May 16, 2022 – District Metals Corp. (TSX-V: DMX; FRA: DFPP) ("District" or the “Company”) is pleased to report the results of the final airborne electromagnetic (“EM”) and magnetic data at its polymetallic Svärdsjö Property in the Bergslagen Mining District of south-central Sweden. A detailed SkyTEM312 HP survey was flown at 100 m line spacing in November 2021 across the entire 1,037 hectare Svärdsjö Property. Interpretation of the SkyTEM data has identified numerous conductive EM and magnetic high anomalies on the Svärdsjö Property.
SkyTEM Interpretation Highlights:
- The SkyTEM survey has identified five conductive targets on the Svärdsjö Property (Figure 1 – target zones 1 to 5). Numerous other magnetic high anomalies have also been identified on the Property.
- Target zone 3 consists of an approximate 600 m long conductive and magnetic high trend that extends far beyond the historic workings of the Svärdsjö Mine, which produced 03 Mt at 112 g/t Ag, 6.0% Zn, 2.7% Pb, 0.6% Cu and 0.4 g/t Au from 1887 to 19891.
- Target zone 3 exhibits immense potential: the coincident conductive/magnetic anomaly is 200 to 300 m wide, trends southwest for over 500 m from the Svärdsjö Mine workings and commences near surface with vertical extents below 500 m (depth penetration limit of the SkyTEM survey).
- Target zone 5 comprises a weak conductive anomaly that is associated with the historic Stormyrgruvan showing where District recovered a grab rock sample in late-2021 that returned 0%ZnEq2 (133.0 g/t Ag, 15.7% Zn, 7.8% Pb, 0.1 g/t Au, 1.0% Cu).
- Target zone 4 consists of two moderate to strong conductive anomalies that are proximal to the historic Hagsfallgruvan showing where District recovered a grab rock sample in late-2021 that returned 3%ZnEq2 (58.2 g/t Ag, 9.8% Zn, 7.1% Pb, 0.1 g/t Au, 0.2% Cu).
Garrett Ainsworth, CEO of District, commented: “The SkyTEM electromagnetic and magnetic survey continues to be a highly effective first pass airborne geophysical survey to explore for polymetallic mineralization in the Bergslagen District. The SkyTEM survey lit up the historic Svärdsjö Mine with conductive and magnetic anomalies that extend well outside the mine workings area. The geophysical anomalies outside of the Svärdsjö Mine extend for over 600 m in a northeast-southwest direction and are a high priority for follow up drilling. In addition, two other high priority target zones on the Svärdsjö Property are associated with conductive anomalies that correlate to rock samples collected by District in late-2021 that returned high grade polymetallic mineralization, which further increases our confidence in these targets.”
Target zone 1 is associated with a weak conductor and northeast trending magnetic high response situated within favourable felsic volcanic rocks and is not associated with an existing mineral occurrence. Target zone 2 has a weak conductor and low magnetic response situated within felsic volcanic rocks. Both of these targets will require follow up in the field to confirm their conductive anomalies are geological and not cultural.
The Company retained SkyTEM Surveys ApS based out of Denmark to conduct a detailed heliborne SkyTEM312 HP (transient electromagnetic – high power) and magnetic survey over the Svärdsjö Property in November 2021. The survey covered the entire 1,037 hectare Svärdsjö Property with approximately 112 line-kilometers at a line spacing of 100 m. The SkyTEM312 HP system is capable of detecting conductive polymetallic sulphide mineralization at depths of 500 m or more.
The SkyTEM 312HP survey is capable of identifying potential copper-gold dominant sulphide mineralization (feeder zones) as a moderate to strong conductor while the potential silver-zinc-lead dominant sulphide mineralization (distal zones) may show as non-conductive to weakly conductive due to the zinc sulphide mineralization. However, the silver-zinc-lead mineralization in the district often has associated magnetic sulphides, which is expected to be detected as a moderate to strong magnetic high. The conductive and magnetic data acquired from the SkyTEM312 HP survey continues to be interpreted by Condor Consulting where 3D inversions and conductive and magnetic plates are being modeled to optimize the best drilling orientations.
Figure 1: SkyTEM Targets on the Svärdsjö Property
1 Sveriges Geologiska Undersökning (SGU) Map Viewer: https://apps.sgu.se/kartvisare/kartvisare-malm-mineral.html
2 Metal prices used in USD for the ZnEq calculation were based on Ag $15.00/oz, Au $1650/oz, Cu $2.15/lb, Zn $0.85/lb, and Pb $0.75/lb. ZnEq equals = Zn% + (Ag g/t × 0.0257) + (Au g/t x 2.831) + (Cu% × 2.529) + (Pb% × 0.882). The use of ZnEq is for exploration purposes, and no adjustments were made for metal recovery.
All scientific and technical information in this news release has been prepared by, or approved by Garrett Ainsworth, PGeo, President and CEO of the Company. Mr. Ainsworth is a qualified person for the purposes of National Instrument 43-101 - Standards of Disclosure for Mineral Projects.
The grab rock samples reported in this news release were recovered from mine dump piles. Rock samples were transported to ALS Geochemistry in Malå, Sweden for preparation, and subsequently pulps were sent to ALS Geochemistry in Ireland (an accredited mineral analysis laboratory) for analysis. Samples were analyzed using a multi-element ultra trace method combining a four-acid digestion with ICP-MS analytical package (“ME-MS61”). Over limit sample values were re-assayed for: (1) values of copper >1%; (2) values of zinc >1%; (3) values of lead >1%; and (4) values of silver >100 g/t using the high-grade material ICP-AES analytical package (“ME-OG62”). Additional over limit sample values were re-assayed for: (1) values of zinc >30%; (2) values of lead >20% using the high precision analysis of base metal ores AAS analytical package (“Zn, Pb-AAORE”). Gold, platinum, and palladium were analyzed using the 30 g lead fire assay with ICP-AES finish analytical package (“PGM-ICP23”). Certified standards, blanks, and duplicates were inserted into the sample shipment to ensure integrity of the assay process. Selected samples were chosen for duplicate assay from the coarse reject and pulps of the original sample. No QA/QC issues were noted with the results reported.