Adriatic Metals PLC (ASX: ADT, LSE: ADT1) has announced that it has received an exploration permit for the new concession areas granted in Q3 2020 within the Vares Silver Project in Bosnia & Herzegovina. The company also reported encouraging results from the initial analysis of the close-spaced, project-wide geophysical survey data.
41km² of concession area is now permitted for exploration, which was formerly 9 km²
ADT said that 41km² of concession area is now permitted for exploration, which was formerly 9 km². The Exploration Permit allows drilling and channel sampling to commence.
Adriatic reported that the data analysis is ongoing for the recently completed geophysical survey. The company said that the initial analysis of the Geophysical Survey data identified an alteration corridor with a strike length of 22km across the Vares Project.
Exploration Permit received for three new concession areas
The company was awarded three new concession areas totally 32km2, Semizova Ponikva, Brezik, and Vares East, within the Vares project on September 2, 2020.
Adriatic said that it has now received the Exploration Permit on the New Concession Areas, allowing the Company the right to explore using invasive exploration techniques, such as drilling and channel sampling.
With the Exploration Permit, the company’s total concession area permitted for exploration has now increased from 9km2 to 41km2.
Preliminary exploration activities
The company said that preliminary exploration activities were conducted ahead of the application for the New Concessions Areas in 2020, comprising soil and rock chip geochemistry, and field mapping. ADT said that this work had identified a number of prospective targets, including SP1 & SP2 prospects within the Semizova Ponikva area.
Geophysical Survey initial analysis
Adriatic said that with a lack of geophysical data across the Expanded Concession Area to date, a close-spaced, heliborne radiometric and magnetics survey was conducted in April this year at these new concession areas within the Vares project.
The heliborne survey was flown by German-based Terrascan Airborne on a 75m spaced, north-south flight lines, with additional tie lines totalling 1,541 line kilometres. Additional data processing and 3D inversion modelling were completed by David McInnes from Montana GIS, Australia.
The company said that it has now completed an initial analysis of the results.
Encouraging results
The company said that the analysis increased the Company’s understanding of the Vares Project’s mineralising system, as well as further supports these Existing Exploration Targets as areas of high interest that necessitate further exploration.
ADT reported that, in addition, the Geophysical Survey has highlighted a number of other potential blind targets across the Expanded Concession Area, which the Company will investigate further.
Radiometrics survey identifies large alteration system
The radiometrics survey was designed principally to map alteration. The company said that the radiometric survey results have identified a large alteration system, which is consistent with the Company’s prior understanding of the mineralising system from field observations and historical geological mapping.
The company said that the radiometric data has better defined the size and continuity of this alteration system and showed a prospective corridor that runs centrally through almost the entire 22km of the Expanded Concession Area’s strike length.
Magnetics survey
ADT said that the initial results from the magnetics survey confirmed that structural complexity combined with favourable stratigraphy is associated with the mineralising system.
The company said that the regional anomalous rock chip samples taken in late 2020 on the western part of the Vares East concession area correlated well with structural complexities. In addition to these areas, the magnetic survey also highlighted a number of additional areas of structural interest on the Expanded Concession Area.
The company said that in the Rupice / Borovica area, a series of near east-west structural features were observed in the magnetic survey, which correspond to the existing structural and geological model for this part of the concession area.
“We look forward to commencing our exploration activities across this 32km² of newly permitted ground in due course”
Management comments
Adriatic’s CEO and Managing Director, Paul Cronin, said: “We thank the Federal Ministry of Energy, Mining and Industry for their support in awarding us the Exploration Permit for the New Concession Areas. We look forward to commencing our exploration activities across this 32km2 of newly permitted ground in due course.
In addition, I am especially excited with the initial results from the Radiometric Survey, which have better identified the size and continuity of the known alteration system through the Vares Project. The edges of this alteration corridor are strongly correlated with previously identified mineralisation and our existing exploration targets. This has identified exciting new target areas, which we will follow up with further field work and update the market in due course.”
Image Source: Adriatic Metals PLC