Nevado Resources Corporation

Nevado Resources Corporation

January 18, 2010 08:38 ET

New Airborne Geophysical Survey, Lineament Study and Field Reconnaissance Confirm the Potential to Host Precious Metals and Base Metals...

... at the Nicolet Au-Cu-Ag Property in The Thetford Mines Region of Southern Quebec

MONTREAL, QUEBEC--(Marketwire - Jan. 18, 2010) - Nevado Venture Capital Inc. (TSX VENTURE:VDO) (the "Company" or "Nevado") is pleased to update shareholders on results from the 2009 exploration campaign completed on the 155 permits / 86.7 km2 Nicolet Au-Cu-Ag Property (the "Property") by the Vendor as reported in the National Instrument 43-101 Technical Report (the "43-101 Report") for the Property dated November 15, 2009, and available on SEDAR ( under the Company's filed documents. The Property is located 30 km southwest of the mining town of Thetford Mines, situated adjacent to the southernmost segment of the Thetford Mines Ophiolitic Complex, some 200 km northeast of Montreal (Quebec).


Thetford Mines is located in the Eastern Townships of southern Quebec and has a century long history of mining. Early prospecting and exploration in the area was generally for gold (in placers) starting in 1835, followed by copper and chromite. The Property was principally worked for precious and base metals by a number of individuals and companies since the beginning of the 20th century right up until the 1960's. The work included prospecting, grab sampling, trenching, limited diamond drilling and artisanal mining.

The Property host several historical gold showings. Heavy mineral survey in the area, done by the Geological Survey of Canada in 1986, yielded to several high gold values including one sample grading 261g/t Au (GM 46238 et CGC, 1986, Open File no 1332). Historical grab samples yielded up to 4,29 g/t Au (MB 87-39, MRNF).


The Property is located in southern Quebec's Cambrian (544 Ma to 500 Ma) and Ordovician (500 Ma to 440 Ma) rocks of the Appalachian Orogen that extend from the Gaspe Peninsula in the northeast of the province southward to Alabama in the USA. The southern Quebec Appalachians comprise three lithotectonic assemblages of rocks: the Cambrian-Ordovician Humber and Dunnage zones that include the Property, and the Silurian (440 Ma to 410 Ma) and Devonian (410 Ma to 360 Ma) granites and sediments located south of the Guadeloupe Fault. The Humber Zone represents the vestiges of a continental margin sequence, while the Dunnage Zone is an assemblage of oceanic terrains. The contact between the Humber and Dunnage zones is a loosely defined linear zone of serpentinites and ophiolites, which includes the Thetford Mines Ophiolite Complex (the "TMOC").

The Property sits in pillowed basalts, red argillites, pyroxenites and gabrros, volcanic breccias, greywackes and quartz-feldspar-chlorite-muscovite-garnet schists of the Caldwell Group to the northwest; and melanges-type sedimentary and volcanic breccias of the St. Daniel Formation to the southeast. The lithologies are oriented northeast-southwest subparallel to the major fault bounding the TMOC to the northwest and the Caldwell Group to the southeast. The pillowed basalts are known to host Cyprus-type massive sulphides in lenses, veins and veinlets with accompanying silicification and chloritization. Previous work by Finneth Explorations Inc., from 1987 to 1989, had confirmed the presence of copper and zinc with grades between 0.05% and more than 1.2% over 1.5 m lengths.

2008-2009 exploration work and results

As reported in the 43-101 Report, the Vendor completed a compilation-synthesis of the historical data and an evaluation of the Property's metal potential; lithological, lineament and structural studies using satellite imagery; prospecting and a helicopter-borne geophysical survey covering magnetics and electromagnetics. The work essentially confirmed the earlier historic work in the region and uncovered a number of priority targets for further investigations.

The mineralization consists of chalcopyrite stockworks with associated silicified and chloritized alteration halos. The alteration zones are characterized by Ca and Na depletion and Mg and Fe enrichment. Mineralized breccia zones occur at the base of the massive sulphide orebody and are gradational with the main stockwork deposits; carbonate and potassic alteration are associated with the massive sulphides. The copper-bearing quartz stockwork parallels the regional schistosity.

