The following excerpt is from EXPLORATION NEWSLETTER - What's up in Sweden, No 25 March 2008
Current news on exploration in Sweden. Editor: Daniel Larsson
On January 28, Dannemora Mineral AB announced that three independent consultant companies have completed a feasibility study for the planned resumption of operations in the Dannemora mine in the Bergslagen district. The study proves the project to be economically feasible. An ore reserve of 28.5 million tonnes with an iron content of 35.2% and a manganese content of 1.8% have been calculated. This ore reserve is planned to be mined during slightly more than 12 years at an annual full production of 2.45 million tonnes. An annual amount of SEK 5 million is to be spent on exploration since many of the orebodies are “open” downwards and new orebodies are possibly present in the extension of the field along the strike.
Beowulf Mining plc and Agricola Resources plc have signed an option and earn in agreementon Beowulf’s Ballek exploration licences in Arjeplog municipality. Agricola has been granted an option to acquire 51% interest in the licenses by completing a programme of ground geophysics followed by diamond drilling by the 31 of December 2008. Spending an additional USD 500,000 will grant Agricola an option to acquire 70 % interest in the licenses. Analyses of results from 3D modelling based on regional gravity and aeromagnetic data have identified several high-ranked targets and confirmed the prospectivity of the Ballek project for copper-gold uranium mineralisations. The consulting firm Geovista AB performed an Induced Polarisation survey in October 2007 along with resistivity and ground magnetic surveying to test the anomalies of the 3D modelling. On October 30, Agricola announced analytical results of boulder samples from the Ballek nr. 5 license. The uranium content of the samples
aried from 0.19% to 1.75%. These are considerably higher grades than previously reported. On January 16, Agricola announced the initiation of a 3,300 m diamond drilling programme. Eight targets have been selected for drilling, based on the coincidence of IP, magnetic and gravity anomalies.
On February 25, Blackstone Ventures Inc reported that ongoing drilling at the Lainjaur nickel deposit in the Skellefte district has extended the mineralisation to over 700 metres down dip of the past producing Lainjaur mine. An example of assays of recent drillcore includes 2.13% Ni, 0.62% Cu, and 0.10% Co over 2.1 metres (LAI07-17).
Boliden’s exploration investments for 2007 have resulted in an increase in ore reserves and mineral resources for the Kristineberg, Renström and Maurliden deposits in the Boliden area. In the Boliden area the ore reserve is 7.0 million tonnes and at Garpenberg in the Bergslagen district it is 20.8 million tonnes as of December 2007.
Lappland Goldminers AB reported in February 18, that the company has carried out a drilling programme on the Knaften project. The executed drilling programme totalled 3,328 metres, distributed between 20 drill holes. Lappland Goldminers announces that they will invest further in a drilling programme at Knaften scheduled for spring 2008, comprising 3,000 m distributed between around 20 drill holes. On December 21, 2007, the Environmental Court in Umeå granted a permit for Lappland Goldminers planned mining and processing plant at Fäboliden. The decision was appealed by three landowners and the Swedish Environmental Protection Agency, and on February 6, Lappland Goldminers announced that the Supreme Environmental Court has rejected the original go ahead decision. The company states that they will now aim at getting a quick handling at the Supreme Environmental Court, so that the effect of the delay on the development for production will be as limited as possible.
Mawson Resources commenced drilling in November 2007 at the Kläppibäcken uranium project in north-western Sweden where a 5,000-metre diamond drilling programme has been planned.
Nordic Diamonds Ltd commenced in October 2007 a geophysical TEM survey at the Company’s Nyborg VMS project. The TEM survey is a follow-up to the airborne geophysics that was completed previously the same year. When the ground geophysical survey is completed, a drilling programme will be undertaken. The Nyborg Property is a volcanogenic massive sulphide (VMS) project located in the Skellefte district. The property is located adjacent to a mining lease owned by Boliden that covers an active mining operation, the Kristineberg Mine. A total of 56 holes have been drilled and a mineralised zone extending 600 metres along strike has previously been identified.
