ELEMENT 25 LIMITED — Regulatory Filings 2016

May 24, 2016

ABOUT!MONTEZUMA!MINING!

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25!MAY!2016!

YAMARNA!GEOCHEMICAL!DRILLING!EXTENDS!JATZ!! ASSAYS!TO!DATE!FROM!REGIONAL!PROGRAMME!IDENTIFY! TWO!NEW!GOLD!TARGETS!AT!RITZ!AND!RYVITA

• ! Geochemical!blade.refusal!aircore!programme!extends!Jatz! basement!gold!anomaly!to! 1.5!km!in!strike !and!it!remains!open.!

• ! Two!additional!basement!anomalies!identified!at!the!Ritz!and! Ryvita!targets,!with! bottom!of!hole!gold!values!up!to!1.65!g/t.

• ! Drilling!to!recommence!as!soon!as!practicable!to!infill!and! extend!the!targets!before!RC!drill!testing.!

• ! Assay!results!pending!for!24!holes!(approximately!1,200m).!

Montezuma!Mining!Company!Ltd!(“Montezuma”!or!“Company”)!is! pleased!to!announce!that!a!recently!completed!follow!up! geochemical!aircore!drilling!programme!at!the!Company’s!100%! owned!Yamarna!Project!has!extended!the!basement!gold!anomaly!at! the!Jatz!prospect.!Strong,!basement!anomalism!now!extends!over! 1.5km!in!strike.!The!anomaly!is!coherent!and!strikes!in!a!north! westerly!direction,!and!mineralisation!remains!open!to!the!north.!

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!

MARKETDATA
ASXcode:	MZM
Shareprice:	$0.20
Sharesonissue:	70.46M
Marketcapitalisation:	$14.1M
Cash(31March2016):	$4.1M
Investments(31March2016)	$2.6M

BOARD!AND!MANAGEMENT!

Chairman! Seamus!Cornelius! Executive!Director!! Justin!Brown! Non.Executive!Director! John!Ribbons! Exploration!Manager! Brad!Drabsch!

Drilling!at!Jatz!had!previously!tested!only!a!small!part!of!what!is!now! identified!as!a!target!corridor!approximately!5km!in!strike!length!and! up!to!2km!in!width,!containing!greenstone!rocks!with!demonstrated! potential!for!high!grade!Archean!gold!mineralisation.!!

To!this!end,!as!part!of!the!current!round!of!drilling,!in!addition!to!the! step.out!drilling!at!Jatz,!approximately!4,500m!of!geochemical! aircore!drilling!was!also!completed!on!a!broad!spaced!regional!grid! on!either!800!X!200m!or!800!X!400m!centres!depending!on!the!depth! of!penetration.!

This!latest!round!of!work!has!successfully!identified!two!new! basement!targets!at!the!Ritz!and!Ryvita!prospects,!where!bottom!of! hole!intercepts!of!1m!@!1.65!g/t!and!7m!@!190ppb!Au!respectively! were!returned.!Assays!remain!pending!for!24!holes!(1,205m).!

The!next!round!of!drilling!will!commence!as!soon!as!practicable!to! further!extend!Jatz!to!the!north!as!well!as!stepping!out!and!extending! the!targets!at!Ritz!and!Ryvita,!which!have!so!far!been!only! superficially!tested!with!very!broad!space!drilling.

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Company!information,!ASX!announcements,! investor!presentations,!corporate!videos! and!other!investor!material!on!the! 1! Company’s!projects!can!be!viewed!at! www.montezuma.com.au!!

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Figure!1:!Collar!locations!over!aeromagnetics.!Results!extend!the!Jatz!target!to!over!1.5km!in!strike!length.!

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Figure!2:!Collar!locations!over!aeromagnetics.!Two!new!basement!gold!anomalies!identified!at!Ritz!and!Ryvita.!

2!

