TH Crestgate Drilling Update

RNS Number : 0375D

Mineral & Financial Invest. Limited

24 April 2017

 

 Central Sector's 2^nd Drill Hole Confirms New Discovery at TH Crestgate's Lagoa Salgada; Strikes 9m of 9.92% Zn equiv.¹ within a 211m interval of 2.31% Zinc equiv.

HIGHLIGHTS:                                                                                              April 24, 2017

-   2^nd. hole intersected a large continuously mineralized zone of 211m of 2.31% Zinc equiv.¹

-   Higher grade intersections include 9m of 9.92% Zinc equiv¹

-   This mineralization is a new discovery next to the current LS-1 resource

-   4 distinct corridors of higher mineralization encountered within the 211m mineralized envelope.

-   Results of this program, when complete, should confirm the potential scale of the discovery

-   Remainder of Drill-hole results should be received over the next 3 - 6 weeks

George Town, Cayman Island - April 24, 2017 - Mineral & Financial Investments is pleased to announce that it has received an update on the drill results from its 49%-owned investment, TH Crestgate GmbH, a private Swiss based investment company.

TH Crestgate has released the assay results from the second hole of its 4 hole drilling campaign, completed by it's wholly owned local subsidiary Redcorp Empreedimentos Lda on its 85%-owned 134 km² Lagoa Salgada zinc-copper project in southern Portugal, 100km SE of Lisbon. This 4-hole drill program is focussing on the "Central Sector" and was announced and initiated in December 2016. The four holes have been completed. The assay results from the second hole have just been received from ALS in Seville, Spain. The core from the 3^rd hole (LS ST-03) is currently with ALS. Core from the 4^th hole (LS ST-04) has been sent this week to the to the ALS facilities.

The LS ST-02 is important as it was planned to be perpendicular to the mineralization and to cross mineralized structures as a 60⁰ angled hole 130m to the NE of LS-ST-01. The hole confirms the mineralized area both in width and depth. The directors believe that the size of the intersection brings TH Crestgate one step closer to confirming the thesis that the mineralization will be large in tonnage. Additionally, hole LS ST-02 confirms the presence of four  main corridors of medium grade mineralization with intervals of 24 to 33 meters of >3% Zn Eq. Within each of these corridors (i.e. C-1, C-2, C-3 and C-4) there are additional  higher grade intervals of≧5% Zn Eq.

This hole confirms that the mineralized zone is a stock work mineralization that is distinct, but adjacent to, the massive sulphide mineralization that hosts the LS-1 resource (see "Asset Description" below). This drilling confirms a mineralizing system exists at Lagoa Salgada, which the Directors understand gives TH Crestgate confidence to undertake further exploration in the area where other similar geophysical anomalies have not been tested.

Hole	Depth (m)	Thickness (m)	Cu (%)	Zn (%)	Pb (%)	Au (g/t)	Ag (g/t)	Cu Equiv. (%)1	Zn Equiv. (%)1
LS ST-02	177 to 388	231.00	0.17	1.20	0.63	0.04	7.79	1.10%	2.31%
Including (C1a)	197 to 204	7.00	0.28	3.05	1.21	0.09	15.57	2.44%	5.11%
Including (C2a)	223 to 230	7.00	0.27	2.25	2.52	0.01	16.00	2.53%	5.29%
Including (C2c)	234 to 238	4.00	0.12	3.04	1.77	0.02	6.75	2.36%	4.94%
Including (C3a)	269 to 276	7.00	0.37	2.59	1.39	0.03	11.57	2.30%	4.81%
Including (C3b)	290 to 295	5.00	0.39	2.62	1.20	0.08	15.40	2.34%	4.90%
Including (C4a)	329 to 351	22.00	0.64	2.28	1.32	0.03	29.23	2.58%	5.39%
Including (C4a)	329 to 338	9.00	1.37	4.16	2.20	0.04	46.50	4.74%	9.92%

Jacques Vaillancourt, Chairman of Mineral and Financial, commented: "Although still early days, the size and continuity of the mineralized intercept of LS ST-02 exceeded expectations. Finding a zone of continuous mineralization near the historical LS-20 hole which has intercepts of >10% Zinc and >15% Copper and is so near the current LS-1 preliminary resource is a very positive   development. This second hole's mineral characteristics are consistent with TH Crestgate's first hole, LS ST-01, and confirms that this zone is distinct, but geologically related to the nearby LS-1 Resource. Moreover, TH Crestgate's recent geological work points towards our being able to increase the LS-1 resource from the current 4.5 million tonnes with additional drilling. The next 2 holes in the Central Sector will help gauge the scale of the Sector's mineral potential. This hole also confirms our belief that Lagoa Salgada hosts numerous ore bodies."

