Variscan Mines Raises $2.25M, Gains Approval for 13,800m Drilling Campaign
Variscan Mines secures key regulatory approval and expands its zinc exploration footprint with a major historic drillhole acquisition, backed by a $2.25 million capital raise.
- Restoration Plan approved for San Jose and Udías mining licences
- Historic drill data acquisition adds 52,000+ metres with high-grade zinc-lead intercepts
- 3D laser survey enhances underground geological modelling
- $2.25 million placement completed to fund growth and development
- Binding agreement to earn up to 100% interest in Irish zinc assets
Regulatory Milestone Unlocks Restart Potential
Variscan Mines Limited (ASX – VAR) marked a pivotal quarter ending 30 September 2025 with formal government approval of its Restoration Plan covering the San Jose and Udías mining licences in Cantabria, Spain. This regulatory green light is a crucial step towards restarting operations at these historic zinc-lead mines, signaling strong institutional support and aligning with modern environmental standards.
Historic Data Acquisition Expands Exploration Horizons
Complementing this milestone, Variscan acquired an extensive archive of 146 historic surface drillholes totaling over 52,000 metres from the Reocín district. This dataset, rich with multiple high-grade zinc and lead intercepts, some exceeding 30% zinc, significantly broadens the company’s exploration scope beyond its current resource footprint. The integration of this data accelerates district-scale planning and de-risks future discoveries.
Technological Advances Enhance Targeting Precision
Technological progress was also notable, with the completion of a detailed 3D laser survey of the Udías Mine. This high-resolution digital mapping has refined Variscan’s underground geological model, revealing previously unrecorded mineralised zones and enabling more confident drill targeting. Such precision reduces technical risk and supports the company’s ongoing drilling campaign aimed at resource growth and connecting mineralisation between San Jose and Udías mines.
Capital Raise Fuels Growth Strategy
Financially, Variscan successfully completed a $2.25 million two-tranche placement, underscoring investor confidence in its near-term development pathway. These funds are earmarked for advancing the Mine Re-Start (Scoping) Study, continuing drilling programs, and evaluating newly acquired datasets. The company also entered a binding agreement to earn up to 100% interest in promising zinc assets in Ireland, further diversifying its portfolio and positioning itself in a top-ranked mining jurisdiction.
Looking Ahead
With the Restoration Plan secured, a vastly expanded geological database, and strong financial backing, Variscan is poised to release its Mine Re-Start Study and further underground drilling results in the coming quarter. This dual-track Explorer-Producer strategy aims to restart production while expanding the resource base, potentially transforming Variscan into a self-funding zinc producer with scalable growth prospects.
Bottom Line?
Variscan’s recent approvals, data acquisitions, and capital raise set the stage for a transformative phase in zinc exploration and production.
Questions in the middle?
- How will upcoming Mine Re-Start Study results influence Variscan’s production timeline?
- What are the strategic implications of the Irish zinc asset earn-in for Variscan’s growth?
- Can the historic drill data translate into a significant resource upgrade under JORC standards?
