Europa Metals Regulatory News (EUZ)

Cut-Off Zn Eq (PbAg)%

Tonnes (Millions)

Density

Zn_Eq (Pb)%

Zn Eq (PbAg)%

Zn %

Pb %

Ag g/t

Contained Zn Tonnes (000s)

Contained Pb Tonnes (000s)

Ag Troy Oz (Millions)

Indicated

6

2.8

2.9

9.5

10

5.3

4.5

34

150

130

3.1

5

3.3

2.9

8.9

9.5

5

4.2

32

170

140

3.4

4

3.8

2.9

8.3

8.9

4.7

3.9

30

180

150

3.7

3

4.1

2.9

7.9

8.5

4.4

3.7

29

180

150

3.8

Inferred

6

8

2.9

7.8

8.3

4.7

3.4

28

370

270

7.2

5

10

2.9

7.2

7.7

4.4

3

26

450

310

8.6

4

14

2.9

6.5

6.9

4

2.7

23

540

360

10

3

17

2.9

5.9

6.3

3.7

2.4

20

610

400

11

Total

6

11

2.9

8.2

8.8

4.8

3.7

30

520

390

10

5

14

2.9

7.6

8.1

4.5

3.3

27

620

450

12

4

17

2.9

6.9

7.3

4.1

2.9

24

720

510

14

3

21

2.9

6.3

6.7

3.8

2.7

22

790

560

15

Transitional Oxide Material

4

3

2.9

5.2

5.7

2.6

2.9

27

75

83

2.5

Unweathered Fresh Rock

4

14

2.9

7.2

7.7

4.5

3

24

650

430

11

Previous Mineral Resource Estimate Announced in October 2019

Cut-Off Zn Eq (PbAg)%

Tonnes (Millions)

Density

Zn_Eq (Pb)%

Zn Eq (PbAg)%

Zn %

Pb %

Ag g/t

Contained Zn Tonnes (000s)

Contained Pb Tonnes (000s)

Ag Troy Oz (Millions)

Indicated

6

2.1

3

10

11

5.6

4.7

35

120

100

2.4

5

2.3

2.9

9.6

10

5.4

4.5

34

130

100

2.6

4

2.7

2.9

8.9

9.5

5

4.2

32

130

110

2.8

3

3.0

2.9

8.3

8.9

4.7

3.9

31

140

120

2.9

Inferred

6

11

2.9

8.4

8.9

5.2

3.5

26

550

360

8.8

5

12

2.9

7.9

8.4

4.9

3.2

24

610

400

9.7

4

16

2.9

7.2

7.6

4.5

2.9

22

690

450

11

3

18

2.9

6.7

7.1

4.1

2.7

21

740

480

12

Total

6

13

2.9

8.7

9.2

5.3

3.7

28

670

460

11

5

15

2.9

8.2

8.6

5

3.4

26

740

510

12

4

18

2.9

7.4

7.9

4.5

3.1

24

830

570

14

3

21

2.9

6.9

7.3

4.2

2.9

22

880

600

15

Transitional Oxide Material Total

4

3

2.9

5.8

6.3

2.8

3.2

27

87

97

2.6

Unweathered Fresh Rock Total

4

15

2.9

7.8

8.2

4.9

3.1

23

740

470

11

"Ag"

silver;

"g"

grammes;

"g/t"

grammes per tonne;

"ICP"

inductively coupled plasma;

"Inferred resource"

that part of a Mineral Resource for which quantity and grade (or quality) are estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to imply but not verify geological and grade (or quality) continuity. It is based on exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes;

"Indicated resource

that part of a Mineral Resource for which quantity, grade (or quality), densities, shape and physical characteristics are estimated with sufficient confidence to allow the application of Modifying Factors in sufficient detail to support mine planning and evaluation of the economic viability of the deposit.

"JORC"

the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, as published by the Joint Ore Reserves Committee of The Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia;

"JORC (2012)"

the 2012 edition of the JORC code;

"m"

metre;

"Mineral Resource"

a concentration or occurrence of material of economic interest in or on the earth's crust in such form and quantity that there are reasonable and realistic prospects for eventual economic extraction. The location, quantity, grade, continuity, and other geological characteristics of a Mineral Resource are known, estimated from specific geological evidence and knowledge, or interpreted from a well-constrained and portrayed geological model;

"Mt"

million tonnes;

"oz"

troy ounce;

"Pb"

lead;

"QA/QC"

quality assurance/quality control; and

"Zn"

zinc.

Sampling techniques

· Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc). These examples should not be taken as limiting the broad meaning of sampling.

· Historic and recent diamond drill core and underground cut channel sampling has been completed over three main phases of exploration drilling and sampling:

o 1972 - 1984 Peñarroya - Adaro. Diamond drill core method was used to obtain samples for geological logging and sampling.

o 2006 - 2008 Lundin Mining. Diamond drill core method was used. Core logging completed on paper.

o Europa Metals. Diamond drill core, RC chips and underground cut channel sampling methods used to obtain samples for geological logging and sampling.

· Drill core samples were half core with an average length of 1m.

· No handheld XRF instruments were used.

· Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used

· Channel sampling was supervised by a Europa Metals' geologist and samples that did not cross lithological boundaries were possible.

· The measures for sample representivity are unknown for the historical drilling.

· Efforts to ensure sample representativity for the Europa Metals' drilling include:

o Constant review of recovery data with drill crews,

o Review of downhole survey data while drilling in progress to ensure the piece points are being intercepted,

o Always sampling the same side of the core, while leaving the orientation line in place.

· Aspects of the determination of mineralisation that are Material to the Public Report.

· 2006 - 2008 Lundin Mining sent half core samples for multi-element analysis of available Peñarroya DDH samples completed at ALS Chemex Vancouver using ICP.

· Lundin sent their core samples to ALS Chemex Vancouver for ICP analysis.

· Europa Metals sent all samples to ALS Seville for preparation and multi-element analysis by ICP.

· ALS Seville is accredited and conforms with ISO9001:2008.

· In cases where 'industry standard' work has been done this would be relatively simple (e.g. 'reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay'). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.

· Historic and recent diamond drill core methods are discussed below:

o 1972 - 1984 Peñarroya - Adaro. Geological and analytical data is recorded on hardcopy. Selective sampling method was employed around areas of interest. Sampling intervals measure approx. 1m, half core sent for analysis, with half core retained for reference. Exact details on core processing, sampling techniques and analytical methods are unclear.

o 2006 - 2008 Lundin Mining. Diamond drill core method was used. Core logging completed on paper. Selective sampling method was employed around areas of interest. Sampling intervals measure approx. 1m, half core sent for analysis, with half core retained for reference. Samples typically 1m half core, with samples prepared at the then Lundin Laboratory in Switzerland, then shipped to ALS Chemex Vancouver for multi-element analysis by ICP.

o Europa Metals. Diamond drill core, RC chips and underground cut channel sampling methods used to obtain samples for geological logging and sampling. Geological and analytical data is recorded on hardcopy. Selective sampling method was employed around areas of interest. Sampling intervals measure approx. 1m, half core sent for analysis, with half core retained for reference. Samples sent to ALS Seville for preparation and multi-element analysis by ICP. Half core and RC samples reduced to -400 microns and 100g sub-sample taken for analysis.

Drilling techniques

· Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc).

· A total of 113 diamond (including wedges) and 4 RC drill holes totalling 60,915.65 metres, and 19 underground channels for 18.75 metres were used as the input database for geological modelling and resource estimation.

· Drill core diameter was PQ, HQ, NQ, NQ2 and BQ depending upon depth. Standard tube was used for Peñarroya drilling, double tube method was used for Lundin and diamond Europa Metals' campaigns.

· Europa Metals' diamond core was orientated using the reflex ACT III.

Drill sample recovery

· Method of recording and assessing core and chip sample recoveries and results assessed.

· Total core recovery, solid core recovery, Rock Quality Designation (RQD) and fracture frequency were recorded on hardcopy tables for the diamond drilling.

· A total of 12,207 core recovery measurements exist in the database for the drilling with average recovery of 81%. The average for the Europa Metals' diamond drilling is 96%. Core recovery is measured over run lengths

· Measures taken to maximise sample recovery and ensure representative nature of the samples.

· The drilling procedures for the historical works have not been reviewed and as such, the measures taken for sample recovery and to ensure representativity cannot be commented on.

· Effortsto maximise sample recovery for the Europa Metals' drilling include:

o Constant review of recovery data with drill crews,

o Slowing drill rate in areas of broken ground,

o Reducing run lengths in areas of broken ground.

o Use of specific drilling fluids (stabilised slurries) in broken ground areas.

· Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.

· There are 319 recovery measurements within the mineralised wireframes and statistical assessment suggests a possible slight negative bias exists between recovery and grades, with higher recovery returning slightly lower average grades

Logging

· Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.

· Selected intervals representing areas of interest were logged in the Peñarroya drill holes. All Lundin and Europa Metals holes were logged in their entirety. The historical Peñarroya core was re-logged by Europa Metals geologists in 2018 in its entirety where the core was available.

· Core logging was recorded on paper logs, using a combination of printed graphic log templates (Peñarroya, Lundin), and paper (Europa Metals).

· Logging records lithology, textures, mineralisation, weathering, alteration and veining where appropriate.

· The core and channel logging has been completed to a sufficient level of detail to support appropriate Mineral Resource Estimations.

· Geotechnical data for the drill holes has been reviewed.

· Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc) photography.

· Drill core was qualitative and quantitative in nature.

· DH lithology, alteration, mineralisation and structural observations were recorded by variable interval based on characteristical similarities and change boundaries.

· Summary interval information was inputted to Excel, comprising single code field and codes to describe logged lithology, alteration, mineralisation and major structure for the interval.

