Coda Minerals : Strong IP, Geochem, & Rock Chips at Cameron River

ASX RELEASE

26th April 2022 ASX Code: COD

Strong IP, Geochemistry, and High-grade Rock Chips at Cameron River

Drill targets strengthened and new targets defined on the back of strong coincident geochemical and geophysical anomalies ahead of maiden drilling.

Highlights

• • Multiple new targets identified following preliminary results from ongoing IP Surveys at Cameron River.

• • Induced Polarisation ("IP") geophysical surveys have been instrumental in driving discoveries in the Mt Isa Inlier Region of Queensland.

• • High-grade rock chips, with individual peak grades of 26.3% Cu, 1.19g/t Au, 0.08% Co and 65.5g/t Ag recorded in systematic rock-chip sampling at the newly discovered Bluey and Bingo prospects at Cameron River, where IP surveys will commence in the coming weeks.

• • Assays from rock-chips have confirmed historical data and increased the dimensions of the mineralised Rebound prospect area. Highlights include:

  • o Sample R22CR0072: 4.54% Cu, 0.50 g/t Au, 9.77g/t Ag and sample R22CR0080: 4.84% Cu, 1.19g/t Au

• • The results from geophysics and geochemistry provide extensive evidence of prospectivity, putting Coda in an excellent position with drilling scheduled to commence early next quarter.

• • Coda's cash balance remains above $11 million at the date of this announcement.

Figure 1 Sample R22CR0007 malachite veins and veinlets within goethitic quartzite gossan, Bluey prospect. 15.25% Cu and 8.1g/t Ag

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Coda Minerals Limited (ASX: COD, "Coda", or "the Company"), reports encouraging results from recent fieldwork at its highly prospective Cameron River Project, located in the heart of the world-class Mt Isa mineral province in North Queensland.

Cameron River comprises 35km2 of prospective copper and gold exploration tenure immediately north of the historical Mary Kathleen Uranium Mine. In March 2021, the Company entered in a binding Farm-In and Joint Venture Agreement giving it the right to acquire up to an 80% ownership in the Cameron River Project.

Sampling of rock chips and soils at Cameron River has returned highly anomalous results from the 152 samples collected (Figure 3), confirming the prospectivity of the Rebound prospect where copper mineralisation occurs within several different geological units, and defining a previously undiscovered 1,400m x 600m mineralised trend at the newly discovered Bluey and Bingo prospects closely associated with a north-south trend of VTEM anomalies (Figure 3).

Additionally, Gradient Array Induced Polarisation (GAIP) geophysical surveys commenced at Cameron River on April 3rd, with three arrays covering the Rebound, Copper Weed and the newly-identified Bluey/Bingo prospects (see Figure 2 and Figure 3).

Preliminary results have been received from the Rebound array, which have highlighted promising chargeability and conductivity anomalies that coincide with the mineralised Rebound trend, and the poorly tested southern extension of the Copper Weed mineralisation (Figure 1, Figure 2). These represent priority drill targets.

Commenting on the results to date, Coda's CEO Chris Stevens said: "The results of our initial exploration at Cameron River have exceeded our expectations, clearly highlighting the prospectivity of this ground.

"Geochemistry and IP surveys are fundamentally important tools when exploring for these types of copper-gold deposits in the Mt Isa region. IP has been highly successful as a tool for recent discoveries in the region, and the strong results we are seeing at Rebound are highly encouraging, with chargeability anomalism appearing to extend well beyond the mineralisation mapped at surface. These results are also suggestive of sulphide mineralisation persisting at depth -below the surficial malachite expressions.

"Beyond the IP survey, the identification through soil samples, rock chips and VTEM of a potential second mineralised corridor at Bluey/Bingo to complement the known mineralised corridor at Copper Weed/Rebound only serves to further improve the overall project prospectivity.

"Although our primary focus remains on our core asset at the Elizabeth Creek Copper Project in South Australia, some opportunities are just too good to pass by, so we are excited to get drilling on these exceptional targets at Cameron River as soon as possible. We have a long pipeline of targets ahead of us at Cameron River, and we are now finalising the necessary approvals to begin drilling early next quarter."

Gradient Array IP Survey

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A Gradient Array Induced Polarisation (GAIP) geophysical survey to investigate three main areas at Cameron River commenced on the 3rd of April and is ongoing at the date of this announcement (Figure 4). GAIP is a geophysical technique where a grid of receivers is inserted into the ground and an electrical current is passed through the subsurface inducing an electrical charge in disseminated electrically conductive minerals such as sulphides.

Adjacent survey grids have been designed over the Copper Weed and Rebound prospects, while a single grid at Bluey and Bingo will refine the VTEM anomalies and assist to define the distribution of recently identified sulphide and oxide copper along this trend. The survey is expected to be completed in May with final results expected to be received shortly thereafter.

