March 23, 2017

Bisha Delivers Substantial Resource Growth from 2016 Drilling

Bisha Mining Share Company (the “Company” or “BMSC”) is pleased to announce the updated mineral resource estimates effective December 31, 2016, for the Bisha, Harena and Asheli deposits in Eritrea.  These updated resources form the first part of the annual year end mineral resource and mineral reserve statement for 2016.  The updated mineral reserve estimate, currently in-progress, should be released in late May or early June 2017.

Highlights

  • Increased Harena Inferred resources by nearly 130% to 25 million tonnes grading 0.93% copper, 4.76% zinc, 0.8 g/t gold and 31 g/t silver
  • Harena remains open with further drilling ongoing in 2017
  • Maiden Inferred resource for Asheli totalling 2.4 million tonnes grading 1.86% copper, 8.59% zinc, 0.4 g/t gold, and 30 g/t silver
  • Additional targets immediately along strike of Asheli presently being evaluated
  • Increased Bisha district Inferred resources by over 100% to 31 million tonnes containing 667 million pounds copper, 3.3 billion pounds zinc, 780 thousand ounces gold, and 30 million ounces silver
  • Measured and Indicated resources of 38 million tonnes containing 869 million pounds copper, 3.5 billion pounds zinc, 710 thousand ounces gold and 41 million ounces silver

BMSC’s Chairman, Cliff Davis, commented, “Our 2016 regional exploration program built on 2015 successes adding over 1.1 billion copper equivalent pounds of inferred resources. Harena, in particular, continues to increase in size and has growing underground mining potential to extend the mine life at Bisha.  Our exploration drilling was also successful in defining a new massive sulphide resource at Asheli, further highlighting the prospectivity of the Bisha District to host additional resources.”

Mr. Davis went on to say, “ENAMCO continues to invest in regional exploration at Bisha with the ongoing objective to significantly increase the mine life of our operation.”

Tables 1.1 to 1.7 containing the complete mineral resource estimates for each deposit are appended at the end of this release.  Copper equivalent is calculated by dividing contained zinc by 2.5 and adding to contained copper.

Harena

In 2016, 6,080 metres of new drilling was completed at Harena continuing to extend the deposit to depth where it remains open. The inferred resource at Harena grew to over 25 million tonnes from 11 million tonnes the year earlier, for an additional 162 million pounds of copper, 1,668 million pounds of zinc, 280 thousand ounces of gold and 10.2 million ounces of silver.  New metallurgical testing found the expected recovery for zinc to be 85%, an improvement on the previous recoveries of 72% after testing with a more representative set of material.  Drilling continues at Harena in an effort to expand the deposit to depth.

Asheli

Asheli was discovered in June 2015 by Bisha as part of the Regional Exploration Program.  In 2016, 12,918 metres of drilling was completed in 28 holes resulting in the definition of a new inferred resource of 2.4 million tonnes containing 98 million pounds of copper and 455 million pounds of zinc.  Importantly, Asheli’s average grade of 1.9% copper and 8.6% zinc is higher than either Harena or Bisha’s primary sulphide grade.  Drilling continues in the Asheli area following up on encouraging mineralization recently discovered 200 metres north of the main deposit.

Bisha

At Bisha, 11,770 metres of drilling in 21 holes was completed in 2016 testing the deposit below the proposed ultimate pit. This work has determined the down dip extent of the deposit.  Considerable additional diamond drill core and reverse circulation drilling for production and metallurgical test work was also completed which has improved our understanding of the zonation, composition and recovery of the various ore types.  Measured and Indicated resources including stockpiles at Bisha now stand at 23.4 million tonnes containing 529 million pounds of copper, 2,836 million pounds of zinc, 560 thousand ounces of gold and 34 million ounces of silver, a small decrease mostly due to mining depletion.

Forward Looking Statements

Forward-looking statements are frequently, but not always, identified by words such as “expects,” “anticipates,” “believes,” “intends,” “estimated,” “potential,” “possible” and similar expressions, or statements that events, conditions or results “will,” “may,” “could” or “should” occur or be achieved.  Forward-looking statements are statements concerning the Company’s current beliefs, plans and expectations about the future including but not limited to commercial production, future production of copper and related cash flows and other events or conditions that may occur in the future, and are inherently uncertain.

Bisha Mining Share Company

“Cliff T. Davis”

Cliff T. Davis
Chairman

 

Mineral Resources

The below reported Mineral Resources for Bisha and Harena are inclusive of Mineral Reserves which will be reported later.

