AusQuest Confirms Playa Kali IOCG System Whilst Lantana Drilling Commences

Two Drills, Two Targets: AusQuest's Major Peru Copper-Gold Update

AusQuest Limited (ASX: AQD) has delivered a significant exploration update, confirming the presence of an iron-oxide copper-gold (IOCG) hydrothermal system at its 100%-owned Playa Kali Copper-Gold Project in Peru — the first drilling programme ever completed in this area. The AusQuest Playa Kali IOCG hydrothermal system and Lantana porphyry copper drilling update marks one of the company's most active and potentially transformative exploration phases to date, with assays pending and a second maiden drill programme now underway.

The company completed 12 RC holes for a total of 3,733 metres at Playa Kali, confirming alteration systems consistent with IOCG mineralisation. The drill rig has since mobilised to Lantana, where a +4,000 metre programme across at least 10 holes has commenced to test a large-scale porphyry copper target with widespread high-grade copper at surface.

"This is the first drilling programme to ever be completed in this area with initial indications suggesting that the extensive magnetic complexes (+8km) are caused by hydrothermal (iron) alteration systems capable of producing copper (+/- gold) mineralisation. We are also very excited to have now commenced our maiden drill programme at Lantana — a large-scale porphyry copper target containing a multitude of high-grade copper samples at surface which we believe have the potential to continue at depth."

— Graeme Drew, Managing Director

Two Drills, Two Targets: Understanding AusQuest's Peru Strategy

AusQuest is pursuing two distinct and complementary copper-gold targets across its Peruvian portfolio, each representing a different but well-understood deposit style in one of the world's premier copper belts.

Together, these programmes represent AusQuest's most substantial boots-on-ground exploration effort in Peru, with both projects 100% owned by the company.

Playa Kali: First-Ever Drilling Confirms a Live Hydrothermal System

The completion of AusQuest's maiden drill programme at Playa Kali marks a genuine milestone — no prior drilling has ever been conducted in this area, meaning AusQuest is the first mover in testing what geological mapping and geophysics had already flagged as a compelling IOCG target.

The programme was designed to test the eastern portion of an extensive east-west trending magnetic complex stretching over 8 kilometres — a feature reminiscent of the geological setting at the Mina Justa deposit, located approximately 100km to the north. Mina Justa is a producing IOCG copper mine, providing a meaningful regional analogue for the type of system AusQuest is targeting.

What Did the Drilling Reveal?

The 12-hole programme intersected a mixed sequence of volcanics and sediments hosting:

• Moderate to strong hydrothermal iron alteration, confirmed by disseminated magnetite throughout the sequence
• Key alteration mineral assemblages including actinolite, chlorite, epidote and K-feldspar — all hallmarks of an active IOCG hydrothermal system
• Copper sulphides (chalcopyrite) and pyrite within broad zones of magnetite, logged across multiple drill holes
• Visual sulphide estimates ranging up to 0.5% chalcopyrite in select intervals (e.g., 4m interval in PLKRC004)

The visual mineralisation data across the programme is summarised below:

Note: Visual estimates are qualitative observations only and should not be treated as a proxy for laboratory assay results.

Importantly, alteration vectors from the drilling suggest the most prospective copper-gold mineralisation is likely to occur peripheral to the magnetic bodies, coincident with key structural intersections — a targeting refinement that will guide future work programmes.

Laboratory assay results are expected by the end of June, at which point a full assessment will be completed and next-stage work programmes designed.

Understanding Iron-Oxide Copper-Gold (IOCG) Systems

Iron-Oxide Copper-Gold (IOCG) deposits are large-scale hydrothermal systems where copper and gold mineralisation is associated with extensive zones of iron oxide alteration. These deposits form when hot fluids carry metals through rock formations, creating distinctive mineral signatures that can extend over several kilometres.

Key characteristics relevant to investors include:

• Scale: IOCG systems can extend over kilometres, making them capable of hosting very large resources
• Grades: Can carry economically significant copper and gold grades simultaneously
• Regional context: Peru's coastal belt hosts multiple known IOCG deposits, including the producing Mina Justa mine ~100km north of Playa Kali
• Exploration indicators: The presence of magnetite alteration, chalcopyrite, and key hydrothermal minerals confirmed by AusQuest's drilling are all consistent with proximity to an IOCG-mineralised centre

The fact that drilling has confirmed a hydrothermal system at Playa Kali — with copper sulphides present — elevates the project from a geophysical anomaly to a confirmed geological target worthy of follow-up exploration. Furthermore, the broader AusQuest Playa Kali IOCG hydrothermal system and Lantana porphyry copper drilling update reinforces the strategic value of pursuing both targets simultaneously.