· Lundin and Europa Metals core is routinely photographed. Historical Peñarroya core was photographed during the re-logging in 2018.

· Channel sample logging was quantitative in nature and not photographed.

· The total length and percentage of the relevant intersections logged.

· All drill core and RC chips were logged in their entirety.

· Channel samples were logged in their entirety.

· Graphic and schematic logs were produced for all drilling.

Sub-sampling techniques and sample preparation

· If core, whether cut or sawn and whether quarter, half or all core taken.

· The sub-sampling techniques and sample preparation details are not known for the Peñarroya drill core.

· Lundin and Europa Metals' core was cut in half using a core saw. Sampling was supervised by the geologist.

· Europa Metals' field duplicates are quarter core.

· Underground channels were cut by angle grinder/circular saw. A channel approximately 7 cm wide and 5 cm deep to obtain 2-3 kg sample.

· If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled wet or dry.

· Channel samples were not split. They were sent to ALS as bulk 2-3kg samples.

· RC samples were riffled at the rig and were generally dry when split.

· For all sample types, the nature, quality and appropriateness of the sample preparation technique.

· The drilling procedures for the historical works have not been reviewed and as such, the appropriateness cannot be commented upon. However, the lithology and assay determinations are sufficient for an Inferred category.

· Channel sample collection and Europa Metals' drilling procedures, sample size, preparation and analysis are considered appropriate for the mineralogy and deposit type.

· Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.

· The drilling procedures for the historical works have not been reviewed and as such, the QC procedures cannot be commented upon.

· All half core was taken on the left side.

· Samples were constrained by lithology but were 1m in length where possible or divided equally where necessary.

· Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.

· Field duplicate scattergram analysis of the samples shows a good correlation between the original and duplicate samples.

· Whether sample sizes are appropriate to the grain size of the material being sampled.

· Statistical analysis shows that samples are appropriate to the grain size of the material being sampled.

Quality of assay data and laboratory tests

· The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.

· Historical Peñarroya assaying and laboratory procedures are unknown.

· Commercial laboratories ALS Chemex Vancouver and ALS Seville (ISO9001:2008) were used for Lundin and Europa Metals' drill core respectively and Europa Metals' underground channel sample analysis.

· Multi-element analysis, including Pb, Zn, Cu, Ag by ICP-MS were completed on all samples.

· Over limits samples were re-analysed using ore grade methods of determination.

· Sample analytical techniques are considered in line with industry standard for this style of mineralisation.

· Given the expected grades, lithology and deposit type, the laboratory procedures are considered appropriate for this level of classification.

· For geophysical tools, spectrometers, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.

· No geophysical tools, spectrometers or handheld XRF instruments were used in the exploration and resource work.

· Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established.

· QC sample insertion procedures were not employed during the historical Peñarroya drill campaigns. However, Lundin re-analysis of Peñarroya drill core pulp rejects does allow for comparison of original and pulp duplicate analysis results for verification purposes.

· Lundin Mining completed limited quarter core field duplicate insertion and pulp reject re-analysis. No external standards.

· Europa Metals conducted a QC programme of inserting quarter core field duplicates, course blank and pulp blank material, standards, selection of pulp repeats and submission of pulp rejects for umpire lab re-analysis.

· ALS Chemex and ALS Seville internal QC exists for the Peñarroya Lundin re-analysis, Lundin core and Europa Metals core and channel sample batches.

· No significant issues were identified in the QC data.

· The nature and quantity of QC data, procedures employed, level of accuracy and precision are considered acceptable for the assigned resource classification. The quality of assay data and laboratory tests is acceptable for the resource classification for this deposit.

· Shewhart Plots of the QC samples showed no sample bias and CRMS returned within acceptable limits.

· Nelson rules of monitoring were applied.

· The nature and quantity of QC data for the channel sampling, procedures employed, level of accuracy and precision are considered acceptable for the assigned resource classification.

Verification of sampling and assaying

· The verification of significant intersections by either independent or alternative company personnel.

· Drill core has been routinely verified by AMS geologists throughout the various recent drilling programmes.

· 27 verification samples have been taken.

· Geological data from gallery is observed and reported by geologists and mining engineers.

· Paper recorded drill hole logging data is transferred to Access, imported into Micromine 3D geological modelling software for validation.

· No significant issues in the drill logging were observed. The logging is accurate and suitable.

· The use of twinned holes.

· There has been no verification twin drilling carried out.

· Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.

· DGPS collar and survey excel data, and lab analytical data transferred from lab.csv, to Excel and imported to Micromine 3D geological modelling software.

· All analytical data generated from Lundin re-analysis and Lundin core samples, Europa Metals' core and channel samples for use as input to estimation have been verified by cross reference against lab assay certificates, re-import and re-building of the project analytical database.

· 2018-2020 lab certificates were verified and checked against database assays.

· Discuss any adjustment to assay data.