Table 1.1: Consolidated Bisha, Harena, Northwest, Hambok and Asheli Mineral Resource as at 31 December 2016.

(Phil Jankowski, MAusIMM (CP), (BMSC))

Measured

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)


Oxide

10

 

 

40

8.4

 

 

10

1

Supergene

30

2.97

 

30

0.6

2,000

 

30

1

Boundary

10

5.57

1.24

54

0.6

1,000

<1000

20

<1

Primary

1,250

1.02

6.62

42

0.8

28,000

183,000

1,690

31

Total Measured

1,300

31,000

183,000

1,740

33

Indicated

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Supergene

1,130

1.45

 

10

0.3

36,000

 

360

11

Boundary

60

1.34

1.85

24

0.5

2,000

2,000

40

1

Primary

32,480

1.00

4.24

33

0.5

715,000

3,038,000

34,240

547

Total Indicated

33,660

753,000

3,040,000

34,650

559

Total Measured and Indicated (including stockpiles)

37,800

869,000

3,451,000

41,250

710

Inferred

Contained Metal

 

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Oxide

650

 

 

19

2.9

 

 

390

59

Supergene

880

1.19

 

4

0.4

23,000

 

100

12

Primary

28,900

0.99

5.21

31

0.8

634,000

3,318,000

28,870

700

Total Inferred

30,430

657,000

3,318,000

29,370

770

Total Inferred (including stockpiles)

30,940

667,000

3,318,000

29,900

780

Notes to be read in conjunction with the Resource table above:

(1) Tonnage is rounded to the nearest 10,000 tonnes and grades are rounded to two decimal places for copper and zinc, one decimal place for gold, and zero decimal places for silver. Contained metal for copper and zinc are rounded to the nearest million pounds. Contained metal for silver is rounded to the nearest 10,000 ounces and gold is rounded to the nearest 1,000 ounces.

(2) Rounding as required by reporting guidelines may result in apparent summation differences between tonnes, grade and contained metal content.

(3) Consolidated Resource Table includes all surface stockpiles

(4) Tonnage and grade measurements are in metrics units. Contained gold and silver ounces are reported as troy ounces, contained copper and zinc as avoirdupois pounds.

(5) Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.


Table 1.2: Stockpile Mineral Resource as at 31 December 2016

(Phil Jankowski, MAusIMM (CP), (BMSC))

Measured (Stockpiles)

Contained Metal


Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Oxide

320

 

 

172

5.1

 

 

1,750

51

Supergene

40

2.33

 

38

0.7

2,000

 

40

1

Boundary

2,290

1.56

4.13

39

0.8

79,000

208,000

2,830

61

Primary

200

0.74

4.5

36

0.7

3,000

20,000

230

5

Total Measured

2,840

84,000

228,000

4,850

118

Inferred (Stockpiles)

Contained Metal

 

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Oxide-Au

210

 

 

70

1.2

 

 

480

8

Oxide-Cu

300

1.45

 

6

0.2

10,000

 

60

2

Total Inferred

510

10,000

540

10

Notes to be read in conjunction with the Resource table above:

(1) Measured Oxide comprises Bisha LTS (Long Term Stockpile) and Harena MOP stockpiles.

(2) Measured Supergene comprises Bisha LTS stockpiles.

(3) Measured Boundary comprises Bisha ROM, River Bed and LTS Boundary Ore that has been stockpiled during the mining of the Primary ore; processing of Boundary to date has produced a Bulk Cu-Zn Concentrate using a 10% blend of Boundary Ore with primary ore from the Bisha mine to the process plant.

(4) Measured Primary comprises Bisha ROM and Crushed Ore stockpiles.

(5) Inferred Oxide comprises River Bed Pyrite Sand, North Dump and Bisha LTS Hangingwall Copper Ore; further metallurgical studies are required to finalize a metallurgical treatment flowsheet for this material.

(6) Stockpiles are estimated by multiplying their surveyed volumes with a loose density derived by factoring their measured insitu density by an appropriate swell factor. Grades are taken from their insitu grade as estimated by close spaced grade control drilling. Tonnage is rounded to the nearest 10,000 tonnes and grades are rounded to two decimal places for copper and zinc, one decimal place for gold, and zero decimal places for silver. Contained metal for copper and zinc are rounded to the nearest million pounds. Contained metal for silver is rounded to the nearest 10,000 ounces and gold is rounded to the nearest 1,000 ounces.

