Meridian Commences Strategic Review of Non-Core Exploration Assets IN Brazil
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MERIDIAN COMMENCES STRATEGIC REVIEW OF NON-CORE EXPLORATION ASSETS IN BRAZIL
LONDON, United Kingdom, October 4, 2023 / Accesswire / Meridian Mining UK S (TSX: MNO) (OTCQX:
MRRDF) (Frankfurt/Tradegate: 2MM) (“Meridian” or the “Company”) is pleased to report that given the
advancement of the Company’s flagship Cabaçal gold-copper-silver VMS project, it has commenced a
comprehensive corporate review to identify, examine and consider opportunities related to its non-core
exploration portfolio. The portfolio of projects under review consists of the Espigão polymetallic project,
the Ariquemes tin project, and the Mirante de Serra Manganese project, all in the State of Rondônia,
Brazil. The objective of the review is to create a pathway forward for th ese prospective exploration
projects.
Highlights of the Strategic Review
• Meridian considers opportunities for its non-core exploration portfolio in the state of Rondônia ,
Brazil; and
• Meridian has commenced a strategic review of its Rondônia exploration assets.
Meridian is developing the advanced stage copper -gold Cabaçal project (“Cabaçal”) towards a PEA and
resource update as part of the process es of completing of the Cabaçal purchase agreement 1. Prior to
securing Cabaçal, the Company operated numerous exploration projects in the State of Rondônia, Brazil.
To undertake a thorough strategic review of all available strategic alternatives, Meridian has appointed
Beacon Securities Limited as strategic advisor to determine the most beneficial process to create value
for Meridian’s shareholders. This process is being initiated to allow the Company’s management team to
focus solely on Cabaçal’s potential to become Brazil’s next near-term copper-gold producer.
Mr. Gilbert Clark, CEO, comments: “We view these non-core assets as having strategic value as a portfolio
of exploration projects hosting future facing metals in Brazil. The strategic review will allow Meridian to
focused solely on the advanced stage Cabaçal deposit and adjoining portfolio of copper-gold exploration
prospects in Mato Grosso. Our near-term goal is to find the best pathway forward to maximise shareholder
value from the Rondônia exploration portfolio so that our shareholders can be at the start of another
potential Brazilian growth business.
Ms. Susanne Sesselmann, Interim Independent Chair, adds: “As we advance the development of Cabaçal,
it is the right time to commence this review process to unlock the true pot ential of our non-core assets in
Brazil. The Board and Management of Meridian will work closely with our advisors and investment
community to maximize value for all our shareholders.”
NON-CORE RONDÔNIA ASSETS UNDER REVIEW FOR DIVESTMENT
ESPIGÃO PROJECT2
Espigão project is a l arge-scale Iron Oxide-Copper-Gold (“IOCG”) exploration target. IOCG type deposits
host the giant Copper-Gold mines of Brazil and some of the biggest Copper-Gold mines internationally.
Espigão hosts the prospective geochemist ry and gravity survey comparable to large -scale IOCG type
1 See Meridian press releases August 26 and November 9, 2020
2 See Press Release May 5, 2022
deposits e.g., Salobo (Vale) and Olympic Dam (BHP). The project represents an Intrusion Related/IOCG
Copper-Gold exploration opportunity in a new metal frontier, with numerous geochemical and
geophysical targets established along extensive structural corridors.
ARIQUEMES PROJECT3
Ariquemes comprises an ext ensive land package in Brazil's second largest tin field. Geophysical and
geochemical datasets highlight highly prospective signatures consistent with the tin-bearing granites
within the Ariquemes area. Part of the Ariquemes Tin Exploration Portfolio is un der a Joint Venture
Agreement with Orosur Mining Inc. ("Orosur"). The Agreement provides a mechanism for a staged earn-
in by Orosur into the mineral concessions, covering 164,414 Ha. A further 112,311 Ha are held directly by
Meridian.
MIRANTE DE SERRA PROJECT 4
The Mirante de Serra project is a polymetallic exploration project. The licences overlay a sedimentary
basin prospective for manganese mineralization. In total, the exclusive manganese mineral rights to a
length of over ~25km of prospective sedimentary units have been secured. The basement hosts intrusive
rocks of the Serra da Providência . Suite and Jamari Complex, with dome -like features evident in the
radiometrics that will be evaluated for intrusive-related mineralization. The project consists of 55,558 Ha
exploration licences.