HoleID	Easting (MGA94 Z51)	Northing (MGA94 Z51)	Nominal RL (m)	Dip ( 0)	Azimuth (mag 0)	Total Depth (m)	Depth From (m)	Depth To (m)	Intercept Width(m)	Au (ppb)
YAAC330	592870	6890805	400	.60	265	81	46	62	16	102
YAAC331	592953	6890814	400	.60	270	73	36	40	4	59
and							58	62	4	120
YAAC332	593028	6890812	400	.60	270	81	70	74	4	53
YAAC334	592706	6890997	400	.60	265	117	93	96	3	138
YAAC338	593169	6891000	400	.60	270	59	36	42	6	67
YAAC339	593229	6890999	400	.60	270	70	36	43	7	185
and							69	70	1	64
YAAC340	593303	6890996	400	.60	270	78	20	24	4	60
and							72	76	4	133
YAAC341	593378	6890997	400	.60	270	63	42	46	4	73
YAAC347	593727	6891002	400	.60	270	21	19	20	1	97
YAAC358	592729	6891203	400	.60	270	114	113	114	1	77
YAAC359	592933	6891200	400	.60	270	120	84	88	4	113
and							112	120	8	77
YAAC360	593128	6891200	400	.60	270	90	24	28	4	51
YAAC362	593482	6891198	400	.60	270	27	12	16	4	65
YAAC363	593584	6891198	400	.60	270	63	26	33	7	81
YAAC373	592164	6891994	400	.60	270	87	56	60	4	58
and							76	87	11	144
YAAC385	592269	6890393	400	.60	270	102	98	102	4	457
						Incl.	101	102	1	1648 (1.6g/t)
YAAC386	592471	6890396	400	.60	270	99	24	28	4	68
YAAC388	592858	6890399	400	.60	280	24	15	21	6	59

Table!1:!Significant!gold!assays!>50ppb!from!recently!completed!aircore!drilling!at!the!Yamarna!Project.!All! intersections!are!quoted!as!downhole!widths.!Assays!are!from!the!first!71!holes!(total!of!4,654m)!of!a!95!hole! programme!(total!of!5,859m)!

3!

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Figure!3:!Regional!geology!highlighting!multiple!targets!on!the!Compabny’s!100%!held!tenure!along!strike!from!the!Gruyere! discovery!by!Gold!Road!Resources!Ltd.!

4!

FOR!MORE!INFORMATION…!

Justin!Brown!

Executive!Director! Phone:!+61!8!6315!1400! Email:!jbrown@montezuma.com.au!

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

The!information!in!this!report!that!relates!to!Exploration!Results,!Mineral!Resources!and!Mineral!Reserves!is!based!on!information! compiled!by!Mr!Bradley!Drabsch!who!is!a!member!of!the!Australasian!Institute!of!Geoscientists.!At!the!time!that!the!Exploration! Results,!Mineral!Resources!and!Mineral!Reserves!were!compiled,!Mr!Drabsch!was!an!employee!of!Montezuma!Mining!Company! Ltd.!Mr!Drabsch!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!Drabsch!consents!to!the! inclusion!of!this!information!in!the!form!and!context!in!which!it!appears!in!this!report.!

Please!note!with!regard!to!exploration!targets,!the!potential!quantity!and!grade!is!conceptual!in!nature,!that!there!has!been! insufficient!exploration!to!define!a!Mineral!Resource!and!that!it!is!uncertain!if!further!exploration!will!result!in!the!determination!of! a!Mineral!Resource.!

5!

JORC%Table%1 (Criteria!in!this!section!apply!to!all!succeeding!sections.)

