Portugal / Alvalade Copper-Zinc VMS Project

Location Iberian Pyrite Belt
Ownership Optioned to Minas de Aguas Teñidas, S.A.  (Sandfire MATSA)
Size 115 km2
Deposit Type VMS
Exploration Stage Exploration
Status Drill program underway
Presentation The Alvalade Opportunity
The Sesmarias Discovery

Avrupa acquired the Alvalade Project in 2010 and initially optioned it out in 2012, but has been the operator of the project since acquisition. During that first earn-in period (2012-15), an initial hole, SES002, was drilled into the Sesmarias target and intersected 10.85 meters of 1.81% copper, 2.57% lead and 4.38% zinc. Drilling encountered numerous faults, but subsequent holes hit mineralization, on and off, over an 800-meter strike length, including SES010 which intersected 58 meters of 0.32% copper, 0.61% lead, 1.95% zinc, 0.45 g/t gold, 25 g/t silver. There is still at least another 1,000 to 1,500 meters of known mineralization along strike to the north, encountered in historic drilling.

The new, upgraded Alvalade license covers approximately 115 square kilometres of highly prospective target area in a prime portion of the Iberian Pyrite Belt in Portugal.  The Sesmarias massive sulfide discovery lies just 7 kilometres south of the historic Lousal Mine and 9 kilometres south of our Monte da Bela Vista stockwork zone, all of which are covered by the Alvalade license.  Previous work at Sesmarias by Avrupa, itself, and by Avrupa with support from former JV partners, indicates that massive sulfide mineralization extends for at least 600 metres, may be as wide as 300 metres, and averages 25 metres in thickness.  Our work around Sesmarias also indicates that there is, at least, a further 2,000 metres of potentially mineralized target zone beyond the 600 metres of known massive sulfide mineralization.

Several technical sources estimate that the Lousal Mine originally contained upwards of 50 million metric tonnes of iron-, copper-, and zinc-bearing massive sulfide mineralization.  However, old mining records indicate that only 15-20 million metric tonnes of mineralized material were actually extracted during historic operations beginning in 1900 and continuing through 1988.  An independent consultant’s report commissioned by Avrupa in late 2017 suggests that Monte da Bela Vista-Lousal-Sesmarias could easily become a 50- to 100-million metric tonne copper-zinc, massive sulfide district.  Note, that these calculations are not compliant to NI 43-101 or JORC regulations, but are considered to be reliable support information to the working exploration model for the district.

In addition, the under-explored, historic Caveira Mine area is located just 9 kilometres north of Monte da Bela Vista, and between the two are several Avrupa scout drill holes that intersected sulfide mineralization.  Furthermore, Avrupa has drilled mineralized scout holes in several target areas along a 25-kilometer line from Sesmarias to the south end of the Alvalade license.

The Project is currently optioned out to Minas de Aguas Teñidas, S.A.  (Sandfire MATSA) under the following terms:

In order to acquire a 51% interest in PorMining Lda.– “The Experimental Exploitation Phase”:

  • MATSA must provide to Avrupa 400,000 Euros (approximately C$ 580,000) payment upon signing of the Definitive Agreement.  Completed
  • MATSA must provide the required work commitment guarantee of 240,000 Euros (approximately C$ 348,000) upon issuance of the new Alvalade Experimental Exploitation License (EEL) to the new JV company (Newco), to be set up to hold the license. This amount is refundable to MATSA pending completion of the license work commitment and approval by the Portuguese Mining Bureau (DGEG).  Completed
  • MATSA must provide 1.2 million Euros (approximately C$ 1,860,000) for work on the Project during the first year after signing of the Definitive Agreement.  Underway
  • MATSA must provide, at its sole discretion, an additional 2 million euros for work over the second and third years of the joint venture.
  • Avrupa will be the Operator in this phase of work and will be paid 100,000 Euros (approximately C$155,000) annually as an operator’s fee.

In order to acquire a further 34% interest in PorMining Lda., for a total of 85% — “The Feasibility Study Phase”, MATSA must, at its option:

  • Provide a “bankable feasibility study” on one prospect within the Alvalade license. MATSA is responsible for 100% of the costs to produce the feasibility study, including preparation of a NI 43-101 compliant resource estimate;
  • Fund all necessary success-based payments to Avrupa’s previous joint venture partner, Antofagasta Minerals, S.A., as required by the Debt Cancellation Agreement between Avrupa and Antofagasta (see news release of June 19, 2017).

