COBRE LIMITED — Capital/Financing Update 2022

Jul 26, 2022

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Cobre Limited A.C.N. 626 241 067 ( ASX: CBE Level 7/151 Macquarie Street SYDNEY NSW 2000 Tel: + 61 2 9048 8856 www.cobre.com.au

27 July 2022 ASX Limited - Company Announcements Platform

SIGNIFICANT NEW COPPER INTERSECTION AT THE NGAMI COPPER PROJECT

First diamond drill hole intersects broad zone of copper mineralisation

over a 59m interval

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Highlights:

• Significant visual copper mineralisation intersected in first diamond drill hole NCP07 at the Ngami Copper Project ( NCP ) in the Kalahari Copper Belt ( KCB ), Botswana.

• Mineralisation includes chrysocolla along with fine grained disseminated copper sulphides which occur over a broad 59m interval downhole with an increase in abundance in the lower 10m.

• NCP07 was designed 1km away along strike to test the extent of anomalous chalcocite mineralisation intersected in historical hole TRDH14-16a (2m @ 1.8% Cu and 8 g/t Ag), proving that mineralisation increases and thickens out significantly along strike.

• Intersections at NCP07 and TRDH14-16a are considered anomalous for the KCB, typical of intersections on the margins of copper deposits.

• Promising drill results highlight the district scale opportunity which includes 57 priority targets across KML’s extensive license holding on the northern margin of the KCB.

• Second diamond hole currently in progress - positioned a further 1km step out along strike.

Commenting on initial drilling results, Cobre Executive Chairman and Managing Director, Martin Holland, said:

“This new copper discovery represents a transformational moment for Cobre Shareholders. Cobre has never been in a better position from a project ownership, technical and operation perspective and now we have a promising copper intersection, on one of the most prospective Copper belts in the world. This result, 1km away from the previous historic hole, shows the current mineralisation thickens over

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a 1km zone to date. The intersection of significant copper mineralisation in our diamond drilling campaign is testament to the high-calibre technical and operational expertise of our team in Botswana- led by Kalahari Metals Limited (KML’s) newly appointed CEO, Adam Wooldridge. Our African exploration team has done a fantastic job getting the program underway, delivering positive results which have so far exceeded project expectations.

We have prioritised this portion of the belt due to its favourable geological setting. These results, which confirm the presence of significant copper mineralisation, validate the district scale opportunity of Cobre’s, soon to be 100%-owned, extensive license package within the Kalahari Copper Belt. With diamond drilling ongoing in Botswana, we anticipate ongoing exploration updates to follow and look forward to updating our shareholders in due course”.

Cobre Limited (ASX: CBE , Cobre or Company ) is pleased to announce the first intersection of significant copper mineralisation from its ongoing drill programme on KML’s NCP licenses. Based on visual estimates, confirmed with pXRF readings, drill hole NCP07 has intersected a broad zone of copper mineralisation starting from 214m and continuing for approximately 59m downhole to 273m. Mineralisation includes vein and fracture fill chrysocolla as well as fine-grained copper sulphides, which increase in abundance between 250 and 260m downhole.

Drill hole NCP07 targets the southwestern extension of anomalous chalcocite mineralisation intersected in historical drill hole TRDH14-16a (2m @ 1.8% Cu and 8 g/t Ag) and has demonstrated that mineralisation increases and thickens out significantly[1] . The next hole in the programme will step out a further 1km, towards the southwest to test the strike continuity of mineralisation.

This initial drill programme was designed to test the first of 57 ranked targets across KML’s extensive license holding on the relatively unexplored northern margin of the KCB. Proving the occurrence of significant copper mineralisation in this portion of the belt is a major milestone for Kalahari’s programme.

1 For full details of the exploration results reported as well as relevant JORC Table information, refer to the ASX announcement released 6 July 2022 titled “ Advanced Exploration Drilling Commenced in Botswana ”.

