The following amendments have been made to the ' Quarterly Net Asset Value and Operational Update' announcement released on 8 June 2021 at 7:00 am under RNS No 0915B.

Mineral and Financial Investments Limited announces that the date of the Net Asset Value Per Share (FD) in the highlights section should have stated "31 March 2021" not "31 March 2020".

In addition, the introductory paragraph below the highlights section should have stated "8 June 2021" instead of "8 June 2020".

All other details remain unchanged. The full amended text is shown below.

MINERAL AND FINANCIAL INVESTMENTS LIMITED

Quarterly Net Asset Value and Operational Update

HIGHLIGHTS:

·    Net Asset Value Per Share (FD) at 31 March 2021 was 17.1p, up 13% vs. 15.1p a yr. ago.

·    Q3 Net Asset Value¹ of £6,028,884, up 6.1% vs. Q2 Net Asset Value of £5,681,023

·    Increased our overweighted holdings of precious metals sector in Q3 period

·    Cerrado Gold investment is now publicly listed and generated excellent performance.

·    Follow-on Investment in Ideon Technologies made after a 267% rise in value in 9 months.

George Town, Cayman Islands - 8 June 2021 - Mineral and Financial Investments Limited (LSE-AIM: MAFL) ("M&FI" "MAFL" or the "Company") is  delighted to provide an unaudited quarterly update of its Net Asset Value and also  give an operational update for the quarterly period ending 31 March 2021. At the end of the third quarter, the NAV was £6,028,884, up 13.0%, from £5,333,187 one year ago. The Net Asset Value Per Share was 17.1p, up 13.0% from one year ago. Unaudited net earnings for the first nine months of our fiscal year are £555,052, or 1.58p. The Company's working capital was £6,099,884[1].

The following is a summary of the NAV, updated to include this unaudited NAV calculation:

NAV SUMMARY OF HISTORICAL PERFORMANCE

(Table 1)

The global sentiment and expectations have been on a roller coaster since February 2020. One year ago, we entered the first phase of the COVID-19 crisis, whose impact expanded thereafter. Fiscal and monetary policies became highly "accommodative"  to avert an even greater economic crisis than the one felt. The reaction by governments to the COVID crisis forced an abandonment of financial discipline that had selectively initiated after the financial ravages of the Global Credit Crisis of 2007-2008. Today, at the beginning of June 2021, we believe that the market sentiment is  highly euphoric. We also believe that equity markets seem to want to move beyond the economic damage caused over the last 18 months by COVID restrictions and focus solely on the potential, and still entirely hypothetical, growth in its aftermath. By the end of March 2021, the S&P 500 is up 53.7% year-over-year, while the Shanghai CSI 300 Index who's underpinneing economy was less impacted by COVID, is up 37% in the same timeframe. Interest rates, as measured by the 10-year government bond yields, during the 12 months beginning March 31, 2020, 10 year gov't bond yields' were up 159.4% in the UK, up 155.8% in the USA, up 139.2% in Australia, and these similar rates were up 129.4% in Canada. This "extreme exuberance" is fuelled by the government's various economic stimulants, all of which, we believe, will need to be paid for with higher tax revenues. However, we are of the view that rising equity markets coupled with rising interest rates are incompatible over the long-term. One will, in our opinion, need to give way to the other.

NET ASSET VALUE[2]

As of 31 March 2021, the unaudited Net Asset Value was £6,028,884, equating to 17.1p per share on a fully diluted basis.  The Company's overall performance continues to be held back by the strength of the GBP versus the US Dollar. The GBP is up, year over year, by 10.3% vs the USD. The DXY Index, which measures the performance of the USD versus other currencies, on a trade-weighted basis, was down 6.4%. Our Precious metals weighting has increased to 41.7% of our invested assets due to the performance of our gold equity holdings, notably Cerrado Gold.

We have increased our weighting to precious metal investments and this represents significant overweighting to the sector. In the 12-month period ending 31 March 2021, the price of gold bullion appreciated by only 6%, while silver by a disproportionate 73.2%. We believe that the economic setting will result in gold performing significantly better over the next 12 to 24 months. Base metals holdings in our portfolios have declined slightly, more as a function of not adding to positions. The base metal sector has been rising at a torrid pace - led by copper being up 83.4% during the period. We continue to seek a strategic investment in the copper sector which will provide our shareholders an attractive platform to participate in this key metal within a world whose commitment of green energy transition. This will require new sources of a variety of metals, most likely copper will be the net winner.

PORTFOLIO COMPOSITION

(Table 2)

The IMF's April 2021 World Economic Outlook, which we regularly turn to as a reliable measure of global economic activity, measured the global economic activity decline in 2020 to have been 3.3%. Our belief last year that the IMF's estimates at the time underestimated the negative impact proved to be correct, the IMF's forecasted performance for global economic activity in 2020 to be down -3.0%, it was 10% worse than that at -3.3%. Although we believe in and rely upon the quality and thoroughness of the IMF's work, we believe that the economic rebound will be less robust than the IMF currently estimates. That said, the recent marginal growth for commodities generally, and metals has explicitly come from Emerging and Developing economies, and we believe should continue to do. Base metals should continue to be strong, however we believe that  precious metals will catch up as the DXY should continue to soften.

IMF - WORLD ECONOMIC OUTLOOK (April 2021)

(Table 3)

The impact of the global COVID lockdown has not been limited to the economic slowdown. There have been structural and behavioural changes that will impact economic activity for years to come, not the least its impact on "bricks and mortar" businesses.  We believe that the mining and metals sector will have an important a role to play in the changed economic setting ahead and are seeking the best opportunities for our shareholders.

