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Victory Metals Drills 37 Meters Of 0.55% V2O5 and Expands Vanadium Footprint to the South

Victory Metals Inc. (CNW Group/Victory Metals Inc)

News provided by

Victory Metals Inc

Mar 28, 2019, 08:30 ET

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VANCOUVER, March 28, 2019 /CNW/ - Victory Metals Inc. ("TSX-V:VMX") ("Victory" or the "Company") is pleased to announce assay results from an additional 14 reverse circulation ("RC") holes completed at its Iron Point Vanadium Project, located 22 miles east of Winnemucca, Nevada. Victory has now released results for 52 RC holes from a planned program of 69 RC holes and 4 diamond drill holes. 

Figure 1: Victory’s fourth set of confirmation RC drill holes shown by purple stars, in relation to first release drilling (dark blue stars), second release drilling (light blue stars), third release drilling (green stars) as well as historical Newmont and Aur Resource (USA) Inc. drill holes. (CNW Group/Victory Metals Inc)
Figure 2. Cross section F-F’ showing distribution of vanadium mineralization in relation to the current geologic interpretation. (CNW Group/Victory Metals Inc)
Figure 1: Victory’s fourth set of confirmation RC drill holes shown by purple stars, in relation to first release drilling (dark blue stars), second release drilling (light blue stars), third release drilling (green stars) as well as historical Newmont and Aur Resource (USA) Inc. drill holes. (CNW Group/Victory Metals Inc) Figure 2. Cross section F-F’ showing distribution of vanadium mineralization in relation to the current geologic interpretation. (CNW Group/Victory Metals Inc)

The 14 drill holes reported today include both vertical and angle holes and are focused in the central to southern extent of the historical vanadium mineralized zone (see Figure 1). Several of the holes are shown in a north-south cross section (see Figure 2, Section F-F'), which continues to demonstrate the strong continuity and the flat lying nature of shallow vanadium mineralization over a large and expanding area. Section line F-F' partially overlays the holes previously released on Section line B-B' (see Figure 1), and also bisects the east-south holes on cross Section lines C-C' and D-D' (see Figure 1), the results for which were previously released (see Victory's February 28, 2019, March 6, 2019, and March 19, 2019, news releases).

Highlights

  • New, true thickness high-grade RC drill results include:

    • 37 meters grading 0.55% V2O5 (including 5 meters grading 0.80% V2O5) in VM-26i
    • 14 meters grading 0.63% V2O5 (including 4 meters grading 1.00% V2O5) in VM-26j
    • 26 meters grading 0.42% V2O5 in VM-33
    • 24 meters grading 0.48% V2O5 in VM-34
    • 26 meters grading 0.46% V2O5 (including 3 meters grading 0.83% V2O5) in VM-48

As indicated by the initial sets of holes, these latest intercepts are consistent with two flat-lying higher grade vanadiferous horizons, referred to as the Upper High Grade and New High Grade Zones, which occur within a broader and extensive envelope of lower grade mineralization that starts at surface and extends down to a depth of at least 175 meters. True thickness intercepts of this broader envelope include:

    • 91 meters grading 0.36% V2O5 in hole VM-26i
    • 110 meters grading 0.27% V2O5 in hole VM-33
    • 125m grading 0.22% V2O5 in VM-34
  • Continuity of mineralization in both the lower grade vanadium envelope and the two high-grade zones continues to be apparent as drilling extends to the southern portion of the historical vanadium mineralized zone. By combining previously announced Sections A-A', B-B', C-C', with newly announced Section F-F', vanadium mineralization shows an east-west width of 760 meters. The north-south extension of mineralization now exceeds 740 meters, with expansion potential to the south and northwest.

  • Section F-F' indicates that vanadium mineralization is open to the south with some of the highest-grade vanadium intervals returned to date.

Collin Kettell, CEO of Victory, stated, "Victory's maiden drilling campaign has continued to intersect strong lateral continuity of thickness and grade. Hole VM-26i hit a lengthy intercept of strong mineralization, demonstrating the extension of the high-grade zones, within the overall lower grade envelope. Today's drill release was focused on the southern portion of the historical mineralized zone, and confirms that the mineralization is open for further expansion to the south and the east.

