ELEMENT 25 LIMITED — Interim / Quarterly Report 2015

Jul 23, 2015

==> picture [190 x 112] intentionally omitted <==

Montezuma
Mining
Company
Ltd
(“Montezuma”)
is
pleased
to
advise that
activities
during
the
quarter
have
successfully
advanced
the Company’s
flagship
Yamarna
Gold
Project
in
WA.

**Yamarna

Project
(100%
MZM):**

• ➤ Mining
  Entry
  Permit
  and
  Heritage
  clearances
  received.

• ➤ Phase
  1
  exploration
  programme
  comprising
  infill
  surface geochemical
  sampling
  completed
  with
  assays
  pending.

• ➤ Sampling
  designed
  to
  follow
  up
  and
  infill
  multiple
  regional
  scale geochemical
  targets
  along
  strike
  from
  recent
  multi-­‐million
  ounce discoveries
  by
  Gold
  Road
  Resources
  Limited
  at
  Gruyere[1] .

• ➤ Receipt
  of
  first
  pass
  assays
  are
  expected
  shortly.

• ➤ Arrangements
  for
  heritage
  surveys
  to
  clear
  planned
  drill
  lines advancing.

**QUARTERLY

OPERATIONS
REPORT 30
JUNE
2015**

**ABOUT

MONTEZUMA
MINING**

Listed
in
2006,
Montezuma
Mining
Company Ltd
(ASX:
MZM)
is
a
diversified
explorer primarily
focused
on
manganese,
copper
and gold.
The
Company’s
primary
objective
is
to achieve
returns
for
shareholders
through selected
strategic
acquisitions
and
targeted exploration.

Montezuma
Mining
has
100%
interests
in
the Yamarna
Gold
Project
in
the
Yamarna Geenstone
Belt,
Western
Australia
and
the Butcherbird
Manganese/Copper
Project
in
the Murchison
region
of
Western
Australia

**MARKET

DATA**

ASX
code: MZM Share
price: $0.195 Shares
on
issue: 70,464,350 Market
capitalisation: $13.7M

**BOARD

AND
MANAGEMENT**

Chairman Seamus
Cornelius Executive
Director Justin
Brown Non-­‐Executive
Director John
Ribbons

• ➤ Follow
  up
  aircore
  drilling
  programme
  to
  commence
  as
  soon
  as heritage
  clearances
  are
  completed.

==> picture [568 x 246] intentionally omitted <==

Figure
1:
Field
crews
undertaking
infill
soil
sample
collection
to
confirm
and
refine historic
gold
anomalies
at
the
Yamarna
Project.

Company
information,
ASX
announcements, investor
presentations,
corporate
videos
and other
investor
material
on
the
Company’s projects
can
be
viewed
at www.montezuma.com.au

Ground
Floor,
31
Ventnor
Street,
WEST
PERTH
WA
6005
|
Phone
+61
8
6315
1400

**YAMARNA

PROJECT:
(MZM
100%)**

During
the
Quarter,
Montezuma
commenced
on
ground
exploration
on
tenement
E38/2889.
Field
crews completed
the
collection
of
approximately
3,200
soil
samples
which
have
been
dispatched
to
the
laboratory
for low
level
multi
element
assay.

The
samples
have
been
collected
on
a
nominal
grid
spacing
of
200m
x
100m.
The
initial
laboratory
submissions included
samples
on
a
200m
x
200m
grid,
with
a
second
batch
retained
for
submission
after
the
initial
results
are received
to
provide
200m
x
200m
tenement
wide
coverage
and
200m
x
100m
coverage
over
anomalous
areas.

Samples
will
be
screened
to
-­‐75
µm
followed
by
an
aqua-­‐regia
digest
and
ICP-­‐MS
or
ICP-­‐OES
with
a
suite
of
49 elements
including
Au
to
a
detection
limit
of
0.1ppb.
Assay
results
are
currently
pending.

