The following excerpt is from EXPLORATION NEWSLETTER - What's up in Sweden, No 20 November 2005

Current news on exploration in Sweden. Editor Birger Filén


SGU Mineral Resources Information Office has been extremely busy this year with almost two clients per day.
Lundin Mining Corporation announces the following highlights:
Copperstone Project – Diamond drilling intersects numerous copper mineralizations. One of them is the Eva discovery, a polymetallic massive sulphide mineralization at shallow depth. The thickness of the body varies between 3 and 70 m. Metallurgical testing has commenced.
EM airborne survey – 6000 line km. Large land acquisition north-east of Copperstone.
Storliden – Compilation of new geological and geophysical data outline new drill targets.
Rakkurijärvi – Final drilling programme during this winter.
Pahtohavare – Drilling has started on a weathered copper-gold mineralization near the closed mine.
Lappvattnet Nickel – Additional drilling before end of year.

Continued exploration drilling at Olserum in south-east Sweden by International Gold Exploration AB (IGE) shows that the width of the rare earth element, REE, mineralization increases at depth. A stated inferred mineral resource of 2.6 million tonnes has been announced.

After a thorough study of geological data at SGU, IGE has during the period July to September 2005 applied for exploration permits of copper, zinc and precious metals at and in the vicinity of the former mine at Stekenjokk in north-western Sweden. Mining was carried out by Boliden AB during the years 1975 to 1988. In total, 9 million tonnes of ore were mined.

According to data at SGU, which are based on information from approximately 400 drill holes, the remaining tonnage is at least 18 million tonnes.

In September Mawson Resources Ltd announced that the Phase 2 RC drill programme had commenced at the Middagsberget and Fäbodliden projects. The programme will followup on the broad intervals of gold mineralization encountered in the 8-hole Phase 1 drill programme announced in August 2005. Results include II m at 2.05 g/t gold from 32 m, 29 m at ?.37 g/t gold and 4 m at 5.79 g/t gold from 42 m, including ? m at 20.30 g/t gold.
The company is also maximizing the value of its findings to apply for an exploration licence for the Flistjärn uranium project where historical sampling encountered high uranium grades.

In its second quarter report Lappland Goldminers AB announces that exploration has intensified with five drilling rigs operating. Technical and profitability studies on the Fäboliden gold mining and concentrating project are near completion.
The company is also optimistic regarding mining at the Stortjärnhobben gold project after the results from the latest drilling. Northland Resources Inc, former North American Gold Inc, cuts 47.4% iron over 50.8 m at Stora Sahavaara iron deposit in Pajala. The company also announces the results from drilling at the Norra-Barsele project close to Storuman in northern Sweden. The programme has successfully demonstrated the existence of significant gold mineralization beyond the limits of the known resource at the Central Zone. It also indicates potential to increase the average gold grade of the resource once a new N I 43-101 compliant resource calculation is completed in mid-January 2006.
Results of the 6 hole large diameter RC drilling programme of the Central Zone at the Barsele Project include the following highlights:
- 22 m at 2.1 g/t gold in hole 002
- ?7 m at 2.1 g/t gold in hole 003
- ?9 m at 2.0 g/t gold in hole 006

Svensk Prospekteringskonsult AB has been granted an exploration permit at Dannemora iron ore field. Iron ore has been mined at Dannemora for more than 500 years until ?992 when the mine was closed. The high iron ore prices can eventually revive mining in this classic ore field. Interesting zinc-lead-silver and copper-gold grades have previously been encountered.

Continental Precious Minerals Inc announces that the Mining Inspectorate of Sweden has issued six new exploration licenses to the company. The right to these licenses was acquired from Geoforum Scandinavia AB as part of Continental’s acquisition of eight mineral
licenses completed earlier this year.

Tumi Resources Ltd notifies that while continuing to research for further silver property acquisitions, the company came across technical documentation regarding the historic Sala Silver Mine located in the Bergslagen District of south-central Sweden.
The company has staked the Sala mine and surrounding ground totalling 2,?73 hectares
n two exploration concessions. Sala was mined sporadically from the early part of the sixteenth century until the early part of the twentieth century and is known to have yielded some of the richest silver ores in the world.


MinMet reports lower production figures for the third quarter at its gold mine at Björkdal in northern Sweden than the third quarter last year. For further information read

MinMet recently announced that it had signed heads agreement to sell ?00% of the share capital of Björkdalsgruvan AB to Gold Ore Resources Ltd of Vancouver, Canada. Gold Ore is conducting a due diligence review and is proceeding to schedule.

Boliden has got the permission to raise the production of ore at the company’s Aitik copper
mine from ?8 million tonnes per year to 28 million tonnes per year.

Scan Mining AB is developing the zinc-lead-gold deposit at Blaiken in the municipality of Sorsele. The ore base (ore reserves and mineral resources) amounts to more than 9 million tonnes. The plan for the mining project remains unchanged. The aim is to commence mining operations with full capacity from start mid 2006. The mining will be a combined open cast and underground operation.

