Ann: Optimising Cangai Copper Mine, page-2

Following a recent visit to Cangai Copper Mine (one of Australia’s highest grading
historic copper mines) by geologist and director David Drakeley, the Board has
approved plans to update and enhance the confidence in the 2017 inferred JORC
Mineral Resource Estimate (MRE) – 107,589t contained copper metal (3.2Mt @ 3.35%) 1
o Considerable drilling work post-2017, which includes 34 RC and two HQ diamond
core drill-holes for a total of 5,222m 2,3
, will be factored into the updated geological
model – the best intercepts from these campaigns comprised:
11m @ 5.94% Cu; 2.45% Zn & 19.13g/t Ag from 40m including:
3m @ 8.1% Cu; 2.84% Zn & 23.42g/t Ag from 41m
1m @ 10.25% Cu; 1.68% Zn & 32.50g/t Ag from 48m
1m @ 7.53% Cu; 6.04% Zn & 30.60g/t Ag from 50m (CC0023R) 2
5m @ 1.56% Cu, 4.43g/t Ag & 0.4% Zn from 92m including:
3m @ 2.22% Cu, 6.38g/t Ag & 0.60% Zn (CC004RC) 4
4.39m @ 5.06% Cu, 2.56% Zn and 20.1 g/t Ag from 49.9m (CC0036D) 3
o Furthermore, the model will factor in bulk sampling done on several historic
stockpiles (which should support a higher confidence Indicated MRE), drone
topographic survey and re-positioned mine workings that are accurately geo-
referenced
o Pleasingly, Cangai Copper Mine still delivers material exploration potential as six
down-hole electro-magnetic (DHEM) surveys identified two untested off-hole bedrock
conductors interpreted to be open at depth1
o Once the work is complete, which is expected to take 4-8 weeks, the Board will review
the findings and determine the optimal way to further develop Cangai Copper Mine’s
full potential