REG - Mineral & Financial - Investment Update: Lagoa Salgada Project

Mineral & Financial InvestmentsAnnouncement

14/06/2022 15:15

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RNS Number : 8544O  Mineral & Financial Invest. Limited  14 June 2022

MINERAL & FINANCIAL INVESTMENTS LIMITED

Investment Update: Redcorp Announces Discovery of New Copper-Gold Zone And
Reports Additional Strong Results from Lagoa Salgada

 

 

HIGHLIGHTS:

·      New semi massive sulphide Copper-Gold zone discovered east of the
South Zone which includes 6m @ 1.77% Cu and 0.8 g/t Au from 201m

·      Continuous high-grade mineralization intersected through the
North Zone of 59m containing 16.76% ZnEq 1  from 161m, and includes 22m
@26.30% ZnEq (1)

·      Stinger Zone continuity confirmed below the North Zone which
includes 39m @3.61% ZnEq(1) from 273m

 

George Town, Cayman Islands, June 14, 2022 - Mineral and Financial Investments
Limited (LSE-AIM: MAFL) ("M&FI" or the "Company") is pleased to report
assays from its investment entity, Redcorp Empreedimentos Mineiros Lda (and
Ascendant Resources Inc., who are operating the site) from an additional seven
holes drilled as part of the ongoing infill drill program at its Lagoa Salgada
VMS Project, Portugal. Drill hole assays released today continue to support
resource conversion for the ongoing feasibility study at the Venda Nova
deposit but have also (i) outlined the discovery of a new Copper-Gold rich
semi massive sulphide lens east of the South Zone, which was not previously
included in the Mineral Resources; and (ii) confirmed the continuity of the
stringer zone below the massive sulphide lens in the North Zone.

 

As of today, Redcorp has reported 13 drill holes totalling 4,749.9 meters (6
Metallurgical holes reported in May and 7 infill holes reported today). Assays
reported today represent full results received as at June 5th 2022 and include
three holes collared in the North Zone: LS_MS-41, LM-MS-41 A and LS_MS-45; and
four in the South Zone: LS_ST_28, LS_ST_29, LS_ST_33 and LS_ST_49.

 

Jacques Vaillancourt, President & CEO of M&FI commented: "Venda Nova
continues to surprise to the upside and supports our view that we remain at a
relatively early stage of exploration at Lagoa Salgada. The discovery of a new
Cu-Au rich semi massive sulphide lens could potentially add to the scale of
the deposit as this new zone was not included in previous Resource statements.
As Redcorp complete its infill drilling campaign, we are encouraged to see
continued evidence for strong resource conversion underpinning the ongoing
feasibility study for Venda Nova."

Continuous intersections (apparent width along different domains)) from recent
assays include:

Venda Nova North Zone (Apparent Width)

·     LS_MS_41: 59.0m @ 16.76 % ZnEq (1) from 161.0m (1.55% Zn, 0.37% Cu,
6.09% Pb, 1.84 g/t Au, 123.2 g/t Ag and 0.17% Sn)

·     LS_MS_41A: 38.7m @ 3.61% ZnEq (1)from 273.3m (0.74% Zn, 0.45% Cu,
0.15% Pb, 0.04 g/t Au, 13.54 g/t Ag and 0.10% Sn)

·     LS_MS_45: 6.0m @ 3.56% ZnEq (1) from 197.0m (1.20% Zn, 0.04% Cu,
0.52% Pb, 0.48 g/t Au, 23.3 g/t Ag and 0.01% Sn)

Venda Nova South Zone (Apparent Width)

·     LS_ST_28: 6.0m @ 7.36% ZnEq(1) from 201.0m (0.02% Zn, 1.77% Cu,
0.02% Pb, 0.78 g/t Au, and 16 g/t Ag- No Sn Assay)

·     LS_ST_33: 4.0m @ 3.86% ZnEq(1) from 221.0m (2.34% Zn, 0.11% Cu,
0.58% Pb, 0.06 g/t Au, and 21.5 g/t Ag - No Sn Assay)

·     LS_ST_48: 2.0m @ 3.31% ZnEq(1) from 312.0m (0.08% Zn, 0.87% Cu,
0.04% Pb, 0.13 g/t Au, and 14 g/t Ag - No Sn Assay)

·     LS_ST_29: 12.0m @ 4.04 ZnEq (1v)from 533.0 m (1.02% Zn, 0.66% Cu,
0.44% Pb, 0.04 g/t Au, 17.2 g/t Ag and 0.02% Sn)

Hole location and collar positions are shown in Figure 1 and Table 1 below.

