VML- Vital Metals

[SCHUMACHER]

BUY recommendation for VML - "drilling results have been highly encouraging, including: 5m at 60.36g/t gold from 75m" - this was a few years ago and now that gOLD is recovering significantly they are now back drilling as of last week so great opportunity

Gold opportunity !- thought this spec deserved its own thread because it could be a BIG opportunity to get into a GOLD company that has strong BUY recommendations - VML also have a "ready to go" advanced Watershed Tungsten Project in far north Queensland, Australia, where a Definitive Feasibility Study has defined a robust development opportunity, in Australia also with Gold prospects -
The Tungsten operation is ready to flick the switch with all BFS/PFS complete and mining licences ready to go once Tungsten prices recover which they are starting to turn up - this is an asset that Breakaway resources value at 13c share without their current GOLD prospects - current share price 1.9c so think this is a opportunity to get in nice and early and make some good money

READ ON ....
http://resourcesrisingstars.com.au/infopage/8808


More information on recent strikes :)
A great spec play right now is VML - they are now drilling the Kollo Gold project with a 6km strike zone and previously high grade gold hits

The current drilling company now onsite and they took up shares instead of cash based on their knowoedge with the neighbouring property that WAF WEST AFRICAN RESOURCES had huge success and high grades - watch this space


EVENT
 Drilling is set to recommence (DRILLING STARTED 5 DAYS AGO) at Vital Metals Limited’s (ASX: VML) exciting Kollo Gold Project in Burkina Faso.
o o o o
 Past RC o
o o o
Planned 20 hole, 2,000m reverse circulation (RC) drilling program will commence this month
Testing of infill and extensional targets around existing high‐grade intercepts
Targets are shallow and potentially exploitable by open cut mining
Program expected to last around three weeks, with initial assay results available around end of August
drilling results have been highly encouraging, including: 5m at 60.36g/t gold from 75m
18m at 2.95g/t gold from 37m
4m at 18.71 g/t gold from 76m
15m at 17.78g/t gold from 105m
 Drilling of the Kollo Shear Corridor has demonstrated that gold mineralisation is variably developed over a strike of at least 4km.
o A combination of geophysical interpretation and shallow auger drilling is being utilised to identify potential mineralised extensions in low lying areas masked by transported soil cover
o Recent auger drilling has extended the potential strike of the prospective shear corridor to at least 6km
o Interpretation of airborne magnetic data indicates strong potential for further strike extensions
COMPANY BACKGROUND
Vital Metals Limited (ASX: VML) is an explorer and developer that is actively advancing three highly prospective projects:
 the advanced Watershed Tungsten Project in far north Queensland, Australia, where a Definitive Feasibility Study has defined a robust development opportunity,
 the Aue Tungsten Project in Saxony, Germany located in a renowned mineral district, and
 the Doulnia Gold Project in southern Burkina Faso, West Africa, which includes the Kollo Gold Project.

[SCHUMACHER]

http://www.aspectfinancial.com.au/docserver/01759815.pdf?fileid=01759815&datedir=20160725&edt=MjAxNi0wOC0wMSsxMTo0ODo0MisxMjArNjEyMDg3ODIrZX RyYWRleG1sK3JlZGlyZWN0Ky9pbWFnZXNpZ25hbC9lcnJvcnBh Z2VzL0V0cmFkZVBERlRpbWVvdXQuaHRtbCsvaW1hZ2VzaWduYW wvZXJyb3JwYWdlcy9wZGZkZWxheWVkLmpzcA==&popup=true

VITAL COMMENCES WEST AFRICAN GOLD DRILLING CAMPAIGN ( drilling started 1 week ago)

RC and diamond drill program underway at high-grade Kollo Gold Project, Burkina Faso
Key Points:
 Diamond drill rig on site and operating.
 ~2,000m of RC drilling planned to in-fill and extend previous highgrade
intercepts including:
 5m at 60.36g/t Au from 75m (including 2m at 128.5g/t)
 31m at 3.19g/t Au from 34m
 15m at 7.78g/t Au from 105m
 ~500m of diamond drilling planned.

Vital Metals Limited (ASX: VML) is pleased to advise that drilling has commenced at its 100%-owned Kollo Gold Project in Burkina Faso, West Africa to in-fill and extend known high-grade gold mineralisation.