· No adjustment to the analytical data was considered necessary, other than conversion to zinc equivalents for reporting purposes, following industry best practice. Raw analytical data remained unchanged.

Location of data points

· Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.

· Peñarroya drill hole collar locations were measured off plans and sections, located on the ground and picked up using Geomax 35 high-precision DGPS device. Accuracy +/-5 m. Peñarroya drill hole dip and azimuth measured from historical plans, cross sections and longitudinal section. Accuracy +/-5 m.

· Europa Metals' drill collar locations were surveyed using a Geomax Zenith 35 DGPS device with sub-centimetre accuracy. Both RC and diamond downhole surveys were competed at 5-10 m regular intervals using a REFLEX GYRO™ tool.

· Old workings were surveyed using Lieca Disto tmx310 survey device.

· Specification of the grid system used.

· Data was captured and located using a Universal Transverse Mercator (UTM). The geographic coordinate reference system used by the client was European Terrestrial Reference System 1989 UTM Zone 29 ('ETRS89 / UTM29N').

· Elevations are reported in metres above sea level.

· Quality and adequacy of topographic control.

· Topographic DTM taken from 5m resolution Lidar data MDT05-Lidar, from government mapping and survey association Plan Nacional de Ortofotografía Aérea (PNOA).

· Topographic control is sufficient for level of resource category.

Data spacing and distribution

· Data spacing for reporting of Exploration Results.

· Drill and UG channel sample data spacing across the current resource area ranges from approximately 50-100mx50-100m centres within the most densely tested area towards the NW, stepping out to approximately 200mx200m within the mid-section, and 100-200x500m in the SE.

· Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.

· The distribution of drillholes and UG channel sampling is sufficient to establish the degree of geological and grade continuity appropriate for JORC (2012) Inferred classification of resources.

· Whether sample compositing has been applied.

· Length weighted averages including internal waste were applied for reporting of exploration results.

· The details are shown with the accompanying tables.

Orientation of data in relation to geological structure

· Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.

· Drilling and underground sampling is angled to intercept mineralised structures at high angle, as close to perpendicular to dip and strike as practicable.

· 3D review of sections shows that there appears to be no sample bias introduced by drilling orientation.

· True thicknesses are reported in the accompanying tables.

· If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.

· The mineralisation is a steeply dipping vein and sampling tries to reduce the bias by sampling on a perpendicular plane where possible.

· Review of drilling and channel sections with the lithological unit appear to show no obvious bias.

Sample security

· The measures taken to ensure sample security.

· Historical Peñarroya sample security protocols are not available.

· Lundin/Europa Metals' drill core is transported from site to logging facility in securely covered core boxes by the Lundin/Europa Metals' geologists.

· Core logged and sampled in secure facility.

· Samples are bagged in plastic bags and labelled with individual sample numbers, sample name and sample location. Each bag is sealed to avoid tampering and contamination.

· Plastic bags are placed in dry weave bags.

· Samples are delivered to laboratory by courier in secured boxes/bags.

· Couriers transported the samples to ALS. The couriers were then responsible for the chain of custody.

· The samples arrive in good condition at ALS Seville.

Audits or reviews

· The results of any audits or reviews of sampling techniques and data.

· Numerous site visits have been conducted to the Toral Project and core processing facility in Ponferrada (licence number 15.199), the latest between 25th and 27th March 2019 by Mr. James Hogg (CP), and 12th and 15th of August 2019 by Mr Lewis Harvey (Senior Consultant - Addison Mining Services).

· Data has also been reviewed on multiple occasions by AMS staff as it is received from the laboratory and on submission of databases from Europa Metals.

· Findings were satisfactory.

Mineral tenement and land tenure status

· Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings.

· Toral exploration permit number 15.199 (also referred to as Permiso de Investigacion), is located approximately 400km northwest of Madrid, within the Province of León, Autonomous Community of Castile and Leόn.

· Licence 15.199 covers an area of 20.29km².

· Exploration licence 15.199 is owned by Europa Metals Iberia., a wholly owned subsidiary of Europa Metals Ltd. The licence was renewed on 14th November 2017 for a period of 3 years. A new renewal was submitted 5 June 2020 for 3 additional years

· The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.

· All tenements are in good standing.

· AMS are unaware of any impediments that may affect the licences.

Exploration done by other parties

· Acknowledgment and appraisal of exploration by other parties.

· 1972-1984 - Peñarroya-Adaro. 58 drill holes, 32 wedge drill holes.

· 1992-1995 - Geominera. Data re-evaluation.

· 2005-2008 - Lundin Mining. 7 drill holes.

· 2009-2011 - Goldquest Mining. Soil and rock geochemistry. Historic gallery mapping. Data evaluation. NI43-101 Mineral Resource Estimate

· 2012-2015 - Portex Mining Corporation. Geological mapping. Data re-evaluation.

· 2015-2016 - Goldquest Iberica S.L. Soil and rock geochemistry. Geological mapping.