Northland Resources Inc reported on January 14 drill results from 6 diamond core holes completed at the company’s Salmivaara iron-copper project, located approximately 33 km north-east of the city of Gällivare in Norrbotten County. All holes returned multiple intersections of magnetite, with downhole thickness of up to nearly 150 m locally. Mineralisation at Salmivaara consists of magnetite with pyrite, pyrrhotite, and chalcopyrite. Northland is planning additional drilling to further define the Salmivaara magnetite bodies and will begin metallurgical test work. Metallurgical drilling and testing is underway at Northland’s Tapuli magnetite deposit, located approximately 5 km from the company’s Stora Sahavaara magnetite deposit in Norrbotten County. Northland also has started drilling at the Pellivuoma magnetite project located about 15 km west of the Stora Sahavaara and Tapuli project area.On February 25, Energy Ventures Ltd and IGE Nordic AB reports a concluded agreement to enter into a joint venture for uranium exploration in Sweden.
On December 10, Tumi Resources Ltd announced the completion of an induced polarization (IP) geophysical survey of the company’s Tomtebo mineral exploration licence (for silver) in Bergslagen. A helicopter-borne electromagnetic (EM) survey undertaken in 2006 at Tomtebo identified several conductors in the immediate vicinity of the now closed Tomtebo mine. The ground-based IP survey is expected to aid in the identification of drilling targets within the area. Tomtebo has been interpreted to be a classic volcanogenic massive sulfide (VMS) deposit.
On December 19, Tumi reported the start of a minimum 2,000 m core drilling programme at its wholly-owned Sala property, located in the Bergslagen district.
Wiking Mineral AB currently holds several exploration permits in Sweden for precious metals, base metals, uranium, and REE. Current activities include drilling at the Långträsk project in the Skellefte district. Other ongoing Wiking projects in the Skellefte district are the Petikträsk project and the Bastutjärnen project where drilling has been planned for MarchApril 2008.
During 2007, Wiking drilled 8 holes at the Bunsås sulphide deposit in the northern part of Bergslagen. Further drilling is planned for 2008.
On February 22, Dragon Mining Limited reported
on some encouraging intercepts from diamond core drilling targeting the depth extensions of the Svartliden deposit at the Svartliden
gold mine. Some intercept highlights:
• 6.00 metres @ 41.80 g/t gold from 90.00 metres.
• 6.00 metres @ 6.09 g/t gold from 118.00 metres
• 6.00 metres @ 5.55 g/t gold from 132.00 metres.
Additional depth extension drilling is planned which will further evaluate the merits of establishing an underground mining operation at Svartliden.
In a newsletter of January 10, Gold-Ore Resources Ltd summarised the 2007 activities at the Björkdal gold mine in Sweden. The acquisition of the mine, including mineral rights to 73 square kilometres of highly prospective terrain, was completed on December 31. The production during the year amounted to 19,200 ounces of gold with an average throughput of 3,300 tonnes per day. The surface stockpile accounted for 85.5% of the plant feed and 14.5% was derived from underground production. The goal is to maintain a throughput of 3,300 tonnes per day while increasing the annual underground gold production to between 50,000 and 75,000 ounces. A total of 1,400 metres underground tunnels were excavated during 2007 and 128 diamond drill holes totalling 13,400 metres were completed. This is a part of a work programme designed to test the feasibility of underground mining at Björkdal. Test mining included in this programme is planned to involve the mining of 50,000 tonnes of plant feed. The test mining was commenced in mid December. A NI 43-101 compliant resource estimate conducted by Wardell Armstrong International is scheduled to be completed at the end of February 2008.
In a press release of December 6, the board of ScanMining AB announced that ScanMining AB has filed for bankruptcy. The Company also applied for delisting from the Stockholm Stock Exchange as well as for bankruptcy for its subsidiaries, Blaikengruvan AB and ScanMining OY.
Hope to see you soon!
© 2008 Geological Survey of Sweden
The content of this newsletter is entirely based Upon public information gathered from newspapers, press releases, and web sites on Internet.