Phase-1 Resource Drilling Successfully Concludes at Mt Edon Critical Mineral Project

Highlights

• 14 holes drilled, multiple pegmatites intersected, significantly expanding existing 450 x 100m target area
• Pegmatite intersections include;
  • MD 50 – 125m from surface to 125m
  • MD 45 – 89m from 34m to 123m, plus 10m intercepted from 5m to 15m
  • MD 35 – 89m from 37m to EOH at 126m open
  • MD 25 – 50m from 46m to 96m
  • MD 24 – 40m from 8m to 48m
  • MD 27 – 35m from 34m to 69m
• The Phase 1 Resource Drilling Program designed to deliver a maiden Rubidium resource for Mt Edon
• Assay results expected in early July 2024
• Previous drilling included 80 metres grading 0.32% Rb₂O from 25m[1], which are considered to be very high grade Rb₂O results

“The drilling intersections further confirm the geological setting of an emerging world class Rubidium deposit. EMC concurrently will continue to advance the project to JORC resource status, whilst actively progressing processing product development through R&D with ECU’s Mineral Resource and Recovery Centre. EMC has also initiated consulting arrangements with international industry marketing and business development advisers to assist in the commercialisation of the project.”

Chief Executive Chairman Mark Caruso commented

Everest Metals Corporation Ltd (ASX: EMC) (“EMC” or “the Company”)is pleased to announce that Phase 1 Resource Drilling has been completed at the Mt Edon Critical Mineral Project (M59/714) located 5km southwest of Paynes Find, in the Mid-West region of Western Australia, approximately 420km northeast of Perth.

RESOURCE DRILLING PROGRAMME, PHASE 1

The Phase 1 Resource Drilling Program commenced early May 2024[2] and the drilling pattern was designed to complete a spacing of 40m along strike and 20m across strike, with the outcome being to define a mineralised wireframe and generate a maiden JORC 2012 Mineral Resource Estimate (“MRE”). Furthermore, 3 of the holes were designed to:

1. test individual pegmatites parallel to the main orebody,
2. test the lateral extension of high-grade zones defined in the northeast corner of the Mt Edon tenement, and
3. target undrilled pegmatites.

The drilling program confirmed the existence of the targets identified from the Deep Ground Penetration Radar (“DGPR”) program [3] and their northeast-southwest structural trends in the northeast corner of the mining lease. The drilling included 14 x Reverse Circulation (“RC”) holes with an average depth of 90m (Figure 1) – Pegmatite bodies have been intersected in all 14 drill holes.

Figure 1: Phase 1 Resource Drilling at Mt Edon, (hole MD-48), view to northeast

The Phase 1 Resource Drilling Program was very successful, and pegmatites were intersected in most of the drill holes, covering about 56% of samples (715m pegmatite vs 1,266m total drilled metres). Sampling collected during the program were one-metre core splits. Included in this program is a very thick pegmatite intersection of 125m in one drill hole (MD-50). Significant well-developed muscovite-rich zones were observed during the logging of RC chip samples and lepidolite mineralisation was detected in certain intervals. Refer to Appendix 1 for further results of the RC Resource Drilling completed. The pegmatite intersections based on visual mineralisation and assessment of RC chip samples are summarized below:

• MD-36) 6m pegmatite intercepted from surface to 6m and 3m from 25-28m, EOH[4] 96m
• MD-37) 8m pegmatite intercepted from 12 to 20m, EOH 48m
• MD-50) 125m pegmatite intercepted from surface to 125m, EOH 131m
• MD-46) 5m pegmatite intercepted from surface to 5m, 5m from 7 to 12m and 34m from 50 to 84m, EOH 97m
• MD-49) 3m pegmatite intercepted from 30m to 33m and 22m Pegmatite from 55 to 77m, EOH 114m
• MD-42) 23m pegmatite intercepted from 11 to 44m and 28m Pegmatite 44 to 72m, EOH 78m
• MD-45) 10m pegmatite intercepted from 5 to 15m, then 89m from 34 to 123m, EOH 126m
• MD-39) 26m pegmatite intercepted from 20 to 46m, then a 4m Pegmatite from 48 to 52m, EOH 60m
• MD-40) 2m pegmatite intercepted from surface to 2m, then 40m Pegmatite intercepted from 21m to 61m, EOH 96m
• MD-27) 35m pegmatite intercepted from 34 to 69m, EOH 72m
• MD-35) 89m pegmatite intercepted from 37m to end of hole at 126m-open, EOH 126m
• MD-24) 40m pegmatite intercepted from 8 to 48m, EOH 54m
• MD-48) 19m pegmatite intercepted from 36m to end of hole at 54m-open, EOH 72m
• MD-25) 50m pegmatite intercepted from 46m to end of hole at 96m-open, EOH 96m

Cautionary Statement:

As per Listing Rule 3.1, the Company wishes to inform investors that visual estimates of mineral abundance included in this release should never be considered a proxy or substitute for laboratory analyses where concentrations or grades are the factor of principal economic interest. Visual estimates also potentially provide no information regarding impurities or deleterious physical properties relevant to valuations. The presence of pegmatite does not necessarily indicate the presence of economic mineralisation. The Company will update the market when laboratory analytical results become available.