Preliminary 2D data have been received for the northern half of the Rebound prospect (Figure 2). The data is preliminary, with the full Rebound array set to be completed in the coming days, but it has been subject to first-pass QA/QC checks by Coda's geophysical consultants and the data appears both high quality, with very little noise, and consistent between stations.

The mineralisation at Rebound is clearly reflected in the IP as a moderate chargeability anomaly, increasing in intensity towards the south, with an associated moderate conductivity anomaly over approximately 500m of strike. At the southern end of this trend is a coincident elliptical high-conductivity anomaly and moderate chargeability anomaly, associated with local historic rock chips of >1% Cu.

Additionally, a north trending high chargeability feature (the "Copper Weed Anomaly") has been identified, corresponding with both a magnetic high and the trend of the historic Copper Weed artisanal workings. Mapped malachite appears to flank either side of the peak of the chargeability trend, and historic rock chip samples taken from several points along this trend have reported results of up to 22% Cu.

The chargeability anomaly may in fact represent two separate anomalies, with the northern NNW trending portion consistent with topography suggesting a stratigraphic response, while the southern portion reorients to SSW and is consistent with a trend of mapped malachite to the west of the ridge at Copper Weed, suggesting a non-stratigraphic source. The company considers the more southerly portion of the anomalism to be a high priority target for further work.

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Figure 2 Gradient Array Induced Polarisation (GAIP) chargeability and conductivity grids at Rebound and their association with mapped malachite occurrences.

Rock Chips and Soil Sampling

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In March 2022 Coda undertook a programme of soil and rock chip sampling at Cameron River to test several new targets generated out of the integrated lithostructural, geophysical and geochemical desktop study, as well as to carry out ground truthing activities at the proposed drilling targets for the 2022 drill programme.

A total of 84 rock chip samples and 68 soil samples were collected and submitted to the ALS laboratory in Mt Isa for assay. The programme returned exceptional preliminary results (Figure 4, Table 1) with maximum values of 26.3% Cu, 1.185 g/t Au, 65.5 g/t Ag, 0.08 % Co and 0.4% Ni.

Of the 84 rock chip samples, 11 samples were 1% Cu or greater with five samples of 5% Cu or greater, five samples assayed 0.5 g/t Au or greater and two samples were greater than 1 g/t Au, and 12 samples were 1 g/t Ag or greater including four samples of at least 5 g/t Ag.

The area which hosts the newly identified Bluey and Bingo prospects was targeted based on VTEM anomalies associated with the central north-south oriented ridge at the Project identified following reprocessing of 2015 Versatile Time Domain Electromagnetics (VTEM) survey by Mount Isa Mines (MIM). VTEM involves a transmitter that generates a current in the ground, and this current flows most easily through conductive material. These targets were never tested by MIM and the only geochemistry was a 1979 rock chip sample by Otter Exploration from this trend, SF54-2-1R, which assayed 29.51% Cu and 380ppm Co and was never followed up.

Rock chip sampling traverses by Coda identified the presence of disseminated copper sulphides in outcrop, in addition to the distribution of malachite and minor azurite in gossans, as fracture coatings and as development of a malachite halo beneath the weathering rind in outcrop. The source of sample SF54-2-1R was identified as a lozenge (approx. 50-100m N/S) of gossanous goethitic ironstone with malachite and azurite, developed within sheared marble which contained disseminated grains and blebs of chalcopyrite and bornite as well as malachite and azurite.

Prospectivity has now been confirmed at Bluey and Bingo, with several of the most highly mineralised rock chip samples collected from this area. Better samples from the area included R22CR0064 (26.3% Cu, 0.59g/t Au and 65.5g/t Ag), R22CR0003 (19.45% Cu, 1.135g/t Au and 2.5g/t Ag) and R22CR0007 (15.25% Cu, 0.049g/t Au and 8.1g/t Ag).

The Bluey-Bingo geochemical anomaly extends over 1,100m along strike N/S may be up to 680m wide, and consists of multiple lenses and bands of mineralisation. Distribution of high grade copper in outcrop appears to correspond with the margins of linear magnetic highs orientated approximately north-south and running through this area and where structures appear to have broken and offset the magnetic lineations. These trends are associated with >100ppm Cu soil anomalies which occur on the edges of the magnetic highs (Figure 3).

Mineralisation within this area is predominantly hosted in marbles and sheared recrystallised limestone and is primarily associated with development of veins of quartz and ironstone. The marble units are from 0.5m to 4m wide and are up to 100-150m in length, occurring as stacked bands within an approximately north-south oriented metamorphic package of sheared and tightly folded biotite schists, phyllites, massive mafics, quartzite, recrystallised limestone and marble. Disseminated trace copper sulphides were also identified within quartzites in the area.