Reports Near Surface High Grade Results from Planned Start Up Pit Area and Announces a $1.5. Million Financing
FOR IMMEDIATE RELEASE August 30th, 2018
(VTT2018 – NR #8)
Reports Near Surface High Grade Results from Planned Start Up Pit
Area and Announces a $1.5. Million Financing
Vancouver, BC – August 30th, 201 7 − Vendetta Mining Corp. (VTT-TSX: V ) (“Vendetta” or the
“Company”) is pleased to announce the first batch of drill results from the 2018 Resource Development
program on the Pegmont Lead -Zinc project in Queensland, Australia and a private placement of $1.5
million.
Zone 1 Start-up Pit Highlights:
PVRD176: 5.38 metres of 10.94% Pb+Zn (6.98% Pb, 3.96% Zn);
PVD181: 5.98 metres of 11.29% Pb+Zn (7.21% Pb, 4.09% Zn);
PVD182: 9.32 metres of 12.50% Pb+Zn (10.46% Pb, 2.04% Zn);
PVD183: 5.80 metres of 16.35% Pb+Zn (10.17% Pb, 6.18% Zn); and
PVD184: 4.55 metres of 13.25% Pb+Zn (9.85% Pb, 3.40% Zn);
Zone 1 – Start-up Pit Drilling
The initial 2018 drill program included a total of 32 holes and one hole from 2017 was extended , for a
total of 4670 m.
An important component of that program included the drilling of 12 diamond holes in an area
that is being considered as the initial site for open pit development at Pegmont. This portion of the
planned Open Pit was drilled predominately with reverse circulation (“RC”) drilling prior to 2008.
Vendetta’s diamond program was designed to verify grades, expand mineralization, confirm material
types and obtain metallurgical samples. Vendetta also conducted a small RC program of 5 holes to try
confirm geological interpretations outside of the mineral resource area.
Based on geological logging the mineralized intersections were classed as oxide, transition or sulphide,
results are reported based on the logging classification. Metallurgical test work will now be performed
on the intersections classed as Transition or Sulphide to verify the flotation performance of each hole in
a variability metallurgical test program.
Peter Voulgaris, Director and Pegmont Project Manager commented “As part of the advanced planning
for the Preliminary Economic Assessment (“PEA”) the Company had been considering start-up pit
locations suitable for in-pit tails disposal, the planned locations offer significant advantages to the
project including a simplified permitting process, the capital savings of not needing to build a tails dam
storage facility, and limiting the projects footprint. While these drill results will not be incorporated into
the PEA, they and the metallurgical results that will follow are a significant step in de-risking the start-
up period at Pegmont.”
A series of holes were drilled to test both areas modelled as oxide and transition mineralisation. In
general, it has been possible to expand the transition mineralisation in the area tested. Transition
mineralisation at Pegmont is defined as predominately sulphide lead -zinc mineralisation in variably
weathered, usually moderate to slightly weathered country rocks. Zone 1 Transition mineralisation was
the subject of locked cycle flotation metallurgical test work in 2017 (see Vendetta New Release, March
5th, 2018), excellent recoveries having been obtained, equivalent to that of mineralisation in unweathered
rocks. Location of the holes can be seen in Figure 1.
Table 1. Summary of Open Pit Target Zone 1 Transition Assay Results.