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Figure 1 . Examples of chrysocolla fracture fill (A, C and D) and disseminated sulphides in quartz veins (B) from NCP07.

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Figure 2 . Examples of vein-hosted chalcocite mineralisation from historical hole TRDH14-16a (grey metallic mineral) which returned grades of 2m @ 1.8% Cu and 8 g/t Ag.

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NCP07 Results

Drill hole NCP07 is located 1 km southwest of historical drill hole TRDH14-16a, both of which target mineralisation associated with the redox contact between oxidised Ngwako Pan Formation red beds and overlying reduced marine sedimentary rocks of the D’Kar Formation on the northern limb of an anticline structure. Drill hole 14-16a intersected vein hosted chalcocite mineralisation on the contact, returning assay results of 2m @ 1.8% Cu and 8 g/t Ag, which is considered anomalous for the KCB and more typical of intersections on the margins of deposits. Hole NCP07 was designed to test the extent of mineralisation to the southwest of TRDH14-16a and is further supported by an apparent increase in Cu, Pb and Mo anomalies in soil sampling results.

NCP07 was drilled through a section of steeply dipping D’Kar Formation sandstones and siltstones before intersecting the sheared contact with the underlying Ngwako Pan Formation at 260.10m downhole. Visible mineralisation is noted from 214m to 273m with a marked increase in abundance in the 10m above the contact. Mineralisation includes chrysocolla, which typically occurs on fracture planes, along with fine grained disseminated sulphides (possibly chalcocite) which occur along bedding cleavage and related to veins. Visual logs were confirmed with pXRF spot measurements which were taken at regularly spaced 25cm marks through the section of interest ( Refer Figure 3 ). Plan and sections of drill hole NCP07 are illustrated in Figure 4 .

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Figure 3 . Graphical illustration of pXRF spot measurements through the mineralised section of NCP07.

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Figure 4 . Plan view(above) illustrating drill positions on airborne magnetic data. Section (below) through NCP07 illustrating mineralisation (green plot) related to the D’Kar / Ngwako Pan formation contact.

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Table 1 . Drill hole collar information, UTM34S, WGS84

Hole ID	X	Y	RL	Dip	Azimuth	End hole (m)
NCP07	599890	7685403	1080	-60	150	381
14-16a	600764	7685829	1083	-60	150	200.72
NCP08	598995	7684891	1080	-60	150	_300_2

Ngami Copper Project (NCP) and Kitlanya West background

The NCP is located near the northern margin of the KCB ( Refer Figure 5 ) and includes significant strike of sub-cropping Ngwako-Pan / D’Kar Formation contact, on which, the majority of the known deposits in the KCB occur. The project is located immediately east of KML’s Kitlanya West licenses collectively covering a significant portion of prospective KCB stratigraphy. In terms of regional prospectively the greater license package includes:

• Over 500km of prospective sub-cropping Ngwako Pan / D’Kar Formation contact which has been divided into 57 ranked targets;

• Strategic location near the basin margin typically prioritised for sedimentary-hosted copper deposits;

• Outcropping Kgwebe Formation often considered a key vector for deposits in the northeast of the KCB;

• Well defined gravity low anomalies indicative of sub-basin architecture or structural thickening (a number of the deposits in the KCB are hosted on the margins of gravity lows);

• Relatively shallow Kalahari Group cover (between 0m and ~60m thick); and

• Numerous soil sample anomalies identified on regional sample traverses.

KML is targeting analogues to the copper deposits in Khoemacau’s Zone 5 development ( Refer Figure 5 ) in the northeastern portion of the KCB. These include Zone 5 (92.1 Mt @ 2.2% Cu and 22 g/t Ag), Zeta NE (29 Mt @ 2.0% Cu and 40 g/t Ag), Zone 5N (25.6 Mt @ 2.2% Cu and 38 g/t Ag) and Mango NE (21.1 Mt @ 1.8% Cu and 21 g/t Ag)[3] .

