Peako : Gold and Base Metal Potential Highlighted in East Kimberley

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Multiple Rock Chip Results Highlight Gold and Base Metal Potential in

East Kimberley Project

13 December 2021

Highlights

• New rock chip results confirm and extend gold and base metal (Cu, Pb ± Ag & Zn) mineralisation at Landrigan, Appaloosa and Gypsy prospects in the Eastman Tenement (E80/4990), where scout drilling results are pending
• Gold assays up to 19.7 g/t and 10.9 g/t received from rock chip samples at Landrigan and Appaloosa prospects respectively
• New gold systems at Taylor River and Glidden identified in Wirana Tenement (E80/5182) from reconnaissance rock chip samples, with assays up to 3g/t Au
• Galena-richvein system identified at Gossan 15 in the Wirana Tenement with assays as high as 55.7% Pb returned from rock chip samples
• Assay results for 473 shallow first pass reconnaissance aircore holes reviewed with anomalous base metal zones identified in the Eastman area
• Assay results from deeper RC 'scout' drilling are expected late December 2021

Peako Limited (ASX: PKO, Peako) is pleased to provide an update on assay results received to date from its 2021 exploration field season activities at its East Kimberley Project.

Results from rock chip sampling, completed late in the 2021 field season, have now been received with anomalous assay results returned from 7 of the 9 prospects sampled (see Figure 1). A total of 93 samples were collected from prospects in the Eastman (E80/4990) and Wirana (E80/5182) tenements (refer Table 1).

The majority of the polymetallic vein systems that were rock chip sampled exhibited anomalous results for both gold and copper, in association with variable lead, zinc and silver assays (Figure 1).

Eastman Tenement (E80/4990) Rock Chip Results

Rock chips from sampling at the Landrigan, Appaloosa and Gypsy prospects in the Eastman Tenement (E80/4990) all returned anomalous gold and base metal (Cu-Pb-Ag-Zn) results.

Landrigan Prospect

At Landrigan two rock chip samples were taken, with gold grades up to 19.68 g/t Au and multi- element data identifying Au-Ag-Cu-Pb metal signatures. The two high-grade rock chip samples are located adjacent to Peako's 2021 scout drill holes for which results are pending. The rock chip sample results are:

• Sample P2104515: 19.7 g/t Au, 243 g/t Ag, 3.3% Cu & 10.5% Pb
• Sample P2104514: 2.0 g/t Au, 50 g/t Ag, 1.5% Cu & 1.6% Pb

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Figure 1. Location of the prospects where anomalous rock chip results were returned

The Landrigan Prospect was originally identified by BHP as a base metal prospect with Peako recognising the prospect's gold potential from results of its 2019 RC drill program. That program intersected Cu-Au mineralisation with results that included 15m @ 1.04% Cu from 184m in PLRC011 and 7m @ 1.1 g/t Au from 133m in PLRC001.

The new rock chip results from Landrigan extend the strike length of known mineralisation previously intersected in historical drilling by a further 90m, bringing the total strike of the system to approximately 300m. The Au-bearing quartz vein systems at Landrigan strike broadly ENE to NE and dip S to SW. Peako's 2021 scout drilling was designed to test near-surface (<100m) extensions to these vein systems. The results are pending.

Appaloosa and Gypsy Prospects

At Appaloosa, new rock chip results have further defined a gold-bearing vein system that is continuous over a strike length of 180m but which is offset by a series of NE-trending chloritic shears. The gold-bearing veins are typically vuggy and gossanous and hosted by massive serpentinised gabbro. Veins are typically narrow (cm-scale), south dipping and often stacked in outcrop, being traced at surface for up to 50m (see Figure 2).

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Figure 2. Appaloosa prospect showing location including new rock chip locations

The Appaloosa prospect rock chip samples have Au-Ag-Pb metal association, with minor Cu and Zn values. New high-grade results at Appaloosa include:

• Sample P2101018 - 10.95 g/t Au, 7.8 g/t Ag, 1.8% Pb, 0.12% Cu & 0.11% Zn
• Sample P2101016 - 5.66 g/t Au, 14.4 g/t Ag, 9.2% Pb, 0.13% Cu & 0.12% Zn
• Sample P2101019 - 4.27 g/t Au, 5.3 g/t Ag, 1.7% Pb, 0.07% Cu & 0.24% Zn
• Sample P2101017 - 3.04 g/t Au, 10.0 g/t Ag, 6.5% Pb, 0.08% Cu & 0.5% Zn
• Sample P2101020 - 1.73 g/t Au, 6.0 g/t Ag, 1.3% Pb, 0.09% Cu & 0.1% Zn
• Sample P2101021 - 1.1 g/t Au, 13.2 g/t Ag, 0.56% Pb, 8.7% Cu & 0.03% Zn

At Gypsy new rock chip samples continue to define quartz-copper vein-shearsystems hosted within or at the margins of gabbro. The samples consisted of gossanous quartz veins with varying amounts of associated malachite, covellite and chalcopyrite. The veins are generally less than 1m in width and form a N to NE trending stacked array.

