Overview

  • The Sala nr 10 licence area covers 1,049 hectares (“ha”) and is in Vӓstmanland County, southern Sweden.
  • The licence is prospective for lead-zinc-silver mineralisation and is situated 200 metres (“m”) west of the former Sala silver mine. Sulphide mineralisation in the area is carbonate hosted, occurring dominantly as silver-bearing lead sulphide (galena), and zinc sulphide (sphalerite), and to a lesser extent as complex antimonides, sulphosalts and native silver.
  • The Sala mine was once Europe’s largest silver producer, in continuous production between the late 15th century and 1908, and was known for having some of the richest silver ores in the world. Mining records show that Sala was mined to a depth of approximately 300m, with mineralisation remaining open at depth.
  • Mining continued in 1950-51 and between 1945-62 at the adjacent Bronas mine.

Geology

  • Previous drilling in the licence area by Boliden, between 1984 and 1985, and Tumi Resources Ltd (“Tumi”), between 2008 and 2009, discovered a new zinc-lead-silver mineralised zone, Sala West, situated 200m directly west and parallel to the Sala silver mine.
  • A total of 20 holes and 6785.9m of drilling have been completed at Sala West.
  • Tumi, 2012 estimated an exploration target of 4 – 5 million tonnes, 2.2 – 5 per cent zinc and 35 – 95 parts per million (“ppm”) silver. The exploration target lies within a 60m wide zone striking roughly north north-west south south-east. The mineralisation has been intersected by drilling 640m along strike and to a depth of 400m. The exploration target remains open along strike and at depth.
  • It should be noted that the exploration target has not been the subject of technical evaluation at this stage, and insufficient verification study has been undertaken to date by either Beowulf or the Competent Person to assign confidence to this estimate and this information is disclosed as reflecting project potential only.
  • Historic drill results include:
    • Drill hole SAA08-003; 37.2m estimated true width, at 6.1 per cent zinc, 50 ppm silver, 0.3 per cent lead from 393.5m
    • SAA08-003; 15.9m estimated true width, at 4.2 per cent zinc, 157 ppm silver, 0.6 per cent lead from 439.7m