Velocity Announces Extension to Gold Mineralization at Durusu, Obichnik Gold Project, Southeast Bulgaria Highlights include:
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NR-19-21 December 12, 2019
Velocity Announces Extension to Gold Mineralization at Durusu,
Obichnik Gold Project, Southeast Bulgaria
Highlights include:
Drill hole ODD-022; 10.2m @ 2.55g/t gold and
Drill hole ODD-015; 8.6m @ 2.28g/t gold
Gold mineralization remains open to east and west and at depth
Drilling of Porphyry Gold Targets to Begin
Vancouver, British Columbia – Velocity Minerals Ltd. (TSXV: VLC) (“ Velocity” or the “ Company”)
announces that it has received drill results for the Durusu, Mryanka and Adren targets at the Obichnik
Gold Project (“Obichnik”), Bulgaria (Tables 1 & 2, Figures 1 - 4).
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 (Figure 1) and deeper bulk tonnage
porphyry gold potential, hosted within a large 2.5km x 1.5km surface alteration zone.
Initial drilling at Durusu included 43.4m @ 3.89g/t gold from drill hole ODD -001 (previous news release,
NR19-14). Current step out drilling at Durusu has continued to extend mineralization over a strike length
of more than 250m and the mineralization remains open to the east and west. Highlights include:
• Durusu: Multiple gold rich drill intercepts , including drill hole ODD -022; 10.2m @ 2.55g/t gold
and drill hole ODD-015; 8.6m @ 2.28g/t gold. Drilling is ongoing.
• Mryanka: Confirmation of sub-epithermal gold bearing mineralization, including drill hole ODD-
018; 6.0m @ 0.62g/t gold from 26.8m plus 2.0m @ 2.04g/t gold from 36.8m.
Velocity is continuing to expand and define the gold resources at Durusu and will vector towards deeper
porphyry gold targets at Durusu and Mryanka . Preliminary mineralogical studies indicate gold
mineralization occurred within a deep epithermal to sub -epithermal mineralizing environment and the
Company intends to test the depth extensions of this structurally controlled gold , beginning with two
deeper drill tests in early 2020. The gold in soil anomaly at the Sivri target remains untested.
Durusu Target
Results from five additional drill holes at Durusu are reported in Table 1 , with all drill holes intersecting
significant gold mineralization. The drilling on strike from the east – west trending structurally controlled
deep to sub-epithermal gold mineralization now spans over 250m and remains open to the east and west.
A second drill rig is in the process of being mobilized and drilling will resume in the new year with two rigs
carrying out extension and infill drilling at Durusu.
NR-19-21 Continued December 12, 2019
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Figure 1: Map of the Obnichnik Gold Project, showing the targets and drill traces at Durusu, Mryanka, Sivri and
Adren. The drill hole locations are displayed on a gridded image of Velocity’s gold in soil anomalies.
Section locations are included for Figures 2, 3 and 4.
Table 1: Significant Drill Results at Durusu Target, the Obichnik Gold Project
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.
ODD-014 1.8 5.8 4.0 0.55
ODD-015 58.2 66.8 8.6 2.28
ODD-015 97.2 104.1 6.9 0.56
ODD-016 3.6 6.6 3.0 0.80
ODD-016 15.2 18.0 2.8 0.73
ODD-016 107.7 114.7 7.0 1.10
ODD-016 131.7 135.8 4.1 1.83
ODD-017 84.3 88.3 4.0 2.13
ODD-022 31.2 34.4 3.2 0.58
ODD-022 72.5 76.1 3.6 2.23
ODD-022 85.0 95.2 10.2 2.55
ODD-022 122.1 124.1 2.0 0.89
From (m) To (m) Interval (m) Gold (g/t)Drill hole ID
NR-19-21 Continued December 12, 2019
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Figure 2: Cross section at Durusu target showing results for the western most drilling to date, drill hole ODD-022.
Figure 3: Cross Section at Durusu target showing results for drill holes ODD-015 and -016.
Drill hole ODD -022 (Figures 2) returned multiple significant gold intersects (Table 1), including 10.2m
grading 2.55 g/t gold. A second drill hole on this section has been completed and results are pending. On
a drill section 50m to the east, drill hole ODD-015 intersected 8.6m grading 2.28 g/t gold (Figure 3).
Other Targets
Drill results from the Mryanka target returned significant gold intersects (Table 2) that corroborated the
two large gold – molybdenum soil anomalies. Best intersects included 6.0m grading 0.62g/t gold from
26.8m plus 2.0m grading 2.04g/t gold from 36.8m from drill hole ODD -018. Other drill results from
Mryanka included lower tenor gold anomalies with supporting base metal and multi-element pathfinder
results.
NR-19-21 Continued December 12, 2019
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Initial drilling of the Adren target intersected significant zones of hydrothermal brecciation and alteration
across the two large gold in soil anomalies. However, drill results did not return any significant gold
intersects and the results from multi- element analysis for the purposes of exploration vectoring are
inconclusive.
Table 2: Significant Drill Results at Mryanka Target, the Obichnik Gold Project
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 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.
Planned Work
Planned drilling will focus on near-surface resource definition at Durusu and testing of depth extensions
of structurally controlled gold mineralization at Durusu and Mryanka. Following completion of resource-
definition drilling at Durusu, the Company intends to publish an NI -43-101 mineral resource estimate in
H1 2020.
Velocity is currently undertaking spectral analysis of alteration minerals from Durusu, Mryanka and Adren
which will be integrated with the gold and multi- element geochemical data in order to vector towards
deeper porphyry gold targets for drill testing in the new ye ar. Two strong targets directly beneath
structurally controlled gold mineralization at Durusu and Mryanka will be tested in early 2020 at depths
up to 500m below surface (Figure 4). This early drilling will be phased around deep penetrating geophysics
in order to develop further deep targets for Velocity to drill test as a matter of priority.
Figure 4: Long section at the Obichnik Gold Project, showing the positions for the first two deep
drill tests planned at Durusu and Mryanka.
ODD-018 26.8 32.8 6.0 0.62
ODD-018 36.8 38.8 2.0 2.04
ODD-019 13.0 18.0 5.0 0.67
ODD-019 67.0 71.0 4.0 0.50
ODD-020 49.6 52.6 3.0 0.68
ODD-021
ODD-023
Drill hole ID
No significant intercepts
No significant intercepts
From (m) To (m) Interval (m) Gold (g/t)
NR-19-21 Continued December 12, 2019
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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 analyzed 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 di strict produce gold concentrates for trucking to a central processing plant for
production of doré. The Company envisions staged open pit mining of satellite 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 mining pro fessionals 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
NR-19-21 Continued December 12, 2019
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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”, “forecasts”, “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, uncer tainties 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 expressed
or implied by the forward -looking information. Such risks and oth er 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
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 othe r 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 lim itations on
insurance coverage and the timing and possible outcome of pending litigation, environmental issues and liabilities,
risks related to joint venture operations, and risks related 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 which 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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