PACIFIC RESOURCES LIMITED — Capital/Financing Update 2024

Jun 20, 2024

21 June 2024

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ASX ANNOUNCEMENT

Amendment to Announcement 19 June 2024

Drilling Commences at Chenene Lithium Project Tanzania

AustChina Holdings Limited wishes to advise of a correction to the ASX Announcement released on 19 June 2024. The Company would like to correct the Figure 3 where it was indicated that spodumene had been observed. The Company has not yet determined the specific mineral assemblages and quantities and will provide an update in due course The updated announcement is attached.

This announcement has been approved for release by the Chairman of the Board

For further information

Andrew Fogg

Chief Executive Officer T: +61 7 3229 6606 E: info@austchinaholdings.com

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21 June 2024

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ASX ANNOUNCEMENT

Drilling Commences at Chenene Lithium Project, Tanzania – Amended Announcement

HIGHLIGHTS

• Drilling commenced at Chenene Lithium Project, targeting multiple high-priority lithium targets.[1]

• Initial diamond core drilling will consist of 8 holes, with potential expansion if required.

• The initial hole has intersected pegmatite from a depth of 6 metres, close to outcropping pegmatite.

• Drill results are expected once SGS South Africa completes laboratory analysis.

• AustChina entered an Exclusive Binding Heads of Agreement to conduct due diligence to ascertain if they wish to move forward and acquire the 4 licences from Cassius Mining.[2]

• The MSA Group (Pty) Ltd, a leading Johannesburg-based geological company, is providing Competent Person technical oversight for the drilling and sampling program.

Chief Executive Officer, Andrew Fogg, commented: “We are excited to commence the drilling program at the Chenene Lithium Project in Tanzania. We have a great program team in place with highly reputable local geological companies and on ground expertise. The first of four prime exploration targets have commenced drilling, and core samples have evidenced pegmatite intersections six metres from surface. We look forward to providing further updates on our initial drill results in the coming weeks.”

AustChina Holdings Limited ( ASX: AUH ) (“ AUH ”, the “ Company ” or “ AustChina ”) is pleased to announce that drilling has commenced at the Chenene Lithium Project in Tanzania, targeting multiple high-priority lithium targets.

1 ASX Release, “AustChina Mobilises for Maiden Drilling at Chenene Lithium Project”, 3 June 2024.

2 ASX Release, “Option to acquire Chenene Lithium Project”, 7 March 2024.

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The diamond core drilling program will be targeting four prime exploration locations, with potential expansion based on drill results.

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Figure 1: Tenement areas and location of current drilling activity

Drilling of the first of the intended target holes (CDD004) as per Figure 2 below has been completed, with an intersection of pegmatite in evidence from 6 m to 14.45 m (±8.45 m, not true width), close to outcropping pegmatite. Sample coring ceased at 26.3m.

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Figure 2: Drilling has commenced at the first drill target

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Figure 3 showing core obtained from CDD004.

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Figure 3: The Drill Core from 4.4 m to 17 m

The specific mineral assemblages and quantities contained in the pegmatite have not been determined yet. Confirmation of mineral types and quantities in the core samples will not be available until analytical results are available, which are expected by end July 2024 once SGS South Africa has completed laboratory analysis.

Visual estimates of mineral abundance should never be considered as a proxy or substitute for laboratory analyses where concentrations or grades are the factor of principal economic interest. Visual estimates also potentially provide no information regarding impurities or deleterious physical properties relevant to valuations.

As announced on 7 March 2024, the Company entered a Binding Heads of Agreement with Cassius Mining Limited ( ASX: CMD ) ( Cassius ) and its wholly owned subsidiary Cassius Mining (T) Limited ( CMT ) pursuant to which it has been granted an exclusive and binding option to acquire ( Option ) 100% of the issued capital in CMT, the holder of four prospecting licences which comprise the Chenene Lithium Project in Tanzania.[2]

Recognising the importance of local expertise, AustChina has engaged The MSA Group (Pty) Ltd ( MSA ), a Johannesburg-based geological company, to provide technical oversight for the drilling program. The

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Competent Person for MSA is George van der Walt, who has extensive experience with lithium-hosted pegmatites in South Africa, Nigeria, Brazil, DR Congo and Ivory Coast. Additionally, SGS South Africa has been appointed to undertake sample preparation at Mwenda, Tanzania and analysis at their Randfontein laboratory in South Africa.

Geology

The main features are the NW-trending Chenene Hills of sheared granite within rolling plains formed mainly of eroded granitic soils. A belt of metamorphosed amphibolite schists and amphibolite gneiss rocks outcrops along the margins of the sheared granites within the Licences, exposed intermittently above granitic soil plains.

