Avalon Minerals Ltd (ASX:AVI)
ASX RELEASE
4
August 2009
DRILLING EXTENDS KNOWN LIMITS OF A ZONE AND CONDUCTOR 1 MINERALISATION
Avalon Minerals Ltd (ASX:AVI) is
pleased to announce that the 1500m maiden RC drilling program to test the 3 EM
anomalies at Bahpagobba, 600m north of the 100% owned
3km long historical Viscaria copper mine in Northern
Sweden, has extended the limits of mineralisation.
Holes VRC001, VRC002 and VRC003 were
designed to test the eastern conductor target and holes VRC004 and VRC005 were
designed to test a central conductor target interpreted to be the continuation
of the Viscaria A Zone.
As a result of an interpreted
off-hole EM conductor identified by down-hole geophysical surveys carried out
in VRC001 and VRC002 a sixth hole was drilled to intersect an interpreted
conductor 50 metres north of VRC001 and VRC002.
Two further holes to test the
western conductor have not yet been drilled.
VRC001 intersected anomalous copper
from 107-109m and 142-144m. VRC002 drilled 100m to the west of VRC001 intersected anomalous copper grading up
to 1.15% from 23-32m associated with massive chalcopyrite.
VRC005 intersected 4m @ 0.6% Cu from
25-29m. These results confirm that the A Zone north mineralisation
continues for at least 600m north of the limits of the Viscaria
underground workings confirming that the prospective Viscaria
stratigraphy continues for a considerable distance
outside the immediate mine areas.
VRC006 intersected 1m @ 0.47% Cu
from 30m and 1m @ 0.43% Cu from 217m and confirms the presence of a new zone of
copper mineralisation approximately 500m east of the main A Zone.
Avalon is pleased to have been able
to use reverse circulation drilling to conduct the maiden drilling program as
this style of drilling is not commonly used in Sweden. In addition,
Avalon made use of local contractors to conduct down-hole EM surveys to assist
in the identification of the off-hole conductor mineralisation subsequently
discovered in VRC006.
Importantly, Avalon has demonstrated
the relevance and significance of the Geotem data as
a tool for exploration in the Viscaria region given
its success in identifying 2 mineralised conductors. This will now be an
important tool in locating near surface and deeper mineralisation in the
regions outside the immediate mine areas where only limited exploration for copper
mineralisation has been carried out.
In addition, Avalon commenced a field
test program of the Company’s portable Niton
XRF analyser. By comparing the results of this program with the initial
drilling and assaying the Niton has been shown to be
a reliable predictor of grade and mineralisation anomalism prior to assaying.
Drilling, down-hole EM survey and
assay results are being reviewed by the Company’s geologists and by the
consultant geophysicists, Southern Geoscience, before
commencing further drilling of the 3 conductors identified at Bahpagobba, 600m north of the historical mining at Viscaria.
Competent Persons Statements
The information in this report
relating to Exploration Results is reviewed by Ms Louise Lindskog
BSc Hons (Geol) who is a Member of the Australasian
Institute of Mining and Metallurgy and is the company’s Resource
Geologist. Ms Lindskog has over 7 years of
exploration experience in a variety of mineral deposit styles including
uranium, diamonds, base metals and gold mineralisation and she consents to
inclusion of the information in this report in the form and context in which it
appears. She qualifies as a Competent Person as defined in the 2004 Edition of
the Australasian Code for reporting of Exploration Results, Mineral Resources
and Ore Reserves.
ENDS
Released by:
On behalf of:
Nicholas Read/Jason
Cunningham
Mr David McSweeney
Read
Corporate
Managing Director and CEO
Telephone: +61 (0)8 9388
1474
Avalon Minerals Limited
Mobile: +61 0439 399 318
Avalon Minerals Background
Avalon Minerals Ltd listed in March
2007 with the aim of developing and discovering mineral deposits.
Avalon’s corporate objective
is to build a diversified resource mining group based on cash flows from
producing operations.
The primary project generation
strategy has been successful with the acquisition of the advanced Viscaria copper deposit in northern Sweden where a maiden
JORC Code compliant copper resource comprising an Inferred Resource of; 8.2 million tonnes grading 2.7% Cu
for the A Zone South, 5.1 million tonnes grading 1.2% Cu for the A Zone North,
24.1 million tonnes grading 0.8% Cu for the B Zone, and 2.5 million tonnes
grading 1.6% Cu for the D Zone, which combined totals 514,600 tonnes of
contained copper.
In addition the recently acquired cluster
of six closed historical copper zinc mines at Adak 300km south of Viscaria also provides potential for Avalon to grow its
base metal inventory within northern Sweden.