Viking Mines (ASX: VKA) reports “massive” magnetite VTM mineralisation at Canegrass, shares soar

Highlights

• Viking is targeting growth potential of Vanadium Pentoxide at its flagship Canegrass Battery Minerals Project in WA
• Assays from the first holes drilled into the Kinks South target area indicate "massive" Vanadiferous Titanomagnetite (VTM) mineralisation
• The key intercepts include
  • 17m at 0.98% V₂O₅ from 89m, including 12m at 1.06% V₂O₅ from 91m
  • 19m at 0.61% V₂O₅ from 52m, including 6m at 0.88% from 65m
• VKA's Managing Director & CEO has lauded the results and commented on advancing the project forward

Viking Mines (ASX: VKA), which owns the Western Australia located Canegrass Battery Minerals Project, has informed that the maiden reverse circulation (RC) drilling at the project has returned thick-grade vanadium results. Notably, Viking's update mentions that the results include 12m at 1.06% V₂O₅ (Vanadium Pentoxide). Also, the magnitude of high-grade results are significantly higher when compared with the average Canegrass Inferred (JORC 2012) Mineral Resource grade of 0.64% Vanadium Pentoxide.

Source: VKA ASX announcement dated 18 April 2023

Viking Mines has also stated that there is rapid progress toward the major ~5,500 metre RC drilling program, which is due in the June quarter. 

Source: VKA ASX announcement dated 18 April 2023  

Shares soar 30%

Triggered by the update, VKA's ASX shares soared nearly 30% to trade at AU$0.013 midday on 18 April 2023.

Development

Viking has received assays from drilling works done at the Kinks South target, with observation of "massive” magnetite VTM mineralisation. This first limited drilling at the Project was carried out last month, and the program consisted of six holes (total depth of over 543 metres), with testing of two targets. The targets were Kinks South for Vanadium and Honey Pot West (Gold). The latter assays are pending.

Multiple rock chip samples previously had returned grades between 1.17% and 1.44% Vanadium Pentoxide. After this, the company had planned drilling at the target using the geological model. In the March 2023 drilling, Hole VCRC0006 intersected two zones of huge magnetite mineralisation. Notably, Viking Mines is targeting zones >0.8% Vanadium Pentoxide in view of the economic value.

Kinks South Conclusions

The Company has stated that the area defines "substantial" high-grade Vanadium Mineral Resource. The intercept at Hole VCRC0006 -- which has come out to be higher than the average Mineral Resource grade defined as on this day -- points toward the value of the target. There is also added potential for copper, nickel, and cobalt credits at Kinks South, which makes it a priority target with considerable Mineral Resource growth and discovery potential.

At Canegrass, Viking's activities over the near term would include assessing geochemical characteristics of the drilling database, finalising the JORC exploration target assessment, and completing metallurgical testwork planning, among other things.

Statement by Julian Woodcock

The Managing Director and CEO of VKA has lauded the recent development and commented that the drilling program has demonstrated "excellent first result". He is hopeful that Viking Mines can deliver a "substantial high grade Vanadium Mineral Resource", capable to rival other peers in the region. Julian Woodcock also noted the ongoing progress related to getting drill rigs on the ground during the current quarter to take the drilling program forward.