(7) Rounding may result in apparent summation differences between tonnes, grade and contained metal content.

(8) Tonnage and grade measurements are in metrics units. Contained gold and silver ounces are reported as troy ounces, contained copper and zinc pounds as imperial pounds.


Table 1.3: Bisha Mineral Resource as at 31 December 2016.

(Phil Jankowski, MAusIMM (CP), (BMSC))

Measured (Open Pit)

Contained Metal


Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Oxide

10

 

 

40

8.4

 

 

10

1

Supergene

30

2.97

 

30

0.6

2,000

 

30

1

Boundary

10

5.57

1.24

54

0.6

1,000

<1000

20

<1

Primary

1,250

1.02

6.62

42

0.8

28,000

183,000

1,690

31

Total OP Measured

1,300

31,000

183,000

1,740

33

Indicated (Open Pit)

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Supergene

110

1.33

 

10

0.4

3,000

 

40

1

Boundary

60

1.34

1.85

24

0.5

2,000

2,000

40

1

Primary

19,140

0.97

5.74

45

0.7

409,000

2,422,000

27,410

412

Total OP Indicated

19,310

414,000

2,424,000

27,490

414

Total OP Measured and Indicated

20,600

446,000

2,608,000

29,230

448

Inferred (Open Pit)

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Oxide

10

 

 

25

1.6

 

 

10

<1

Supergene

780

1.23

 

1

0.1

21,000

 

30

2

Total OP Inferred

790

21,000

<1000

40

2

Inferred (Underground)

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Primary

1,460

0.73

7.44

43

0.9

24,000

240,000

2,020

42

Total UG Inferred

1,460

0.73

7.44

43

0.9

24,000

240,000

2,020

42

Total Inferred

2,250

45,000

240,000

2,060

44













Notes to be read in conjunction with the Resource table above:

(1) Mineral Resources are defined within an optimal Lerch-Grossman (LG) Pit Shell, generated using metal prices for copper, zinc, gold and silver of $3.00lb, $1.20/lb, $1,265/oz and $21/oz respectively using blocks of all Resource categories. The mining cost and total ore based cost (process, G&A and stockpile rehandle) applied was approximately 10-15% below the long term view on costs. Overall pit slopes varied from 38° to 44°. NSR cut-off ($US/t) used were: $37.50 for Oxide Phase, $37.00 for Supergene and $35.00 for Primary Phase.

(2). Tonnage is rounded to the nearest 10,000 tonnes and grades are rounded to two decimal places for copper and zinc, one decimal place for gold, and zero decimal places for silver. Contained metal for copper and zinc are rounded to the nearest million pounds. Contained metal for silver is rounded to the nearest 10,000 ounces and gold is rounded to the nearest 1,000 ounces.

(3) Rounding as required by reporting guidelines may result in apparent summation differences between tonnes, grade and contained metal content.

(4) Tonnage and grade measurements are in metrics units. Contained gold and silver ounces are reported as troy ounces, contained copper and zinc as avoirdupois pounds.

(5) The Underground resource was derived by defining a shape around contiguous blocks with an NSR > $100/t outside the optimized resource pit shell. The $100 NSR cutoff represents the processing cost plus approximately $60/t mining cost.

(6) Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.


Table 1.4: Harena Mineral Resource as at 31 December 2016.

(Phil Jankowski, MAusIMM (CP), (BMSC))

Indicated (Open Pit)

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Primary

3,950

0.87

3.16

28

0.6

76,000

274,000

3,520

74

Total OP Indicated

3,950

76,000

274,000

3,520

74

Inferred (Open Pit)

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Oxide

120

 

 

20

2.0

 

 

70

8

Primary

1,920

0.87

2.49

40

1.0

37,000

105,000

2,450

63

Total OP Inferred

2,040

37,000

105,000

2,530

71

Inferred (Underground)

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Total UG Inferred

23,020

0.93

4.96

30

0.8

473,000

2,515,000

22,050

558

 

Total Inferred

25,060

510,000

2,620,000

24,580

628

Notes to be read in conjunction with the Resource table above:

(1) Mineral Resources are defined within an optimal Lerchs-Grossman (LG) pit shell, generated using metal prices for copper, zinc, gold and silver of $3.00/lb, $1.20/lb, $1,265/oz and $21/oz respectively using blocks of all Resource categories. The mining cost and total ore based cost (process, G&A and stockpile rehandle) applied was approximately 10% below the long term view on costs with appropriate ore haulage costs for each satellite deposit. Overall pit slopes varied from 29 deg to 35.5 deg. NSR cut-offs ($US/t) used were $40.00 for Oxide and $41.00 for Primary.

