Variscan Mines Limited announced that the Consejería De Industria, Turismo, Innovación, Transporte y Comercio - del Gobierno de Cantabria (the Government of Cantabria, in northern Spain) has approved a 3 year extension of the Buenahora Exploration License, within the Novales-Udias Project in northern Spain. The renewal of the Buenahora Exploration License is another milestone in the ongoing exploration of Variscan's zinc project in northern Spain. The Company has been closely engaged with the local authorities to secure the municipal approvals needed before drilling can commence.

Whilst these approvals are pending, informal feedback is encouraging. Surface drilling to test regional targets over the Buenahora Exploration Licence is anticipated to commence this Quarter, subject to permitting approvals. It will overlap with the current underground drilling at the San Jose Mine.

The Buenahora Licence area hosts part of the 9km Novales Trend and the 3km sub-parallel Udias Trend over the Company's Novales-Udias Project area. The Udias area in the southwest of the Buenahora Exploration License area has multiple, highly prospective, yet untested, drill targets including Magdalena, Sinforosa, Motilos and Pepita. These are situated on strong geochemical anomalies and along extended trends which include former small-scale mines (operational in c. 1930s) and/or high-grade historical drilling intersections.

Variscan has currently defined 21 exploration target zones across the Udias area via examination of historical data and fieldwork conducted by the Company. Soil sampling of these drill targets conducted in Third Quarter 2020, returned a peak soil result of 16.33% Zn with 30% of soil samples + 1% Zn and 18% of soil samples +2% Zn.