The following excerpt is from EXPLORATION NEWSLETTER - What's up in Sweden, No 8 November 1999

Current news on exploration in Sweden

Boliden Mineral AB has rejected an offer from North Atlantic Natural Resources AB (NAN) to develop the Storliden zinc-copper deposit on NAN's terms.
A prefeasibility study is on its way at Storliden.
Diamond drilling at the Norrliden complex sulphide deposit has given positive results with much higher grades than expected from previous drillings.
The hoard of NAN has decided to start a study comprising an independent concentrator to treat the ore from both Storliden and Norrliden. The project will be called the "SNC-Project" and Micon International, Norwich, England will be contractor for the work which will be finished during January 2000.

Lapland Goldminers AB has finished a diamond drilling program comprising 25 holes at their Fäboliden gold deposit south of the Skellefte district. Preliminary analyses results show clearly economic gold grades.

According to a press release ScanMining concentrates most of its efforts on preliminary works before opening the Blaiken Mine in the end of 2000. A feasibility study is included in these works. Large-scale grinding tests are made by the States technical exploration center (VTT) in Finland. The Blaiken Mine, which comprises the Ersmarksberget and the Svartträsk ores and the mineralizations at Stabburviken, Lomavan, Stensund and Abborrberget, is the common name for the ore discoveries made until now in the vicinity of the Blaiken Lake. These are planned to feed a future strategically situated concentrator.

A mining plan for Ersmarksberget is ready. The in situ value of the ore is for the first four years of mining reported to 265 kr/tonne (October 211999). The corresponding value for reported 600 000 tonnes of zinc ore at Svartträsk is 291 kr/tonne.

Discussions continue between Equinox and several major mining companies that have showed interest in Equinox's Norrbotten Iron Oxide Cu-Au project. Work by Equinox in Norrbotten has now defined a number of targets so the stage at which diamond drills testing is required.
The Skellefte District is recognised as a major gold province with a style of gold mineralizations comparable to structurally controlled deposits of central Australia. To date Equinox has been granted two exploration permits and has lodged five additional permit applications covering targets prospective for gold.

Tertiary Minerals Plc will be introduced on the London Stock Exchange' s AIM-list. Under the name of Tertiary Gold the company has for three years been exploring Sweden for gold and base metals. A 15-diamond drill holes program has been carried out in the Vindfall-Sörstärnan area south of Sandviken. Exciting silver and zinc grades are reported.

Brandon Gold Corporation announced in June 9 that it had completed over 2300 meters of diamond drilling at its properties in Norrbotten northern Sweden. The drill program tested the Huornaisenvuoma zinc deposit, she Copper Lake and the Viscaria Southwest copper targets.
By consolidation the company's shares Brandon Gold Corp. has, September 16, 1999 changed its name to Redmond Ventures Corp.
North Ltd aquired the Zinkgruvan in south central Sweden in 1995. Zinkgruvan has been in continuous production for 140 years. While predominantly a zinc mine, Zinkgruvan also produces silver and lead. A potential copper resource has been identified in the mine.

Outokumpu's exploration activities in Sweden are on a low level. The company's traditional focussing on nickel will be relinquished and the attention will be directed towards base metals, spacially towards zink.

AngloAmerican has established an office in Malå. An application for a large exploration permit in the Pajala area is pending.

Boliden Mineral AB is looking for a Joint Venture partner in the Bergslagen District.

Mining News

The Björkdal gold mine, northwest of Skellefteå, entered receivership in June 1999. Low gold prices, lack of working capital and foreign exchange effects were cited. Its indebtedness totaled SKr350M, with the majority of the sum owed to a bank syndicate. It has been Europe's largest gold mine. At its peak, after opening in 1988, the mine produces 2.8 tonnes/yr.

North Ltd aquired the Zinkgruvan in south central Sweden in 1995. Zinkgruvan has been in continuous production for 140 years. While predominantly a zink mine, Zinkgruvan also produces silver and lead. A potential copper resource has been identified in the mine.

In April Boliden closed its only pure gold mine, Åkerberget. Discovered in 1987 by Anders Hallberg, now working as she Geological Surveys Malå office, it has intermittently been mined since 1989.
At the Renström mine the Simon zone was found already 1998. The discovery is one kilometre in depth but the zone is close so she existing mine and diamond drilling to date indicates that it is one of she highest grade mineralizations in the Skellefte district.
At the Kristineberg mine exploration and development has focussed on the Einarsson mineralization, where one million tonnes of high grade gold and copper ore has been outlined.

Diamond exploration

Poplar Resources Ltd has announced that Dia Met Minerals Ltd has elected not to proceed with she Swedish Project together with Poplar's 6500 owned North Star Diamonds AS at this time. The samples provided to Dia Met for processing, as part of their due diligence, have thus not been processed.
In some areas North Star Diamond AS's and Alcaston's exploration permits overlap. The judicial questions must be solved before any exploration can start in these areas.
Alcaston has established a Swedish subsidiary called Alcaston Diamond Exploration AB with Torsten Börjemalm as managing director.

A lot of new alnoitic and carbonatitic rocks have been registered in Norrlands Minerals Hunt, a yearly competition carried out in the four northernmost counties. These new sites are situated far north and northeast from the classical Alnö Island, the type locality for alnoites and alnoitic rocks.

News from the Mineral Resources Information Office

New appointed geochemist in Malå is Jan-Anders Perdahl, PhD. He has previously been working with different geoprojects at the Luleå University. During Bosse Gustafsson's one year leave Mattias Johansson is appointed to fill his post. Mattias comes from the University of Gothenburg.
During November and December this year the Mineral Resources Information Office will have a new telephone system and switchboard installed. This means we will have a new telephone number: +46 953 34 600. Our fax number will not change.

Georange

Malå Community has initiated a new organisation called Georange. The aim is to build up a meetingpoint for science, test areas and education facilities for ore related geosciences.
For further information contact Olof Forslund, tel. +46 953 14000 or +46 953 107 60/+46 953 34 600.

New publications

Guide to Mineral Legislation and Regulations in Sweden. Sveriges Geologiska Undersökning. October 1999. Mineral Market, summary and topic Titanium (June 1999) (in Swedish)

Exploration opportunities in Norrbotten (Sweden)
Part 7 Municipality of Boden (incl. descriptions of 47 occurrences of ore minerals)
Part 8 Municipalities of Piteå and Älvsbyn (incl. descriptions of 67 occurrences of ore minerals)

For further information, please contact:
Kenneth Wågman
Länsstyrelsen i Norrbotten län (Norrbotten County Board)
S-971 86 Luleå
SWEDEN
Tel: +46 92096 120
Fax: +46 920 22 60 67

© 1999 Geological Survey of Sweden - Mineral Resources Information Office.

The content of this newsletter is entirely based Upon public information gathered from newspapers, press releases, and web sites on Internet.




©2001- GeoNord