22 April 2021

Caerus Mineral Resources Plc

("Caerus" or the "Company") (Ticker: CMRS)

Exploration Update

Caerus Mineral Resources, the exploration and resource development company focused on developing mineral resources in Cyprus  to support the global "Clean Energy" initiative , is pleased to provide shareholders with an exploration update.

Highlights

·    The N. Mathiatis drill programme continues to progress with a total of 9 holes of the 39 hole programme complete to date. Once completed, the samples will be shipped to to the ALS Laboratory in Rosia Montana for analysis.

·    A Phase 2 drill programme has been approved for the Troulli Project. This will focus on the epithermal gold target and potential extension to the former Troulli Volcanogenic Massive Sulphide (VMS) deposit.

·    The Company is also planning to test the various dumps, ore stockpiles,tailings and the main VMS sulphide orebody that has never been mined and is present in the current open pit floor at the Troulli License. Historical indicated sample grades are as high as 1.5% Cu.  

·    Excellent progress has been made with the digitisation of the substantial  database inherited by the Company and 3-D modelling of former  VMS orebodies, drill hole data and prospective geology in the main Kalavasos licenses is underway..

·    Work continues on the collation and interrogation of current and historical data across the portfolio to further understand the value of the copper-gold resource inventory within the Cypriot licenses.

N. Mathiatis

The evaluation drilling, as announced on 29 March 2021, is progressing well. The programme was designed to provide a low-cost, simple and reliable way to establish whether copper - gold mineralisation zones remain within the numerous dumps that are located  around the rim of the former open pit. As of this announcement, 9 drill holes of the planned 39 have been completed. The sampling and drilling protocols are being refined regularly by the on-site exploration team and will form the basis of future dump evaluation drilling on all of the other brownfield licences and former mine sites within the Caerus portfolio.  

Troulli Gold

The recent results of Due Diligence drilling, including the discovery of a significantly thicker package of gold-bearing epithermal mineralisation and indications of the extension of the former high-grade Troulli copper-gold VMS orebody, has led the Company to commission further drilling to broadly define the limits of the gold mineralisation and to drill deeper into the VMS deposit. Impressive recent (2018) surface channel sample grades complementing the more recent report of visible gold present in percussion samples has led the Caerus Board to prioritise infill and step out drilling of the epithermal gold zone.

Table: Recent (2018) channel sample lengths and gold and silver grades over the Troulli Epithermal Gold Zone

The Board is also planning  a drill programme to test the various dumps, ore stockpile2, tailings and the main VMS sulphide orebdy that begins in the base of the current open pit within the Troulli Licence, where historic sampling has indicated grades for some of the waste resources to be as high as 1.5% Cu.  

Digitisation and Modelling

Caerus has given the responsibility for digitisation and modelling to an external consulting group with the appropriate expertise, which has enabled exploration personnel to focus on more direct exploration programmes. The consultant is becoming very familiar with the Company's database and it is expected that one or more of the Consulting team will move over to Caerus and undertake field-based exploration in due course. 

The Kalavasos Project makes up a significant part of the database and whilst it is considered one of the most prospective assets held by Caerus, no field work has been undertaken to date. Kalavasos hosts a potential 2.5Mt of residual ore associated with former producing mines and targeting these resources can only be achieved once the historic data has been processed and 3-D models generated. Kalavasos also hosts multiple dumps and includes three greenfield licences that have never been subject to any modern exploration. A wide-ranging exploration programme is envisaged for Kalavasos and the completion of digitisation and modelling will be the trigger for the commencement of field-based work.

Commenting on progress, Chief Executive Officer Martyn Churchouse said, "I am delighted with the rapid progress that we have made in the short time since listing. The results of our exploration programmes to date have been very encouraging and should provide shareholders with the confidence that exploration funds are being well spent. Whilst work is still ongoing to fully define the scope of our copper-gold resource inventory, current 'in-house' estimates are close with our strategic targets. The potential of our Brownfield strategy is becoming evident, and the Company remains on track to start building out its resource inventory."

For further information, please visit www.caerusmineralresources.com or contact:

Follow us on Twitter at @CaerusMineral

About Caerus Mineral Resources

Caerus Mineral Resources is an exploration and resource development company targeting brownfield sites in the Republic of Cyprus, an island with a history of copper and gold production before partition in the mid-1970s.

Caerus sees the potential for renewed mining of copper and gold in Cyprus as part of its broader strategy of building a portfolio of European mineral assets in response to the transition to low-carbon technologies aligned with the global 'Clean Energy' drive.

The aim in Cyprus is to redevelop former copper-gold mines hosting residual Cu - Au sulphide mineralisation, to identify strike extensions to known orebodies within existing and new Cu - Au targets and to process these using flotation, evaluating the viability of low-technology heap or vat leaching reprocessing of dumps and stockpiles for early cash flow to fund future growth.

Historically, Cyprus's emphasis was on developing easily accessible high-grade copper mines generally at or near surface, and only limited effort was made to explore for deposits beneath cover or along strike where VMS orebodies typically occur in clusters. The Company sees an opportunity to deploy modern exploration techniques over licences that have not been systematically evaluated for more than 40 years.

Mainly due to a government levy applied up to the mid-1970s making it uneconomical, gold is the forgotten metal in Cyprus. The combination of current gold and copper prices changes the exploration landscape for lower grade mineralisation. Disseminated and stockwork mineralisation located beneath high-grade sulphide orebodies is a diagnostic of the Cyprus-type VMS deposits associated with Cypriot geology and the majority of the Company's former producing mines. This represents a further target adding to the optionality of the Group's assets in Cyprus. 

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 (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.