Criteria	JORCCodeexplanation	JORCCodeexplanation	Commentary
Sampling	• Natureandqualityofsampling(egcutchannels,randomchips,or		• Aircore(AC)drillchipswerecollectedascompositesamples(either
techniques	specificspecialisedindustrystandardmeasurementtoolsappropriate		1m,2m,3mor4msamples)frombulkpileslaidoutnexttothe
	tothemineralsunderinvestigation,suchasdownholegamma		drillholecollarusingahandheldscoop.
	sondes,orhandheldXRFinstruments,etc).Theseexamplesshould		• Sampleswerescoopedinsuchamannerastoensureportionsofthe
	notbetakenaslimitingthebroadmeaningofsampling.		wholepileweresampled.Thisisstandardindustrypracticeforthis
	• Includereferencetomeasurestakentoensuresamplerepresentivity		typeofearlyphasedrilling.
	andtheappropriatecalibrationofanymeasurementtoolsorsystems		• Mineralisationdeterminedqualitativelybygeologicalloggingand
	used.		quantitativelythroughassaying.
	• AspectsofthedeterminationofmineralisationthatareMaterialtothe		• Approximately2kgofsamplewascollectedasacomposite.This
	PublicReport.		samplewaspulverisedto85%passing75µmthena10gsubMsample
	• Incaseswhere‘industrystandard’workhasbeendonethiswouldbe		digestedviaaquaMregiafollowedwithassaybyICPMOESorICPMMS
	relativelysimple(eg‘reversecirculationdrillingwasusedtoobtain1		methods.
	msamplesfromwhich3kgwaspulverisedtoproducea30gcharge
	forfireassay’).Inothercasesmoreexplanationmayberequired,
	suchaswherethereiscoarsegoldthathasinherentsampling
	problems.Unusualcommoditiesormineralisationtypes(eg
	submarinenodules)maywarrantdisclosureofdetailedinformation.
Drilling	• Drilltype(egcore,reversecirculation,openNholehammer,rotaryair		• ACdrillingusingafacesamplingbladeorwhereAChammermethod
techniques	blast,auger,Bangka,sonic,etc)anddetails(egcorediameter,triple		used,afacesamplingbit.Holediameternominally100mm.
	orstandardtube,depthofdiamondtails,faceNsamplingbitorother
	type,whethercoreisorientedandifso,bywhatmethod,etc).
Drillsample	• Methodofrecordingandassessingcoreandchipsamplerecoveries		• Recoveriesqualitativelynotedatthetimeofdrillingandrecordedin
recovery	andresultsassessed.		theMZMdatabase.
	• Measurestakentomaximisesamplerecoveryandensure		• Thecycloneofthedrillrigiscleanedattheendofeach3mrodto
	representativenatureofthesamples.		ensuresampleisnot“hungMup”andsamplesareascleanaspossible
	• Whetherarelationshipexistsbetweensamplerecoveryandgrade		withaslittlecrosscontaminationaspossible.
	andwhethersamplebiasmayhaveoccurredduetopreferential		• Norelationshipbetweengradeandrecoveryhasyetbeen
	loss/gainoffine/coarsematerial.		established.
Logging	• Whethercoreandchipsampleshavebeengeologicallyand		• Allsampleswereloggedtoalevelofdetailtosupportfutureuseina
	geotechnicallyloggedtoalevelofdetailtosupportappropriate		mineralresourcecalculationshoulditberequired.
	MineralResourceestimation,miningstudiesandmetallurgical		• Qualitative:Lithology,alteration,mineralisation.
	studies.		• Quantitative:Veinpercentage,assayingforgoldandotherelements.
	• Whetherloggingisqualitativeorquantitativeinnature.Core(or		• Allholesfortheirentirelengtharelogged.
	costean,channel,etc)photography.
	• Thetotallengthandpercentageoftherelevantintersectionslogged.

6!

