RAPTOR METALS LTD — Capital/Financing Update 2024

Oct 22, 2024

ASX:EMS Level 8, 210 George Street Sydney NSW 2000 1300 737 760 info@easternmetals.com.au

23 October 2024

SHALLOW HIGH-GRADE GOLD ZONE INTERSECTED AT KELPIE HILL – COBAR PROJECT, NSW

Reconnaissance drilling hits 7m at 4.3g/t Au in the oxide zone, plus base metal mineralisation in the first three drillholes

HIGHLIGHTS

• Reconnaissance drilling completed at two new targets, Kelpie Hill and Windmill Dam, and at the advanced Evergreen prospect within the 100%-owned Cobar Project in NSW.
• Assay results received for three Reverse Circulation percussion (RC) holes completed at Kelpie Hill, with hole KHRC001 intersecting significant high-grade gold plus base metal mineralisation:
  • ─ 7m @ 4.3g/t Au, 2.7g/t Ag, 0.3% Pb from 50m and 1m @ 4.17g/t Au, 2.7g/t Ag from 82m
• Holes KHRC002 and 003 intersected anomalous base metals, and were extended as diamond tails into the primary sulphide zone, returning intercepts of up to:
  • ─ 3.05m @ 3.9% Zn, 2% Pb, 29.5g/t Ag from 298.5 and 0.5m @ 7.2% Zn, 2.4% Pb from 299m
• Assays pending for two holes completed at Windmill Dam and Evergreen.
• Induced Polarisation (IP) survey due to commence in the coming weeks. Results from the IP survey will help define and prioritise targets for immediate, follow-up drill testing.

Eastern Metals Ltd (ASX: EMS) ("Eastern Metals" or "the Company") is pleased to report encouraging initial assay results from a recent reconnaissance drilling program across newly identified high-priority targets at its 100%-owned Cobar Project in NSW.

The Company has completed drilling at its two new targets, Kelpie Hill and Windmill Dam1 , as well as drilling at the more advanced Evergreen prospect (refer to Figure 1). Assays results have so far been received for three (3) holes at Kelpie Hill, where hole KHCRC001 returned an intercept of 7 metres at an average grade of 4.3g/t Au (incl. 1m at 8.56g/t Au) in the weathered, oxidised zone of the Preston Formation, along with silver and base metals. Refer to Table 1 for a summary of significant intercepts.

Base metal results were also returned from the other two holes, including deeper base metal zones in the primary (sulphide zone) of hole KHRCDD003. Assay results from drilling at Windmill Dam and

1 Eastern Metals Ltd (ASX:EMS) ASX Announcement 3 June 2024, 'New High-Priority Targets Identified at Browns Reef, NSW'.

Evergreen are still pending. In light of these highly encouraging results, the Company is finalising the design of an Induced Polarisation (IP) survey, which is due to commence in the coming weeks. Results from the IP survey will help define and prioritise targets for follow-up drill testing.

Eastern Metals' Chief Executive Officer Ley Kingdom said: "While the high-grade gold zone intersected in the first hole was somewhat of a surprise, given that this was primarily a base metals target, intersecting significant mineralisation is an exciting development for any exploration team. While we are still in the process of evaluating the results and working out the geological context and significance of what we have seen in the first three holes at Kelpie Hill, the key takeaway for investors is that this is a highly complex, mineralised system which offers enormous discovery potential, particularly when considering how little drilling has been done. With results pending from the remaining holes, and an IP survey starting shortly, it's definitely a case of 'watch this space!'".

Figure 1: Location of EL6321 (Browns Reef) and the Kelpie Hill, Windmill Dam & Evergreen prospects.

Kelpie Hill Prospect, Browns Reef (EL6321)

Three Reverse Circulation percussion ("RC") holes were completed at the Kelpie Hill prospect for 560 metres. Two of the holes (KHRC001 and KHRC002) directly targeted a strong lead-arsenic soil geochemical anomaly, while the third (KHRC003) was drilled as a pre-collar for a planned diamond tail (KHRCDD003) to intersect the target zone at greater depth (see Figure 2).

Figure 2: Cross-section of Kelpie Hill drill-holes KHRC001, KHRC002 and KHRCDD003 showing significant intercepts including 7m @ 4.3g/t gold (Au) from 50m downhole.

