VanadiumCorp reports initial Davis tube testing results including 11.99 M containing 29.9% magnetics with 1.69% V2O5, and new drilling results including 0.67% V2O5 over 27.1 M at Lac Doré, Quebéc

TSX-V: “VRB”

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VANCOUVER, BRITISH COLUMBIA, March 26, 2020 – VanadiumCorp Resource Inc. (TSX-V: “VRB”) (“VanadiumCorp” or the “Company”), is pleased to announce  drilling results for an additional four drill holes from the Company’s summer-fall 2019 infill and extension drilling program at its Lac Doré Vanadium property. Holes reported are LD-19-001, LD-19-019, LD-19-023 and LD-19-033, bringing the total number of holes with complete results received to seven (7), out of 35 holes drilled in 2019. The Lac Doré Vanadium property is located 27 km east-southeast from the city of Chibougamau, in Eeyou Istchee James Bay Territory, Northern Québec. The Chibougamau area is host to several vanadiferous titanomagnetite (VTM) deposits, including the Southwest and Armitage deposits on the adjacent Blackrock property (BlackRock Metals Inc.) and the South and North Zone deposits on the Mont Sorcier project to the North (Vanadium One Iron Corp).

The 2019 drill program targeted the Company’s Lac Doré Vanadium prospect where historical drilling and surface channel sampling conducted between 1958 and 2013 have revealed the presence within property limits of massive, semi-massive and disseminated bands of VTM mineralization along a 2 km long by 200 m wide and minimum 200 m deep corridor.

The Lac Doré Vanadium property lies on the southern flank of the Lac Doré anorthosite complex of Chibougamau and straddles the layered magmatic zone, which hosts the VTM mineralization. This layered magmatic zone has been traced by historical geophysics, drilling and mapping over a linear distance of 20 km.

Highlights:

• Davis Tube magnetic separation testwork on VTM mineralized core from drill hole LD-19-022 (Table 1) included the following results:
  • 98 m* containing 24.7% magnetics with 1.61% V₂O₅ and;
  • 97 m* containing 46.0% magnetics with 1.24% V₂O₅.
• Davis Tube testwork results also show several VTM mineralized core intervals with anomalous V₂O₅ contents of magnetite in drillhole LD-19-024 (Table 1), including:
  • 62 m* containing 47.2% magnetics with V₂O₅ of 1.51%;
  • 99 m* containing 29.9% magnetics with 1.69% V₂O₅ and;
  • 10 m* containing 24.3% magnetics with 1.70% V₂O₅.
• Davis Tube magnetic separation testwork results are consistent with historical Davis Tube testwork results and confirm the presence of magnetite-bearing layers with the potential for high-V2O5 magnetite concentrates, particularly the lower (P1 or P0) units.
• Complete assay results received for an additional four (4) drill holes (Figure 1).
• All four holes intersected significant VTM
• Best intercepts include:
  • Hole LD-19-001 drilled at -45^o to a depth of 396 m intersected 1 m* grading 0.67% V₂O₅ (from 185.1 m to 214.5 m, core-length; Table 2; Figure 2), including 6.0 m* grading 0.81% V₂O₅ (from 205.5 to 211.5 m, core-length);
  • Hole LD-19-019 drilled at -55^o to a depth of 180 m intersected 24.5 m* grading 0.64% V₂O₅ (from 67.3 m to 96.9 m, core-length; Table 2; Figure 3), including 6.2 m* grading 0.78% V₂O₅ (from 74.3 m to 80.5 m core-length; Table 2; Figure 3);
  • Hole LD-19-023 drilled at -45^o to a depth of 300 m intersected 22.2 m* grading 0.65% V2O5 (from 168.5 to 193.0 core-length; Table 2; Figure 4); including 7.1 m* grading 0.77 % V2O5 (from 168.5 m to 175.6 m core-length; Table 2; Figure 4); 6.8 m* grading 0.72 % V2O5 (from 177.5 m to 184.3 m core-length; Table 2; Figure 4); and 5.0 m* grading 0.80 % V2O5 (from 188.0 m to 193.0 m core-length; Table 2; Figure 4).
  • Hole LD-19-033 drilled at -45^o to a depth of 282 m intersected 23.3 m* grading 0.60% V2O5 (from 122.3 to 148.0 core-length; Table 2; Figure 5); including 2.7 m* grading 0.72 % V2O5 (from 127.5 m to 130.5 m core-length; Table 2; Figure 5); 3.9 m* grading 0.73 % V2O5 (from 136.5 m to 140.8 m core-length; Table 2; Figure 5); and 3.8 m* grading 0.75 % V2O5 (from 143.85 m to 148.0 m core-length; Table 2; Figure 5).
• Mineralization occurs as layers of massive, semi-massive and disseminated magnetite. Davis Tube results from drillholes LD-19-022 and LD-19-024 (Table 2) show magnetite contents ranging from ~12% to ~53%.