Criteria		JORCCodeexplanation	Commentary
Sub8		• Ifcore,whethercutorsawnandwhetherquarter,halforallcore	• Aircore(AC)drillchipswerecollectedascompositesamples(either
sampling		taken.	1m,2m,3mor4msamples)frombulkpileslaidoutnexttothe
techniques		• IfnonNcore,whetherriffled,tubesampled,rotarysplit,etcand	drillholecollarusingahandheldscoop.
andsample		whethersampledwetordry.	• Samplesweretakenatinterpretedgeologicalboundariesinorderto
preparation		• Forallsampletypes,thenature,qualityandappropriatenessofthe	identifyanddiscriminatebetweentransportedandinMsitu
		samplepreparationtechnique.	mineralisation.
		• QualitycontrolproceduresadoptedforallsubNsamplingstagesto	• Sampleconditionwithrespecttomoisturecontentisnotedonthe
		maximiserepresentivityofsamples.	geologicallog.
		• Measurestakentoensurethatthesamplingisrepresentativeofthein	• Theentirecompositesample(approx.2kg)hasbeendried,
		situmaterialcollected,includingforinstanceresultsforfield	pulverisedto85%passing75µm,a10gsubMsamplesplitthen
		duplicate/secondNhalfsampling.	digestedbyaquaMregiafollowedbyassaywithICPMMSorICPMOES
		• Whethersamplesizesareappropriatetothegrainsizeofthematerial	forgoldandasuiteofpathfinderelements.
		beingsampled.	• Nofieldduplicateshavebeenprocessedasyet.Pulpduplicateshave
			beentakenatthepulverisingstageandselectiverepeatsconducted
			atthelaboratoriesdiscretion.
			• Samplesizesareconsideredappropriateforthegrainsizeofthe
			materialsampled.
Qualityof		• Thenature,qualityandappropriatenessoftheassayingand	• SampleswereassayedusinganICPMMSorICPMOESfinishafter
assaydata		laboratoryproceduresusedandwhetherthetechniqueisconsidered	beingdigestedwithaquaMregia(industrystandardtechniqueforlow
and		partialortotal.	levelAuinsurfacesamples).Thisisconsideredapartialdigest
laboratory		• Forgeophysicaltools,spectrometers,handheldXRFinstruments,etc,	techniquehoweverinweatheredsamplesitisconsideredto
tests		theparametersusedindeterminingtheanalysisincludinginstrument	approximateatotaldigestassay.
		makeandmodel,readingtimes,calibrationsfactorsappliedandtheir	• Assayswerereturnedforthefollowingelements:Au,Ag,As,Cu,Pb,
		derivation,etc.	Zn,Ni,Sb,Bi,W,TeandMo.
		• Natureofqualitycontrolproceduresadopted(egstandards,blanks,	• CertifiedReferenceMaterial(Standards)wassubmittedwithbatches
		duplicates,externallaboratorychecks)andwhetheracceptablelevels	(approximately1inevery25samples)andlaboratoryinserted
		ofaccuracy(ielackofbias)andprecisionhavebeenestablished.	standards,blanksandduplicateswerealsoreported.Wheregold
			levelswereoverrangefortheICPMMStechnique,aseparatesample
			fromthepulverisedpulpwasanalysedusinga25gfireassay.The
			resultsreportedforareallwithintolerablelimits.
Verification		• Theverificationofsignificantintersectionsbyeitherindependentor	• AlldatahavebeencheckedinternallyforcorrectnessbyseniorMZM
ofsampling		alternativecompanypersonnel.	geologicalandcorporatestaff.
and		• Theuseoftwinnedholes.	• AlldataiscollectedviaGeobankMobilesoftwareanduploadedinto
assaying		• Documentationofprimarydata,dataentryprocedures,data	theMZMGeobankDatabasefollowingvalidation.
		verification,datastorage(physicalandelectronic)protocols.	• Noadjustmentshavebeenmadetoassaydata.
		• Discussanyadjustmenttoassaydata.

7!

Criteria	JORCCodeexplanation	JORCCodeexplanation	Commentary	Commentary
Locationof	• Accuracyandqualityofsurveysusedtolocatedrillholes(collarand		•	AlllocationpointswerecollectedusinghandheldGPSinMGA94–
datapoints	downNholesurveys),trenches,mineworkingsandotherlocations			Zone51
	usedinMineralResourceestimation.
	• Specificationofthegridsystemused.
	• Qualityandadequacyoftopographiccontrol.
Dataspacing	• DataspacingforreportingofExplorationResults.		•	Holesweredrilledatvariousspacingbasedupongeological
and	• Whetherthedataspacinganddistributionissufficienttoestablishthe			observationsatthetimeofdrilling.Thisistypically100m,50mor
distribution	degreeofgeologicalandgradecontinuityappropriatefortheMineral			25m.Drilllinesarespacedatapproximately200mM400mwhere
	ResourceandOreReserveestimationprocedure(s)and			multiplelinesaredrilledinanarea.
	classificationsapplied.		•	Holespacingisappropriatefordrillingatthisearlystageinthe
	• Whethersamplecompositinghasbeenapplied.			explorationprocess.
			•	Samplecompositinghasbeenapplied.Samplesweretakenat
				interpretedgeologicalboundariesinordertoidentifyanddiscriminate
				betweentransportedandinMsitumineralisation.
Orientation	• Whethertheorientationofsamplingachievesunbiasedsamplingof		•	Theorientationofstructuresisnotknownwithcertaintybutdrilling
ofdatain	possiblestructuresandtheextenttowhichthisisknown,considering			wasconductedusingappropriateorientationsforinterpreted
relationto	thedeposittype.			structures.
geological	• Iftherelationshipbetweenthedrillingorientationandtheorientation		•	Biasintroducedbydrillorientationwithrespecttostructuresisnot
structure	ofkeymineralisedstructuresisconsideredtohaveintroduceda			known.
	samplingbias,thisshouldbeassessedandreportedifmaterial.
Sample	• Themeasurestakentoensuresamplesecurity.		•	Chainofcustodywasmanagedbycompanyrepresentativesandis
security				consideredappropriate.Allsamplesarebaggedinatiednumbered
				calicobag,groupedintolargerpolyweavebagsandcabletied.
				Polyweavebagsareplacedintolargerbulkybagswithasample
				submissionsheetandtiedshut.Consignmentnoteanddelivery
				addressdetailsarewrittenonthesideofthebaganddeliveredtoToll
				inLaverton.ThebagsaredelivereddirectlytoMinAnalyticalin
				CanningVale,WAwhoareNATAaccreditedforcompliancewith
Auditsor • Theresultsofanyauditsorreviewsofsamplingtechniquesanddata. •				ISO/IEC17025:2005. Noexternalauditsorreviewshavebeenconductedapartfrom
reviews				internalcompanyreview.