All three holes intersected anomalous lead-zinc gossanous ironstones, with KHRCDD003 also intersecting primary sulphides below the depth of oxidation. Diamond cored HQ "tails" were drilled to extend holes KHRC002 and KHRC003.

Hole KHRC001, which was extended to a total depth of 243 metres, has returned a high-grade gold intercept of 7m @ 4.3g/t gold (Au) from 50m downhole.

The 50-56 metre interval was logged by the site geologist as "massive red haematitic ironstone, gossanous" in the weathered oxidised zone of the Preston Formation to the west of the interpreted Woorara Fault, a large regional scale structure on the Preston-Clements contact. Refer to Figure 3.

Significant intercepts for KHRC001 include:

• ─ 7m @ 4.3g/t Au, 2.7g/t Ag, 0.3% Pb from 50m, including:
  • ─ 1m @ 8.56g/t Au from 51m
• ─ 1m @ 4.17g/t Au, 2.7g/t Ag from 82m
• ─ 5m @ 3.45g/t Ag, 0.35% Zn from 103m, including:
  • ─ 1m @ 8.3g/t Ag from 106m

Figure 3: Kelpie Hill plan view of drillholes KHRC001, KHRC002 and KHRCDD003 with Pb soil contours, and interpreted faults.

Hole KHRC002 was extended as hole KHRCDD002 with a diamond cored tail from 197 metres to 201.35 metres; however, this hole was abandoned due to drilling complications and did not reach the planned target depth into the Clements Formation on the eastern side of the target zone.

The oxide zone interval 169 to 197 metres is strongly lead anomalous, with the interval 175.5 to 197 metres logged by the site geologist as "strongly silica altered ex-shale and sandstone, often highly ferruginous to gossanous, limonite and haematite stain, pits ex-sulphide, quartz veins".

Significant intercepts for KHRC002 include:

• ─ 26m @ 0.4% Pb from 171m, including:
  • ─ 6m @ 0.3g/t Au, 2.4g/t Ag, 0.3% Pb from 181m

Hole KHRC003 was extended as hole KHRCDD003 with a diamond cored "tail" from 120m to 361.6m, successfully intersecting the target zone from 255.4m downhole.

Significant intercepts for KHRCDD003 include:

• ─ 0.5m @ 1.66g/t Au from 279m
• ─ 3.05m @ 3.9% Zn, 2% Pb, 29.5g/t Ag from 298.5m, including:
  • ─ 0.5m @ 1.5% Zn from 298.5m
  • ─ 0.5m @ 7.2% Zn, 2.4% Pb from 299m
  • ─ 0.5m @ 3.6% Zn from 300.5m
  • ─ 0.55m @ 110g/t Ag, 6.2% Pb, 0.1% Zn from 301m
• ─ 7.85m @ 0.3% Pb and 0.8% Zn from 301.65m, including:
  • ─ 0.35m @ 1.8% Pb and 3.6% Zn from 301.65m
• ─ 2.5m @ 1.7% Zn, 0.3% Pb from 315m, including:
  • ─ 0.5m @ 1.85% Zn from 316m

The main target zone in KHRCDD003 is largely oxidized and strongly iron oxide stained, with gossanous textures present locally from 255.4m downhole (see Figure 4).

However, in the sulphide zone below 299m, visible galena and sphalerite were observed in core (see Figure 5 and refer to Table 1 for assays grades).

Figure 4: Ferruginous-gossanous oxidised Preston Formation sediments, KHRCDD003. Refer to Table 1 for assay grades.

Of the three holes drilled at Kelpie Hill to date, only KHRCDD003 intersected the target unit partially in the sulphide zone below the depth of oxidation at 294m downhole.

The sulphide zone intersection contains intervals of abundant pyrite, with significant galena and sphalerite, typical of Browns Reef mineralisation (see Figure 5).

Oxidation of the target zone at Kelpie Hill extends to approximately 260 metres vertical depth, ~150 metres greater than at Evergreen Prospect located some 800 metres south-east where the depth of oxidation is around 100 metres.

KHRCDD003 also demonstrated that the depth of oxidation is greater over zones originally bearing sulphides than in the adjacent unmineralised sedimentary rocks, where depth to fresh rock is around 100 metres (refer to Figure 2).

