Astute Metals Announces Significant Lithium Discovery

BREAKTHROUGH DRILLING RESULTS HIGHLIGHT GROWING SCALE

Astute Metals (ASX: ASE) has reported outstanding results from the first of six holes in its April 2025 diamond drilling campaign at the 100%-owned Red Mountain Lithium Project in Nevada. The latest assays from drill-hole RMDD003 delivered multiple high-grade lithium zones, including:

• 32.4m @ 3,260ppm Li / 1.74% LCE from 57.2m, including an ultra high-grade zone of 8.6m @ 5,060ppm Li / 2.69% LCE
• 13.8m @ 1,330ppm Li / 0.71% LCE from 39.6m
• 23.3m @ 1,610ppm Li / 0.86% LCE from 94.4m to end-of-hole

Significantly, RMDD003 successfully extended the mineralisation 630m north of previous drilling, with the northernmost drill-hole returning the highest-grade lithium intercept recorded at the project to date. The hole ended in lithium mineralisation, indicating potential for further extension both down-dip to the east and along strike to the north.

"Our 2025 exploration campaign is off to a fantastic start, with exceptional assays returned for the first step-out diamond hole, RMDD003. We are impressed by the thickness and grade of the mineralisation, with the high-grade intercept returned from this hole showing that the previously identified high-grade zone extends for a considerable distance to the north."

– Tony Leibowitz, Astute Chairman

UNDERSTANDING CLAYSTONE LITHIUM DEPOSITS

Claystone lithium deposits are becoming increasingly important in the global lithium supply chain. These deposits form when lithium-bearing volcanic glass weathers within tertiary-aged tuffaceous lacustrine (lake) sediments.

The formation process typically involves:

1. Sediment Deposition: Ancient lake environments collected volcanic sediments rich in lithium
2. Weathering Process: Over millions of years, weathering of volcanic glass releases lithium
3. Clay Formation: The lithium becomes bound within clay minerals in the sedimentary layers

Nevada has emerged as a premier jurisdiction for this deposit type, hosting world-class projects including:

Red Mountain's geology shares similarities with these major deposits, with broad mapped tertiary lacustrine sedimentary rocks known locally as the Horse Camp Formation. These sedimentary units host the lithium mineralisation being targeted by Astute Metals' drilling programme.

HIGH-GRADE NORTHERN ZONE SHOWING EXCEPTIONAL POTENTIAL

The two northernmost holes at Red Mountain (RMDD003 and RMDD002) have intersected significantly higher lithium grades than elsewhere in the project. This suggests the northern section may host a particularly high-grade zone, which remains open for further expansion.

The technical team's success in extending mineralisation has now delineated an additional 630m of strike length. Surface sampling indicates further potential extending at least another 410m north, with the dip of the prospective stratigraphy to the east also indicating down-dip expansion potential.

Key features of the latest drilling include:

• The highest single sample grade of 5,660ppm Li (from 69.2-70.7m)
• Consistent high grades in clay-rich zones
• End-of-hole mineralisation suggesting further potential at depth

The Astute Metals lithium discovery continues to grow in both scale and potential economic significance with each drilling campaign. The latest results suggest the Red Mountain Project could potentially rank among Nevada's significant lithium resources if exploration success continues.

METALLURGICAL ADVANTAGES ENHANCE PROJECT ECONOMICS

Initial metallurgical testing at Red Mountain has shown promising results that could significantly enhance project economics:

• High lithium leachability of up to 98% depending on temperature, acid strength, and leaching duration
• Successful proof-of-concept beneficiation testwork indicating potential to upgrade the mineralisation
• Production pathway to lithium carbonate, a direct battery-grade product currently priced at US$9,186/t (Benchmark Mineral Intelligence, May 2025)

Unlike spodumene concentrate, which requires further processing, lithium carbonate is a downstream product that may be used directly in battery production or converted to other battery products such as lithium hydroxide. This production pathway is common for claystone lithium deposits and could provide a cost advantage for the Astute Metals lithium discovery.