A diamond drill rig is currently on site and commenced drilling operations on the weekend. The Reverse Circulation (RC) rig has received all of the import permits and is expected to be mobilised pending a final physical
inspection.

The Kollo Gold Project is located in the heart of one of West Africa’s most prolific gold districts, a region that is attracting growing attention due to recent exploration success and corporate consolidation activity.
Kollo is located approximately 50km west of the producing Youga mine that was purchased in February 2016 for US$25 million by MNG Gold.
MNG Gold also recently completed the purchase of the high-grade Balogo project, located to the east of Kollo.
To the north, on the Markoye fault corridor, West African Resources’ (ASX: WAF) Tanlouka Gold Project has been returning outstanding grades, including 32m at 5.02g/t gold from 2m and 8m at 31.78g/t gold
from 58m.

Announcement below from "The Australian"

https://www.vitalmetals.com.au/wp-content/uploads/TheAustralianGoldInvestorsSeeTrumpandClintonasMone yforJam.pdf

[SCHUMACHER]

FYI - 60 MILLION SHARES TRADED a few weeks ago with the VWAP at 2.3c :) i suspect its ready for next run with gold drilling now underway over past 7 days - THIS IS A HIGHLY PROSPECTIVE GOLD corridor with a reported 6KM STRIKEZONE

Please refer to INVESTOR PRESENTATION IN APRIL 2016

http://www.aspectfinancial.com.au/docserver/01732205.pdf?fileid=01732205&datedir=20160419&edt=MjAxNi0wOC0wMSsxMjowMDowMSsxMjArNjEyMDg3ODIrZX RyYWRleG1sK3JlZGlyZWN0Ky9pbWFnZXNpZ25hbC9lcnJvcnBh Z2VzL0V0cmFkZVBERlRpbWVvdXQuaHRtbCsvaW1hZ2VzaWduYW wvZXJyb3JwYWdlcy9wZGZkZWxheWVkLmpzcA==&popup=true

GLTA and DYOR

[SCHUMACHER]

As I was writing the last post - i notice today VML they have released a new Investor presentation 12 minutes ago entitled- Ready to rise: drilling for gold in Burkina Faso
:D

looks excellent so here it is :

http://www.aspectfinancial.com.au/docserver/01763207.pdf?fileid=01763207&datedir=20160801&edt=MjAxNi0wOC0wMSsxMjowOToyMysxMjArNjEyMDg3ODIrZX RyYWRleG1sK3JlZGlyZWN0Ky9pbWFnZXNpZ25hbC9lcnJvcnBh Z2VzL0V0cmFkZVBERlRpbWVvdXQuaHRtbCsvaW1hZ2VzaWduYW wvZXJyb3JwYWdlcy9wZGZkZWxheWVkLmpzcA==&popup=true

HIGHLIGHTS Major drilling program underway at Kollo Gold Project, Burkina Faso
 Previous drilling has returned bonanza hits including:
 5m @ 60.36g/t Au from 75m;
 4m @ 18.71g/t Au from 76m.
 Major gold system with drilling to in-fill and extend known mineralisation
 Outstanding growth potential – strong pipeline of gold targets in Burkina Faso
 Located in the heart of a world-class gold province – multi-million ounce
potential
 Ausdrill Alliance to fast track exploration drilling in Burkina Faso*
 Significant future upside from development of Watershed Tungsten Project
 Strong re-rating potential from a low enterprise value of ~A$11M as gold
exploration delivers

[shasta]

Presentation obviously a precursor to a capital raising, i note they have some debt as well, i'm watching but ill wait and see the terms of the capital raising and the inevitable overhang, may get in cheaper post raising...

[SCHUMACHER]

Presentation obviously a precursor to a capital raising, i note they have some debt as well, i'm watching but ill wait and see the terms of the capital raising and the inevitable overhang, may get in cheaper post raising...

Not at all- Todays Presentation is NOT a precursor to a capital raising - you just made that up - they have $1.7 million in cash so fully funded - even the drilling company bought shares in this company :D

Therefore what capital raising are you talking about ? the recent rights issue is done and dusted and they have plenty of cash - refer slide 12 stating they are fully funded :)

Macquarie extended terms for another 12 months recently so all good Shasta

their Tungsten assets + GOLD currently worth 15c based on Breakaway Resources recent report- they only trading at a fraction of their value------
Basically they are well below their enterprise value- also good to see GOLD up again today !!!

