Meridian Reports New Trends of Gold and Copper Mineralization at Cabaçal CNWE’s drills new intervals grading up to 70.1 g/t gold and 6.2 % copper
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Meridian Reports New Trends of Gold and Copper Mineralization at Cabaçal
CNWE’s drills new intervals grading up to 70.1 g/t gold and 6.2 % copper
LONDON, United Kingdom, October 19, 202 2 / Accesswire / Meridian Mining UK S ( TSX: MNO )
(Frankfurt/Tradegate: 2MM) (OTCQB: MRRDF), (“Meridian” or the “Company”) is pleased to report
further assays from the Cabaça l gold-copper VMS deposit (“Table 1”) . Down-dip resource drilling has
intercepted new strong gold-copper trends within the CNWE area, while infill drilling has continued to
confirm the high -grade near -surface gold trend within the Indicated Resource envelope, designed to
enhance its level of confidence in the evaluation of high-grade starter pits. Today’s results include a new
copper enriched trend within Cabaçal ’s Northwest Extension (“CNWE”) located outside of the current
Cabaçal Resource1 model (“Figure 1”) with one of the new gold-copper zones also overprinted by a new
high-grade open gold structure. Further assay results are pending.
HIGHLIGHTS REPORTED TODAY2
Meridian drills multiple new high-grade gold veins and copper-gold layers at Cabaçal;
▪ Extension drilling defines new gold-copper rich trend with localized gold overprint;
• New trend graded 13m @ 3.4 g/t Au, 0.9% Cu, & 5.1 g/t Ag from 50.4m (CD-171);
o Intervals of 6.2% Cu over 0.7m and 27.7 g/t Au over 0.3m;
CNWE extensional drilling hits new high -grade gold trend while infill drilling confirms the near -
surface high-grade gold trend (“Figure 2”);
▪ New down-dip high-grade gold trend drilled at the limit of the Indicated Resource;
• 8.8m @ 4.8 g/t Au, 0.2% Cu and 0.8 g/t Ag from 46.7m (CD-194);
o Peak gold interval graded 70.1 g/t Au over 0.35m from 52.87m;
▪ Infill drilling confirms CNWE’s shallow high -grade gold trend within the Indicated Resource
envelope;
• 28.4m @ 1.0 g/t Au, 0.2% Cu & 0.4 g/t Ag, from 23.5m (CD-185), including;
o 4.3m @ 4.6 g/t Au, 0.1% Cu and 0.3 g/t Ag from 37.0m;
Extension drilling intercepts further strong zones of copper enriched VMS mineralization within
the CNWE (“Figure 3”);
• Up-dip trend graded: 15.6m @ 0.8% Cu, 0.2 g/t Au & 1.1 g/t Ag from 42m (CD-193);
o Intervals of 6.0% Cu over 0.4m, 4.4% Cu over 0.35m and 3.8% Cu over 0.8m; and
Assays results to be included in the 2023 Resource update. True widths are approximately 80-90%
of downhole lengths
The separate gold-dominant and copper-enriched trends confirm the zonal aspect of the 1.9km Cabaçal
VMS deposit. Consistent strong copper zones are generally concentrated in the south -east sector of the
1 Meridian news release September 26, 2022 https://meridianmining.wp2.adnetcms.com/press-releases/
2 See this news release’s Note section for individual sample numbers and intervals
deposit, however new copper enriched lenses are emerg ing within the CNWE. The entire deposit is
overprinted by a later stage high grade gold event.
Dr Adrian McArthur, CEO and President comments: “Today’s results have identified new VMS high-grade
gold rich zones and copper-gold layers and are very encouraging as these and future results will contribute
to the 2023 resource update. These results have also opened the CNWE for another two corridors where
the high-grade gold overprint is present. Having continual strong results at shallow depths support our
views that the Cabaçal gold-copper deposit offers strong optionality in its early years for high-grade feed
for rapid capital payback, backed by a larger resource. The Company plans to update the resource early
in the second quarter of 2023, and in parallel continues with data compilation and evaluation of targets
to prepare for expanded exploration programs targeting and unlocking the potential of the broader belt.”
