Venus Metals
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Exploration Target of 15-25 Million tonnes @ 2-5% Zinc*

*The potential quantity and grade is conceptual in nature, that there has been insufficient exploration to estimate a Mineral Resource and that it is uncertain if further exploration will result in the estimation of a Mineral Resource. The current drilling density is insufficient to classify the mineralisation as a ‘Mineral Resource’ under the 2012 JORC guidelines.

Venus Metals Corporation Ltd (‘Venus’) tenement covering Pincher Well (ELA 57/1019) is located 600km NNE of Perth and forms part of the company’s Youanmi base & precious metals project covering over 730 km2 of the Youanmi greenstone belt in Western Australia (refer ASX releases 15 April 2015 and 28 April 2015).

Mineralisation on the Pincher Dome VMS Trend:

The Pincher Dome VMS Trend is over 5 km long and located 15 km southwest of the Youanmi Gold Mine (Figure 1). 

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Figure 1 – Interpretive geology of the Pincher Dome showing the outline of VMS trend (pink) and prospect locations.

The majority of base metal exploration at Pincher Well dates back to the 1970s & 80s and is concentrated within the North Dome prospect, with limited exploration on a smaller occurrence, termed ‘PW17’, located to the southeast of North Dome, which includes several zones of high-grade zinc mineralisation.

North Dome Mineralisation:

The volcanogenic massive sulphide (‘VMS’) base metal mineralisation on the North Dome has been intersected within two shallow-dipping sulphide-rich felsic volcanic units. The mineralisation has been outlined by only 12 diamond core holes, and is interpreted to be a sheet-like zone, 11 metre thick and covering an area of 1,000 x 550 metres; the mineralisation remains open in all directions, both along strike and at depth.

WMC & BHP recognised two main styles of mineralisation at North Dome (and across the Pincher Dome Trend), namely: 

High-Grade Massive Sulphide – lenses of sphalerite mineralisation up to several metres  wide, >10% Zinc with accessory copper, within an envelope of,
 
Disseminated Sulphide – a thick envelope of pyrite-pyrrhotite-sphalerite mineralisation, which can be in excess of 20 metres thick and grading up to 3-5% zinc surrounding the high-grade lenses.
 
 
 Venus has conducted an review of the previous drilling and has estimated that this ‘disseminated zone’ represents an exploration target of 15-25 million tonnes grading 2-5% Zinc and 3-4 gpt Silver*.

 *The potential quantity and grade is conceptual in nature, that there has been insufficient exploration to estimate a Mineral Resource and that it is uncertain if further exploration will result in the estimation of a Mineral Resource. The current drilling density is insufficient to classify the mineralisation as a ‘Mineral Resource’ under the 2012 JORC guidelines

It has also been postulated that the massive sulphide lodes within this ‘disseminated zone’ are “… very likely to contain a few million tonnes of high-grade Zn mineralisation (>10%) and substantially more if 500 metres, or so, depth extent can be established.”(Berg, 2008).

An evaluation of the available data indicates that these high-grade lodes (>10% zinc) may have a level of structural control (Figure 2) and be stacked in an on ‘echelon arrangement’ that may have been easily missed in the limited, broad spaced drilling completed to date (>250 metre line spacing). These potential stacked lodes represent a high priority target for an infill and extensional drilling program as these lodes may greatly increase both the grade and tonnage of the exploration target.

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Figure 2 – Diagrammatic long section showing the ‘disseminated sulphide’ envelope at North Dome, with interpreted stacked high-grade (>10% zinc) lodes in red.

Planned Exploration:

The Pincher Dome Trend is a compelling target for classic VMS style base metal deposits, with extensive zinc mineralisation having previously been outlined on the North Dome. Previous drilling has intersected zinc-rich lodes throughout the VMS trend, with accessory copper, gold & silver.

Copper-rich lodes, typical of most VMS systems, have yet to be intersected within the Pincher Dome Trend and may exist along strike, adjacent to or below the existing base metal mineralisation. Previous drilling and surface sampling has returned anomalous copper assays, demonstrating the presence of copper within the system.

Exploration has outlined an extensive zone of base metal mineralisation at North Dome. However drilling to date has been wide spaced and limited in extent, with the deepest hole extending to only 260 metres below surface. Drilling on other economic VMS deposits within Western Australia now extends below 1,000 metres (eg Golden Grove & Jaguar), demonstrating the depth potential of these systems. 

Venus is presently preparing a detailed exploration program, including both geophysics and drilling, to further test and extend the recognised zones of mineralisation on the Pincher Dome as well as a number of other emerging geophysical and geochemical targets within the broader VMS trend.

The tenement (E 57/1019) is presently moving to grant and the Company is considering various options/strategies in relation to potential joint venture partners and investments to accelerate the planned exploration program.

 

References:

1. Higgins, M.  Exploration Review, Goldcrest Resources Ltd, Internal Report, August 2004, p.28-41

2. Berg, R.  Pincher Well, Review of Copper-Zinc Exploration, February 2008.

 

Competent Person’s Statement

The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr T. Putt of Exploration & Mining Information Systems, who is a member of The Australian Institute of Geoscientists. Mr Putt has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity that he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the “Australian Code for Reporting of Exploration Results, Mineral Resource and Ore Reserves”. Mr Putt consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

 

Forward-Looking Statements

This document may include forward-looking statements. Forward-looking statements include, but are not limited to, statements concerning Venus Metals Corporation Limited planned exploration program and other statements that are not historical facts. When used in this document, the words such as "could," "plan," "estimate," "expect," "intend," "may”, "potential," "should," and similar expressions are forward-looking statements. Although Venus Metals Corporation Ltd believes that its expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements.