Meridian announces technical review of stream sediment data
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Meridian announces technical review of stream sediment data
Pathfinder mineral suite consistent with extensive dynamic hydrothermal /
magmatic system
May 18, 2020 - Meridian Mining SE (TSXV: MNO) ("Meridian" or the "Company") today reports on the
results of technical reviews on its stream sediment data, in relation to the Company’s renewed exploration
focus on Cu -Au polymetallic mineralization . The Company ha s completed a review of both its stream
sediment and soil sampling data, and assays from drill programs of the previous manganese operation.
The results strengthen the Company’s belief that the Espigão is prospective for a zoned Cu-Au system.
With highlights including:
A suite of recognized pathfinder minerals associated with known IOCG and porphyry style systems
is centred within the Espigão tenements;
The pathfinder minerals show variation in their spatial distribution, consistent with zonation
recognized to date in gold and base metals from trenching and drilling results;
The results s upport the Company’s exploration model , that mineralisation within the extensive
surface hydrothermal veins systems located within the Espigão Project may be associated with an
underlying blind mineral system.
The Company initiated a pan concentrate heavy mineral sampling program in 2015, with over 500 samples
collected locally and regionally. Within the current Espigão tenure, over 300 samples were sent to SGS for
mineralogical review, verifying field recognition of detrital gold. The work lead to the definition of initial
focus areas for follow-up soil sampling1. An initial phase of trenching and drilling confirmed saprolite and
shallow bedrock gold mineralization before programs were suspended due to funding restrictions2.
Historical production of manganese oxide up to December 2019 has built an extensive multi-element
database. A characteristic of the manganese concentrates is that they are consistently elevated in copper,
at levels of >0.2% Cu to a maximum of 0.8% Cu. Base metal anomalies are reflected in drilling and
trenching returned peak values of 6.56% Pb, 0.52% Cu, 0.18% Z n, 0.11% Co. The focus of the Company’s
more recent exploration reviews has been on interpretation of broader trends, which are interpreted to
reflect hydrothermal partitioning of base metals 3 . Base -metal enriched manganese veins are a
characteristic of hydrothermal systems, and can be developed in the carapace and peripheral settings to
porphyry Cu-Au systems, and some iron-oxide copper-gold (IOCG) systems such as the Kitumba deposit in
the Mumbwa district of Zambia.
1 Cancana Resources news release of 19/07/16.
2 Meridian Mining news releases of 14/06/17, 20/11/17.
3 Meridian Mining news releases of 8/11/18, 12/06/19.
Background
Various mineral systems are associated with indicator minerals, developed a combination of magmatic
fractionation processes and hydrothermal alternation. In IOCG systems, p otential indicator minerals
include: Oxides (hematite, magnetite, rutile, spinel, uraninite), Silicates (allanite, amphibole, actinolite,
chlorite, epidote, garnet, titanite, tourmaline, vesuvianite, zircon, thorite), Phosphates (apatite, monazite,
xenotime), and Sulphides (Bi, Cu, Co sulphid e phases, pyrite). In porphyry systems, the chemistry of
specific mineral phases is undertaken to discriminate fertility (zircon, plagioclase, magnetite, apatite,
titanite, rutile, epidote and chlorite).
Meridian Survey Data
The Company has revisited the stream sediment mineralogical database to assess whether there is some
spatial distribution in indicator minerals that may support trends in fractionation or hydrothermal
alteration. Key observations are that:
• Molybdenite was recognized in concentrates in the close to the peak gold anomalies in the Coice de
Cobra and Gazeta areas, with one heavy mineral concentrate containing up to 10% molybdenite.
• Traces of copper minerals cuprite and chalcopyrite were identified in the Coice de Cobra area, and in
one sample detached from the gold anomalies in the central part of the project area. Pyrite, or
partially oxidized pyrite-limonite grains, are present – generally at trace levels, but up to a peak of 6%
at Gazeta. It is noted that sulphide phases are likely to be under-represented due degradation in the
tropical weathering environment.
• Most samples contain variable levels of ilmenite, magnetite, or hematite. One sample from the Coice
de Cobra area contained specular hematite. Pea k magnetite concentrations are observed in the
southern to central part of the project area, and locally in the Gazeta and Coice de Cobra area.
• Trace to low percentile levels of indicator minerals Titanite, Thorite, and Spinel occur at Coice de Cobra
and Gazeta regions, and locally in adjacent structural extensions
• Rutile has the highest concentration and clustering in the Coice de Cobra area, where it forms up to
34% of the heavy mineral concentrate. In the Gazeta area it peaks at 13%. Subsidiary peaks in the 10-
20% range are clustered elsewhere in the project area. Rutile is typically more abundan t in sulfide-
bearing deposits where it is stabilized rutile at the expense of ilmenite, and is present in both porphyry
and IOCG systems.
• Higher epidote concentrations are evident at Gazeta (and more variably in the Coice de Cobra area).
The pattern is suggestive of a hydrothermal influence, as opposed to regional metamorphism where
a more even distribution might be expected.
• Tourmaline, often an indicator of more fractionated and hydrous melts, occurs with peak values of 1-
8% in the Gazeta region. It is present at trace levels elsewhere, including Coice de Cobra. Values to 2%
in concentrates near Eduardo Mendes, where satellite gold counts were also evident.
• Zircon is present throughout the project. Proportionally less zircon is present in the Gazeta and Coice
de Cobra areas, reflecting the increased abundance of other silicate and oxide phases described
above. Additional studies on zircon morphology and chemistry would be required to distinguish those
formed by hydrothermal and igneous processes. Studies can provide particular insights into the
thermal history of the area.
• Garnet is highest at Gazeta (peak of 10%). The peak value at Coice de Cobra is 2%, whereas elsewhere
it is at trace levels.
