Naverberg VMS Project

The Naverberg VMS (Volcanogenic Massive Sulphide) Project is located within the highly endowed Zn-Pb-Ag-Cu-Au Bergslagen Mining District of Southern Sweden. It is located in close proximity to several world-class producing mines:

• Garpenberg (Boliden) - 168Mt@ 3.4% Zn, 1.6% Pb, 98g/t Ag, 0.3 g/t Au
• Zinkgruvan (Lundin Mining) - >50Mt @ 8% Zn, 3.5% Pb, 70g/t Ag
• Falun (Zetterqvist) (closed) - Produced 500kt Zn @ 5% Zn, 400kt Cu @ 0.6 to 4% Cu, 160kt Pb @ 2% Pb, 380t Ag @ 13 to 35g/t Ag and 5t of Au @ 0.5 to 4g/t Au over a millennium, ceased production in 1992

Key highlights of Naverberg include:

• Multiple walk up high-grade VMS drill targets
• High grades from historic mining at Skyttgruvan mine4 - (12.3kt Zn produced at 35 to 42% Zn and 1.3kt Cu) and remains untested below the historic mine (200m below surface)
• Untested targets with rock chips to 26.1% Zn, 8.8% Zn & 2.4% Cu
• Multiple untested gravity anomalies of a similar tenor to significant VMS deposits and mines in the region
• Little modern exploration

Project Location

The Naverberg Project is located within the prolific Bergslagen Mining District of southern Sweden, host to the world class Garpenberg (operated by Boliden 168.5Mt @ 3.4% Zn, 1.6% Pb, 0.3 g/t Au and 98g/t Ag) and Zinkgruvan (operated by Lundin, 46.9Mt @ 9.0% Zn, 2.0% Cu, 3.6% Pb, 78.7g/t Ag)2 deposits. The Naverberg project is immediately along strike from the Falun Mine, closed in 1992, which produced 28Mt of ore including 500kt of Zn @ 5.0% Zn, 400kt of Cu @ 0.6 to 4.0% Cu, 160kt Pb @ 2.0% Pb, 380t of Ag @ 13 to 35g/t Ag and 5t of Au @ 0.5 to 4.0g/t Au.

Exploration Opportunity 

• Multiple drill ready targets have been identified within the Naverberg project area <2km along strike to the West of the historic, high-grade, Falun Mine

Naverberg Project area target summary map over regional geology (refer to Annexure 1, table 3 for Grab Sample results).

Drill targets A to E are undrilled gravity anomalies defined by Golden Rim Resources (TSX) of a similar tenor to the Falun Mine area. Gravity was the only geophysical method that detected the main 60Mt Ore (Falun Mine) lens at the region's most significant mining area, Garpenberg. Targets A, B and C lie within Alicanto tenure within the 5km of untested target stratigraphy between Falun and Skyttgruvan mine4 (12.3Kt Zn produced @ 35 to 42% Zn and 1.3Kt Cu, closed in 1908).

In addition to multiple undrilled mineral occurrences with surface grab samples of up to 26.1% Zn and 2.4% Cu, the Skyttgruvan Mine, closed in 1908, represents an immediate high-grade, walk-up drill target with no drilling conducted to test the down plunge potential of the deposit:

Skyttgruvan Target summary, plan map and sections showing undrilled down dip potential of the historic Mine area.

Exploration Plan

Alicanto intends to explore the Naverberg Project Area in the next 12 months, undertaking data compilation, field mapping, and surface geochemical sampling ahead of proposed drilling in the second half of the year.