Project Commitment and Construction Phase:

  • In conjunction with the completion of the feasibility study, MATSA would be responsible to ensure that the application for a Mining License at Alvalade is completed, as required by Portuguese Mining Law.
  • During the Construction Phase, Avrupa will have the choice to participate as a 15% shareholder by providing its pro rata share of the necessary funding, or elect to transfer its 15% interest in PorMining Lda.to MATSA in exchange for staged payments of 10 million euros (approximately C$ 15.5 million), as follows:
  1. 3,000,000 Euros upon a construction decision being made, and the permits received from the DGEG;
  2. 3,000,000 Euros upon commencement of commercial production; and
  3. 4,000,000 Euros upon the first anniversary of commercial production.
  • The remainder of necessary success-based payments to Antofagasta would be borne by the Project, in accordance with the respective holdings in PorMining Lda..
  • Completion of the earn-in and joint venture arrangement remains subject to a number of conditions, including finalization of the Definitive Agreement itself, issuance of the Alvalade Experimental Exploitation License by the DGEG, and receipt of any required board and/or regulatory approvals. All legal due diligence has already been completed by MATSA.  Completed



A summary of some of the previously announced results from Alvalade is presented below:

    • SES002 – 10.85 meters @ 1.81% Cu; 75.27 ppm Ag; 2.57% Pb; 4.38% Zn; 0.13% Sn
    • SES006 – 1.5 meters @ 1.66% Cu; 54 ppm Ag; 2.30% Pb; 3.66% Zn; 0.091% Sn  — mineralization cut off by faulting
    • SES008 – 5.0 meters @ 0.64% Cu; 36.8 ppm Ag; 0.94% Pb; 1.54% Zn –   mineralization cut off by faulting
    • SES009 – 2.3 meters of massive pyrite (not analyzed)
    • SES010 – 57.85 meters @ 0.45 g/t Au; 25.1 g/t Ag; 0.32% Cu; 0.61% Pb; 1.95% Zn
    • SES21-033 – 22.25 meters @ 0.42% Copper, 2.07% Zinc; 1.05% Lead; 0.58 ppm Gold, and 39.3 ppm Silver in semi-massive to massive sulfide mineralization from 363.00 meters to 385.25 meters;
    • SES21-036 – 17.00 meters @ 0.39% Copper; 2.11% Zinc; 1.10% Lead; 0.4 ppm Gold; and 34.1 ppm Silver in semi-massive to massive sulfide mineralization from 406.10 meters to 423.20 meters
    • SES21-046 – 22.9 meters, from 378.50 meters @ 0.48% Copper, 0.72 g/t Gold, 37.7 g/t Silver, 1.10% Lead, and 2.17% Zinc
    • SES23-047 – 26.95 meters @ 2.18% Cu; 5.60% Zinc; 88.2 g/t Silver; 0.33 g/t Gold – intersected massive sulfides near the presumed bottom of the hinge zone on Section 650 South.

Following is a summary of the results from SES21-046 which is located in the North sector:

Summary of results for SES21-046.


Previous drill results:

During 2015-17, Avrupa drilled four additional holes into the Sesmarias target area that confirmed and extended one massive sulphide lens in the area to a length of 300+ meters with a 20-40 meter thickness. The lens is open to the northwest and down dip to the northeast.  The assays from those four holes are reported below.

Drill hole ID From
Cu (%) Pb (%) Zn (%) Au (g/t) Ag (g/t)
SES019 263.50 315.20 51.70 0.44 0.75 2.71 0.40 17.35
including 264.15 299.05 34.90 0.40 0.99 3.46 0.38 20.67
and including 280.45 290.95 10.50 0.36 1.71 5.18 0.37 21.71
SES020 277.85 287.55 9.70 0.25 0.57 0.99 0.47 24.70
297.70 319.95 22.25 0.55 0.59 0.66 0.53 20.54
325.00 334.10 9.10 0.32 0.14 0.52 0.68 11.31
337.85 356.65 18.80 0.33 0.14 0.64 0.26 6.40
SES021 262.85 277.65 14.80 0.36 0.29 0.40 0.43 9.82
SES022 323.90 376.00 52.10 0.43 0.49 0.98 0.62 17.31

In 2015, Avrupa conducted downhole geophysics, utilizing the “mise-a-la-masse” (MALM) method, and combined with historic ground magnetics data, suggested that the sulfide lens may continue another 300 meters or more to the northwest from SES022.