Figure 5: Laminated semi-massive to massive galena-pyrite-sphalerite in hole KHRCDD003, Preston Formation. Refer to Table 1 for assay grades.

In this context, it is notable that previous drilling at Evergreen by Kidman Resources ("Kidman", ASX:KDR) demonstrated that the oxide zone intersection in hole BRD006 was highly depleted, particularly for zinc and copper, despite being directly above (~175 metres) the high-grade sulphide zone Kidman encountered in hole BRD013, the Evergreen discovery hole2 (see Figure 6).

Grades of oxide zone zinc-lead-silver intersections in Eastern Metals' holes KHRC001 and KHRC002 are comparable to those seen in Kidman's hole BRD006, located about 700m to the north of Evergreen.

2 Kidman Resources Ltd (ASX:KDR) ASX Announcement 22 October 2014, '14.7% Zn in step out hole at Browns Reef'.

Figure 6: Long-section of Pineview, Evergreen and Kelpie Hill showing BRD006 in the depleted zone above the Evergreen discovery hole, BRD013.

Historical and current data shows that the main mineralised trend has good continuity from south of Browns Reef through Evergreen, Kelpie Hill and historical prospects to the north for ~6km and is open to both the north and south. This trend has been ascribed to the Woorara Fault, a crustal scale structure with several spatially related mineral occurrences including Wirlong and Browns Reef.

However, from Eastern Metals' soil geochemical data3 , it is also apparent that thicker, more developed zones are much more localised, raising the probability that another factor is involved, such as cross fracturing and the potential for fault related dilation zones.

Historical geological mapping combined with recent pXRF soil geochemistry, suggests that the main Pb geochemical anomaly at Kelpie Hill has a sinistral (left lateral) offset, inferred to reflect a probable NNE-SSW trending fault. This suggests that the interpreted dilational broadening of the soil anomaly may be related to similar cross-cutting structures at other prospects such as Windmill Dam.

Next Steps

• Planning is in its final stages to conduct an IP survey, which is due to commence in the coming weeks. Results from the IP survey will help define and prioritise targets for future drill testing.
• Assay results are pending for the holes drilled at Windmill Dam (WDRCDD001) and Evergreen (BRD022).

3 Eastern Metals Ltd (ASX:EMS) ASX Announcement 3 June 2024, 'New High-Priority Targets Identified at Browns Reef, NSW'.

Table 1: Significant intersections for the Kelpie Hill holes reported in this release. Intervals represent downhole widths; true widths are estimated only. Minimum cut-off of 0.2g/t Au or 1g/t Ag or 0.1% Pb+Zn with internal dilution up to 1m.

				Significant intersections
Hole ID	Depthfrom (m)	Depth to(m)	Downholeinterval (m)	Estimatedtrue width(m)*	Au (g/t)	Ag (g/t)	Pb (%)	Zn (%)	Zn+Pb(%)
KHRC001	50	57	7	5.6	4.3	2.7	0.3	-	0.3
incl	50	51	1	0.8	5.28	1.3	0.1	-	0.1
and incl	51	52	1	0.8	8.56	2.8	0.3	-	0.3
and incl	54	55	1	0.8	4.76	4.1	0.4	-	0.4
and incl	55	56	1	0.8	4.67	2.6	0.4	-	0.4
	82	83	1	0.8	4.17	2.7	-	-	-
	103	108	5	4	-	3.45	-	0.35	0.35
incl	106	107	1	0.8	-	8.3	-	0.2	0.2
KHRC002	171	197	26	20.8	-	2.3	0.4	-	0.4
incl	181	187	6	4.8	0.37	2.4	0.3	-	0.3
KHRCDD003	279	279.5	0.5	0.4	1.66	6.5	0.2	-	0.2
incl	298.5	301.55	3.05	2.44	0.2	29.5	2	3.9	5.9
and incl	298.5	299	0.5	0.4	0.8	3.6	0.7	1.5	2.2
and incl	299	299.5	0.5	0.4	0.19	33	2.4	7.2	9.6
	301	301.55	0.55	0.44	0.23	110	6.2	0.1	6.3
incl	301.65	309.5	7.85	6.28	-	2.2	0.3	0.8	1.1
	301.65	302	0.35	0.28	0.2	16	1.8	3.6	5.4
incl	315	317.5	2.5	2	-	-	0.3	1.7	2
	316	316.5	0.5	0.4	-	-	-	1.85	1.85

*Estimated at 80% of apparent thickness.

