Karmin Exploration Inc. provided an update on its 30% owned Aripuanã Zinc Lead Silver Project which is a main near-term growth project of its partner Nexa Resources S.A. Recent progress at Aripuanã includes that Nexa has reported 2017 expenditures to the end of the third quarter totaling $8.4 million including $3.9 million on infill and exploration drilling and $4.5 million on engineering, environmental and geo-mechanical studies. Karmin understands that an update to the mineral resource dated December 23, 2016 is expected in the first quarter of 2018. Engineering work has started on the feasibility study with completion expected in the second quarter of 2018. Nexa; (70% owner of Aripuanã) filed a prospectus on October 10, 2017 for listing on the NYSE & TSX that indicated approximately $210 million of the net proceeds from the sale of Nexa common shares would be used to advance development of Aripuanã as follows; 2018 expenditures; $59 million and 2019 expenditures; $151 million. Financing & Strategic Review states that the company is advancing discussions with several mining capital groups to arrange the financing for its participation in the development of Aripuanã as outlined by Nexa. Karmin is also reviewing strategic alternatives with the purpose of enhancing shareholder value through a corporate sale or the sale of all or a material portion of the company’s assets. The company has a 30% carried interest in Aripuanã and is not required to contribute to the project costs until one year after the completion of a feasibility study and notification from Nexa that the development of Aripuanã will proceed. The company has commercial rights proportional to its 30% interestin Aripuanã's lead, copper silver and gold production. Nexa has rights of first refusal on Karmin’s 30% of the zinc production. As part of its strategic alternatives Karmin would consider the use of its participation rights on the silver and gold production to provide flexibility to potentially raise capital in the form of stream financing for future funding requirements and/or maximizing the company’s shareholder’s value. Mineral exploration activities continue to identify mineralized deposits in the Aripuanã project. The results from these activities indicate there is the potential to increase the mineral resources in the Aripuanãproject, supporting continued investment in mineral exploration activities in the project. In particular, the large resource base in the project indicates the potential for a long mine life of up to 24 years. Exploration has identified incremental resource expansion at Arex, Link, Ambrex and Babaçu. In order to execute this expansion, a 28,000 meter drill program is planned in 2017 focused on resource growth. Geological mapping and preliminary exploration activities have helped identify additional, potentially mineralized bodies at Massaranduba, Boroca, Mocoto and Arpa. It may also be possible to selectively mine areas containing high-grade ore during the early years of the life of mine to improve capital returns. It is intended that trade-off studies will be carried out related to the mineral process in order to better identify the potential of the Aripuanã project.