Metalicity Limited announced that the Company has completed its maiden exploration programme at its newly acquired 100% owned Mt Surprise Lithium Project (EPM 28052) located circa 57km northeast of the town of Mt Surprise, 165 km west of the major centre of Cairns. The Company's exploration team completed extensive fieldwork activities last week and returned with a promising amount of information regarding the prospectivity of the Project and potential target areas. The successful reconnaissance field programme completed its goals of scoping out the environment, topography, and geology of the Mt Surprise Project area of EPM 28052 as well as collecting key geological information and to meet with a number of key stakeholders.

The programme also set out to verify if possible historic exploration results for Lithium and other base and precious metals with results from these samples pending analysis and return from Intertek Laboratories in Townsville and Perth. Metalicity was able to locate and sample historic workings that yielded significant high grade copper results up to 27.5% Cu 3. Abundant copper as azurite and malachite mineralisation was observed at surface and within 30 -50cm wide quartz stockwork veins. Three separate historic workings were identified, mapped and sampled consisting of a small shaft with minor underground workings and two shallower trenches or costeans within 250m from each other on a north-south striking trend.

Samples were collected where possible from narrow veins as well as the surrounding geology with abundant copper as azurite (blue) and malachite (green) mineralisation observed at surface and within 30 -50cm wide quartz stockwork veins. The geology of the area is characterised by the Silurian-aged Blackman Gap Complex, a medium to coarse-grained biotite-muscovite granodiorite, granite and minor pegmatite which also hosts the Gingerella Site. Granitic rocks of the Blackman Gap Complex are the oldest lithologies in the area are more weathered and have noticeably less outcrop and exposure than surrounding younger rocks.

Metalicity spent significant time investigating these granitic units for alteration and mineralisation in the project area as well as any later stage dykes, veins or shear structures prospective for hosting mineralisation. A full day of the fieldwork was committed to the Gingeralla prospect for possible Lithium where reconnaissance rock sampling was conducted by Monax in 2016 from an area identified as the Gingerella Site, which returned assay results of 3.55% Li2O, 125ppm tantalum, 0.25% caesium and 1.26% rubidium. Lithium minerals were described as lepidolite (lithium mica); however, the mineralogy was never confirmed.

A representative number of samples were collected from the original Monax location as well as other key exposures of altered granite with samples dispatched for analysis upon return to Townsville at the end of the fieldwork. Samples were transported to Intertek laboratories in Townsville and Perth testing for Lithium and other valuable minerals as well as other pathfinder/indicator elements. In addition, several samples will undergo mineralogical analysis to qualitatively determine the minerals present.

Metalicity anticipates results from initial reconnaissance rock chip samples to be returned by the end of November where these will help further guide future exploration targets. Whilst awaiting these results, Metalicity will plan the next stage of exploration at the Mt Surprise project area, in consultation with highly reputable exploration consultants and geologists who have extensive knowledge and history of the Mt Surprise/Georgetown area of north-west Queensland, to assist in identifying potential lithium and other mineralised targets before the onset of the North Queensland wet season. Metalicity will engage with these Townsville-based consultants to assist with future exploration activities both from a technical and fieldwork resource perspective.

The Mount Surprise project covers a large area approximately 165km from the city of Cairns, Queensland and 57 km northeast of the town of Mt Surprise and is serviced by excellent infrastructure in the area and easy access outside of the tropical wet season. The geology of the area is characterised by the Silurian-aged Blackman Gap Complex, a medium to coarse-grained biotite-muscovite granodiorite and granite and pegmatite. The granite is overlain by various Carboniferous-aged volcanics including the Double Barrel andesite and tuff as well as the Gingerella rhyolites and ignimbrites.