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Overview

In February 2020, District Metals entered into a purchase agreement with EMX Royalties Corp. (TSX-V:EMX) to acquire 100% ownership of the Tomtebo Property located in the prolific Bergslagen Mining District of South Central Sweden.  The Bergslagen is known for world class polymetallic mines such as Boliden’s Garpenberg and Lundin’s Zinkgruvan.  The size and scale of these mines has only been revealed within the last two decades through a better understanding of the associated polymetallic VMS/SedEx mineralizing systems, and through advances in drilling and mining technology.

Tomtebo is an advanced exploration property with the following highlights:

  • Tomtebo covers an area of 5,144 ha, and is located 175 km northwest from Stockholm in Sweden. 
  • The forest and agricultural lands within Tomtebo are well traversed with roads, railway, and power lines.  Sweden has numerous deep water ports, and five smelters are active in the Nordic region.
  • Boliden’s Garpenberg Mine is located 25 km to the southeast, and the historic Falun Mine is located 25 km to the northwest. Lundin’s Zinkgruvan Mine is located 175 km to the southwest.
  • Tomtebo contains the same host rocks, structure, alteration, and mineralization as the Garpenberg, Falun, and Zinkgruvan Mines.
  • Two historic mines, and numerous mineralized showings are situated along more than a 17 km trend on the property.  Mineralization at the historic Tomtebo and Lovas Mines appears to be open in all directions.
  • Modern systematic exploration has never been carried out on the Tomtebo Property.

Figure 1: Location Map

Figure 1: Location Map

Figure 2: Property Map

Figure 2: Property Map

Bergslagen Mining District

The Bergslagen District is composed largely of supracrustal rocks dominated by felsic metavolcanic successions with limestones and calcsilicates, along with pre- to post-tectonic intrusive rocks located in south central Sweden.  The region was folded and metamorphosed to upper amphibolite facies during the Svecofennian orogeny (1.9 to 1.8 Ga).

The district hosts thousands of mineral occurrences, including polymetallic Zn-Pb-Ag-Cu-Au sulphide and iron oxide deposits, Fe oxide skarn, banded iron formation, Fe oxide apatite, Mn oxide, and subordinate granite-pegmatite–hosted molybdenite and W skarn deposits1.

Figure 3: Bergslagen Mining District

Figure 3: Bergslagen Mining District

Table 1: Bergslagen District Production, Reserves, and Resources

Mine/Deposit Tonnage of Production, Reserve, or Resource with Grades
Falun Mine1 28.1 Mt Production at 2–4% Cu, 2-4 g/t Au, 4% Zn, 1.5% Pb, 13–25 g/t Ag
Garpenberg Mine2 54.4 Mt Production at 134 g/t Ag, 4.9% Zn, 2.1% Pb, 0.3 g/t Au
Garpenberg Mine2 74.8 Mt P&P at 96 g/t Ag, 3.1% Zn, 1.4% Pb, 0.3 g/t Au, 0.05% Cu
Garpenberg Mine2 44.3 Mt M&I at 90 g/t Ag, 2.8% Zn, 1.3% Pb, 0.4 g/t Au, 0.05% Cu
Garpenberg Mine2 24.1 Mt Inferred at 59 g/t Ag, 2.6% Zn, 1.5% Pb, 0.4 g/t Au, 0.07% Cu
Tomtebo Mine3 0.12 Mt Production at 4.4% Cu
Lovas Mine4 0.33 Mt Production at 3.5% Zn, 2.5% Pb, 30g/t Ag
Zinkgruvan Mine5 19.3 Mt Production at 9.9% Zn, 4.0% Pb, 84 g/t Ag
0.9 Mt Production at 2.0% Cu
Zinkgruvan Mine5 11.9 Mt P&P at 7.9% Zn, 2.9% Pb, 63 g/t Ag
Zinkgruvan Mine5 5.2 Mt P&P at 1.8% Cu, 0.2% Zn, 26 g/t Ag
Zinkgruvan Mine5 15.7 Mt M&I at 9.3% Zn, 3.7% Pb, 84 g/t Ag
Zinkgruvan Mine5 5.0 Mt M&I at 2.3% Cu, 0.3% Zn, 32 g/t Ag
Zinkgruvan Mine5 9.4 Mt Inferred at 8.5% Zn, 3.5% Pb, 81 g/t Ag
Zinkgruvan Mine5 0.2 Mt Inferred at 2.3% Cu, 0.3% Zn, 25 g/t Ag
Sala Mine1 5.0 Mt Production at 150-3000 g/t Ag, 12% Zn, 1.5% Pb
Stollberg (Gransgruvan Mine)6 6.7 Mt Production at 7.7% Zn, 2.6% Pb, 60 g/t Ag
Stollberg (Tvistbo Mine)7 0.58 Mt Production at 3.3% Zn, 2.6%, 22 g/t Ag
Saxberget Mine3 6.43 Mt Production at 42.2 g/t Ag, 0.4 g/t Au, 0.9% Cu, 2.2% Pb, 7.1% Zn
Lovisagruvan Mine8 1.15 Mt Production at 9.4% Zn, 5.3% Pb, 10-20 g/t Ag

