BURLINGTON, ONTARIO -- (Marketwire) -- 02/11/13 -- Green Swan Capital Corp. ("Green Swan") (TSX VENTURE: GSW) announces the first results from two recent downhole geophysical surveys completed at its 100% owned Geneva Lake Property ("Geneva Lake" or the "Property"). These surveys and the diamond drill program form Phase 1 of exploration at Geneva Lake. The results from this survey, explained more technically below, indicate to management that base metal mineralization is present on the Property and in proximity to the drill holes, and that further exploration is warranted.
History - Former Producer
The Property consists of four road-accessible claims in the Benny Greenstone Belt in Hess Township north of Sudbury, Ontario. The former Geneva Lake Mine (Pb-Zn-Ag) is located on these claims, which mine produced 80,588 tons of ore with a grade of 3.34% lead and 9.21% zinc from 1941 to 1944 (see OGS report 206, Geology of the Benny Area). Historic data from that period (which data is not NI 43-101 compliant and cannot be relied upon) suggests that high grade base metal mineralization (approximately 44% combined Pb + Zn) may be found at the Property.
A later report on the Geneva Lake Polymetallic Deposit by Constable (1989) describes the mineralization as a stratabound massive sulfide deposit that, "...strikes southeasterly, dips south at 45 degrees to 50 degrees and rakes to the southeast at 45 degrees. The ulfides zone is conformable to the stratigraphy and on surface has been traced along a 700 foot strike length. Sulfide widths vary from 2 to 20 feet with an average width of 5 feet." Sulphide mineralization, having an average combined grade of 13%, was reported to be generally massive with distinct banding parallel to bedding planes in the host strata.
On February 4, 2013 Green Swan released the results of its first diamond drill program at Geneva Lake. The two main goals of this program had been to make an initial assessment of base metal mineralization remaining underground in proximity to the historic underground workings, and to help locate such workings relative to surface. To help achieve those goals, two downhole geophysical surveys were conducted in the bore holes left by the diamond drill program.
Green Swan's Earthprobe Survey
Green Swan's first downhole survey was an Earthprobe Borehole Resistivity and Induced Polarization (DCIP) survey, completed on drill-holes DDH-001 to 003 in early December, 2012. Vertical profiles (VP) and borehole to borehole tomographic image data were collected.
The Earthprobe survey appears to have documented lithological correlations between the three holes, together with interpreted correlation of mineralized intervals between DDH-001 and 003. These results appear to agree with the limited sub-surface information available for the Geneva Lake Mine in that the sub-surface workings appear to extend from a point north of DDH-003 west-northwest toward DDH-001. In addition, the mineralization documented in the drill core is markedly lower than that indicated in some historical sections, suggesting the holes possibly cored the mineralized halo to higher grade mineralization.
The results of the Earthprobe survey appear to confirm the description from Constable's report. Tomographic data are interpreted to show connectivity of resistive mafic volcanics across the three drill holes. An intermediate to felsic, intrusive to volcanic sequence in the upper 200 m of DDH-003 appears to correspond to a dominantly intermediate to felsic volcanic sequence in the upper 120 m of DDH-002. In addition, this unit is interpreted to extend to the upper 100 m in DDH-001.
A chargeability high was identified between 50 and 120 m downhole at a distance greater than 20 m in DDH-001 and beyond 10 m distant above 280 m depth in DDH-002. Tomographic imaging between holes DDH-001 and 002 is interpreted to indicate continuity of this chargeability anomaly, which appears strongest at DDH-002 and weakens about 25 m away from DDH-001. Imaging between DDH-002 and 003 suggests this chargeability anomaly connects to two small chargeability highs imaged near the base of DDH-003 at 280 m and between 220 and 240 m depth. This chargeability anomaly is interpreted to have a lithological control.
Both Vertical profile and Tomographic data are interpreted to indicate the mineralization identified in DDH-001 extends toward, and may correlate to intervals in DDH-003. Two mineralized zones intersected in DDH-001, between 80 - 105 m and 120 - 145 m downhole, are interpreted to extend approximately 50 m towards DDH-003, but do not appear to show any appreciable extent towards DDH-002. Sphaleritic (ZnS) mineralization identified in the drill core between 95 and 105 m in DDH-001 appears to extend approximately 50 m towards DDH-003. A second mineralized interval, comprised of Pb (to 2,680 ppm) and Zn (to 9,600 ppm), between 121 and 145 m is interpreted to correspond to a narrow, intermittent resistivity low/ chargeability high on the tomographic data that appears to extend toward DDH-003, at a corresponding elevation between 250 and 275 m. This anomaly in DH-003 is strongest within the hole and appears to extend up to 30 m toward DDH-002.
With respect to future surface and/or downhole geophysics, the Earthprobe report reads in part, "The size and extent of mineralization zones within the mafic volcanics can be imaged by the IP (Induced Polarization) method due to a resistivity contrast between the mineralization and the host rock; mineralization within the intermediate and felsic units is not reliably imaged due to a lack of resistivity contrast."
Next Steps at Geneva Lake
Green Swan also conducted a Crone downhole survey, which results are expected to be delivered to Green Swan in the near future. Management expects that these results should assist in identifying the presence of base metal mineralization with greater certainty. Green Swan will then be able to plan the next phase of exploration.
The content of this news release has been reviewed by Rick Walker, B.Sc., M.Sc., P. Geo., a Qualified Person for the purposes of NI 43-101, with the ability and authority to verify the authenticity and validity of the data herein.
This news release may include statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Green Swan cautions that actual performance will be affected by a number of factors, many of which are beyond its control. Future events and results may vary substantially from what Green Swan currently foresees.
Discussion of the various factors that may affect future results is contained in Green Swan's recent filings, available on SEDAR. Green Swan assumes no liability for repeating or referring to any facts, statements, releases, data or reports disseminated by any other issuer. Any reference to any other issuer should be cross-checked for accuracy and context by the reader.
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 release.
Green Swan Capital Corp.
Peter M. Clausi
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