Communicators

Highlights

-          The Main Mining Bureau at Banská Štiavnica has awarded Ortac s.r.o., a wholly owned subsidiary of MetalsTech, with an extension to the existing underground mining permit at the Sturec Gold Mine

-          Mining activities will commence in the coming weeks focused on extracting ore from the existing Andrej adit

-          MetalsTech is currently evaluating options for the treatment of the ore, including toll treatment for the production of a gold concentrate

-          Metallurgical sampling program for thiosulphate-based gold extraction technology test work to start during the current quarter on historical drill core and ore from current mining operation under deal with Clean Earth Technologies

-          Sturec mine has historically produced over 1.5Moz of gold and 6.7Moz of silver (refer to ASX Announcement dated 20 November 2019 and titled “MetalsTech Signs Option to Acquire the Sturec Gold Mine”)

-          MTC has 116.9 million fully paid ordinary shares on issue

MetalsTech Limited (ASX: MTC) (the Company or MTC) is pleased to announce that its wholly owned subsidiary, Ortac s.r.o. has been awarded an extension to the existing underground mining permit at the Sturec Gold Mine, located in Slovakia.

The initial decision on permitting the extension to the mining activities on the Kremnica Mining Licence was made by the Regional Mining Bureau Banská Bystrica on 31 October 2019 and was subsequently confirmed by the Main Mining Bureau at Banská Štiavnica recently.

Pursuant to the underground mining licence, mining activities will focus on extracting ore from the existing Andrej adit at Sturec. The Andrej adit is readily accessible and the Company has already commenced preparatory works including the delivery of ore extracting equipment.

The Company is currently engaged in discussions with a nearby gold producer to determine potential processing solutions, including toll treatment options for the production of a gold concentrate.

A metallurgical sampling program for thiosulphate-based gold extraction technology test work is due to commence during the current quarter using ore from the current mining operation under the cooperation agreement with Clean Earth Technologies.

About – Sturec Gold Mine

The Sturec Gold Mine is located in central Slovakia between the town of Kremnica and the village of Lučky, 17km west of central Slovakia's largest city, Banská Bystrica, and 150km northeast of the capital, Bratislava (Figure 1). It covers the Kremnica Mining Licence for 9.47 km2.

Good paved roads and a network of old mining and forestry tracks service the project and there is an operating rail line to the town of Kremnica. High voltage power lines pass through the margins of the mining lease and connection to the national grid is possible. A network of historic water storage impounds associated with the mining history of the area would ensure an adequate water supply.

Gold mining commenced at Sturec in the 8th century and historic production reportedly totals ~46,000kg (~1.5Moz) of gold and ~208,000kg (~6.7Moz) of silver. Production was mostly from underground mine workings but also from some small open pits.

Refer to ASX Announcement dated 20 November 2019 and titled “MetalsTech Signs Option to Acquire the Sturec Gold Mine”. During the historic mining the ore was found to be free milling and high gold recoveries (>90%) were recorded.

The Slovak Geological Survey carried out extensive exploration in the Sturec area from 1981 to 1987, including extensive adit and cross-cut development within the Sturec zone.

The State-owned company, Rudne Bane, subsequently operated an open pit mine at Sturec from 1987 to 1992 and produced 50,028t of ore averaging 1.54g/t Au. Further core and RC drilling was undertaken by Argosy Mining Corporation and Tournigan Gold Corporation (120 holes totalling 25,000m) prior to Ortac Resources acquiring the project in 2009.

Mineralisation and Exploration Potential

The Sturec deposit, illustrated in Figure 2, occurs in the southern part of the central First Vein System. It is continuously mineralised for 1,200m along a north-south strike, is typically 100 to 150m wide, generally dips steeply to the east and extends to a known depth of at least 300m. The deposit is composed of massive to sheeted quartz veins and is classified as a low-sulphidation epithermal Ag-Au deposit and is open to extension both at depth and along strike to the north and the south.

In the northern part of the deposit, a northeast-striking quartz vein system that joins with the main north-south striking vein system (Schramen Vein).

This vein system projects southwest away from the Schramen Vein where it outcrops approximately 100m to the west. It then bends to the south and strikes parallel to the Schramen Vein.

This vein system dips 40° to 55° east, re-joining with the Schramen Vein at depth.

Zones of stockwork gold mineralisation occur between the two principal veins and appear to plunge to the south (Figure 3).

This plunging zone contains some of the highest-grade mineralisation within the deposit and presents the most compelling exploration target.

Numerous targets have been identified in addition to the existing Mineral Resource, which have the potential to provide resource expansion opportunities.

These include the Vratislav and Wolf targets, which are located 1km and 2km, respectively, north along the continuation of the Kremnica vein structure and a large area of strongly clay and silica altered rhyolite, referred to as South Ridge, located south of the deposit, which is considered to be prospective for several styles of epithermal gold mineralisation.

END

For further information, contact:

Russell Moran

Chairman

M +61 415 493 993

Russell@metalstech.net

Caution Regarding Forward-Looking Information

This document contains forward-looking statements concerning MetalsTech. Forward-looking statements are not statements of historical fact and actual events and results may differ materially from those described in the forward-looking statements as a result of a variety of risks, uncertainties and other factors. Forward-looking statements are inherently subject to business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company’s actual results to differ materially from those expressed or implied in any forward-looking information provided by the Company, or on behalf of, the Company. Such factors include, among other things, risks relating to additional funding requirements, metal prices, exploration, development and operating risks, competition, production risks, regulatory restrictions, including environmental regulation and liability and potential title disputes.

Forward looking statements in this document are based on the company’s beliefs, opinions and estimates of MetalsTech as of the dates the forward-looking statements are made, and no obligation is assumed to update forward looking statements if these beliefs, opinions and estimates should change or to reflect other future developments.