TSX-V: TM | FRA: TZU2 | OTCQB: PNTZF

Trigon Metals

Building A Mid-Tier African Copper Producer

trigonmetals

Samples Assayed at Silver Hill Extend Potential Strike Length to 2.0 km of High-Grade Mineralization

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TORONTO, Oct. 05, 2020 — Trigon Metals Inc. (TSX-V: TM) (“Trigon” or the “Company”) is pleased to report assay results from grab samples taken at the Company’s Silver Hill copper-silver project (“the Project”) in Morocco. Notably, surface sampling returned positive results from a newly identified area of mineralization, containing evidence of historical mining – sample J10 returned 112g/t silver and 6.80% copper. The new area is presumed to be an extension of the uppermost structure drilled and reported by Trigon on August 10, 2020. This result extends the known area of mineralization 1.2 km beyond the previous work, increasing the potential strike length to at least 2 km.

The remainder of the work focused on the second structure that to date has reported higher grade copper and lower silver grades than the first structure (upper most structure). Work included sampling of outcrop on a road cut in the area, notably sample J2 returned 5.84% copper and 1 g/t silver. Samples were taken from walls of a historical adit, approximately 20 m from the entrance. Notable results include sample J3 with 5.04% copper and 24 g/t silver and sample J5 with 14.32% copper and 280 g/t silver. Waste piles outside of the adit were also sampled returning extraordinary copper results – J6 returned 12.40% copper and 32 g/t silver, and J9 returned 21.39% copper and 24 g/t silver. Samples were analyzed for silver and copper using Inductively Coupled Plasma – Atomic Emission Spectroscopy (“ICP-AES”) prepared using four acid absorption in Marrakech, Morocco by African Laboratory for Mining and Environment (“AfriLab”).

See below for table of results, map of locations and images of samples.

Jed Richardson, president and CEO of Trigon Metals, commented, “We are very pleased with the new results from Silver Hill which demonstrate that the mineralization extends beyond the area that was initially identified. On the success of the sampling at J10, the upcoming drilling program will target this area in addition to testing down dip extensions from the mineralization identified by the previous shallow drilling.”

Table 1 – Silver Hill Samples

Hole ID Notes Ag (g/t) Cu (%)
J2 Road cut outcrop (2nd structure) 1 5.84
J3 Adit wall (2nd structure) 24 5.04
J5 Adit wall (2nd structure) visible azurite 280 14.32
J6 Sample from waste pile at entrance of adit (2nd structure) 32 12.40
J9 Sample from waste pile at entrance of adit (2nd structure) 24 21.36
J10 Sample from Eastern ancient shafts (1st structure) increases the potential strike length to at least 2km 112 6.80

Figure 1 – Silver Hill Global Map:

Silver Hill Project Overview

The Silver Hill Project is an 8 km2 property in the Anti-Atlas region of Morocco. The Project is located at a regional address well known for base metals occurrences in Morocco. Morocco has a mining history that spans in excess of 100 years and is well known for being a mining friendly jurisdiction. Preliminary surface exploration has revealed high-grade copper and silver mineralization distributed over a wide surface area. Slags from ancient workings indicate historical large-scale mining for silver.

Qualified Person

The technical information presented in this press release has been reviewed and approved for disclosure by Fanie Müller, P.Eng, VP Operations of Trigon, who is a Qualified Person as defined by NI 43-101.

Trigon Metals Inc.
Trigon is a publicly traded Canadian exploration and development company with its core business focused on copper and silver holdings in mine-friendly African jurisdictions. Currently the company has operations in Namibia and Morocco. Namibia is one of the world’s most prospective copper regions, where Trigon has substantial assets in place. The Company continues to hold an 80% interest in five mining licences in the Otavi Mountainlands, an area of Namibia widely recognized for its high-grade copper deposits, where the Company is focused on exploration and re-development of the previously producing Kombat mine. The Company also recently finalized the acquisition of the Silver Hill project, a highly prospective copper and silver exploration project in Morocco.