Table 2: Details for RC and RCDD drillholes reported and mentioned in this release.

Hole ID	Holetype	MGA94East	MGA94North	Dip	Azimuth(true)	RL	Depth	Comments
KHRC001	RC	436048	6315060	-60	45	187	243.00	RC hole abandoned at 243m dueto excessive groundwater
KHRCDD002	RC	436129	6315002	-60	25	187	201.35	RC hole abandoned at 197m dueto excessive groundwater. Didnot reach target depth inClements Formation
KHRCDD003	RCDD	436335	6315135	-60	235	187	361.60	RC pre-collar to 120m and HQdiamond to EOH

Forward-Looking Statements

This document may include forward-looking statements. Forward-looking statements include, but are not limited to, statements concerning the Company's planned activities, including mining and exploration programs, and other statements that are not historical facts. When used in this document, the words such as "could", "plan", "estimate", "expect", "intend", "may", "potential", "should" and similar expressions are forward-looking statements. In addition, summaries of Exploration Results and estimates of Mineral Resources and Ore Reserves could also be forward looking statements.

Although Eastern Metals believes that its expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties, and no assurance can be given that actual results will be consistent with these forward-looking statements.

Previously Reported Information

Certain information in this announcement references previously reported announcements. The announcements are available to view on the Company's website (www.easternmetals.com.au) and on the ASX website (www.asx.com.au). Other than the new information set out in this announcement, the Company confirms that it is not aware of any new information or data that materially affects the information included in the previous announcements and that all material assumptions and technical parameters underpinning the exploration results continue to apply and have not materially changed.

Authorisation for this Announcement

This announcement has been authorised for release by the Company's Disclosure Officers in accordance with its Disclosure and Communications Policy which is available on the Company's website, www.easternmetals.com.au.

Competent Persons Statement

Exploration

The information in this report that relates to Exploration Results (a term used and defined in the 2012 JORC Code) except where otherwise noted, is based on, and fairly represents, information compiled by Mr David Edgecombe. Mr Edgecombe is a Member of Australian Institute of Mining and Metallurgy and the Australian Institute of Geoscientists, a full-time employee of Kelpie Exploration Pty Ltd and shareholder of Eastern Metals; however, Mr Edgecombe believes this shareholding does not create a conflict of interest.

Mr Edgecombe has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration, and to the activity which he is undertaking to qualify as Competent Persons as defined in the 2012 JORC Code. Mr Edgecombe consents to the inclusion in this document of the matters based on his information in the form and context in which it appears.

Contacts

For more information, please contact:

Ley Kingdom

Chief Executive Officer leykingdom@easternmetals.com.au M: 0407 487 409

Nicholas Read

Read Corporate nicholas@readcorporate.com.au P: 08 9388 1474 M: 0419 929 046

APPENDIX A: JORC Code, 2012 Edition – TABLE 1

Section 1 – Sampling Techniques and Data, EL6321 Browns Reef

Reverse circulation percussion drilling and diamond tail drilling.

