Alien Metals Regulatory News (UFO)

Alien Metals Limited - High-grade Silver at San Celso and Los Campos projects

PR Newswire

London, September 5

 Trading Symbols

AIM: UFO

FWB: I3A1

6 September 2019

Alien Metals Ltd(“Alien” or “the Company”)

Further high-grade Silver Results at San Celso and Los Campos projects with

up to 1,275 g/t Silver at San Celso and 547 g/t Silver at Los Campos, Mexico

Gold results of up to 2.68g/t Gold from Donovan 2 project

Alien Metals Ltd, the AIM quoted mineral exploration and development company, is pleased to announce the results of the July 2019 fieldwork carried out at the Company’s wholly owned Donovan 2, Los Campos and San Celso concessions in Zacatecas State, Mexico.

Highlights

Bill Brodie Good, Technical Director of Alien commented, “the Company’s San Celso and Los Campos projects continue to show significant potential for high-grade silver mineralisation. This recent round of sampling has confirmed historic surface and underground work on these projects and that there remain significant mineralised in-situ ore bodies to be developed.”

As announced on 6 August 2019, Alien carried out a ground mapping and sampling program across the Company’s wholly owned Donovan 2, Los Campos and San Celso concessions in Zacatecas State, Mexico. The sampling programme was undertaken to follow up on previous work which had identified continued anomalous silver mineralisation at Los Campos and San Celso, and gold/copper mineralisation at Donovan 2. In particular, the sampling has confirmed the mineralisation controls that warrant follow up, as well as strengthening the Company’s understanding for next stage of exploration.

Donovan 2 (Gold, Copper)

The mapping and sampling programme at Donovan 2 focused on the south-western area of the project area to follow up the anomalous gold sample taken in May 2019.

Sample 7037, in the south western area of the project, returned 2.68 g/t Au and 46 g/t Ag from a silicified and veined Rhyolite float sample. Samples 7042 and 7038 returned 0.24 g/t and 0.23 g/t Au, respectively. The remaining samples at Donovan 2 returned background results for gold from this programme, highlighting that there is gold mineralisation within this area and justifying more detailed follow up work in this area. These samples are all situated over the ground magnetic anomaly in this area and further indicate the presence of anomalous gold mineralisation associated with this target.

The locations of samples taken at Donovan 2 during July 2019, together with the Au sample assay results, are set out here:

www.alienmetals.uk/assets/img/190906_figure1.jpg

An enlargement of the map showing the location of samples taken at Donovan 2 during July 2019, together with the Au assay results, is set out here:

www.alienmetals.uk/assets/img/190906_figure2.jpg

Los Campos (Silver)

Previous exploration activity at Los Campos highlighted the high-grade silver potential of the Los Campos project, which features a historic mine within the project area which records seen by Alien show was mined between 1883 until all work stopped in 1904 with average mine head grade of over 1,000 g/t Ag in the early 1890s.

The programme was designed to further develop the Company’s knowledge and understanding of the mineralisation trends at Los Campos along strike from the know mineralised veins historically mined and mapped, and to aid in next-step planning.

The results of the sampling programme show that the mineralisation is concentrated in the previously defined main veins with further evidence that the historic dumps on the site contain some high-grade material (see table 1 below).

14 of the 50 samples taken were anomalous for silver returning an average of 185 g/t Ag, ranging from 43.6 g/t to 547 g/t Ag. 10 of these samples were from dumps around the shafts and confirm the high grade of the target veins mined historically and the fact that there remains high grade ore in the old workings as well. A sample taken from an outcrop returned 59.3 g/t Ag from an oxidised and veined tuff.

The locations of samples taken at Los Campos during July 2019, together with the Ag sample assay results, are set out here:

www.alienmetals.uk/assets/img/190906_figure3.jpg

Overall the mineralisation appears focused in the historic ore body defined by the main veins, which was mined intermittently from 1883 to 1904. There is also further evidence that the historic dumps at the project contain some high-grade silver.