Cautionary Notes  
This news release may contain forward-looking statements. These statements include statements regarding sampling at Silver Hill and the results thereof, the future exploration plans for Silver Hill, the prospectivity of the Project, the Company’s ability to explore and advance the Project, the Company’s strategies and the Company’s abilities to execute such strategies, and the Company’s future plans and objectives. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statements or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations. We do not assume any obligation to update any forward-looking statements, except as required by applicable laws.

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.

Image 1
Sample J2 – road outcrop

Image 2
Sample J3 – taken from adit walls

Image 3
Samples J5 – taken from adit walls

Image 4
Sample J6 – taken from waste piles at the entrance to adit

Image 5
Sample J9 – taken from waste piles at the entrance to adit

Image 6
Sample J10 – historical workings 1.2 km from previous work

 

For further information, contact:

Jed Richardson
+1 416 566-8134

Website: www.trigonmetals.com

Trigon Expands Kombat Mineral Resource from 7 Million to 39 Million tonnes

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TORONTO, September 28, 2020 – Further to Trigon Metals Inc.’s (TSX-V: TM) (“Trigon” or the “Company”) announcement regarding the potential for a significant increase in the Mineral Resources reported on the Company’s Kombat copper project in Namibia (see press release dated September 8, 2020), the Company is now pleased to announce a 456% increase in the total Mineral Resources reported at Kombat, from 7.0 million tonnes, as at February 28, 2018 (“2018 Mineral Resource”) to 39.1 million tonnes (including inferred resources).

A total of 3,758 additional mineralized underground drill holes have been incorporated outside of the holes utilized in the 2018 Mineral Resource database, leading to a 152% increase in the volume of the resource shell and 3 dimensional confirmation of ore not removed by historic mining. The previous total Inferred and Indicated Mineral Resource of 7 million tonnes represented between 18% of the pre-existing geological model used for resource reporting, with the remaining 82% of the tonnage based on drill holes not previously included.  Additional work was undertaken including improvement of the level of accuracy of depletions in the underground areas.

Total Mineral Resources include Indicated and Inferred Mineral Resources on the open pit and underground areas at Kombat, Asis and Gross Otavi.

Updated Mineral Resource Estimate

The updated Mineral Resource estimate (“2020 Mineral Resource”), as presented in detail in Tables 1, 2 and 3 below, has been prepared and classified by technical consultants Minxcon (Pty) Ltd (“Minxcon”) in accordance with the reporting guidelines as set out in National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) as required by the Canadian Securities Administrators. A technical report will be filed under the Company’s profile on SEDAR within 45 days of this press release. For further information with respect to the key assumptions, parameters, risks, the mineral resource estimate, data verification, quality assurance and quality control (“QA/QC”) and other technical information, please refer to the technical report, when available.

Open Pit

The previous 2018 Mineral Resource estimate for the open pit areas (Kombat and Gross Otavi) comprised an Indicated Mineral Resource of 1.529 million tonnes grading 1.14% copper, 0.72% lead and 2.88 g/t silver, and an Inferred Mineral Resource of 1.582 million tonnes grading 1.40% copper, 1.79% lead and 2.17 g/t silver, at a cut-off grade of 0.6% copper equivalent for Kombat and 0.77% for Gross Otavi.

Table 1 below is a summary of the updated 2020 Mineral Resource estimate for the open pit areas (Kombat and Gross Otavi) as at September 1, 2020.