Bore
Hole
Dip /
Azimuth
From
(m) To (m)
Interval (m)
True
Thickness* (m)
Vertical Depth
Below Surface
(m)
Grade#
Pb+Zn
%
Pb
%
Zn
%
Ag
g/t
PVD172 -66/132 40.20 46.10 5.90 5.9 36.68 8.02 4.49 3.53 7.11
including 40.20 43.10 2.90 2.9 36.68 13.87 8.30 5.57 8.86
PVRD174 -50/140 No Significant Result
PVRD175 -62/140 31.63 39.13 7.50 5.2 21.18 7.53 3.61 3.92 6.63
including 33.36 39.13 5.77 2.1 29.85 8.86 4.40 4.46 7.08
PVRD176 -87/143 41.32 47.70 6.38 6.3 41.09 9.65 6.19 3.46 11.20
including 41.32 46.70 5.38 5.3 41.09 10.94 6.98 3.96 12.55
PVR177 -84/151 No Significant Result
PVR178 -46/318 No Significant Result – needs to be deepened
PVD181 -51/322 41.32 47.30 7.98 5.1 32.05 9.06 5.81 3.25 9.24
including 41.32 47.30 5.98 3.3 32.05 11.29 7.21 4.09 11.47
PVD182 -51/319 29.68 43.00 13.32 12.8 23.16 9.15 7.48 1.67 17.23
including 30.68 40.00 9.32 8.0 23.94 12.50 10.46 2.04 23.53
PVD183 -84/144 16.80 24.85 8.05 6.4 16.70 7.69 5.05 2.64 9.53
including 19.45 23.87 4.42 3.8 19.34 12.68 8.80 3.88 16.45
and 29.65 37.20 7.55 5.5 29.48 10.52 7.55 5.87 9.95
including 30.40 36.20 5.80 4.2 30.22 16.35 10.17 6.18 17.42
PVD184 -85/147 25.90 32.27 6.37 5.1 25.76 9.86 7.11 2.75 14.94
including 25.90 30.45 4.55 3.6 25.76 13.25 9.85 3.40 20.59
*True thickness is estimated using structural measurements and three dimensional geological modelling.
#Drill intersections are summarized intersection lengths >2.0 m, using a combined 1% lead and zinc grade
with maximum 1 m internal dilution. Included intervals are at a combined 3% lead and zinc grade with no
internal dilution.
Figure 1. Surface Map Showing 2018 Mineral Resource Block Model Contours, Pit Shell and
Location of Current Results and 2018 Completed Holes.
Lead-Zinc oxide mineralisation at Pegmont is not included in the mineral resource as it is not considered
economic to process using the planned sequential lead and zinc flotation flow sheet. Oxide drill
intersections are given in Table 2 for completeness, they will not contribute to future up dates of the
mineral resource estimate. Characteristic of the oxide mineralisation at Pegmont is the relative depletion
of Zinc compared to levels seen in adjacent Transition mineralisation.
Table 2. Summary of Open Pit Target Zone 1 Oxide Assay Results.
Bore
Hole
Dip /
Azimuth
From
(m) To (m)
Interval (m)
True
Thickness* (m)
Vertical Depth
Below Surface
(m)
Grade#
Pb+Zn
%
Pb
%
Zn
%
Ag
g/t
PVD172 -66/132 15.90 21.10 5.20 Fold
nose 14.50 7.39 5.97 1.42 8.35
including 16.77 21.10 4.33 Fold
nose 15.30 8.60 7.16 1.44 9.51
PVRD173 -52/316 21.30 36.30 15.00 10.4 18.69 6.06 5.03 1.03 5.39
including 24.70 33.00 8.30 6.7 19.48 9.88 8.49 1.39 7.68
PVD179 -51/312 6.33 14.94 8.61 7.7 4.88 4.28 3.25 1.03 5.95
including 6.33 10.94 4.61 4.1 4.88 6.71 5.44 1.27 8.99
PVD180 -89/040 20.40 27.90 7.50 7.5 20.00 7.57 5.42 2.15 9.25
including 20.40 23.88 3.48 3.5 20.00 17.94 13.57 4.37 23.38
PVD183 -84/144 5.10 8.85 3.75 3.7 5.07 8.14 7.28 0.85 12.46
including 5.10 8.10 3.00 2.9 5.07 9.69 8.90 0.79 15.00
PVR186 -89/084 No Significant Result
PVR187 -89/064 No Significant Result
PVR188 -87/139 0.00 3.00 3.00 3.0 0.00 1.43 1.24 0.19 0.42
*True thickness is estimated using structural measurements and three dimensional geological modelling.
#Drill intersections are summarized intersection lengths >2.0 m, using a combined 1% lead and zinc grade
with maximum 1 m internal dilution. Included intervals are at a combined 3% lead and zinc grade with no
internal dilution.
More results from the 2018 program will be released as they are received and interpretations completed.
