Europa Metals Ltd (EUZ.L) Statement re Share Price Increases Post GM

Toral Pb, Zn & Ag Project, Spain

Europa Metals, the European focused lead-zinc and silver developer, notes the significant increases in the value of the Company’s stock since successful completion of the July General Meeting (“GM”), the results of which were announced on 15 July 2020, and which concluded, inter alia, the current programme of cost cutting (via the approval for a management incentive plan), the amendment to the Company’s capital structure resulting in the share consolidation and amendments to the Company’s constitution to bring its Corporate Governance into line with standard UK practice.

Since the GM and subsequent consolidation of Europa Metals shares on AIM, Europa Metals has seen substantial buying activity on both AIM and the Altx. The Company knows of no reason or material event not yet disclosed to the market at this time to explain the increase. However Europa Metals notes the points set out below:

– Pre-consolidation the stock was highly volatile and pricing today has returned to roughly that of 12 months ago;

– As a lead, zinc and silver project with high grades, current and anticipated commodity pricing is favourable to the Toral project;

– Further work on recoveries and grade is in progress, the results of which will be announced in a timely manner;

– Europa Metals has recently concluded a series of cost cutting measures combined with the approval of an incentive plan;

– The recent rise in share price is positive for the potential exercise of outstanding warrants which would mean further funds for the Company

– The trading disparity between Altx and AIM continues to be monitored by the Company, its advisors and the JSE but represents a comparatively small part of the shares in issue; and

– The new, post share consolidation, pricing normalises Europa Metals next to the Company’s peers and allows easier comparison of the equity valuation in the context of the Company’s core asset, the Toral lead, zinc and silver project in Spain, which has been significantly advanced by the Company (Full project details can be found below in the Notes to Editors’ Appendix).

Europa Metals intends to provide in the short term a new strategic outlook on operational and group activity, once a series of current workstreams have been completed. The Board of Directors would like to thank shareholders for their continued support as the Company progresses a new low capex, high grade lead zinc and silver project towards development.

For further information on the Company and the Toral lead, zinc and silver project

Notes to Editors

Appendix : Further information on the Toral Project

JORC (2012) Mineral Resource Estimate

The Toral Project is a traditional polymetallic (lead-zinc-silver) deposit, which is hosted over 6km of strike length of the prospective Lower Cambrian Vegadeo Limestone formation, that is regionally mineralised along more than 40km of its extent. The deposit represents a carbonate hosted, structurally controlled deposit type, demonstrating fault-controlled contact, vein, carbonate replacement and breccia styles of mineralisation situated close to and along the boundary between footwall slates and hanging wall limestones and dolomites. Sub-ordinate lead-zinc-silver mineralisation also occurs wholly within the hanging wall limestones and dolomites, approaching the contact with the slates.

Historic drill hole re-logging undertaken by the Company in 2018 provided improved geological, structure, alteration and weathering/oxidation information, which was incorporated into the interpreted geological and mineralised models for the current JORC (2012) mineral resource estimate. Surface mapping and remote data interpretation by Europa Metals has enabled the development of an interpreted fault model, also incorporated into the aforementioned updated geological and mineralised models used in the mineral resource estimate.

The latest mineral resource estimate (as of 25 October 2019) for the Toral deposit comprised, at a 4% cut-off :

· An Indicated resource of approximately 2.7Mt @ 8.9% Zn Equivalent (including Pb credits), 5% Zn, 4.2% Pb and 32g/t Ag

o Including 130,000 tonnes of zinc, 110,000 tonnes of lead and 2.8 million ounces of silver

· An Inferred resource of approximately 16Mt @ 7.2% Zn Equivalent (including Pb credits), 4.5% Zn, 2.9% Pb and 22g/t Ag

o Including 690,000 tonnes of zinc, 450,000 tonnes of lead and 11 million ounces of silver

· Total Resources of approximately 18Mt @ 7.4% Zn Equivalent (including Pb credits), 4.5% Zn, 3.1% Pb and 24g/t Ag

o Including 830,000 tonnes of zinc, 570,000 tonnes of lead and 14 million ounces of silver

–The latest resource update identified potentially economic mineralisation ranging from surface to approximately 1,100m below surface. The block model currently extends for a strike length of 3,600m and is still open to the east and west along strike and also at depth where it has not yet been closed off.

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