· 2016-2017 - Goldquest Iberica S.L. (Europa Metals Limited). 6 drill holes. Historic gallery mapping and sampling. Data re-evaluation and interpretation.

Geology

· Deposit type, geological setting and style of mineralisation

· The Toral project is located in the Southwestern part of the regional West Asturian Leonese Zone (WALZ), a major tectono-stratigraphic unit of the Hercynian Orogeny.

· The mineralisation at Toral is considered as structurally controlled carbonate hosted Pb-Zn type. Shear and thrust fault controlled mineralisation within favourable carbonate lithology and favourable contrasting contacts between carbonates and shales.

· Styles of mineralisation are boudinage drusy quartz vein, replacement breccia, disseminated clots associated with silica, carbonate and chlorite alteration.

· Main metallic minerals are Sphalerite, Galena, Pyrite, Chalcopyrite and silver.

Drill hole Information

· A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes:

o easting and northing of the drill hole collar

o elevation or RL (Reduced Level - elevation above sea level in metres) of the drill hole collar

o dip and azimuth of the hole

o down hole length and interception depth

o hole length.

· Topographic DTM taken from 5m resolution Lidar data MDT05-Lidar, from government mapping and survey association Plan Nacional de Ortofotografía Aérea (PNOA).

· Drilling:

o Number of drillholes used: 113

o Collar East: 679962mE - 684690mE

o Collar North: 47086534mN - 4710598mN

o Collar RL: 410mRL - 754.13mRL

o Azimuth: 000° - 354°

o Dip: -90° - -40°

o Length: 35.40m - 1285.3m

o Interception depth: 580mRL - -407mRL

o 1344 Pb and Zn assay values

o 1199 Ag assay values

· UG Channels:

o Number of channels: 27

o Collar East: 680917mE - 682607mE

o Collar North: 4709161mN - 4709996mN

o Collar RL: 447mRL - 693mRL

o Azimuth: 010° - 313°

o Dip: -24° - 19°

o Length: 0.25m - 4.25m

· If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.

· No data is being excluded.

Data aggregation methods

· In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated.

· No top cuts were applied to the Zn and Pb data for reporting of exploration results. However, Lundin and Europa Metals samples were limited to analytical method upper detection limits of 30% for Zn, Pb.

· Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail.

· Data aggregation or Grade Compositing rules for the reporting of exploration drill and channel significant results were minimum width 1m, minimum average grade 0.5% ZnEq, maximum allowable internal waste of 2m.

· The assumptions used for any reporting of metal equivalent values should be clearly stated.

· Zn equivalent calculations were based on 3 year trailing average price statistics obtained from the London Metal Exchange and London Bullion Market Association giving an average Zn price of US$2,680/t, Pb price of US$2,100/t and Ag price of US$16.2/oz.

· Recovery and selling factors were incorporated into the calculation of Zn Eq values.

· It is the Company's opinion that all the elements included in the metal equivalents calculation (Zinc, Lead and Silver) have a reasonable potential to be recovered and sold.

Relationship between mineralisation widths and intercept lengths

· These relationships are particularly important in the reporting of Exploration Results.

· Mineralisation is interpreted as sub-vertical to steeply dipping to the NE.

· Drilling and underground sampling considered the nature of the mineralisation prior to commencement of exploration.

· If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.

· Angled drilling is sub-perpendicular to +/- 20º oblique to mineralisation.

· Review of drilling and channel sections with the lithological unit appear to show no obvious bias.

· If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. 'down hole length, true width not known').

· True thickness of mineralisation ranges from approximately 90%-60% downhole interval length.

· True lengths are reported in the tables, as calculated by Micromine.

Diagrams

· Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported. These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.

· Appropriate scaled diagrams are included within the AMS Toral JORC (2012) Resource Statement and Technical Report.

· Tables of intercepts are included in the relevant sections.

Balanced reporting

· Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.

· All available exploration data for the Toral deposit area has been collected and reported.

· Representative data from all drilling and underground channel sampling has been reported.

Other substantive exploration data

· Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples - size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.

· No geophysical works have been completed.

· Geological mapping and solid geology map generation completed.

· Structural interpretation and 3D modelling completed.

· Soil geochemical surveys demonstrate strong coherent Zn in soil anomalism coincident with interpreted controlling structures.

· Geotechnical tests have been carried out on 84 samples chosen by Europa Metals in different lithologies. Data have been compiled from 48 samples tested for geotechnical studies from old reports from Peñarroya.

· Metallurgical testing at Wardell Armstrong's laboratory was carried out. The results of testwork are pending.

Further work

· The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step-out drilling).

· Surface drilling and trenching works testing open strike extent to the SE and NW and infill drilling within current resource limits to increase confidence and resource class.

· Increased metallurgical and recovery test work.

· Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive

· Appropriate scaled diagrams and maps are included within the AMS Toral JORC (2012) Resource Statement and Technical Report.