This work represents the first exploration programme over the tenement
area
since
1997
when Western
Mining
Corporation
(WMC) conducted a regional surface geochemical programme that identified
a
number
of
large
gold anomalies within Montezuma’s tenure.
The
current
programme
is intended
to
provide
confirmation
and more
detailed
data
on
the
historical anomalies,
which
will
then
be
drill tested
as
soon
as
practicable.

**Project

Background**

The Yamarna Belt is historically underexplored
and
highly
prospective for
gold
mineralisation.
It
has
a
current reported
Mineral
Resource
by
Gold Road
Resources
Limited
(GOR)
of
5.1 million
ounces
of
gold[1] and
hosts
a number
of
new
discoveries.

==> picture [322 x 454] intentionally omitted <==

Figure
2:
Yamarna
Project
geology
and
historic
geochemical
anomaly
locations.

• 1
  Website
  reference
  http://www.goldroad.com.au/reports/GruyereMaidenResourceAugust2014.pdf

Ground
Floor,
31
Ventnor
Street,
WEST
PERTH
WA
6005
|
Phone
+61
8
6315
1400

2

The
only
previous
exploration
recorded
on
Montezuma’s
tenure
has
been
by
WMC
in
1997
comprising
377
soil geochemical
samples
collected
on
a
1,600m
x
200m
grid
and
in
filled
to
400m
x
200m
around
areas
of
gold anomalism.

A
total
of
36
samples
recorded
Au
greater
than
5ppb
(anomalously
high)
with
a
peak
result
of
22ppb.
The anomalies
are
associated
with
and
in
a
similar
orientation
to
interpreted
granite-­‐greenstone
contact
positions
on the
eastern
side
of
the
same
suite
of
rocks
that
host
GOR’s
Gruyere
gold
deposit.

Based
on
the
regional
geology
and
the
coherent
and
extensive
geochemical
anomalism,
Montezuma
regards E38/2889
as
having
potential
to
host
significant
basement
gold
mineralisation.

**WOODIE

WOODIE
WEST
PROJECT**

Further
investigations
into
the
geology
intersected
in
the
recently
completed
RC
drilling
at
the
Woodie
Woodie West
Project
(E45/3548)
were
completed
during
the
quarter.

Based
on
petrographic
examination
of
the
drill
chips
intersected
in
the
programme,
it
has
been
concluded
that the
drilling
in
the
northern
portion
of
the
tenement
terminated
in
rocks
of
the
Neoproterozoic
Waltha
Woora Formation,
while
the
southernmost
hole
ended
in
rocks
of
the
Permian
Paterson
Formation.

Neither
of
the
aforementioned
stratigraphic
units
are
deemed
to
be
prospective
for
Woodie
Woodie
style
high grade
manganese
mineralisation.

Montezuma
previously
held
an
option
to
purchase
a
75%
interest
in
the
Project,
however
given
the
lack
of encouragement
in
the
results
to
date,
the
tenement
holder
has
been
advised
the
Company
is
withdrawing
from the
option
agreement
entered
into
in
July
2014
and
will
not
be
undertaking
further
work
on
the
Project.

**BONNEVAL

GOLD
PROJECT
FRANCE (UNDER
APPLICATION)**

The
Bonneval
application
continues
to
progress
through
the
application
approval
process
and
the
market
will
be advised
when
any
material
developments
transpire.

CORPORATE

During
the
Quarter,
the
Company
agreed
to
partially
underwrite
a
rights
issue
in
ASX
listed
Danakali
Limited (DNK),
who
are
in
the
process
of
completing
a
definitive
feasibility
study
on
a
significant
potash
deposit
in
the Danakil
Depression
region
of
Eritrea[2] .
The
outcome
of
the
raising
resulted
in
Montezuma
subscribing
for 3,031,915
shares
in
DNK
at
AUD$0.25
per
share
for
a
total
of
AUD
$757,978.75.
DKN
shares
last
traded
on
the ASX
at
$0.39.

