Anax Metals Limited (ASX: ANX, Anax, or the Company) is pleased to announce a JORC 2012 Mineral Resource for the Whim Creek Deposit (Deposit) at the Whim Creek Copper-Zinc Project (Project) located 115km southwest of Port Hedland in the West Pilbara Region of Western Australia.

The Mineral Resource at the Whim Creek Deposit represents another significant step in the Whim Creek Project's development pathway and has contributed to an updated global Mineral Resource for the Whim Creek Project, which is owned by Anax Metals Limited (80%) and Venturex Resources Limited (20%).

The Mineral Resource was completed following a database audit and verification of historical data and a single diamond drill hole completed by Anax in late 2020 where 20AWCD001 intersected 5m @ 2.43% Cu and 1.02% Zn from 52m and 7m @ 1.19% Cu from 60m.

Over 70% of the Mineral Resource has been classified as Indicated, with the remaining resources in the Inferred category. The classification is supported by drilling density, geological continuity and confidence in the geological interpretation

Resource Upside Potential

The updated geological interpretation coupled with a review of historical WAMEX reports has highlighted an area west of the existing pit that is prospective for possible strike extensions. Mapping by previous operators recognised transverse faults that displace the mine horizon to the northeast (NE), as well as southwest (SW) of the current pit. The fault-displaced NE extension has been tested and intersected by numerous drill holes, resulting in the definition of resources that have been included in the current Mineral Resource.

The possible SW extension has only been tested with two shallow drill holes, despite surface expressions of the mine horizon having been mapped over more than 300m. The Company plans to complete field reconnaisance and a detailed review of historical data in order to facilitate potential future drill targeting.

Whim Creek 2020 Diamond Drilling Results

In November 2020 Anax completed one diamond hole (20AWCD001) designed to target zones of high and medium-grade mineralisation at Whim Creek, with HQ core to be used for ore sorting and metallurgical test work. In late November 2020 the Company reported that drilling at Mons Cupri and Whim Creek had intersected visible, strong near-surface sulphide mineralisation.

The Whim Creek drill hole (20AWCD001) intersected a strongly mineralised, chlorite-silica altered zone between 48 - 57m made up primarily of pyrite and chalcopyrite and another moderately mineralised chalcopyrite stringer zone at 63 - 68m downhole

Continuous XRF Scanning has returned and intersection of 5m @ 2.43% Cu and 1.02% Zn from 52m and 7m @ 1.19% Cu from 60m for 20AWCD001.

Whole core was processed through the Minalyzer CS (Minalyzer) continuous XRF scanner unit. Calibration samples were selected from Mons Cupri drill holes only and submitted for standard geochemical analyses in late December 2020. XRF scanning results were subsequently calibrated against the geochemical assay results (refer to ASX Announcement 5 February 2021).

As no calibration samples were selected from 20AWCD001, the Mons Cupri calibration results were also applied to 20AWCD001. There is reasonable agreement between the assayed head grade of bulk composite WC1 that was compiled for ore sorting testwork and the calculated head grade from XRF scanning results, athough it appears that the XRF scanning results may be undercalling Cu grades in 20AWCD001.

Next Steps

Anax is progressing a number of key feasibility and permitting workstreams. Following completion of ore sorting test work, the Company commenced comminution and metallurgical test work on Mons Cupri ore sorting products. Geotechnical studies have been completed and Anax's mining consultant is currently finalising optimisations and design for Mons Cupri, Whim Creek and Salt Creek.

Concurrently, Anax and its consultants are advancing environmental assessments, including flora and fauna, hydrological and hydrogeological studies and waste rock characterisation. Anax is preparing a Mining Proposal which it is aiming to submit in Q3 2021.

Contact:

Tel: 08 6143 1840

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