Database integrity

· Measures taken to ensure that data has not been corrupted by, for example, transcription or keying errors, between its initial collection and its use for Mineral Resource estimation purposes.

· Analytical data is pared by query with sampling data via sample number.

· AMS has cross referenced the analytical database with laboratory certificates.

· Micromine 3D geological modelling and estimation software used for import, validation and QAQC verification assessment.

· Basic core and sample storage, handling, data capture and transfer methodologies discussed and are considered satisfactory.

· The database is suitable for use for use in Mineral Resource Estimates.

· Data validation procedures used.

· Micromine 2020 software was used to validate the channel sampling and drill hole databases.

· Data checks include overlapping and missing intervals, trace errors, missing survey and coordinate data, lithology, consistency of sample lengths interval files. Checks for out of range values were also made.

· No significant errors were found within the database. Some minor typographical errors were identified and fixed.

Site visits

· Comment on any site visits undertaken by the Competent Person and the outcome of those visits.

· The Competent Person for the resource estimation is Mr. James Hogg. Mr Hogg's, last site visit was completed between the 4th and 5th of December 2019.

· The last site visit by AMS was completed between the 12th and 15th of August 2019 by Mr Lewis Harvey (Senior Consultant - Addison Mining Services).

· Site visits have not identified any issues relating to the reporting of mineral resources.

· If no site visits have been undertaken indicate why this is the case.

· Site visits have been undertaken.

Geological interpretation

· Confidence in (or conversely, the uncertainty of) the geological interpretation of the mineral deposit.

· Based upon the level of available information, geological and deposit complexity, interpretation of the main lithological boundaries and controls to mineralisation are considered satisfactory and appropriate for the assigned resource class.

· Fault modelling is simplified, and further refinement will improve the models accuracy moving forward.

· Nature of the data used and of any assumptions made.

· Drillhole lithological and analytical information, prospect scale surface geological mapping, underground mapping and sampling, location of underground workings were used in geological interpretation.

· Mineralisation is modelled as a continuous unit within the major fault units, however it is anticipated some smaller scale faulting and offset post mineralisation will be present which is not accounted for in modelling.

· The effect, if any, of alternative interpretations on Mineral Resource estimation.

· Alternative interpretations infer potential thrust repeats and potential for additional parallel mineralised zones. However, at the level of information this interpretation remains unsupported by drill data and conceptual in nature.

· The use of geology in guiding and controlling Mineral Resource estimation.

· Drillhole lithological and analytical information and underground channel mapping and sampling were used in geological interpretation.

· The geological model was used to guide the interpretation and continuity of Zn-Pb mineralised domains.

· Post mineralisation transfer faults are interpreted to affect continuity by minor offset.

· The factors affecting continuity both of grade and geology.

· Grade continuity is currently interpreted to be slightly greater down dip forming "shoots". Faulting effects geological continuity on a local scale (50-100 m) perpendicular to the strike on mineralisation.

Dimensions

· The extent and variability of the Mineral Resource expressed as length (along strike or otherwise), plan width, and depth below surface to the upper and lower limits of the Mineral Resource.

· Mineralisation is encountered at surface and based on current testing, extends to approximately 1,100m below the surface. Mineralisation is currently tested across a 3,600m strike length, the orientation of mineralisation zone is approximately 110 degrees, averaging approximately 3.5m in thickness and ranging from ~2m to ~5.5m.

· Mineralisation is encountered at surface as a process of the incisions.

Estimation and modelling techniques

· The nature and appropriateness of the estimation technique(s) applied and key assumptions, including treatment of extreme grade values, domaining, interpolation parameters and maximum distance of extrapolation from data points. If a computer assisted estimation method was chosen include a description of computer software and parameters used.

· Wireframe restricted block models were interpolated by ordinary kriging and are considered by the competent person to be appropriate for the resource estimate.

· To the north west the mineralised models are truncated by the licence boundary and are extended approximately 10m past the south easterly most drillhole which was mineralized but contained sub-economic grades (3m at 2.4% ZnEq). The structure remains open to the south east. Down dip the model was extrapolated approximately 50-200m below the deepest sample in the north west and central zones, and approximately 400m below the deepest sample in the SE zone with consideration of depths tested along strike to the NW. Extents of extrapolation are considered appropriate for the level of information, deposit type, strike and depth extents tested, observed and geostatistical grade continuity and the assigned resource classification.

· A uniform cell block model of 25 mE, 10 mN, 25mZ was restricted to the wireframes using block factors. The block model was rotated by 20° in plan view to best match the trend of mineralisation. The uniform model and 2m sample composites for the mineralized domain were then flattened to a constant vertical plane striking 110° to account for fault offsets, improve variography and grade mapping. Thickness was preserved in the flattening process and no lateral stretching was applied.

