AMSTERDAM, The Netherlands,
April 18, 2017 /CNW/ - Meridian
Mining S.E. (TSX V: MNO) ("Meridian" or the "Company"), today
provided an update on exploration results from its Bom Futuro tin
joint venture in the state of Rondônia in northwestern Brazil.
HIGHLIGHTS
- Exploration programs return strong primary tin results from the
Bom Futuro Hill;
- High-grade intersection encountered in most drill holes, with
broader low-grade halos;
- Highlights include 2m @ 3.7% Sn and 5.9m @ 1.26%
Sn;
- Peak grades of 7.4% Sn encountered in the Bom Futuro
pegmatites;
- Final data processing advancing on geophysics program for
primary and palaeochannel targets.
"Results from our early programs have reinforced our belief that
modern exploration techniques will uncover a range of exciting new
opportunities in the Bom Futuro District," said Anthony Julien, President and CEO of Meridian.
"We are continuing to engage with our Joint Venture Partners
Coopersanta over development options in the Central Area based on
the strength of these results, and will be expanding our
geophysical targeting programs more broadly through the licence
area as a near-term priority."
"The drilling results are particularly encouraging. For
illustrative purposes, the comparable value in gold equivalent
terms of a 1% tin grade is 5g/t Au (at year to date average LME
prices for the first quarter of US$20,006 per ton for tin and US$1,238/oz for gold). Intersection grades of
3.7% Sn and 1.26% Sn equating to gold-equivalent grades of 18.6g/t
and 6.3g/t highlight the exploration opportunities at depth at Bom
Futuro. The Company is extending the scope of its metallurgical
testwork program to include a review of the primary mineralization
in conjunction with its tailing studies."
PROJECT BACKGROUND
Mineralization was discovered at the Bom Futuro Project in 1987
and mining operations have since generated 192,000t of tin,
representing ~3% of global production. The Company's joint venture
partner, Coopersanta, currently operates tailings retreatment
plants, and palaeochannel / bedrock mines. Meridian ratified a
joint venture agreement with Coopersanta in March following a
three-month due diligence period. The Company is evaluating
tailings reprocessing scenarios in allocated areas, and is
exploring for primary / palaeochannel targets in the 2,000ha
"Central Area", and a 18,000ha "Unexplored Area" (refer to press
releases of December 19, 2016 and
March 16, 2017).
MERIDIAN BEDROCK DRILLING PROGRAM
Eight holes tested the Bom Futuro Hill, an area of ~1
km2 where concentric ring structures dip moderately
outwards around a central breccia pipe. These veins structures sit
in a "roof pendant" setting, within a body of gneissic host rocks
believed to overlie an untested source intrusion at depth (Figure
1). Three holes also tested the Palanqueta Granite, an intrusive
body located to the immediate northeast.
Based on descriptions of the historical workings and the level
of endowment, the Company believes that increased drilling may
result in better delineation of thickened high-grade zones amenable
to underground mining, and identification of clustered vein arrays
amenable to lower-grade open pit mining. Meridian drill hole
locations are illustrated in more detail in Figure 2, with results
summarized in the annexed Intersection Table. Significant outcomes
of the drilling and mapping program include:
- Coarse cassiterite mineralization persists at depth.
Geologically "blind" vein and pegmatite bodies are present –
mineralized bodies which have no direct surface expression (refer
to sections of Figures 1, 3, 4). The ultimate depth limit to the
vein system remains to be defined. The historical drilling has been
ineffective in testing the depth extensions (with half of prior
holes drilled to inclined depths of 60-100m, with a maximum depth
of 220.7m) The outer limit of the mineralized ring systems also
remains to be defined, with the structures concealed by younger
cover around the foot of the Bom Futuro Hill.
- Meridian's drilling program has returned the best results from
the Bom Futuro Hill to date:
-
- Hole DDH_BF_0009A, targeting the southern end of the Cascavel
Pit, returned:
-
- 5.9m @ 1.26% Sn from 68.5m, including 1.03m @
3.36% Sn from 68.5m; and
- 2m @ 3.70% Sn from 88.8m, including 0.55m @ 7.4%
Sn from 88.8m (Figure 3).
