Canobie Drill Program Completed

ASX ANNOUNCEMENT

12 NOVEMBER 2021

ASX: SER

For personal use only

CANOBIE DRILL PROGRAM COMPLETED

HIGHLIGHTS

• Two diamond holes completed at Kalarka magnetic-gravity-EM target
• Mafic / ultramafic intrusive intersected analogous to nearby Tea Tree Ni-Cu Prospect
• Multi-elementassays including Platinum Group Elements expected mid-December

Strategic Energy Resources Limited (ASX: SER) is pleased to announce completion of diamond drilling at the Kalarka Prospect within the Canobie Project, Northwest Queensland.

The two drill holes, which were collared 535m apart and totalled 1574m of drilling, were designed to test the Kalarka Prospect, a discrete 750 x 600m, 40nT aeromagnetic response characterised by an elevated Electromagnetic (EM) response and partially coincident anomalously higher density.

Drill holes CNDD001A and CNDD002 both intersected mafic / ultramafic intrusive units with evidence of disseminated and semi-massive magmatic sulphides as shown below (Fig 1,2). Simplified lithological logs are detailed in Appendix 1 & 2. The drill holes contain inherent similarities in host rocks and sulphide mineralisation style to the nearby Tea Tree Nickel-Copper Sulphide Prospect (Fig 3, Table 1) which recorded a 10.4m intersection at 0.25% Nickel and 0.28% Copper in drill hole TT00D11, located approximately 2.75km southeast of Kalarka.

Figure 1: CNDD001A at 635.9m down-hole showing matrix-textured sulphide zone (NQ core ~48mm diameter)

Visual estimates of sulphide potential and lithological logs are preliminary and final assays are required to determine the grade and thickness of any mineralisation.

1ASX Announcement 26 August 2020:Exploration Update: Saxby Gold Project
		www.strategicenergy.com.au
Strategic Energy Resources Limited
ABN 14 051 212 429	E: [e-mail]
Level 4, 100 Albert Road, South Melbourne VIC 3205	T: [phone]

ASX ANNOUNCEMENT

12 NOVEMBER 2021

ASX: SER

For personal use only

Figure 2: CNDD001A at 636.5m down-hole showing semi-massive sulphide zone

The presence of a Tea Tree equivalent mafic system at Kalarka greatly increases the size of the known prospective mafic system. This expands the prospective search area worthy of further exploration for repeats or thicker/higher grade intersections of the mineralisation at Tea Tree and Kalarka.

Diamond core will be orientated, geologically logged, structurally logged and have petrophysical measurements taken. The basement core will be sampled and assayed for a multi-elemental suite that includes nickel, copper and platinum group elements using fire assay / inductively coupled plasma mass spectrometry. The lithological descriptions will be confirmed following receipt of geochemical results and petrographic investigations which are expected to start arriving mid- December. Hole CNDD002 was terminated earlier than planned at 667.6m due to adverse hole conditions. Semi-massive sulphides were observed ~5m from the End of Hole at 662.2m downhole.

The drilling at Kalarka is co-funded through the Queensland Government Collaboration Exploration Initiative.2

The Canobie Project

The Canobie Project consists of seven exploration licences (1640km2) that cover an entire belt of the northern buried extension of the Mt Isa Eastern Succession. The area is located approximately 150km NNE of Cloncurry in northwest Queensland. The NNE trending magnetic belt on which the Canobie Project is located also hosts the giant Glencore & Evolution owned Ernest Henry Copper- Gold mine approximately 140km to the south. SER is targeting Iron Oxide Copper-Gold (IOCG) and

2business.qld.gov.au/industries/mining-energy-water/resources/geoscience-information/exploration-incentives/exploration-grants

Strategic Energy Resources Limited	www.strategicenergy.com.au
ABN 14 051 212 429	E: [e-mail]
Level 4, 100 Albert Road, South Melbourne VIC 3205	T: [phone]

ASX ANNOUNCEMENT

12 NOVEMBER 2021

ASX: SER

For personal use only

Figure 3: Left: Drill holes intersections surrounding the Kalarka Prospect over a Bouguer Gravity Image. Right: Reduction to Pole Magnetic Image.