[shasta]

My bad, id been reading the previous presentation which stated just 0.5m cash. Interesting company, share price doubling would still be sub 25mcap.

Might join you on this one

[SCHUMACHER]

Hey Shasta- no problem - keeping it real - think we may break 2c today - as always time will tell - getting interesting :)

[SCHUMACHER]

One sniff of a successful drill campaign or a hint of similar previous grades(refer below) , or perhaps the guy currently drilling lifts his head and gives someone the thumbs up, they then call their mate in Australia who logs on to their share trading account and buys up - i b***** hope not , thats insider trading folks and those sorts of shenanigans dont happen anymore right ? LOL :D
..........give us more of this below and she will fly and 2c will look ridiculously cheap - holding well at 1.9c/2c

HIGHLIGHTS Major drilling program underway at Kollo Gold Project, Burkina Faso
 Previous drilling has returned bonanza hits including:
 5m @ 60.36g/t Au from 75m;
 4m @ 18.71g/t Au from 76m.
 Major gold system with drilling to in-fill and extend known mineralisation

momentum traders playing around current levels and usually cap it before the next run up - looks like there are a few lining up to buy at 1.9c before the drill results come out - should be good to watch :)

[SCHUMACHER]

Just checked bollinger bands still at 20.2 so a bit more tightening would be good - breakout one day- been some great accumulation over past week at 1.9c :)
market is very slow today- hard to know with speccy stocks - - hope thats not the case and we can hold at 1.9c

Expect another 2 weeks of drilling then core samples sent to lab so we wont have results until approx. end of September as a rough guess (approx 4 -6) weeks so mid/late September we should get some news - good time to accumulate but we need 1.9c to show strong support

GLTA

[SCHUMACHER]

Nice move today for VML - shows the interest building in the gold sector :) good one to hold and see what happens

[SCHUMACHER]

Was a nice little run fellas- i got in at 1.9c - good to clear 2c and will wait until the drilling results which should be in 3-4 weeks

Im looking for a mid cap GOLD producer now to capitalise on strength of Gold

these micro caps are great for a % gain but usually come back - VML is worth keeping A 5% HOLDING OF YOUR PORTFOLIO because if the grades are there we should see PFS BFS in the future

[SCHUMACHER]

Was a nice little run fellas- i got in at 1.9c - good to clear 2c and will wait until the drilling results which should be in 3-4 weeks

Im looking for a mid cap GOLD producer now to capitalise on strength of Gold

these micro caps are great for a % gain but usually come back - VML is worth keeping A 5% HOLDING OF YOUR PORTFOLIO because if the grades are there we should see PFS BFS in the future



Have to say im disappointed that Ausdrill dumping shares however they drill company so may need some cash as they got paid in shares , probably common amongst drillers - guess they got to eat and they still hold alot than they sold - either that or they locking in some profits and not really an issue in the greater scheme of things -

[SCHUMACHER]

VML looking like its going to run up again - drilling since 25th July announcement so we may know something in coming week or two and I fully expect a massive re-rating based on their massive previous drill grades of 60g/t GOLD hit
- this is a known deposit low to surface and very high grade so should not be too long before this lifts

ALSO good to see price of Tungsten heading back up - has a fair way to go but they have a mine ready to go , however in the meantime GOLD is where its at- low market cap small number of shares (issued script) all good and one to hold for the Medium to L/T imo

Perfect Storm Brewing For Gold's Multi-Year Bull Market - Diego Parrilla

http://www.kitco.com/news/2016-08-09...-Parrilla.html


Heres a link to todays tungsten prices - as you can see Tungsten is turning up - not sure of current supply/demand ratios so will have to check it out
http://www.infomine.com/investment/metal-prices/ferro-tungsten/

DYOR

[SCHUMACHER]

Here we go - getting poised and ready for run IMO (Drill rigs been onsite since 25th July )

BUY recommendation for VML - "drilling results have been highly encouraging, including: 5m at 60.36g/t gold from 75m" - this was a few years ago and now that gOLD is recovering significantly they are now back drilling as of last week so great opportunity

