Velocity Announces Additional Extension to Gold Mineralization at Durusu Tepe, Obichnik Gold Project, Southeast Bulgaria Highlights include:
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Lms
NR-20-06 February 24, 2020
Velocity Announces Additional Extension to
Gold Mineralization at Durusu Tepe,
Obichnik Gold Project, Southeast Bulgaria
Highlights include:
Drill hole ODD-025; 17.1m @ 2.29g/t gold, incl. 2.8m @ 11.03g/t gold
Drill hole ODD-026; 15.3m @ 1.40g/t gold, incl. 5.4m @ 2.89g/t gold
Drill hole ODD-027; 4.1m @ 5.08g/t gold, incl. 2.3m @ 8.29g/t gold
Gold mineralization remains open to east and west and at depth
Vancouver, British Columbia – Velocity Minerals Ltd. (TSXV: VLC) (“ Velocity” or the “ Company”)
announces that it has received additional positive drill results for the Durusu Tepe target (“Durusu”) at
the Obichnik gold project (“Obichnik”), Bulgaria (Table 1, Figures 1 and 2).
The Obichnik project is interpreted to be an intrusion -related gold and base metal mineralizing system
containing both near surface high-grade sub-epithermal gold targets and deeper bulk tonnage porphyry
gold potential, hosted within a large 2.5km x 1.5km surface alteration zone. Step out drilling at Durusu
has continued to extend minerali zation over a strike length of more than 300m and the mineraliz ation
remains open. Results are pending for 50m step -outs to the east and west and drill testing at Durusu is
ongoing with three drill rigs on site.
Durusu Target
Results from six additional drill holes at Durusu are reported in Table 1. The Durusu target is an east-west
trending, structurally controlled sub-epithermal gold mineralization defined by drilling over 300m along
strike to date. Zones of high-grade mineralization are projected to surface on Figure 1 and appear to have
broad continuity. Moving west from Durusu, the Siviri Tepe target (Figure 1) is defined by a surface soil
geochemical anomaly and remains untested to date.
Planned Work
Drilling will focus on both step -out and infill drilling, with an intention to publish a mineral resource
estimate in H1 2020. Two man-portable rigs are currently carrying out the infill drilling and a third drill rig
has recently begun initial testing of the Durusu mineralization at depth. Deep penetrating geophysics is
scheduled to begin in Q1 after the completion of the first deep drill hole, in order to develop further deep
drill targets.
NR-20-06 Continued February 24, 2019
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Figure 1: Map of the Durusu and Sivri Tepe Targets, Obnichnik Gold Project.
Table 1: Significant Drill Results at Durusu Target, the Obichnik Gold Project
ODD-024 68.0 76.3 8.3 1.92
including 68.0 71.9 3.9 3.35
ODD-025 5.2 22.3 17.1 2.29 1.91
including 10.0 12.8 2.8 11.03 8.68
ODD-025 65.7 79.4 13.7 1.34
including 69.4 76.4 7.0 2.09
ODD-025 114.3 122.6 8.3 0.77
ODD-026 46.2 51.6 5.4 3.43
ODD-026 66.6 81.9 15.3 1.40
including 74.5 79.9 5.4 2.89
ODD-026 89.9 93.9 4.0 1.83
ODD-026 107.1 132.4 25.3 0.87
including 112.1 116.1 4.0 2.05
ODD-026 144.5 153.5 9.0 0.50
ODD-027 142.1 146.2 4.1 5.08
including 142.1 144.4 2.3 8.29
ODD-027 158.2 162.2 4.0 1.09
ODD-027 165.2 169.3 4.1 0.64
ODD-028 86.3 91.6 5.3 2.43
ODD-029 147.1 149.1 2.0 0.62
Drill hole ID From (m) To (m) Interval (m) Gold (g/t)
Un-cut
Gold (g/t)
20g/t Top-cut
NR-20-06 Continued February 24, 2019
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Drill holes in Table 1 are labeled on Figure 1. The drill intersections disclosed here have not yet been included in a
resource model and true thickness of mineralization has not yet been determined. Drill holes are designed to intersect
mineralization perpendicular or close to perpendicular. Drill intersections in this news release are calculated using a top-
cut of 20g/t gold, a 0.2g/t gold trigger, a minimum 0.5g/t gold composite, and a maximum of 3 metres consecutive waste.
Figure 2: Cross section at Durusu target showing results for drill holes ODD-025 and 026
Quality Assurance / Quality Control
Velocity have not assessed the Quality Assurance / Quality Control (QAQC) of historical results and as such
historical results are not consistent with the standards of disclosure defined by NI 43 -101 and may not
necessarily be consistent with CIM best practice with respect to reporting.