MAP OF LOCATION OF LS-1 SECTOR RESOURCE AND

LOCATION OF "CENTRAL SECTOR" NEW AND HISTORICAL DRILL HOLES

 http://www.rns-pdf.londonstockexchange.com/rns/0375D_-2017-4-21.pdf

The 13,400-hectare Lagoa Salgada project currently has 17 identified gravimetric anomalies as well as a preliminary resource. The preliminary resource is located on one of these gravimetric anomalies, the LS-1 zone. The Central Sector is located within the LS-1 zone and is approximately 1,200 meters SE of LS-1's 4.5 million tonne zinc-leadpolymetallic preliminary resource.  The 'Central Sector' was the subject of a 4 drill-hole program undertaken by a previous operator in the early 1990s. The current drill program is meant to confirm and expand the understanding of the Central Sector.

LONG SECTION OF FIRST 2 HOLES IN CURRENT DRILL PROGRAM IN CENTRAL SECTOR OF LS-1 ZONE OF LAGOA SALGADA

 http://www.rns-pdf.londonstockexchange.com/rns/0375D_1-2017-4-21.pdf

The historical, Canadian Institute of Mining (CIM) compliant, resource estimate, located on LS-1, completed in 2012 by Paul Daigle, P.Geo, which was announced on 6 December 2016is summarized below:

Category	Gross					Net Attributable
LS-1 Sector	Tonnes	Mineral	Grade	Contained Metal	Units	Tonnes	Mineral	Grade	Contained Metal	Units
Indicated	2,942,000	Pb (%)	2.94	190,686,436	Lbs.	2,500,700	Pb (%)	2.94	162,083,471	Lbs.
		Zn (%)	3.40	220,521,729	Lbs.		Zn (%)	3.40	187,443,469	Lbs.
		Cu (%)	0.34	22,052,173	Lbs.		Cu (%)	0.34	18,744,347	Lbs.
		Ag (g/t)	54.72	5,175,824	Oz.		Ag (g/t)	54.72	4,399,450	Oz.
		Au (g/t)	0.82	77,562	Oz.		Au (g/t)	0.82	65,927	Oz.
Inferred	1,554,000	Pb (%)	2.50	85,648,710	Lbs.	1,320,900	Pb (%)	2.50	72,801,404	Lbs.
		Zn (%)	1.80	61,667,071	Lbs.		Zn (%)	1.80	52,417,011	Lbs.
		Cu (%)	0.35	11,990,819	Lbs.		Cu (%)	0.35	10,192,196	Lbs.
		Ag (g/t)	51.00	2,548,073	Oz.		Ag (g/t)	51.00	2,165,862	Oz.
		Au (g/t)	0.78	38,971	Oz.		Au (g/t)	0.78	33,125	Oz.
Total	4,496,000	Pb (%)	2.79	276,335,146	Lbs.	3,821,600	Pb (%)	2.79	234,884,874	Lbs.
		Zn (%)	2.85	282,188,800	Lbs.		Zn (%)	2.85	239,860,480	Lbs.
		Cu (%)	0.34	34,042,992	Lbs.		Cu (%)	0.34	28,936,543	Lbs.
		Ag (g/t)	53.43	7,723,897	Oz.		Ag (g/t)	53.43	6,565,313	Oz.
		Au (g/t)	0.81	116,532	Oz.		Au (g/t)	0.81	99,052	Oz.

   Source: Tetra-Tech Wardrop

References in this announcement to exploration results and resource updates have been approved for release by Joao Barros, BSc (Engineering), MSc (Geology), who has more than 13 years of relevant experience in the field of activity concerned. Mr Barros is a Member of the Portuguese Engineers Association. Mr. Barros, who is employed by Redcorp Empreedimentos Mineiros, Lda., a wholly owned subsidiary of TH Crestgate GmbH, has consented to the inclusion of the material in the form and context in which it appears.

This report should be seen as indicative of possible mineral content and not definitive, as the sample group is insufficient to arrive at any economic conclusions.

For more information:

Katy Mitchell, WH Ireland                               [phone]

Jacques Vaillancourt, Chairman                       [phone]

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¹ Cu. and Zn. equivalency calculated using the following spot prices: Cu $5,782 /t; Zn $2,761/t; Pb $2,307/t; Au $1,252/oz.; Ag $18.33/oz.

 

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