Petratherm Limited reported Batch 2 rare earth (REE) drill results from the Comet Project located in the Northern Gawler Craton of South Australia (Figure 1). Drilling has defined a major REE occurrence named here the Meteor Prospect. The Meteor Prospect is characterised by a high-grade blanket of mineralisation over 1,000 ppm Total Rare Earth Oxide (TREO) and includes 3m composite samples up to 2,325 ppm TREO.

The high-grade zone (>1,000 ppm TREO) starts at shallow depths between 3 to 9 metres over the prospect area and ranges in thickness from 3 metres to 18 metres, with an average intercept thickness of 9 metres. The high-grade mineralisation extends over an approximate 1,200 metre by 700 metre area, with other satellite mineralised zones also present requiring additional drilling to characterise (Figure 1). High-value magnet rare earth (MREO) intercepts up to 546 ppm are recorded and average 25% of the total REE's. Meteor Prospect rare earth intersections include high- value Scandium Oxide (Sc2O3) credits averaging 45 ppm with a peak intersection of 111 ppm recorded, offering additional revenue potential.

The drill results presented are 3 metre composite samples from a 200 metre spaced air core drilling program. West-East and North-South cross-sections over the Meteor Prospect show an upper high-grade (1,000 to 2,325 ppm TREO) zone of enrichment within the saprolite clay (Figures 2 & 3). This is surrounded by a broader mineralised envelope ranging between 500 to 1000 ppm TREO and extends below the high-grade pod into the saprock zone below.

The mineralisation spatially overlies a prominent magnetic body (Figure 1) which is a possible primary source of the rare earths. Basement samples in this area have a distinctive mafic mineral chemistry and may represent some form of intrusive complex. Petrological studies are planned to better understand the basement geology and determine if these are primary source rocks for the overlying mineralisation.

PTR postulate that the magnetic body may be a coeval intrusion with the Muckanippie Complex which forms a series of small to large intrusions in the region. PTR recently acquired a significant land holding over the central portion of the Muckanippie Complex through a competitive bid. Several other similar discrete magnetic anomalies remain untested on PTR's Comet tenements and will be an additional focus for future drilling exploration.

It is anticipated infill and step out drilling at Meteor REE Prospect will get underway from the start of October with the aim of defining JORC resources. Test work of the REE clay samples at ANSTO is planned as part of a comprehensive program of metallurgical optimisation on REE recoveries. In addition to this work, the drill rig will undertake drilling of other REE mineralised areas previously identified and testing of new target areas.

PTR's final Batch 3 results representing a further 91 drill holes from other anomalous REE areas are at ALS laboratories undergoing analysis. These results are due in the coming weeks and PTR will report on these once they arrive and have undergone compilation and interpretation by the reporting geologist.