Criteria	JORC Code explanation	Commentary
Samplingtechniques	Nature and quality of sampling (e.g.cut channels, random chips, orspecific specialised industry standard measurement tools appropriate tothe minerals under investigation, such as down hole gamma sondes, or	RC (reverse circulation) percussion chips provideda representativesample that was logged for lithological, alteration, mineralisation,analytical and other attributes.
	handheld XRF instruments, etc). These examples should not be taken aslimiting the broad meaning of sampling.	Diamond drill core provided a high-quality sample that was logged forlithological, structural, geotechnical, analytical and other attributes.
	Include reference to measures taken to ensure sample representivityandthe appropriate calibration of any measurement tools or systems used.	A cyclone and cone splitter attached to the drill rig was used to collectthe total material returned to the surface into a calico bag and largeplastic bags for each one metre interval drilled. If sample sizeproduced from the cone splitter was insufficient, a PVC spear driveninto each of the 1m large plastic bags to obtain a consistent weight ofapproximately 3.5kg was used. Field duplicate samples were obtainedvia PVC spear method. Sampling of the mineralised core for assayingwas carried out using a diamond saw as per industry best practice.
	Aspects of the determination of mineralisation that are Material to thePublic Report. In cases where 'industry standard' work has been done thiswould be relatively simple (e.g.'reverse circulation drilling was used toobtain 1 m samples from which 3 kg was pulverised to produce a 30 gcharge 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 (e.g.submarine nodules)may warrant disclosure of detailed information.	For RC drilling, 1m samples were submitted to an independentlaboratory. Samples were pulverised and analysed by a low-level multielement ICP and Au by fire assay on a 30g charge with AAS finish. Highgrade above detection limit multi-element samples werere-analysedby ICP following an Aqua Regia leach.
		The Kelpie Hill diamond hole was drilled with standard diamonddrilling techniques. Reverse Circulation Percussion drilling was used topre-collar the hole 120m whereupon coring commenced in triple tubeHQ size core (diameter: 63.5mm) to end of hole (EOH).Eastern Metalsused a reputable drilling contractor; DrillIt from Parkes, NSW.
Drillingtechniques	Drill type (e.g.core, reverse circulation, open-hole hammer, rotary airblast, auger, Bangka, sonic, etc) and details (e.g.core diameter, triple or	Standard reverse circulation percussion drilling was carried out by acontractor using a truck mounted rig with compressor and standbyauxiliary air compressor. Diamond drill core recoveries were recordedduring drilling and reconciled during the core processing and

	standard tube, depth of diamond tails, face-sampling bit or other type,whether core is oriented and if so, by what method, etc).	geological logging. Core was generally competent with some zones ofbroken core. There was no significant drill core lost during drilling.
Drill samplerecovery	Method of recording and assessing core and chip sample recoveries andresults assessed.	Consistent volumes of RC chips were obtained from each of the 1mintervals drilled. 1-2m at the end of each hole began to diminish inquality due to water intersection and the holes were terminated.Diamond drill core was measured and marked after each drill run usingwooden blocks denoting the depth. Rig procedures were adjusted asnecessary including drilling rate, run length, bit and fluid pressure tomaintain sample integrity and to keep the profile of the hole as near aspossible to the planned dip and azimuth.

Criteria	JORC Code explanation	Commentary
Drill samplerecovery(cont.)	Measures taken to maximise sample recovery and ensure representativenature of the samples.	A cyclone and cone splitter attached to the drill rig and a sealed collarpipe ensured that all of the material drilled, apart from fine airbornedust, was collected into the sample bags.
		Triple tube, HQ diameter drilling was used specifically to retain andrecover as much core throughout the diamond drilling.
	Whether a relationship exists between sample recovery and grade andwhether sample bias may have occurred due to preferential loss/gain offine/coarse material.	No relationship between sample recovery and assay values and nosample bias was evident in the results obtained from the drilling.
Logging	Whether core and chip samples have been geologically and geotechnicallylogged to a level of detail to support appropriate Mineral Resourceestimation, mining studies and metallurgical studies.Whether logging is qualitative or quantitative in nature. Core (or costean,channel, etc) photography.	Systematic geological logging has been undertaken. Data collectedincluded:–Nature and extent of lithologies and alteration.–Intervals, amount and mode of occurrence of metallic mineralssuch as pyrite, chalcopyrite, galena and sphalerite.–Geotechnical logging was not possible on percussion chips.–Location, extent and nature of structures such as bedding,cleavage, veins, faults etc for diamond core.–Geotechnical data such as recovery and RQD for diamond core.Representative chips from each 1m interval were sieved, washed andplaced into labelled chip trays Depending on the lithology beinglogged, drill chips were logged as both qualitative (discretional) andquantitative (volume percent sulphide minerals, alteration minerals,quartz veining).
	The total length and percentage of the relevant intersections logged.	All holes were geologically logged from top to bottom (100%).Diamond drill hole intervals with no recovery were noted as such butwere generally minor.
Sub-samplingtechniquesand samplepreparation	If core, whether cut or sawn and whether quarter, half or all core taken	Core was cut using a manual diamond saw. Wherever possible allsamples were collected from the same side of drill core. The fullinterval of half-core sample was submitted for assay analysis. Wherecore was incompetent due to being broken rock, representativesamples werecollected along the axis of the core.