(2) Net Smelter Return values were calculated for each block using all resource categories, metal prices, recoveries, appropriate smelter terms and downstream costs. Metallurgical recoveries, supported by metallurgical test work, were applied as follows: Oxide zone: a recovery of 75% and 22% were applied for gold and silver respectively; and Primary zone; recoveries to copper concentrate of 85%, 36% and 29% were applied for copper, gold and silver respectively. A zinc recovery to zinc concentrate of 85% was applied.

(3) Mineral Resources are reported within the pit shell generated using the specified commodity prices, using NSR block grade cut-off derived as above. Tonnage is rounded to the nearest 10,000 tonnes and grades are rounded to two decimal places for copper and zinc, one decimal place for gold, and zero decimal places for silver. Contained metal for copper and zinc are rounded to the nearest million pounds. Contained metal for silver is rounded to the nearest 10,000 ounces and gold is rounded to the nearest 1,000 ounces.

(4) Rounding may result in apparent summation differences between tonnes, grade and contained metal content.

(5) Tonnage and grade measurements are in metrics units. Contained gold and silver ounces are reported as troy ounces, contained copper and zinc pounds as imperial pounds.

(6) Underground Inferred Resources were derived by selecting contiguous blocks outside the optimized resource pit shell, with an NSR cutoff of $100, which represents the processing cost plus approximately $60/t mining cost.

(7) Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.


Table 1.5: Northwest Mineral Resource as at 31 December 2016.

(Phil Jankowski, MAusIMM (CP), (BMSC))

Indicated (Open Pit)

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Oxide

 

 

 

 

 

 

 

 

 

Supergene

1,020

1.47

 

10

0.2

33,150

 

330

10

Primary

2,530

1.04

1.08

13

0.3

58,020

60,250

1,050

20

Total Indicated

3,550

91,170

60,250

1,380

30

 

 

 

 

 

 

 

 

 

Inferred (Open Pit)

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Oxide

500

 

 

18

3.7

 

 

300

50

Supergene

100

0.8

 

19

3.7

2,000

 

70

10

Primary

100

0.9

0.9

15

2.9

2,400

2,400

60

10

Total Inferred

700

4,400

2,400

430

70












Notes to be read in conjunction with the Resource tables for Northwest above:

(1) No change has occurred Northwest since 2014 which used metal prices for copper, zinc, gold and silver of $3.35/lb, $1.05/lb, $1,350/oz and $23/oz, respectively. Mineral Resources are defined within an optimal Lerchs-Grossman (LG) Pit Shell. The mining cost and total ore based cost (process, G&A and stockpile rehandle) applied was approximately 10% below the long term view on costs with appropriate ore haulage costs for each satellite deposit. Overall pit slopes varied from 39 to 45 for Northwest . NSR cut-off ($US/t) used were: $40.70 for Oxide Phase, $39.70 for Supergene and Primary Phase.

(2) Net Smelter Return values were calculated for each block using all resource categories, metal prices, recoveries, appropriate smelter terms and downstream costs. Metallurgical recoveries, supported by metallurgical test work, were applied as follows:

  1. Oxide Phase; recoveries of 88% and 22% were applied to gold and silver respectively.
  2. Supergene Phase; recoveries of 87%, 46% and 50% were applied for copper, gold and silver respectively. Zinc has not been assigned a recovery as the values are isolated on the fringes of the deposit.
  3. Primary Phase; recoveries to copper concentrate of 87%, 36% and 29% were applied for copper, gold and silver respectively. Recoveries to zinc concentrate of 81%, 36% and 29% were applied for zinc, gold and silver respectively.

(3) Mineral Resources are reported within the pit shell generated using the specified commodity prices, using NSR block grade cut-off derived as above. Tonnage is rounded to the nearest 10,000 tonnes and grades are rounded to two decimal places for copper and zinc, one decimal place for gold and zero decimal places for silver. Tonnages and grades for the Inferred category are further rounded reflecting the uncertainty that attaches to this category. Contained metal for copper and zinc are rounded to the nearest ten thousand pounds.

