Morumbi Resources (TSX VENTURE:MOC) (“Morumbi” or the “Company“) is pleased to announce that the Company has today completed its acquisition (the “Acquisition”) of all of the outstanding shares of American Pacific Honduras SA de CV (“AMPAC”) from affiliates of Nyrstar NV (“Nyrstar”) and assumed ownership and control of the producing El Mochito zinc, silver and lead mine in Honduras (“El Mochito”).

In tandem with the completion of the Acquisition and following the receipt by Morumbi and Nyrstar of the approval of the Honduran Commission for the Defense and Promotion of Competition for the Acquisition, announced on December 16, 2016, the Company has also satisfied the outstanding conditions for the release of the escrowed funds from the C$19.5 million financing of subscription receipts, which closed on October 13, 2016 (the “Financing”).

Commenting on the closing of the Acquisition, Chris Buncic President and CEO, stated: “The Company is extremely pleased by the completion this transformational acquisition. Throughout the negotiation process and during the period since agreeing to purchase El Mochito, our positive working relationship with Nyrstar as well as our partners and stakeholders in Honduras has allowed us to hit the ground running as we take over the mine. We are already hard at work implementing our plan to improve production and cash flow levels at El Mochito and to deliver value to our investors.”

Of the funds released from escrow, a total of C$585,000 was paid to Dundee Capital Partners, the agent in connection with the Financing, with the balance released to the Company. A US$500,000 portion of such balance was paid to Nyrstar in satisfaction of the closing payment for the Acquisition, with the remainder expected to be deployed by the Company as outlined in its news release of September 22, 2016 and further described in its preliminary short form prospectus dated December 9, 2016 (the “Preliminary Prospectus”) available on SEDAR under the Company’s profile at www.sedar.com. Notwithstanding the release of the escrowed funds, the subscription receipts issued pursuant to the Financing will remain issued and outstanding until the Company obtains a receipt from the applicable securities regulatory authorities for a (final) short form prospectus qualifying the common shares underlying such subscription receipts.

In connection with the completion of the Acquisition, and pursuant to the share purchase agreement (the “SPA”) dated September 22, 2016 among Morumbi, and Nyrstar affiliates Breakwater Resources Ltd. (“Breakwater”) and Nyrstar International B.V. (“Nyrstar International”), the Company also announces that it has entered into offtake agreements (the “Offtake Agreements”) with Nyrstar International and its affiliate Nyrstar Sales & Marketing AG with respect to the purchase by Nyrstar from the Company of all of the zinc, lead and precious metal concentrate from El Mochito. Terms of the Offtake Agreements were outlined in the SPA and finalized prior to the closing of the Acquisition. A description of the Offtake Agreements is contained in the Preliminary Prospectus and copies are available on SEDAR under the Company’s profile at www.sedar.com. Also pursuant to the SPA, the Company concurrently entered into a transition services agreement with Breakwater pursuant to which Breakwater is expected to provide certain transition services and provide ancillary support for up to four months following completion of the Acquisition.

Separately, the Company also announces today that it has filed Articles of Amendment to give effect to its previously announced name change and consolidation. Effective December 21, 2016, the Company will change its name to Ascendant Resources Inc. and consolidate its issued and outstanding share capital on the basis of one post-consolidation common share for every five pre-consolidation common shares, with any fractional common shares created thereby rounded down and no compensation payable in lieu therefor. The TSX Venture Exchange (“TSXV”) has approved the name change and consolidation and, effective at the commencement of trading on December 21, 2016, the Company’s issued and outstanding common shares will trade in the name Ascendant Resources