* True thickness. True thicknesses have been estimated by assuming a dip of the layering of 70° to the SE, and the plunge of the drill hole towards the NW (-45° for LD-19-001, LD-19-022, LD-19-023 and LD-19-033, -60° for LD-19-024 or -55° for LD-19-019).

Adriaan Bakker, President and CEO of VanadiumCorp, states: “We are very encouraged by the initial Davis Tube test results that indicate that V₂O₅ grades of up to 1.7% can be obtained in the magnetite concentrate.  These early positive metallurgical test results, combined with our latest drilling results continue to support our objective of advancing our Lac Doré Vanadium project to the mineral resources estimation stage and beyond.”

Davis Tube testwork results

Results from the first batch of samples submitted for Davis Tube Testwork is shown in Table 2 below.

Table 1: Summary of Davis Tube results for drillholes LD-19-022 and LD-19-024, with percentages of magnetics and magnetite concentrates grades for Fe₂O₃, V₂O₅, TiO₂, SiO₂ and Al₂O₃, intersected core lengths, estimated true thicknesses, and magnetite-bearing stratigraphic zones.

Davis Tube tests were carried out at SGS Canada Inc.’s facilities in Val d’Or, Quebec. Samples were composited over the intervals in Table 1 using pulp rejects from samples previously prepared for assay. The samples had already been pulverized to 85% passing 75 μm. Composites were prepared using relative proportions based on weights of the core samples submitted (i.e. these are weighted-average composites). The composite was further pulverized to 80% passing 38 μm, and a 20g subsample of the composite was taken for the Davis Tube testing. Samples were added to the Davis tube and the tube was allowed to agitate for a period of four (4) minutes, after which the magnets were interrupted, and the magnetic concentrate was collected. The tailings were collected in a pail.  Both the magnetic concentrate and non-magnetic tailings were filtered, dried, and weighed. The two products were analyzed for Major elements SiO₂, Al₂O₃, Fe₂O₃, MgO, CaO, Na₂O, K₂O, TiO₂, P₂O₅, MnO, Cr₂O₃, V₂O₅, and LOI  by  Whole Rock Analysis (WRA), as per the procedure outlined below. QAQC protocol was for two samples to be subject to repeat tests.

Table 2: Summary of the significant intersections, with weighted average grades for V₂O₅, Fe₂O₃ and TiO₂, intersected core lengths, and estimated true thicknesses.

2019 exploration program

The summer-fall 2019 exploration program conducted at the Lac Doré Vanadium property was designed by the Company with the aid of mining industry consultants InnovExplo of Val-d’Or, Québec and CSA Global of Vancouver, BC. The exploration program was managed by InnovExplo of Val-d’Or, Québec under the supervision of the Table Jamésienne de Concertation Minière (TJCM) of Chibougamau, Québec.