Ni-Cu-PGE sulphide mineralisation hosted in basement rocks buried beneath younger sedimentary cover of the Carpentaria Basin.

The basement geology within the project area is poorly understood and has been interpreted from geophysical datasets and limited deep diamond drilling. The nearest exposure of Mt Isa basement rocks is estimated to be over 70km to the southwest. Historical drilling has shown that basement rocks are buried beneath Mesozoic and younger sediments (comprising siltstone, sandstone, conglomerate and carbonate units of the Carpentaria Basin).

Less than 30 drillholes in the entire district have penetrated Proterozoic basement which include multiple high-grade gold hits at Saxby, Ni-Cu sulphides at the Tea Tree Prospect and numerous intersections of copper and uranium mineralisation in isolated drillholes within intensely altered rocks that have never been followed up. This extraordinary strike rate of intersecting mineralisation from a limited number of holes over a large area led SER to secure the entire belt.

Tea Tree Nickel-Copper Prospect

The Tea Tree Prospect was first identified by MIM Exploration through diamond drilling in 1994. Drillhole TT001D intersected 10m @ 0.28% Cu @ 0.25% Ni (from 508.2m). Mineralisation is associated with disseminated to semi-massive sulphides dominantly pyrrhotite with accessory chalcopyrite and pentlandite, hosted in a mafic / ultramafic intrusive system.

Strategic Energy Resources Limited	www.strategicenergy.com.au
ABN 14 051 212 429	E: [e-mail]
Level 4, 100 Albert Road, South Melbourne VIC 3205	T: [phone]

ASX ANNOUNCEMENT

12 NOVEMBER 2021

ASX: SER

For personal use only

In 1995 MIM followed up with two additional drill holes, drilled approximately one kilometre southwest (TT004D) and northeast (TT005D) of drillhole TT001D. Both holes intersected the equivalent gabbroic mafic system with sulphides, with a best intersection of 1.2m @ 0.2% Ni and 798ppm Cu from 547m (TT004D).

Later drilling by Falcon Minerals further tested the Tea Tree Prospect with drill hole SMD02, located 500m north of TT001D. The drill hole was designed to test the magnetic anomalism rather than the initial gravity feature tested by MIM and intersected the equivalent magmatic sequence with a best intersection of 2m @ 0.23% Ni and 0.15% Cu from 516m (Table 1).

All historical holes at the Tea Tree Prospect have intersected some form of nickel and copper mineralisation.

Table 1: Summary of drill holes at the Kalarka Prospect within the Canobie Project

Hole ID	Easting	Northing	Company	Year	RL	Azimuth	Dip	Total		Intersection
								depth
TT001D	487721	7878094	MIM	1994	70	304	-70	720	10m @ 0.25% Ni & 0.28% Cu from 508.2m
TT004D	487421	7877174	MIM	1995	70	304	-70	696	1.2m @ 0.2% Ni and 798ppm Cu from 547m
TT005D	488471	7879074	MIM	1995	70	300	-70	705.2	2m	@ 0.15% Ni & 0.32% Cu from 639m
SMD02	487921	7878499	Falcon	2004	70	0	-90	750	2m	@ 0.23% Ni & 0.15% Cu from 516m
SXDD006	487499	7877102	Anglo	2008	60	90	-70	810.7	0.3m	@ 0.38% Ni & 0.13% Cu from 485.9m
			American						1m @ 0.21% Ni & 0.1% Cu from 492m
										4m @ 0.11% Ni from 727m
									1m	@ 0.12% Ni & 0.27% Cu from 736m
CNDD001A	485385	7879490	SER	2021	60	90	-70	907.3	Mafic magnetic host rocks - Assays Pending
CNDD002	484850	7879490	SER	2021	60	90	-70	667.6m	Mafic magnetic host rocks - Assays Pending

This announcement is authorised by the Strategic Energy Resources Limited Board.

For further information please contact:

Dr David DeTata

Managing Director

T [phone]

1. [e-mail]

- END -

About Strategic Energy Resources

Strategic Energy Resources (ASX: SER) is a specialised undercover mineral explorer and project generator focused on discovery in greenfield frontiers of Australia. SER is actively exploring our large tenement package in the emerging East Tennant copper-gold province of the Northern Territory; the undercover extensions of the world-class Mt Isa Province in northwest Queensland; and the Cobar Basin and Lachlan Fold belt of New South Wales.