Dragon Mining NL’s operations in Sweden are focused on the Svartliden Mine, which was brought into production in March 2005. An open pit mine is feeding an adjacent CIP/CIL leach treatment plant. Svartliden is the first mine to be developed in Sweden by a foreign company in over ?00 years. It is also the first integrated mine and treatment plant to be developed under the new Swedish Environment and Mining Acts.
The Svartliden ore body remains open at depth and along strike. Further drilling is expected to expand the resources and reserves. An open pit 800 metres long and 80 metres deep has been planned to mine the known reserves over a 5 to 6 year period. The ore consists
of multiple lodes within sheared metasedimentary and metavolcanic host rocks.
The Svartliden ore resources amount to 2.9 Mt at 4.54 g/t containing 420,000 ounces (?3,062 kg) of gold.

Projecting of the new Kiruna town has commenced in order to secure LKAB’s huge deep iron ore reserves and to stabilize the ground.


The Mine Inspector has granted Lappland Goldminers AB four diamond exploration permits close to and at the border between Västerbotten and Västernorrland Counties.
In Norrbotten County Ilmari Exploration Oy, a subsidiary to European Diamonds Plc, has during the summer continued to work in the area south of Soppero and Lannavaara.
A private person has been granted a licence in the Kalix area, where alkaline ultramafic kimberlitic rocks since long has been known to exist.


Statistics of the Swedish Mining Industry 2004. Per.publ. 2005:2.

Bedrock mapping – Summary of ongoing activities 2004 with an introduction in English. Hans Delin (Ed.). Rapporter och meddelanden


5th Fennoscandian Exploration and Mining, 30 Nov to 2 Dec 2005 in Rovaniemi, northern Finland


There is a growing interest for uranium exploration in Sweden. Many companies have applied for exploration permits in different parts of the country.
Beowulf Mining Plc, former Beowulf Gold Plc, has tested a geophysical anomaly associated with sulphide boulders containing up to 10 g/t gold, 200 g/t silver and 1% copper at Grundträsk in the Skellefte Mining District through diamond drilling. The results of the analyses are pending.
The company has aquired two claims - Ballek 2 and 3 - which cover 76 km2 in the Arjeplog municipality in northern Sweden, some 100 km south-west of Beowulf's Jokkmokk properties. The Ballek claims contain the copper-gold Lulepotten deposit, which was drilled between 1960 and 1971 by the Geological Survey of Sweden, who estimated that the deposit contained 5.1 million tonnes of ore with 0.73% copper and 0.25 g/t gold.

Mawson Resources Ltd's Phase 2 reverse Circulation ("RC") drill program commenced May 2 at the Vargbäcken gold prospect in northern Sweden. The program consists of 11 holes for 1,300 m aiming to extend and infill the higher grade mineralized block previously defined in the Phase 1 drill program. On completion of the Phase 2 program at Vargbäcken the RC drill rig will be moved 4 km along strike to test the Middagsberget gold prospect.

Tertiary Minerals plc announces plans to drill-test new targets for nickel-copper massive sulphides identified by an extensive ground geophysical Survey at Notträsk, the Company's main nickel prospect in Sweden.
Results from a large loop transient electromagnetic (TEM) survey across the Central Zone of the Notträsk mafic intrusion confirm a total of nine, closely spaced, near surface conductors and one deeper conductor, interpreted to indicate massive sulphide mineralization. International Gold Exploration AB (IGE) has applied for an exploration permit to look for gold mineralization on the "Gold Line" in the Åsele region. Several areas in the Åsele region have been delineated on geological and geophysical grounds, and IGE, together with a partner has applied to the Mining Inspectorate for an exploration permit for these areas.
Following extensive diamond drilling, a rare earth elements (REE) mineralized zone which is at least 200 m long has been found by IGE at Olserum close to the town of Västervik in south-east Sweden.
The ore value has been estimated for the oxides of the elements cerium, lanthanium, neodynium, praseodynium, samarium, yttrium, and the related niobium, gallium and scandium.
Based on the drillings the assumed geological resource is estimated at 2.8 million tonnes of ore with an in situ Value of 2.9 billion SEK.

In the annual report for 2004 North Atlantic Natural Resources (NAN) announces that the company in the vicinity of the Storliden mine has identified several target areas, which could host further copper-zinc occurrences.
Results front NAN's diamond drillings at the Lappvatttnet nickel mineralization warrant more drilling along both the plunge and strike towards ENE.
On February 11, 2005, NAN reported the results from the first phase of the drilling program that has been committed at the Copperstone project in the northern Skellefte district. The most striking result has been shown in drill hole cos04-208 where, at the drilling depth 66.0 m a 0.55 m section with 1.86% copper, 22.4% zinc, 7.42% lead, 2.2 g/t gold, and 139 g/t silver was encountered.
During 2004, exploration activities of Lundin Mining have focused on three core areas: the Kiruna mining district in Norrbotten, the area in and around the Zinkgruvan mine in Southern Sweden, and around the historic Skellefte

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