Pegmatites are hosted in these metamorphosed rocks of the Dodoma formation within the ‘HomboloMsangani belt’, a NW-SE trending belt approximately 35 km long and 13 km wide. Folding was later deformed by NW shearing. Pegmatites were emplaced prior to the shearing.

Competent Person

The information in this report that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by George van der Walt, a Competent Person who is a Member of the South African Council for Natural Scientific Professions (SACNASP, member number 400306/07) a ‘Recognised Professional Organisation’ (RPO) included in a list that is posted on the ASX website from time to time.

George van der Walt is employed by The MSA Group (Pty) Ltd and has no direct interest in the business of AustChina Holdings Limited.

George van der Walt 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’. George van der Walt consents to the inclusion in the report of the matters based on his (or her) information in the form and context in which it appears.

This announcement has been approved for release by the Chairman of the Board

For further information

Andrew Fogg	Jane Morgan
Chief Executive Offcer	Investor & Media Relations
T: +61 7 3229 6606	T: +61 405 555 618
E: info@austchinaholdings.com	E: jm@janemorganmanagement.com.au

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APPENDIX 1: JORC Code Table 1 (2012 Edition)

Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code explanation	Commentary
Sampling	• Nature and quality of sampling (eg cut	•Samples are being collected by wireline
techniques	channels, random chips, or specific	diamond core drilling using HQ (63.5 mm) size
	specialised industry standard	core diameter to account for variations in
	measurement tools appropriate to the	mineral grain size.
	minerals under investigation, such as	•The core is being logged according to
	down hole gamma sondes, or handheld	lithological intervals, with samples selected at
	XRF instruments, etc). These examples	nominal 1-metre intervals, adjusted to
	should not be taken as limiting the broad	lithological contacts where necessary (minimum
	meaning of sampling.	30 cm, maximum 2 metres).
	• Include reference to measures taken to	•Samples are to be cut as half-core (except for
	ensure sample representivity and the	quarter core duplicates) with the remaining half
	appropriate calibration of any	to be kept in the core trays for future reference.
	measurement tools or systems used.	•Where appropriate, estimations of the relative
	• Aspects of the determination of	percentage of important minerals will be
	mineralisation that are Material to the	recorded, but these will not be used to estimate
	Public Report.	potential grades – only analytical results will be
	• In cases where ‘industry standard’ work	reported.
	has been done this would be relatively	•Sample preparation will be undertaken by SGS
	simple (eg ‘reverse circulation drilling	Laboratory, a globally accredited laboratory
	was used to obtain 1 m samples from	services group.
	which 3 kg was pulverised to produce a
	30 g charge for 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 (eg
	submarine nodules) may warrant
	disclosure of detailed information.
Drilling	• Drill type (eg core, reverse circulation,	•Drilling is being undertaken by wireline core
techniques	open-hole hammer, rotary air blast,	drilling using a Sandvik DE710 drill rig with HQ
	auger, Bangka, sonic, etc) and details	(63.5 mm) core diameter.
	(eg core diameter, triple or standard tube,
	depth of diamond tails, face-sampling bit
	or other type, whether core is oriented
	_and ifso, by what method, etc). _
Drill sample	• Method of recording and assessing core	•Core depths are marked on the core relative to
recovery	and chip sample recoveries and results	the driller’s run markers and the recoveries are
	assessed.	recorded on a core recovery sheet.
	• Measures taken to maximise sample	•Drilling under normal ground conditions is
	recovery and ensure representative	expected to achieve greater than 95% recovery.
	nature of the samples.	•Non-representative recoveries are noted in the
	• Whether a relationship exists between	sampling sheet.
	sample recovery and grade and whether	•The HQ core size was chosen to achieve more
	sample bias may have occurred due to	representivityfrom the larger mineralgrain sizes

