Zeus Resources : Rock Chip Sample Assay Result of Mortimer Hills Project

For personal use only

07 March 2022

Rock Chip Sample Assay Result of Mortimer Hills Project

Zeus Resources Ltd (ACN 139 183 190) (ASX: ZEU) ("Zeus" or "the Company") is pleased to announce the Company has received assay results from rock chip sampling conducted at its Mortimer Hills Project (E09/2147) in December 2021.

Highlights

• Assay results were received for total of 15 surface rock chip samples collected whilst conducting detailed mapping of the Reid Well Base Metal Prospect prior to drilling. Maximum assay results were returned from ZEU044 (2.19% Cu) and ZEU046 (1.70 % Cu and 1.51% Pb).
• Assay results have also been returned for a total of 30 rock chip samples collected from prospective granites and pegmatites throughout the tenement. These include rock chip samples at Zeus' new pegmatite discovery at 'Pegmatite Creek' (
• Figure 2). Whilst lithium grades are low, this is to be expected due to the proximity to the parent granite, broad geochemical fractionation trends are evident within the pegmatite/granite.
• Future mapping will attempt to better define these trends and locate exposed outcrops within the prospective Lithium target zone, interpreted to lie 500 - 3,000m out from the outcropping granite.

Figure 1. Regional Geology showing the Ti-Tree Syncline and E09/2147 in relation to the Bangemall Basin to the North.

www.zeusresources.com

Suite 105, 25-29 Berry Street North Sydney NSW 2060 Australia

Tel: [phone]

ACN: 139 183 190

For personal use only

Figure 2. Gascoyne Project- Mortimer Hills E09/2147 Prospect Locations.

Mortimer Hills Project (E09/2147)

Field work conducted during Q4 2021 comprised detailed geological mapping, surface rock chip sampling across the tenement and drilling of 22 RC drillholes at the Reid Well Base Metal Prospect (Figure 3).

Figure 3. Drilling operations at the Reid Well Base Metals Prospect.

1. Reid Well Base Metal Prospect

Barite-copper-galena mineralisation at Reid Well was first recognised by AGIP Nucleare Australia Pty Ltd ("AGIP") during the 1974 to 1977 period. AGIP conducted rock chip sampling, limited trenching, and shallow percussion drilling. Zeus relocated the historical occurrence in 2015 and has subsequently

www.zeusresources.com

For personal use only

conducted follow up mapping and sampling with assay results up to 13% Cu, 2.95% Pb & 128ppm Ag (See Zeus ASX Announcement dated 20 June 2015).

Reconnaissance mapping located an elongate exhalative lens some 2-3m thick (Error! Reference source not found.) within a quartz-biotite-chlorite-sericite schist +/- garnet, tourmaline, and magnetite zone within the Morrissey Metamorphic Suite. Disseminated copper mineralisation, in the form of malachite, azurite and chalcocite (Figure 5) was initially traced for ~100m along strike length before disappearing under surficial cover.

Prior to drilling, detailed mapping conducted defined a further four variably mineralised exhalative barite lenses, extending the known strike length to over 300m and indicating that the Reid Well Base Metal Prospect is highly sheared with more competent barite lenses forming elongate lobes, stringers, and pods.

Logging of RC drill chips showed that the mineralised lenses mapped at surface continue in the subsurface and dip ~ 45 degrees to the south. Minor to moderate indications of Cu mineralisation were consistently observed in RC drill chips within the barite zones with assay results from drilling (reported previously) returning generally low- to moderate- grades, albeit with localised higher-grade zones associated with observed malachite and galena.

Assay results received from surface rock chip samples collected whilst undertaking detailed mapping show comparable results and are detailed in Table 1.