There are at least four other separate targets in the immediate Sesmarias area, a significant target in the Pombal area located about 15 km southeast of Sesmarias, and several targets at the Monte da Bela Vista stockwork discovery located about 10 km north of Sesmarias, all on the Neves Corvo mineral trend.  Numerous general targets exist on the Aljustrel mineral trend, on the São Domingos mineral trend, and in several other areas along the Neves Corvo mineral trend.  All three mineral trends cut the Alvalade license, giving a total of 85 km of prospective Pyrite Belt potential on the license.

In 2019, Avrupa completed a drill program consisting of 6 holes totaling 2,498 metres.  SES026 extended the “10” Lens by 300 metres to the north from previous drilling.

Plan view of the “10” Lens, “2” Lens, and “8-9” Lens/Horizon (red) and East Bounding Fault zone (transparent blue). The recently drilled holes are highlighted with a transparent box.


SES026 From (m)



Intercept (m) Au (g/t) Ag (ppm) Cu (%) Pb (%) Zn (%)
Total lens 385.70 414.65 28.95 0.77 15.7 0.48 0.52 1.31
Base metal zone 385.70 392.70 7.00 0.52 19.0 0.66 0.57 1.44
Gold zone 392.70 401.70 9.00 1.09 13.7 0.40 .50 1.31

Assays for SES003 were returned in 2019 and the results are comparable to those from SES002, as shown in the table below.

SULFIDE TYPE FROM TO TOTAL Cu % Ag ppm Pb % Zn % Sn % Co %
Massive/semi-massive 132.05 145.70 13.65 1.92 38.8 1.03 1.91 0.03 0.103
  FROM TO TOTAL Cu ppm Ag ppm Pb ppm Zn ppm Co ppm
Weak/moderate stockwork 145.70 152.50 6.80 4133 7.42 3908 11645 296

In June 2021, the “8” Lens was extended 150 meters downdip from a 5-meter intercept in SES008 of 0.64% Cu, 36.8 g/t Ag, 0.94% Pb, and 1.54% Zn to intercepts of 20+ meters in SES21-033 and 036.  This is the first time that we have intercepted significant downdip mineralization on any of the massive sulfide lenses at Sesmarias.

SES21-033 intercept information:

Meters From To Cu (%) Zn (%) Pb (%) Au (ppm) Ag (ppm)
22.25 363.00 385.25 0.42 2.07 1.05 0.58 39.3
Incl. Best overall zone          
6.00 375.60 381.60 0.38 4.14 2.04 0.81 63.6
And Best copper zone          
4.65 380.60 385.25 0.66        

SES21-036.  This hole was collared 30 meters to the northeast of SES21-033.  In hole 036, the entire fault-bounded zone of sulfide-bearing black shales and volcanics increases to 80.2 meters, with 17.0 meters of massive sulfide mineralization visible in the core.  The hole entered the sulfide mineralized zone at 342.90 meters, with increasing and more intense stockwork mineralization followed by semi-massive sulfides downwards to 406.10 meters.  Metal values increase downhole with increased amounts of sulfides.  The drillhole passed through semi-massive sulfides at this point, and continued through massive mineralization to 423.10 meters, where it is truncated by a fault.  The mass also shows internal higher-grade base metal zonation, as noted in the table below.  Further review is necessary to assist in vectoring towards the potential high-grade portions of the deposit.

Meters From To Cu (%) Zn (%) Pb (%) Au (ppm) Ag (ppm)
17.00 406.10 423.10 0.39 2.11 1.10 0.40 34.1
Incl. Best overall zone          
4.00 411.10 415.10 0.33 4.41 2.26 0.59 51.7
And Best copper zone          
7.00 415.10 422.10 0.47        
And Best Zn-Pb-Ag zone          
2.00 413.10 415.10   5.98 3.34   64.0
And Best gold zone          
4.00 402.10 406.10       1.03  
Total copper zone (semi-massive to massive sulfides)      
56.00 367.10 423.10 0.30     0.42