Cobre Limited: Perrinvale VHMS Project - Maiden Mineral Resource

Sydney, Australia - Cobre Ltd. (ASX:CBE) is pleased to announce the maiden Mineral Resource Estimate for the Schwabe Prospect on the Company's wholly owned Perrinvale Volcanic Hosted Massive Sulphide (VHMS) Project (Perrinvale or Project) in Western Australia.

Highlights:

- Maiden JORC-2012 Indicated and Inferred Mineral Resource Estimate for Schwabe estimated at: 272 Kt at 1.6 % Cu, 1.2 % Zn, 0.04 % Co, 0.04 % Pb, 6.3 g/t Ag & 0.4 g/t Au; and

- Contained metal: 4,240 t Cu, 3,360 t Zn, 90 t Co, 103 t Pb, 54,890 oz Ag & 3,670 oz Au.

Commenting on the maiden Mineral Resource Estimate, Adam Wooldridge, Cobre's Chief Executive Officer, said:

"In early 2021 the Company conducted internal studies to evaluate the potential of the Schwabe Prospect. Since then, commodity prices have significantly increased, confirming our belief in the drilled mineralisation and qualifying it for a JORC classified mineral resource estimate. With copper valued at $13,250/t, zinc at $4,305/t and gold at $2,932/oz, we are excited to explore monetisation options for the project. This milestone serves as a testament to the tremendous potential of the Perrinvale VHMS Project."

Maiden Mineral Resource Estimate

H&S Consultants Pty Ltd (H&SC), independent geological consultants, were engaged to provide a maiden Mineral Resource Estimation (MRE) for the Schwabe Prospect within the Perrinvale VHMS Project in Western Australia. H&SC received a database of 42 holes drilled at Schwabe, including 12 historical holes and 30 holes drilled by the Company since 2019. Cobre drilled 19 Rreverse Circulation (RC) and 14 diamond core holes, with associated data including 1,748 sample assays, density data and lithological logging. Although H&SC used the historical holes for initial interpretation of the mineralisation, the final MRE relied solely on the data generated by Cobre. The MRE is reported in accordance with the 2012 JORC Code and can be found in table 1*.

Next steps

Cobre has conducted metallurgical testwork on core from the Schwabe Prospect (refer ASX announcement September, 17 2020). The results of the testwork indicated conventional floatation extraction techniques would be effective for processing the ore. The company is currently evaluating strategies to monetise the Schwabe Prospect, as well as considering the possibility of conducting additional work on satellite targets at the Perrinvale Project in order to increase the project's VHMS resources.

Information required as per ASX Listing Rule 5.8.1

As per ASX Listing Rule 5.8.1 and the JORC Code (2012) reporting guidelines, a summary of the material information used to estimate the Mineral Resource is detailed below (additional detail is included in Appendix 1: JORC Table 1, Sections 1-3 at the end of this report*).

Geology and Geological Interpretation

The project area is located within the Southern Cross Province of the Yilgarn Craton, approximately midway between the towns of Menzies and Sandstone. The Schwabe Prospect is located within the rocks of the Panhandle Greenstone Belt (PGB), also known as the South Cook Well Greenstone Belt.

The PGB can be described as a structurally deformed mega-boundin, surrounded by younger regional granites, with the composite stratigraphic sequence being:

- tholeiite basalt, variably pillowed and brecciated, with interflow sediments (uppermost);

- major gabbo sill (600m thick);

- Banded Iron Formation bundle with Magnesium-basalt; and
- muscovite quartzite (lowermost).

The Schwabe Prospect is located within the upper tholeite basalt sequence of the stratigraphy . The VHMS at Schwabe has been interpreted by both Cobre and H&SC as being a mineralised (Zn/Cu/Co/Pb/Ag/Au) volcaniclastic/sedimentary rock sequence of rocks striking ~018deg azimuth and dipping west at ~70deg to 75deg, bounded by basaltic rock in the hanging wall and foot wall (refer Figure 1 and Figure 2 below*). The VHMS zone, as currently defined by drilling and outcrop, ranges between 0.5m to 17m thick, a strike length of ~190m and a down dip extent of ~160m to 180m.

Drilling and field observations around the Schwabe Prospect indicate dominantly mafic and ultramafic volcanic and intrusive rocks and rarer sedimentary rocks. The volcanic rocks include basalts (tholeiites, hi-Mg basalts and komatiitic basalts) and the lithofacies range from coherent, to pillowed, to autoclastic (hyaloclastites and peperites). The base-metal sulphide intersections are dominantly associated with sedimentary facies (mudstones, black shales and cherts) and some of the sulphide textures indicate seafloor or near-seafloor deposition within these sedimentary units.

Considering the Perrinvale lithological association (best fit using VHMS classification scheme of Franklin et.al., (2005) and Galley et.al., (2007) is the Mafic-Ultramafic Volcanic Class (Primitive Intraoceanic Back-Arc or Fore-Arc Basins or Oceanic Ridges) sometimes referred to as the MaficDominated (mafic backarc-ophiolite) Class.

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About Cobre Limited:

Cobre Ltd. (ASX:CBE) is a copper and base-metals explorer with projects in Western Australia and Botswana. The Company recently discovered a new high-grade VMS deposit enriched in Copper, Gold, Zinc and Silver in Western Australia, and is currently exploring approximately 8,100 km2 of tenements within the Kalahari Copper Belt (KCB) in Botswana.

Source:
Cobre Ltd.

Contact:

Cobre Ltd. Martin Holland E: info@cobre.com.au WWW: www.cobre.com.au