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Criteria	JORC Code explanation	Commentary
	preferential loss/gain of fine/coarse	occurring in pegmatites.
	material.	•No sample analysis results have been received
		yet to assess the relationship between sample
		recovery and grade or the possibility ofbias.
Logging	• Whether core and chip samples have	•All (100%) of the core is logged using
	been geologically and geotechnically	standardised logging codes and descriptions to
	logged to a level of detail to support	account for changes in lithology, alteration and
	appropriate Mineral Resource estimation,	structure.
	mining studies and metallurgical studies.	•The depths are recorded against the depth
	• Whether logging is qualitative or	markers and core losses are noted.
	quantitative in nature. Core (or costean,
	channel, etc) photography.
	• The total length and percentage of the
	_relevant intersections logged. _
Sub-	• If core, whether cut or sawn and whether	•Full core is cut into half core using a diamond
sampling	quarter, half or all core taken.	blade core splitter, except for Field Duplicates,
techniques	• If non-core, whether riffled, tube	which are cut to quarter core.
and sample	sampled, rotary split, etc and whether	•The core splitter is checked to ensure that it is
preparation	sampled wet or dry.	cutting the core halves evenly and adjustments
	• For all sample types, the nature, quality	are made, if necessary.
	and appropriateness of the sample	•The samples are taken at nominal 1-metre
	preparation technique.	intervals and adjusted to lithological contacts
	• Quality control procedures adopted for all	where appropriate, with minimum sample length
	sub-sampling stages to maximise	of 30 cm and maximum sample length of 2 m.
	representivity of samples.	•The sampling of HQ core for pegmatites is
	• Measures taken to ensure that the	considered appropriate for the style on
	sampling is representative of the in situ	mineralisation.
	material collected, including for instance
	results for field duplicate/second-half
	sampling.
	• Whether sample sizes are appropriate to
	the grain size of the material being
	_sampled. _
Quality of	• The nature, quality and appropriateness	•Samples are to be prepared for analysis at SGS
assay data	of the assaying and laboratory	Laboratory in Mwanza, Tanzania and analysed
and	procedures used and whether the	at SGS Laboratory in Johannesburg, South
laboratory	technique is considered partial or total.	Africa.
tests	• For geophysical tools, spectrometers,	•Trace element analysis will be carried out using
	handheld XRF instruments, etc, the	a sodium peroxide fusion / combined ICP-OES
	parameters used in determining the	and ICP-MS package.
	analysis including instrument make and	•Blanks, Standards and Field Duplicates will be
	model, reading times, calibrations factors	inserted at a minimum rate of 5% (1 in 20) per
	applied and their derivation, etc.	sample type.
	• Nature of quality control procedures	•No geophysical or hand-held analytical tools are
	adopted (eg standards, blanks,	being used at this time.
	duplicates, external laboratory checks)
	and whether acceptable levels of
	accuracy (ie lack of bias) and precision
	_have been established. _

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Criteria	JORC Code explanation	Commentary
Verification	• The verification of significant	•Sampling intervals were verified by the
of sampling	intersections by either independent or	Competent Person during a site visit conducted
and	alternative company personnel.	on 19 and 20 June 2024.
assaying	• The use of twinned holes.	•No twin holes have been drilled.
	• Documentation of primary data, data	•All data is being captured into Excel
	entry procedures, data verification, data	spreadsheets using drop-down menus for
	storage (physical and electronic)	entries.
	protocols.	•No assay data have been received yet.
	• _Discuss any adjustment to assay data. _
Location of	• Accuracy and quality of surveys used to	•All positioning is currently being located by
data points	locate drill holes (collar and down-hole	hand-held GPS, which usually has an accuracy
	surveys), trenches, mine workings and	of ±5 m.
	other locations used in Mineral Resource	•Hole collar positions will be fixed by DGPS
	estimation.	survey prior to any modelling exercise.
	• Specification of the grid system used.	•The coordinate system being used is WGS84
	• Quality and adequacy of topographic	UTM 36M.
	control.	•No digital terrain models or other topographic
		controlshave beenacquired yet.
Data spacing	• Data spacing for reporting of Exploration	•Continuous sampling will be conducted over
and	Results.	mineralised intervals.
distribution	• Whether the data spacing and	•The current spacing of drilling is 120 m – 150 m
	distribution is sufficient to establish the	along strike, which would be insufficient to
	degree of geological and grade continuity	demonstrate geological or grade continuity for
	appropriate for the Mineral Resource and	estimation Mineral Resources or Reserves.
	Ore Reserve estimation procedure(s) and	•No sample compositing will be applied.
	classifications applied.
	• Whether sample compositing has been
	_applied. _
Orientation	• Whether the orientation of sampling	•Drilling is being oriented (in dip and azimuth) to
of data in	achieves unbiased sampling of possible	intersect the pegmatites orthogonally, however
relation to	structures and the extent to which this is	there has been insufficient drilling to establish
geological	known, considering the deposit type.	true width corrections (if necessary).
structure	• If the relationship between the drilling	•True width corrections could be applied at a time
	orientation and the orientation of key	when these factors can be established with
	mineralised structures is considered to	confidence.
	have introduced a sampling bias, this
	should be assessed and reported if
	material.
Sample	• The measures taken to ensure sample	•Samples are collected under the supervision of
security	security.	the Project Geologist and aggregated into
		sealed batches.
		•The samples are then dispatched by the Project
		Geologist to the laboratory using the appropriate
		submission forms,whichare signed ondelivery.
Audits or	• The results of any audits or reviews of	•No audits or reviews have been conducted.
reviews	sampling techniques and data.	•The Competent Person conducted a site visit on
		19 and 20 June 2024 to check the logging and
		sampling.

