Six drills probe Grevet property

Recent infill drilling at zone III of the Grevet zinc property near Quevillon, Que., has yielded more positive results for 50/50 partners Serem-Quebec and VSM Exploration (ME). Six drills are currently at work on the northern Quebec property where a new discovery, called zone 97, was announced earlier this year. Assays from six follow-up holes in zone 97 are expected soon, according to VSM.

Meanwhile, the best assay in a batch of five recent holes from zone III was 25.6 ft. (true width) grading 8.6% zinc, 0.19% copper and 0.7 oz silver per ton at a depth of 1,575 ft. below surface. That intersection included a higher-grade interval of 13.9 ft. grading 14.3% zinc, 0.26% copper and 1.2 oz. silver.

Preliminary reserves for zone III were estimated previously at 8.35 million tons grading 8.3% zinc, 0.46% copper and 0.97 oz. silver. Infill drill results from the recent holes will be used to upgrade the present reserves to probable from possible categories, the company said. The new reserve calculation will be available in the next few months.

The latest results from zone III, at depths of 1,345-2,015 ft. below surface are as follows: 0200,0207,0203,0300,0108,0000 True Width Zinc Copper Depth Hole (ft) (%) (%) (ft) 100 8.5 5.2 0.28 1,345 104 8.2 6.3 0.24 1,535 106A 25.6 8.6 0.19 1,575 incl 13.9 14.3 0.26 108 10.6 5.8 0.28 2,015 incl 4.9 11.6 0.42 110 20.0 5.3 0.34 1,950 incl 11.3 7.2 0.43

The drilling program is still in progress with two machines testing zone III and two others working to define zone 97 which remains open in all directions. Another two drills are being used to test various exploration targets elsewhere on the property which have similar geophysical signatures to zones III and IV.

VSM, 57% owned by Placer Dome (TSE), has about 19 million shares outstanding on a fully diluted basis. The junior’s share fell 10 cents to $1 after the company released its recent batch of results from zone III.

Together with its partner Serem- Quebec, VSM has interests in a package of land measuring about 10×20 miles along strike from the Grevet deposits. To date, only 2% of the entire property area has been systematically explored, and several targets remain untested.