(4) Rounding as required by reporting guidelines may result in apparent summation differences between tonnes, grade and contained metal content.

(5) Tonnage and grade measurements are in metrics units. Contained gold and silver ounces are reported as troy ounces, contained copper and zinc pounds as imperial pounds.


Table 1.6: Hambok Mineral Resource as at 31 December 2016.

(Phil Jankowski, MAusIMM (CP), (BMSC))

Indicated (Open Pit)

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Oxide

 

 

 

 

 

 

 

 

 

Primary

6,860

1.14

1.86

10

0.2

172,370

281,240

2,260

40

Total Indicated

6,860

172,370

281,240

2,260

40

 

 

 

 

 

 

 

 

 

Inferred (Open Pit)

Contained Metal

Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Oxide

20

 

 

17

1.5

 

 

10

1

Primary

2

0.9

0.2

8

0.2

30

10

0

0

Total Inferred

22

30

10

10

1

Notes to be read in conjunction with the Resource tables for Hambok above:

(1) No change has occurred to Hambok since 2014 which used metal prices for copper, zinc, gold and silver of $3.35/lb, $1.05/lb, $1,350/oz and $23/oz, respectively. Mineral Resources are defined within an optimal Lerchs-Grossman (LG) Pit Shell. The mining cost and total ore based cost (process, G&A and stockpile rehandle) applied was approximately 10% below the long term view on costs with appropriate ore haulage costs for each satellite deposit. Overall pit slopes was 40 overall for Hambok (preliminary assessment). NSR cut-off ($US/t) used were: $44.45 for Oxide Phase and $43.45 for Primary Phase.

(2) Net Smelter Return values were calculated for each block using all resource categories, metal prices, recoveries, appropriate smelter terms and downstream costs. Metallurgical recoveries, supported by metallurgical test work, were applied as follows:

  1. Oxide Phase; recoveries of 88% and 22% were applied to gold and silver respectively.
  2. Primary Phase; recoveries to copper concentrate of 88%, 87%, 36% and 29% were applied for copper, zinc, gold and silver respectively. Preliminary metallurgical characterization studies, but not full testing, have been completed for Hambok.

(3) Mineral Resources are reported within the pit shell generated using the specified commodity prices, using NSR block grade cut-off derived as above. Tonnage is rounded to the nearest 10,000 tonnes and grades are rounded to two decimal places for copper and zinc, one decimal place for gold and zero decimal places for silver. Contained metal for copper and zinc are rounded to the nearest ten thousand pounds.

(4) Rounding as required by reporting guidelines may result in apparent summation differences between tonnes, grade and contained metal content.

(5) Tonnage and grade measurements are in metrics units. Contained gold and silver ounces are reported as troy ounces, contained copper and zinc pounds as imperial pounds.

 

 

Table 1.7: Asheli Mineral Resource as at 31 December 2016.

(Phil Jankowski, MAusIMM (CP), (BMSC))

Inferred (Underground)

Contained Metal


Tonnes

Copper

Zinc

Silver

Gold

Cu

Zn

Ag

Au

Domain

(`000s)

(%)

(%)

(g/t)

(g/t)

(‘000 lbs)

(‘000 lbs)

(‘000 Oz)

(‘000 Oz)

Primary

2,400

1.86

8.59

30

0.4

98,400

455,000

2,320

31

Total Inferred

2,400

1.86

8.59

30

0.4

98,400

455,000

2,320

31

Notes to be read in conjunction with the Resource table above:

(1) Mineral Resources are defined within an interpreted massive sulphide body. No cutoffs have been applied due to the dimensions and continuity of the mineralisation, and the low confidence in the local grade estimate as reflected in the resource classification.

(2). Tonnage is rounded to the nearest 10,000 tonnes and grades are rounded to two decimal places for copper and zinc, one decimal place for gold, and zero decimal places for silver. Contained metal for copper and zinc are rounded to the nearest million pounds. Contained metal for silver is rounded to the nearest 10,000 ounces and gold is rounded to the nearest 1,000 ounces.

(3) Rounding as required by reporting guidelines may result in apparent summation differences between tonnes, grade and contained metal content.

(4) Tonnage and grade measurements are in metrics units. Contained gold and silver ounces are reported as troy ounces, contained copper and zinc as avoirdupois pounds.

(5) An open pit optimisation failed to produce any optimal pit. The resource is being considered as having potential for underground mining.

(6) Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.