CABAÇAL’S INFILL AND EXTENSIONAL DRILL PROGRAM
The infill program of angled holes has been critical in defining high -grade gold trends plunging gently to
the south that were previously not detected in the historical program. Whilst much of the CNWE is gold-
dominant, the recent detection of higher -grade copper-dominant copper-gold mineralization in CD -193
and CD -171 suggests potential to yet define further higher-grade shoots of stringer copper sulphide
mineralization plunging through this part of the VMS system.
The Company is focusing its future studies on the resource’s higher -grade zone that is hosted within a
coherent trend along the deposit 's 1.9km strike length. Ongoing drilling has focussed on continuing the
closure of the broad -spaced 100m historical drill sections and preparing the project for a full feasibility
study. The Company intends to update the mineral resource estimate early in the second quarter of 2023.
The Company froze assay results for the Cabaçal database in mid -August, to commission a mineral
resource estimate which was reported on September 26, 2022. The Company's inaugural mineral resource
estimate for Cabaçal delivered Indicated Resources hosting 1.1M ounces gold, 168.0 Kt of copper and
2.4M ounces of silver, and Inferred Resources hosting 0.2M ounces gold, 24.5 Kt of coppe r and 0.4M
ounces of silver. The inaugural resource reflected the discovery of significant additional gold -dominant
mineralization in the north -west extension during the infill and extensional drilling program , which
resulted in a significant increase in known mineralization from historic estimates.
The objectives of the ongoing program are:
1. To complete an angled drilling pattern on a 50 x 50m grid to define the ultimate limits of economic
mineralization and convert inferred resources to indicated resources;
2. To conduct further closure to a 25 x 25m pattern in select areas to increase confidence in shallow
mineralization representing potential targets for higher -grade starter pits in development studies;
and
3. To target select drilling into shallow resource areas where prior sampling was limited or absent and
verify copper recovery in the oxide zone (currently set to zero).
Work continues on compilation and validation of the data for the shallow and high-grade Zn-Cu-Au-Ag
Santa Helena deposit which will be targeted as the next resource development project following statutory
approvals by the environmental agencies, along with evaluation of a range of high priority gold and copper
exploration targets within the Cabaçal belt’s C2 Trend3.
3 Meridian news release September 6, 2022 https://meridianmining.wp2.adnetcms.com/press-releases/
Figure 1: Collar map of drill results reported today in relation to resource outline.
Figure 2: Gold-rich intersections from the CNWE. Top: CD-194 intersection: 8.8m @ 4.8 g/t Au, 0.2% Cu
and 0.8 g/t Ag from 46.7m – results will add a new higher-grade zone to the block model; assays pending
from the lower part of the hole. Bottom: CD-185 – resource infill hole returning high-grade mineralization
in predicted position on 25m infill section (28.4m @ 1.0 g/t Au, 0.2% Cu & 0.4 g/t Ag, from 23.5m,
including: 4.3m @ 4.6 g/t Au, 0.1% Cu and 0.3g/t Ag from 37.0m).
Figure 3: Copper-rich intersections from the CNWE. Top: CD-171, returning 13.0m @ 0.9% Cu, 3.4 g/t Au
and 5.1 g/t Ag from 50.4m : Bottom: CD-193, returning 15.6m @ 0.8% Cu, 0.2 g/t Au & 1.1 g/t Ag from
42.0m.
ABOUT CABAÇAL
In November 2020, Meridian signed a Purchase Agreement to acquire 100% ownership certain tenements
covering the historical Cabaçal and Santa Helena mines and the along strike tenements from two, private,
Brazilian companies (“Vendors”). Subsequently, Merid ian expanded its land tenure to today’s 55km of
strike length. Cabaçal had two historical, shallow, high -grade selectively mined underground mines that
cumulatively produced ~34 million pounds of copper, ~170,108 ounces of gold, ~1,033,532 ounces of
silver and ~103 million pounds of zinc via conventional flotation and gravity metallurgical processes.
Meridian has defined an open trend of shallow copper-gold mineralization centred on the Cabaçal Mine.
This mineralization trends Northwest -Southeast, sub -crops along its Northeast limits and dips to the
southwest at 26° and is up 90m thick; presenting excellent open -pit geometry and mineral endowment.
Meridian is currently focused on infilling drilling along a 2,000m corridor along this trend.