There can be no assurance that this review process will lead to the approval or co mpletion of any
transaction. The Company does not intend to provide any updates with respect to this process unless and
until its Board of Directors approves a specific transaction or otherwise concludes its review of strategic
alternatives.
ABOUT MERIDIAN
Meridian Mining UK S is focused on:
• The development and exploration of the advanced stage Cabaçal VMS gold‐copper project;
• Regional scale exploration of the Cabaçal VMS belt;
• Exploration in the Jaurú & Araputanga Greenstone belts (the above all lo cated in the State of
Mato Grosso, Brazil); and
• Advancing the portfolio of exploration projects in the State of Rondônia, Brazil.
Cabaçal is a gold -copper-silver rich VMS deposit with the potential to be a standalone mine within the
50km VMS belt. Cabaçal’s base and precious metal -rich mineralization is hosted by volcanogenic type,
massive, semi-massive, stringer, and disseminated sulphides within deformed metavolcanic-sedimentary
rocks. A later-stage gold overprint event has emplaced high-grade gold mineralization.
The Cabaçal Mineral Resource estimate consists of Indicated resources of 52.9 million tonnes at 0.6g/t
gold, 0.3% copper and 1.4g/t silver and Inferred resources of 10.3 million tonnes at 0.7g/t gold, 0.2%
copper & 1.1g/t silver (at a 0.3 g/t gold equivalent cut -off grade), including a higher-grade near-surface
zone supporting a starter pit.
The Preliminary Economic Assessm ent technical report (the “PEA Technical Report”) dated March 30,
2023, entitled: "Cabaçal Gold -Copper Project NI 43 -101 Technical Report and Preliminary Economic
Assessment, Mato Grosso, Brazil” outlines a base case after-tax NPV5 of USD 573 million and 58.4% IRR
from a pre -production capital cost of USD 180 million, leading to capital repayment in 10.6 months
(assuming metals price scenario of USD 1,650 per ounces of gold, USD 3.59 per pound of copper, and USD
3 See Press Release January 13, 2022
4 See Press Release July 24, 2020
21.35 per ounce of silver). Cabaçal has a low All-in-Sustaining-Cost of USD 671 per ounce gold equivalent
for the first five years, driven by high metallurgical recovery, a low life -of-mine strip ratio of 2.1:1, and
the low operating cost environment of Brazil (see press release dated March 6, 2023).
Readers are encouraged to read the PEA Technical Report in its entirety. The PEA Technical Report may
be found on the Company's website at www.meridianminig.co and under the Comp any's profile on
SEDAR+ at https://www.sedarplus.ca.
The qualified persons for the PEA Technical Report are: Robert Raponi (P. Eng), Principal Metallurgist with
Ausenco Engineering), Scott Elfen (P. E.), Global Lead Geotechnical and Civil Services with Ausenco
Engineering), Simon Tear (PGeo, EurGeol), Principal Geological Consultant of H&SC, Marcelo Batelochi,
(MAusIMM, CP Geo), Geological Consultant of MB Geologia Ltda, Joseph Keane (Mineral Processing
Engineer; P.E), of SGS, and Guilherme Gomides Ferreira (Mine Engineer MAIG) of GE21 Consultoria
Mineral.
On behalf of the Board of Directors of Meridian Mining UK S
Mr. Gilbert Clark
CEO and Director
Meridian Mining UK S
Email: [email protected]
Ph: +1 (778) 715-6410 (PST)
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Further information can be found at: www.meridianmining.co
Qualified Person
Mr. Erich Marques, B.Sc., MAIG, Chief Geologist of Meridian Mining and a Qualified Person as defined by
National Instrument 43-101, has reviewed, and verified the technical information in this news release.
FORWARD-LOOKING STATEMENTS
Some statements in this news release contain forward-looking information or forward-looking statements
for the purposes of applicable securities laws. These statements address future events and conditions and
so involve inhe rent risks and uncertainties, as disclosed under the heading "Risk Factors" in under the
heading "Risk Factors" in Meridian's most recent Annual Information Form filed on
https://www.sedarplus.ca/ While these factors and assumptions are considered reasonable by Meridian,
in light of management’s experience and perception of current conditions and expected developments,
Meridian can give no assurance that such expectations will prove to be correct. Any forward -looking
statement speaks only as of the date on which it is made and, except as may be required by applicable
securities laws, Meridian disclaims any intent or obligation to update any forward -looking statement,
whether as a result of new information, future events, or results or otherwise.