If non-core, whether riffled, tube sampled, rotary split, etc and whethersampled wet or dry.	Assay samples were cone split via the cyclone or,in the case of fieldduplicates, were PVC speared and sampled dry. Rare wet samples weremarked as such at the end of each hole.
For all sample types, the nature, quality and appropriateness of the samplepreparation technique.	The nature, quality and appropriateness of the sample preparationtechnique was in line with bestindustry practice.
Quality control procedures adopted for all sub-sampling stages tomaximise representivity of samples.	No sub-sampling was completed by Eastern Metals. All sub-samplingand composite preparation of the pulverised chips was completed bythe assay laboratory.
Measures taken to ensure that the sampling is representative of the in situmaterial collected, including for instance results for field duplicate/secondhalf sampling.	The retention of the remainder of the 1m bags of RC chips and chiptrays were important controls as they allowedassay values to beviewed against the actual geology; and, where required, furthersamples may be submitted for quality assurance or petrography.OREAS Certified Reference Materials (CRMs) suitable to the deposittype, duplicate samples and blanks were included at regular intervalsin the assay sample runs. No resampling of chips has been carried outon the project by Eastern Metals. The retention of the remaining halfcore was an important control as it allowedassay values to be viewedagainst the actual geology; and, where required, further samples maybe submitted for quality assurance or petrography. No resampling ofhalf core or duplicated samples have been completed at the project byEastern Metals.
Whether sample sizes are appropriate to the grain size of the materialbeing sampled.	Sampling was appropriate to the grainsize of those lithologies. Thesample sizes were appropriate to correctly represent the mineralisationbased on style of mineralisation.

Criteria	JORC Code explanation	Commentary
Quality ofassay dataand	The nature, quality and appropriateness of the assaying and laboratoryprocedures used and whether the technique is considered partial or total.	The sample preparation and assaying methods used were selected byEastern Metals and were appropriate for the style and grade ofmineralisation. The techniques were considered as total.
laboratorytestsetc.	For geophysical tools, spectrometers, handheld XRF instruments, etc, theparameters used in determining the analysis including instrument makeand model, reading times, calibrations factors applied and their derivation,	A Sciapps pXRFmodel X-555 was used on bagged 1m samples. ThepXRF was set on mining mode setting, each reading being for 60seconds. Daily calibrations were undertaken. A small plastic foodgrade, clear bag was used to protect the integrity of the prolenewindow and avoid damage to the tube with dusty or damp samples.
	Nature of quality control procedures adopted (e.g.standards, blanks,duplicates, external laboratory checks) and whether acceptable levels ofaccuracy (i.e.lack of bias) and precision have been established.	Appropriate OREAS CRMs, blanks and duplicate samples were insertedinto the sample stream at regular intervals. Results for these sampleshave shown acceptable levels of accuracy and precision. The laboratoryused, On Site Laboratory Servicesin Bendigo is an ISO9001 certifiedmineral facility and has its own QA/QC procedures in relation totesting of standards, blanks and duplicates. Third-party laboratorychecks will be forwarded to an independent laboratory for checkassaying in due course.
Verificationof samplingand assaying	The verification of significant intersections by either independent oralternative company personnel.	An independent qualified geologist working on contract to EasternMetals verified the geology and visible sulphide mineralisation andalteration intersected in the RC and diamond drilling.
	The use of twinned holes.	No holes have been twinned at this early exploration phase on thisprospect.
	Documentation of primary data, data entry procedures, data verification,data storage (physical and electronic) protocols.	All data and logging were recorded directly into field laptops. Visualand numerical validation was completed by the on-site geologists.
	Discuss any adjustment to assay data.	No adjustment to the assay data was required.
Location ofdata points	Accuracy and quality of surveys used to locate drill holes (collar and downhole surveys), trenches, mine workings and other locations used in MineralResource estimation.	Sample location co-ordinates were acquired by Garmin GPS ModelGPDMAP Horizontal accuracy is +/-1.8m. Completed hole collarpositions will be accurately measured by a registered land surveyorprior to site rehabilitation in due course. Alignment of the drill rig wascarried out, using offset fore and back sight pegs and compass, andconfirmed with the down-hole survey tool. Down-hole surveys for dip

	and azimuth were carried out using an Axis gyroscopic surveyinstrument at down-hole intervals of between 25 and 30m.
Specification of the grid system used	Grid system used for the project is Geodetic Datum of Australia (GDA)94 Zone 55S.

