Cyprium Mining Files 43-101 Technical Report on the Potosi Silver Mine

Montreal, Quebec – (August 16^th, 2016) Cyprium Mining Corporation (TSXV:CUG) is pleased to report that it has filed a technical report prepared in accordance with National Instrument 43-101 on the Potosi silver mine located in the historic mining district of Santa Eulalia, Mexico (the “Report“). The Report dated May 29, 2016 is titled “Geology and Exploration of the Potosi Mine, Municipality of Aquiles Serdan, Chihuahua state, Mexico” and was prepared P.C. Gibson, Ph. D., CPG of Chihuahua, Chihuahua, Mexico. The Report which does not contain a resource estimate, is available for review on both SEDAR (www.sedar.com ) and the Company’s website (www.cypriummining.com ).
Mr. Alain Lambert, Chairman and CEO of Cyprium commented: “The Report focuses on the “Tunel” mineralized body at levels 1 to 4 of the mine which are accessible by the newly rehabilitated Potosi Shaft No. 3. The Report also contains valuable information on the historic Santa Eulalia mining district where the largest carbonate replacement deposit (CRD) in Mexico is located.” Mr. Lambert added: “We believe that the larger Santo Domingo mineralized body located at level 9, 10 and 11 of the mine – also known as the Main Silicate Body – also has good exploitation potential. The evaluation and preparations for exploiting the Santo Domingo body as well as the preparation of a 43-101 resource calculation by the end of the year will now assume top priority.”
Over the last three weeks the Company proceeded with the first phase of production which consisted in the extraction of broken mineralized material left in stopes on levels 1 and 2 of the mine by past mining activities. The Company is now awaiting to receive an explosives permit to begin blasting on level 2 and 4. The Company is also evaluating other areas for blasting on level 3 ⁽¹⁾. The Company has drilled over 144 holes using jacklegs in anticipation of receiving the explosives permit.
All mineralized material extracted from the mine will be sent to the Aldama flotation plant located 42 kilometers from the Potosi mine. The Aldama plant has a capacity of one-hundred metric tons per day and the Company has the exclusive right to use it under an agreement which expires in May 2019. The lead and zinc concentrates produced at the plant will be shipped to Trafigura Mexico under the terms of a commercial agreement with Trafigura. The Company is responsible for the supervision of all metallurgic processes, including quantitative chemical analysis, assaying of samples, determining feed grades and the sale of concentrates.
Pictures and videos of production activities can be found at the following link:
https://www.icloud.com/sharedalbum/#B0m53qWtHvrxvL