High-grade assay results at Harts Range Project

6 November 2024

CASTILLO COPPER LIMITED

("Castillo", "CCZ" or the "Company")

high-grade assays up to 29.80% Nb₂O₅ & 14.04% u₃O₈ validate harts range project potential

Castillo Copper Limited (LSE and ASX: CCZ), a base metal explorer primarily focused on copper across Australia and Zambia, is delighted to confirm that assayed rock chip samples (Figure 1) - collected from the Cusp and Bobs Prospects during the geology team's three-day due diligence site visit in October 2024 - improved on historical results^1,2 (refer Appendix A).

Holistically, the high-grade readings - up to 29.80% Nb₂O₅, 14.04% U₃O₈, 1.63% Dy₂O₃, 0.22% Tb₄O₇ and 23.02% Ta₂O₅ - validate the Harts Range Project's significant exploration potential for Niobium, Uranium and HREE mineralisation.

HIGHLIGHTS:

·    Assays from rock chips samples - collected from outcropping pegmatites during the geology team's recent due diligence visit to the Harts Range Project - improved on historical results^1,2 returning excellent high-grade readings up to 29.80% Nb₂O₅, 14.04% U₃O₈, 1.63% Dy₂O₃, 0.22% Tb₄O₇ and 23.02% Ta₂O₅ (Figure 1)

o  These results clearly validate the significant exploration potential apparent for Niobium, Uranium and HREE mineralisation at the Cusp and Bobs Prospects

Source: Intertek (Perth)³ (Refer to Appendix B)

·    To expedite advancing its comprehensive and systematic exploratory programme, the geology team will shortly return to site to undertake a reconnaissance campaign to investigate incremental historic prospects, new / legacy pegmatite occurrences

·    Further, to facilitate fast-tracking regional exploration efforts, requests for quotes (RFQs) have been sent to several service providers to undertake heliborne radiometric and magnetic surveys that are critical to identify targets for subsequent follow up 

·    CCZ is well funded as the Board's ongoing non-core asset rationalisation exercise has generated significant incremental value to date that is being rechannelled into accelerating exploration efforts at the Harts Range Project 

Ged Hall, Chairman, commented: "Validating the historical assays results is a tremendous outcome and clearly underpins the Harts Range Project's significant exploration potential for Niobium, Uranium and HREE mineralisation. As a result, the Board is accelerating exploratory efforts, with the geology team set to return to site shortly to undertake further field work, while systematically selecting a contractor to undertake heliborne geophysical surveys. With a significant pipeline for forward exploratory work, the Board will apprise the market of developments as they materialise."

ASSAYS VALIDATE HARTS RANGE PROJECT

Field trip observations

During the three-day due diligence site visit, the geology team undertook the following tasks at the Cusp and Bobs Prospects:

·    Verified historical rock chip locations;

·    Took field readings for radiation and mineralisation with RadEye and pXRF devices respectively; and

·    Collected fresh rock chip samples - HRS001-4 (refer Figure 2, 3 & 4) - which were sent to Intertek (Perth) to be assayed utilising the sodium peroxide fusion method.

FIGURE 2: ROCK CHIPS @ CUSP PROSPECT

Location: Cusp Prospect 507859E 7447753N (Sample: HRS003)

Source: CCZ geology team & Barfuss Corporation

FIGURE 2: ROCK CHIP SAMPLE LOCATIONS AT CUSP PROSPECT

Source: CCZ geology team & Barfuss Corporation

FIGURE 3: ROCK CHIP SAMPLE LOCATIONS AT BOBS PROSPECT

Source: CCZ geology team & Barfuss Corporation

Expediting Exploration Programme and Next Steps

With the assays validating the Harts Range Project's (Figure 4) significant exploration potential, the geology team has received the green light from the Board to accelerate advancing its comprehensive and systematic exploration programme on two fronts:

·    The geology team will shortly return to site to undertake further field work and reconnaissance programmes to investigate additional historic prospects plus new / legacy pegmatite occurrences; and,

·    RFQs have been sent to several service providers to undertake heliborne radiometric and magnetic surveys that are critical to identifying targets for subsequent follow up.  

A key positive for the Harts Range Project is its proximity to Alice Springs and accessibility via sealed roads / well-kept pastoral tracks. This will enable the geology team to make multiple trips to site over the next 12-18 months to facilitate rapidly progressing development work. 

FIGURE 4: HARTS RANGE PROJECT

Source: CCZ geology team

Castillo Copper Limited confirms that it is not aware of any new information or data that materially affects the information included in this market announcement and that all material assumptions and technical parameters underpinning all results and estimates in this market announcement continue to apply and have not materially changed.

