On October 21, 2019, ALX announced the acquisition of mineral claims prospective for copper-zinc-gold-silver mineralization at its 100%-owned Draco VMS Project located in the Grong district of central Norway. The Company staked 10 claims totaling approximately 5,959 hectares in May 2019 following its study of surface mineral showings integrated with historical airborne survey data, which identified trends that could represent zones of volcanogenic massive sulfide (“VMS”) style mineralization.
Norway’s mineral endowment lies within the Fennoscandian Shield, which shares a similar geology and metallogeny with ancient shields in Canada, Australia, Brazil and South Africa. Mining from massive sulphide deposits in Norway dates back to the 17th century – examples include the giant, world-class Løkken deposit (Cyprus-type VMS, 24 million tonnes mined producing 552,000 tonnes of copper and 432,000 tonnes of zinc with up to 0.2 g/t gold and 16 g/t silver), and the Røros district (mining of twelve deposits produced 175,000 tonnes copper and 275,000 tonnes of zinc with significant silver from 6.5 million tonnes) and Folldal district (mining of four deposits produced 60,900 tonnes copper and 115,200 tonnes of zinc from 4.45 million tonnes) over more than 300 years (Geological Survey of Finland, Special Paper 53, 2012). The closure of the Joma Mine in 1998, located near ALX’s Valkyrie property, ended an era of more than 350 years of base metals mining in the Scandinavian Caledonides.