This ASX release was authorised on behalf of the Cobre Board by: Martin C Holland, Executive Chairman and Managing Director.

For more information about this announcement, please contact:

Martin C Holland

Executive Chairman and Managing Director

holland@cobre.com.au

2 Planned depth, NC08 is currently in progress.

3 From Mineral resources and ore reserve estimate - Khoemacau copper mining

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COMPETENT PERSONS STATEMENT

The information in this announcement that relates to exploration results is based on information compiled by Mr David Catterall, a Competent Person and a member of a Recognised Professional Organisations (ROPO). David Catterall has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC 2012). David Catterall is a member of the South African Council for Natural Scientific Professions, a recognised professional organisation.

David Catterall consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

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Figure 5 . Locality map illustrating the position of KML’s projects in the Kalahari Copper Belt.

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JORC Table 1 - Section 1 Sampling Techniques and Data for the NCP and KITW Projects

(Criteria in this section apply to all succeeding sections)

JORC Code, 2012 Edition – Table 1 report template Section 1 Sampling Techniques and Data (Criteria in this section apply to all succeeding sections.)	JORC Code, 2012 Edition – Table 1 report template Section 1 Sampling Techniques and Data (Criteria in this section apply to all succeeding sections.)	JORC Code, 2012 Edition – Table 1 report template Section 1 Sampling Techniques and Data (Criteria in this section apply to all succeeding sections.)
Criteria	JORC Code explanation	Commentary
Sampling techniques	• Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc). These examples should not be taken as limiting the broad meaning of _sampling. _	• The information in this release relates to the technical details from the Company’s exploration and drilling program Ngami Copper Projects (NCP) which lie within the Ngamiland District on the Kalahari Copper Belt, Republic of Botswana. • No samples have been dispatched for analysis at this stage. Quoted mineralisation is based on visual logging by geologists on-site with verification done using a handheld pXRF. • pXRF measurements have been taken at 25cm intervals through sections of interest to avoid operator bias. Results are intended to provide indicative numbers only.
	• Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used	• Sampling of drill core is currently ongoing and has not been completed at this stage. No results are quoted. • pXRF measurements are carried out with appropriate blanks and reference material analysed routinely to verify instrument accuracy and repeatability.
	• Aspects of the determination of mineralisation that are Material to the Public Report.
	• In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for

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	fire assay’). In other cases, more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.
Drilling techniques	• Drill type (e.g. core, reverse circulation, open- hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face- sampling bit or other type, whether core is oriented and if so, by what method, _etc). _	• KML’s Diamond drilling is being conducted with Tricone (Kalahari Sands), followed by PQ/HQ/NQ core sizes (standard tube) with HQ and NQ core oriented using AXIS Champ ORI tool.
Drill sample recovery	• Method of recording and assessing core and chip sample recoveries and results assessed.	• Core recovery is measured and recorded for all drilling. Once bedrock was intersected, sample recovery has been very good >98%.
	• Measures taken to maximise sample recovery and ensure representative nature of the samples.	• Sampling of drill core has not been completed
	• Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	• Sampling of drill core has not been completed • pXRF measurements quoted are not considered a replacement for laboratory assay and are provided for indicative purposed only. The nature of the point samples are intrinsically biased.
Logging	• Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation,	• KML Diamond drill core is logged by a team of qualified geologists using predefined lithological, mineralogical, and physical characteristic (colour, weathering etc) logging codes. • The geologists on site followed industry best practice and standard operating procedure for Diamond core drilling processes.

