Cobre Limited announced assay results for drill hole NCP20A which has intersected a significant zone of chalcocite mineralisation within a parasitic fold. This fold appears to have acted as a trap-site, effectively increasing the grade and thickness of copper- silver mineralisation, a common occurrence in KCB deposits. The high-grade zone appears to extend from drillhole NCP08 through to recently completed NCP25 to NCP20A covering a distance of more than 250m.

Drill holes NCP19, NCP17, NCP23, NCP11B, NCP28 and NCP26 have constrained a high-grade zone both laterally and vertically. Importantly, the high-grade zone is bounded laterally by an anomalous lead halo. Similar anomalous lead intersections are noted in drillholes NCP14 and, in particular, NCP10 (3km to the northeast) which also exhibits parasitic folding.

The company believes there is potential for several structurally controlled high-grade zones to occur within the greater 4km Comet Target. Pictures of the high-grade chalcocite intersection are illustrated in Figure 1. Figures 2 and 3 illustrate the location of completed drilling and assays results at the Comet Target in plan view and 3D long- section respectively. The drill programme at NCP has been designed to intersect sedimentary-hosted, structurally controlled, copper-silver (Cu-Ag) mineralisation associated with the redox contact between oxidised Ngwako Pan Formation red beds and overlying reduced marine sedimentary rocks of the D'Kar Formation on the limbs of anticlinal structures.

The Comet Target was initially identified from its anomalous response in partial-leach soil samples where it forms a distinctive Cu, Pb, Zn, Mo and Ag anomaly. Drill testing of the target has identified an extensive 4km strike-length zone of steeply dipping, predominantly chalcocite mineralisation that includes structurally controlled high-grade zones. As with other KCB deposits, higher-grade mineralisation at Comet is expected to be controlled by parasitic folding of lower D'Kar Formation stratigraphy within a broader, moderate grade background.

These folds typically plunge obliquely to the primary anticlinal structure and will likely repeat along the length of the Comet Target, providing elongated zones of higher-grade mineralisation. The high-grade zones are typically bounded laterally and vertically by prominent Pb- halos which provide a useful vector to mineralisation. Identifying the high-grade zones will dictate the economics of the deposit.

Based on logging and pXRF assessment of the drill core, a total of 1,025m of core has been selected for core cutting and subsequent sampling and analysis from 14 boreholes (NCP07-NCP20A). A total of 1,016 primary samples were taken at specific intervals as half core samples. For QAQC purposes, 5% of these samples were duplicated in the field (e.g. quarter core), and the lab was instructed to conduct pulp duplicates (2.5%) and coarse crush duplicates (2.5%).

Additionally, 5% of suitable CRM material, and 5% coarse crushed Blank material were inserted into the sample stream. The samples were sent to ALS Laboratories in Johannesburg for sample preparation (PREP-31D) and ICP analysis using a 4- acid digest (ME-ICP61 and ME-OG62). The NCP is located near the northern margin of the KCB and includes significant strike of sub-cropping Ngwako-Pan /D'Kar Formation contact on which the majority of the known deposits in the KCB occur.

The Project is located immediately east of KML's Kitlanya West licenses collectively covering a significant portion of prospective KCB stratigraphy. In terms of regional prospectivity the greater license package includes: Over 500km of interpreted sub-cropping Ngwako Pan /D'Kar Formation contact which has been divided into 55 prospective targets across the KML licenses with 43 ranked targets located in the KITW and NCP properties; Strategic location near the basin margin typically prioritised for sedimentary-hosted copper deposits; Outcropping Kgwebe Formation often considered a key vector for deposits in the northeast of the KCB; Well defined gravity low anomalies indicative of sub-basin architecture or structural thickening (a number of the deposits in the KCB are hosted on the margins of gravity lows); Relatively shallow Kalahari Group cover (between 0m and ~90m thick); and Numerous soil sample anomalies identified on regional sample traverses. The Company is targeting analogues to the copper deposits in Khoemacau's Zone 5 development in the north-eastern portion of the KCB.

These include Zone 5 (92.1 Mt @ 2.2% Cu and 22 g/t Ag), Zeta NE (29 Mt @ 2.0% Cu and 40 g/t Ag), Zone 5N (25.6 Mt @ 2.2% Cu and 38 g/t Ag) and Mango NE (21.1 Mt @ 1.8% Cu and 21 g/t Ag).