Discovery Of New Gold-Silver System At Cabaçal

LONDON, UK - Meridian Mining UK S reported that drilling has discovered a significant new gold-silver system at the C4-A prospect, 2km southeast of the Cabaçal Mine. This system's surface expression was initially defined by Trench 201. The Company is also reporting further assay results from the ECZ, CCZ, SCZ & CNWE zones2 from its ongoing drill program at the Cabaçal copper-gold VMS project located in Mato Grosso Brazil.

Three surface drill rigs and four drill crews are currently confirming, infilling, and expanding the extensive near-surface copper-gold mineralization of the Cabaçal Mine. Meridian discovery of major new gold-silver system at C4-A, only 2km southeast of the Cabaçal Mine, opening a new resource development prospect for the Cabaçal project; 26.4m @ 0.6g/t Au & 25.2g/t Ag from 56.2m (CD-139) - C4-A Discovery Hole; Discovery follow up CD-142 a 50m step-out to the northwest of CD-139 has intersected a 150m alteration zone with assays pending; Discovery hole is down dip from Trench 20's 44.0m @ 1.5g/t Au; Infill-drilling reported today from Cabaçal, confirms, and extends thick layers of strong copper-gold mineralization and into areas sparsely covered by historical drilling; 50.6m @ 0.9% CuEq* (0.5% Cu, 0.5g/t Au & 2.8g/t Ag) from 49.0m (CD-115) - CCZ; Including 11.0m @ 1.7% CuEq (1.3% Cu, 0.5g/t Au & 8.3g/t Ag) from 88.1m; 31.0m @ 0.7% CuEq (0.4% Cu, 0.2g/t Au, 2.5g/t Ag & 0.4% Zn) from 55m (CD-117) - ECZ; Including 16.8m @ 1.0% CuEq (0.6% Cu, 0.4g/t Au, 3.1g/t Ag & 0.5% Zn) from 59.0m; 67.5m @ 0.5% CuEq (0.4% Cu, 0.1g/t Au & 1.3g/t Ag) from 3.1m (CD-119) - ECZ; and 17.6m @ 1.3% CuEq (0.8% Cu, 0.7g/t Au, 3.3g/t Ag & 0.4% Zn) from 81.4m; 24.5m @ 0.6% CuEq (0.4% Cu, 0.2g/t Au & 1.1g/t Ag) from 39m (CD-125) - ECZ; and Soil sampling program extends CNWE's surface footprint by 300m to 1,250m, remains open.

Adrian McArthur, CEO and President, said, "I congratulate the geology team on their discovery of a new bedrock precious metal system at C4-A, 2km to the southeast of Cabaçal, and ongoing positive results from the Cabaçal drill program. This discovery highlights Cabaçal's incredible potential to continue to build, not only via historical targets but from new discoveries in this under-explored greenstone belt."

Drilling Confirms C4-A as a Significant New Gold-Silver Discovery, 2Km Southeast of the Cabaçal Mine. Diamond drill holes CD-139 and CD-142 were collared down dip and along strike from Trench 20's 44.0m @ 1.5g/t Au, CD-142's assays are pending. Multiple zones of gold and silver mineralization have been defined within CD-139, with very strong silver grades in excess of 250 g/t encountered. The gold-silver mineralization intersected is coincident with a 200m long chargeabilty anomaly, and lies along strike from a further 700m long chargeabilty anomaly. CD-142 intersected two strong alteration zones, 50m along strike from CD-139, with the larger zone extending from 99m to 250m down hole; field portable XRF data indicates they are auriferous. This gold-silver discovery is part of a larger 3.5km trend that hosts multiple gold in-soil anomalies with coincident IP anomalies. Meridian is evaluating the possibility that this new system within the Mine Corridor trend is precious metal dominant. This discovery opens an entirely new resource development prospect for the Cabaçal project and is only 2km southeast of the Cabaçal Mine, reflecting the Project's upside and scalability.

Infill-drilling reported within the ECZ, confirms and extends thick layers of strong copper-gold mineralization into an area sparsely covered by historical drilling. The ECZ is the shallowest part of the Cabaçal Mine area with its northeastern limb extending to surface. Drilling within the CCZ has returned further wide layers of copper-gold mineralization with CD-115's 50.6m @ 0.9% CuEq, including an open northwesterly trending extension of the gold overprint assaying 41.3 g/t Au (ID CBDS15175) over 0.35m.

Drilling along the CNWE's southwestern limb is confirming an open zone of strong copper-gold-silver-zinc mineralization with a gold overprint. Recent drilling activity by CD-141 and CD-143 (assays pending) has intersected strong zones of sulphides, with CD-143 coring a steep vein with visible gold, 325m northwest of the limit of mine development, continuing to highlight the potential for higher grade mineralization that was missed with the vertical drilling. Assays are pending. The southwest side of the CNWE is considered open. The results of a recent soil program has extended the CNWE prospective area a further 300m and now stands at 1250m; the trend is open and is limited by a landowners boundary.