Chase Mining : AREAS IDENTIFIED WITH RARE EARTHS POTENTIAL IN NW QLD

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ASX RELEASE

19 January 2022

APPLICATIONS OVER AREAS IDENTIFIED WITH RARE EARTHS POTENTIAL IN NW QLD

• Two Project areas are under application - both are in localities known for high value rare earths as reported by previous explorers from surface exploration.
• Known rare earths association with copper nickel cobalt lead zinc anomalism.
• Implied strike lengths of greater than 10 km.
• The source of the surface anomalies and REE mineralisation appears to be of a very young age, possibly representing a new REE mineral province.

Fig.1 Location of Chase Rare Earths Projects

The Company has applied for three uncontested 100 sub block Exploration Permits (EPMAs) in grazing country in the Boulia - Duchess area of northwest Queensland. Native Title and Heritage agreements are required prior to grant, so timing is unknown. Two of the adjoining EPM applications comprise the Boulia Project and the other the Digby Peaks Project (Figure 1).

CHASE MINING CORPORATION LIMITED

ABN 12 118 788 846

Level 8, 46 Edward Street, Brisbane QLD 4000

PO Box 15505 City East QLD 4002

0439 310 818 | 0419 702 616

https://www.chasemining.com.au

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Boulia Project

The Boulia project area is comprised of two EPM applications - Canary (EPMA 28251) and Prickly Bush (EPMA 28253). Previous exploration by Jacaranda Minerals Ltd (EPMs 15234, 15235, and 15236, and in CRs 67692, 67931, and 67700) was mainly for uranium. Later, Hartz Rare Earths Pty Ltd (EPMs 25158, 25159, 25160 and 25295 and in CRs 090037,090038, 090039, and 090040) conducted wide spaced stream sediment sampling that identified catchments strongly anomalous in rare earths and less so for copper nickel cobalt lead and zinc (see appendix 2 and 3 for results).

Fig.2 Boulia Project Summary of Previous Work and Chase Concept

The anomalous catchments when contoured according to metal contents, reveal a distribution along northwest striking shear structures in the Cretaceous age sediments of the Toolebuc and Allaru formations.

The maximum anomalism (732 ppm Total Rare Earths, including 190 ppm Neodymium) is from a large catchment within the CML applications. This anomalism has not been closed off to the northwest, where there are magnetic structures of the same orientation, which are possibly carbonatite dykes and the source of the surface concentrations of rare earth mineralisation.

As the host sediments are Cretaceous in age, the shear zones, alteration, and mineralisation are very young, most likely Tertiary, and appears to be controlled by dilation faults splaying from the Burke River fault zone. If correct this represents a new age and style of rare earths deposition in Australia.

Digby Peaks Project

The Digby Peaks project is comprised of a single 100 sub block EPM application (EPMA 28256).

CML selected the project area on the basis of the known but poorly defined rare earths in the general locality outside the application, but more particularly because of the similar geochemistry and geology to the new Boulia Project area further south along the Burke River fault zone as described above.

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Fig.3 Digby Peaks Previous results and the CML target area

The Digby Peaks mineral occurrence (see Figure 3) was sparsely sampled by CRA in 1977 under EPM 1605 and reported in CR6056. According to the Qld Government geochemical database, CRA located drainages and rocks anomalous in nickel copper cobalt lead and zinc. Rock samples from sheared brecciated carbonate sediments assayed up to 0.48% nickel. This unusual geochemical signature is similar to the Boulia Project's.

Digby Peaks lies along the western margin of the Tertiary age Burke River fault, as does the Boulia Project.

The CML concept is that the Digby Peaks base metal occurrence, like the Boulia Project, is also a focus for shear hosted rare earths mineralisation.

CML Proposed Exploration Programme

Subject to the applications being granted, the proposed work programme will initially comprise of stream sediment, soil and rock sampling designed to define the rare earth - base metal structures prior to trenching and drilling.

Authorisation

This announcement has been authorised for release to the ASX by the CML Board of Directors.

Dr Leon Pretorius

Chairman and CEO

19 January 2022

For technical enquiries contact:

For corporate or finance enquiries contact:

Leon Pretorius on 0419 702 616

Charles Thomas by email to [e-mail]

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COMPETENT PERSON STATEMENT

The information in this release that relates to exploration results is based on information compiled by Mr Neil Wilkins M.Sc. Exploration and Mining Geology, who is a Member of The Australian Institute of Geoscientists. Mr Wilkins is employed by Ascry Pty Ltd, which provided certain consultancy services to Hartz Rare Earths Pty Ltd. Mr Wilkins has visited the area and prospects and has more than five years' experience which is relevant to the style of mineralisation and type of deposit being reported and to the activity, which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Minerals Resources and Ore Reserves' (the JORC Code). This public report is issued with the prior written consent of the Competent Person as to the form and context in which it appears. Mr Wilkins holds shares in Chase Mining Corporation Limited.

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Appendix 1: JORC Code, 2012 Edition - Table 1 report template

Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

	Criteria	JORC Code explanation	Commentary
	Sampling	•	Nature and quality of sampling (eg cut channels, random chips, or	Boulia Project
	techniques		specific specialised industry standard measurement tools appropriate
			to the minerals under investigation, such as down hole gamma	• Stream sediment sampling by Hartz (2014) involved -6mm sieving of
			sondes, or handheld XRF instruments, etc). These examples should
				active sediment sites located by GPS. All analyses were done by ALS
			not be taken as limiting the broad meaning of sampling.
		•		laboratories. See appendix 2 and 3 for results.
		Include reference to measures taken to ensure sample representivity
		Digby Peaks Project
			and the appropriate calibration of any measurement tools or systems
		•	used.	• The 1977 Digby Peaks sampling by CRA was comprised of stream
		Aspects of the determination of mineralisation that are Material to the
			sediments sieved to - 80 mesh and analysed for lead and zinc, as
			Public Report.
		•		well as rock sampling which was analysed for copper lead zinc nickel
		In cases where 'industry standard' work has been done this would be
			and cobalt.
			relatively simple (eg 'reverse circulation drilling was used to obtain 1
			m samples from which 3 kg was pulverised to produce a 30 g charge
			for fire assay'). In other cases more explanation may be required,
			such as where there is coarse gold that has inherent sampling
			problems. Unusual commodities or mineralisation types (eg
			submarine nodules) may warrant disclosure of detailed information.
	Drilling	•	Drill type (eg core, reverse circulation, open-hole hammer, rotary air	•	No drilling
	techniques		blast, auger, Bangka, sonic, etc) and details (eg core diameter, triple
			or standard tube, depth of diamond tails, face-sampling bit or other
			type, whether core is oriented and if so, by what method, etc).
	Drill sample	•	Method of recording and assessing core and chip sample recoveries	•	No drilling
	recovery		and results assessed.
		• Measures taken to maximise sample recovery and ensure
			representative nature of the samples.
		• Whether a relationship exists between sample recovery and grade
			and whether sample bias may have occurred due to preferential
			loss/gain of fine/coarse material.
	Logging	•	Whether core and chip samples have been geologically and	•	No drilling
			geotechnically logged to a level of detail to support appropriate

Mineral Resource estimation, mining studies and metallurgical