SI6 Metals : Numerous Intrusive Gold Targets Identified at Monument

ASX Code: Si6

ASX Announcement

29 March 2022

AC DRILLING IDENTIFIES NUMEROUS INTRUSIVE GOLD TARGETS

AT MONUMENT PROJECT, WESTERN AUSTRALIA

Highlights

• • Final results received from the geochemical drilling program exploring for prospective felsic intrusives across the ~300km2 Monument Gold Project

• • End of hole multi-element assay data indicates 18 out of 26 targets drilled classify as fractionated, potentially fertile intrusives prospective for bulk tonnage gold mineralisation

• • The identified intrusives are analogous to those that host the Jupiter (1.5Moz) and Cameron Well (0.25Moz) deposits located in the neighbouring 2Moz Mt Morgans Gold Project owned by Dacian Gold Ltd (ASX:DCN)

• • The Korong intrusive belongs to the sanukitoid suite of evolved intrusive rocks comparable to the "Hemi-style" gold-bearing sanukitoid intrusions being developed by De Grey Mining Ltd (ASX:DEG)

• • Importantly, the broad spaced shallow drilling also intersected numerous zones of strongly anomalous gold mineralisation (>0.1g/t Au), further confirming the intrusive targets are fertile and prospective for bulk tonnage gold mineralisation

• • High priority mineralised corridor over 4km long and 500m wide has now been identified along western margin of the Korong intrusive

• • Follow-up AC drilling testing high priority targets is scheduled for end of April.

Si6 Metals Limited (ASX: Si6 or the Company) is pleased to announce results from the reconnaissance aircore (AC) geochemical drilling program undertaken across its 100%-owned Monument Gold Project (MGP) located in the Laverton Tectonic Zone (LTZ), Eastern Goldfields, Western Australia. The MGP is located near six +2Moz gold deposits within a 75km radius, including the Granny Smith (~3Moz), Wallaby (~7Moz) and Sunrise Dam (10Moz) gold deposits. Recent and nearby discoveries by Dacian Gold Ltd (Dacian Gold, ASX:DCN) include Jupiter (~1.5Moz), Westralia (>2Moz) and Cameron Well (0.25Moz)(Figures 1 and 2).

Si6 Executive Chairman, Patrick Holywell stated, "We are highly encouraged by the results of the AC drilling program which successfully proved the presence of 18 potentially fertile gold intrusives among our 26 targets that are spread over a 30km strike at the Monument Gold Project. These intrusive targets are highly prospective for gold in a Western Australian region which is well known for giant, intrusive-related gold discoveries. The Korong intrusive associated with rocks of the sanukitoid suite makes me quite excited as we know De Grey Mining has a similar suite up in the Pilbara and most people know how that played out!

"The results from this drilling also give the Company confidence as we approach the upcoming Phase 2 AC drilling program which is scheduled to begin end of April. Phase 2 is set to target the high priority targets that we have identified from the significant number of early and advanced stage intrusive prospects that we have now confirmed exist over the length of the Project."

Program Details

During 2021, Si6 announced it had been successful in its application for co-funded exploration drilling through the Western Australian Department of Mines, Industry, Regulation and Safety (DMIRS) Exploration Incentive Scheme (EIS) program where a 50% refund of direct drilling costs are awarded for innovative drilling projects such as this latest drilling campaign.

Towards the end of 2021, Si6 commenced the first phase of AC drilling at Monument targeting intrusion related gold deposits (Phase 1). This followed on from reverse circulation drilling at the Korong and Waihi banded iron formation hosted mineral deposits where a 154koz inferred gold resource has been declared, along strike from Dacian Gold.

Phase 1 drilling aimed to map out the distribution of intrusive targets and identify those prospective for bulk tonnage gold mineralisation based on their multi-element geochemical signature. The program tested 26 out of 60 high-level targets comprising 126 holes for 4,198m. Drill samples were submitted for gold and multi-element assay analysis, with the end of hole, fresh rock samples analysed for whole rock geochemistry to characterise rock type. Spectral analysis to identify styles of alteration associated with intrusion related gold mineralisation were also requested.