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	mining studies and metallurgical studies.	• Diamond drill core was marked up on site and logged back at camp where it securely stored. • Data is recorded digitally using Ocris geological logging software. • The Q /QC’d compilation of all logging results are stored on the cloud.
	• Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc) photography.	• All logging used standard published logging charts and classification for grain size, abundance, colour and lithologies to maintain a qualitative and semi- quantitative standard based on visual estimation. • Magnetic susceptibility readings are also taken every meter and/or half meter using a ZH Instruments SM-20/SM-30 reader.
	• The total length and percentage of the relevant intersections logged.	• 100% of all recovered intervals were geologically logged.
Sub- sampling techniques and sample preparation	• If core, whether cut or sawn and whether quarter, half or all core taken.	• Selected intervals are currently being cut with a commercial core cutter in half, using a 2mm thick blade, for one half to be sampled for analysis. For selected samples core is quartered and both quarters being sampled as an original and field replicate sample.
	• If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled wet or dry	• N/A
	• For all sample types, the nature, quality and appropriateness of the sample preparation techniques	• Field sample preparation is suitable for the core samples.
	• Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.	• KML’s standard field QAQC procedures for core drilling include the field insertion of blanks, standards and selection of requested laboratory duplicates. These are being inserted at a rate of 4- 5% each to ensure an appropriate rate of QAQC.
	• Measures taken to ensure that the sampling is representative of the in- situ material collected, including for instance resultsforfield	• Sampling is deemed appropriate for the type of survey and equipment used. • Sampling is ongoing and has not been completed.

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	duplicate/second-half _sampling. _
	• Whether sample sizes are appropriate to the grain size of the material being sampled.	• N/A
Quality of assay data and laboratory tests	• The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.	• N/A
	• For geophysical tools, spectrometers, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.	• KML use ZH Instruments SM20 magnetic susceptibility meter for measuring magnetic susceptibilities and readings were randomly repeated to ensure reproducibility and consistency of the data. • A Niton FXL950 pXRF instrument is used with reading times on Soil Mode of 120seconds in total. • For the pXRF analyses, well established in-house SOPs were strictly followed and data Q QC’d before accepted in the database. • A test study of 5 times repeat analyses on selected soil samples is conducted to establish the reliability and repeatability of the pXRF at low Cu-Pb-Zn values. • For the pXRF Results, no user factor was applied, and as per SOP the units calibrated daily with their respective calibration disks. • All QAQC samples were reviewed for consistency and accuracy. Results were deemed repeatable and representative.
	• Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established.	• N/A
Verification of sampling	• The verification of significant intersections by either independent or alternative company	• All drill core intersections were verified by peer review.

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and assaying	personnel.
	• The use of twinned holes.	• No twinned holes were drilled to date.
	• Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.	• All data is electronically stored with peer review of data processing and modelling • Data entry procedures standardized in SOP, data checking and verification routine. • Data storage on partitioned drives and backed up on server and on the cloud.
	• Discuss any adjustment to assay data.	• No adjustments were made to assay data.
Location of data points	• Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.	• KML’s Drill collar coordinates are captured by using handheld Garmin GPS and verified by a second handheld Garmin GPS. • Downhole surveys of drill holes is being undertaken using an AXIS ChampMag tool.
	• Specification of the grid system used.	• The grid system used is WGS84 UTM Zone 34S. All reported coordinates are referenced to this grid.
	• Quality and adequacy of topographic control.	• Topographic control is based on satellite survey data collected at 30m resolution. Quality is considered acceptable.
Data spacing and distribution	• Data spacing for reporting of Exploration Results. • Whether the data spacing, and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.	• Data spacing and distribution of all survey types is deemed appropriate for the type of survey and equipment used. • Drill hole spacing is broad, as might be expected for this early stage of exploration, and not yet at a density sufficient for Mineral Resource Estimation
	• Whether sample compositing has been applied.	• N/A