2
Website
reference:
http://www.danakali.com.au/wp-­‐content/uploads/1416529.pdf

Ground
Floor,
31
Ventnor
Street,
WEST
PERTH
WA
6005
|
Phone
+61
8
6315
1400

3

The
information
in
this
report
that
relates
to
Exploration
Results,
Mineral
Resources
and
Mineral
Reserves
is
based
on
information compiled
by
Mr
Justin
Brown
who
is
a
member
of
the
Australasian
Institute
of
Mining
and
Metallurgy.
At
the
time
that
the
Exploration Results,
Mineral
Resources
and
Mineral
Reserves
were
compiled,
Mr
Brown
was
an
employee
of
Montezuma
Mining
Company
Ltd.
Mr Brown
is
a
geologist
and
has
sufficient
experience
which
is
relevant
to
the
style
of
mineralisation
and
type
of
deposit
under
consideration and
to
the
activity
which
he
is
undertaking
to
qualify
as
a
Competent
Person
as
defined
in
the
2012
edition
of
the
‘Australasian
Code
for Reporting
of
Exploration
Results,
Mineral
Resources
and
Ore
Reserves’.
Mr
Brown
consents
to
the
inclusion
of
this
information
in
the
form and
context
in
which
it
appears
in
this
report.

Ground
Floor,
31
Ventnor
Street,
WEST
PERTH
WA
6005
|
Phone
+61
8
6315
1400

4

Montezuma Mining Company Limited ASX Additional Information for Quarterly Report to 30 June 2015

	Tenement reference	Location	Interest at beginning of quarter	Acquired / Disposed	Interest at end of quarter
The mining tenements held at the end of the quarter and their location	E09/1985	Yalbra WA	15%	N/A	15%
	E15/1447	Lake Lefroy WA	100%	N/A	100%
	E20/659	Eelya Hill WA	10%	N/A	10%
	P20/2018	Eelya Hill WA	10%	N/A	10%
	E20/861	Sunday Well WA	100%	N/A	100%
	E20/874	Sunday Well WA	0%	Acquired	100%
	E28/2313	Green Dam WA	100%	N/A	100%
	E28/2327	Green Dam WA	100%	N/A	100%
	E28/2504	Manners Flat WA	100%	N/A	100%
	E28/2514	Judada Rocks WA	100%	Disposed	0%
	E28/2516	Pinnacles WA	100%	Disposed	0%
	E28/2550	Pinnacles WA	0%	Acquired	100%
	E36/833	Leinster WA	100%	Disposed	0%
	E36/843	Leinster WA	100%	N/A	100%
	E37/1176	Leonora WA	100%	N/A	100%
	E38/2889	Malle Hen Point WA	100%	N/A	100%
	E38/2961	Mt Venn WA	100%	N/A	100%
	E38/2999	Malle Hen Point North WA	100%	N/A	100%
	E46/982	Pilbara WA	100%	N/A	100%
	E51/1622	Telegraph Well WA	100%	N/A	100%
	E51/1693	Mt Maitland WA	0%	Acquired	100%
	E52/1529	Mt Padbury WA	100%(Note 1)	N/A	100%(Note 1)
	E52/2350	Butcher Bird WA	100%	N/A	100%
	E52/2647	Little Well South WA	100%	N/A	100%
	E52/2831	Millidie Creek WA	100%	N/A	100%
	E52/2658	Butcherbird South WA	100%	N/A	100%
	E52/3082	Mt Padbury WA	100%	N/A	100%
	E52/3082	Mt Padbury WA	100%	N/A	100%
	E52/3272	Butcherbird East	100%	N/A	100%
	E53/1834	Mt Keith WA	100%	N/A	100%
	E58/469	Wondinong WA	100%	N/A	100%
	E58/470	Challa WA	100%	Disposed	0%
	E58/489	Challa Well WA	0%	Acquired	100%
	E63/1750	Lake Johnston WA	0%	Acquired	100%
	E77/2294	Holleton WA	0%	Acquired	100%
	E69/3311	Cunyu WA	100%	N/A	100%

Notes:

1) 100% interest held in all minerals other than iron ore and manganese.