Table 1 – Updated Mineral Resource Estimate as at September 1, 2020 – Open Pit (0.6% copper equivalent cut-off)

Area Resource Classification Tonnes (incl Geo Loss) Density Cu Pb Ag Cu Pb Ag (kg)
Mt   % % g/t Tonnes Tonnes kg
Kombat East Indicated 5.27 2.81 0.86 0.98 0.49 45 065 51 849 2 595
Kombat Central 2.08 2.81 1.04 0.63 0.80 21 728 13 177 1 660
Kombat West
Total Indicated 7.35 2.81 0.91 0.88 0.58 66 793 65 026 4 255
Kombat East Inferred 4.26 2.82 0.85 1.33 0.55 36 195 56 582 2 340
Kombat Central 3.08 2.83 1.23 1.40 0.25 38 023 43 335 758
Kombat West 3.42 2.83 1.22 1.47 0.48 41 620 50 209 1 625
Total Inferred Kombat 10.76 2.83 1.08 1.40 0.44 115 838 150 125 4 723
Otavi Inferred 0.64 2.84 0.93 2.50 0.85 6 006 16 053  546
Total Inferred 11.40 2.83 1.07 1.46 0.46 121 844 166 178 5 269

Notes

  1. The open pit Mineral Resource is declared with in an optimized resource pit with a CuEq cut-off of 0.6% for Kombat and 0.77% for Gross Otavi.
  2. Commodity prices applied: USD3.99/lb (Cu) and USD1.22/lb (Pb).
  3. Otavi Mineral Resource and parameters have not changed from 2018.
  4. Historical mine voids have been depleted from the Mineral Resource.
  5. A geological loss of 15% for the Inferred and 10% for the Indicated Mineral Resource has been applied.
  6. The Mineral Resources are inclusive of Mineral Reserves.
  7. Mineral Resources are reported as total Mineral Resources and are not attributed.
  8. Inferred Mineral Resources have a large degree of uncertainty as to their existence and whether they can be mined economically. It cannot be assumed that all or any part of the Inferred Mineral Resource will be upgraded to a higher confidence category.

Underground

The previous 2018 Mineral Resource estimate for the underground areas at Kombat and Asis was an Inferred Mineral Resource of 3.929 million tonnes grading 3.72% copper, 1.03% lead and 31.29 g/t silver, at a cut-off grade of 1.4% copper equivalent.

Table 2 below is a summary of the updated 2020 Mineral Resource estimate for the underground areas at Kombat and Asis as at September 1, 2020.

Table 2 – Updated Mineral Resource Estimate as at September 1, 2020 – Underground (1.8% copper equivalent cut-off)

Area Resource Classification Tonnes (incl Geo Loss) Density Cu Pb Ag Cu Pb Ag (kg)
Mt   % % g/t Tonnes Tonnes kg
Kombat East Inferred 0.01 2.86 1.68 2.77 0.88 130 215 7
Kombat Central 0.48 2.86 2.20 2.02 2.53 10 614 9 725 1 221
Kombat West 0.22 2.87 2.13 2.48 3.17 4 785 5 589 713
Asis West 18.13 2.86 2.85 1.29 6.02 517 666 234 597 109 111
Asis Gap 1.04 2.84 2.75 0.44 3.53 28 649 4 549 3 680
Asis Far West 0.47 2.85 3.64 0.20 44.10 16 921 942 20 522
Total Inferred 20.36 2.86 2.84 1.26 6.64 578 765 255 617 135 255

 

Notes

  1. The underground Mineral Resource outside the optimized resource pit is declared at a CuEq cut-off of 1.8%.
  2. Commodity prices applied: USD3.99/lb (Cu) and USD1.22/lb (Pb).
  3. Historical mine voids have been depleted from the Mineral Resource.
  4. A geological loss of 15% for the Inferred and 10% for the Indicated Mineral Resource has been applied.
  5. The Mineral Resources are inclusive of Mineral Reserves.
  6. Mineral Resources are reported as total Mineral Resources and are not attributed.
  7. Inferred Mineral Resources have a large degree of uncertainty as to their existence and whether they can be mined economically. It cannot be assumed that all or any part of the Inferred Mineral Resource will be upgraded to a higher confidence category.

