Meridian's CAD 10m Financing: Fueling Brazilian Copper-Gold Ambitions

Meridian Mining UK S (TSX:MNO)(Frankfurt/Tradegate:2MM)(OTCQX:MRRDF) has announced a strategic CAD 10 million non-brokered private placement financing, fully subscribed by a single sophisticated European investor. This significant investment enhances Meridian's working capital position and supports its ambitious 2025 plans, as the company continues its journey towards becoming Brazil's next copper-gold producer.



The CAD 10 million financing, at a price of CAD 0.39 per unit, consists of one common share and one common share purchase warrant. Each warrant entitles the holder to purchase one additional common share at an exercise price of CAD 0.50 for a period of 36 months. The warrants are subject to acceleration if the company's shares trade at or above CAD 0.50 for 10 consecutive trading days. The proceeds from this financing will be used to advance the Cabaçal Pre-Feasibility Study (PFS) completion, initiate the subsequent Feasibility Study (FS), expand the drill program at Santa Helena, and fund regional exploration.

1. Cabaçal PFS Completion and FS Initiation: The CAD 10 million financing will enable Meridian to finalize the Cabaçal PFS, which is expected to be reported by the end of Q1 2025. The PFS is anticipated to build on the confidence outlined in the Cabaçal Preliminary Economic Assessment (PEA1) by increasing certainty and providing a staged production expansion scenario. Upon completion of the PFS, Meridian anticipates launching the FS, which will further de-risk the project and provide a detailed plan for development and operation.
2. Santa Helena's Expanded Drill Program: The funds will allow Meridian to complete an infill drill program of up to 4,700 meters at the Santa Helena Au-Cu-Ag & Zn deposit. This program aims to supplement and/or replace historical drill hole data with mineralized intercepts, improving the geological model and resource estimation. The discovery of a high-grade gold-silver VMS system in the western sector of Santa Helena in 2024 has changed the nature of the deposit's potential towards a more precious metal system. By completing additional metallurgical test work, Meridian aims to avoid under-reporting the recoverable gold and silver mineralization at Santa Helena, which is expected to be reported in Q2.
3. Regional Exploration: The additional working capital will allow Meridian to test the untapped exploration potential of the broader Cabaçal VMS belt, including the growing exploration potential of the belt's southeastern zone centered on Santa Helena's open mineralization and its near-mine upside. By including the ability for the historical mine site to be re-established as a stand-alone processing facility in Santa Helena's Preliminary License submission, Meridian is positioning itself for future growth and expansion along the belt.

The strategic implications of a single European investor increasing their stake to 12.1% through this financing are significant for Meridian Mining. This substantial investment indicates a high level of confidence in the company's prospects and its flagship Cabaçal Au-Cu-Ag project. The European investor's significant stake could lead to strategic partnerships or collaborations, as they may be interested in leveraging their investment to influence Meridian's decision-making process. These partnerships could involve technology sharing, joint exploration, or even joint venture opportunities, which could further strengthen Meridian's position in the market.

In conclusion, Meridian Mining's CAD 10 million non-brokered private placement financing provides the company with the necessary funds to advance its Cabaçal PFS completion, initiate the FS, expand the drill program at Santa Helena, and conduct regional exploration. This investment aligns with Meridian's long-term growth strategy and positions the company for a potentially transformational 2025 as an emerging Brazilian copper-gold developer.