FIRST GOLD EXTRACTION FOR EMA YIELDS 58.16g/t Highlights: • An...

FIRST GOLD EXTRACTION FOR EMA YIELDS 58.16g/t
Highlights:
• An initial hydrometallurgical test conducted on 1kg of the Ema bulk sample, utilising a simple leach process yields 58.16g/t gold, 442.35 g/t silver, 0.22% copper and 103.40 g/t tin

Brazilian gold explorer, BBX Minerals (ASX: BBX or “the Company”) is pleased to announce initial results of preliminary metallurgical testing from the Company’s Ema Project.

The Company is currently focusing its activities on advancing its metallurgical extraction process at the Marcelo da Silva Pinto M.E. facility (Marcelo), using both hydrometallurgical and pyrometallurgical methods. An initial test conducted on the 150kg Ema bulk sample collected over an area of 100m x 40m (see ASX release of June 19) using a two-step hydrometallurgical process yielded two gold/silver-rich buttons also containing copper and tin from the same 1 kg sample (fig 1). The buttons were dissolved and analysed by AAS, yielding a combined gold result of 58.16g/t (see table 1).

In parallel, a hydrometallurgical test on the same bulk sample is being conducted by e-Reciclar in Belo Horizonte and pyrometallurgical testing will commence within the coming week at the Marcelo facility.
The unusual Cu-Sn-Au-Ag-PGM association confirms BBX´s belief that it is dealing with a complex style of multi-element mineralisation where metals are present in an ionic form not amenable to routine analytical methods.

An additional 300kg surface bulk sample of fresh gabbro (see photos 2) in the appendix has been collected from the Tres Estados prospect from the same area as the previous bulk sample. Crushing, milling and homogenisation of the sample is in progress prior to commencement of ongoing hydrometallurgical and pyrometallurgical testwork.

Juma East
On 28 June 2017, the DNPM (Mines Dept.) published a brief notification in the Government Gazette advising that the company would be required to take certain actions with respect to the Boia Velha and Guida tenements at Juma East. BBX then received a formal request by the DNPM on June 30, 2017 to relinquish the Boia Velha tenement and accept a significant reduction to the area of the Guida tenement due to the impact of the Acari National Park (see fig. 2), one of a number of National Parks created by Presidential decree by the former impeached president Dilma Roussef, on May 11, 2016, the former president´s last day in office. BBX has not previously been advised of the creation of this park which was apparently also unknown to the DNPM who renewed the above leases for a further 3-year term in September 2016 and charged annual tenement fees for 2017, paid by BBX on January 31, 2017.

BBX intends to appeal this decision and has also been made aware that the entire Amazonas State Federal parliamentary block, with the support of the Ministry of Mines will draft a parliamentary bill proposing the re-classification of a portion of the National Park, including the area occupied by the two BBX tenements to a lower level of conservation unit which permits mining activities. .

Due to its current focus on the Três Estados and Ema prospects, where high grade mineralisation is exposed at surface, BBX currently has no plans to initiate exploration at Boia Velha or re-initiate exploration at Guida, where mineralisation was previously identified at depths of 200m to 300m in holes JED-004 and JED-006. Hole JED-001, where mineralisation was intersected at shallower depths is located outside the park boundary.

BBX is currently conducting a full review of its tenement portfolio including the two southern tenements at Juma East, where reconnaissance exploration has failed to identify potential for significant near-surface mineralisation. In order to retain these tenements and the Boia Velha lease BBX would need to meet significant minimum work commitment requirements within the next 12 months which may not be justified.

It should be noted that the Três Estados and Ema properties are located approximately 60km south of the park boundary in a region of private land ownership, not subject to the threat of any future creation of National Parks or high level conservation areas.

BBX and its legal advisors are continuing to develop a full understanding of the implications of the action taken by the former president and the Company will ensure that the market is fully informed of any developments.