Combined Open Pit and Underground

The previous combined open pit and underground 2018 Mineral Resource estimate for Kombat, Asis and Gross Otavi comprised an Indicated Mineral Resource of 1.529 million tonnes grading 1.14% copper, 0.72% lead and 2.88 g/t silver, and an Inferred Mineral Resource of 5.511 million tonnes grading 3.05% copper, 1.25% lead and 22.93 g/t silver

Table 3 below is a summary of the updated 2020 Mineral Resource estimate for the combined open pit and underground areas at Kombat, Asis and Gross Otavi as at 1 September 2020.

Table 3 – Updated Mineral Resource Estimate as at September 1, 2020 – Combined Open Pit and Underground

Area Resource Classification Tonnes (incl Geo Loss) Density Cu Pb Ag Cu Pb Ag (kg)
Mt   % % g/t Tonnes Tonnes kg
Kombat East Indicated 5.27 2.81 0.86 0.98 0.49 45 065 51 849 2 595
Kombat Central 2.08 2.81 1.04 0.63 0.80 21 728 13 177 1 660
Total Indicated 7.35 2.81 0.91 0.88 0.58 66 793 65 026 4 255
Kombat East Inferred 4.27 2.82 0.85 1.33 0.55 36 325 56 797 2 347
Kombat Central 3.57 2.83 1.36 1.49 0.55 48 636 53 060 1 979
Kombat West 3.64 2.83 1.27 1.53 0.64 46 405 55 797 2 338
Asis West 18.13 2.86 2.85 1.29 6.02 517 666 234 597 109 111
Asis Gap 1.04 2.84 2.75 0.44 3.53 28 649 4 549 3 680
Asis Far West 0.47 2.85 3.64 0.20 44.10 16 921 942 20 522
Total Inferred Kombat 31.12 2.85 2.23 1.30 4.50 694 603 405 742 139 978
Otavi Inferred 0.64 2.84 0.93 2.50 0.85 6 006 16 053 546
Total Inferred 31.76 2.85 2.21 1.33 4.42 700 609 421 795 140 524

Notes

  1. The open pit Mineral Resource is declared with in an optimized resource pit with a CuEq cut-off of 0.6% for Kombat and 0.77% for Gross Otavi.
  2. The underground Mineral Resource outside the optimized resource pit is declared at a CuEq cut-off of 1.8%.
  3. Historical mine voids have been depleted from the Mineral Resource.
  4. Commodity prices applied: USD3.99/lb (Cu) and USD1.22/lb (Pb).
  5. A geological loss of 15% for the Inferred and 10% for the Indicated Mineral Resource has been applied.
  6. The Mineral Resources are inclusive of Mineral Reserves.
  7. Mineral Resources are reported as total Mineral Resources and are not attributed.
  8. Inferred Mineral Resources have a large degree of uncertainty as to their existence and whether they can be mined economically. It cannot be assumed that all or any part of the Inferred Mineral Resource will be upgraded to a higher confidence category.

Mineral Reserve Estimate

The probable Mineral Reserve estimate reported by the Company for the Kombat East and Kombat Central areas as at April 30, 2018 has not yet been updated and therefore remains unchanged at 0.77 million tonnes at a grade of 1.30% copper, 0.47% lead and 4.33 g/t silver.

Way Forward

The Company recently appointed Minxcon to undertake a detailed analysis of its extensive database of historical information, including the newly acquired historic underground drilling information, previously not available, which has resulted in significant changes in the new updated geological model and re-estimation of the Mineral Resource and the related increase in the updated Mineral Resources.

Minxcon is currently identifying available specific historic drill holes for resampling, as well as preparing and design a detailed cost estimate for a drilling program, further details of which will be provided in due course.  This confirmatory drilling program will focus on the additional drill holes included in the 2020 Mineral Resource database to enable the Company to use the information for further upgrading the Resource and Reserve estimates.

