Drilling at Tropicana + SFR Doolgunna JV

$4.5 million market cap, $1 million cash and zero debt.

The Tropicana deposit was discovered in 2005 after AngloGold followed up an unexplained gold-in-soil anomaly that Independence uncovered by scouring regional data collected in the 1990s.

Discovered in a remote, barely-explored area along an ancient collision zone between the Yilgarn Craton and the Albany-Fraser Province.

Tropicana is the most significant gold find in Australia for more than a decade.

The discovery prompted the JV partners to peg more than 10,000 km2 of tenements in what is now considered to be a new gold province.

As evident in the map below, IGO and Anglo now have majority control over land surrounding the behemoth Tropicana discovery.

However Ventnor Resources was recently granted the tenement in red, which directly adjoins the ground that holds the Tropicana gold accumulations:



VRX is preparing to drill into the ground below rocks chips which assays over HALF A KILOGRAM of gold per tonne... 5gm per tonne is considered high grade.

Here are some ofthe higher grade assays from VRX's surface rock sampling at Black Dragon:

-  568 grams gold per tonne
- 213 grams gold per tonne
- 626 grams gold per tonne

So VRX has high grade gold x 100, next door the the biggest gold discovery Australia has seen in over 10 years, and which was discovered by drilling below gold-in-soil anomalism...

Silver and tellurium grades were also high:

- 585 g/t silver, with 462 ppm tellurium
- 304 g/t silver, with 219 ppm tellurium
- 143 g/t silver, with 87 ppm tellurium
- 154 g/t silver, with 651 ppm tellurium.

The presence of high grade tellurium and silver along with the gold points to the potential for a giant, high grade epithermal gold deposit.

VRX has just completed a fund raising at 3.1c, so no chance of any big share price run being stopped stifled by an unwelcome surprise capital raising prior to drilling.

Over the last week or so this loose stock has been absorbed, volume has now slowed down, indicating the placement takers are running out of cheap shares to offload.

This has made for a familiar and very pleasant chart, showing a massive drop from recent highs, followed by accumulation to form a base, in preparation for an atomic burst higher.

No major resistance until 10c, and then a massive overhead gap from around 15c-30c that would love to be filled:



VRX total market cap of $4.5 million with around $1 million in cash.

Granting of the Black Dragon tenement seems to have slipped right past the market.

It was announced just a few months ago, on 4th April... no fanfare, just "Black Dragon Tenement Granted"... no mention that it's right next door to Tropicana, so easy to miss as big news.

So it seems VRX is still being priced solely on its Doolgunna Joint Venture with Sandfire Resources...

TLM is the only other junior Doolgunna explorer to be graced with a SFR JV... and it is capped at $70 million, largely based on a single copper intersection in which it has a 30% interest.

VRX is capped at 1/15th TLM, and the VRX-SFR JV already contains a major, high grade copper deposit - the largest proven copper deposit in the Bryah Basin region after DeGrussa.

VRX's Thaduna and Green Dragon projects in relation to the SFR/TLM Monty discovery, and DeGrussa:



VRX's Doolgunna copper deposits are very high grade, comparable to CYY, and SFR is fast tracking development, and funding VRX through to production.
Exploration upside exists as the deposits remain open.

Previous shallow drill hits by VRX include:

- 11m at 6% copper
- 10m at 7.5% copper
- 32m at 3.10% copper
- 62m at 2.2% copper
- 37m at 2.6% copper

  The 62m at 2.2% copper hit from 125m, which included 32m at 3.10% copper, ended in mineralisation of over 3%, and will be extended by diamond drilling.

VRX's copper mine previously produced of 30,290 tonnes at 8.7% copper, and there remain stockpiles of 48,400 tonnes at 2.74% copper, and tailings of 20,500 tonnes at 2.5% copper.