Historical Work

Mining on the Tomtebo Property can be traced back to the mid-seventeenth century.  Two historic mines, and numerous mineralized prospects are situated along more than a 17 km trend on the property.  Historic production at the Tomtebo Mine comprised 120,000 tonnes at 4.4% Cu3, and historic production at the Lovas Mine comprised 330,000 tonnes at 3.5% Zn, 2.5% Pb, and 30g/t Ag4.  Mining depths reached down to approximately 200 m, and based on available cross sections and long sections, mineralization at the historic Tomtebo and Lovas Mines appears to be open in all directions. Comparatively, mining operations at Boliden’s Garpenberg Mine and Lundin’s Zinkgruvan Mine are currently at depths of 1250 m and 1200 m, respectively.

State owned Stora AB (Stora) conducted development drilling in the 1960’s and 1970’s from exploration drifts at the 200 m level that was used to estimate a historic resource in 1983 from surface to 200 m depth at the historic Tomtebo Mine comprised 385,000 tonnes grading 0.67% Cu, 1.84% Pb, 3.72% Zn, 0.66 g/t gold, and 55 g/t Ag9District Metals cautions that a Qualified Person has not done sufficient work to classify the historic resource above as current mineral resources or mineral reserves.  District Metals is not treating this historic resource as relevant, and the historic resource should not be relied upon. District Metals considers these results as indications of the presence of mineralization on the property, and will use the information to guide future exploration, but the reader is cautioned not to rely on this historic resource.

The Oscarsgruvan zone is situated at the north end of the Tomtebo Mine, and is dominated by silver-zinc-lead mineralization with lesser copper-gold mineralization.  The holes highlighted in Figures 4 and 5 accompanied by Table 2 below show strong mineralization associated with semi-massive and massive sulphides over a dip extent of 200 m and strike extent of 170 m that remains open.

Figure 4: Plan View of Tomtebo Mine

Figure 5: Long Section Facing South from North End of Tomtebo Mine

Table 2: Oscarsgruvan Zone Historical Drill Results

Drill Hole Depths and Interval Historical Assay Results
Hole ID Azimuth Dip Hole Type From (m) To (m) Interval (m) Ag (g/t) Au (g/t) Cu (%) Zn (%) Pb (%) AgEq (g/t) ZnEq (%)
TOMT65001 127 -60 Surface 113.90 118.57 4.67 199.84 0.88 0.25 13.64 6.93 1,086.93 28.03
TOMT65002 167 -65 Surface 116.35 120.80 4.45 195.11 0.55 0.05 7.80 3.00 665.28 17.16
        196.80 206.86 10.06 33.50 0.29 0.56 0.15 0.01 127.28 3.28
TOMT72005 216 58 Underground 31.34 33.36 2.02 183.00 0.40 0.10 9.70 3.90 746.31 19.25
        35.33 43.45 8.12 87.86 0.57 0.13 5.82 3.33 503.26 12.98
TOMT70016 293 0 Underground 20.70 25.46 4.76 24.00 0.40 0.02 13.72 1.34 648.12 16.72
      Underground 30.10 43.40 13.30 na na 0.06 14.39 1.94 na 16.24
TOMT43002 83 -66 Surface 41.70 47.90 6.20 na na 0.19 11.22 5.16 na 16.25

