CEO.CA Chairman's Briefing

Discovery of gold-rich VMS system creates potential game changing upside for Santa Helena

LONDON, UK / ACCESSWIRE / November 20, 2024 / Meridian Mining UK. S ( TSX:MNO )(Frankfurt/Tradegate:2MM )(OTCQX: MRRDF ) ("Meridian" or the "Company") is pleased to announce the most significant high-grade gold-rich VMS drill intersection to date from the Santa Helena Au-Cu-Ag & Zn VMS deposit ("Santa Helena"). CD-605 returned a lateral extension of75.6m @ 4.6g/t AuEq / 3.1% CuEq(3.0g/t Au, 1.0% Cu, 30.2g/t Ag & 2.5% Zn) from 32.4m, ("Figure 1") where the deposit has moved towards hosting a high-grade gold rich VMS domain. CD-605 is open with potentially significant upside for further along strike and down dip extensions. Drilling is ongoing and further assays are pending.

Highlights Reported Today

• Meridian's CD-605 drills 75.6m @ 4.6g/t AuEq / 3.1% CuEq at Santa Helena;

• Santa Helena assays significant gold dominant VMS mineralization with CD-605's75.6m @ 3.0g/t Au, 1.0% Cu, 30.2 g/t Ag & 2.5% Zn from 32.4m, linking the historical resource areas;

• Santa Helena's high-grade gold VMS mineralization remains open along strike and down dip;

  • Drilling continues to test for further extensions of this high-grade gold mineralization;

  • Highest grade of silver, assaying 507g/t Ag, encountered to date in the Cabaçal VMS Belt;

• CD-605 Au-Cu-Ag & Zn intercept now links Santa Helena as a continuous ~1.4km high-grade system ;

• Santa Helena resource program returns more shallow high-grade Au-Cu-Ag & Zn mineralization;

  • CD-601: 13.1m @ 6.6g/t AuEq / 4.4% CuEq from 94.5m;

  • CD-591: 5.0m @ 8.9g/t AuEq / 5.9% CuEq from 23.4m;

  • CD-583: 8.8m @ 2.6g/t AuEq / 1.7% CuEq from 15.5m; and

  • CD-573: 9.7m @ 3.2g/t AuEq / 2.1% CuEq from 55.0m.

*See technical note for true thickness estimate and separate AuEq and CuEq equations.

Mr. Gilbert Clark, CEO, comments: "CD-605 is a potential game changer for Santa Helena's prospectivity and for the wider VMS belt. We have now identified that the western resource extensions to Santa Helena host a high-grade gold rich VMS domain, that the high-grade gold mineralization is consistent over the entire interval, and that it remains open. CD-605 and our other neighbouring results show that we are intercepting high-grade gold and other base metals in an area with sparse historical drilling that was only partially sampled. Santa Helena now hosts a continuous layer of high-grade Cu-Au-Ag & Zn mineralization, extending over 1.4km, with a VMS horizon of up to ~28m in true thickness at open pitable depths, that remains open. For the greater Cabaçal VMS belt we now know that the exploration potential for both high-grade gold and base metal VMS deposits is further enhanced."

Santa Helena Drill Results
The Santa Helena drilling program has continued to deliver a strong flow of gold-copper-silver and zinc results. Important results in particular have been returned from drilling in the open western sector of the deposit, where the host mine horizon has a poor surface expression due to colluvial cover. Historical modelling ("Figure 2") had previously inserted a break in the interpretation of the VMS mineral envelope in this location. However, the Company observed that its recent geophysical surveys delineated a strong anomaly extending uninterrupted to the west from Santa Helena.

CD-605 has intersected the core of a high-grade gold VMS system and returned a down-hole intersection of 75.6m @ 4.6g/t AuEq / 3.1% CuEq from 32.4m and contains particularly strong levels of gold mineralization. The Santa Helena drill-hole database, prior to this intersection, contained only sixteen samples above a 10 g/t gold limit. CD-605 has returned seven individual VMS samples above 10g/t gold to a peak of 14.2g/t Au (the third highest value in the Santa Helena database). CD-605 has also assayed strong to high-grade silver mineralization including the highest recorded assay to date of 507g/t Ag.