A structural-geological study defined high potential exploration targets. More than 90% of the showings in a 600 km2 area around Thetford Mines are strongly correlated with the intersection of major ductile structures along geological contacts (competencies contrasts). Mineralization is also well correlated with NE deformation zones. Three major target groups were outlined. Top Priority Regional Targets were depicted by northeast-southwest deformation zone, either the intersection of major ductile faults and lithological contacts. Major Regional Targets were depicted by northeast-southwest deformation zone, intersection of major ductile faults (or lithological contacts). Other Regional Targets and Major Targets were depicted by deformation zone, intersection of major ductile faults (or lithological contacts). It was concluded that the potential of finding significant base and precious metals mineralization was high on the Property.

The residual total magnetic field and first vertical derivative field maps from the helicopter-borne geophysical survey show a series of northeast-southwest trending magnetic highs likely depicting the ultramafic and mafic components of the TMOC on the Property; whereas the pervasive magnetic low to the southeast likely corresponds to the siltstones and wackes of the Beauceville Formation. The boundary between the two major units runs within the Property. The total field EM (VLF) and secondary field EM (VLF) quadrature signatures depict a number of east-west and northeast-southwest conductive lenses and linears in the TMOC units, apparently linked to the mafic vocanics component. The TMOC - Beauceville Formation contact is visible, as with a distinct north-south linear cutting the Property in half.

The distinct northeast-southwest lithological fabric shown by the magnetic trends contrast significantly with the more east-west of the electromagnetic EM (VLF) trends. It appears the series of easterly trending linears are possibly linked to overprinting structural features.

Potential and the 2010 proposed exploration program

The Property has the potential to host gold and massive sulphide (copper-zinc-lead-gold) mineralization.

The 43-101 Report recommends a two-phased exploration program. Phase 1 ($0.20M) to prioritize targets for a follow up Phase 2 Mineral Resource delineation ($1.25M).

About Nevado Venture Capital Inc.

Nevado is a mineral exploration company listed under the symbol VDO on the TSX Venture Exchange. Nevado owns five (5) properties comprising 764 mining permits in the Province of Quebec.

Other gold-copper-silver properties in the Thetford mines area include the Chester and Harvey Hill which comprise a total of 53 mining permits. The Chester Property consists of 39 permits for 19.91 km2 and the Harvey Hill Property consists of 25 permits for 5.6 km2.

In 2010, Nevado plans on compiling and synthesizing the historic data from both Harvey Hill and Chester, as well as initiating prospecting, geological mapping, sampling and assaying of main target areas including the known occurrences to confirm/validate the historic work.

Moreover, Nevado has 25 permits /13.6 km2 La Blache Property 1 (La Blache 1) located north of the city of Baie-Comeau and 548 permits/301.4 km2 La Blache Property 2 (La Blache 2) that sits peripheral to La Blache1. Historic work in the 1950's and 1960's in the LBAC evaluated four mineralized lenses containing a historical mineral resources of 71.67 million tonnes grading 48% Iron and 20.5% Titanium (TiO2) along a 15 km long trend (MRNFQ Deposit File 22K/04-0001). La Blache 1 covers approximately half of the favourable and prospective trend. At this time it is not known if any or part of the historical mineral resources occurs on La Blache 1.

In 2010, Nevado plans a minimum work program to cover a geological and historic exploration works compilation and synthesis, field reconnaissance visits and a property perimeter survey at La Blache 1 and 2.

The historical resource quoted is strictly historical in nature and is non-compliant to NI 43-101 Mineral Resource standards, and should therefore not be relied upon. A Qualified Person has not done sufficient work to classify the historical resource as current NI 43-101 compliant Mineral Resources. There is no guarantee that any future exploration would upgrade the historical Mineral Resources into current Mineral Resources.

The technical information has been prepared, revised and approved by Mr. Bertrand Brassard, M. Sc., P. Geo., a Director of Nevado and a Qualified Person under NI 43-101 standards.

Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release. The statements made in this news release that are not historical facts are "forward-looking statements" and readers are cautioned that any such statements are not guarantees of future performance, and that actual developments or results, may vary materially from those in these "forward-looking" statements.

Contact Information

  • Nevado Venture Capital Corporation
    Guy Girard
    President and CEO
    Nevado Venture Capital Corporation
    Bertrand Brassard
    Senior Geologist