Notes:

  • True widths of the reported mineralized intervals have not been determined
  • Metal prices used in USD for metal equivalent calculations were based on $15.00/oz for Ag, $1650/oz for Au, $2.15/lb for Cu, $0.85/lb for Zn and $0.75/lb for Pb
  • AgEq equals = Ag g/t + (Au g/t × 110) + (Cu% × 98.286) + (Zn% × 38.857) + (Pb% × 34.286)
  • ZnEq equals = Zn% + (Ag g/t × 0.0257) + (Au g/t x 2.831) + (Cu% × 2.529) + (Pb% × 0.882)
  • Metal equivalent calculations assume 100% recoveries
  • na - not assayed
  • These drill results are historical in nature. District has not undertaken any independent investigation of the sampling nor has it independently analyzed the results of the historical exploration work in order to verify the results. District considers these historical drill results relevant as the Company will use this data as a guide to plan future exploration programs. The Company also considers the data to be reliable for these purposes, however, the Company's future exploration work will include verification of the data through drilling.

Stora operated the Falun Mine located 25 km to the northwest of Tomtebo, and the Swedish Geological Survey reported that the intention of Stora’s development drilling at the historic Tomtebo Mine was to bring it into production after the closure of the Falun Mine.  Stora’s plans to develop the Tomtebo Property in 1990’s were abandoned due to a shift in business focus to forestry.

Recent Exploration Work

In 2006, approximately 20% of the Tomtebo Property was flown with SkyTEM (airborne electromagnetic survey), which at that time only had a depth penetration of approximately 200 m.  The 2006 SkyTEM survey and a 2007 Induced Polarization (IP) survey was coincident with mineralization at the historic Tomtebo Mine at shallow depths, and also identified sub-parallel untested conductive anomalies. 

In 2011, confirmatory drilling was conducted at the historic Tomtebo Mine with two shallow holes (less than 200 m deep each).  Multiple untested projections of striking, dipping and plunging mineralization, and untested mineralized showings and conductive anomalies remain on the property.

References:

1 Allen, R.L., Lundström, I., Ripa, M., and Christofferson, H., 1996, Facies analysis of a 1.9 Ga, continental margin, back-arc, felsic caldera province with diverse Zn-Pb-Ag-(Cu-Au) sulfide and Fe oxide deposits, Bergslagen region, Sweden: Economic Geology, v. 91, p. 979–1008.
2https://www.boliden.com/globalassets/operations/exploration/mineral-resources-and-mineral-reserves-pdf/2019/resources_and_reserves_garpenberg_2019-12-31.pdf
3 Ed. Eilu, Pasi, 2012, Geological Survey of Finland, Special Paper 53, Metallogenic areas in Sweden.
4 Geological Survey of Sweden report grb_097, 1997.
5 Daffern, T., Ellis, R., King, P., Richardson, S., Glucksman, E., Beveridge, A., 2017, NI 43-101 Technical Report for the Zinkgruvan Mine, Sweden, Wardell Armstrong International.
6 Raat, H., Jansson, N.F., and Lundstam, E., 2013, The Gränsgruvan Zn-Pb-Ag deposit, an outsider in the Stollberg ore field, Bergslagen, Sweden: Geology Applied to Mineral Deposits, Biennial Meeting, 12th, Uppsala, Sweden, August 12–15, 2013, Proceedings, p. 12–15.
7 Kopparberg Mineral (unpub. annual report, 2012)
8 Jansson, N.F., Sädbom, S, Allen, R.L, Billström, K, Spry, P.G., 2018, The Lovisa Stratiform Zn-Pb Deposit, Bergslagen, Sweden: Structure, Stratigraphy, and Ore Genesis: Economic Geology (2018) 113 (3): 699–739.
9 Technical Report on Tomtebo Mine, Birger Hellegren, 1983.

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