Variscan Hits More High-Grade Zinc In Spain; Shares Up

Variscan Mines Ltd (ASX:VAR) has delivered further high-grade zinc hits during its underground diamond drilling program at the San Jose Mine in Northern Spain.

During the program, the company encountered  ‘thick’ zinc intersections from its infill and extensional drilling at the Cantabrian Mine.

Notably, the results indicate significant mineralisation outside the existing mineral resource (MRE) model delivering encouraging growth potential for the company.

Moving forward, the new results will be incorporated into San Jose’s MRE update planned for later this year.

The market welcomed the news with shares trading as high as $A0.0070, up 16.67% from previous close.

Drilling Summary

The company’s underground diamond drilling program has been upscaled in duration and meterage.

In addition, the program also tested new structural targets defined from a recently completed structural geology study.

Standout assays include:

  • 10 metres at 5.31% zinc and 0.44% lead;
  • 11 metres at 6.66% zinc and 0.72% lead;
  • 65 metres at 5.49% zinc, 0.14% lead; and
  • 4 metres at 5.92% zinc and 0.26% lead.

Plan view of new drill-hole data

MRE by year-end

Variscan managing director and CEO Stewart Dickson said: “This is another very pleasing set of results from our recent drilling at the San Jose Mine.

“The latest results show excellent intercepts and grades outside the existing Mineral Resource Estimate model.

“With drilling continuing, we remain on track to update the Mineral Resource Estimate by year-end.”

Forward plan

Variscan is expecting further drilling results in the coming months together with a planned surface drilling campaign in 2024.

Building on the success of the current underground drilling campaign, the company intends to kick off drilling in the Udias Mines which are linked to the San Jose Mine.

Dickson added: “I am particularly excited about drilling in the Udias Mine for the first time.

“We believe that a sizeable tonnage of high-grade zinc sulphide mineralization remains and has been untouched for decades”

 

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