· Block model interpolation and extrapolation for Zn, Pb and Ag was completed using directional variograms for each element in the flattened space at the uniform block scale. Ordinary Kriging was used, and a multiple pass kriging neighbourhood used at increasing radii to prevent smearing of high grades. Search passes were 130 along strike and 150 down dip with a minimum of 2 drillholes and a maximum of 8 composites, the same radii with 1 drillhole, then 300 x300 with minimum 2 drillholes and a maximum of 16 composites and finally 450 x450 1 minimum drillhole and a maximum of 16 composites. The block model was then sub blocked to the mineralized wireframes in real space to best honour thickness and volume.

· The availability of check estimates, previous estimates and/or mine production records and whether the Mineral Resource estimate takes appropriate account of such data.

· The estimates have been reconciled against previous AMS estimates.

· The increases / decreases are related to data confidence and additional samples and updated fault models.

· A full description for the differences is described in the body text.

· There are no historical production records to validate against.

· The assumptions made regarding recovery of by-products.

· It is the opinion of the Company that Ag will be recovered along with Pb and Zn and a credit payed on refining.

· Estimation of deleterious elements or other non-grade variables of economic significance (e.g. sulphur for acid mine drainage characterisation).

· No estimation of deleterious elements has been made at this time and it is anticipated this will be conducted on completion of a block model which is to be used for PFS.

· In the case of block model interpolation, the block size in relation to the average sample spacing and the search employed.

· The block size of 25 m is typically 1/3 to 1/5 of the drill spacing with greater and lesser spacing in areas of more sparse and more dense drilling. The 25 m block size was chosen to better map variability within the area of indicated resources.

· Any assumptions behind modelling of selective mining units.

· Wireframe models included minimum anticipated mining width of ~2m.

· Any assumptions about correlation between variables.

· As with previous resource estimates completed by AMS (2017, 2018) wireframe solid models were created for each domain based on a mineralisation threshold of approximately 0.2% for Zn and Pb (approximately 0.4% Zn+Pb).

· Analysis of Zn and Pb grades in cross section and in scatter plots showed a strong relationship and no requirement to model Zn and Pb separately was identified. Ag showed a strong correlation with Pb and was estimated within the Zn/Pb mineralised domain.

· Description of how the geological interpretation was used to control the resource estimates.

· The updated wireframes were generated using Micromine's implicit vein modelling functionality and incorporated major fault boundaries as inclined and vertical planes. Interpretation of the mineralised domains was guided by geological interpretation of the deposit incorporating structural and lithological boundaries such as footwall slate contacts and surface expression in topographical data and outcrop mapping.

· Discussion of basis for using or not using grade cutting or capping.

· Top cutting was performed on Ag composite sample data due to a number of extreme outliers leading to a skewed dataset.

· Top cuts were applied to the composite assay grades for 125 g/t Ag, any value above the top cut value was reduced to that grade.

· Capping was based on analysis of Histograms and cumulative sums.

· Review of updated Zn and Pb composite sample data indicates no top cuts were necessary.

· The process of validation, the checking process used, the comparison of model data to drill hole data, and use of reconciliation data if available.

· The block model was validated visually in long section and cross section to inspect assay grades vs block grades, particular attention was given to areas of low grade that may be influenced by higher grade samples within search radii. The mean values including declustered mean of the input data were compared against the output data along with comparison of histograms. Several sensitivity checks were completed using different kriging neighbourhoods.

Moisture

· Whether the tonnages are estimated on a dry basis or with natural moisture, and the method of determination of the moisture content.

· Tonnages are estimated on a dry basis.

Cut-off parameters

· The basis of the adopted cut-off grade(s) or quality parameters applied.

· An economic cut off grade of 4% Zn equivalent including Pb and Ag credits was used. (Zn Eq (PbAg)% = Zn + Pb*0.926 + Ag*0.019). As determined in the AMS scoping study 2018. Relative recoveries and selling costs were taken into account.

· Zn equivalent calculations were based on 3 year trailing average price statistics obtained from the London Metal Exchange and London Bullion Market Association giving an average Zn price of US$2,680/t, Pb price of US$2,100/t and Ag price of US$16.2/oz.

Mining factors or assumptions

· Assumptions made regarding possible mining methods, minimum mining dimensions and internal (or, if applicable, external) mining dilution. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential mining methods, but the assumptions made regarding mining methods and parameters when estimating Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the mining assumptions made.

· Assumed mining methods are based upon a review of methods of extraction, cost and performance on similar type deposits. Summary of mining and processing costs used in determination of economic cut off. Mechanised Cut and fill mining method assumed.

· Total Mining Processing and Rehab cost estimated at US$68/t. Mining recovery and dilution assumed at 93% and 5%.

Metallurgical factors or assumptions

· The basis for assumptions or predictions regarding metallurgical amenability. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider potential metallurgical methods, but the assumptions regarding metallurgical treatment processes and parameters made when reporting Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the metallurgical assumptions made.

· Assumed processing methods are based upon a review of methods of extraction, cost and performance of similar type deposits.

· Assumed metallurgical recoveries are Zn 87.5%, Pb 92.5% and 80% Ag.