Sub-sections of the CD-605 75.6m interval include:

• 7.2m @ 7.2g/t Au, 1.0% Cu, 20.9g/t Ag & 1.0% Zn from 34.4m;

• 8.3m @ 6.1g/t Au, 1.3% Cu, 4.2g/t Ag & 0.8% Zn from 46.1m;

• 2.7m @ 8.9g/t Au, 1.2% Cu, 18.0g/t Ag & 1.1% Zn from 61.8m;

• 9.4m @ 4.1g/t Au, 3.2% Cu, 107.3g/t Ag & 2.1% Zn from 78.2m; and

• 8.3m @ 1.4g/t Au, 0.7% Cu, 63.2g/t Ag & 9.9% Zn from 97.1m.

Lead assays are not included in the gold equivalent formula until a metallurgical program is completed.

CD-605 builds on the recently announced results drilled into this area. CD-539 first returned 40.4m @ 1.8g/t AuEq / 1.2% CuEq from 16.9m in this western position [1]. This result extended the limits of mineralization up to 55m west-northwest of Meridian's CD-411, which returned 22.5m @ 1.9g/t AuEq from 11.0m [2]. CD-600 has returned 45.8m @ 1.6g/t AuEq / 1.1% CuEq from 15.0m, drilling laterally to the CD-539 position. The CD-605 result now extends the mineralization a distance of 106m to the west of CD-411, but with a change to a gold rich sector of the VMS system, and halfway across the gap in the previous VMS envelope model ("Figure 2"). CD-605 terminated at 168.7m, close to some footwall mineralization (4.5m @ 1.1% Zn, 0.1g/t Au & 2.2g/t Ag from 162.0m). CD-605 indicates a strengthening of the gold mineralization in the main VMS layer to the west of CD-539 and CD-600. Results from one additional hole are pending and further holes are being planned.

CD-605's gold mineralization's true width is still under interpretation with further fan drilling ongoing. With the three current fan holes, the intercept is confirmed as an extension of the known Santa Helena Au-Cu-Ag & Zn mine horizon and is considered to be up to 15-17m thick. The Santa Helena VMS package to the east can vary in width up to a maximum of 28m.

In conjunction with elevated gold and silver values, the three fan holes show elevated bismuth values to a peak of 326ppm. At the Cabaçal deposit, the Cu-Au-Ag VMS system has experienced a later stage gold overprint event with elevated bismuth. This geochemistry is seen in camps such as La Ronde - Penna, which like Cabaçal, has a subvolcanic tonalite intrusive body contributing to the metal associations. The azimuth of CD-605, whilst at a lower angle to the VMS trend, is at a higher angle to a NE-trending gradient in the chargeability response. The significance of this gradient remains to be determined, but potentially marks a converging structural trend. Some further oblique drilling will be conducted in this region, and more broadly through the deposit, to determine if there is any directional bias to the gold population associated with cross-structures.

An interesting aspect of the La Ronde - Penna camp is that the VMS lenses are stacked at different stratigraphic intervals. With the Cabaçal Belt being characterised by gentle dips, there is a significant footprint of unexplored stratigraphy between the sub-volcanic intrusive system and the known VMS mineralization of the Santa Helena and Cabaçal deposits. With potential for gold mineralization associated with the syn-volcanic event and subsequent introduction/remobilization in the subsequent deformational history, a range of conceivable targets exist. These may have different geophysical signatures compared to the base metal endowed VMS deposits of the Cabaçal mine and Santa Helena.

Santa Helena Infill Drill Program
As part of the ongoing resource program at Santa Helena, additional results of interest over the central part of the historical mine area are reported ("Table 1"). These include:

CD-573: returned 9.7m @ 3.2g/t AuEq / 2.1% CuEq from 55.0m and 3.8m @ 4.0g/t AuEq / 2.7% CuEq from 68.0m. This aligns with the main VMS mine horizon. A deeper horizon of 2.6m @ 4.2g/t AuEq / 2.8% CuEq from 82.6m may represent a stacked lens of a second horizon, or potentially part of a footwall feeder zone.

CD-601: drilled in the mine area to test the void model, this hole confirmed continuous high-grade mineralization of 13.1m @ 6.6g/t AuEq / 4.4% CuEq from 94.5m.

Infill drilling in the up-plunge eastern sector of the deposit, 80 to 175m east of the limit of the historical resource, returned several shallow results:

• CD-577: 10.5m @ 2.0g/t AuEq / 1.3% CuEq from 22.1m;

• CD-582: 5.7m @ 2.0g/t AuEq / 1.3%CuEq from 28.1m;

• CD-583: 8.8m @ 2.6g/t AuEq / 1.7% CuEq from 15.5m; and

• CD-591: 5.0m @ 8.9g/t AuEq / 5.9% CuEq from 23.4m.

The infill program continues, and further results are pending.