The work program at Obichnik was designed and is supervised by Stuart A. Mills, CGeol, the Company's
Vice-President Exploration, who is responsible for all aspects of the work, including the quality
control/quality assurance program. On-site personnel at the project rigorously collect and track samples
which are then security sealed and shipped to ALS Global laboratory in Romania. Samples used for the
results described herein are prepared and analyz ed by fire assay using a 30 -gram charge in compliance
with industry standards at ALS’ Romanian laboratory. A sample split of the milled material is shipped to
ALS’ Irish laboratory for multi- element analysis using an inductively coupled Mass Spectrometer. Field
duplicate samples, blanks and independent controlled reference material (standards) are added to every
batch. Drill intersections in this news release are calculated using a 0.2 g/t gold trigger, a minimum 0.5
g/t gold composite, and a maximum of 3 metres consecutive waste.
Qualified Person
The technical content of this release has been approved for disclosure by Stuart A. Mills, BSc, MSc, CGeol,
a Qualified Person as defined by NI 43-101 and the Company’s Vice President Exploration. Mr. Mills is not
independent of the Company.
About Velocity Minerals Ltd.
Velocity is a gold exploration and development company focused on southeastern Bulgaria. Velocity’s
strategy is to develop a low cost centralized “Hub and Spoke” operation whereby multiple projects within
this emerging gold district produce gold concentrates for trucking to a central processing plant for
NR-20-06 Continued February 24, 2019
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production of doré. The Company envisions staged open pit mining of satelli te deposits and processing
in a currently operating carbon-in-leach (CIL) plant. Velocity has a 70% joint venture interest in the Rozino
gold project and has entered into option agreements to earn a 70% interest in the Obichnik, Makedontsi
and Sedefche gold projects, with Gorubso Kardzhali A.D. (Gorubso), an established and respected mining
company in Bulgaria. Velocity’s management and board includes mining industry professionals with
combined experience spanning Europe, Asia, and the Americas as employees of major mining companies
as well as founders and senior executives of junior to mid -tier public companies. The team's experience
includes all aspects of mineral exploration, resource definition, feasibility, finance, mine construction and
mine operation as well as a track record in managing publicly listed companies.
About Bulgaria
Bulgaria is a member of NATO (2004) and a member of the European Union (2007). The local currency
(BGN) has been tied to the Euro since 1999 (1.956 BGN/EUR). The country is served by modern European
infrastructure including an extensive network of paved roads. Bulgaria boasts an exceptionally low
corporate tax rate of only 10%. The country’s education system is excellent with good availability of
experienced mi ning professionals in a favourable cost environment. Foreign mining companies are
successfully operating in Bulgaria. The country’s mining law was established in 1999 and updated in
2011. Mining royalties are low and compare favourably with more established mining countries.
On Behalf of the Board of Directors
“Keith Henderson”
President & CEO
For further information, please contact:
Keith Henderson
Phone: +1-604-484-1233
E-mail: [email protected]
Web: www.velocityminerals.com
Neither the 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 includes certain “forward -looking statements” under applicable Canadian securities legislation.
Forward-looking statements include, but are not limited to, statements with respect to: future exploration and
testing carried out on the Momchil property; use of funds; and the future business and operations of Velocity. Often,
but not always, forward looking statements can be identified by words such as “pro forma”, “plans”, “expects”,
“may”, “should”, “budget”, “scheduled”, “estimates”, “f orecasts”, “intends”, “anticipates”, “believes”, “potential”
or variations of such words including negative variations thereof, and phrases that refer to certain actions, events or
results that may, could, would, might or will occur or be taken or achieved . Forward looking information involves
known and unknown risks, uncertainties and other factors which may cause the actual results, performance or
achievements of the Company to differ materially from any future results, performance or achievements expres sed
or implied by the forward -looking information. Such risks and other factors include, among others, operating and
technical difficulties in connection with mineral exploration and development and mine development activities for
the Momchil property, including the geological mapping, prospecting and sampling programs for the projects, the
fact that the Company’s interests in the Momchil property is only an option and there is no guarantee that the
NR-20-06 Continued February 24, 2019
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interest, if earned, will be certain, actual results of exploration activities, including the program, estimation or
realization of mineral reserves and mineral resources, the timing and amount of estimated future production, costs
of production, capital expenditures, the costs and timing of the development of new deposits, the availability of a
sufficient supply of water and other materials, requirements for additional capital to fund the Company's business
plan, future prices of precious metals, changes in general economic conditions, changes in the financial markets and
in the demand and market price for commodities, possible variations in ore grade or recovery rates, possible failures
of plants, equipment or processes to operate as anticipated, accidents, labour disputes and other risks of the mining
industry, delays in obtaining governmental and regulatory approvals (including of the TSX Venture Exchange),
permits or financing or in the completion of development or construction activities, changes in laws, regulations and
policies affecting mining operations, hedging practices, currency fluctuations, title disputes or claims limitations on
insurance coverage and the timing and possible outcome of pending litigation, environmental issues and liabilities,
risks related to joint venture operations, and risks relat ed to the integration of acquisitions, as well as those factors
discussed under the heading. "Risk Factors" in the Company's annual management's discussion and analysis and
other filings of the Company with the Canadian Securities Authorities, copies of w hich can be found under the
Company's profile on the SEDAR website at www.sedar.com.
Readers are cautioned not to place undue reliance on forward looking information. The Company undertakes no
obligation to update any of the forward -looking information in this news release or incorporated by reference
herein, except as otherwise required by law.
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