715 drill samples, excluding Certified Registered Material (CRM) and duplicate samples, were submitted to the ALS laboratory in Perth using the lithium suite peroxide fusion method (ICP-MS) and quantitative determination of mineral abundance using Fourier-Transform Infra-Red (FTIR) spectroscopy, with assays expected by early July 2024.

Figure 2: Phase-1 Resource Drilling, drill hole’s locations at northeast of Mt Edon mining lease (M59/714)

A summary of important assessment and reporting criteria used for this Exploration Results announcement is provided in Appendix 2 – JORC Table 1 in accordance with the checklist in the Australian Code for the Reporting of Exploration Results, Mineral Resources, and Ore Reserves (The JORC Code, 2012 Edition). Criteria in each section apply to all preceding and succeeding sections.

BACKGROUND

Mt Edon Pegmatite Project sits on mining lease M59/714 and covers the southern portion of the Paynes Find greenstone belt in the southern Murchison which hosts an extensive pegmatite field (Figure 3). There are several large irregular shaped felsic pegmatites which have intruded into the Paynes Find Greenstone Belt, a northeast trending sequence of mafic, ultramafic, and sedimentary rocks, with east-west structures cutting these metasediments. Pegmatites appear to be folded sills dipping in variable directions and angles and are connected at depth representing both sill and dyke structures. These prospective pegmatites have a northeast-southwest strike of up to 350m and occur along a 1.2km interval of the LCT Pegmatite corridor. Larger pegmatitic bodies appear less influenced by the underlying structural trends and fabrics, with many of these bodies cutting both structural fabrics. The larger pegmatitic bodies are interpreted as blowouts related to structural intersections.

Figure 3: Mt Edon mining lease location map

Two stages of RC drilling were completed at the Mt Edon mining lease in late May and early August 2023. During Stage-1 drilling in late May 2023, drill hole ME23-07 intersected a mixed zone of altered mafic host rock and 62m of pegmatite up to a depth of 111m and remained open (Figure 4). Geological logging of the chip samples highlighted well-developed muscovite-rich zones. Hole ME23-007 intersected over 40 metres grading 0.26% Rb₂O from 49m, including 19m at 0.33% Rb₂O (0.43% Rb₂O + Li₂O), in addition to three higher grade zones of 2m @ 0.53% Rb₂O + Li₂O (14-16m), 2m @ 0.53% Rb₂O + Li₂O (20-22m) and 2m @ 0.53% Rb₂O + Li₂O (30-32m)^[5]. The entire mineralised intersection within ME23-007 indicates the highly fractionated and fertility of the pegmatite in the northeast corner of Mt Edon. The pegmatite body in this hole remained open at a depth of 111m (dip 60 degree) and shows there is high potential for lateral extensions particularly toward the northeast.

Figure 4: A schematic cross section looking northwest – Shows significant mineralised intersections in hole MD23-07, 15-16 and 18-19 located in the northwest area of the Mt Edon tenement

Stage-2 drilling was designed to unlock the potential of a 600m pegmatite sitting along a northeast-southwest strike. This zone is interpreted to be a mineralised alteration zone located between the intrusive pegmatites and the mafic country rock. 10 x RC holes were drilled along this trend and all intercepted significant rubidium-lithium results. Some of the thickest and highest grade intersections are outlined below^[6]:

• Hole ME23-019 intersected over 80 metres grading 0.32% Rb₂O and 0.11% Li₂O from 25m, including 9m at 0.47% Rb₂O from 87m.
• Hole ME23-018 intersected 31 metres grading 0.21% Rb₂O and 0.12% Li₂O from 35m, including 7m at 0.34% Rb₂O from 39m.
• Hole ME23-016 intersected 2 metres grading 0.34% Rb₂O and 0.42% Li₂O from surface and 8 metres grading 0.13% Rb₂O from 19m.
• Hole ME23-015 intersected 15 metres grading 0.22% Rb₂O and 0.27% Li₂O from 14m, including 5 meters at 0.27% Rb₂O and 0.6% Li₂O from 22m.

Additionally, findings from both the Stage-1 and Stage-2 drilling programs suggest that Mt Edon has the potential to be classified as a Rubidium-Lithium project^[7].

In December 2023, the maiden Exploration Target was reported and was based on the results of exploration activities undertaken to date and supported by the drill hole database containing over 600m of reverse circulation drilling in the northeast corner of the Mt Edon mining lease, geological mapping, and estimation in accordance with the JORC Code (2012)^[8]. The reported Exploration Target is exclusively defined by wide spaced drilling which is insufficient to support either indicated or inferred resource classification (Figure 5). Importantly, the Exploration Target does not include any untested targets along strike or at depth extensions which have yet to be drill tested as the absence of any material geological information is considered insufficient to estimate an Exploration Target at this time, however these areas provide excellent exploration potential given the Pegmatite zones, being the principal control on mineralisation, have been mapped over the entire Mt Edon project and will be drill tested in the next phases of the planned exploration program.