Cabaçal’s base and precious metal -rich mineralization is hosted by volcanogenic type, massive, semi -
massive, stringer, and disseminated sulphides within units of deformed metavolcanic -sedimentary rocks
(“VMS”). A later stage sub -vertical gold overprint event has emplaced hi gh-grade gold mineralization
truncating the dipping VMS layers. It was explored and developed by BP Minerals/Rio-Tinto from 1983 to
1991 and then by the Vendors in the mid 2000’s. This historical exploration database includes over 83,000
metres of drilling, extensive regional mapping, soil surveys, metallurgy from production reports and both
surface and airborne geophysics. The majority of Cabaçal’s prospects remain to be tested.
Cabaçal has excellent infrastructure with access by all-weather road, industrial electricity provided by the
adjacent hydroelectric power station supplying this clean energy grid, and local communities provide a
large population to draw employees from. Cabaçal consists of 1 mining license, 1 mining lease application
and 7 exploration claims which total 44,265 hectares. The September 2022 Cabaçal mineral resource
estimate consists of Indicated resources of 52.9Mt @ 0.6g/t Au, 0.3% Cu and 1.4g/t Ag and Inferred
resources of 9.0Mt @ 0.7g/t Au, 0.2% Cu & 1.1g/t Ag (0.3 g/t AuEq cut-off grade), with strong optionality
for targeting higher grade mineralization using a 0.5 AuEq cut-off for the future development studies.
ABOUT MERIDIAN
Meridian Mining UK S is focused on the acquisition, exploration, and development activities in Brazil. The
Company is currently focused on resource development of the Cabaçal VMS copper -gold project,
exploration in the Jaurú & Araputanga Greenstone belts located in the state of Mato Grosso; exploring
the Espigão polymetallic project an d the Mirante da Serra manganese project in the State of Rondônia
Brazil.
On behalf of the Board of Directors of Meridian Mining UK S
Dr. Adrian McArthur
CEO, President, and Director
Executive Chairman
Meridian Mining UK S
Email: [email protected]
Ph: +1 (778) 715-6410 (PST)
Notes
Sample CBDS23253: 6.2% Cu, 8.4g/t Au & 35.1g/t Ag over 0.7m from 58.85m
Sample CBDS23244: 3.8% Cu, 27.7g/t Au & 23.4g/t Ag over 0.3m from 55.35m
One sample pending in interval currently awaiting results from 55.6 - 55.95
Sample CBDS26174: 6.0% Cu, 1.2g/t Au & 5.8g/t Ag over 0.4m from 50.95m
Sample CBDS26171: 4.4% Cu, 1.1g/t Au & 4.3g/t Ag over 0.35m from 48.85m
Sample CBDS26173: 3.8% Cu, 0.7g/t Au & 3.6g/t Ag over 0.8m from 50.15m
Sample CBDS26275: 2.5% Cu, 70.1g/t Au & 12.5g/t Ag over 0.35m from 52.87m
Drill holes have been drilled HQ through the saprolite and upper bedrock and then reduced to NQ –
mineralized intervals represent half HQ or NQ drill core. Samples have been analysed at the accredited SGS
laboratory in Belo Horizonte. Gold analyses have been conducted by FAA505 (fire assay of a 50g charge),
and base metal analysis by methods ICP40B and ICP40B_S (four acid digest with ICP -OES finish). Visible
gold intervals are sampled by metallic screen fire assay method MET150-FAASCR. Samples are held in the
Company’s secure facilities until dispatched and delivered by staff and commercial couriers to the
laboratory. Pulps are retained for umpire testwork, and ultimately returned to the C ompany for storage.
The Company submits a range of quality control samples, including blanks and gold and polymetallic
standards supplied by ITAK and OREAS, supplementing laboratory quality control procedures. True widths
are approximately 80-90% of downhole lengths and assay figures and intervals rounded to 1 decimal place.
Qualified Person
Dr Adrian McArthur, B.Sc. Hons, PhD. FAusIMM., CEO and President of Meridian as well as a Qualified
Person as defined by National Instrument 43 -101, has supervised the preparation of the technical
information in this news release.
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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 inherent risks and uncertainties, as disclosed under the heading "Risk Factors" in under the
heading "Risk Factors" in Meridian's most recen t Annual Information Form filed on www.sedar.com.
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.