The excised area containing a clay quarry within the Los Campos tenements appears to contain one of the 2 main veins, with historic reports and photos recording that the San Rafael Vein system as running through this tenement. The presence of this kaolin body potentially indicates a zone of extreme weathering, possibly associated with mineralisation formation in the area. The San Rafael vein extends for over 200m within the excised tenement.

The interpreted location of the San Rafael Vein at Los Campos is set out here:

www.alienmetals.uk/assets/img/190906_figure4.jpg

Based on the recent results and historic data, the mineralisation appears confined to the two main veins. With the historic mining and mapping work the vein locations are well defined. An initial scout drilling programme would help to test the depth and strike extension of these systems as well as the grade potential.

San Celso (Silver)

Located within the Zacatecas Silver belt of Mexico as well, the San Celso project remains a highly prospective silver target in a favourable mineralised district. Previous exploration programmes at San Celso have highlighted the high-grade silver potential of the project.

Recent surface mapping and sampling was undertaken to corroborate earlier reconnaissance and mapping of the area, and specifically to consolidate the historic sampling and mapping data and bring it up to date and merge with older data. The results confirm the very high grade of the known veins both in-situ as well as in surface dumps.

14 of the 39 samples taken were anomalous for silver returning an average of 276g/t Ag, ranging from 40.3 g/t Ag to 1,295g/t Ag. Eight of these samples were from dumps around the shafts and confirm the high grade of the target veins mined historically and the fact that there remains high grade ore in the old workings as well. Five of the samples were float samples, including the sample which returned 1,295g/t Ag

 A sample taken from an outcrop returned 59.3 g/t Ag from an oxidised and veined tuff.

The locations of samples taken at San Celso during July 2019, together with the Ag sample assay results, are set out here:

www.alienmetals.uk/assets/img/190906_figure5.jpg

An enlargement of the map showing the location of samples taken at San Celso during July 2019, together with the Ag sample assay results, is set out here:

www.alienmetals.uk/assets/img/190906_figure6.jpg

The results of this programme confirm the mineralisation source and add information to the potential of each of the Donovan 2, San Celso and Los Campos projects, as well as further supporting the reliability of historic exploration and sampling.

The Company plans to follow up targets identified at Donovan 2 in particular, with future programmes, including additional induced polarity (IP) and/or scout drilling and using these results combined with historic results and data in the context of the historical mines and their potential for redevelopment.

Alien is working towards reopening discussions with a range of parties following this work regarding potential joint venture opportunities.

Alien’s geological team continues to assess a range of mineral projects and opportunities, with particular focus on exploration projects with near-term news-flow and value creation.

For further information please visit the Company’s website at www.alienmetals.uk, or contact:

Notes to Editors

Alien Metals Ltd is an AIM quoted mining exploration and development company. Since the recomposition of the Board and company name change in 2018, Alien has focused on delivering its strategy of acquiring mining projects which demonstrate significant development upside, in jurisdictions with established infrastructure and mining codes, and where strong operational controls can be assured.

In addition to progressing its acquisition-led strategy, following the strategic review of its portfolio of projects in Mexico during 2018-19, the Company has identified exploration targets across its 12 mining concessions in Zacatecas, Mexico, which it is working to advance systematically.

Qualified Person

The information in this report that relates to exploration targets, exploration results, and other information of a technical nature has been reviewed by Dr Lex Lambeck Ph.D, a technical consultant to the Company. Dr Lambeck is a Member of the American Institute of Professional Geologists and a Certified Professional Geologist, CPG-11734, with over 15 years of relevant experience in exploration and assessment of resource projects.

Forward-Looking Information

This press release contains certain “forward-looking information”. All statements, other than statements of historical fact that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future are deemed forward-looking information.

This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company as well as certain assumptions, including the availability of sufficient funds. Forward-looking information is subject to a number of significant risks and uncertainties and other factors that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realised or substantially realised, there can be no assurance that they will have the expected consequences to, or effects on the Company.

Any forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.

Glossary