Initial Exploration Target comprises only the north-eastern corner of the Mt Edon mining lease, the surrounding mineralised area measuring approximately 450m x 100m. The estimate was limited to a vertical depth of about 100m below surface and highlights that Mt Edon may have the scale, grade, and other attributes to justify its continuing evaluation as a possible producer of a Rubidium concentrate that could then be processed for application in high technology manufacturing industries. The current Exploration Target (JORC 2012) ranges from 3.2 to 4.5 million tonnes with a grade of 0.23 to 0.35% Rb₂O and 0.08 to 0.12% Li₂O (Table 1 and Figure 5).

Table 1- Mt Edon Exploration Target estimate summary

Category	Lower Limit (Mt)	Upper Limit (Mt)	Grade Range Rb2O (%)	Grade Range Li2O (%)
Exploration Target	3.2	4.5	0.23 – 0.35	0.08 – 0.12

• All tabulated data have been rounded
• The potential quantity and grade of mineralisation is conceptual in nature
• The Exploration Target is reported as a range of grade and tonnages for the project based on drillhole data statistical confidence limits and various assumptions of continuity

Cautionary Statement:

The Exploration Target has been prepared and reported in accordance with the 2012 edition of the JORC Code. The potential quantity and grade of the Exploration Target is conceptual in nature. There has been insufficient exploration to estimate a Mineral Resource. It is uncertain if further exploration will result in the estimation of a Mineral Resource.

Figure 5: Wireframe encompassing the mineralised holes at the Mt Edon tenement

RESEARCH AGREEMENT

On 26 February 2024 Edith Cowan University (“ECU”) and EMC executed a Research Agreement (“Agreement”) for studies in relation to the Extraction of Rubidium and Mica from Mt Edon ore^[9]. The research activities will be undertaken at ECU’s Mineral Recovery Research Centre (“MRRC”) for a period of 9-12 months. The Direct Rubidium Extraction test work and studies will utilise advanced processes such as ion exchange. This project focuses on extracting the Rubidium and Mica from ore by using a Direct Rubidium Extraction technology. Due to the increasing need for sustainable and environmentally friendly extraction processes, these studies aim to develop a state-of-the-art extraction technique that maximise the recovery of Rubidium and Mica. By selecting suitable Cations and optimising operating conditions, the project aims to achieve maximum Rubidium and Mica extraction by utilising a cost effective and environmentally friendly method. This approach will leverage cutting-edge technologies, innovative methodologies, and industry best practices to ensure a sustainable and profitable extraction process. The process encompasses purification and refining, ultimately leading to the conversion into a final product such as Rubidium slat, and metal, and Mica. Under the Research agreement any intellectual property rights deriving from the project will be owned by EMC. As part of this study, critical assessment of the feasibility and potential enhancements of the Direct Rubidium Extraction method will be done. This will allow EMC and ECU to jointly apply for the Cooperative Research Centres Projects (“CRC-P”) Grants to scale up the process technology. The Company expenditure for this project will be eligible for Federal Government Research and Development (“R&D”) Tax Incentive.

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[1] ASX: EMC announcement “Mt Edon Drilling Program Continues to Deliver, 80m High Grade Rubidium Intersection with Associated Lithium” dated 21 September 2023

[2] ASX: EMC announcement: RESOURCE DRILLING COMMENCES AT MT EDON CRITICAL MINERAL PROJECT, dated 10 May 2024

[3] ASX: EMC announcement; Deep Ground Penetration Radar (DGPR) Geophysical Survey Successfully Identifies Previously Undiscovered Pegmatite Targets at Mt Edon Project, dated 1 May 2023

[4] End of Hole

[5] ASX: EMC announcement; Mt Edon Drilling Results Confirms High Grade Rubidium, dated 13 July 2023

[6] ASX: EMC announcement Mt Edon Drilling Program Continues to Deliver, 80m High Grade Rubidium Intersection with Associated Lithium, dated 21 September 2023

[7] The high grade intersected Rubidium is in line with world class Rubidium occurrences including the Karibib pegmatite deposit in Namibia (8.9 Mt at 0.23%Rb) and Guobaoshan deposit in China (234 Mt at 0.12%Rb).

[8] ASX: EMC announcement Mt Edon Exploration Target defined, supporting resource drilling commencement, Continued high grade rubidium-lithium assays from surface, dated 14 December 2023

[9] ASX: EMC;EMC TO ADVANCE MT EDON CRITICAL MINERAL PROJECT THROUGH RUBIDIUM AND INDUSTRIAL MICA PRODUCT DEVELOPMENT, dated 27 February 2024