In light of the significant upside potential represented by the above information in terms of the scale of the future mining operations at Kombat, the Company has paused its restart strategy in order to focus on the planned drilling program and reassess the potential for a larger mining operation at Kombat.

Jed Richardson, Chief Executive Officer of Trigon, commented, “We are extremely pleased with the outcome of the work done on the resource base at Kombat, which supports our view of the long-term potential for Kombat and the surrounding region. Our strategy remains focused on bringing the Kombat mine back into production and a restart of a larger base opens up numerous opportunities for the company in terms of its growth strategy.”  

Qualified Person

Mr. Uwe Engelmann (BSc (Zoo. & Bot.), BSc Hons (Geol.), Pr.Sci.Nat. No. 400058/08, MGSSA) of Minxcon, is a “qualified person” as such term is defined in NI 43-101 and has reviewed and approved the technical information and data included in this press release. As a director of Minxcon, Mr. Engelmann is considered independent.

Trigon Metals Inc.

Trigon is a publicly traded Canadian exploration and development company with its core business focused on copper and silver operations in mining friendly jurisdictions in Africa. The Company holds an 80% interest in five mining licences in the Otavi Mountain lands, an area of Namibia widely recognized for its high-grade copper deposits, where the Company is focused on exploration and re-development of the previously producing Kombat mine.  The Company also recently finalized the acquisition of the Silver Hill project, a highly prospective copper and silver exploration project in Morocco.

Cautionary Notes  

This news release may contain forward-looking statements. These statements include statements regarding the Company’s Mineral Resources and Reserves and planned drilling program, the filing of the technical report, the Company’s strategies and the Company’s abilities to execute such strategies, the Company’s expectations for the Kombat operations, the Company’s ability to restart the Kombat operations, the Company’s ability to obtain adequate investment and other financing, and the Company’s future plans and objectives. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statements or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations. We do not assume any obligation to update any forward-looking statements, except as required by applicable laws.

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.

 For further information, contact:

Jed Richardson
+1 416 566 8134
jed.richardson@trigonmetals.com

Website: www.trigonmetals.com

Trigon Closes Private Placement Financing

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NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

(In Canadian Dollars unless otherwise stated)

TORONTO, Sept. 24, 2020 — Trigon Metals Inc. (TSX-V: TM) (the “Company” or “Trigon”) is pleased to announce the closing of its previously announced brokered private placement financing (the “Offering”) comprised of 13,721,042 units (the “Units”) at a purchase price of $0.35 per Unit for gross proceeds of $4,802,365. Concurrently with the Offering, the Company completed a non-brokered private placement of 117,957 Units for gross proceeds of $41,285. The Company expects to close a second tranche of the Offering on or before October 1, 2020.

Each Unit is comprised of one common share of Trigon (each a “Common Share”) and one-half of one Common Share purchase warrant (each whole warrant, a “Warrant”). Each Warrant entitles the holder to acquire one Common Share at a price of $0.45 for a period of 36 months following the closing date of the Offering.

The net proceeds of the Offering will be used to acquire additional silver-copper projects associated with the Silver Hill Project in Morocco, for exploration on the Silver Hill Project and general corporate purposes.

The Offering was led by Cormark Securities Inc. on behalf of a syndicate of agents that included M Partners Inc. (collectively, the “Agents”). As consideration for their services provided in connection with the Offering, the Company has (i) paid the Agents a cash commission equal to 6% of the gross proceeds of the Offering, other than in respect of certain purchases by persons on the “President’s List”, on which the cash commission was equal to 1.5%, and (ii) issued to the Agents and the selling group that number of broker warrants (the “Broker Warrants”) as is equal to 3% of the aggregate number of Units sold pursuant to the Offering (other than the portion thereof attributable to the “President’s List”, in respect of which no Broker Warrants were issued). Each Broker Warrant is exercisable to acquire one Common Share at a price of $0.45 per share for a period of 36 months following the date hereof.