Gold opportunity !- thought this spec deserved its own thread because it could be a BIG opportunity to get into a GOLD company that has strong BUY recommendations - VML also have a "ready to go" advanced Watershed Tungsten Project in far north Queensland, Australia, where a Definitive Feasibility Study has defined a robust development opportunity, in Australia also with Gold prospects -
The Tungsten operation is ready to flick the switch with all BFS/PFS complete and mining licences ready to go once Tungsten prices recover which they are starting to turn up - this is an asset that Breakaway resources value at 13c share without their current GOLD prospects - current share price 1.9c so think this is a opportunity to get in nice and early and make some good money

READ ON ....
http://resourcesrisingstars.com.au/infopage/8808


More information on recent strikes
A great spec play right now is VML - they are now drilling the Kollo Gold project with a 6km strike zone and previously high grade gold hits

The current drilling company now onsite and they took up shares instead of cash based on their knowoedge with the neighbouring property that WAF WEST AFRICAN RESOURCES had huge success and high grades - watch this space


EVENT
 Drilling is set to recommence (DRILLING STARTED 5 DAYS AGO) at Vital Metals Limited’s (ASX: VML) exciting Kollo Gold Project in Burkina Faso.
o o o o
 Past RC o
o o o
Planned 20 hole, 2,000m reverse circulation (RC) drilling program will commence this month
Testing of infill and extensional targets around existing high‐grade intercepts
Targets are shallow and potentially exploitable by open cut mining
Program expected to last around three weeks, with initial assay results available around end of August
drilling results have been highly encouraging, including: 5m at 60.36g/t gold from 75m
18m at 2.95g/t gold from 37m
4m at 18.71 g/t gold from 76m
15m at 17.78g/t gold from 105m
 Drilling of the Kollo Shear Corridor has demonstrated that gold mineralisation is variably developed over a strike of at least 4km.
o A combination of geophysical interpretation and shallow auger drilling is being utilised to identify potential mineralised extensions in low lying areas masked by transported soil cover
o Recent auger drilling has extended the potential strike of the prospective shear corridor to at least 6km
o Interpretation of airborne magnetic data indicates strong potential for further strike extensions
COMPANY BACKGROUND
Vital Metals Limited (ASX: VML) is an explorer and developer that is actively advancing three highly prospective projects:
 the advanced Watershed Tungsten Project in far north Queensland, Australia, where a Definitive Feasibility Study has defined a robust development opportunity,
 the Aue Tungsten Project in Saxony, Germany located in a renowned mineral district, and
 the Doulnia Gold Project in southern Burkina Faso, West Africa, which includes the Kollo Gold Project.

[SCHUMACHER]

Volume up today and currently up over 10% - As always, the close could set the tone for remainder of this week

Good to see gold up TODAY to $1348.00 USD oz

.
This is what they currently drilling out :)

“Recent auger drilling has extended the potential strike of the prospective shear corridor to at least 6km. Interpretation of airborne magnetic data indicates strong potential for further strike extensions."


" To the north, on the Markoye Fault Corridor, West African Resources’ (ASX: WAF) TanloukaGold Project has achieved strong results (e.g. 32m at 5.02g/t gold from 2m and 8m at 31.78g/t gold from 58m), while to south is the Bolgatanga Project and Namdini Project, both owned by Cardinal Resources (ASX: CDV). "

Source:
http://resourcesrisingstars.com.au/infopage/8808

VML neighbours market cap

CDV 113.8m,
WAF 102.2m,
VML 9.98m

WAF went from 4 c to 35c (todays price) in 7 months (Feb-August 2016) and in same region with similiar strikes that VML previously reported when they drilled out a few years back - now that GOLD back on the radar they back drilling out previous strike zones

VML now back there since 25 July drilling out previous strikes to re-confirm
should be great Result as we know we have a 6km corridor of gold to confirm with drilling programme
Once we confirm grades in a few weeks time (Late August - September) this will run quick i suspect

[SCHUMACHER]

The recent decision by Vital Metals (ASX: VML) to ramp up its West African gold exploration activities is timely, says Sydney-based equities research outfit Breakaway Research, prompting a speculative buy recommendation for the $8 million junior.

