FERRUM CRESCENT LIMITED - Nil-cost Extension of Option to Acquire Interests in Lead-Zinc Exploration Projects in Spain

Nil-cost Extension of Option to Acquire Interests in 
Lead-Zinc Exploration Projects in Spain

FERRUM CRESCENT LIMITED
(Incorporated and registered in Australia and registered as an external company in the
Republic of South Africa)
(Registration number A.C.N. 097 532 137)
(External company registration number 2011/116305/10)
Share code on the ASX: FCR
Share code on AIM: FCR
Share code on the JSE: FCR
Australian ISIN: AU000000WRL8
South African ISIN: AU000000FCR2


22 July 2016

                          Ferrum Crescent Limited
         (“Ferrum Crescent”, the “Company” or the “Group”)(ASX, AIM, JSE: FCR)

               Nil-cost Extension of Option to Acquire Interests in
                     Lead-Zinc Exploration Projects in Spain

Ferrum Crescent, the ASX, AIM and JSE quoted metals project developer,
announces that, further its announcement of 16 February 2016, the parties to the
Option and Sale Agreement (as defined therein) have agreed to extend, for nil-cost,
the Company’s exclusive option to acquire 100 per cent. of GoldQuest Iberica, S.L.
(“GoldQuest”), the sole owner of the Toral and Lago lead-zinc exploration projects in
northern Spain (the “Option”).

The extension is required to enable TH Crestgate GmbH (“Crestgate”) to finalise the
settlement and documentation of certain administrative issues and an historic back-in
right over the Toral licence area held by Lundin Mining Corporation. Accordingly, the
Option is now scheduled to expire on 31 August 2016 (or such later date as the
parties may agree) and all other terms announced on 16 February 2016 remain
unaltered.

A further update in respect of the planned exercise of the Option and completion of
the acquisition of GoldQuest will be provided in due course.


Justin Tooth, Executive Chairman of Ferrum Crescent, today commented:
“Whilst this delay is clearly frustrating, it is a very common situation in such
international transactions and we are working closely with Crestgate and its major
shareholder, Mineral & Financial Investments Limited, to conclude the transaction as
swiftly as possible. I am confident that Crestgate can resolve the remaining items
expeditiously to enable us to proceed to exercise our Option and commence work on
these attractive exploration projects, with the fundamentals for the zinc market, in
particular, continuing to look excellent. As there is a significant amount of historic
data on the Toral asset, we believe that we can efficiently re-evaluate this data as
part of a cost-effective work programme leading to the delineation of a JORC
compliant resource and we certainly look forward to commencing this work at the
earliest opportunity.”
For further information on the Company, please visit www.ferrumcrescent.com or contact:

Ferrum Crescent Limited
Justin Tooth, Executive Chairman
Grant Button, Company Secretary
T: +61 8 9474 2995
UK enquiries:
Laurence Read (UK representative)
T: +44 7557 672 432

Strand Hanson Limited (Nominated Adviser)
Rory Murphy/Matthew Chandler
T: +44 (0)20 7409 3494

Beaufort Securities Limited (Broker)
Elliot Hance
T: +44 (0)20 7382 8300

Bravura Capital (Pty) Ltd (JSE Sponsor)
Doné Hattingh
T (direct): +27 11 459 5037

Notes to Editors:

Further Information on GoldQuest and the Iberian Exploration Projects
GoldQuest is a private company incorporated in Spain which owns 100 per cent. of both the Toral
Project and the Lago Project in northern Spain, each having high prospectivity for lead and zinc.

Principal Terms of Ferrum Crescent’s Option
-    Option to potentially acquire 100 per cent. of GoldQuest. GoldQuest owns 100 per cent. of two
     lead-zinc exploration projects in the provinces of León and Galicia, in historic Spanish mining
     areas.
-    Exclusive option is valid until 31 August 2016. If exercised, Ferrum Crescent, will be required to:
     o    pay up to approximately £320,000 in cash consideration (calculated as a fixed amount of
          £250,000 plus a further cash payment comprising the lesser of 50 per cent. of GoldQuest’s
          current liabilities and £92,500, minus the option consideration); and
     o    issue, credited as fully paid, 100 million new ordinary shares in the capital of Ferrum
          Crescent.

Toral Project
The Toral Project has been extensively explored historically by its previous owners Portex Minerals Inc.
and Lundin Mining S.L. and the 2,024ha of mineral rights contains extensive high grade zinc
mineralisation. Located in north-west Spain, approximately 400km north-west of Madrid, the project’s
licence area hosts excellent road, rail and power infrastructure and is situated in a known historic mining
jurisdiction. The asset also has a pre-existing NI 43-101 resource estimate reported by Micon International
Co. Limited on 30 April 2012.

Lago Project
The Lago Project is located approximately 54km to the north-east of the Toral Project. Historical
investigations completed by or on behalf of the Spanish mining firm, Exploracion Minera International
Espana S.A. (“EXMINESA”), between 1985 and 1990, indicated that mineralisation at the Lago Project
may be similar to that encountered at the Toral Project with vertical, lenticular bodies (probably more
than one) approximately 800m long by 300m wide.

Date: 22/07/2016 08:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.