in previous release
^ Denotes angle hole
QA/QC and Qualified Person
The Victory drilling program was directly supervised in the field by the QP and other site geologists
working for Victory. All RC samples were split at the drill site using a Gilson bar splitter and Jones
riffle splitter, with two samples per 5-foot (
1.52m
) sample interval collected and placed into heavy
plastic bags together with sequentially numbered sample tags. A 2kg sample was collected for
assay, while a 4kg reference sample was kept on-site. All core sample intervals were marked by
Victory personnel in the field, while the intact core was shipped directly to American Assay Lab in
Reno, NV
, where it was cut and sampled by trained core technicians under controlled conditions.
Three different vanadium standards (71 ppm V, 320 ppm V, and 5172 ppm V) and coarse blank
samples were purchased from Minerals Exploration and Environmental Geochemistry (MEG) Inc. of
Reno, NV.
Victory site geologists inserted field blank, standard, and duplicate samples into the drill
sample stream per NI 43-101 guidelines, maintaining a 1-in-20 insertion rate for each of the field
blank, standard, and duplicate samples such that every 7
th
sample is a control sample. Field
duplicate samples were split from the 4kg reference samples using a Jones riffle splitter.
Drill samples were transported by Victory personnel to locked storage sheds rented by Victory and
located in
Golconda, NV
, about 14km west of the project area. Samples were picked up in
Golconda
by American Assay Laboratories utilizing its own truck and driver and transported directly
to American Assay's facility in
Reno, NV.
At American Assay Laboratories, the RC and core
samples were crushed to 70% passing 2mm, and then a 0.3km split was ground to 85% passing 75
micron. A 0.5gm split was digested in a 5 acid process (ICP-5A035 method uses HNO3, HF, HClO4,
HCl, H3BO3) and analyzed via ICP-OES. The detection limit for vanadium is 1ppm, the upper limit is
10,000ppm, and sample results are reported in PPM V. As a separate QAQC check, American
Assay inserted laboratory standards, blanks, and duplicates into the sample stream. American
Assay Laboratories is accredited by the International Accreditation Service, which conforms with
requirements of ISO/IEC 17025:2005.
Victory is currently using SGS Canada Inc. to perform umpire assays on 1-in-40 drill pulps obtained
from American Assay Laboratories and submitted to SGS Canada in
Lakefield, ON
. Victory is re-
numbering the pulp samples and inserting the same field standard and blanks into the sample stream
in order to better compare results between the two labs.
The scientific and technical information in this news release has been reviewed and approved by
Calvin R. Herron
, P.Geo., who is a Qualified Person as defined by National Instrument 43-101.
About Victory Metals
Victory owns a 100% interest in the Iron Point Vanadium Project, located 22 miles east of
Winnemucca, Nevada
. The project is located within a few miles of Interstate 80, has high voltage
electric power lines running through the project area and a railroad line passing across the northern
property boundary. The Company is well financed to advance the project through resource
estimation and initial feasibility study work. Victory has a proven capital markets and mining team led
by Executive Chairman
Paul Matysek
. Major shareholders include Palisades Goldcorp (48%), and
management, directors and founders (27%). Approximately 28% of the Company's issued and
outstanding shares are subject to an escrow release over the next two years.
Please see the Company's website at
www.victorymetals.ca
.
On Behalf of the Board of Directors of
VICTORY METALS INC.
Paul Matysek
Executive Chairman and Director
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.
Forward-Looking Information
This news release contains certain forward-looking information and forward-looking statements
within the meaning of applicable securities legislation (collectively "forward-looking statements").
Certain information contained herein constitutes "forward-looking information" under Canadian
securities legislation. Generally, forward-looking information can be identified by the use of
forward-looking terminology such as "expects", "believes", "aims to", "plans to" or "intends to" or
variations of such words and phrases or statements that certain actions, events or results "will"
occur. Forward-looking statements are based on the opinions and estimates of management as of
the date such statements are made and they are subject to known and unknown risks, uncertainties
and other factors that may cause the actual results, level of activity, performance or achievements
of the Company to be materially different from those expressed by such forward-looking
statements or forward-looking information, including the business of the Company, the
speculative
nature of mineral exploration and development, fluctuating commodity prices, competitive risks,
and
delay, inability to complete a financing or failure to receive regulatory approvals. Although
management of the Company has attempted to identify important factors that could cause actual
results to differ materially from those contained in forward-looking statements or forward-looking
information, there may be other factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove to be accurate, as actual
results and future events could differ materially from those anticipated in such statements.
Accordingly, readers should not place undue reliance on forward-looking statements and forward-
looking information. The Company does not undertake to update any forward-looking statements or
forward-looking information that are incorporated by reference herein, except as required by
applicable securities laws.
SOURCE
Victory Metals Inc
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For further information:
Collin Kettell at [email protected] or (301) 744-8744
CO: Victory Metals Inc
CNW 08:30e 03-MAR-20