Criteria	JORC Code explanation	Commentary
	Quality and adequacy of topographic control.	Topographic control with hand-held GPS and government 1:50,000scale topographic mapping was adequate for the project. Accuratetopographic height measurements will be obtained from the EMS holecollar positions by the registered land surveyor in due course. Thequality and adequacy of the topographic control were regarded assuitable.
Data spacinganddistribution	Data spacing for reporting of Exploration Results.	Drill holes KHRC001 and KHRC002 were spaced at 50m interval alongthe strike of an identified outcrop of highly silica and hematite alteredPreston Formation sediments, interpreted to be an extension of theBrowns Reef mineralisation. Drillholes were drilled at a NNE directionand oriented in a direction perpendicular to the strike of the outcrop.Hole WDRC001 was designed to test a soil Pb anomaly, south of theknown Evergreen deposit and was drilled from the northeast tosouthwest to avoid damage to cropped land. This anomaly is alsoalong strike of the Browns Reef trend zone. Downhole RC assaysamples were spaced at 1m intervals. KHRCDD003 was designed as ascissor hole to KHRC002 and was drilled in a southwest direction andstepped out 250 metres to attempt to intersect sulphide mineralisationbelow the depth of oxidation.
	Whether the data spacing and distribution is sufficient to establish thedegree of geological and grade continuity appropriate for the MineralResource and Ore Reserve estimation procedure(s) and classificationsapplied.	Not applicable–no Mineral Resource or Ore Reserve estimates arereported herein.
	Whether sample compositing has been applied	Nil –no compositing of samples was applied.
Orientationof data inrelation togeological	Whether the orientation of sampling achieves unbiased sampling ofpossible structures and the extent to which this is known, considering thedeposit type.	The inclined drill holes were designed to intersect the knownlithological and interpreted mineralisation as near as possible to aperpendicular orientation. The orientation of the drill holes achievedunbiased sampling.
structure	If the relationship between the drilling orientation and the orientation ofkey mineralised structures is considered to have introduced a samplingbias, this should be assessed and reported if material.	The drill holes were designed to intercept perpendicular to geologicalunits and mineralisation to best obtain near true widths.

Samplesecurity	The measures taken to ensure sample security.	The samples were taken daily from site to the secure Eastern Metalscore shed,by the two geologists whosupervised the drilling. Theywere subsequently delivered to a registered transport company by theEastern MetalsSenior Exploration Geologist and transported directly toOn Site Laboratory Services in Bendigo. The same transporter regularlytakes samples to this laboratory for other mining companies within thearea.
Audits orreviews	The results of any audits or reviews of sampling techniques and data.	No audits or review were warranted at this stage.

Criteria	JORC Code explanation	Commentary
Mineraltenement andland tenurestatus	Type, reference name/number, location and ownership includingagreements or material issues with third parties such as joint ventures,partnerships, overriding royalties, native title interests, historical sites,wilderness or national park and environmental settings. The security of thetenure held at the time of reporting along with any known impediments toobtaining a licence to operate in the area.	EL6321 Browns Reef is located 5km west of Lake Cargelligo NSW. Thetenement is held by Eastern Metals Limited. Ground activity andsecurity of tenure are governed by the NSW State Government via theMining Act 1992. Land is freehold and access was granted under theterms of a compensation agreement with the landholder.
Explorationdone by otherparties	Acknowledgment and appraisal of exploration by other parties.	The Browns Reef base metal mineralisation was first discovered by thelandowner who recognised outcropping gossanous material. Theprospect was subsequently systematically developed by JenningsIndustries-Electrolytic Zinc Company of Australia (EZ)-Esso JointVenture, and later by Comet Resources. The most recent explorationwas carried out by Kidman Resources which was acquired byWesfarmers in 2019, who sold the project to Eastern Metals in 2021.Eastern Metals had drilled six diamond holes within the northernportion of the Browns Reef zone prior to the current program.
Geology	Deposit type, geological setting and style of mineralisation.	Structurally controlled, polymetallic volcanogenic massive andsedimentary exhalative ("SEDEX") disseminated Cu, Pb, Zn, Ag, Audeposit extending along the inferred Woorara Fault, and the PrestonFormation and Clements Formation geological unconformity.
Drill holeInformation	A summary of all information material to the understanding of theexploration results including a tabulation of the following information forall Material drill holes:* easting and northing of the drill hole collar* elevation or RL (Reduced Level – elevation above sea level in metres)of the drill hole collar* dip and azimuth of the hole* down hole length and interception depth*hole length.	See Table 2in the body of the report.
	If the exclusion of this information is justified on the basis that theinformation is not Material and this exclusion does not detract from the	Not applicable –see above.