8!

Section 2 Reporting of Exploration Results

(Criteria!listed!in!the!preceding!section!also!apply!to!this!section.)!

Criteria	JORCCodeexplanation	JORCCodeexplanation	Commentary	Commentary
Mineral	• Type,referencename/number,locationandownershipincluding		• E38/2889is100%ownedbyMontezumaMiningCompanyLimited
tenement	agreementsormaterialissueswiththirdpartiessuchasjoint			andisingoodstandingandtherearenoknownimpedimentsto
andland	ventures,partnerships,overridingroyalties,nativetitleinterests,			maintainingalicencetooperateinthearea.
tenurestatus	historicalsites,wildernessornationalparkandenvironmental		• ThelandonwhichE38/2889issituatedwithinAboriginalReserve
	settings.			20396.MontezumaMiningCompanyLimitedhasobtained“Mining
	• Thesecurityofthetenureheldatthetimeofreportingalongwithany			EntryPermits”tooperatewithinthelicencearea.
	knownimpedimentstoobtainingalicencetooperateinthearea.
Exploration	• Acknowledgmentandappraisalofexplorationbyotherparties.		• VerylittleexplorationhasbeenundertakenintheareaofE38/2889
doneby				previously.ThemostdetailedworkwascarriedoutbyWMCduring
otherparties				themidM1990’swheretheycollectedM75umsoilsamplesonaregional
				scale.WMCdidnotfollowMupthelowtenoranomaliestheydefinedin
				thecurrentworkareaatthetime.
Geology	• Deposittype,geologicalsettingandstyleofmineralisation.		• Notenoughinformationhasbeengatheredtoadequatelydefinethe
precisegeologyintheareaasitislargelycoveredinrecentsand. Drillhole • Asummaryofallinformationmaterialtotheunderstandingofthe • Seeappendixtotherelease.
Information	explorationresultsincludingatabulationofthefollowinginformation
	forallMaterialdrillholes:
	o eastingandnorthingofthedrillholecollar
	o elevationorRL(ReducedLevel–elevationabovesealevelin
	metres)ofthedrillholecollar
	o dipandazimuthofthehole
	o downholelengthandinterceptiondepth
	o holelength.
Data	• InreportingExplorationResults,weightingaveragingtechniques,		• NotopMcutshavebeenappliedwhenreportingresults.
aggregation	maximumand/orminimumgradetruncations(egcuttingofhigh		• Firstassayfromtheintervalinquestionisreported(i.e.Au1),except
methods	grades)andcutNoffgradesareusuallyMaterialandshouldbestated.			inthecaseswheretheassayrepeatsorisreportedasoverrangefor
	• Whereaggregateinterceptsincorporateshortlengthsofhighgrade			goldfortheinstrumentbeingused.Inthiscase,afireassayrepeatis
	resultsandlongerlengthsoflowgraderesults,theprocedureused			conductedandthatvaluereported.Thisisnotedwherethisoccurs.
	forsuchaggregationshouldbestatedandsometypicalexamplesof		• Aggregatesampleassayscalculatedusingalengthweighted
	suchaggregationsshouldbeshownindetail.			average
	• Theassumptionsusedforanyreportingofmetalequivalentvalues		• Significantgradeintervalsbasedonintercepts>50ppbgold.

