Argent Minerals Ltd.: Quarterly Activities and Cashflow Report

Sydney, Australia (ABN Newswire) - Argent Minerals Limited (ASX:ARD) (Argent, Argent Minerals or the Company) is pleased to announce a quarter of significant progress for the Kempfield deep diamond drilling program.

Managing Director David Busch said, "The first two holes were completed for a total of 1,200 metres at the western edge of the prospective basin margin area adjacent the Kempfield Polymetallic Project JORC 2012 Mineral Resource.

"The style and high grade of gold mineralisation intersected by Hole 1 (5m @ 4 g/t Au from 353 m), and the attributes of the material intersected by both Holes 1 and 2 are consistent with proximity to a high temperature Volcanogenic Massive Sulphide (VMS) feeder zone and the potential for high grade base and precious metal mineralisation.

"A major achievement of this early part of the drilling program is the validation of the deposit model developed by Argent, increasing the potential 'size of the prize' at Kempfield. The validated model implies that the lengths of the steeply dipping lenses could extend to substantial depths.

"On 29 April 2015 Argent announced a significantly extended reach for the Kempfield deep diamond drilling program.

"The next phase of drilling is now a total of seven holes for 3,200 metres, comprising NSW Government funded Holes 3 and 4, which have been extended to 550 and 600 metres respectively, and five additional holes totalling 2,050 metres.

"This next phase of drilling has been designed to test for depth and strike extensions to existing mineralised lenses, as well as new lenses.

"We are looking forward to what this next exciting phase of exploration will reveal, as Argent continues its highly methodical search for high grade base and precious metals at Kempfield".
About the validated deposit model and the extended Kempfield deep diamond drilling program

The additional holes have been designed to test the recently validated Volcanogenic Massive Sulphide deposit model which predicts the potential for significant depth extensions to mineralised lenses below the known deposit. Most of the historical drilling at Kempfield has been relatively shallow to only 120 metres for most of the deposit, and only 80 metres for the southern section of Lens 1, with the intersected mineralisation leaving the majority of the deposit open at depth.

The recently validated deposit model also predicts the increased likelihood of a high grade lead/zinc zone between the Hole #1 intersection of 5 m at 4 g/t Au from 353 m in strongly silicified and chlorite-altered host rock with quartz/pyrite/pyrrhotite and pyrite/pyrrhotite stockwork (indicative of high temperature deposition), and the western portion of the known deposit where hole AKDD159 intersected high grade base metal mineralisation (Figure 2 in link below).


FUNDING AND BALANCE SHEET EFFICIENCY

Argent has established an exemplary track record in its efficient management of the balance sheet. This has been achieved through cost reductions, the Company's approach to continuous improvement of exploration cost efficiencies, and the sourcing of alternative non-dilutionary funding (the latter totalling over $2 million since July 2013).

The Company intends to continue lodging Research & Development (R&D) claims to the Federal Government, as specifically approved and supervised by AusIndustry for the Kempfield Polymetallic Project.

The next R&D claim will be submitted in the second half of calendar year 2015 for the R&D related activities conducted during the financial year ending 30 June 2015.


NSW Government Funding Update

The NSW Government Cooperative Drilling Grant is the latest boost to Argent's non-dilutionary funding, which has also attracted the interest of new investors. As one of the top five NSW Government Cooperative Drilling awards based on the assessment of an independent panel of geoscientists, this funding has effectively contributed to the rising profile of the Kempfield project on investment 'radar screens'.

During the quarter Argent submitted its first claim under the NSW grant relating to 90% of the allowable refund for drilling Holes 1 & 2 - $65,241.

NSW Trade & Investment settled the claim in a very responsive manner, transferring the funds to Argent on 27 March 2015. The 10% balance will be settled following Argent's provision of the final report for Holes 1 to 4 to NSW Trade & Investment.

During the quarter NSW Government Trade & Investment agreed to extending the scope of the drilling Cooperative Drilling Grant to Argent to include both of the next two holes. Whereas only one additional hole was covered by the original grant due to an administrative oversight, both Holes 3 and 4 are now covered provided that the total claimed for Holes 1 to 4 does not exceed the total grant provision of $158,400.

Argent's ASX announcement material has been upgraded accordingly, marking both Holes 3 & 4 with an asterisk as being included in the NSW Government sponsored program.


Cash Position

The available cash position for Argent Minerals as at 31 December 2014 was approximately $381,000. Argent is planning to conduct a capital raising to fund the balance of the requirements of the extended reach Kempfield deep diamond drilling program.

To view all tables and figures, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-ARD-717884.pdf


About Argent Minerals Limited:

Argent Minerals Ltd. (ASX:ARD) is an Australian publicly listed company with a 100% interest in a silver/gold project at Kempfield NSW. Work is underway on the preparation of an EIS and a feasibility study for the first stage of the project which will involve heap leaching some 8.8 million tonnes of mainly oxide and transitional material to produce over 9.5 million ounces of silver and 15,000 ounces of gold over a 5 year mine life. Argent is also earning up to a 70% interest in two other NSW projects - gold at West Wyalong and base metals at Sunny Corner.



Contact:

Argent Minerals Ltd.
David Busch, Managing Director
M: 0415 613 800
E: david.busch@argentminerals.com.au