VMS Ventures Inc announced that the acquisition of a land package comprising 2 separate groups of claims from Mantis Mineral Corporation. The new claims cover a prospective sequence of rocks over an area of 38.70 square kilometers. The claim groups are situated immediately to the east and west of the VMS HudBay JV Optioned claims where mine construction on the high grade Reed Copper Deposit has begun. The claim blocks will be called Reed East & Reed West and are owned 100% by the Company.
Reed East and Reed West cover the same favorable Four Mile Island volcanic rock package that hosts the Reed Copper deposit and other deposits in this part of the Flin Flon Snow Lake Camp such as the Dickstone and Spruce Point Mines. A Geotech VTEM survey undertaken by the vendor has established target areas, so VMS considers this to be a grassroots project in a brown-field environment. Under the terms of the Purchase Agreement, VMS will acquire the claims outright subject to an underlying royalty agreement for a one time issuance of 500,000 common shares of the Company. These shares will be restricted for a period of 4 months from the date of issuance. The Purchase Agreement remains subject to the approval of the TSX Venture Exchange.
This past year's limited winter drill season was unsuccessful in the discovery of new base or precious metals mineralization. During the winter, VMS completed nine diamond drill holes and one hole was abandoned due to ground conditions for a total of 3,282 meters.
Four holes were completed and one hole abandoned at our Morton Lake project for 1,185 meters with all holes explaining EM anomalies with sulphides and graphitic schists. Two holes were completed at the Puella Bay project for a total of 957 meters with neither hole intersecting the EM plates. Borehole pulse electromagnetic surveys were completed and off hole anomalies detected. These targets will be followed up in a future drill program.
Three holes were completed at the Cowan River project with one hole drilled at depth on the Cowan River zone for a total of 1,140 meters. All holes intersected pyrrhotite mineralization explaining the EM anomalies with no appreciable base metals. Target anomalies not able to be drill tested this past drill season will be tested this winter along with new targets being developed including Reed East and Reed West.
Mr Neil Richardson COO of VMS Ventures Inc said that "We are very pleased to have acquired the Reed East and Reed West ground. It covers the same volcanic rocks that host VMS' Reed discovery our HudBay JV and Option properties and the Morton Lake, 9-7 and Cowan River projects. Exploration work undertaken to date includes a VTEM airborne geophysical survey over the property that has produced several targets of interest. VMS will complete its review and follow up prospective anomalies with geophysical and geochemical surveying to assist us in confirming and prioritizing drill targets. We anticipate drill testing targets on this property in the upcoming winter drill season."
Source - VMS Ventures
(www.steelguru.com)
