Zenith Minerals : SIGNIFICANT LITHIUM DRILL RESULTS AT SPLIT ROCKS PROJECT

4th April 2022

SIGNIFICANT LITHIUM DRILL RESULTS

SPLIT ROCKS PROJECT

Drilling at the Split Rocks project in Western Australia has returned wide, high-grade lithium mineralisation at the Rio pegmatite target, the first target drill tested in the current program.

A single line of 4 RC holes (ZVRC001 - 004) drilled at 200m spacing has intersected thick pegmatites (up to 55m) in each of the 4 holes (all containing anomalous lithium levels).

Drill hole ZVRC002 returned thick, high-grade lithium mineralisation, including:

• • 20m @ 1.0% Li2O, including 10m @ 1.7% Li2O

High-grade lithium mineralisation confirmed as eucryptite* based on XRD analysis.

The new drill line is 400 metres south of historical diamond holes that previously intersected a flat lying pegmatite, up to 65m thick.

A major expansion of the drill program at Rio is in the planning phase with permits submitted for a further 50 RC/diamond drill holes.

An initial program of 15 RC drill holes was completed to test 4 pegmatite targets: Rio, Dulcie West, Estrela and British Hills East.

Thick pegmatites were intersected at 3 of the 4 targets:

• ▪ Rio (pegmatite up to 55m thick)

• ▪ Estrella (pegmatite up to 29m thick) and

• ▪ British Hills East (pegmatite up to 114m thick).

Split Rocks is a large scale, lithium prospective project with multiple target areas containing thick pegmatites, along strike from the major Mt Holland lithium deposit (Wesfarmers/SQM) - under construction.

The RC rig is currently drilling gold targets at Split Rocks (refer ASX Release 1-Mar-22) and will shortly be moved back onto lithium drilling with permits now received for a further 3 targets (11 drill holes).

Project-wide geochemical screening programs are also underway at Split Rocks with crews working towards systematically sampling all the prospective portions of the 660km2 land package. Over 3000 new samples collected to date, assays awaited.

The lithium drill campaign at Split Rocks is part of a larger initiative under the Zenith Lithium Joint Venture with EV Metals Group (EVM), (ASX Release 13-Jan-22).

EVM may earn a 60% interest in the lithium rights in two initial 100% owned Zenith projects Waratah Well and Split Rocks by sole funding the completion of a feasibility study within 24 months, with Zenith retaining a 40% project share.

Commenting on the new lithium drill results, Managing Director Mick Clifford said: "I am very pleased to report that wide, high-grade lithium mineralisation has been intersected in the first pegmatite target we have drill tested as part of the recently executed Zenith Lithium Joint Venture with EVM. These results confirm the highly prospective nature of our very large landholdings that sit along trend from the Wesfarmers-SQM Mt Holland lithium mine that is currently under construction. With the financial backing of the EVM Group and the combined technical resources of both parties we look forward to rapidly unlocking the potential of the Split Rocks project."

Details of Results

An initial program of 15 RC drill holes were completed to test 4 pegmatite targets: Rio (4 holes), Dulcie West (2 holes), Estrela (2 holes) and British Hills East (7 holes), part of the Split Rocks project in Western Australia.

Thick pegmatites were intersected at 3 targets:

Rio (the main subject of this ASX Release) - assays reported in this ASX Release Estrela (pegmatite up to 29m thick) - assays awaited for 2 holes

British Hills East (pegmatite up to 114m thick) - assays awaited for 4 of 7 holes - maximum 0.1% Li2O.

No pegmatite was intersected at Dulcie West, where the target was the northern strike extensions of pegmatites previously drilled by Zenith.

Assays for the Rio pegmatite target (the first target drill tested in the current program), returned wide, high-grade lithium mineralisation. A single line of 4 RC holes (ZVRC001 - 004) was drilled at 200m spacing to follow-up on historical diamond drilling that intersected a flat-lying pegmatite, located 400m northwest. The pegmatite in historical diamond holes was up to 65m thick with strongly anomalous lithium. Thick pegmatites were intersected in each of the 4 new holes, all containing anomalous lithium levels >0.1%Li2O (Figures 1 and 2). Individual pegmatites are up to 55m in thickness, assuming a flat lying, stacked interpretation.

Drill hole ZVRC002 intersected an upper and a lower pegmatite. The upper pegmatite contained thick, high-grade lithium eucryptite* mineralisation (confirmed via XRD analysis of 3 mineralised intervals). Results include:

• o 20m @ 1.0% Li2O, including 10m @ 1.7% Li2O

*Eucryptite is a lithium aluminium silicate mineral with a formula LiAlSiO4. The lithia content of pure eucryptite is 11.86%

Li2O. Spodumene is also a lithium aluminium silicate mineral with a formula LiAlSi2O6. The theoretical lithia content of pure spodumene is 8.03% Li2O. Spodumene accounts for most of the lithium production from pegmatite projects worldwide. Eucryptite is recorded in a number of lithium operations but generally only in small quantities. How eucryptite will perform metallurgically requires further investigation.

Hole ZVRC002 ended in pegmatite. This lower 38m thick pegmatite zone contains strongly anomalous lithium (>0.1% Li2O). Lithium minerals were identified as petalite (via XRD analysis of 1 mineralised interval).

In addition, holes ZVRC001, 003 and 004 all intersected thick pegmatites returning strongly anomalous lithium (>0.1% Li2O). Lithium minerals in hole 003 were identified as petalite based on XRD analysis of 2 mineralised intervals.

Split Rocks is a large scale, lithium prospective project with multiple target areas containing thick pegmatites, along strike from the major Mt Holland lithium deposit (Wesfarmers/SQM) - under construction.

The RC rig is currently drilling gold targets at Split Rocks (refer ASX Release 1-Mar-22) and will shortly be moved back onto lithium drilling with permits now received for a further 3 targets (11 drill holes). A major expansion of the drill program at Rio is in the planning phase with permits submitted for a further 50 RC/diamond drill holes.

Figure 3- Split Rocks Project - Rio Pegmatite Drill Chips (10m @ 1.70% Li2O - annotated with lithia grade Li2O)

Further details of drilling are provided in Tables 1 and 2 and the JORC Tables appended to this ASX Release.

Split Rocks Project - Background on Lithium Potential

Zenith has been systematically exploring the Split Rocks project for lithium (Figure 4) within landholdings of approximately 660 sqkm in the Forrestania greenstone belt. This emerging lithium district is host to SQM-Wesfarmers Mt Holland/Earl Grey lithium deposit containing a Measured, Indicated & Inferred Mineral Resource of 189Mt @ 1.5% Li2O (66Mt @ 1.58 %Li2O Measured, 106Mt @ 1.52% Li2O Indicated and 17Mt @ 1.11% Li2O Inferred) (reported in KDR:ASX Release 19-Mar-2018).

Figure 4- Split Rocks Project Location Map Showing Zenith tenements and Regional Lithium & Gold Endowment.

(*DHLGO - Gold rights below 6m subject to option agreement).

An initial drill test of four large, lithium pegmatite targets on the Split Rocks joint venture ground has been completed: Rio, Dulcie West, Estrela and British Hills East. Multiple additional targets have also been defined that will require drilling.

The Rio pegmatite is the main subject of this ASX release. This pegmatite remains open in all directions.

The Dulcie West pegmatite (located within E77/2388) has been the subject of previous Zenith drilling, intersecting a flat lying pegmatite up to 77m thick that was open ended to the north where the pegmatite rock chemistry shows higher levels of fractionation, a positive indicator for lithium fertility. Two holes drilled to test this northern extension did not intersect pegmatite.

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