Private Placement
The Company plans to issue up to 8.4 million units at $0.18 cents per unit to raise gross proceeds of $1.5
million (subject to TSX Venture Approval). Each unit will comprise one common share and one half
common share purchase warrant at an exercise price of $0.30 for a period of two years following the
closing of the fin ancing. The common share purchase warrants are subject to acceleration at the
Company’s discretion in the event the Company’s common shares trade on a volume weighted average
price (VWAP) basis of $0. 60 or more for a period of ten consecutive trading days. All Shares to be
issued pursuant to the Offering will be subject to a four -month hold period under applicable securities
laws in Canada. All or a portion of this placement could be subject to finder’s fees or commissions.
The net proceeds of the private p lacement will be used to advance the development of the Pegmont
Lead-Zinc project and general working capital.
Michael Williams, Vendetta’s President and CEO commented “ This financing will allow the Company
to complete the PEA, plan and execute the next phase of its Pegmont development program , while the
Company works towards concluding the option agreement.”
About Pegmont
Pegmont is a stratiform, Broken Hill-Type deposit that outcrops with an overall shallow dip to the south
east and is hosted in a magnetite-rich banded iron formation within high grade metamorphic rocks. The
project consists of three granted mining leases and one exploration permit that cover an area of
approximately 8,290 ha.
Pegmont is situated in the Mount Isa – McArthur Mineral P rovince, which hosts one of the world’s
richest endowments of lead -zinc-silver mineralization, including several world -class lead -zinc-silver
mines.
Pegmont is located 25 km west of South 32’s Cannington silver-lead-zinc operation, one of the world’s
largest producers of lead and silver and 28 km north of Chinova Resources’ Osborne copper -gold
operations. Pegmont is proximal to existing infrastructure including public roads, mine haul roads, rail,
and a natural gas pipe line for power generation.
About Vendetta Mining Corp.
Vendetta Mining Corp. is a Canadian junior exploration company focused on advanced stage exploration
and development at the Pegmont Lead Zinc Project in Australia. Vendetta has an option to acquire a
100% interest by completing certain wo rk requirements and making option and advance royalty
payments. Additional information on the Company can be found at www.vendettaminingcorp.com
Qualified Person
Peter Voulgaris, MAIG, MAusIMM, a Director o f Vendetta, is a non-independent Qualified Person as
defined by NI 43 -101. Mr. Voulgaris has reviewed the technical content of this press release, and
consents to the information provided in the form and context in which it appears.
ON BEHALF OF THE BOARD OF DIRECTORS
“Michael Williams”
Michael Williams
President & CEO
Forward Looking Information
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Certain statements within this news release, other than statements of historical fact relating to Vendetta Mining
Corp., are to be considered forward-looking statements with respect to the Company’s intentions for its Pegmont
project in Queensland, Austral ia. Forward-looking statements include statements that are predictive in nature,
are reliant on future events or conditions, or include words such as “expects”, “anticipates”, “plans”,
“believes”, “considers”, “significant”, “intends”, “targets”, “estimates”, “seeks”, attempts”, “assumes”, and
other similar expressions.
The forward-looking statements are based on a number of assumptions which, while considered reasonable by
Vendetta Mining Corp., are, by their nature, subject to inherent risks and uncertainties and are not guarantees of
future performance. Factors that could cause actual results to differ materially from those in forward -looking
statements include: the interpretation of previous and current drill, further results from the 2018 drilling program,
the accuracy of exploration results, the accuracy of Mineral Resource Estimates, the anticipated results of future
exploration, the forgoing ability to finance further exploration, delays in the completion of exploration, delays in
the completion of the updated Mineral Resource Estimate, the future prices of lead, zinc, and other metals, and
general economic, market and/or business conditions. There can be no assurances that such statements and
assumptions will prove accurate and, therefore, readers of this news release are advised to rely on their own
evaluation of the information contained within. In addition to the assumptions herein, these assumptions include
the assumptions described in Vendetta Mining Corp.’s Management’s Discussion and Analysis f or the nine
months ended February 28, 2018.
Although Vendetta Mining Corp. has attempted to identify important risks, uncertainties and other factors that
could cause actual performance, achievements, actions, events, results or conditions to differ materi ally from
those expressed in or implied by the forward-looking statements, there may be other risks, uncertainties and other
factors that cause future performance to differ from what is anticipated, estimated or intended. Unless otherwise
indicated, forward-looking statements contained herein are as of the date hereof and Vendetta Mining Corp. does
not assume any obligation to update any forward-looking statements after the date on which such statements were
made, except as required by applicable law.