- Other notable results included Hole DDH_BF_0008 (east of
current mining area):
-
- 0.49m @ 7.21% Sn from 15.2m;
- 0.3m @ 1.97% from 22.8m; and
- 0.57m @ 4.03% from 74.7m
- Strong concentrations of tin mineralization were reported from
the pegmatites of the Cascavel Pit during its operations; this area
presents a strong target for further evaluation down-dip from the
historical workings.
- Multiple high-grade intersections were encountered in many
other holes. Considered in conjunction with lower grade
mineralization, results can be composited into wider intervals
including:
-
- Hole DDH_BF_0001: 100.3m @ 0.14% Sn from surface;
- Hole DDH_BF_0008: 70.75m @ 0.16% from 15.2m; and
- Hole DDH_BF_0009A: 88.04m @ 0.24% Sn from 53.3m.
- Further review is required to assess the bulk intersections, as
not all holes are extended to consistent depths through the same
sequence of veining (Figure 4), and the vein systems are open at
depth.
- A multi-element review remains in progress, with additional
results and sampling pending. A variety of metals and minerals of
economic interest have been recorded in the Bom Futuro system,
including lithium mica, sulfides (sphalerite, chalcopyrite, galena,
stannite), wolframite, columbite-tantalite (typically as inclusions
in the cassiterite), ilmenite and rutile. Historical multi-element
drilling data also indicates some silver is also present in the
system, with peak bedrock grades of 1m @ 77 g/t Ag from 202m and
grades of 1-3 oz/t Ag encountered in the overburden.
- Evidence of alteration was observed over the central breccia
pipe during mapping. One short drill hole was positioned to test
this position, encountering a broad interval of low levels of
mineralization:
-
- Hole DDH_BF_0011: 41.06m @ 757 ppm Sn from surface, including:
0.5m @ 1.19% from 9.1m
- The recognition of anomalous tin gives rise to untested target
styles for breccia-hosted mineralization, with deposits known to
occur in such settings in other tin mining districts, with lodes
sometimes concealed from the surface (e.g. Ardlethan Tin Field,
Australia; Uchkoshkon Tin Deposit,
Kyrgyzstan, Sadisdorf, Tin Deposit
Germany).
- Locally intervals of saprolite-hosted mineralization have been
encountered, indicating that not all mineralized saprolite has been
stripped by previous operations in the area:
-
- DDH_BF_0010: 22m @ 400ppm Sn from surface (over Palanqueta
Granite); and
- DDH_BF_0002: 12.92m @ 522ppm Sn from surface (southern flank of
Bom Futuro Hill).
Such zones may have been too low grade for garimpeiro-style
workings, but may offer potential synergies with a more
sophisticated tailings retreatment plant. Opportunities to optimize
low-grade remnant resources will be discussed with the joint
venture partner Coopersanta.
MERIDIAN GEOPHYSICAL EXPLORATION PROGRAM
Meridian engaged the Brazilian contract ground survey group AFC
Geofisica to complete orientation gravity, ground magnetic, and
chargeability / resistivity surveys. The data has been undergoing
processing by AFC and Meridian's geophysical consultancy Core
Geophysics. The survey covered the northern half of the Bom Futuro
Hill and extended northwards, covering a 2km2 area. Core Geophysics
also supervised ~80 line kilometres of trial Ground Penetrating
Radar surveys using cutting edge UltraGPR technology. Data is
undergoing final processing by Groundradar Inc and Core
Geophysics.
Primary and palaeochannel targets are emerging from this review.
The Company will provide an update on the geophysical evaluation in
due course.
NEXT STEPS
- Further detailed geological interpretation will be undertaken
in the Central Area, in conjunction with multi-element analysis of
core, channel samples, and historical pulps (where available). A
further round of drill target definition will follow the completion
of ground geophysics over the southern sector of the Bom Futuro
Hill environment.
- Reconnaissance field evaluation is now extending into the
"Non-Explored" area, although mappable exposure is more limited due
to the younger sedimentary cover. Quotations are being sought from
aerial survey contractors for aerial magnetic / conductivity /
radiometric surveys, with the intention to complete surveys in the
second half of the year during the dry season after permits are
obtained. The aerial surveys will be designed to fast-track the
definition of the channel trends and resolve shallow bedrock
structure and primary mineralization targets.
