Once drilling permits have been approved, the company’s ongoing drilling program at the Greater Falun Project will extend to include Sala.
After securing the tenure of the high-grade Sala Silver Project, Alicanto Minerals Ltd (ASX:AQI) traded higher. The high-grade Sala Silver Project is just 100 kilometres from its Greater Falun Copper-Gold Project in Sweden.
This project (Sala) was once the largest producer of silver in Europe, producing over 200 million ounces at grades of up to 7,000 grams per ton of silver.
Sala was mined to just 318 meters below ground where it was thought to have been mined out at the time. But, mineralization continues to remain accessible with historic (2012) step-out exploration intersecting 0.67 meters at 844 g/t silver and 16.3 percent lead at just 250 meters below ground.
The project has extensive upside exploration with open mineralization at depth, along strike and through stratigraphic sequence structural repetition.
An Outstanding Chance
Peter George, Managing Director of Alicanto, said that the Greater Falun Project, and now the Sala Silver Project was an excellent opportunity that would have been pursued several years earlier if the geology had been known. Also if it had been not partially owned by companies concentrating on other ventures and jurisdictions.
He added: “The presence of extensive high-grade copper-gold mineralisation with by-products of silver, zinc and lead at Falun has been well-established through both mining and exploration.”
“However, the full potential in the Greater Falun area has yet to be unlocked.”
“To now have Sala in our suite of projects is a significant addition to our portfolio within the Bergslagen area.”
Shares were up as much as 19 percent to A$0.13 intra-day, and after closing at A$0.096 at the end of January, the stock has been trading higher.
Just 300 meters southwest of Sala, historical diamond drill holes in the parallel Prince Lode returned numerous mineralized drill hits, including 15.9 meters at 157 grams per ton of silver and 4.2 percent zinc, as well as 37.2 meters at 50 grams per ton of silver and 6.1 percent zinc.
Four holes drilled in November 2012 indicate that Sala mineralization remains open at depth and intersected high-grade mineralization along the strike, including 0.67 meters at 844 grams per ton of silver and 16.3 percent lead at 250 meters below surface.
As a result of structural folding of the same stratigraphic sequence as the Sala orebody and the Prince mineralisation, the Company has already found several new untested targets to the southwest of Sala.
Expanding Program for Drilling
Alicanto has now begun an extended and fully funded drilling program in Greater Falun. As soon as drilling permits have been approved, the company intends to commence drilling at Sala.