Mineral & Fin Regulatory News (MAFL)

MINERAL & FINANCIAL INVESTMENTS LIMITED

("M&FI" or the "Company")(LSE-AIM: MAFL)

Significant Zinc / Lead Investment in Spain and Portugal

Highlights:

· M&FI acquiring 49% of Swiss-based TH Crestgate GmbH through purchase of common shares

· M&FI to have the right to appoint a director to the board of TH Crestgate

· TH Crestgate's principal assets are two Zinc / Lead Projects - Lagoa Salgada Portuguese Zinc / Lead Project located in the NW portion of the Iberian Pyrite Belt and the Toral Project located in Province Castille Y Leon of Spain

· The Projects have benefited from approximately $20.0 million of geological work and together host an Indicated Resource of 7.6M tonnes grading an 11.96% zinc equivalent[1] and an Inferred resource of 6.2M tonnes grading 10.26% zinc equivalent[2]

Mineral & Financial Investments today announces it first strategic acquisition to sit within the portfolio approach developed in 2013 as part of the Company's new investment strategy. Mineral & Financial Investments will invest in, and finance as an active financial partner, mineral assets with resources. Having developed a strong cash position from restructuring legacy assets, the Board will maintain an active portfolio of assets it maintains engaged oversight on, and a passive portfolio of large, highly liquid natural resources positions.

To facilitate this transaction M&FI has acquired a 49% equity stake in TH Crestgate Gmbh ("TH Crestgate") from Mr R. Maurer and Mr F. Moppert for a consideration of CHF121,600 (c. £82,000). Thereafter, M&FI will invest a further CHF98,000 (c. £66,000) through the issue of treasury shares of TH Crestgate. The Principals of TH Crestgate will also purchase CHF102,000 (c. £69,000) to maintain their 51% interest in the Company. It is intended that, M&FI will also purchase senior secured notes in due course; the terms of these notes are still under discussions and a further announcement will be made if the investment is made.

TH Crestgate is a privately owned Swiss-based company. TH Crestgate recently acquired 100% of shares and intercompany debt of TSX-listed Portex Minerals' Portuguese and Spanish base metals portfolio. TH Crestgate is currently debt free. TH Crestgate currently generates a nominal profit and the book value of its assets is CHF 64,000 (c. £43,000) (unaudited).

TH CRESTGATE'S -- SUMMARY OF MINERAL RESOURCES [3]

The Lagoa Salgada project, located in Portugal, 120 km SW of Lisbon, is a lead-zinc property which currently contains a measured and indicated NI 43-101 compliant resource based on 2012 report by Tetra Tech WEI Inc 2, of 4.5m tonnes containing a zinc equivalent grade of 9.73%. TH Crestgate owns 85% of this project with Empresa de Desenvolvimento Mineiro, S.A. (EDM) the Portuguese Government's mining company owning 15%. EDM's interest is carried to the issuance of a feasibility study.

LOCATION MAP OF ASSETS IN SPAIN AND PORTUGAL

http://www.rns-pdf.londonstockexchange.com/rns/3329X_-2015-8-27.pdf 

The Toral project, located in the Northern Province of Leon of Spain has a 43-101 compliant measured, indicated and inferred resource of 8.7 million tonnes with an average combined lead-zinc equivalent grade of 10.7%, as calculated by Micon International 2.

TORAL - 3D MODEL OF RESOURCE [4]

http://www.rns-pdf.londonstockexchange.com/rns/3329X_1-2015-8-27.pdf

Additionally, the portfolio has an exploration project called Lago, which is located 54 km northwest of the Toral project in the Province of Galicia, near Teck's former zinc producing the Rubiales mine. The Lago Project benefited from 26 holes for a total of 7,500 meters of drilling which intersected many mineralized zones, such as 7.5 metres grading 14.75% of combined zinc & lead. The drilling was done by Teck (Cominco's successor Company) in 1985.

LAGOA SALGADA - 3D MODEL OF RESOURCE

http://www.rns-pdf.londonstockexchange.com/rns/3329X_2-2015-8-27.pdf

The Directors believe that both the Toral and Lagoa Salgada projects have highly prospective geological expansion potential.

The Company intends to work with partners to expand the understanding and definition of both the geological breadth of the project and its metallurgy.

Once this transaction is complete, Mineral and Financial will have one representative on TH Crestgate's three-person board. M&FI intends that Jacques Vaillancourt will be appointed a director of TH Crestgate. TH Crestgate will manage these assets with the objective of improving them by various means to create value. To that end TH Crestgate will immediately form an operating committee, which will also review all strategic options for value optimization. It is the current intention that the operating committee will refresh government relations, re-negotiate and update licenses and thereafter recapitalize these subsidiaries. It is also intended that TH Crestgate will utilise the specific experience within M&FI to ensure that best path to value optimisation is followed. It is TH Crestgate's intention to affect the necessary financial and efficiency improvements in the short term as well as remediate local Government relations.

Jacques Vaillancourt, Chairman of Mineral & Financial commented: "We are delighted to be able to participate in this opportunity to realise value from what, we believe, are very attractive lead and zinc properties in Europe. We have stated our belief that the zinc market offers opportunities for increasing shareholder value as supply is becoming increasingly constrained by a lack of exploration and development, coupled with significant mine closures. The current market pressures from China's slowed growth, are creating a near cycle low investment opportunity. To be able to take a meaningful position in a European country with full and excellent infrastructure at the project's doorstep should allow us to significantly increase the geological wealth in place at both Toral and Lagoa Salgada. We look forward to working closely with TH Crestgate to further the development of this asset".

Mineral & Financial Investments Limited is a Cayman Island based Investment Company focused on the creation of value for its shareholders by investing in, and the financing of mining companies by offering intelligent financing solutions while creating a financial partnership for our investee companies.

For more information:

Jacques Vaillancourt, Executive Chairman +44 207 802 268 247

Katy Mitchell, WH Ireland +44 161 832 2174