Weekend before 25th July announcement........
Vital kicked off a keenly anticipated 2000m RC drill program at its Kollo gold project in Burkina Faso, designed to in-fill and extend known high-grade mineralisation last drilled several years ago.

“The gold sector has been reinvigorated in 2016 on the back of a surge in metal pricing – largely reflecting highly stimulatory global monetary policies and political instability,” says Breakaway in a new note.

“In Australian Dollar terms, the gold price is now trading at near record levels, and gold’s recent appreciation is adding life to a junior resource sector that was resuscitated in 2015 following strong moves in lithium and graphite.”

Breakaway says past RC drilling results from Kollo have been “highly encouraging”, including hits such as 5m at 60.36g/t and 4m at 18.71g/t.

“Drilling of the Kollo Shear Corridor has demonstrated that gold mineralisation is variably developed over a strike of at least 4km,” Breakaway said.

“Recent auger drilling has extended the potential strike of the prospective shear corridor to at least 6km. Interpretation of airborne magnetic data indicates strong potential for further strike extensions.”

The Kollo Project is also located in one of the hottest gold belts in West Africa.

Breakaway says the district is attracting “growing attention” due to recent exploration success and corporate consolidation activity.

Kollo is located some 50km to the east of the producing Youga mine, which was purchased in February this year for US$25 million by Turkish company MNG Gold.

MNG also recently completed the purchase of the high-grade Balogo Project, located to the east of Kollo.

To the north, on the Markoye Fault Corridor, West African Resources’ (ASX: WAF) TanloukaGold Project has achieved strong results (e.g. 32m at 5.02g/t gold from 2m and 8m at 31.78g/t gold from 58m), while to south is the Bolgatanga Project and Namdini Project, both owned by Cardinal Resources (ASX: CDV).


Source :
http://resourcesrisingstars.com.au/infopage/8808

[SCHUMACHER]

Nice close on intraday high - VOLUME coming back in suggesting the lows are done with and we may see it retest previous recent high - lots to look forward to in next 2-3 weeks GLTA

[SCHUMACHER]

TUNGSTEN/GOLD - As some of you may be aware - ..read on................

The Tungsten "watershed project"operation is ready to flick the switch with all BFS/PFS complete and mining licences ready to go once Tungsten prices recover which they are starting to turn up - this is an asset that Breakaway resources value at 13c - ONE OF THE KEY DRIVERS being mining activity !!

Global demand to rise 4.2% per annum through 2019

Processed tungsten demand is projected to grow 4.2 percent per year to 146,550 metric tons in 2019. Sales gains will be fueled by solid growth in fixed investment expenditures, especially in construction spending and mining activity. Manufacturing output will also support gains, particularly in the key aerospace, machinery, and metal products sectors.

Asia/Pacific region will dominate demand & output

The Asia/Pacific region, led by China, will continue to dominate both tungsten supply and consumption. In 2019, China alone will account for over two-thirds of demand and three-fifths of output. The country’s heavy influence on the global tungsten market is a combination of its vast tungsten reserves (over one-half of known tungsten deposits in the world) and the Chinese government’s support of the downstream tungsten-containing product industry. India will represent the fastest growing major market for processed tungsten through 2019, fueled by a rapidly expanding manufacturing sector with increasingly advanced technological capabilities.

Other nations that are expected to record above average tungsten sales increases through 2019 include Turkey, Mexico, Brazil, China, and Taiwan, driven in large part by rising output of motor vehicles and other durable goods. The Africa/Mideast region will also record gains above the global average, albeit from a relatively small market base. An acceleration in construction spending will drive growth in North America, while in Western Europe, tungsten processors’ reputation for consistent, high quality products will continue to support sales in the region.

China to remain leading mine producer worldwide

China, in addition to being the largest market for and producer of processed tungsten, was also the largest source of ore and concentrates in 2014, comprising over four-fifths of global tungsten mining output. While the rest of the world will continue to be heavily dependent on Chinese mine production through 2019, a number of factors will lessen China’s importance somewhat. First, scrap recycling is becoming a key source for ammonium paratungstate (APT) manufacture, the primary intermediate for most processed tungsten products. Second, several new mines have recently opened or are expected to begin extraction soon, the most notable of which are the Nui Phao mine in Vietnam (2013) and the Drakelands mine in the UK (expected 2015).

