MINERAL AND FINANCIAL
INVESTMENTS LIMITED
Investment Update: Ascendant
/ Redcorp Announce Transformative Developments
at Lagoa Salgada VMS Project, Portugal
HIGHLIGHTS:
Ascendant has provided the
following updates:
· Lagoa Salgada poised to
become the next new mine on the Iberian Pyrite
Belt
· Exploration Continues to
Expand Resource Potential
· Phase I test work resulted in
a high-quality saleable concentrate with limited impurities. Phase
II metallurgical test work of the Gossan domain demonstrates
stronger Lead, Vanadium and Precious Metals recoveries - Results
expected in Q1-2025.
· Feasibility Study ("FS")
Optimization should result in a lower Capex to NPV
ratio
· Environmental Impact
Assessment (EIA) submitted with final approval expected in Q1
2025.
· Construction approval
anticipated in Q4 2025.
Camana Bay, Cayman Islands -11 December 2024 -
Mineral and Financial Investments Limited
(LSE-AIM: MAFL) ("M&F" "MAFL" or the "Company") is
pleased to note the announcement from
Ascendant Resources Inc ("Ascendant") highlighting the
significant advancements that have been achieved in 2024 by
Ascendant and Redcorp Empreedimentos
Mineros Lda. ("Redcorp"), ,
who are developing the Lagoa Salgada Polymetallic Project in
Portugal (the Project). The
Project is also being managed by Ascendant. M&F owns a
conditional 20% carried interest in Redcorp and Ascendant owns the
balance (please see the announcement dated 28 November 2022 for
further details). The Lagoa Salgada
VMS Project is located in Portugal's Iberian Pyrite
Belt.
Ascendant has confirmed that recent
progress in exploration, metallurgy, permitting and feasibility
optimization have reinforced Lagoa Salgada's potential to become a
significant global polymetallic project poised for rapid
development with a construction decision expected in
2025.
Jacques Vaillancourt, M&F's Chief Executive Officer,
commented: "This year, work on the
Lagoa Salgada Project has made transformative progress to advance
development beyond our expectations. Validating our belief in the
potential this deposit holds as a near term world-class operation
and a cornerstone of sustainable mining on the Iberian Pyrite Belt.
We believe the recent exploration breakthroughs demonstrate the
district-scale potential at Lagoa Salgada and that the
metallurgical advancements, innovative DFS optimizations continue
to strengthen the project's potential returns. The ongoing efforts
of management this year have continued to push this project forward
making it, what we believe it the most advanced project on the IBP
belt and ready for a hoped-for construction decision in
2025."
As announced on November 4, 2024,
Ascendant initiated a precision drill program targeting the newly
identified anomalies. To date, drilling has targeted the SW North
Zone. A gravity anomaly west and below the North
Deposit.
Recent drilling has unveiled a
previously unrecognized copper-rich feeder system west of the Venda
Nova North Deposit. This discovery, characterized by high-grade
stringer sulphide mineralization opens new resource potential for
ongoing drilling. The mineralization exhibits distinct geological
characteristics:
· Fault Zone Transition: Drilling intersected a fault zone
transitioning into acid volcanic formations, marked by intense
sericitization and sulphide dissemination.
· Chalcopyrite bearing Zones: Based upon visual review Stringer
mineralization intersected between 449.50m and 454.30m depth
showcased significant chalcopyrite, accompanied by traces of
galena, confirming the presence of robust copper
mineralization.
· Expansive Potential: The observed sulphide dissemination from
400m depth strongly suggests proximity to a massive sulphide lens,
with potential to significantly expand the resource
base.
Assays are currently pending and
expected to be released before year end. The discovery of this
potential feeder zone warrants further follow-up drilling to
determine if a proximal massive sulphide lens can be located. While
the current drill plan is limited in scale, initial results appear
highly encouraging to have outlined a new, separate zone to grow
the overall resource base at Lagao Salgada.
igure 1: Planned Drill
Holes
Figure 2 : Longitudinal
section and plan view with location of the current drill program,
outlining new zone with notable Chalcopyrite bearing
stringers
Figure 3: Copper Stringer
Intercepts
Metallurgy
Metallurgical test work programs
have continued after the successful Phase I metallurgical test
works and have demonstrated the ability to produce high-grade
concentrates with competitive recovery rates across multiple
domains:
· Zinc Recovery and Grade: Achieved recoveries of approximately
79% with grades exceeding 45% zinc.
· Lead Concentrates: Delivered recoveries of 53% with grades up
to 45% in the Stockwork domain.
