Mt Monger Resources : New Tenements Ravensthorpe (Lithium and REE Prospective)

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ASX Announcement

ASX:MTM

25 March 2022

NEW GROUND AT RAVENSTHORPE PROSPECTIVE

FOR LITHIUM AND RARE EARTH ELEMENTS

Highlights:

• Three new tenement applications lodged to expand the Ravensthorpe project area
• Targeting lithium bearing pegmatites and clay-hosted rare earth elements
• Historical exploration has identified both lithium and rare earth element anomalies that have never been followed up

Mt Monger Resources Limited (ASX:MTM) (Mt Monger or the Company) has applied for three additional exploration licences to expand its Ravensthorpe project area within the Albany- Fraser Orogen in southern Western Australia. The tenements are located to the east of the Mt Cattlin lithium mine and are considered to be highly prospective for both lithium and rare earth element (REE) mineralisation.

The exploration licence (EL) applications are expected to be granted by the WA Department of Mines, Industry Regulation and Safety (DMIRS) in the coming months.

Regarding the EL applications, Managing Director Lachlan Reynolds said:

"Following our recent acquisition of multi-element projects in the Ravensthorpe region, we identified highly prospective areas of open ground that we have proactively staked to increase our ground holding.

As the investigation of prospectivity of these areas has progressed, our technical team has recognised that these areas have excellent prospectivity for lithium-bearing pegmatites and ionic clay-hosted rare earth element deposits.

Historical exploration programs in the area that were originally looking for gold, copper and nickel have fortuitously also collected critical geochemical assay data that will assist us in the search for these modern targets.

The Company is highly encouraged by the evolving exploration potential of the area. There has been little systematic exploration in recent times despite significant previous results across a range of commodities. We are eagerly awaiting the granting of the EL applications. In the meantime, the Company is compiling historical exploration information for the area and will be advancing work on the adjacent granted tenements."

Mt Monger Resources Limited (ABN 27 645 885 463) Suite 2, 38 Colin Street, West Perth, 6005, Australia

1. [phone], E: [e-mail] www.mtmongerresources.com.au

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PROJECT OVERVIEW

The three new EL application areas are located close to the regional town Ravensthorpe Figure 1 and Appendix I), within the Albany-Fraser Orogen. The tenements are located both adjacent to and nearby the Young River project where the Company has recently acquired a number of other granted exploration licences (refer to Mt Monger announcements to the ASX dated 9 February and 22 March 2022).

Figure 1: Project location map showing current Mt Monger tenement locations and new exploration licence applications; plus major nickel, gold, base metal, lithium and graphite mining operations and development projects.

LITHIUM POTENTIAL

The Young River project area is located approximately 70km east of the Mt Cattlin lithium and tantalum mining operation operated by Allkem Ltd (ASX:AKE, formerly Galaxy Resources Ltd) at Ravensthorpe. The Mt Cattlin deposit has a total reported mineral resource of 11Mt @ 1.2% Li2O and 151ppm Ta2O5 for total contained metal of 131,800t Li2O and 3.7Mlbs Ta2O5 (see Galaxy Resources ASX announcement dated 3 June 2021).

Anomalous lithium results have been reported from previous roadside auger geochemical sampling completed across the Young River tenement block (refer to Mt Monger ASX announcement dated 9 February 2022). Lithium grades up to 75ppm Li were recorded within the current tenement area and an anomalous trend over about 4km length was defined at the Young River lithium prospect (Figure 2).

A soil sampling survey completed by Regency Mines Australia Pty Ltd (Salmon, 2013) in the northern part of EL application 74/723 immediately adjacent to the Young River tenements

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has also identified a significant mobile metal ion (MMI) anomaly known as the Pyramid Lake lithium prospect (Figure 2). This enlongated, east-northeast trending anomaly has a strike length of over 10km and has never been followed up with drilling.

The lithium anomaly is supported by elevated tantalum and caesium values, strongly indicating that the anomaly is associated with the target LCT pegmatites.

Figure 2: Young River project location map showing tenement status, known mineral occurrences and lithium results from historical geochemical sampling overlain on magnetic image (TMI RTP, source GSWA).

REE POTENTIAL

The Albany-Fraser Orogen is an emerging province-scale ionic absorption clay-hosted rare earth element (ionic REE) opportunity. This style of mineralisation can occur when REE's derived from weathering of underlying basement rocks are subsequently enriched in the regolith profile.

A review of historical information in the project area has identified that the Ravensthorpe project is highly prospective for these ionic REE deposits. The Company's current tenements and EL application areas are close to or partially cover historical reconnaissance aircore and RAB drilling undertaken by Silver Lake Resources Limited over a 100km distance between Ravensthorpe and Esperance (Figure 3).

Results show significant end of hole REE enrichment for lanthanum, cerium and yttrium. The other rare earth elements were not assayed (refer to Mt Monger announcement to the ASX dated 22 March 2022).

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Figure 3: Significant REE enrichment (La + Ce + Y) from end of hole samples previously collected by Silver Lake Resources Ltd adjacent to the Young River project and new EL applications.

EXPLORATION PROGRAM

The EL applications are expected to be granted by DMIRS in coming months and compilation of all historical exploration data is in progress. Once granted, the Company will progress both land access agreements and heritage agreements to implement its exploration work programs and begin testing for the targeted lithium and REE mineralisation.

Initial field work will be focussed on confirming the known geochemical anomalies through programs of soil or auger sampling and mapping where access is possible. A larger scale field program and subsequent drilling of targets will follow pending results.

REFERENCES

Salmon, H., 2013. Munglinup North - Pyramid Lake Project, Combined Annual Report E74/318, E74/425 and E74/457 (Combined Reporting Number C228/2007) for the Period 24th January 2012 - 23rd January 2013, Recency Mines Australasia Pty Ltd. WAMEX report number A097663.

This announcement is authorised for release on behalf the Board by Mr Lachlan Reynolds, Managing Director.

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For further information, please contact:
Lachlan Reynolds	Simon Adams
Managing Director	Company Secretary
Mt Monger Resources Limited	Mt Monger Resources Limited
Tel: [phone]	Tel: [phone]
Email: [e-mail]	Email: [e-mail]

APPENDIX I: Summary of Exploration Licence Applications

Application

Area

Annual

Project

Tenement

Status

Expenditure

Date

(BL)

Commitment

Ravensthorpe

E74/723

Pending

2/03/2022

53

$53,000

E74/725

Pending

8/03/2022

58

$58,000

E74/726

Pending

8/03/2022

71

$71,000

Total

354

$182,000*

* When granted

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