Figure 1 - Plan view of the Venda Nova with location of the reported drill
holes

http://www.rns-pdf.londonstockexchange.com/rns/8544O_1-2022-6-14.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/8544O_1-2022-6-14.pdf)

South Zone: New Discovery

Drill holes collared in the South Zone refined the outline of the bulk
wireframe and confirmed the continuity of the higher-grade corridors contained
within the broader domain. As such the infill drill program continues to
support resource conversion as expected, although there can be no guarantee
that such conversion will occur.

In addition to confirming the known mineralization, the potential to expand
the resource in the South Zone beyond the current resource envelope is
demonstrated by results from drill holes ST_28 and ST_29 which intercepted
semi massive sulphide mineralization with high Cu and Au grades outside the
current main stringer wireframe and within the hanging wall. These intercepts
include 6.0m at 1.77% Cu and 0.8 g/t Au from 201m in hole ST_28 and 4m at
1.34% Cu starting at 311m in hole ST_29. This new semi massive lens is hosted
by the same sedimentary exhalative rocks that overlay the stringer zone in the
North Zone and is capped by the same volcanic rocks. It should also be noted
that the intervals reported today can be correlated with a few historic holes
(e.g. LS-26 and LS-24) that show discrete intersections of grades comparable
to the stringer zones in the same pyrite rich exhalative host rock. A
preliminary outline of this lens has been modelled along a strike length of ~
400 m.

In light of this new discovery, the Company has slightly amended its infill
drill plan by collaring holes further to the east to target this new zone as
well as the existing stringer mineralization that forms the South Zone. The
aim is to test the possible stratigraphic continuity of exhalative/massive
sulphides and potentially show a near continuous connection to the North Zone.
While still in the early stages of definition, this discovery could grow the
resource in the South Zone.

Figure 2 - Cross section of South Zone (Trace locations included in Figure 1)

http://www.rns-pdf.londonstockexchange.com/rns/8544O_1-2022-6-14.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/8544O_1-2022-6-14.pdf)

North Zone Results

The three holes collared in the North Zone confirms the existing mineralized
domains and support our revised expectation for grades in each domain as we
work towards upgrading the resources. Notably hole MS-41 intercepted 21.9m of
massive sulphide from 177m (Secondary and primary, averaging 26.3 ZnEq(1)) and
MS-41a (drilled in continuity after technical issues of the original hole)
intercepted a 38.7m interval starting at 273.3m (apparent width) of continuous
stringer mineralization averaging 3.61% ZnEq(1), including subintervals
dominated by chalcopyrite veins. Hole MS-45 collared in the southern part of
the North Zone intercepted a 6m interval of stringer mineralization which the
Company believes represents the southern extent of the modelled continuous
massive sulphide mineralization that extends for ~500m towards the northwest.

 

Figure 3 - Cross section North Zone (Trace locations included in Figure 1)

http://www.rns-pdf.londonstockexchange.com/rns/8544O_1-2022-6-14.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/8544O_1-2022-6-14.pdf)