Exploration Upside
Results identified to the west of Santa Helena and at the Cabaçal mine are important in showing that an absence of analytical data in historical drilling does not reflect an absence of mineralization. Options to extend the footprint of Santa Helena's drilling are under evaluation. The western most lines of historical drilling records have limited sampling or no sampling. The geophysical response wanes to the west - it remains to be determined if this reflects a plunging and deepening system, with gradient array IP techniques being shallow seeking methods, or whether the deposit shallows and unsampled weathered mineralization is present.

An important observation is that colluvial material shed from adjacent escarpments masked the surface geochemical response of CD-605's rich zone of mineralization. A number of historical holes had been drilled into this chargeability zone, but have only partial assay data, creating a gap in the interpretation of the VMS horizon that spanned a distance of over ~108m ("Figure 2"), and tapered prior to these recent results. Today's results particularly emphasise that systematic sampling data is required, and that areas with subtle or no surface geochemical responses along the escarpment corridor may still hold significant near surface mineralization due to the masking effects of the overburden.

About Meridian
Meridian Mining is focused on:

• The development and exploration of the advanced stage Cabaçal VMS gold‐copper project;

• The initial resource definition at the second higher-grade VMS asset at Santa Helena as the first stage of the Cabaçal Hub development strategy;

• Regional scale exploration of the Cabaçal VMS belt to expand the Cabaçal Hub strategy; and

• Exploration in the Jaurú & Araputanga Greenstone belts (the above all located in the State of Mato Grosso, Brazil).

The Preliminary Economic Assessment 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 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.

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). Santa Helena mine area generated an initial Exploration Target with a tonnage range of 3.2 -7.2 Mt grading between 3.0 - 3.2g/t AuEq*, which gives a potential high-grade metal inventory range of between 306,000 to 763,000 AuEq ounces, located within 10km of the proposed Cabaçal mill site.

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.meridianmining.co and under the Company's profile on SEDAR+ at 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: info@meridianmining.co
Ph: +1 778 715-6410 (BST)

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Technical Notes
Samples have been analysed at ALS laboratory in Lima, Peru. Samples are dried, crushed with 70% passing 85% passing 200µm. Routine gold analyses have been conducted by Au‐AA24 (fire assay of a 50g charge with AAS finish). High‐grade samples (>10g/t Au) are repeated with a gravimetric finish (Au‐GRA22), and base metal analysis by methods ME-ICP61 and OG62 (four acid digest with ICP-AES finish). Visible gold intervals are sampled by metallic screen fire assay method Au‐SCR21. Samples are held in the Company's secure facilities until dispatched and delivered by staff and commercial couriers to the laboratory. Pulps and coarse rejects are retained and returned to the Company for storage. The Company submits a range of quality control samples, including blanks and gold and polymetallic standards supplied by Rocklabs, ITAK and OREAS, supplementing laboratory quality control procedures. Approximately 5% of archived samples are sent for umpire laboratory analysis, including any lots exhibiting QAQC outliers after discussion with the laboratory. In BP Minerals sampling, gold was analysed historically by fire assay and base metals by three acid digest and ICP finish at the Nomos laboratory in Rio de Janeiro. Silver was analysed by aqua regia digest with an atomic absorption finish. True width is considered to be 70-90% of intersection width, except for low-angle holes CD-600, CD-605 which are considered-d to be ~20% of true width. Assay figures and intervals are rounded to 1 decimal place.

Gold equivalents for Santa Helena are based on metallurgical recoveries from the historical resource calculation, updated with pricing forecasts aligned with the Cabaçal PEA. AuEq (g/t) = (Au(g/t) * 65%Recovery) + (1.492*Cu(%) * 89%Recovery) + (0.474*Zn% * 89%Recovery)) + (0.013*Ag(g/t) * 61%Recovery)). CuEq (%) = (Cu(%) * 89%Recovery) + (0.318*Zn% * 89%Recovery)) + (0.67*Au(g/t) * 65%Recovery) + (0.0087*Ag(g/t) * 61%Recovery)). Metallurgical testwork is currently in progress to evaluate recoveries in primary lithologies and saprolite, with formulas to be updated based on revised recoveries pricing.

Qualified Person
Mr. Erich Marques, B.Sc., FAIG, 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 inherent risks and uncertainties, as disclosed under the heading "Risk Factors" in Meridian's most recent Annual Information Form filed on 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.

Table 1: Assay results reported in this release.

[1] Meridian Mining News Release of September 23, 2024.

[2] Meridian Mining News Release of January 10, 2024.

SOURCE: Meridian Mining SE