Tungsten alloys to exhibit most rapid growth

Tungsten alloys will record the fastest growth of any major product category, stimulated largely by aerospace manufacturing increases. Cemented carbides will continue to garner by far the largest share of processed tungsten consumption, however, representing over three-fifths of worldwide demand in 2019. Despite shrinking sales in lighting applications, tungsten mill products will nevertheless demonstrate steady growth through 2019, supported by demand for the metal in a number of electrical and electronic appli-cations. Tungsten utilization in chemicals will accelerate over the 2009-2014 period, stimulated by strong growth in chemicals manufacturing activity, where tungsten is used in catalysts.

Company Profiles

Profiles for 22 competitors in the global tungsten industry, such as China Minmetals, Global Tungsten & Powders (Plansee), Kennametal, Jiangxi Rare Earth & Rare
Metals, Sandvik & Xiamen Tungsten

Additional Information

This study analyzes the global market for processed tungsten, defined as the tungsten content of metals, chemicals, and compounds that will be utilized in finished tungsten-containing products. The end user of processed tungsten is defined as the manufacturer of a tungsten-containing product, e.g. a cutting insert, radiation shield, or light bulb. Primary (ore and concentrate) and tungsten intermediates production are not covered in the demand figures but rather in a separate mining and processing overview

Historical data for 2004, 2009, and 2014 and forecasts for 2019 and 2024 are provided in metric tons and current US dollars unless otherwise indicated. The term “demand” refers to “sales” or “apparent consumption” (including both merchant and captive consumption) and is defined as shipments (also referred to as “production,” “output,” or “supply”), plus imports, less exports. Tabular details may not add to totals due to independent rounding, and ratios may be rounded for the sake of clarity.


http://www.rnrmarketresearch.com/world-tungsten-to-2019-market-report.html

8214

[SCHUMACHER]

we should see interest start to pick up again now that we are awaiting gold drill results from their highly perspective project with previous 60g/t Gold strikes so looking for a break above 2c before a nice run upward
- there has been a lot of accumulation at 2c so break 2.1c and it will be good to watch IMO-

this announcement below came out yesterday and may be flying under the radar as it was via Proactive iNVESTORS :)

Vital Metals Ltd looks to uncover multi-million ounce gold deposit in West Africa

Tuesday, August 30, 2016 by Proactive Investors

[​IMG]
Vital Metals Ltd (ASX:VML) has completed its first phase of drilling at the high grade Kollo Gold Project located in Burkina Faso.

The eight-hole diamond program was testing depth extensions to known bonanza gold mineralisation.

Previous drilling at Kollo has returned 5 metres at 60.36 g/t gold and 4 metres at 18.71 g/t gold.

The project is located in a world-class gold province, proximate to a number of a multi-million ounce gold deposits.

A new RC drill program is planned while initial assays from the completed diamond program are expected in September.

Mark Strizek, managing director, commented:

“With reverse circulation drilling about to commence, we are really entering the pivotal period of the Kollo exploration program.

“Investors can look forward to strong news-flow in the weeks ahead with regular drilling updates, assay results from both the diamond and reverse circulation programs, and an update on our broader exploration at this exciting emerging West African gold project.”


Background

Vital Metals owns a gold project in Burkina Faso and two tungsten projects; one in North Queensland and the other in Germany.

The Kollo gold project is located on the Dolunia tenement which is part of three 100% owned tenements in Burkina Faso that together cover over 400 square kilometres.

Vital Metals has also completed a definitive feasibility study on the fully permitted, 100% owned Watershed Tungsten Project in North Queensland.

The company has also recently identified the Elephant Creek gold prospect, located to the south of Watershed.


Kollo Gold Project

Kollo is an advanced exploration project with high grade gold mineralisation from surface.

Previous drilling highlights include:

- 5 metres at 60.36 g/t gold from 75 metres including 2 metres at 128.5 g/t gold;
- 44 metres at 6.39 g/t gold from 8 metres;
- 31 metres at 3.19 g/t gold from 34 metres; and
- 15 metres at 7.78 g/t gold from 105 metres including 1 metre at 59.76 g/t gold.

The recent eight-hole diamond drill program was completed to test depth extensions of the known mineralisation along the high-grade Kollo gold trend.