9!

Criteria	JORCCodeexplanation	JORCCodeexplanation	Commentary
	shouldbeclearlystated.		• Nometalequivalentvalueshavebeenusedforreportingofresults.
Relationship	• Ifthegeometryofthemineralisationwithrespecttothedrillhole		• Notenoughinformationhasbeengatheredtoadequatelydefinethe
between	angleisknown,itsnatureshouldbereported.		precisegeologyintheareaasitislargelycoveredinrecentsand.
mineralisatio	• Ifitisnotknownandonlythedownholelengthsarereported,there
nwidthsand	shouldbeaclearstatementtothiseffect(eg‘downholelength,true
intercept	widthnotknown’).
lengths
Diagrams	• Appropriatemapsandsections(withscales)andtabulationsof		• Refertofiguresindocument.
	interceptsshouldbeincludedforanysignificantdiscoverybeing
	reportedTheseshouldinclude,butnotbelimitedtoaplanviewof
	drillholecollarlocationsandappropriatesectionalviews.
Balanced	• WherecomprehensivereportingofallExplorationResultsisnot		• Alldrillholelocationsarereportedandatableofsignificantintervals
reporting	practicable,representativereportingofbothlowandhighgrades		isprovidedinthereleasetext.
	and/orwidthsshouldbepracticedtoavoidmisleadingreportingof
	ExplorationResults.
Other	• Otherexplorationdata,ifmeaningfulandmaterial,shouldbereported		• Allmeaningfulandmaterialinformationisreported.
substantive	including(butnotlimitedto):geologicalobservations\geophysical
exploration	surveyresults\geochemicalsurveyresults\bulksamples–sizeand
data	methodoftreatment\metallurgicaltestresults\bulkdensity,
	groundwater,geotechnicalandrockcharacteristics\potential
	deleteriousorcontaminatingsubstances.
Furtherwork	• Thenatureandscaleofplannedfurtherwork(egtestsforlateral		• SecondphasedillplanningtofollowMupsignificantintersectionsis
	extensionsordepthextensionsorlargeNscalestepNoutdrilling).		underwayandisexpectedtocommencewithinQ42015.
	• Diagramsclearlyhighlightingtheareasofpossibleextensions,
	includingthemaingeologicalinterpretationsandfuturedrillingareas,
	providedthisinformationisnotcommerciallysensitive.

10!

Section 2 Reporting of Exploration Results

(Criteria!listed!in!the!preceding!section!also!apply!to!this!section.)!