We eagerly await the final assays from the remaining 17 RC holes, which were positioned to test southern and eastern extensions, mainly outside of the historically mineralized zone."

Drill Results

Assay results for intercepts released today are reported in % V2O5. Intercept lengths are reported as an Overall Length, which includes all assay intervals within the vanadium blanket zone (at a 0.09% V2O5 minimum grade), and also as individual zone intercepts reported as aggregate lengths comprised of samples grading 0.25% V2O5 and greater. All intercept lengths have been reduced to true thickness lengths as defined by the strike and dip of mineralized horizons currently interpreted from cross-sectional analyses.

Table 1

Hole #

Zone


From
(m)

To
(m) 

Interval
(m)

From
(ft)

To
(ft) 

Interval
(ft)

% V2O5

 % V

VM 34

Overall*


0

125

125

0

410

410

0.22

0.12

Upper Zone


30

34

3

100

110

10

0.31

0.17

New Zone


84

116

24

275

380

80

0.48

0.27

VM 36

Overall*


3

38

35

10

125

115

0.2

0.11

Upper Zone


21

27

3

70

90

10

0.27

0.15

VM 09+

Overall*


18

145

126

60

475

415

0.25

0.14

Upper Zone


26

70

9

85

230

29

0.48

0.27

New Zone


117

142

20

385

465

64

0.6

0.34

VM 07+

Overall*


0

139

139

0

455

455

0.28

0.16

Upper Zone


5

55

24

15

180

78

0.44

0.25

New Zone


110

137

27

360

450

90

0.56

0.31

VM 23+

Overall*


0

85

85

0

280

280

0.32

0.18

Upper Zone


0

6

6

0

20

20

0.54

0.30

New Zone


56

85

23

185

280

75

0.63

0.35

Including

58

64

6

190

210

20

0.88

0.49

VM 23i^

Overall*


6

107

70

20

350

230

0.24

0.14

Upper Zone


6

37

9

20

120

28

0.38

0.22

New Zone


82

107

15

270

350

49

0.45

0.25

VM 26+

Overall*


0

82

82

0

270

270

0.31

0.17

Upper Zone


3

5

2

10

15

5

0.59

0.33

Upper Zone


11

18

8

35

60

25

0.51

0.29

New Zone


61

81

20

200

265

65

0.53

0.30

Including

64

73

9

210

240

30

0.68

0.38

VM 26i^

Overall*


5

131

91

15

430

300

0.36

0.2

Upper Zone


5

70

37

15

230

120

0.55

0.31

Including

32

41

5

105

135

15

0.8

0.45

New Zone


98

105

5

320

345

15

0.27

0.15

VM 33

Overall*


40

152

110

130

500

360

0.27

0.15

Upper Zone


41

78

23

135

255

75

0.34

0.19

New Zone


81

128

26

265

420

85

0.42

0.23

VM 26j^

Overall*


3

125

81

10

410

266

0.24

0.13

Upper Zone


3

29

14

10

95

45

0.63

0.35

Including

5

11

4

15

35

14

1.00

0.58

New Zone


110

117

2

360

385

7

0.52

0.29

VM 48

Overall*


5

79

71

15

260

233

0.3

0.17

Upper Zone


5

21

12

15

70

40

0.33

0.18

New Zone


43

79

26

140

260

85

0.46

0.26

Including

59

63

3

195

205

9

0.83

0.46

VM 49

Overall*


0

95

88

0

310

290

0.22

0.13

Upper Zone


0

34

7

0

110

24

0.32

0.18

New Zone


64

95

19

210

310*

63

0.43

0.24

VM 27

Overall*


5

38

27

15

125

90

0.17

0.1

Upper Zone


34

35

2

110

115

5

0.31

0.17

VM 27i^

Overall*


5

116

79

15

380

258

0.18

0.1

Upper Zone


5

58

10

15

190

32

0.28

0.16

New Zone


104

113

5

340

370

17

0.41

0.23

VM 28

Overall*


5

8

3

15

25

10

0.23

0.13

Upper Zone


5

6

2

15

20

5

0.32

0.18

VM 28i^

Overall*


3

18

11

10

60

35

0.17

0.1

Upper Zone


5

6

1

15

20

4

0.31

0.18

VM 30

Overall


32

73

40

105

240

130

0.18

0.1

New Zone


58

70

6

190

230

20

0.29

0.16

* Overall values represent contiguous averages that include V2O5 values ranging from detection limit to 1.14%

+ Hole reported in previous release

^ Denotes angle hole. Angle holes are labeled with the letter (i) or (j), as they are drilled from the same platform as the complimentary vertical hole.

