Basin Energy Limited (BSNEF) Virka Project Sampling Returns High-Grade Mineralisation Confirming Polymetallic Discovery Potential
Basin Energy Limited (ASX:BSN) (OTCMKTS:BSNEF) is pleased to report that it has received highly encouraging surface rock chip assay results collected during Q4 2024 as part of an initial reconnaissance mapping program at Virka, (the 'Project') in Northern Sweden (Figure 1*). Of the twenty-three samples collected, three returned strongly anomalous base metal values, including two with zinc and lead above 8.5% grade, whilst all three samples returned silver values above 100ppm, with a maximum of 425ppm. Five separate samples returned U3O8 above 0.1% grade. Refer to Appendix two and three for full details.
Key Highlights
- High-grade zinc-lead mineralisation with anomalous copper identified in outcrop at Virka
o Mineralised veins observed in outcrop returning up to 9.8% zinc, 9.15% lead, 425 ppm silver and 0.33% copper
- Uranium identified in separate outcrop associated with mineralised veins up to 1.43% U3O8 and 0.13% TREO
o Outcrop is located over 8 km away from historic drilling
- Anomalous boulder samples identified with mineralised veins including 0.27% U3O8, 0.17% lead and 0.11% TREO
- Two distinct structure-hosted mineralisation styles highlighted by results at Virka: Pb-Zn +/- Cu-Au-Ag and U-Pb-TREO
- Numerous structural zone targets at Virka remain unvisited
- Structural logging and sampling of Virka historical drill core is ongoing
- Further field work to commence Q2 2025
Basin's Managing Director, Pete Moorhouse, commented:
"The two distinct styles of mineralisation recognised in the geochemistry within the project area is an important find from this initial program. From the previously reported historical drilling, we interpret that these structure systems have the potential for large scale discovery, so the presence of high-grade mineralisation in surface rock chip geochemistry is highly encouraging.
The focus for the team remains to complete detailed structural logging of the available historic core to understand the relationship between structure, mineralisation and geology."
Two distinct structure-hosted mineralisation systems were identified by assay results at Virka: an initial system consisting of veins of uranium mineralisation with minor lead and total rare earth oxide ("TREO") anomalism, with rock chip values up to 1.4% U3O8, and a second vein system with base metal mineralisation primarily comprising of high-grade zinc up to 9%, accompanied by similar tenor of lead and anomalous copper, gold and silver. Assay results and details are provided in appendix 2* and 3*.
The mineralisation and anomalism observed in rock chip samples appears to dominantly be associated with regional north-northeast trending structure sets, similar to those observed at the Trollberget and Bjorkberget projects, located approximately 25 kilometres to the southeast which recently returned reconnaissance outcrop sampling geochemical results of over 2.95% U3O8. The Company is awaiting receipt of further analysis of samples from Bjorkberget that returned results above detection limits for U3O8.
Polymetallic prospectivity and reconnaissance sampling assay results
Virka is located within the Radnejaur-Moskosel metallogenic district (Figure 3*), host of several base metal deposits and occurrences (Cu, Au, Mo, Ag, Pb, Zn). The largest base-metal deposit is Lulepotten which, according to Beowulf Mining (LON:BEM), has a JORC-compliant inferred resource of 5.4 Mt @ 0.8% Cu and 0.3 g/t Au . Additionally, Virka is located approximately 37 km southeast of Boliden's (STO:BOL) Laisvall Pb-Zn-Ag former mine where a total of 64.3 Mt of ore at 0.6% zinc, 4% lead and 9 g/t silver was extracted.
Samples VRK013, 014 and 016 were taken from outcrops, or boulders adjacent to a sub cropping vein system showing visible sulphides (refer to Appendix 2* for assay data). Rock chip highlights include:
- VRK016: Zn 9.8%, Pb 8.55%, Cu 0.19%, Ag 305 g/t, Au 0.44 g/ (Figure 2A*).
- VRK013: Zn 8.98%, Pb 9.15%, Cu 0.34%, Ag 425 g/t, Au 0.47 g/ (Figure 2B*).
Additionally, anomalous boulders were identified within the project area distal from the observed sub cropping veins including VRK022, located over 3 km north from VRK016, (refer figure 1* and Appendix 2* for location and assay data) which returned 0.16% Pb, 0.11% TREO.
Uranium system commodity prospectivity assessment
Virka is also located within the Arvidsjaur-Arjeplog uranium district which is host of over 30 uranium occurrences or small deposits as reported by the Swedish Geological Survey ("SGU"). The Virka Project has had little focus on commodities other than uranium, and where drilling has occurred, minimal multielement geochemistry was used. Basin considers the system potentially prospective for other commodities including rare earth minerals and base metals.
Highlights from the reconnaissance sampling all occurred within the northern portion of the license, distal from the historic drilling area, with samples obtained from both outcrop and boulders. Five of the 23 samples collected returned values great than 0.1% U3O8 (refer to Appendix 2* for assay data) including:
- VRK012: 1.43% U3O8 and 0.14% TREO from an outcrop with oxidised quartz veins
- VRK018: 0.27% U3O8 from a boulder field
- VRK009: U3O8 0.18% and 0.073% TREO from a radiometric boulder with visible metallic vein.
The historical drill site area was visited with the intention to identify and map the controlling structure at surface and gather initial geochemical data to allow multielement classification of the system and potential prospectivity for other green energy metals. The structure could not be identified due to poor outcrop exposure. Multiple regional airborne radiometric anomalies were checked in the field and sampled.
Reconnaissance mapping and non-systematic sampling of the broader Project area identified widespread distribution of both outcrop and boulder anomalism away from the historic areas of drilling (refer figure 1*). This is interpreted by Basin to demonstrate the broader prospectivity of the Project area, with detailed follow-up mapping and sampling now required.
Virka Background
Historical work was conducted by the SGU in the 1970s and 80s identified a broad area with uranium anomalism. Drilling intersected uranium mineralisation associated with a northeast striking structure, however this focused on a small area limited to approximately 300 metres by 300 metres. SGU's standard practice at the time relied on downhole radiometric data to estimate uranium concentrations (eU3O8) rather than systematic geochemical assays (not reported in accordance with the requirements of the JORC Code). Aura Energy (ASX:AEE) assayed the partial cores in 20088 however, multi-element data was not reported for this program. The Company reviewed the information reported by Aura Energy and reported the results in accordance with the JORC Code.
The results show shallow uranium mineralisation that remains open down dip and along strike, refer figure 4*, however the presence of other elements within the mineralising system is unknown. Historic highlights are shown in figure 4* and included up to 9 m at 1,087 ppm U3O8 from 24.5 m in drill hole 81-003 within a broad sequence of 17 m at 707 ppm U3O8 from 23 metres depth.
Uranium in Sweden
The exploration and mining of uranium is currently prohibited in Sweden. In December 2024, the Swedish government announced the results of its ongoing inquiry into uranium10 mining. The inquiry has recommended the lifting of the uranium mining ban. This is an important next step in aligning Sweden's mining and energy policies, which includes the increase in reliance on nuclear power as a clean and stable domestic power source. No guarantee can be made that this policy change will occur as stakeholder consultations remain ongoing. Basin is assessing areas deemed prospective for multiple green energy metal commodities within districts that previously have been uranium exploration dominated.
*To view tables and figures, please visit:
https://abnnewswire.net/lnk/8QUR4H71
Pete Moorhouse Managing Director pete.m@basinenergy.com.au +61 7 3667 7449 Jane Morgan Investor & Media Relations jm@janemorganmanagement.com.au +61 405555618
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