Lantana: Testing a Large-Scale High-Grade Porphyry Copper Target

With the Playa Kali rig completing its work, AusQuest has wasted no time mobilising to Lantana. The Lantana Porphyry Copper Prospect presents a target profile that stands out among active exploration programmes in the region.

Why Is Lantana So Significant?

The company's report outlines several compelling characteristics:

• Target dimensions: Approximately 2,000m x 800m — a large footprint for a porphyry system
• Surface copper grades: Widespread rock-chip samples returning copper values often in excess of 1.0% Cu, accompanied by anomalous molybdenum and bismuth — classic porphyry copper pathfinder elements
• Advanced argillic alteration (AAA): Large mapped areas of AAA within the andesitic volcanic sequence, characteristic of the upper lithocap above a porphyry system
• Structural setting: High-grade copper values occur within dyke-like features marginal to the mapped lithocap, pointing toward a strongly mineralised porphyry centre at depth

The programme — at least 10 holes for +4,000 metres — is designed to test whether the high-grade copper signature at surface is indicative of a mineralised system extending to economic depth.

According to the announcement, drilling is expected to take 3 to 4 weeks to complete, with assay results anticipated approximately 4 weeks after drilling concludes.

Understanding Porphyry Copper Deposits

Porphyry copper deposits are the world's largest source of copper, typically forming large ore bodies with predictable geometries. They form from hot fluids released by cooling magma chambers that carry copper, molybdenum, and gold into surrounding rocks. The Andes of South America — including Peru — host some of the world's most significant porphyry copper mines.

Key Technical Terms Explained

Upcoming Catalysts: A Concentrated Window of Results

Investors in AusQuest are looking at a concentrated window of upcoming results that could materially impact the company's exploration assets.

Both sets of results are expected within a relatively tight window, meaning investors could receive two rounds of significant exploration news in the coming months.

Investment Considerations: AusQuest's Current Position

AusQuest's current position reflects several attributes that resource investors typically examine in early-stage copper explorers.

First-mover advantage: The Playa Kali drilling programme is the first ever conducted in the area — AusQuest is defining the geological framework in a region with a demonstrated history of copper production nearby.

Dual high-impact targets: Rather than a single exploration bet, AusQuest is running two separate drill programmes targeting different but complementary copper-gold system types simultaneously, diversifying the near-term catalyst pipeline.

Strong surface expression at Lantana: Rock-chip copper values consistently above 1.0% Cu across a 2,000m x 800m target area represents a compelling surface signal for systematic drilling programmes.

100% ownership: Both Playa Kali and Lantana are wholly owned by AusQuest, meaning the company retains full exposure to any discoveries without dilution through joint venture arrangements.

Regional context: The proximity of Playa Kali to the operating Mina Justa IOCG mine (~100km north) provides a real-world comparison for the type of system AusQuest is targeting.

Technical oversight: The programme is overseen by Managing Director Graeme Drew, a Fellow of the Australasian Institute of Mining and Metallurgy (AUSIMM) and qualified Competent Person under the JORC Code 2012.

What This Means for Investors

AusQuest is approaching what could be a defining period in its exploration history. The confirmation of a live IOCG hydrothermal system at Playa Kali — the first-ever drilling in the area — establishes that the geological model warrants further evaluation.

Meanwhile, the commencement of drilling at Lantana opens the door to what could be a large-scale porphyry copper discovery, backed by one of the more compelling surface anomalies in AusQuest's portfolio. In addition, the broader significance of the AusQuest Playa Kali IOCG hydrothermal system and Lantana porphyry copper drilling update lies in its dual-programme structure, which provides investors with two separate near-term catalysts rather than one.

With assay results from two separate programmes expected within the coming weeks to months, the news flow is likely to be sustained. In a global environment where copper supply faces increasing structural pressures, early-stage copper discoveries in proven jurisdictions like Peru carry genuine strategic value for the resource sector.

AusQuest has confirmed a real and active hydrothermal copper system at Playa Kali, while simultaneously advancing what could be evaluated as a large-scale porphyry copper discovery at Lantana. With two rounds of drill results expected in the near term — and 100% ownership of both projects — AusQuest represents a focused, high-impact copper exploration story unfolding in one of the world's most prolific copper regions.

Ready to Follow AusQuest's Dual-Programme Copper-Gold Story in Peru?

With two maiden drill programmes now completed or underway at 100%-owned Peruvian projects, and a concentrated window of assay results expected in the coming weeks, AusQuest (ASX: AQD) is entering what could be one of the most significant periods in its exploration history. From the confirmed IOCG hydrothermal system at Playa Kali to the large-scale porphyry copper target at Lantana, the company is advancing two high-impact copper-gold programmes simultaneously — with full exposure to any discoveries. Investors looking to learn more about AusQuest, its Peruvian project portfolio, and the upcoming catalysts that could shape the company's trajectory can visit www.ausquest.com.au for the latest updates.