Golden State Mining Limited provided the final results of its reverse circulation (`RC') drilling over the Nomad prospect at the Yule South project in the Pilbara region of Western Australia. GSM recently completed and announced preliminary results for one of three conceptual target areas drilled during its lithium-gold focused RC drilling program at the Nomad prospect at its Yule South project. Two additional RC holes were also drilled to follow up previous gold intercepts and downhole geochemical trends.

This first pass RC drilling program consisted of 10 holes for a total advance of 1,478 metres. The program has delivered robust lithium ("Li"), caesium ("Cs"), and rubidium ("Rb") anomalies with high levels of associated arsenic. The arsenic assay values show a distinct spatial association with anomalous caesium values in drill samples from the northern part of the arsenic anomaly.

The occurrence of arsenic as an accessory mineral has been documented at major lithium pegmatite deposits, that is, the giant Greenbushes pegmatite and at the Goulamina deposit, Mali. At Greenbushes, arsenic also forms a ~4 x 1 km scale anomaly in lateritic duricrust as an anomaly in overlying regolith. At Nomad, bedrock caesium values accompanying arsenic show a strong SW-NE trend with a strong spatial association with the interpreted mafic basement units.

This is interpreted as a lithological control on caesium distribution rather than just structure alone. The bedrock and structural interpretation has indicated the presence of preferred mafic host lithologies and a major antiform which is crosscut by faulting and a refolded hinge zone. Based on the evidence above, GSM believes the Nomad prospect now has increased prospectivity as a bona fide LCT pegmatite target.

The significant assay results for the program are detailed below. Drillholes were routinely assayed for gold over various composite intervals over the entirety of the hole. Selected intervals and the end of hole were submitted for multi-element and rare earth analysis.

Samples intervals above and below significant intersections will now be re-assayed for a multi-element suite. Hole 22GSYSRC0024 was designed as a follow up hole to test anomalous gold intersected in the first phase of air-core drilling. The hole successfully intersected a similar interval of anomalous gold with 4 metres at 98ppb Au from 165 metres in an interpreted mafic porphyritic unit.

This hole also intersected significant intervals of highly anomalous caesium, lithium and arsenic. The best interval was 6 metres at 440ppm Cs & 88ppm Li along with 5290ppm As from 103 metres in a structure consisting of ferruginous saprock interpreted to represent oxidised micaceous fault gouge. These levels of caesium are considered highly anomalous and encouraging.

Caesium is less mobile than other rare alkali elements in dispersion haloes and therefore is considered to be a proximal vector to a potential LCT pegmatite source. Caesium is a very rare element in the crust (single ppm levels). It is normally only concentrated to elevated levels in LCT granitic pegmatites.

The highly caesium enriched interval from 22GSYSRC0024 will be further investigated mineralogically, to identify the caesium and arsenic mineral hosts. The identification of caesium-bearing primary mica minerals would give further indication to the presence of an LCT pegmatite body. Hole GSYSRC0028 was designed to test an interpreted geochemical trend identified from previous air-core drilling with anomalous caesium intersections.

This hole intersected 8 metres at 95ppm Cs from 120 metres and 2 metres at 148ppm Cs from 160 metres at the end of hole, both intersections were associated with elevated lithium and high arsenic. Three 240 metre spaced holes were drilled in this target area for a total advance of 480 metres. Field logging recorded mainly granitic lithologies with some minor mafic xenolithic units.

These results are not considered significant at this stage. Three holes were drilled at this target area for a total advance of 510 metres. Hole 22GSYSRC0025 recorded an encouraging 13-metre interval of anomalous lithium and arsenic hosted in a sheared mafic unit between 93-106 metres.

This hole also ended in anomalous lithium with 4 metres at 137ppm Li from 158 metres in a mafic unit. Hole 22GSYSRC0026 recorded 4 metres at 154ppm Li, 95ppm Cs & 1180ppm As from 155 metres in a mafic unit and 3 metres at 102ppm Cs and elevated Li and As at the end of hole in an interpreted dolerite. Hole 22GSYSRC0027 recorded 4 metres at 61ppm Cs from 87 metres in an intermediate host and 4 metres at 170ppm Li and 79ppm Cs from 143 metres in a mafic volcaniclastic.

Previously announced results for this target area recorded 3 metres at 128ppm Li from 91m at the end of abandoned hole 22GSYSRC0020. Further anomalous intervals include 8 metres at 150ppm Li & 51ppm Cs from 59 metres and 8 metres at 137ppm Li from 75 metres. Hole 22GSYSRC0019 recorded an elevated interval of 12 metres at 90ppm Li from 33 metres.

Due to both holes being abandoned before target depth and the anomalous and elevated lithium and Cs results, this target is considered untested and will be re-drilled during the next follow up RC program. This lower priority target will be tested at a later date during the next follow up RC program. The principal objective of this drill program was to probe conceptual LCT pegmatite target areas in relation to primary geochemical dispersion haloes identified in air-core bedrock anomalies.

An updated bedrock and structural interpretation in association with additional geochemical analysis has now identified three advanced target areas. These new targets are based on common areas of overlap in lithium pathfinder element anomalism in combination with favorable structural positions and preferred host lithologies. Target M1: The priority target is based upon the presence of the caesium values in 22GSYSRC0024, as well as its favorable structural position in the core of an interpreted major antiform.

Additionally, significant faulting is also associated with this area, making it a 'damaged zone' that can preferentially accommodate later intrusions and serve to focus potentially mineralizing crustal fluids. Target M2: This target is based on the overlapping Li-Cs-As anomalism on the western side of the major antiform, close to an interpreted refold hinge zone. It also coincides with a major fault crosscutting the major antiform.

Target M3: This target is based on anomalous Li-Rb-Cs intercepts within associated mafic schists across a major curvilinear shear zone to the south and west of the major antiform. This type of geological setting is also considered a conceptual gold target. Further priority RC and AC programs are now in planning for Nomad to progress this exciting new prospect.

Program of work submissions are in place and awaiting statutory approvals.