Microsoft Word - March 2016 quarterly

ASX Announcement

29 April 2016

Quarterly Activities Report Period Ending 31 March 2016

Key Points

Gorno Zinc Project
  • Colonna Zorzone Maiden Resource Estimate of 3.87Mt at 6.1% Zn, 1.6% Pb and 25g/t Ag for contained metal of 238,000t zinc, 63,000t lead, and 3.1Moz silver.
  • Colonna Zorzone Resource Estimate remains open in several directions.
  • 33 diamond drill holes (GDD044 and GDD046-GDD077) for 3,576 metres completed during the Quarter.
  • Assays received from 25 diamond drill holes (GDD036 - GDD060) with results up to GDD057 included in Maiden Resource Estimate.
  • Preliminary metallurgical test work indicates recoveries of 95%, 90% and 80% for zinc, lead and silver respectively.
  • Positive Scoping Study by Jorvik Resources Pty Ltd (Jorvik) recommends proceeding to Feasibility Studies.
  • Definitive Feasibility Study (DFS) commenced. Corporate
  • Cash and listed securities at end of March of approximately A$9.67M including A$4.64M cash and A$5.03M in listed securities.
  • Preliminary discussions commenced with strategic parties regarding financing options.
ASX Code EMX ABN 63 078 510 988

PO Box 1785

West Perth WA 6872

Level 2, 20 Kings Park Road West Perth WA 6005

T: +61 8 9321 5000 F: +61 8 9321 7177

E: info@energiaminerals.com

W: www.energiaminerals.com

Board of Directors Alexander Burns Executive Chairman

Kim Robinson Managing Director

Max Cozijn Finance Director

Marcello Cardaci

Non-Executive Director

Company Secretary

Jamie Armes

Gorno Zinc Project, Italy (100% owned)

Figure 1: Gorno Zinc Project - Site Layout

Colonna Zorzone Development

On 16 March 2016, a Maiden Resource was announced for the Colonna Zorzone Deposit and this key milestone then facilitated the completion of a Scoping Study in April.

Based on the positive results from the Scoping Study, a decision was made to proceed to a Definitive Feasibility Study (DFS) and this DFS is anticipated to be completed during the December Quarter, 2016.

Other activities during the Quarter, undertaken as part of the lead-up to the DFS decision, included underground bulk sampling, preliminary metallurgical test work, ore sorting test work, geotechnical studies and commencement of detailed surface and underground water monitoring.

Metallurgical test work to date indicates that excellent recoveries of zinc (95%), lead (90%) and silver reporting to the lead circuit (80%) to achieve a zinc concentrate grade of 56% and a lead concentrate grade of 55% are likely and work is continuing to lift these recoveries further. The focus of ongoing work is to improve the silver recovery by floating as much of the minerals Bournonite and Tetrahedrite into the lead concentrate as possible, which will also have a positive impact on lead recovery and potentially result in a small antimony penalty in the lead concentrate.

A bulk sample has been collected from a crosscut (see Figure 2) within the Indicated Resource on the 940 level to conduct locked cycle test work through Grinding Solutions Pty Ltd's (GSL) facilities in Cornwall, United Kingdom as soon as the most attractive reagent regime has been finalised.

Figure 2: High-grade zinc mineralisation in cross-cut on the 940 level from where bulk samples for Metallurgical and Ore Sorting test work have been extracted

A bulk sample of the same material has also been tested for Ore Sorting amenability through Outotec-Tomra Sorting Solution's facilities in Germany with preliminary results due shortly and another bulk sample has been despatched to Steinert Global in Germany for their assessment as a comparative analysis.

A conceptual process flowsheet is detailed in Figure 3. At this point of metallurgical investigation a decision on a zinc oxide flotation circuit has not been finalised, however, testwork with GSL is ongoing and a zinc oxide circuit will be a likely inclusion in the final design.

Subject to current test work being successful, ore sorters could potentially be added close to the minesite at Colonna Zorzone between the primary crusher (also located underground at Colonna Zorzone) before transporting pre-concentrate to the grinding circuit located in the Gorno region.

Figure 3: Conceptual Process Flowsheet

During the period, stripping of the Forcella adit was completed to an approximate 3m by 3m profile to accommodate larger mining equipment over a total length of 1,344 metres and as part of the DFS, a 3.0m by 3.5m Exploration Decline was commenced on 15 March to access positions to drill out the Inferred Resource below the 850 level. The one in seven decline had advanced 45.5m by the end of the period.

Figure 4: Exploration Decline Currently Under Construction

Energia Minerals Ltd. issued this content on 29 April 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 29 April 2016 02:01:09 UTC

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