Could This Metals Co. Have a Massive Sulfide Zone?

Source: Michael Ballanger 06/21/2024

Vortex Metals Inc.'s VMSSF stock traded 5.3 million shares yesterday as the block held by the estate of a recently deceased director was mostly absorbed with less than a handful of orders. The balance of the block will be cleaned up at the opening, after which you can expect a series of news releases with one critical and very strategic appointment that could change the entire face of Vortex, the company.

To refresh the memory banks, Illapel is a Chilean project located next to the Rio-27 mine (upon which VMS has a ROFR), which is estimated to contain 6.2m tonnes of 1.37% Cu. Initial sampling at Illapel has confirmed similar grades emanating from structures similar to what is occurring at Rio-27. Drilling is expected to begin in August (at the very latest) with an initial 2,000-meter program in two copper-bearing targets and one gold anomaly as their Phase One initiative.

Lurking in the background for VMS are two wonderful targets located in Oaxaca, Mexico — Riqueza Marina and Zaachila, both high-octane "VMS" targets. "VMS" is known throughout the mining industry as a short-from for "volcanogenic massive sulfides" typically the largest and richest ore bodies on the planet. As an example, the Kidd Creek Mine in Timmins, Ontario, is the most famous and is still producing some sixty years after the initial discovery was made in 1963.

One of the characteristics of the Kidd discovery was the presence of andesites and rhyolites, two key pathfinder minerals known to be common to VMS deposits. At Vortex's Riqueza Marina project, a huge rhyolite dome sits directly above a massive magnetic anomaly that can be one of two things: either a zone of worthless pyrite or massive sulfides. Given the presence of rhyolite, my guess is that it is a massive sulfide zone. And given the size of the anomaly, it could be huge.

Now, the problem has been for the past couple of years that the populist movement in southern Mexico has empowered the local communities to take an adversarial stance with regard to foreign mining companies (like Vortex), but with recent increases in unemployment and the newly-elected president and her centrist-vs.-populist leanings, it is felt that community agreements are imminent for both Zaachila and Riqueza Marina. So, with Illapel in the forefront and the two Mexican assets as backup (with Riqueza as the "dark horse"), Vortex is now moving quickly to the head of the GGMA list as a possible first mover.

Buy Vortex at the $0.15 limit. (last at $0.105)

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1. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Vortex Metals Inc.
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