· Copper Recovery: Recoveries range from 48% to 60%, with
concentrate grades surpassing 20%.
The above results establish Lagoa
Salgada's concentrates as highly competitive. Notably,
mercury-reduction techniques have improved concentrate
marketability, with mercury levels reduced to below 500 ppm in zinc
concentrates after thermal treatment.
Phase II: Breakthroughs and Ongoing
Optimization
The Phase II metallurgical test work
at Lagoa Salgada is focused on unlocking additional value across
multiple mineralized domains, building on the progress achieved
during Phase I.
Gossan Domain Optimization in Final Stages
The metallurgical optimization of
the Gossan domain is nearing completion, with significant
advancements in lead and vanadium recoveries. Initial rougher tests have already demonstrated:
· Lead Recoveries of 45% and Vanadium Recovery of 35%, with
ongoing efforts to refine recovery efficiency by adjusting
depressant dosages.
· Precious metal recoveries have also ranged within 50-60%
suggesting the potential to remove the requirement for leaching to
recover this value.
· Strong reporting of Tin to the tailings suggesting the
potential to also improve concentrate and recoveries for the Tin
concentrate.
These optimizations ensure
higher-grade concentrates suitable for cleaner stages while
targeting additional improvements in recovery rates to maximize
economic returns.
Following the success in the Gossan
domain, Phase II test work will now expand to the other key
mineralized zones at Lagoa Salgada. Fresh core samples from these
domains from the current drill program have been meticulously
prepared and stored in a freezer container to prevent oxidation.
These samples are now being transported to Wardell Armstrong and
Petrolab, where advanced metallurgical testing will commence.
The enhancement in recoveries seen in the various domains and the
reduction in deleterious elements are expected to further enhance
overall project economics.
DFS
Optimization: Enhancing Robust Economics
Ascendant Resources has implemented
a series of strategic initiatives to optimize the Lagoa Salgada
Project's Definitive Feasibility Study (DFS), aiming to establish a
foundation for robust financial performance and long-term
operational resilience. The refinements are focused on maximizing
resource utilization, minimizing environmental impacts, and
improving project flexibility while adhering to sustainability
principles. Ascendant is currently engaging third party engineering
firms to formalize the optimization programs which is targeted for
completion in H2/25. It is expected the optimization will result in
a significant inversion of the NPV to Initial Capex
ratio.
Key
Optimization Efforts
· Tailings Management Innovation: Ascendant is reviewing a
transition to a dry stack tailings system which represents a
critical improvement, reducing water usage and environmental risks.
This approach should enable progressive reclamation of mined areas,
decreases maintenance costs, and ensures compliance with stringent
environmental standards. The revised system also eliminates the
need for large-scale pond construction.
· Flexible Infrastructure Solutions: A mobile pastefill plant is
being considered to enhance operational flexibility and reduce
initial investment costs. This solution is particularly
advantageous for adapting to evolving ore zones, allowing the
project to scale infrastructure dynamically as production
expands.
· Streamlined Crushing and Plant Layouts: The crushing circuit
is expected to be redesigned to lower the crusher, eliminate silos,
and optimize material flow. These changes reduce bottlenecks,
improve operational reliability, and simplify
maintenance.
· Integrated Water Management Systems: The consolidated water
treatment strategy centralizes operations near the mine portal,
streamlining water use and ensuring sustainable operations
throughout the mine's lifecycle. Divided pond systems will reduce
downtime during maintenance and improve water recycling
rates.
· Project Layout Optimization: Revisions to the project layout
designed to address inefficiencies in infrastructure placement,
transportation routes, and facility organization are being
implemented. Equipment such as the flotation, thickener, and
reagent areas has been strategically repositioned to improve
accessibility, reduce operational costs, and support streamlined
workflows.
Pioneering Partnership with the University of
Lisbon
Ascendant Resources has formalized a
Protocol of Cooperation with the Faculty of Sciences at the
University of Lisbon. This strategic agreement focuses on
establishing a collaborative framework for education, research, and
training in natural resources and environmental stewardship, with a
strong emphasis on innovation and sustainability.
Key
Areas of Collaboration:
· Development of cutting-edge training programs to equip the
next generation of mining professionals with practical and
theoretical skills.
· Joint research initiatives focusing on sustainable mining
practices and technological advancements in natural resource
management.
· Promoting community engagement and educational outreach to
amplify the positive societal impacts of the Lagoa Salgada
Project.