· Assumed concentrate selling factors are Zn 85%, Pb 95%, Ag 90%

Environmental factors or assumptions

· Assumptions made regarding possible waste and process residue disposal options. It is always necessary as part of the process of determining reasonable prospects for eventual economic extraction to consider the potential environmental impacts of the mining and processing operation. While at this stage the determination of potential environmental impacts, particularly for a greenfields project, may not always be well advanced, the status of early consideration of these potential environmental impacts should be reported. Where these aspects have not been considered this should be reported with an explanation of the environmental assumptions made.

· No assumptions are made on environmental factors other than the cost to back fill waste tailings.

· Flora and fauna studies were started in 2019 by the companies and institution of "Universidad de Leon" and "Mas que pájaros, biologia, ecoturismo y medioambiente S.L". Their report is pending.

· AMS has not reviewed any Environmental, Social and Permitting (ES&P) documents or licences.

· AMS understands that there are no legal or project permitting, environmental and social settings issues or risks.

· No red flags were identified via the site visit or study desk review.

Bulk density

· Whether assumed or determined. If assumed, the basis for the assumptions. If determined, the method used, whether wet or dry, the frequency of the measurements, the nature, size and representativeness of the samples.

· The bulk density was calculated using the Archimedes method weighting the samples in air and water using a Kern precision balance.

· Bulk density measurements were carried out on most of the drillholes, in both mineralised and un-mineralised samples.

· The resource database contains 2,405 bulk density measurements. There are 193 measurements within the mineralised wireframe.

· The bulk density for bulk material must have been measured by methods that adequately account for void spaces (vugs, porosity, etc), moisture and differences between rock and alteration zones within the deposit.

· No bulk material was measured.

· Discuss assumptions for bulk density estimates used in the evaluation process of the different materials.

· The mean for the mineralised domain transitional zone is 2.75 g/cm3 and the mean for mineralised domain fresh material is 2.85 g/cm3.

· A broad linear relationship between Pb+Zn grade and Bulk Density was identified from scattergrams and the formula 2.75 + 0.02(Pb+Zn%) used to estimate block density related to grade within the block model.

Classification

· The basis for the classification of the Mineral Resources into varying confidence categories.

· The classification of Indicated resources was based on identification of blocks which had been interpolated during the first kriging search with a minimum of 2 drillholes and radii 130 along strike and 150 down dip. All blocks meeting this criteria were considered but were reduced to a single area to avoid isolated "spots" and to include the area with most recent an most reliable drilling and greatest kriging efficiencies over a consistent area. The area was smoothed to make a consistent unit. Only material in the fresh rock, unweathered domain was classified as indicated.

· All other blocks were classified as Inferred resources

· Whether appropriate account has been taken of all relevant factors (i.e. relative confidence in tonnage/grade estimations, reliability of input data, confidence in continuity of geology and metal values, quality, quantity and distribution of the data).

· The assigned classification of Inferred and Indicated reflects the Competent Persons' assessment of the accuracy and confidence levels in the input data and the resulting Mineral Resource Estimate.

· Whether the result appropriately reflects the Competent Person's view of the deposit.

· The result reflects the quality and quantity of data, geostatistical analysis of correlation and relationship between mineralised samples (semi-variography) and the Competent Person's view of the deposit.

· The semi-variography reflects the sample density.

Audits or reviews

· The results of any audits or reviews of Mineral Resource estimates.

· The 2020 Mineral Resource has been reviewed internally as part of normal validation processes by AMS.

· The AMS 2020 resource estimate has not been audited or reviewed externally at the time of writing.

Discussion of relative accuracy/ confidence

· Where appropriate a statement of the relative accuracy and confidence level in the Mineral Resource estimate using an approach or procedure deemed appropriate by the Competent Person. For example, the application of statistical or geostatistical procedures to quantify the relative accuracy of the resource within stated confidence limits, or, if such an approach is not deemed appropriate, a qualitative discussion of the factors that could affect the relative accuracy and confidence of the estimate.

· It is the Competent Person's opinion that the level of confidence is consistent with the level of Inferred and Indicated categorised mineral resources.

· Geostatistical assessment of confidence limits such as conditional simulation of grades has not been conducted at this time.

· Interpretation of the thickness and therefore volume of the mineralisation along with bulk density have the greatest effect on the contained metal.

· Kriging neighbourhood and the control of higher grade samples and preventing them from over smoothing is also important in producing a realistic estimate.

· It is the Competent Person 's opinion that the level of confidence is consistent with the level of Indicated and Inferred categorised mineral resources.

· The statement should specify whether it relates to global or local estimates, and, if local, state the relevant tonnages, which should be relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.

· The estimate is a local estimate to the 25m block scale; however the data density is too sparse to allow modelling of selective units inside of the 25m panel scale.

· As with all kriged estimates there is a degree of smoothing.

· These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.

· There are no historical production records from the deposit.