• Monazite has a relatively broad distribution. Peak values of 30% in a heavy mineral concentrate occurs
on the flank of a radiometric high and likely relates to a fractionated granite phase. Isolated values of
1-15% occur on the eastern side of the project area. The other phosphate minerals are present tend
to be more commonly developed on the eastern margin of the project area (Apatite, Monazite,
Phosphate, Florencite, Gorceixite, Xenotime). Xenotime is restricted to the Coice de Cobra area.
• Cassiterite is present in some samples, often at trace levels, but locally in higher concentrations
associated with radiometrics highs.
Next Steps
Variation in the spatial distribution and abundance of m ineral phases suggests that there are localized
centres where hydrothermal alteration and/or magmatic processes may influence the distribution of
associated metals. The Company has launched a capital raising, and subject to financing , o pportunities
exist to build on this database by: 1) E xtension of the program to more sparely sampled areas, 2)
Evaluating more specifically to chemistry of individual phases for fertility indicators, 3) Building the rock
chip and lithogeochemical database to direct ide ntification of mineralization, or favourable host rocks.
The Coice de Cobra and Gazeta areas are under application for licence renewal, and the initial focus will
include:
- Evaluation of Eduardo Mendes area, where vein assemblages show particularly elevated base metal
contents and some detrital gold has been recognized in the drainage system.
- Evaluation of Antonio Gomes area, where peak Cu was returned from concentrates.
- A more general prospecting campaign targeting iron oxide breccias which locally envelop and extend
from the manganese veins, to identify any associated gold and base metal anomalies.
Mr Clark states, “The work by Dr McArthur’s and his team has been adding to the solid technical base of
the copper and gold prospectivity at Espigão. It is very exciting to see that when the stream sediment
sampling program was reinterpreted for a possible relationship with IOCG or intrusive systems that the
results came out so positive. As we move forward with the capital raise to fund the exploration programs
it is important that all information and data collected to date is used to de -risk the future drill program
and focus on the discovery that we think Espigão can deliver and that Meridian’s current and future
shareholders hope for.”
A presentation on the stream sampling results can be downloaded from the Company’s web site.
On behalf of the Board of Directors of Meridian Mining SE
Gilbert Clark
Interim CEO, President and Director
Meridian Mining S.E.
Ph: +1 778-715-6410 (PST)
NOTES
Positive visual identifications of gold in field pan-concentrates are cross-checked by mineralogical reports
at SGS Geosol Laboratórios Ltda (Method Code ANACL_MIN). For drainage sampling, this represents a 20
litre bucket of alluvium from the lower level of a stream channel. The technique is an indicator of minerals
of exploration interest in the source area and are not referenced to grade. Gold in drill core and trenching
has been analysed by at SGS in Belo Horizonte by methods FAA323 and FAA505 (fire ass ay of 30g / 50g
charge), with samples containing visible gold analysed by screen fire assay (SGS method FAASCR). Gold in
soil samples have been analysed by at SGS in Belo Horizonte by method FAA505 , with a selection of
samples also analysed for multielement package by method ICP40B. Manganese and multi-element results
have been in drilling and trenching along with some production samples have been analysed at SGS in Belo
Horizonte by XRF techniques (XRF79C) for major oxides in mineralized zones, supplemented by multi-acid
digest and ICP-OES analysis (ICP40B) in areas of trace mineralization or wall -rock alteration. Production
samples have also been analysed at ALS Laboratories (Vancouver, Canada; Lima, Peru; method ME-XRF26),
and Bureau Veritas (Perth, Australia; method XF203). Until dispatch, samples are stored in the company's
supervised stockpile yard or exploration office.
ABOUT MERIDIAN
Meridian Mining SE is focused on the acquisition, exploration, development and mining activities in Brazil.
The Company is currently focused on exploring and developing the Espigao polymetallic project, the
Mirante da Serra manganese project and maintaining the Ariquemes tin exploration portfolio in the state
of Rondônia, Brazil.
Further information can be found at www.meridianmining.co.
FORWARD-LOOKING STATEMENTS
Some statements in this presentation contain forward-looking information or forward-looking statements
for the purposes of applicable securities laws. These statements include, among others, statements with
respect to the Company's plans for exploration, development and exploitation of its properties and
potential mineralisation. These statements address future events and conditions and, as such, involve
known and unknown risks, uncertainties and other factors, which may cause the actual results,
performance or achievements to be materially different from any future re sults, performance or
achievements expressed or implied by the statements. Such risk factors include, among others, failure to
obtain regulatory approvals, failure to complete anticipated transactions, the timing and success of future
exploration and devel opment activities, exploration and development risks, title matters, inability to
obtain any required third party consents, operating risks and hazards, metal prices, political and economic
factors, competitive factors, general economic conditions, relatio nships with strategic partners,
governmental regulation and supervision, seasonality, technological change, industry practices and one -
time events. In making the forward -looking statements, the Company has applied several material
assumptions including, b ut not limited to, the assumptions that: (1) the proposed exploration,
development and exploitation of mineral projects will proceed as planned; (2) market fundamentals will
result in sustained metals and minerals prices and (3) any additional financing needed will be available on
reasonable terms. The Company expressly disclaims any intention or obligation to update or revise any
forward-looking statements whether as a result of new information, future events or otherwise except as
otherwise required by applicable securities legislation.
The Company cautions that it has not completed any feasibility studies on any of its mineral properties,
and no mineral reserve estimate or mineral resource estimate has been established. In particular,
because the Company's production decision relating to Meridian Mineracao Jaburi S.A, manganese
project is not based upon a feasibility study of mineral reserves, the economic and technical viability of
the Espigão manganese project has not been established
The TSX Ven ture Exchange has neither approved nor disapproved the contents of this news release.
Neither 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.