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Trevali Provides Results from Underground Exploration Drill Program at Santander Zinc Mine in Peru

Trevali Mining Corporation ("Trevali" or the "Company") announces results from four new drill holes of its ongoing 2016 underground exploration drill program at the Santander zinc mine in Peru. The aim of the current drilling is to test recently discovered mineralization in the hanging wall of the Magistral North deposit. Drill holes continue to intersect multiple stacked mineralized massive sulphide replacement zones, or mantos, both within the main Magistral North body as well as in the newly discovered Oyon mantos (Table 1). The intercepts are near existing mine infrastructure and will be quickly incorporated into the near-term (2016-2017) mine plan. Mineralization in both the Magistral North deposit and the new Oyon mantos remains open for expansion and further underground drilling is in progress (Figure 1).

Borehole
(dip/azimuth)
From - To
(metres)
Zone / Core Length
Interval* (metres)
Zn
(%)
Pb
(%)
Ag oz/ton
(g/tonne)
MN-142-16 114.90 - 121.20 MN / 6.30 3.33 1.19 1.65 (56.49)
(-41.20° / 125.55 - 140.30 MN/OYO / 14.75 5.21 5.78 2.11 (72.26)
246.10°) Incl. 125.55 - 132.75 MN/OYO / 7.20 7.37 8.96 2.66 (91.08)
Incl. 136.85 - 139.15 OYO / 2.30 5.22 4.32 2.50 (85.72)
147.65 - 153.50 OYO / 5.85 4.69 3.79 5.75 (197.08)
MN-143-16 133.90 - 158.45 MN/OYO / 24.55 5.74 3.98 6.00 (205.88)
(-39.20° / Incl. 135.70 - 148.20 MN/OYO / 12.50 5.66 4.67 4.14 (141.94)
214.70°) Incl. 149.05 - 157.05 OYO / 8.00 5.67 1.81 10.92 (374.32)
MN-144-16 (-27.20° / 207.30°) 115.20 - 115.90 OYO / 0.70 3.11 3.25 1.40 (47.90)
MN-145-16 111.85 - 130.80 MN/OYO / 18.95 4.11 3.40 3.47 (119.01)
(-35.30° / Incl. 124.35 - 130.80 OYO / 6.45 4.80 2.31 6.68 (229.05)
218.10°) Incl. 115.40 - 121.90 MN/OYO / 6.50 5.82 6.04 2.72 (93.34)
Table 1: Summary of latest Santander Mine underground drill assay results.
(i) True widths of the mineralized intervals are estimated at 60-80% of core length. MN-Magistral North; OYO-Oyon.

To view Figure 1: 3D view, looking southeast, and cross section illustrating geometry of the Oyon mineralization and location of recent drillhole intercepts in the Magistral North Deposit at the Santander Mine, visit the following link: http://media3.marketwire.com/docs/1057524-F1.pdf

MAGISTRAL NORTH AND OYON ZONES

This latest follow-up expansion-definition drilling program continues to define additional mineralization in the Oyon mantos, located in the hanging wall to the main Magistral North deposit (Figure 1).

As presently defined the Oyon zone contains multiple stacked lenses (or mantos) of replacement semi-massive to massive sulphide mineralization and associated veining that varies from 1 to plus-10-metres thick, a modeled strike length of approximately 100 metres and a currently defined dip length of approximately 180 metres.

In general, average grades for all key metals (Zn, Pb and Ag) are significantly higher than current Santander mill feed grades (Table 1). Zinc to lead/silver metal ratios remain high, in the 1:1 to 2:1 range, which is suggestive of the upper to mid-portions of the mineral system and is interpreted to suggest significant additional depth potential remains. Initial targeting suggests that similar style (Pb-Ag rich) mineralization may exist in the hanging wall of the Magistral Central deposit. The Company cautions that additional drilling is required to further test this hypothesis.

The mantos are proximal-to-immediately-adjacent to the main Magistral North deposit and close to existing and future planned mine development. Consequently minimal additional work will be required to begin adding value (feed) to the Santander mill. Both the Magistral North Zone and emergent Oyon Mantos remain open and expansion/definition drilling is ongoing.

AGM RESULTS

At the Company's recent Annual General Meeting of Shareholders held on June 1, 2016, shareholders re-elected the nominated slate of directors. Shareholders also approved: the appointment of PricewaterhouseCoopers LLP, Chartered Accountants, as auditors of the Company for the current fiscal year and authorized the directors to fix the auditors' remuneration; the amended Stock Option and Stock Bonus Plan and Unallocated Options and Other Entitlements under the Plan; and the Shareholder Rights Plan.

Description of Matter Outcome
of Vote
Votes
For
Votes
Withheld
Votes
Against
1. Election of the following directors of the Company: Resolution approved by a show of hands
Mark Cruise 141,016,775
(99.89%)
153,725
(0.11%)
n/a
Anton Drescher 113,957,148
(80.72%)
27,213,352
(19.28%)
Christopher Eskdale 138,898,275
(98.39%)
2,270,225
(1.61%)
Catherine Gignac 141,016,275
(99.89%)
154,225
(0.11%)
Michael Hoffman 135,186,075
(95.76%)
5,984,425
(4.24%)
David Huberman 135,176,575
(95.75%)
5,993,925
(4.25%)
David Korbin 140,993,775
(99.87%)
176,725
(0.13%)
2. Appointment of PricewaterhouseCoopers LLP, Chartered Accountants, as auditors of the Company for the current fiscal year and authorizing the directors to fix the auditors' remuneration Resolution approved by a show of hands 141,148,000
(99.98%)
22,500
(0.02%)
n/a
3. Approval of the amended Stock Option and Stock Bonus Plan and Unallocated Options and Other Entitlements under the Plan Resolution approved by ballot 81,173,363
(57.50%)
n/a 59,997,137
(42.50%)
4. Approval of the Shareholder Rights Plan Resolution approved by ballot 140,343,820
(99.41%)
n/a 826,680
(0.59%)

Qualified Person and Quality Control/Quality Assurance

EurGeol Dr. Mark D. Cruise, Trevali's President and CEO and Daniel Marinov, P.Geo, Trevali's VP Exploration, are qualified persons as defined by NI 43-101, have supervised the preparation of the scientific and technical information that forms the basis for this news release. Mr. Marinov is responsible for all aspects of the work, including the quality control/quality assurance programs. Dr. Cruise is not independent of the Company, as he is an officer, director and shareholder. Mr. Marinov is not independent of the Company as he is an officer and shareholder. Drill core samples were processed and assayed in the Santander mine onsite laboratory. Zinc, lead and silver, assays were obtained by Aqua-Regia dissolution followed by Atomic Absorption measurement. Values of lead and zinc over 15% are assayed by volumetric method. Analytical accuracy and precision are monitored by the analysis of reagent blanks, reference material and replicate samples. Quality control is further assured by the use of international and in-house standards. Blind certified reference material is inserted at regular intervals into the sample sequence by Trevali personnel in order to independently assess analytical accuracy. The onsite laboratory is outsourced and managed by SGS-Peru personnel. SGS-Peru's quality system complies with the requirements for the International Standards ISO 9001:2000 and ISO 17025: 1999. Finally, representative blind duplicate samples are routinely forwarded to an ISO compliant third party laboratory for external quality control.

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