Exploration

We explore for copper-gold deposits and currently hold 100% of a series of Exploration Licenses covering 4,187 square kilometres in south-east South Australia in the Cambrian-Ordovician Kanmantoo Province. Over 95% Of the Kanmantoo Province is covered by the Tertiary Murray Basin which has limited past exploration.

Our total expenditure in 2024 was A$7.0M with 40 kilometres of drilling completed across the Kanmantoo Operation and Near Mine targets achieving resource expansion. In 2025 our exploration focus will continue on resource growth and identifying new discovery targets.

KANMANTOO MINE LEASE EXPLORATION

We have continued to explore within the Kanmantoo Mine Lease for copper-gold endowment. In 2024, in addition to grade control drilling on the Main Kavanagh mineralised zone, three zones of special interest have been drilled (Spitfire, Southwest Kavanagh and Nugent).

Spitfire

Exploration drilling to explore the down dip of the Spitfire Cu-Au zone intersected by the underground diamond drilling, returned¹:

• 40.0m grading 1.38% copper (uncut) from 74m downhole (23KVUG0238)
• 36.0m grading 1.78% copper 0.15g/t gold (uncut) from 175m downhole (23KVUG0101)

The Spitfire drilling continues to demonstrate that there are wide zones of higher-grade copper-gold breccia. These results have been included in the Mineral Resource Estimate Update released in October 2024².

1. 23 May 2024 – Underground drilling extends Kanmantoo mineralisation
2. 18 October 2024 – Maiden Kanmantoo underground Ore Reserve and 96% increase in Copper Mineral Resource endowment

Cross section showing all UG drill holes through SW Kavanagh and Spitfire with all surface DDH

South-West Kavanagh

Exploration drilling to explore the South West extents of the Kavanagh copper-gold zone intersected by the underground diamond drilling returned³:

• 20.1m grading 1.38% copper (uncut) from 87m downhole (24KVUG0315)
• 16.0m grading 1.05% copper (uncut) from 90m downhole (24KVUG0319)

The South West Kavanagh drilling demonstrated the predictability of the mineralisation down dip and identified areas of previously unidentified higher-grade copper breccias. These results have been included in the Mineral Resource Estimate Update released in October 2024⁴.

3. 23 May 2024 – Underground drilling extends Kanmantoo mineralisation
4. 18 October 2024 – Maiden Kanmantoo underground Ore Reserve and 96% increase in Copper Mineral Resource endowment

Nugent

Resource confirmation (grade control) and expansion drilling commenced during the year to explore the Nugent extents. Significant Nugent drill intersections include⁵:

• 18.55m grading 5.69% copper and 1.02g/t gold (uncut) from 187m downhole in 24KVUG0476
• 16.00m grading 2.96% copper and 0.42g/t gold (uncut) from 197m downhole in 24KVUG0503
• 9.40m grading 1.07% copper and 0.07g/t gold (uncut) from 204m downhole in 24KVUG0451
• 15.00m grading 0.85% copper and 0.36g/t gold (uncut) from 196m downhole in 24KVUG0449

The Nugent drilling has continued to provide information on the continuity of the Nugent mineral system and the geometry of the mineralised pods. These results have not been included in the Mineral Resource Estimate Update released in October 2024⁶ and will be incorporated into updates following further drilling.

5. 21 January 2025 – Hillgrove Resources Limited (ASX: HGO) report for the quarter ended 31 December 2024
6. 18 October 2024 – Maiden Kanmantoo underground Ore Reserve and 96% increase in Copper Mineral Resource endowment

Plan view of Underground Nugent Drilling Completed to the end of Dec 2024

REGIONAL EXPLORATION

Kanmantoo Geophysical Anomaly

During the year, drilling was completed on the geophysical anomaly approximately 400 metres north and 600 metres beneath the northern extents of the Kanmantoo open pit. The mineralisation observed within drilling is consistent with the down plunge extents of North Kavanagh however within the footprint of the interpreted geophysical structure there is an absence of mineralised veining. The alteration observed was consistent with the Magnetotelluric (MT) survey response.

Assay results from drilling of the MT Geophysical anomaly include⁷:

• 2m grading 0.83% copper and 0.06g/t gold downhole from 332m in KTDD246
• 1m grading 1.05% copper and 0.21g/t gold downhole from 343.5m in KTDD246
• 11.7m grading 0.77% copper and 0.08g/t gold downhole from 250.8m in KTDD247
• 2.5m grading 0.84% copper and 0.44g/t gold downhole from 434m in KTDD247

Near Mine Exploration

The Company continues to hold the copper-gold prospects within 10 kilometres of the Kanmantoo processing plant as high value targets for future drilling and evaluation for processing options. These include the previously announced⁸ South Kanmantoo, Stella, Mullewa and North West Kanmantoo geochemical and geophysical targets. These prospects all have similar geochemical and geophysical signatures to the Kanmantoo mineral system.

7. 23 October 2024 – Hillgrove Resources Limited (ASX:HGO) report for the quarter ended 30 September 2024
8. 29 April 2019 – Cu-Au and Cu-Mo zones uncovered by exploration

Longitudinal section viewed to the West of exploration drilling targeting a geophysical anomaly. Inset: collar locations relative to existing drilling information

Southeast Kanmantoo Province

The regional area comprises 4,187 km² of exploration licences within the Kanmantoo Province in the south-east of South Australia.

During the year, 25 percent (1,465km²) of the south-east tenements were relinquished in areas identified as low value targets. The work plan for the coming year will focus on target areas to provide key geological knowledge to assist in identifying high value potential economic areas of interest.

Continued interpretation of new mineral system models operating within the Kanmantoo Province along with a review of existing data has been a focus for our regional exploration activities, following on from work completed by the Geological Survey of South Australia (GSSA) and MINEX-CRC within the Kanmantoo Provence on magmatic related copper-gold endowment.

Hillgrove tenement plan