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Orientation of data in relation to geological structure Sample security Audits or reviews	• Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.	• Drill spacing is currently broad and hole orientation is aimed at intersecting the bedding of the host stratigraphy as perpendicular as practically possible (e.g. within the constraint of the cover thickness). This is considered appropriate for the geological setting and for the known mineralisation styles in the Copperbelt.
	• If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.	• Existence, and orientation, of preferentially mineralised structures is not yet fully understood but current available data indicates mineralisation occurs within steep, sub-vertical structures, sub- parallel to foliation. • No significant sampling bias is therefore expected.
	• The measures taken to ensure sample security.	• Sample bags are logged, tagged, double bagged and sealed in plastic bags, stored at the field office. • Diamond core is stored in a secure facility at the field office and then moved to a secure warehouse. • Sample security includes a chain-of-custody procedure that consists of filling out sample submittal forms that are sent to the laboratory with sample shipments to make certain that all samples are received by the laboratory. Prepared samples were transported to the analytical laboratory in sealed gravel bags that are accompanied by appropriate paperwork, including the original sample preparation request numbers and chain-of-custody forms
	• The results of any audits or reviews of sampling techniques and data.	• KML’s drill hole sampling procedure is done according to industry best practice.

JORC Table 2 - Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code explanation	Commentary
Mineral tenement and land tenure status	• Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding	• Cobre Ltd holds a 75% interest in Kalahari Metals Ltd • Kalahari Metals in turn owns 51% of Triprop Holdings Ltd (with an earn-in in place to acquire the remaining49%)and 100% of

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	royalties, native title interests, historical sites, wilderness or national park and environmental settings. • The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.	Kitlanya (Pty) Ltd both of which are locally registered companies. • Triprop Holdings holds the NCP licenses PL035/2017 (624km2) and PL036/2017 (96km2), which are due their next extension on 30/09/2022 • Kitlanya (Pty) Ltd holds the KITW licenses PL342/2016 (941 km2) and PL343/2016(986 km2), which are due their next renewal on 31 March 2024: • The company has applied for second extensions for the NCP licenses
Exploration done by other parties	• Acknowledgment and appraisal of exploration by other parties.	• Previous exploration on portions of the NCP and KITW projects was conducted by BHP. • BHP collected approximately 125 and 113 soil samples over the KITW and NCP projects respectively in 1998. • BHP collected Geotem airborne electromagnetic data over a small portion of PL036/2012 and PL342/2016, with a significant coverage over PL343/2016.
Geology	• Deposit type, geological setting and style of mineralisation.	• The regional geological setting underlying all the Licences is interpreted as Neoproterozoic meta sediments, deformed during the Pan African Damara Orogen into a series of ENE trending structural domes cut by local structures. • The style of mineralisation expected comprises strata-bound and structurally controlled disseminated and vein hosted Cu/Ag mineralisation.
Drill hole Information	• A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes: o easting and northing of the drill hole collar o elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar o dip and azimuth of the hole o down hole length and interception depth o hole length.	• Information relating to the drilling described in this announcement are listed in Table 1. • Summary table of all core drill holes is presented below:

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	• If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.
Data aggregation methods	• In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (eg cutting of high grades) and cut- off grades are usually Material and should be stated. • Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail. • The assumptions used for any reporting of metal equivalent values should be clearly _stated. _	• Results > 0.5% Cu have been averaged weighted by downhole lengths, and exclusive of internal waste.
Relationship between mineralisation widths and intercept lengths	• These relationships are particularly important in the reporting of Exploration Results. • If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported. • If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (eg ‘down hole length, true _width not known’). _	• Down hole intersection widths are used throughout.

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Diagrams	• Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate _sectional views. _	•Included within the report.
Balanced reporting	• Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration _Results. _	•Results from the previous exploration programmes are summarised in the target priorities which are based on an interpretation of these results. •The accompanying document is considered to be a balanced and representative report.
Other substantive exploration data	• Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating _substances. _	• Nothing relevant at this early stage of reporting
Further work	• The nature and scale of planned further work (eg tests for lateral extensions or depth extensions or large-scale step- out drilling). • Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.	• Based upon the results announced in this release further diamond drilling has been planned. • The additional drill holes are shown on diagrams within the announcement.