All of the securities issued by the Company pursuant to the Offering will be subject to a four month statutory hold period which expires on January 25, 2021.

An insider of the Company subscribed for 1,715,000 Units under the Offering. Each transaction with an insider of the Company constitutes a “related party transaction” within the meaning of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company is relying on exemptions from the formal valuation requirements of MI 61-101 pursuant to section 5.5(a) and the minority shareholder approval requirements of MI 61-101 pursuant to section 5.7(1)(a) in respect of such insider participation as the fair market value of the transaction, insofar as it involves interested parties, does not exceed 25% of the Company’s market capitalization.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Trigon Metals Inc.

Trigon is a publicly traded Canadian exploration and development company with its core business focused on copper and silver holdings in mine-friendly African jurisdictions. Currently the company has operations in Namibia and Morocco. Namibia is one of the world’s most prospective copper regions, where Trigon has substantial assets in place. The Company continues to hold an 80% interest in five mining licences in the Otavi Mountain lands, an area of Namibia widely recognized for its high-grade copper deposits. Within these licences are three past producing mines including the Company’s flagship property, the Kombat Mine.

For further information, contact:

Jed Richardson

+1 416 566 8134

Cautionary Statement on Forward-Looking Information

This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding use of proceeds from the Offering and the closing of the second tranche of the Offering. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the actual results of current exploration activities; risks associated with operation in foreign jurisdictions; ability to successfully integrate the purchased properties; foreign operations risks; and other risks inherent in the mining industry. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

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.

Trigon Metals Completes Acquisition of ‘Silver Hill’ Copper-Silver Exploration Project in Morocco and Files NI 43-101 Technical Report

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TORONTO, Sept. 24, 2020 — Trigon Metals Inc. (TSX-V: TM) (“Trigon” or the “Company”) is pleased to announce that it has completed the acquisition (the “Transaction”) of a 100% equity interest in Technomine Africa S.A.R.L. (“Technomine”), which owns a 100% interest in the Silver Hill Project (“Silver Hill” or the “Project”) in Morocco.

Trigon has received approval of the transaction from the TSX Venture Exchange and has completed the Exchange’s final filing requirements for closing the transaction including, but not limited to; receiving a satisfactory title opinion on the licences comprising the high potential Silver Hill and Tama Doult properties located in the Anti-Atlas region of Morocco, and filing the geological report (the “Report”) in accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) for exploration of Silver Hill.

The Silver Hill Transaction is part of the Company’s continued focus to strategically acquire and develop copper and silver properties in favourable African mining jurisdictions.

Jed Richardson, President and CEO of Trigon Metals, commented, “In a world recovering from COVID, the acquisition of the Silver Hill property has added importance. The value of silver as a precious metal and store of value cannot be over emphasized in the face of government stimulus around the world. That said, we are in the midst of a structural shift that should see the world seeking to diversify its supply chains from reliance on China for manufacturing, and copper should see extraordinary demand when the world economy emerges on the other side of this crisis.”

Silver Hill Project Overview

The Transaction is centred around the Silver Hill Project (see press release dated November 19, 2019), a 16km2 property in the Anti-Atlas region of Morocco, already home to Africa’s major silver mines (Imiter, Zgounder). Surface exploration shows copper and silver mineralization at high grades distributed over a wide surface area. Slags from ancient workings indicate historical large scale mining for silver.

Morocco is a favourable jurisdiction for mining, with an established industry producing at a rate of approximately 40 million tonnes of minerals per year. The country is a friendly business environment with a strong mining history, but very little systematic modern exploration.

Highlights of Silver Hill

  • Ancient slags distributed widely across one third of the concession indicate a history of primitive metal recovery, most likely for silver.
  • Abundance of visible copper minerals at surface, as well as old workings and slags on the property on surface and in-situ indicate excellent potential for a copper prospect
  • The Project is easily accessed via paved national highways, with a well-maintained gravel road sufficient to be used for an exploration program.