New significant copper-rich results from Gypsy include:

• Sample P2101015 - 3.7% Cu, 0.8 g/t Au, 5.7 g/t Ag & 0.04 % Pb
• Sample P2101013 - 3.2% Cu, 0.02 g/t Au, .07 g/t Ag &0.01% Pb
• Sample P2101011 - 1.4% Cu, 0.02 g/t Au, 5.1 g/t Ag &0.01% Pb

Scout drilling was completed at each of Appaloosa and Gypsy during the 2021 field season, the assay results from which are pending.

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Wirana Tenement (E80/5180)

Reconnaissance ground checking and rock chip sampling was completed over several prospects in the Wirana tenement. This tenement has only undergone precursory work by previous explorers. Reconnaissance field work has identified encouraging Cu- (malachite) and Pb- (galena)-rich pyritic to gossanous veins and fault structures at a number of prospects which has been confirmed by gold and multi-element assay analysis.

New Gold Prospects

Rock chip samples from Taylor River, Taylor River East and Glidden in the north of the Wirana Tenement (E80/5182) identify the presence of multiple gold-rich systems with an Au-Ag-Cu metal signature.

Samples from the Taylor River prospects were taken from banded quartz veins which were varyingly gossanous with some samples containing malachite. Best results were returned from Taylor River, where a strong Au-Cu association is present with results up to 3g/t Au and 11.1% Cu. Samples at Taylor River were mostly taken from an ESE striking, south-west-dipping vein and shear zone that contained a 2 metre wide banded quartz-malachite vein that outcropped continuously over 70m.

Significant rock chip results at Taylor River and Taylor River East include:

• Sample P2104567 - 2.4 g/t Au, 11.1% Cu, 5 g/t Ag
• Sample P2104568 - 3.0 g/t Au, 10.4% Cu, 5 g/t Ag
• Sample P2104566 - 1.2 g/t Au, 1.8% Cu, 4 g/t Ag
• Sample P2104569 - 0.3 g/t Au, 1.3% Cu, 3 g/t Ag
• Sample P2104560 - 2.0% Cu, 3 g/t Ag

AB

Figure 3 A) Malachite-bearing quartz carbonate veins up to 1.5m wide at Taylor River. B) Gossanous Cu-oxide bearing vein-fault near Glidden River

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Rock chip results from the Glidden Prospect also identified the presence of Au systems on E80/5182. Glidden is comprised of ENE striking gossanous structures that occur within prominent outcropping granodiorite ridges striking over 850m in length. Mineralisation is generally represented by a low level Au-Ag-Cu metal signature. Best results include;

• Sample P2104578 - 0.36 g/t Au, 1 g/t Ag, 0.20% Cu
• Sample P2104572 - 0.04 g/t Au, 1 g/t Ag, 0.36% Cu

Base Metal Systems

Anomalous Pb results were returned from veins at the Gossan 15 Prospect in the south of the Wirana Tenement. Gossan 15 consists of multiple vein and shear systems located along the contacts between sediments and dolerite or aplite intrusions. One system at Gossan 15 is a multistage quartz-carbonate-galena vein that extends over 500m. Galena is developed as veinlets to sub-massive polycrystalline aggregates possibly associated with a late carbonate vein phase to the quartz vein. A total of 21 rock chips were sampled across the Gossan 15 prospect and assay results confirm a Pb-Zn ±Ag metal signature.

Best rock chip results include:

• Sample P2104532 - 89 g/t Ag, 55.8% Pb, 1.1% Zn
• Sample P2104517 - 13 g/t Ag, 14.5% Pb, 3.0% Zn
• Sample P2104518 - 21 g/t Ag, 10.4% Pb, 1.4% Zn
• Sample P2104531 - 3 g/t Ag, 2.5% Pb, 1.2% Zn

Figure 4. Gossan 15 Prospect of quartz-carbonate vein and shear zone and close-up of quartz- carbonate vein containing patches of polycrystalline galena.

Aircore Geochemistry Assays

An aircore geochemistry program completed early in Peako's 2021 field season incorporated a 473 hole program for a total of 3,017 metres across seven target areas defined from surface geochemistry, geology, geophysics and satellite imagery (refer Figure 5 and Table 2). Assay results have defined two anomalous base metal corridors at Eastman East and Eastman No.2.

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