PROJECT LOCATION AND INFRASTRUCTURE

The Red Mountain Project benefits from an excellent location in central-eastern Nevada adjacent to the Grand Army of the Republic Highway (Route 6), which connects the regional mining towns of Ely and Tonopah. This strategic position provides:

• Established Road Access: Direct connection to major regional highways
• Proximity to Mining Centres: Located between established mining communities with skilled workforce
• Regional Infrastructure: Access to power, water and logistics networks essential for development

Nevada's status as a mining-friendly jurisdiction with clear permitting pathways adds further value to the project location. Furthermore, the state ranks consistently as one of the top mining jurisdictions globally and hosts numerous active mining operations, similar to regions where sulphide mineralisation at Triumph has been confirmed.

WHY INVESTORS SHOULD FOLLOW ASTUTE METALS

Astute Metals is rapidly establishing Red Mountain as a lithium discovery of significance in North America. Several key factors make this an exciting opportunity for investors:

1. Expanding Footprint: With lithium mineralisation now defined over 5.6km of strike length, the project continues to grow with each drilling programme.

2. Grade Advantage: The high-grade northern zone, with intercepts exceeding 5,000ppm Li, places Red Mountain in the upper tier of claystone lithium deposits.

3. Clear Development Path: With metallurgical testing already underway and promising results, the company is advancing toward a maiden JORC Mineral Resource Estimate later in 2025.

4. Strategic Location: Situated in mining-friendly Nevada with excellent infrastructure, including proximity to the Grand Army of the Republic Highway connecting the mining towns of Ely and Tonopah.

5. Rising Lithium Demand: As the global shift to electric vehicles accelerates, securing domestic lithium supply in the United States remains a strategic priority.

The upcoming assay results from the remaining five holes of the April drilling campaign, along with planned follow-up drilling in the second half of 2025, provide multiple near-term catalysts for Astute Metals as it continues to advance this promising lithium asset toward development.

TECHNICAL DETAILS OF THE DRILLING PROGRAMME

The April 2025 drilling programme consisted of six diamond drill holes designed to test extensions to the mineralisation identified in previous drilling campaigns. The programme specifically targeted:

1. Strike Extensions: Testing the continuity of lithium mineralisation along the north-south trend
2. High-Grade Zones: Further definition of the high-grade northern zone identified in earlier drilling
3. Depth Potential: Evaluating the down-dip potential of the mineralised horizon

The drilling method employed was HQ diamond drilling, which provides high-quality core samples ideal for detailed geological logging and analysis. This methodology allows for:

• Precise determination of lithological boundaries
• Structural measurements important for understanding deposit geometry
• Collection of intact samples for metallurgical testwork
• High sample recovery rates for accurate grade determination

The Astute Metals lithium discovery continues to be advanced using industry-standard exploration techniques appropriate for claystone lithium deposits. In addition, the company employs rigorous quality control protocols, including the insertion of certified reference materials, blanks, and field duplicates to ensure the reliability of assay results, similar to approaches seen in multi-project drilling campaigns.

FUTURE EXPLORATION PLANS

Following the success of the April drilling programme, Astute Metals has outlined plans for continued exploration at Red Mountain in the second half of 2025. These plans include:

• Additional drilling to further extend the known mineralisation both along strike and down-dip
• Infill drilling in the high-grade northern zone to increase confidence in grade continuity
• Continued metallurgical testing to optimise processing options
• Environmental baseline studies to support future permitting requirements

The company's methodical approach to advancing the Red Mountain Project demonstrates a clear pathway toward resource definition and potential development. With each successful drilling programme, the Astute Metals lithium discovery continues to strengthen its position as a potentially significant contributor to North American lithium supply. In the exploration space, this methodical approach to new targets and expansion has proven effective for many resource companies.

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