Caspin Resources Limited provided an update on exploration activities and results at the West Musgrave Ni-Cu Extension at the Mount Squires Project in the West Musgrave region of Western Australia. The Company has successfully completed drilling, soil and rock chip sampling as well as airborne geophysics over the past six weeks. The Company has received further ultra-fine fraction (UFF) soil geochemistry results in addition to those reported on 31 August 2022.

These results have now defined a copper-palladium anomaly striking over 8km, coincident with a magnetic lineament (or gradient) along strike from known copper mineralisation at the One Tree Hill Prospect, operated by OZ Minerals (OZL) and with the Nebo-Babel and Succoth Deposits further along strike (part of a recently announced $1.7 billion mine development). The copper-palladium anomaly is particularly interesting, as this is the same style of mineralisation observed at the Succoth Deposit (owned by OZL) and a type of anomaly highly likely to be associated with magmatic sulphide mineralisation, rather than any barren lithological source. Field inspection of the soil anomaly area revealed that it is mostly concealed by transported cover but very importantly, Caspin's geologists did locate a small outcrop of mafic rocks with visible copper mineralisation.

Assay results from sampling the outcrop are pending. Although this occurrence is small, it is highly significant as it confirms that this large 8km long soil anomaly is likely to be associated with mineralisation. A strategically significant aspect of this work is the effectiveness of the UFF soil geochemistry in identifying bedrock anomalism through shallow transported cover.

The Company considers that the application of modern UFF soil sampling is opening up a major new search space within this highly prospective terrane. The spatial association of this large Cu-Pd geochemical anomaly with a strong NE lineament in magnetic data (Figure 2) is also considered further evidence of the potential of this anomaly to host mineralisation. This magnetic lineament potentially represents a deep-seated structure that has provided a conduit for the emplacement of mineralised magmatic intrusions.

Importantly, this lineament occurs sub-parallel to, and central to, the NE-trending structural corridor that hosts the Nebo-Babel and Succoth deposits along strike (owned by OZL). The Company is continuing to interpret results and develop its geological models. It is worth noting that the Nebo and Succoth (~1Mt contained Cu) deposits have no surface expression at all, lying beneath shallow sand cover and the Babel Deposit has only a very small subcrop of approximately 5 square metres, which also displays malachite.

Therefore, any surface expression of mineralisation in this region is highly encouraging. A further 1,200 soil samples along the West Musgrave Ni-Cu corridor remain pending. These results will assist the Company evaluate additional copper (and nickel) anomalies along this trend and possibly define drill targets or additional geophysical surveying for the 2023 field campaign.