District Metals Corp. (TSX-V:DMX) said its subsidiary Bergslagen Metals AB has applied for additional mineral licenses located to the south and north of its original Viken nr 1 mineral license application in Sweden.
The original application covers 68% of the polymetallic Viken deposit in Jämtland County, Sweden, and, If granted, the additional licenses will increase the area of the Viken Property from 2,302 hectares (ha) to 9,367 ha.
The Viken deposit is the largest undeveloped alum shale vanadium-uranium-molybdenum-nickel-copper-zinc deposit in Sweden, and among the largest deposits by total historic mineral resources of vanadium and uranium in the world, the company said.
Bergsstaten, the authority concerned, is expected to reach a decision on the company's Viken nr 1 mineral license application by May.
Expansion of the Viken property to the south (Viken nr 2) and north (Viken nr 3), will allow the company to target mineralized alum shale that has been tectonically thickened from 20 to 30 meters (m) by thrusting and folding up to 180 m.
Historical drill holes completed within the area of the Viken nr 2 and 3 mineral license applications returned grades and widths of mineralization that are consistent with drill results from within the Viken Deposit, the company said.
"These mineral license applications to the south and north of our original Viken nr 1 mineral license application, if approved, will give the company a dominant land position in the Myrviken Energy Metals District,” District CEO Garrett Ainsworth said in a statement.
“We have targeted areas that contain a ridge of thickened alum shale host rock that has returned significant mineralization and widths in historic drill holes, demonstrating that the Viken Deposit mineral resource estimate from 2014 has potential to become even larger."
The Viken deposit is a polymetallic shale resource contained within the Cambrian Viken shale which regionally is referred to as the alum shale. The alum shale is enriched in metals such as vanadium, uranium, nickel, copper, zinc, and molybdenum. It occurs over a significant area in Sweden and is locally valued as a bituminous shale with recoverable hydrocarbons. The alum shale is regionally extensive in Sweden.
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