The information in this report that relates to Exploration Results is based on information compiled by Mr Stuart Rechner BSc (Geology) MAIG MAusIMM, a Member of the Australian Institute of Geoscientists and the Australasian Institute of Mining and Metallurgy. Mr Rechner is a Director and shareholder of Strategic Energy Resources Ltd. Mr Rechner has sufficient experience which is relevant to the styles of mineralisation and types of deposits under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Rechner consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

Strategic Energy Resources Limited	www.strategicenergy.com.au
ABN 14 051 212 429	E: [e-mail]
Level 4, 100 Albert Road, South Melbourne VIC 3205	T: [phone]

r personal use only

ASX ANNOUNCEMENT 12 NOVEMBER 2021 ASX: SER

Appendix 1: SER Summary Diamond Drill Logs for Kalarka Project

Hole CNDD001A, Easting 485385, Northing 7879490, Azimuth 90, Dip -70, EOH 907.3m

Depth_From (m)	Depth_To (m)	Interval (m)	Sulphide	Percentage	Texture	Unit
0	460	460				Clays, sands, calcareous mudstones, sandstone, mudstone (Overlying basin)
460	472	12				Strongly weathered mafic
472	487.7	15.7				Weathered mafic
487.7	488.8	1.1	Pyrite - Pyrrhotite	trace	Disseminated	Medium grained mafic
488.8	495.85	7.05				Altered gabbro
495.85	503.65	7.8				Medium grained mafic
503.65	504.3	0.65				Pegmatite
504.3	507.1	2.8				Medium grained mafic
507.1	507.35	0.25				Altered medium grained mafic
507.35	516.9	9.55	Pyrrhotite	trace	Disseminated	Fine grained mafic
516.9	523.8	6.9	Pyrrhotite	trace	Disseminated	Fine grained mafic
523.8	531.35	7.55				Fine grained mafic
531.35	554.8	23.45	Pyrrhotite	trace	Disseminated	Altered mafic
554.8	580.8	26	Pyrrhotite	trace	Disseminated	Fine grained magnetic mafic
580.8	582	1.2				Altered mafic
582	586.3	4.3	Pyrrhotite	1	Disseminated	Fine grained magnetic mafic
586.3	586.8	0.5				Pegmatite
586.8	595.15	8.35	Pyrrhotite	1	Disseminated	Fine magnetic mafic
595.15	596.9	1.75				Fractured zone altered mafic
596.9	614.2	17.3	Pyrrhotite	1-2	Disseminated	Fine grained magnetic mafic
614.2	620.2	6	Pyrrhotite	3-5	Disseminated	Fine grained magnetic mafic
620.2	624.9	4.7	Pyrrhotite	3-5	Disseminated	Fine grained magnetic mafic
624.9	627.65	2.75	Pyrrhotite	3-5	Disseminated	Fine grained magnetic mafic
627.65	632.4	4.75	Pyrrhotite	3-5	Disseminated	Medium grained magnetic mafic
632.4	634.6	2.2	Pyrrhotite	3-5	Disseminated	Medium grained magnetic mafic
634.6	635.4	0.8	Pyrrhotite	5-10	Net texture	Medium grained magnetic mafic
635.4	636.1	0.7	Pyrrhotite	40-50	Semi massive	Semi massive sulphide
636.1	636.35	0.25	Pyrrhotite	3-5	Blebs	Fractured weathered green clay (weathered pegmatite)
636.35	636.95	0.6	Pyrrhotite	40-50	Semi massive	Semi massive sulphide
636.95	637.3	0.35				Weathered green clay
637.3	637.45	0.15	Pyrrhotite	40-50	Semi massive	Semi massive sulphide
637.45	637.7		0.25				Mafic with carbonate

Strategic Energy Resources Limited	www.strategicenergy.com.au
ABN 14 051 212 429	E: [e-mail]
Level 4, 100 Albert Road, South Melbourne VIC 3205	T: [phone]