• The infill and extension drilling program was the main component of the 2019 exploration program. Thirty-five (35) holes were drilled (total: 9,196 m) within the outline of the corridor hosting banded VTM mineralization that was the focus of historic drilling, including 28 holes drilled to map the continuity of VTM mineralization between historic holes (7,642 m) and seven (7) holes drilled to twin historic holes (total: 1,554 m). The drilling was carried out by Miikan Drilling Ltd of Chibougamau.
• Drill core samples (half-core) are submitted to SGS Canada Inc.’s facilities in Val d’Or and Quebec City, Quebec for preparation. The entire sample is dried as required and crushed to 75% passing 2 mm. A 1000-1500 g subsample is then split out and pulverized to 85% passing 75 μm and ~150 g subsample taken for head assays.
• Samples are then shipped to SGS Canada Inc.’s facility at Lakefield, Ontario for Whole Rock Analysis (WRA) performed by X-Ray Fluorescence spectroscopy (XRF). The SGS facilities are ISO/IEC 17025 standard certified for the methods used, and all analytical methods include quality control materials at set frequencies with established data acceptance criteria. The suite of elements analysed includes SiO₂, Al₂O₃, Fe₂O₃, MgO, CaO, Na₂O, K₂O, TiO₂, P₂O₅, MnO, Cr₂O₃, V₂O₅, and Loss on Ignition (LOI).
• Strict QA/QC protocols designed by InnovExplo and CSA Global was implemented to ensure the assay results are relevant, reliable and in accordance with industry standards, CIM Mineral Exploration Best Practice Guidelines (CIM Exploration Guidelines, 2018) and National Instrument 43-101 – Standards of Disclosure for Mineral Projects (NI 43-101) disclosure requirements.

The QAQC Protocol is as follows:

• Minimum 5% appropriate VTM standards to be inserted into the sample stream (i.e. 1 standard per 20 samples);
• Minimum 5% blanks to be inserted into the sample stream;
• All coarse rejects and pulps to be collected from the laboratory;
• 5% of pulps to be resubmitted to SGS in later batches as duplicates with new sample numbers;
• 5% of pulps to be submitted to an umpire laboratory.

Figure 1: Drill hole locations for the 2019 drilling program

Figure 2: Section LD-19-001

Figure 3: Section LD-19-019

Figure 4: Section LD-19-023

Figure 5: Section LD-19-033

The details of the first results received from the laboratory are presented in table below (Lengths are expressed along drill core axis. The true thickness was not determined):

Qualified Persons

The scientific and technical information disclosed in this news release has been prepared, reviewed and approved by Mr. Carl Pelletier, B.Sc., P.Geo. (Québec) from InnovExplo, a consultant to the Company and an Independent Qualified Person under NI 43-101 – Standards of Disclosure for Mineral Projects.

About VanadiumCorp Resource Inc.

VanadiumCorp is developing an integrated supply chain enabling scalable, safe, sustainable, low cost, long duration energy storage solutions for the clean energy future. VanadiumCorp is developing vanadium redox flow battery technology under its XRG® brand, a wholly owned vanadium resource base in Quebec, Canada and jointly owned process technology that recovers vanadium sustainably and efficiently.

On behalf of the board of VanadiumCorp:

Adriaan Bakker
President and Chief Executive Officer

For more information:

Adriaan Bakker,
President and CEO, VanadiumCorp Resource Inc.
(TSX-V: “VRB”)
By phone: 1-604-385-4489
By email: moc.procmuidanavobfsctd@ba
Website: www.vanadiumcorp.com

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.

 Cautionary & Forward-Looking Statements

 This release contains forward-looking statements. All statements other than statements of present or historical fact are forward-looking statements, including statements with respect to the anticipated use of Private Placement proceeds and anticipated receipt of final TSX Venture Exchange acceptance for the Private Placement.  Forward-looking statements include words or expressions such as “will”, “subject to”, “expect” and other similar words or expressions. Factors that could cause future results or events to differ materially from current expectations expressed or implied by the forward-looking statements include general business, economic, competitive, political and social uncertainties; the state of capital markets and risks that may impact the Company’s business, operations and financial condition. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct.  Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Additional information on these and other factors that could affect the Company’s operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com). We disclaim any obligation to update or revise these forward-looking statements, except as required by applicable law.