Average hold depths measured 150 metres with the deepest being 202 metres.

Initial geological logging of the core indicates the presence of significant shearing, quartz veining and alteration in the holes.

Initial metallurgical tests on drill chips completed by Vital have been encouraging with the gold being free milling and leach tests reporting gold recoveries in excess of 95%.


Regional opportunity

Soil anomalism associated with the Kollo gold mineralisation can be traced for 6 kilometres.

Interpretation of airborne magnetic data lends further support to the possible extension of Kollo.

A reverse circulation drill program has been designed to target shallow gold mineralisation along the Kollo trend that could be exploited via open cut mining methods.

Kollo is located 50 kilometres west of the producing Youga mine that was purchased in February 2016 for US$25 million by MNG Gold. MNG Gold also recently completed the purchase of the high-grade Balogo Project, located to the east of Kollo.


Elephant Creek gold prospect

Vital is planning to test the gold mineralisation at the Elephant Creek prospect, which is located to the south of its 100%-owned Watershed Tungsten Project in North Queensland.

Previous exploration drilling over the area by BHP-Utah International Ltd during 1987-1988 and
Cardia Mining NL during 1995-1996 returned intercepts of:

- 4 metres at 14.5 g/t gold from 12 metres;
- 10 metres at 1.95 g/t gold from 14 metres;
- 32 metres at 1.66 g/t gold from surface; and
- 19 metres at 2.14 g/t gold from 27 metres.


Recent raising

During August Vital raised $1.02 million through an oversubscribed share placement to sophisticated and institutional investors.

68,446,713 shares were issued at an offer price of $0.015 with the proceeds used to advance gold exploration activities.


Development ready tungsten project

Vital remains ready to develop the Watershed Tungsten Project as soon as a suitable development partner can be identified.

Watershed is full permitted and shovel ready with reserves of 21.5 million tonnes grading 0.15% for 31,000 tonnes of tungsten trioxide.


Analysis

The Kollo Gold Project contains known high grade, shallow mineralisation and is located in a premier gold mining region.

Vital is highly leveraged to exploration upside at the project with assays pending from the recently completed diamond drilling program and a new reverse circulation drill program planned.

Results to date suggest Kollo has early-stage development potential and has significant exploration potential.

A good opportunity exists to increase the extents of known mineralisation through further drilling, which is planned.

The company’s strategic review earlier in the year has led it to focus on its gold assets giving rise to a re-rating potential given the strength of the gold environment.

The Watershed Tungsten Project remains a shovel ready development opportunity.

The company is up 45% year to date, currently trading at $0.019.

[SCHUMACHER]

GOLD JUNIOR VML PRESENTATION RELEASED today !!! - Drill results due very soon :)

VML :ASX

http://www.aspectfinancial.com.au/docserver/01776544.pdf?fileid=01776544&datedir=20160907&edt=MjAxNi0wOS0wNyswOTowMTo1MCsxMjArNjEyMDg3ODIrZX RyYWRleG1sK3JlZGlyZWN0Ky9pbWFnZXNpZ25hbC9lcnJvcnBh Z2VzL0V0cmFkZVBERlRpbWVvdXQuaHRtbCsvaW1hZ2VzaWduYW wvZXJyb3JwYWdlcy9wZGZkZWxheWVkLmpzcA==&popup=true



High-impact gold exploration underway
 ~2,000m Reverse Circulation drilling program underway at Kollo Gold Project, Burkina Faso
 Previous drilling at Kollo has returned bonanza hits including:
 5m @ 60.36g/t Au from 75m;
 4m @ 18.71g/t Au from 76m.
 Kollo is located in the heart of a world-class gold province – multi-million ounce potential
 Kollo offers outstanding growth potential – strong pipeline of gold targets identified on our tenement portfolio in Burkina Faso
 2,000m RC drilling program just announced to test high-grade gold prospect at Elephant Creek in Far North Queensland
 Significant future upside from development of Watershed Tungsten Project in Far North Queensland
 Strong re-rating potential from a low enterprise value of ~A$12.5 M as gold exploration delivers results All results reported previously 25/5/2010, 24/3/2011, 9/6/2011, 3/8/2011, 30/1/2012, 20/2/2012, 29/3/2012.