TACTICAL PORTFOLIO

The Tactical Portfolio grew by 33% on a YoY basis to £1,065,372, and now represents 17.1% of our investment portfolio. M&FI initiated a few new positions in the quarter. As a reminder, the Tactical Portfolio's purpose is to protect our capital and generate positive gains for the Company. It's possible range of investments is broader than the Strategic Portfolio's exclusive focus on natural resource investments.

We have also acquired a position in Endeavour Gold (i.e. 1.9% of the investment portfolio), which has evolved into a consolidator of West African gold mining assets with a current market capitalization of C$7.25 Billion. The Company has six producing mines, has a 2021 production target of 1.4 -1.5 million  ounces  of gold from its Measured and Indicated resource base of 28 million ounces . In late 2020 Endeavour announced that it was to acquire Teranga Gold Corp in a share exchange. The announcement of the acquisition resulted in arbitrage selling of Endeavour shares which created a buying opportunity for M&FI of the temporarily depressed shares of Endeavour.

We did close out a short copper derivative position that was initiated as a hedge against a possible overall market correction. The trade was overwhelmed by the market optimism, and we recognized that the market and economic assumptions had not evolved as, and when, we had expected and thus we flattened the position. The realized loss was £25,000 and offset with gain from the sale of the Bloomberg CMCI Food Index investment.  

Ascendant Resources shares have risen sharply to their current level of C$0.31 per share, after touching a low of C$0.08. It has, in the past 9 months, secured 3 tranches of financing, the only equity component which was an issue the sale of Units (1 share & ½ warrant) at C$0.10 per unit. ASND has recently secured debt financing of C$3.9 Mln.  and sold a capped royalty it held on the El Mochito Mine in Honduras. This most recent capital raise  provides sufficient funding to continue advancing the Lagoa Salgada project. (n.b. M&FI is Ascendant's partner in the ownership of Redcorp Empreedimentos Mineiros Lda. Ascendant has an earn-in agreement with M&FI, which began in June 2018, to earn-in to the project by completing US$9.0 Mln. of geological work on the project, deliver a feasibility study and make payments to M&FI totalling US$6.0 Mln. over 54 months)

STRATEGIC PORTFOLIO

Our Strategic Portfolio represents 78.4% of our total investments, or £4,470,600. The strategic portfolio generated a gain of 9% year over year, which reflects the £480,000 provision on our Cap Energy investment. Strategic Investments as a percentage of our total investments have declined slightly from 83.1% last year due to the stong performance of the Tactical Portfolio.

Ascendant, the operator of the Lagoa Salgada project, has informed us that they plan to complete a Resource update in 2021 as well as a Preliminary Economic Assessment (PEA) on Lagoa Salgada South (LSS) sometime this year. Additionally, a metallurgical report on LSS should be completed during the summer period. The PEA on LSS will be in addition to the completed PEA on Lagoa Salgada North (LSN). The PEA on LSN which was completed in January 2020 (Please refer to our RNS of 14 January 2020) indicated a Pre-Tax NPV (@8% discount Rate) of US$137 Mln. with a 9-year mine life . Current metal prices are higher than the prices assumed in the LSN PEA of January 2020, suggesting the potential for better returns than those indicated in the PEA. A spring drill program was completed, and the assay results are awaited. 

Ideon Technologies, in which we have a 2% stake, has completed a second equity capital raise at  one Canadian Dollar per share, 268% higher than our initial investment. We have participated in this second fundraise, which closed in May 2021. The level of interest in their sub-surface exploration technology has exceeded their expectations. Their paying clients are growing and include BHP.

Our investment in Golden Sun Resources continues to progress on its lead asset, the Bellavista Mine. It has successfully reinstated its mining license allowing  it to move from its current pilot heap leaching processing plant to more traditional mining and processing. The heap leach process was an intermediary stage of the mine development  that was intended to ensure the self-financing of the operations. Heap leach pad recoveries had been below target for some time, resulting in increased budget constraints. Technical solutions have recently be applied and gold recoveries  appear on track to exceed targeted levels and will exceed 70% (vs. 62%).  Additionally, Golden Sun has secured several new exploration projects in Costa Rica, many of which are within trucking distance of the Bellavista site. Several of these exploration projects have historical resources. Golden Sun, if all of its applications are accepted by the Costa Rican government will become the largest owner of mineral assets in the country .

Cerrado Gold finally listed its shares on the TSXV exchange. The IPO was priced at C$1.25 CAD  lower than we had hoped for, but in recent trading the share price has touched C$1.76. We believe that the Mineira Don Mario (MDM) mine in Argentina will continue to improve its productivity and increase the gold output. Cerrado's management has guided a production range of 45,000 to 55,000 ounces  of gold for  2021. More importantly, exploration within the Don Mario property are yielding very good results that should lead in an increase of the resource base, which currently consists of Measured and Indicated resources of 578,000 oz of gold and 391,000 oz of Inferred gold. Additionally the Monte do Carmo (MDC) exploration project in Brazil generates some excellent exploration results. Cerrado is also indicating that MDC's 813,000 oz of Indicated gold could reach 2.0 to 2.5 million  ounces by Q4-2021. Cerrado's management is stating that it believes it can increase production by 2024 to 215,000 to 285,000 oz/gold. These are very ambitious targets that, even if partially achieved, make us believe that Cerrado remains an attractive holding for M&FI.

M&FI is currently reviewing several new investment opportunities.Further updates will be provided in due course as appropriate .

FOR MORE INFORMATION:

Jacques Vaillancourt, Mineral & Financial Investments Ltd.                        +44 780 226 8247

Katy Mitchell and Matt Chan, WH Ireland Limited                                    +44 207 220 1666

Jon Belliss, Novum Securities Limited                                                        +44 207 382 8300