Peak Minerals : Impressive Ni-Cu values over Green Rocks EM conductors

only	ASX ANNOUNCEMENT	ASX Codes: PUA, PUAOD	2 March 2022
Impressive Nickel-Copper values over Green Rocks EM conductors
	Highlights
		• 57 of 192 rock chips from outcrop returned >1% Cu values at Rixon, Rinaldi, Lady Alma
			and Tal Val, 42 of these samples are from confirmed intrusions
use	•	Rixon confirms nickel-copper gossans and sulphide mineralisation	with rock chips
	outcropping intrusives:
	o 0.81% Ni, 8.14% Cu, 0.07% S
	o 0.65% Ni, 4.73% Cu, 0.01% S
	o 0.51% Ni, 7.93% Cu, 0.36% S
	o 0.39% Ni, 13.45% Cu, 0.35% S
	o 0.34% Ni, 11.55% Cu, 0.42% S

• 17 samples returned >5% Cu including:

1. 8.80% Cu, 8.60% Cu, 8.49% Cu, 8.47% Cu, 8.14% Cu, 7.93% Cu, 7.44% Cu, 6.66% Cu, 6.50% Cu, 6.43% Cu and 5.80% Cu

personal		With 6 samples >10% Cu at Rixon, Rinaldi and Lady Alma:
	o 22.70% Cu, 13.45% Cu, 12.05% Cu, 11.90% Cu, 11.55% Cu and 10.15% Cu
•	Anticipated diamond drilling to test targets in Q2.
	•	Reprocessing of historical VTEM shows multiple conductive bodies within the intrusive
		complex, untested by drilling

• Lithogeochemistry and VTEM data underpin the current geological model and the potential for magmatic sulphides.

Peak Minerals Limited (ASX: PUA) (Peak Minerals or the Company) is pleased to announce results from the rock chip sampling program completed towards the end of 2021 at the Green Rocks Project, 35km south-east of Meekatharra in Western Australia.

ForCEO, Jennifer Neild, commented:

"These results exceed our expectations from the preliminary mapping observations. We are not the first company to confirm copper on the ground, but we are the first to map individual intrusions that host copper. The reprocessed VTEM data shows that copper and nickel on surface are supported by conductive bodies at depth. The evidence is stacking up that the source of this mineralisation is nearby. Ground geophysics is the next step, to get firm targets for our diamond drill program in May. The key to developing this prospect further, is doing what previous explorers didn't do, we aren't chasing remobilised copper. We're mapping where we are in the magmatic system through detailed geochemistry. This, with support from geophysics, will locate the best possible position to drill."

Peak Minerals Limited

Registered Office: Level 1, 513 Hay St, Subiaco Western Australia 6008

Email: [e-mail]

ACN: 072 692 365

www.peakminerals.com.au

personal use only

Figure 1. Malachite and azurite representing copper mineralisation within ultramafic intrusive, not remobilised. Contacts of

mineralised intrusive to host ultramafic intrusive (dunite) are marked with blue dashed lines. This approximate image

location is shown on Figure 3.

For

onlyuse

personalFigure 2. Mid-to-Late time channel VTEM data overlying magnetics, conductor parts of the intrusions have been outlined in white. Nickel values (left) and copper values (right). Section line used for Figure 3, A-A'. Overview of prospects on inset.

Summary

Between August and November, 192 individual areas were sampled and sent for analysis predominantly at Rixon, Rinaldi, The Horn, Lady Alma, Copper Hills and Tal Val.

The purpose of the program was to map out lithology variation on surface to better understand the intrusions and the mineralisation association. From this mapping and prior drilling data, a conceptual model was created which was released to the market on 20 January 20221.

ForUpon receipt of the rock chip assays, the model required minor adjustments. In January, the 2015 VTEM was reprocessed independently as a test for the incoming Heli-EM data. The EM model was nearly coincident with the interpreted model. With the Heli-EM data and upcoming ground geophysics work, there will be full confidence to drill targets in May 2022.

1 Refer ASX release dated 20 January 2022 "HELI_EM Survey Commences at Green Rocks"

The Model

onlyThe current Rixon/Lady Alma model developed by Peak suggests that shortly after deposition of the greenstone belt, a series of nearly contemporaneous pulses of magma shot along faults from a larger magmatic source. The Company believes this to be the primary source of mineralisation.

Lithogeochemistry clearly defines prospective gabbro-peridotite intrusives from the surrounding greenstone belt. Higher (>5% Cu) values showed circular or grouped patterns possibly associated with individual intrusions. This evidence, with reprocessed legacy VTEM data, supports the conceptual model where mineralised intrusives exploit existing structures as apophyses from a

usemagmatic source (see Figures 1 and 3). Additionally, mapping and lithogeochemistry have highlighted the significance of a magnetite-rich zone which often surrounds the prospective intrusions.

personalForigure 3. Geological cross-section created from rock chip logging now adjusted for assay results. Drillholes are shown, though assay results are not yet available. The reprocessed VTEM data shows conductive shapes below the subsurface. Assays >3% Cu and >0.3% Ni are shown only.

Mineralisation

onlyOf the 192 samples collected, 57 returned anomalous mineralisation (greater than 1% Cu) with

the highest grades being: 22.7% Cu, 0.81% Ni, 7.78g/t Au, 26.8g/t Ag and up to 0.42% S.

Of these samples, 42 were part of prospective intrusions rather than remobilised along shears. Primary sulphides from Copper Hills show a 12:1 Cu:Ni ratio2, where a review of historical drilling showed values 0.31m at 13.20% Cu and 1.29% Ni and 0.92m at 6.15% Cu and 0.48% Ni. High grade secondary mineralisation at Rixon suggest similar ratios could be present in drilling. Magmatic systems that are dominated by high copper to nickel ratios are not common, but the

usemost notable is Sakatti in Finland.

Of the anomalous samples collected, 42 are classified to be part of the prospective intrusions. The remaining mineralisation is related to copper remobilising along structures, though intrusives are often bounded by shears (see Figures 1 and 3). A detailed 3D exploration model is currently being created, this will highlight the structural complexity and better exhibit the separate intrusives.

The interpretation is being combined with drill data from Rixon/Lady Alma/Copper Hills and personalreprocessing of historical EM data to further refine targets. Given the success of the 2.5D inversion on the 2015 EM data (shown in Figure 3 and Figure 5), this methodology will be applied to the 2022

Heli-EM data, an upgrade on the legacy dataset. This inversion is also an improvement on the 1D i version done prior and better handles processing and topography effects.

Two diamond drill holes were drilled at Lady Alma in early 2021. The deepest hole CHRC005B- W1 targeted the 1D inversion conductive shapes while confirming and expanding upon historical drill data. While the hole did not hit the conductors, veins of sulphide mineralisation were intersected at depth3 (see Figure 4).

Downhole EM data was acquired down the hole. The reprocessed EM data shows that the hole was targeted away from the larger conductors (Figure 5). Between 250-300 m the ground enetration of the EM signal diminishes, therefore the modelling does not extend below 300 m and remains open. Improvements in depth penetration can be improved upon with ground EM,

which is planned before the diamond drill program. For

1. Refer ASX release dated 8 December 2020 "Commencement of RC Drilling at Copper Hills Targeting Copper-Nickel Sulphide Potential"
2. Refer ASX release dated 6 April 2021 "Copper Mineralisation intersected at Lady Alma"