Variscan Mines renews exploration license at Guajarez, a historical zinc-rich polymetallic project with tonnes of upside

• Exploration license for historical Guajaraz project renewed by local government for another three years
• Grab sampling around the former La Union mine shows up to 11.5% zinc
• Geochemical soil prospecting will be carried out this quarter

Variscan Mines has received a crucial three-year exploration license renewal for its highly prospective Guajarez zinc project near Madrid, Spain.

Variscan Mines’ (ASX:VAR) Guajarez project is centred around the former producing La Union underground mine, which together with the adjacent La Blanca and Manolita mines “form a large surrounding exploration opportunity”, it says.

Production began at La Union in 1945 and ceased in in the mid-1980s, with limited exploration since that time. The mine now 380m deep, with several kilometres of underground workings over 10 separate levels accessing ore.

Variscan says historical records indicate that the mineralisation was only partially exploited and remains open both along strike and at depth.

High-grade zinc hits around the former La Union mine

Variscan’s most recent sampling program at Guajarez returned high grades of zinc, lead and silver – with a best hit of 11.5% Zn, 4.6% Pb and 248ppm Ag at sample GJ2.

Other significant hits include:

• 8% Zn, 3.7% Pb, 0.9% Cu, 278ppm Ag
• 5% Zn, 4.6% Pb, 115ppm Ag
• 6% Zn, 4.1% Pb, 218ppm Ag
• 0% Zn, 2.5% Pb, 81ppm Ag

Next steps

A future work program for the Guajaraz Project includes soil geochemistry, geophysical surveys and an initial drilling campaign.

The geochemical soil prospecting campaign will start this quarter in the central zone of Guajarez to define new geochemical anomalies. Variscan says high Zn-Pb-Ag values “could confirm an extension of mineralisation in the area around the former producing La Union mine”.

The exploration will cover 1.3km2 and a geophysical campaign will cover the same areas with an objective to discover polymetallic deposits using direct current induced polarisation (DCIP) across a total of 8,500m.

Based on the results a surface drilling campaign will be planned to test identified targets stepping-out from the historical La Union mine.

“While the Novales-Udias Project in northern Spain remains our immediate and highest-priority focus, it is excellent to extend the tenure of this highly prospective project in our portfolio,” Variscan MD Stewart Dickson says.

“Our belief that Guajaraz represents an excellent, de-risked brownfield polymetallic project remains unchanged, we have generated high-grade results previously and are pleased to set out our initial design for future exploration fieldwork.”

Read more about the Novales-Udias zinc project: Stacked deposit: Variscan finds new lens of high-grade zinc at San Jose ahead of maiden resource

This article was developed in collaboration with Variscan Mines, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

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