HYPERMETAL Project: Revolutionizing Exploration with AI and
Hyperspectral Technologies
Ascendant has also partnered with
the University of Évora to launch the innovative HYPERMETAL
Project, pending approval under the Portugal 2030 funding
framework. The project is set to integrate hyperspectral imaging,
Artificial Intelligence (AI), and machine learning into the
exploration process at Lagoa Salgada, marking a transformative
approach to mineral characterization.
Key
Goals of the HYPERMETAL Project:
· Enhance orebody visualization and mineral mapping through
hyperspectral imaging.
· Create a cutting-edge digital twin of the orebody by combining
geochemical, mineralogical, and hyperspectral data.
· Improve the precision of exploration targeting and expand
known mineralization at Lagoa Salgada.
As part of the project, historical
drill cores will be reanalyzed using advanced imaging techniques,
with data processed through AI and machine learning to identify ore
occurrences and alteration halos. This innovative methodology will
generate precise digital models, enabling the efficient
identification of new exploration targets.
The funding decision for the
HYPERMETAL Project is anticipated by the end of December
2024.
UNDERCOVER Project: Unlocking Hidden Mineral Deposits with
Advanced Geophysical Methods
Ascendant Resources is also set to
participate in the EU-funded UNDERCOVER Project, an ambitious
initiative focused on advancing mineral exploration techniques to
uncover hidden mineral systems. Leveraging cutting-edge geophysical
technologies, the project aims to enhance the efficiency and
sustainability of exploration at Lagoa Salgada.
Innovative Geophysical Techniques to Be
Applied:
· Seismic Imaging: Generates detailed subsurface images to
locate deep geological structures.
· Magnetotellurics (MT): Maps subsurface conductivity to
identify conductive mineral deposits.
· Electromagnetic (EM) Surveys: Detects sulphide-hosted critical
metals like copper, lead, and zinc.
· Gravity and Magnetic Surveys: Identifies dense ore bodies
through variations in gravitational and magnetic fields.
· Joint Inversion Techniques: Combines geophysical data to
create an integrated 3D model of subsurface structures.
The Lagoa Salgada Project, as one of
the key focus areas, will benefit immensely from these innovative
exploration techniques. The goal is to identify deeper
mineralization zones that conventional methods may miss,
significantly expanding the project's resource base while
maintaining a focus on environmental responsibility.
The UNDERCOVER Project, funded by
the EU's Horizon Europe program, is set to run for 36 months
starting in early 2025. It will play a pivotal role in enhancing
Ascendant's exploration capabilities, ensuring that the Lagoa
Salgada Project remains at the forefront of critical raw material
supply in Europe.
Positioned for The Future
The various work programs completed
in 2024 have positioned the Lagoa Salgada Project to continue to
advance in all areas of development going into 2025. The
results highlight significant expansive exploration potential,
strong metallurgical advancements, and results of the optimized
feasibility study position the project to deliver exceptional value
to stakeholders while setting a new standard for responsible
mining. Located just 80km from Lisbon and supported by world-class
infrastructure, Lagoa Salgada is primed to become a key contributor
to Portugal's mining sector and the global supply chain for
critical metals.
As we approach 2025, Ascendant
Resources advises that it remains committed to driving innovation
and sustainability at Lagoa Salgada. By leveraging cutting-edge
technologies, fostering strategic partnerships, and maintaining a
steadfast focus on environmental stewardship, the directors believe
Ascendant is well-positioned for continued exploration
success, operational advancements, and key project milestones.
Lagoa Salgada represents the future of mining-sustainable,
impactful, and transformative for shareholders, local communities,
and global markets alike.
Review of Technical Information
The scientific and technical
information in this press release has been reviewed and approved by
Joao Barros, BSc (Engineering), MSc (Geology), who has more than 18
years of relevant experience in the field of activity concerned.
Mr. Barros is a Member of the Portuguese Engineers Association. Mr.
Barros is employed by Redcorp Empreedimentos Mineiros, Lda., a 20%
owned subsidiary of M&FI, and has consented to the inclusion of
the material in the form and context in which it
appears.
FOR MORE INFORMATION:
Jacques Vaillancourt, Mineral &
Financial Investments Ltd.
+44 780 226 8247
Katy Mitchell and Sarah Mather,
Zeus
+44
203 829 5000
Jon Belliss, Novum Securities
Limited
+44 207 382
8300
The information contained within
this announcement is deemed by the Company to constitute inside
information as stipulated under the Market Abuse Regulations (EU)
No. 596/2014 (MAR) as in force in the United Kingdom pursuant to
the European Union (Withdrawal) Act 2018. Upon the publication of
this announcement via Regulatory Information Service (RIS), this
inside information is now considered to be in the public
domain.