INTERSECTION TABLE
Hole_Id
|
Target
|
Location
|
Dip /
Azimuth
|
Final
Depth
|
Results
|
DDH_BF_0001
|
Bom Futuro Hill
North Flank
|
439482E
8918981N
|
-60/203
|
136.5
|
100.3m @ 0.14% Sn
from surface, including:
- 0.5m @ 1.52% Sn from 14m
- 0.46m @
1.26% Sn from 26.4m
- 0.5m @ 1.63% Sn from 30m
- 0.5m @ 1.16% Sn from 34.2m
- 0.33m @ 1.26% Sn from 36.4m
- 0.3m @ 3.1% Sn from 37.5m
- 0.49m @ 1.56% Sn from 91.7m
- 1.12m @ 1.22% Sn from 96.1m
- 0.56m @ 1.04% Sn from 97.7m
|
DDH_BF_0002
|
Bom Futuro Hill
SE Flank
|
438976E
8917967N
|
-60/020
|
191.0
|
12.92m @ 522ppm Sn
from surface (saprolite) 0.27m
@ 2.69% Sn from 22.1m
0.32m @ 6.95% Sn from 51.4m
0.5m @ 1.44% Sn from 119m
|
DDH_BF_0003
|
Bom Futuro Hill
North Flank
|
439252E
8918857N
|
-65/160
|
84.0
|
29.76m @ 0.18% Sn
from 20.3m, including:
- 0.26m @ 5.14% Sn from 20.3m
-
0.6m @ 2.75% Sn from 49.5m
|
DDH_BF_0004
|
Bom Futuro Hill
North Flank
|
439589E
8919052N
|
-50/210
|
234.1
|
49.2m @ 0.17% Sn from
69.5m, including: - 0.53m @ 1.84% Sn from
69.5m
- 0.35m @ 1.97% Sn from 77.4m
- 0.55m @ 1.04% Sn from 111.8m
- 1.72m @ 1.07% Sn from 115.7m 0.5m @ 1.16% Sn from 137.8m
|
DDH_BF_0005
|
Bom Futuro Hill
West Flank; Xuxa Pit
|
438761E
8918655N
|
-50/097
|
180.0
|
Trace
Mineralization
|
DDH_BF_0006
|
Palanqueta
Hill
|
440105E
8919692N
|
-50/227
|
44.7
|
Greisen with trace
mineralization.
Interpreted flank of breccia pipe.
Geophysical follow-up.
|
DDH_BF_0007
|
Palanqueta
Hill
|
440103E
8919678N
|
-50/313
|
43.2
|
DDH_BF_0008
|
Bom Futuro Hill
"Body 3", East Flank
|
439889E
8918461N
|
-60/270
|
108.6
|
70.75m @ 0.16% from
15.2m, including:
- 0.49m @ 7.21% from 15.2m
- 0.3m @ 1.97% from 22.8m
- 0.57m @ 4.03% from 74.7m
|
DDH_BF_0009A
|
Bom Futuro Hill
Southern extension
of the Cascavel Pit
|
439789E
8918715N
|
-50/305
|
166.7
|
88.04m @ 0.24% Sn
from 53.3m, including:
- 0.53m @ 1.84% Sn from 69.5m
- 5.9m @ 1.26% Sn from 68.5m
- 2m @ 3.7% Sn from 88.8m
- 0.19m @ 1.89% from 141.1m
|
DDH_BF_0010
|
Palanqueta
Granite
|
439923E
8919053N
|
-50/220
|
54.3
|
22m @ 400ppm Sn from
surface (saprolite)
|
DDH_BF_0011
|
Central Breccia
Pipe
|
439187E
8918535N
|
-50/130
|
45.2
|
41.06m @ 757 ppm Sn
from surface, including:
- 0.5m @ 1.19% from 9.1m
|
Intersections are quoted as down-hole lengths. The drilling
intersects the vein packages at high angles and true widths are
estimated at >90-95% of the intersection width.
QUALIFIED PERSON
The technical information about the Company's exploration
activity has been has been prepared under the supervision of and
verified by Dr. Adrian McArthur
(B.Sc. Hons, PhD. FAusIMM), the Chief Geologist of Meridian Mining,
who is a "qualified person" within the meaning of National
Instrument 43-101.
On behalf of the Board of Directors of
Meridian Mining S.E.