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Section 2 Reporting of Exploration Results

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

Criteria	JORC Code explanation	Commentary
Mineral	• Type, reference name/number, location	•Tenement details and target locations are listed
tenement and	and ownership including agreements or	in Item 1 and Item 2 below this table.
land tenure	material issues with third parties such as
status	joint ventures, partnerships, overriding
	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 inthe area. _
Exploration	• Acknowledgment and appraisal of	•Limited surface sampling and mapping has been
done by other	exploration by other parties.	reported by the current license holder, Cassius
parties		Mining Limited
		(https://www.cassiusmining.com/operations/tanz
		ania/).
Geology	• Deposit type, geological setting and style	•The main features are the NW-trending
	of mineralisation.	Chenene Hills of sheared granite within rolling
		plains formed mainly of eroded granitic soils. A
		belt of metamorphosed amphibolite schists and amphibolite gneiss rocks outcrops along the
		margins of the sheared granites within the
		Licences, exposed intermittently above granitic
		soil plains.
		•Pegmatites are hosted in these metamorphosed
		rocks of the Dodoma formation within the
		‘Hombolo- Msangani belt’, a NW-SE trending
		belt approximately 35 km long and 13 km wide.
		Folding was later deformed by NW shearing.
		Pegmatiteswere emplaced prior tothe shearing.
Drill hole	• A summary of all information material to	•Drilling has commenced only recently and there
Information	the understanding of the exploration	has been insufficient drilling to report any data
	results including a tabulation of the	that is material to the project.
	following information for all Material drill	•A follow-up disclosure will be made once logging
	holes:	and sample analysis has been completed and
	o easting and northing of the drill hole	verified, which is expected to be towards the end
	collar	of July 2024.
	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.
	• If the exclusion of this information is
	justified on the basis that the information
	is not Material and this exclusion does

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Criteria	JORC Code explanation	Commentary
	not detract from the understanding of the
	report, the Competent Person should
	_clearly explain why this is the case. _
Data	• In reporting Exploration Results,	•No data aggregation methods are being applied.
aggregation	weighting averaging techniques,	•No metal equivalents will be reported, all assay
methods	maximum and/or minimum grade	data will be based on original laboratory analysis
	truncations (eg cutting of high grades)	results.
	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. _
Relationship	• These relationships are particularly	•There has been insufficient drilling at this time to
between	important in the reporting of Exploration	establish the geometry of the deposit with any
mineralisation	Results.	confidence.
widths and	• If the geometry of the mineralisation with	•Down hole length and true width are not known
intercept lengths	respect to the drill hole angle is known, its nature should be reported.	at this time.
	• 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’). _
Diagrams	• Appropriate maps and sections (with	•Drilling has recently commenced and there has
	scales) and tabulations of intercepts	been insufficient data collection for reporting of
	should be included for any significant	results.
	discovery being reported These should	•Planned drilling positions are indicated on
	include, but not be limited to a plan view	Figure 1 of this news release.
	of drill hole collar locations and	•A follow-up disclosure will be made once logging
	appropriate sectional views.	and sample analysis has been completed and
		verified, which is expected to be towards the end
		ofJuly2024.
Balanced	• Where comprehensive reporting of all	•No assay results have been received yet.
reporting	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. _
Other	• Other exploration data, if meaningful and	•No other exploration data is applicable at this
substantive	material, should be reported including	time.
exploration	(but not limited to): geological	•Drill planning is being guided by surface
data	observations; geophysical survey results;	sampling and mapping information provided by
	geochemical survey results; bulk	Cassius Mining Limited:
	samples – size and method of treatment;	(https://www.cassiusmining.com/operations/tanz

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Criteria	JORC Code explanation	Commentary
	metallurgical test results; bulk density,	ania/)
	groundwater, geotechnical and rock
	characteristics; potential deleterious or
	_contaminating substances. _
Further work	• The nature and scale of planned further	•Current drilling is focused on testing positions
	work (eg tests for lateral extensions or	along the strike and dip of pegmatite
	depth extensions or large-scale step-out	occurrences identified through surface mapping
	drilling).	and sampling.
	• Diagrams clearly highlighting the areas of	•A decision to undertake further work in this
	possible extensions, including the main	regard will be made on the basis of results
	geological interpretations and future	received from this round of drilling.
	drilling areas, provided this information is
	not commercially sensitive.

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