Juniors consolidate Portuguese interests

International Vestor Resources (IVS-V) has arranged with joint-venture partners Redfern Resources (RFR-T) and Cumberland Resources (CBD-T) to increase its interest in the Aljustrel Mining complex in south-central Portugal.

The deal will see International Vestor increase its interest by 25%, to 37.5%. Cumberland and Redfern, are expected to relinquish their respective 12.5% interests in return for 4.7 million shares of Vestor at a deemed price of 75 cents per share.

Auspex Minerals (APJ-V), the project operator, holds a 37.5% interest, whereas the Portuguese state mining corporation holds the remaining 25%.

Upon completion of the agreement, International Vestor’s Portuguese interests will include 37.5% of Aljustrel, 30% of the Estacao massive sulphide deposit and 50% of the Grandola concession. Auspex Minerals has a 30% interest in Estacao, with the remaining 40% belonging to the Portuguese state. Auspex also holds a 50% interest in Grandola.

Aljustrel encompasses four massive sulphide deposits: Feitais, Moinho, Sao Joao and Gaviao. The deposits were historically mined for pyrite, but still host zinc, copper and lead mineralization.

Reserve estimates from Portuguese authorities indicate that the Moinho deposit contains a resource of 44 million tonnes of 2.98% zinc, 1.1% lead and 0.85% copper. The Feitais deposit is estimated to host about 54 million tonnes grading 3.43% zinc, 1.12% lead and 0.43% copper. The Sao Joao deposit rings in at 45 million tonnes of 3.37% zinc and 1.2% lead, and the Gaviao deposit is said to host 25.7 million tonnes grading 2.98% zinc, 1.01% lead and 1.51% copper.

Auspex Minerals acknowledges the relatively low overall grades, but states that its objective is to carve out smaller blocks of higher-grade mineralization.

Drilling at the Feitais deposit indicates zones of higher grade: hole 40 intersected 26.9 metres (true width) grading 11.16% zinc 3.40% lead and 0.27% copper.

At the Moinho deposit, hole 127 intersected 30.69 metres (true width) grading 7.07% zinc, 3.05% lead and 0.38% copper.

The Estacao and Grandola concessions are situated next to Aljustrel.

Exploration at Estacao has partially defined a massive sulphide body that is believed to be a faulted-off extension of one of the Aljustrel bodies. Early reserve estimates, made by the Portuguese state, pegged Estacao at about 20 million tonnes grading 4.84% zinc, 1.51% lead and 0.31% copper.

The Grandola concession hosts a large gravity anomaly representing a prospective massive sulphide target. In 1996, four vertical drill holes were drilled into the anomaly and returned only weak base metal mineralization.

Due to structural complexities, further geophysical modeling is required before new drill targets are defined.