For further information, please contact:  

REFERENCES

1)     CCZ ASX Release - 21 & 28 October 2024

2)     Barfuss, R. (Barfuss Corporation Pty Ltd) 19 November 2007: "A Brief report on Samarskite Mineralisation in the Harts Range Project" (unpublished report) and Barfuss, R. (Barfuss Corporation) 2014: The Harts Range Project Exploration Licence (EL 24552) - inclusive of the following references:

a.     Caughey, A.R. (Flagstaff Geo Consultants Pty Ltd.), November 2007: Annual Report for Exploration Licence EL24552 for the period ending 25^th August 2007 (for Barfuss Corporation Pty. Ltd.)

b.     Caughey, R. (Flagstaff Geo Consultants Pty Ltd.) 2002 to 2006: various unpublished reports for Barfuss Corporation Pty. Ltd.

c.     PNC Exploration (Australia): various open-file tenement annual, final and partial relinquishment reports,1994 to 1997; Report Numbers CR1994-0325, CR995-0298, CR1995-0525, CR1995-0697, CR-1996-0285, CR1996-0286, CR-1997-0611. *

d.     Rutter, H. (Flagstaff Geo Consultants Pty Ltd.) 2006. 'An analysis of airborne radiometric data from the Harts Range, N.T.' (unpublished report)

e.     Shaw, R.D., Senior, B.R., Offe, L.A., Stirzaker, J.F., Walton, D.G., Apps, H.E., Freeman, M.J.1:250,000 Geological Map Series Explanatory Notes Illogwa Creek SF53-15. Bureau of Mineral Resources Australia & Northern Territory Geological Survey,1985.

Note: * Open file company reports sourced from the Northern Territory Mineral Industry Reports Management System (IRMS). Available at: https://geoscience.nt.gov.au/gemis/ntgsjspui/handle/1/3

3)     Riley, A. (31 October 2024) - Minerals Test Report (Unpublished for CCZ). Produced by:  https://www.intertek.com/

COMPETENT PERSONS STATEMENT

I, Mark Biggs, confirm that I am the Competent Person for the Competent Person Report from which the information to be publicly released has been obtained and confirm that:

·              I have read and understood the requirements of the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code, 2012 Edition) and the relevant sections of Chapter 5 and Guidance Note 31 from the ASX Listing Rules.

·              I am a Competent Person as defined by the JORC Code 2012 edition, having 35 years of experience that is relevant to the REE and industrial mineral copper mineralisation types, quality and potential mining method(s) of the deposit(s) described in the Report.  In addition, I have 25 years of experience in the estimation, assessment and evaluation of Exploration Results and Mineral Resource Estimates, the activity for which I am accepting responsibility.

·              I successfully completed an AusIMM Online Course Certificate in 2012 JORC Code Reporting.

·              I am a Member of The Australasian Institute of Mining and Metallurgy (Member # 107188).

·              I have reviewed the Report or Excerpt from the Report to which this Consent Statement applies.

·              I am a consultant working for ROM Resources and have been engaged by Castillo Copper Limited to prepare the documentation for various prospects within the Harts Range Prospects on which the Report is based.

In addition:

·      I have disclosed to Castillo Copper Limited the full nature of the relationship between myself and the Company, including any issues that could be perceived by investors as a conflict of interest.  Mr Biggs is a director of ROM Resources, a company which is a shareholder of Castillo Copper Limited.  ROM Resources provides ad-hoc geological consultancy services to Castillo Copper Limited.

·      I verify that the Report is based on and fairly and accurately reflects in the form and context in which it appears, the information in my supporting documentation relating to Exploration Results and any Mineral Resource Estimates.

·      I consent to the release of the Report and this Consent Statement by the Directors of Castillo Copper Limited.

ABOUT CASTILLO COPPER

Castillo Copper Limited is an Australian-based focussed explorer, with a strategy to develop multi-commodity assets that demonstrate future potential as an economic mining operation.

Through the application of disciplined and structured exploration, Castillo Copper has identified assets deemed core and is actively progressing these interests up the value curve.

Current focus will be on advancing exploration activity at the Harts Range Niobium, Uranium and Heavy Rare Earths Project which is circa 120km north-east from Alice Springs in the Northern Territory.

Other interests include the NWQ Copper Project, situated in the copper-belt district circa 150km north of Mt Isa in Queensland, Broken Hill Project in western New South Wales and exploration targets in Zambia.

Castillo Copper is listed on the LSE and ASX under the ticker "CCZ".

APPENDIX A: HISTORICAL ASSAY RESULTS

Cusp Prospect

The Cusp Prospect produced numerous high grade historical rock chips with the best results returning grades up to 23.2% Nb, 12.7% U and 14.6% TREE, including 1.88% Dy and 5.89% Ta (Figure A1)^@@.

Note: Niobium is typically coincident with Heavy Rare Earths mineralisation, Tantalum and Uranium

Source: Barfuss Corporation

The historical reports indicate that Niobium-Tantalum and Heavy Rare Earths were identified in pegmatites running circa east-west, up to 10m thick and over 70m long@.

Bobs and Bobs West Prospect

The Bobs and Bobs West Prospects are located circa 1.5-2km along the same strike and to the west of the Cusp Prospect, exhibiting similar underlying mineralisation traits and geological settings.

Like the Cusp Prospect, the Bobs and Bobs West Prospects delivered multiple high grade historical rock chips, with the best results returning grades up to 3.4% Nb, 16.3% TREE, including up to 1.54% Dy and 14.9% Ta^1@@ (Figure A2).

Source: Barfuss Corporation