Section 2 – Reporting of Exploration Results, EL6321 Browns Reef

understanding of the report, the Competent Person should clearly explain why this is the case.

Criteria	JORC Code explanation	Commentary
Dataaggregationmethods	In reporting Exploration Results, weighting averaging techniques,maximum and/or minimum grade truncations (e.g.cutting of high grades)and cut-off grades are usually Material and should be stated.	Length weighting of individual samples was used to obtain the meangrades contained in this report.
	Where aggregate intercepts incorporate short lengths of high-graderesults and longer lengths of low-grade results, the procedure used forsuch aggregation should be stated and some typical examples of suchaggregations should be shown in detail.	The aggregation method used in reporting mean grades for interceptsfrom this drilling was simple length weighting.
	The assumptions used for any reporting of metal equivalent values shouldbe clearly stated.	Not applicable –no metal equivalents reported.
Relationshipbetweenmineralisationwidths andinterceptlengths	These relationships are particularly important in the reporting ofExploration Results.	Drill hole azimuths were set at 045 and 025 (KHRC001 & KHRC002)degrees MGA 94 Z55 grid to drill perpendicular to the strike of themapped silica and hematite altered Preston Formation outcrop andsoil pXRF Pb anomaly. KHRCDD003 azimuth was 235 to KHRC002 asthis hole had to be abandoned due to failure of a drill bit andsubsequent failure to drill through metal contained within the hole.Previous assessment of historic drillholes within the area suggestedthat the lode is sub-vertical (-85 to -90°) inclined steeply to the west tosouthwest. The holes were designed to intersect perpendicular to theinterpreted mineralised zone to best gain near true widths.
	If the geometry of the mineralisation with respect to the drill hole angle isknown, its nature should be reported.	Results of the drilling have confirmed that the mineralised zone dips tothe southwest at an inclination of -85 to -90 degrees.
	If it is not known and only the down hole lengths are reported, thereshould be a clear statement to this effect (e.g.'down hole length, truewidth not known').	True widths of the mineralisation can be estimated from the drill holesurvey data and the interpreted dip and strike of the mineral zone.
Diagrams	Appropriate maps and sections (with scales) and tabulations of interceptsshould be included for any significant discovery being reported Theseshould include, but not be limited to a plan view of drill hole collarlocations and appropriate sectional views.	Please refer totheFigures in the body of report.

Othersubstantiveexplorationdata	Other exploration data, if meaningful and material, should be reportedincluding (but not limited to): geological observations; geophysical surveyresults; geochemical survey results; bulk samples –size and method oftreatment; metallurgical test results;bulk density, groundwater,geotechnical and rock characteristics; potential deleterious orcontaminating substances.	Previous exploration activities are discussed in the body of the report.The main body of the announcement and entries in this 2012 JORCTable 1 above include references to previously reported information.No bulk samples have been collected nor has any new metallurgicaltesting been carried out.
Further work	The nature and scale of planned further work (e.g.tests for lateralextensions or depth extensions or large-scale step-out drilling).	An IP survey and further follow up drilling is planned.
	Diagrams clearly highlighting the areas of possible extensions, includingthe main geological interpretations and future drilling areas, provided thisinformation is not commercially sensitive.	Location of theknown prospects are highlighted within maps in thebody of the report.