* Deviation drill hole from LS_MS_41 at depth 222.80 m

Table 2 Relevant Economic Intercepts by Domain

 Sector  Hole ID  Domain               from m  to m    Apparent Width m  Zn %  Cu %  Pb %  Ag g/t   Au g/t  Sn %   ZnEq %
 North   MS_41    Gossan               163. 2  177. 1  13.9              1.15  0.22  9.46  104. 79  3. 75   0. 37  24. 44
         MS_41    Massive Sulphide     177. 1  199. 0  21.9              1.95  0.79  9.71  249. 05  2. 43   0. 19  26. 30
         MS_41    Stringer             208. 0  220. 0  12.0              1.78  0.04  0.59  18. 33   0. 10   0. 04  3.48
         MS_41a   Stringer             273. 3  312. 0  38.7              0.74  0.45  0.15  13. 54   0. 04   0. 10  3.61
         MS_45    Stringer             197. 0  203. 0  6.0               1.20  0.04  0.52  23. 33   0. 48   0. 01  3.56
 South   ST_28    Semi Massive HW      201. 0  207. 0  6.0               0.02  1.77  0.02  16. 00   0. 78   NA     7.36
         ST_28    Stringer (Fissural)  317. 0  327. 0  10.0              2.27  0.34  1.67  16. 60   0. 03   NA     5.17
         ST_29    Semi Massive HW      311. 0  315. 0  4.0               0.15  1.34  0.04  14. 50   0. 02   0. 02  4.66
         ST_29    Stringer (Fissural)  497. 0  501. 0  4.0               0.33  1.63  0.15  20. 00   0. 08   0. 03  6.20
         ST_29    Stringer (Fissural)  533. 0  545. 0  12.0              1.02  0.66  0.44  17. 92   0. 04   0. 02  4.04
         ST_33    Stringer (Fissural)  221. 0  225. 0  4.0               2.34  0.11  0.58  21. 50   0. 06   NA     3.86
         ST_48    Stringer (Fissural)  312. 0  314. 0  2.0               0.08  0.87  0.04  14. 00   0. 13   NA     3.31

CuEq % 8.38 9.02 1.19 1.24 1.22 2.53 1.77 1.60 2.13 1.38 1.32 1.14

 

 

Quality Assurance and Quality Control

Core samples are retrieved from the core barrel by the drilling crew. Each
core box is labeled with the drill hole number, the depth intervals, and an
arrow indicating the downhole direction. Core samples retrieved from the
barrel are immediately transferred to the core boxes and transported to the
logging facilities in batches. After the logging, the core is cut in half and
placed in labeled sample bags with the sample tags and transported to the
sample preparation lab of ALS Lab, in Seville, Spain. Samples are dried,
crushed to 70% passing 2 mm, split and finally pulverized to 85% passing 75
mm. Pulp samples are then sent to their analytical Laboratory in Galway,
Ireland, for analysis. The core samples are analyzed for gold (ppm) by fire
assay (Au‐AA25), and for the other elements by two different ICP Multi
element analysis: 1) (ME-ICPORE) - base metal ores and mill products by
optical emission spectrometry using the Varian Vista inductively coupled
plasma spectrometer 2) ME-MS61r: Four-acid digestion paired with ICP-MS and
ICP-AES with REE analytes included.

ALS Laboratories has routine quality control procedures which ensure that
every batch of samples includes three sample repeats, two commercial standards
and blanks. ALS Laboratories is independent from Ascendant. Ascendant used
standard QA/QC procedures, when inserting reference standards and blanks, for
the drilling program. No significant QAQC failure issues were identified in
the reported batches.

Review of Technical Information

The scientific and technical information in this press release has been
reviewed and approved by Joao Barros, BSc (Engineering), MSc (Geology), who
has more than 17 years of relevant experience in the field of activity
concerned. Mr. Barros is a Member of the Portuguese Engineers Association. Mr.
Barros is employed by Redcorp Empreedimentos Mineiros, Lda., a 50% owned
subsidiary of M&FI, and has consented to the inclusion of the material in
the form and context in which it appears.

 

This announcement contains inside information for the purposes of Article 7 of
the UK version of Regulation (EU) No 596/2014 which is part of UK law by
virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon
the publication of this announcement via a Regulatory Information Service,
this inside information is now considered to be in the public domain.

 

FOR MORE INFORMATION:

 

Jacques Vaillancourt, Mineral & Financial Investments Ltd.
+44 7 802 268 247

Katy Mitchell and Ben Good, WH Ireland Limited
            +44 207 220 1666

Jon Belliss, Novum Securities Limited
                +44 207 399 9400

 

 1  Equivalency calculations are based on in-situ values only. Commodity
prices used are as follows: Zn: US$1.20/lb, Pb: US$1.00/lb, Cu: US$3.50/lb,
Ag: US$20/Oz, Au: US$1,650/Oz and Sn: US$12/lb.

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