Drill hole VM-29 was assayed but did not return any significant vanadium mineralization. 

QA/QC and Qualified Person

The Victory drilling program was directly supervised in the field by the QP and other site geologists working for Victory. All samples were split at the drill site using a Gilson bar splitter and Jones riffle splitter, with two samples per 5-foot (1.52m) sample interval collected and placed into heavy plastic bags together with sequentially numbered sample tags. A 2kg sample was collected for assay, while a 4kg reference sample was kept on-site. Three different vanadium standards (71 ppm V, 320 ppm V, and 5172 ppm V) and coarse blank samples were purchased from Minerals Exploration and Environmental Geochemistry (MEG) Inc. of Reno, NV. Victory site geologists inserted field blank, standard, and duplicate samples into the drill sample stream per NI 43-101 guidelines, maintaining a 1-in-20 insertion rate for each of the field blank, standard, and duplicate samples such that every 7th sample is a control sample. Field duplicate samples were split from the 4kg reference samples using a Jones riffle splitter. 

Drill samples were transported by Victory personnel to locked storage sheds rented by Victory and located in Golconda, NV, about 14km west of the project area. Samples were picked up in Golconda by American Assay Laboratories utilizing its own truck and driver and transported directly to American Assay's facility in Reno, NV. At American Assay Laboratories, the samples were crushed to 70% passing 2mm, and then a 0.3km split was ground to 85% passing 75 micron. A 0.5gm split was digested in a 5 acid process (ICP-5A035 method uses HNO3, HF, HClO4, HCl, H3BO3) and analyzed via ICP-OES. The detection limit for vanadium is 1ppm, the upper limit is 10,000ppm, and sample results are reported in PPM V. As a separate QAQC check, American Assay inserted laboratory standards, blanks, and duplicates into the sample stream. American Assay Laboratories is accredited by the International Accreditation Service, which conforms with requirements of ISO/IEC 17025:2005.  

Victory is currently using ALS Chemex in British Columbia to perform umpire assays on 1-in-20 drill pulps obtained from American Assay Laboratories and submitted to the ALS Chemex facility in Reno, NV.  ALS Chemex employs a four-acid digestion process (ME-ICP61m method), so Victory is re-numbering the pulp samples and inserting the same field standard samples into the sample stream in order to better compare results between the two labs.

The scientific and technical information in this news release has been reviewed and approved by Calvin R. Herron, P.Geo., who is a Qualified Person as defined by National Instrument 43-101.

About Victory Metals

Victory owns a 100% interest in the Iron Point Vanadium Project, located 22 miles east of the town of Winnemucca in Humboldt County, Nevada. The project is located within a few miles of Interstate 80, has high voltage electric power lines running through the project area, and a railroad line passing across the northern boundary of the property. The Company is well financed to advance the project through resource estimation and initial feasibility study work. Victory has a proven capital markets and mining team led by Executive Chairman Paul Matysek. Major shareholders include Casino Gold (50%), and management, directors and founders (25%). Further, over 51% of the issued and outstanding shares of the Company (43,471,014 shares) are subject to an escrow release over three years.

Please see the Company's website at www.victorymetals.ca.

On Behalf of the Board of Directors of
VICTORY METALS INC.

Paul Matysek
Executive Chairman and Director

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Information

This news release contains certain forward-looking information and forward-looking statements within the meaning of applicable securities legislation (collectively "forward-looking statements"). Certain information contained herein constitutes "forward-looking information" under Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "expects", "believes", "aims to", "plans to" or "intends to" or variations of such words and phrases or statements that certain actions, events or results "will" occur. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed by such forward-looking statements or forward-looking information, including the business of the Company, the speculative nature of mineral exploration and development, fluctuating commodity prices, competitive risks, and delay, inability to complete a financing or failure to receive regulatory approvals. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. The Company does not undertake to update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.

SOURCE Victory Metals Inc

For further information: Collin Kettell at [email protected] or (301) 744-8744.

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