"Anthony Julien"
Anthony Julien
President, CEO and Director
ABOUT MERIDIAN
Meridian Mining S.E. is focused on the acquisition, exploration,
development and mining activities in Brazil. The Company is currently focused on
exploring and developing the BMC manganese project, the Bom Futuro
tin JV area, and adjacent areas in the state of Rondônia. The
Company employs a two-pronged strategy with the objective of
growing pilot production while advancing a parallel multi-commodity
regional exploration program. Meridian is currently producing high
grade manganese at its project located at Espigão de Oeste.
Further information can be found at www.meridianmining.co.
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 include, among others,
statements with respect to the Company's plans for exploration and
development of its properties and potential mineralization. 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 results, 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 development activities,
exploration and development risks, title matters, inability to
obtain any required third party consents, operating hazards, metal
prices, political and economic factors, competitive factors,
general economic conditions, relationships 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, but not limited to, the assumptions
that: (1) the proposed exploration and development 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 has been established. In particular, because the Company's
production decision relating to BMC's manganese project is not
based upon a feasibility study of mineral reserves, the economic
and technical viability of the BMC manganese project has not been
established.
The TSX Venture Exchange has in no way passed upon the merits of
the proposed Arrangement and 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.
NOTES
The diamond drilling program is being conducted by Layne Do
Brasil Sondagens Ltda and a hand-portable drill rig subleased from
Energold Perfurações Ltda.
Collar positions initially are recorded by hand-held GPS,
followed by later survey with differential GPS. The reported grid
system for the collar coordinates is WGS UTM Zone 20S. Down
hole-deviation is measured by a Reflex Gyro survey tool.
Recovery is recorded against individual core runs whilst
drilling, and any areas of core loss that can be specifically
identified are recorded. Holes undergo geological and basic
geotechnical logging, and are photographed prior to sampling.
Recovery is generally good to excellent. Some core loss may be
incurred where the mineralized intervals are softer and
friable. Overall core recoveries from the wider primary
bedrock intersections range from 97-100%; the reported
high-grade intersections (>1% Sn) have 100% core recoveries. The
saprolite intersection of DDH_BF_0010 had some core loss
with overall recovery of 75%.
Samples are collected as half-HQ core where the core is
competent. When occasionally broken, half the sample is
hand-picked. Sampling is conducted to geological boundaries. Until
dispatch, samples are stored in the Coopersanta's supervised
compound or the Company's exploration office. Individual bags are
fitted with a tamper-proof bar-coded seal. The samples are
couriered to the preparation laboratory using a commercial
contractor (Eucatur). The remaining half-core is retained in
under-cover storage in the Coopersanta's supervised
compound.
The preparation was conducted at the ALS facility in Goiânia
(Goiás State; Avenida Anhangüera, Qd 25 Lt 11, no. 15.060 Setor
Santos Dumont Goiania - Goiás - CEP: 74.463-350). Samples are
dried then crushed to better than 70% of the sample passing 2 mm,
then split using a riffle splitter. A sample split of up to 250 g
is pulverized to better than 85% of the sample passing 75 microns.
Pulps were sent on to the analytical laboratory in Canada. After analysis they are later returned
to the Company.
Tin analysis is conducted by a variety of XRF methods XRF10
and XRF15b, depending on the expected grade and rock composition. A
limited amount of multi-element evaluation has been undertaken by
these XRF techniques and by method XRF30. Reporting of
multi-element results will follow upon completion of a
comprehensive review.
Analytical results are monitored through the use of
Company-submitted certified reference materials, and internal ALS
quality control procedures. Results are well-within acceptable
ranges. Meridian conducts periodic round-robin testwork on
selections of pulps.
The reference to gold equivalent (AuEq) grades is provided as
a reference point for investors unfamiliar with tin. The
calculation does not incorporate other metal credits. Quoted gold
equivalent grades are based on the averaged monthly year to date
pricing data published by the London Metal Exchange and the World
Gold Council for the first quarter: Gold: US$1,237.75; Tin (Cash Buyer) US$20,006.32.
https://www.lme.com/metals/reports/averages/
https://www.gold.org/research/download-the-gold-price-since-1978
AuEq (g/t) = 31.1034768 x [tin grade (%) x tin price (per
metric ton)] / [gold price (per troy ounce)].
100%
recovery is assumed for illustrative purposes. The Company will
incorporate testwork on drill core into its ongoing metallurgical
testwork programs at the project to review recoveries.
SOURCE Meridian Mining S.E.