Criteria	JORCCodeexplanation	JORCCodeexplanation	Commentary	Commentary
Mineral	• Type,referencename/number,locationandownershipincluding		• E38/2889is100%ownedbyMontezumaMiningCompanyLimited
tenement	agreementsormaterialissueswiththirdpartiessuchasjoint			andisingoodstandingandtherearenoknownimpedimentsto
andland	ventures,partnerships,overridingroyalties,nativetitleinterests,			maintainingalicencetooperateinthearea.
tenurestatus	historicalsites,wildernessornationalparkandenvironmental		• ThelandonwhichE38/2889issituatedwithinAboriginalReserve
	settings.			20396.MontezumaMiningCompanyLimitedhasobtained“Mining
	• Thesecurityofthetenureheldatthetimeofreportingalongwithany			EntryPermits”tooperatewithinthelicencearea.
	knownimpedimentstoobtainingalicencetooperateinthearea.
Exploration	• Acknowledgmentandappraisalofexplorationbyotherparties.		• VerylittleexplorationhasbeenundertakenintheareaofE38/2889
doneby				previously.ThemostdetailedworkwascarriedoutbyWMCduring
otherparties				themidM1990’swheretheycollectedM75umsoilsamplesonaregional
				scale.WMCdidnotfollowMupthelowtenoranomaliestheydefinedin
				thecurrentworkareaatthetime.
Geology	• Deposittype,geologicalsettingandstyleofmineralisation.		• Notenoughinformationhasbeengatheredtoadequatelydefinethe
				precisegeologyintheareaasitislargelycoveredinrecentsand.
			• Earlyobservationsindicatethatthemineralisationpresentat
				YamarnaappearstobepartofatypicalYilgarnCraton,Archaean,
shearhosted,mesoMthermalstylesystem. Drillhole • Asummaryofallinformationmaterialtotheunderstandingofthe • Seeappendixtotherelease.
Information	explorationresultsincludingatabulationofthefollowinginformation
	forallMaterialdrillholes:
	o eastingandnorthingofthedrillholecollar
	o elevationorRL(ReducedLevel–elevationabovesealevelin
	metres)ofthedrillholecollar
	o dipandazimuthofthehole
	o downholelengthandinterceptiondepth
	o holelength.
Data	• InreportingExplorationResults,weightingaveragingtechniques,		• NotopMcutshavebeenappliedwhenreportingresults.
aggregation	maximumand/orminimumgradetruncations(egcuttingofhigh		• Firstassayfromtheintervalinquestionisreported(i.e.Au1).
methods	grades)andcutNoffgradesareusuallyMaterialandshouldbestated.		• Aggregatesampleassayscalculatedusingalengthweighted
	• Whereaggregateinterceptsincorporateshortlengthsofhighgrade			average.
	resultsandlongerlengthsoflowgraderesults,theprocedureused

11!

Criteria	JORCCodeexplanation	JORCCodeexplanation	Commentary
	forsuchaggregationshouldbestatedandsometypicalexamplesof		• Significantgradeintervalsbasedonintercepts>0.1g/tgold.
	suchaggregationsshouldbeshownindetail.		• Nometalequivalentvalueshavebeenusedforreportingofresults.
	• Theassumptionsusedforanyreportingofmetalequivalentvalues
	shouldbeclearlystated.
Relationship	• Ifthegeometryofthemineralisationwithrespecttothedrillhole		• Notenoughinformationhasbeengatheredtoadequatelydefinethe
between	angleisknown,itsnatureshouldbereported.		precisegeologyintheareaasitislargelycoveredinrecentsand.
mineralisatio	• Ifitisnotknownandonlythedownholelengthsarereported,there		• Truewidthsarenotknown,however,initialobservationsindicatethe
nwidthsand	shouldbeaclearstatementtothiseffect(eg‘downholelength,true		drillingisappropriatetotheinterpretedorientationofmineralising
intercept	widthnotknown’).		structuresanddownholewidthswillapproximatetruewidths.
lengths
Diagrams	• Appropriatemapsandsections(withscales)andtabulationsof		• Refertofiguresindocument.
	interceptsshouldbeincludedforanysignificantdiscoverybeing
	reportedTheseshouldinclude,butnotbelimitedtoaplanviewof
	drillholecollarlocationsandappropriatesectionalviews.
Balanced	• WherecomprehensivereportingofallExplorationResultsisnot		• Alldrillholelocationsarereportedandatableofsignificantintervalsis
reporting	practicable,representativereportingofbothlowandhighgrades		providedinthereleasetext.
	and/orwidthsshouldbepracticedtoavoidmisleadingreportingof
	ExplorationResults.
Other	• Otherexplorationdata,ifmeaningfulandmaterial,shouldbereported		• Allmeaningfulandmaterialinformationisreported.
substantive	including(butnotlimitedto):geologicalobservations\geophysical
exploration	surveyresults\geochemicalsurveyresults\bulksamples–sizeand
data	methodoftreatment\metallurgicaltestresults\bulkdensity,
	groundwater,geotechnicalandrockcharacteristics\potential
	deleteriousorcontaminatingsubstances.
Furtherwork	• Thenatureandscaleofplannedfurtherwork(egtestsforlateral		• DrillingattheYamarnaProjectiscontinuingatthepresenttime.
	extensionsordepthextensionsorlargeNscalestepNoutdrilling).
	• Diagramsclearlyhighlightingtheareasofpossibleextensions,
	includingthemaingeologicalinterpretationsandfuturedrillingareas,
	providedthisinformationisnotcommerciallysensitive.

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