Targets identifying as fertile intrusives will be tested in the next round of aircore drilling (Phase 2). Phase 2 drilling is scheduled for the end of April and will prioritise prospective intrusive targets in addition to systematically testing the large number of regional, structural targets which are obscured by transported cover and which have seen little to no exploration to date.

Figure 1. Location of Monument Gold Project.

Figure 2: Location of felsic intrusive prospects and mineral deposits within Laverton Tectonic Zone.

Analysis and interpretation

Detailed interpretation of end of hole drill samples was undertaken using ioGASTM software (ioGAS), an exploratory software tool specifically designed for mineral exploration. The software utilises mineral and elemental abundances to classify rock suites by comparing to known data sets which occur within ioGAS.

To classify rock type in ioGAS based on elemental abundances, a 1m end of hole sample comprising near fresh rock was collected and submitted to ALS laboratories for low-level gold assay and a four acid digest to completely dissolve all minerals. The analytical results were then loaded into ioGAS and elemental compositions and ratios plotted, analysed and compared to determine overall rock types. Low-level gold analyses consisted of aqua regia digest and fire assaying for end of hole samples with an ICP finish. Although the drilling did not specifically target gold mineralisation, a number of anomalous gold intercepts were encountered such as at Two Bills in the north of the project, Korong, McKenzie Well and Aermotor Well in the south, including 4m at 1.38g/t Au from surface (MOAC118), 4m at 0.44g/t Au from 36m (MAOC064) and 4m at 0.19g/t Au from 20m (MOAC118) (Figure 3).

Figure 3. End of hole whole rock geochemistry data classified using ioGAS software and location of significant intrusive bodies

The principal intrusive rock types identified from the study include granite, granodiorite, diorite and quartz-feldspar porphyry (felsic volcanic) with 64 out of the 126 holes drilled classed as felsic intrusives.

The intrusives are spread over a 30km strike spanning the entire project and occur in 18 out of 26 of the targets drill tested (Figures 2 and 3). The identified intrusives are analogous to those that host the Jupiter (1.5Moz) and Cameron Well (0.25Moz) deposits located in the neighbouring 2Moz Mt Morgans Gold Project owned by Dacian Gold.

Two of the larger, outcropping felsic intrusive bodies, which are located in the southeast corner of the project area, have known resources nearby, including Korong (3Mt @ 1.4g/t Au for 139koz inferred) located west of the Korong felsic intrusive and Dacian Gold's McKenzie Well (0.95Mt @ 1.10g/t Au for 34koz inferred - see ASX:DCN announcement 16 February 2021) located east of the McKenzie Well granite. Coincidently, both mineral deposits contain late-stage felsic intrusives within and are proximal to the mineralised zones (Figures 3 and 4).

Figure 4. Location of mineralised intercepts along western corridor of Korong intrusive.

Korong Intrusive Target

The Korong intrusive target consists of a 2km x 2km circular feature classified in ioGAS as a felsic granitoid intrusive and is located 2km southeast of the Korong gold deposit (3Mt @ 1.4g/t for 139koz Au inferred) where Si6 undertook a resource infill and extension drilling program in January 2021.

Analysis of the strontium (>500ppm Sr) and yttrium (<10ppm Y) in addition to silicon, magnesium, barium and (light rare earth) LREE elemental abundances indicate the Korong intrusive belongs to the sanukitoid suite of evolved intrusive rocks. A similar suite of sanukitoid rocks has been identified as the principal host lithology at De Grey Mining Limited's (ASX:DEG) ~7Moz Hemi gold discovery in the Pilbara (see ASX:DEG June 2021). Typically, sanukitoids are mantle derived rocks and are commonly enriched in gold.

Anomalous gold mineralisation was intersected in broad, 320m spaced AC drilling along the western edge of the intrusive, which included a mineralised intercept of 4m @ 0.19g/t Au in hole MOAC118 from 24m. A field inspection of the mineralised intersection confirmed that the elevated gold mineralisation is associated with quartz veining hosted within a felsic granitoid intrusive. Shallow alluvial