The full technical report entitled “NI 43-101 – Technical Report on the Silver Hill Copper and Silver Project, Morocco” with an effective date of  September 24, 2020 has been posted to the Company’s website at https://www.trigonmetals.com and on SEDAR under Trigon’s issuer profile.

Response to COVID-19 in Morocco

Morocco continues to comply with the recommendations of the World Health Organization to reduce the spread of the virus. Trigon does not anticipate any delays to initializing its exploration program at Silver Hill as a result of COVID-19. The local team is ready to commence work on the Project beginning with a sampling program.

Terms of the Transaction

The Company has acquired a 100% equity interest in Technomine. Technomine owns 100% of the rights to the Silver Hill Project. As consideration, Trigon has paid to the Vendors CAD $500,000 in cash and issued 6,000,000 common shares to the vendors (the “First Payment”). On the one-year anniversary of the closing of the Transaction, Trigon must pay to the vendors CAD$400,000, and issue such number of Trigon common shares equal to CAD $250,000 (the “Second Payment”).

Upon the completion of an independent National Instrument 43-101 compliant mineral resource estimate at the Project showing at least 100,000 tonnes of contained copper and/or equivalent, Trigon shall issue such number of shares equal to CAD$1,250,000 to the vendors.

In addition, the Company has paid CAD$25,000 and issued 300,000 common shares to Majilias Inc. (the “Finder”) for its role as an arm’s length finder. The Finder shall also be entitled to a finder’s fee of 5% of the cash and share consideration comprising the Second Payment, when paid by Trigon.

Qualified Person

The technical information presented in this press release has been reviewed and approved by Fanie Müller, P.Eng, VP Operations of Trigon, who is a Qualified Person as defined by NI 43-101.

Trigon Metals Inc.
Trigon is a publicly traded Canadian exploration and development company with its core business focused on copper operations in Namibia, one of the world’s most prospective copper regions, where it has substantial assets in place. The Company continues to hold an 80% interest in five mining licences in the Otavi Mountain lands, an area of Namibia widely recognized for its high-grade copper deposits. Within these licences are three past producing mines including the Company’s flagship property, the Kombat Mine.

Cautionary Notes  
This news release may contain forward-looking statements. These statements include statements regarding the prospectivity of the Project, the Company’s ability to explore the Project and produce a NI 43-101 mineral resource estimate, the impact of COVID-19 on the Company’s operations, the Company’s strategies and the Company’s abilities to execute such strategies, the Company’s ability to restart the Kombat operations, the Company’s expectations for the Kombat operations, and the Company’s future plans and objectives. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statements or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations. We do not assume any obligation to update any forward-looking statements, except as required by applicable laws.

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.

Significant Upside Potential on Kombat Mineral Resources and Update on Xinhai Investment and EPC Process

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TORONTO, September 8, 2020 – Trigon Metals Inc. (TSX-V: TM) (“Trigon” or the “Company”) is pleased to announce the potential for a significant increase in the Mineral Resources reported on the Company’s Kombat copper project in Namibia (“Kombat”). 

Kombat currently has a combined open pit and underground National Instrument 43-101 (“NI 43-101”) compliant Mineral Resource of 1.529 million tonnes of Indicated Mineral Resources at a grade of 1.14% copper, 0.72% lead and 2.88 g/t silver (all in the Kombat East and Kombat Central open pit areas), and 5.511 million tonnes of Inferred Mineral Resources at a grade of 3.05% copper, 1.25% lead and 22.93 g/t silver (in the open pit and underground areas). The Company also has a probable Mineral Reserve estimate for the Kombat East and Kombat Central open pit areas of 0.77 million tonnes at a grade of 1.30% copper, 0.47% lead and 4.33 g/t silver. 