Sample #	GDA94_E	GDA94_N	Description	Cu	Pb	Zn	Ag	Ba
				(%)	(%)	(ppm)	(ppm)	(ppm)
ZEU039	432,531	7,286,659	Subcropping barite lens.	0.07	0.01	71	<0.5	3,010
ZEU040	432,531	7,286,656	Subcropping barite lens.	0.02	0.02	5	<0.5	1,870
ZEU041	432,541	7,286,651	Subcropping barite lens.	0.03	0.03	8	<0.5	2,130
ZEU042	432,550	7,286,628	Bt-Chl Schist	0.004	0.004	144	<0.5	3,120
ZEU043	432,573	7,286,609	Subcropping barite lens.	0.30	0.02	3	1.3	3,160
ZEU044	432,576	7,286,603	Subcropping Cu-barite lens	2.19	0.20	2	25.6	2,290
ZEU045	432,588	7,286,590	Subcropping barite lens	0.60	0.003	3	0.7	>10,000
ZEU046	432,590	7,286,575	Subcropping Cu-Pb barite	1.70	1.51	4	13.9	4,710
			lens
ZEU047	432,578	7,286,575	Subcropping barite lens	0.09	0.30	11	0.9	2,760
ZEU048	432,578	7,286,577	Subcropping barite lens	0.09	0.66	12	0.6	2,660
ZEU049	432,554	7,286,585	Subcropping Cu-barite	0.04	0.11	7	<0.5	2,310
			stringer
ZEU050	432,501	7,286,615	Barite Schist & Fe QV	0.12	0.31	<2	3.4	2,380
ZEU051	432,474	7,286,632	Subcropping barite stringer	0.12	0.11	3	2.3	2,080
ZEU052	432,466	7,286,638	Barite Schist	0.07	0.58	<2	7.5	2,290
ZEU053	432,474	7,286,661	Fe Gossan Pod	0.02	0.02	51	1	7,560

Table 1. Reid Well Base-Metals Prospect Assay Results 2022.

www.zeusresources.com

For personal use only

Figure 4. VMS base-metal target; subcropping exhalative malachite, chalcocite, and galena-bearing barite lens.

(Sample# ZEU044; 2.19% Cu, 0.2% Pb).

Figure 5. Detail of mineralised subcrop. (Sample# ZEU046 = 1.70% Cu, 01.51% Pb).

2. Thirty-Three Supersuite Lithium-Caesium-Tantalum (LCT) Pegmatite Prospectivity

Previous work by Arrow immediately to the east of Zeus' E09/2147 tenement has identified the Thirty- Three Supersuite (TTSS) as a fertile granite with the potential to generate LCT Pegmatite swarms.

Geochemical sampling by Arrow observed distinct Niobium/Tantalum fractionation trends extending outwards from the parent granite intrusion. Rock chip sampling returned results up to 3.77% Li2O and subsequent exploration drilling at the Malinda Lithium Prospect (~2-3 kms west of Zeus' tenement

www.zeusresources.com

For personal use only

boundary) intersected up to 2.0% Li2O and >800ppm Ta2O5 with high-grade mineralisation confirmed as Li-bearing spodumene. Lepidolite was also identified within two proximal drill holes at the T-Bone prospect (See Segue Resources ASX Announcement, 9 October 2017). Prospective pegmatites were reported to lie 500 - 3,000m outwards of the parent granite.

The Thirty-Three Supersuite extends ESE along strike along the southern margin of Zeus' tenement. Zeus considers the tenement has substantial potential to host related LCT Pegmatite mineralisation. Extensive tourmaline alteration of the country rock also suggests the granitoids of the Thirty-Three Supersuite are highly fractionated and have the potential to generate LCT Pegmatites.

Subcropping deformed pegmatites, similar in character to those encountered further west at Arrow's Malinda Lithium Prospect, have been previously identified on Zeus' E09/2147 tenement (See Zeus ASX

Announcement, 1 October 2021).

Continued mapping and prospecting was undertaken along the prospective zone extending outwards from the intrusive contact of the Thirty-Three Supersuite with the host country rock.

TTSS Granite

Figure 6. Extensive quartz sheetwash blanket covering the metamorphosed contact between the vegetated Thirty-Three Supersuite granitoids (RHS) and metasedimentary country rock. Arrow pointing to the location of the Pegmatite Creek prospect (see Figure 6).

On Zeus' E09/2147 tenement, the prospective zone extending outwards from the margins of the prospective granites into the host metasediments is largely obscured by an extensive blanket of quartz sheetwash (Figure 6) derived from weathering of the granitoid. Further reconnaissance mapping by Zeus has identified a zone of extensive outcropping pegmatites along a creekline (now referred to as 'Pegmatite Creek') where the sheetwash blanket has been removed by erosion (Error! Reference source not found.).

Importantly, the contact between the granites and the host rock is exposed in the creek and together with evidence of contact metamorphism of the host metasediments, confirms their intrusive nature (Figure 7).

www.zeusresources.com