Ann: Pilgangoora Exploration Drilling Success, page-4

NEW DISCOVERIES, EXTENSIONAL DRILLING SUCCESS PROVIDE STRONG SUPPORT FOR STAGE 2 EXPANSION AT PILGANGOORA LITHIUM-TANTALUM PROJECT Updated Mineral Resource in Q1 2018 to underpin ongoing Definitive Feasibility Study on the Stage 2 expansion of the Pilgangoora Project to 5Mtpa • Strategic development and extensional drilling define new zones of high-grade pegmatite mineralisation at Far East, Monster, West End and Central. • Extensional drilling north of the Central Zone has intersected a thick, high-grade footwall zone which is outside of the current Mineral Resource. Results include from this area include: o 27m @ 1.68% Li2O and 71ppm Ta2O5 from 258m (PLS1050) o 21m @ 1.67% Li2O and 95ppm Ta2O5 from 178m (PLS1049)* o 20 m @ 1.62% Li2O and 123ppm Ta2O5 from 141m (PLS1048)* • Monster continues to deliver impressive results with a new thick, near-surface zone of mineralisation intersected to the north of the current pit design. Results include: o 22m @ 1.15% Li2O and 179ppm Ta2O5 from 10m (PLS1052)* o 14m @ 1.38% Li2O and 161ppm Ta2O5 from 14m (PLS1090)* • Resource in-fill and extensional drilling at the Far East prospect has further defined this new zone, which remains open to the south. Results include: o 11m @ 1.61% Li2O and 62ppm Ta2O5 from 189m (PLS1052) o 8m @ 1.86% Li2O and 73ppm Ta2O5 from 31m (PLS1090) • The results will be incorporated in an updated Mineral Resource estimate in Q1 2018 which will underpin the ongoing Stage 2 expansion Definitive Feasibility Study (DFS). * Refer to September Quarterly Activities Report lodged on 26 October 2017. Australian lithium developer Pilbara Minerals Limited (ASX: PLS) (“Pilbara Minerals” or “the Company”) is pleased to report final results from the recently completed 2017 exploration and resource extension drilling programs at its 100%-owned Pilgangoora Lithium-Tantalum Project in Western Australia. The results continue to demonstrate the world-class endowment of the Pilgangoora deposit and provide strong support for the ongoing Stage 2 Definitive Feasibility Study (“DFS”). New zones of high-grade pegmatite mineralisation have been defined across multiple prospects, with thick zones of high-grade mineralisation also intersected outside of the current Mineral Resource at the Central Zone and Monster deposit. Results from the program will be incorporated into an updated Mineral Resource estimate scheduled for completion in Q1 2018. Additional in-fill RC drilling is scheduled to commence in January 2018. Studies are underway to increase production capacity of the Pilgangoora Project to 5Mtpa, rather than 4Mtpa as originally contemplated, once operations have commenced early next year at the initial targeted production rate of 2Mtpa (approximately 330,000tpa of spodumene concentrate per annum). Pilbara Minerals’ Managing Director and CEO, Ken Brinsden, said the results marked the completion of another highly successful exploration field season at Pilgangoora in 2017. “The resource growth at Pilgangoora in the past three years has been nothing short of remarkable and continues to demonstrate that this is a Tier-1 hard rock lithium-tantalum deposit which is yet to reach its full potential,” he said.
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