The current Mineral Resource has been based on historic drilling results, including the surface drill program undertaken in 2017, all of which drilling was undertaken with defined quality assurance and quality control (“QA/QC”) protocols to ensure compliance with NI 43-101 requirements for resource modelling and classification. 

The Company has appointed technical consultants, Minxcon (Pty) Ltd (“Minxcon”), to undertake a further detailed analysis of its extensive database of historical information, including historic underground drilling information which has to date not been considered in the determination of Mineral Resource estimations due to inadequate QA/QC information being available at that time. 

Additional mineralized underground drill holes have now been identified outside of the holes utilized in the existing Mineral Resource database.  It is estimated that the current total Inferred and Indicated Mineral Resource of 7 million tonnes represents between 20% and 30% of the existing geological model used for resource reporting, with the remaining 70% to 80% of the tonnage based on drill holes not previously included.  Additional work is currently being undertaken including improvement of the level of accuracy of depletions in the underground areas.  

In light of the significant upside potential represented by the above information in terms of the scale of the future mining operations at Kombat, the Company has paused its restart strategy in order to complete the abovementioned exercise, update its Mineral Resource estimate and reassess the potential for a larger mining operation at Kombat. 

The updated Mineral Resource estimate will be announced once the work done by Minxcon has been completed. 

The potential quantity and grade of this exploration target is conceptual in nature, and there has been insufficient exploration to define a mineral resource. It is uncertain if further exploration will result in this exploration target being delineated as a mineral resource.  

 

Update on funding process with Shandong Xinhai Mining Technology & Equipment Inc. (“Xinhai”) 

Trigon has been in ongoing discussions with Xinhai regarding the Memorandum of Understanding (“MOU”) entered into between the parties in March 2019, pursuant to which Xinhai expressed the intention to invest in Trigon by part of the EPC contract amount in exchange for the right to be appointed as the engineering, procurement and construction (“EPC”) contractor for the open pit mining operations at Kombat. 

Due to the global COVID-19 pandemic, the investment and financing process with Xinhai has been delayed beyond original timing expectations, and Xinhai has now agreed to halt its processes to align with Trigon’s strategy to potentially develop a larger operation. 

Xinhai retains a keen interest in partnering with Trigon on the future restart of Kombat, and discussions between the parties will continue in this regard. 

Jed Richardson, Chief Executive Officer of Trigon, commented, “Despite the challenges of the current environment, Trigon continues to deliver value and upside potential to shareholders. Our team remains focused on advancing the Kombat project towards ultimate production and is working on various strategies to deliver the best possible outcome for the Company. We are also looking at the silver potential at Kombat, including the opportunity to produce both copper and lead concentrates which will give us the full benefit of silver content.”   

 

 Trigon Metals Inc.  

Trigon is a publicly traded Canadian exploration and development company with its core business focused on copper and silver operations in mining friendly jurisdictions in Africa. The Company holds an 80% interest in five mining licences in the Otavi Mountainlands, an area of Namibia widely recognized for its high-grade copper deposits, where the Company is focused on exploration and re-development of the previously producing Kombat mine.  The Company is also currently finalizing the acquisition of the Silver Hill project, a highly prospective copper and silver exploration project in Morocco. 

For further information, contact: 

Jed Richardson
+1 416 566 8134
jed.richardson@trigonmetals.com 

Website: www.trigonmetals.com 

 Cautionary Notes   

This news release may contain forward-looking statements. These statements include statements regarding the Company’s Mineral Resources and Reserves, the Company’s ability to increase the NI 43-101 compliant Mineral Resources, the Company’s strategies and the Company’s abilities to execute such strategies, the Company’s expectations for the Kombat operations, the Company’s ability to restart the Kombat operations, the Company’s ability to obtain adequate investment and other financing, the impact of COVID-19 on the Company’s operations and the Company’s future plans and objectives. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statements or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations. We do not assume any obligation to update any forward-looking statements, except as required by applicable laws. 

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.