American West Metals : Assays Confirm High Grades at West Desert

ASX RELEASE

(ASX: AW1)

Tuesday, 26th April 2022

Strong Copper, Zinc, Molybdenum and Indium Assay Results from

West Desert

• • Wide intercepts of high-grade mineralisation have been confirmed by assay results for the first diamond drill hole WD22-01 completed by American West at the West Desert Project

• • Assays confirm the exceptional quality and significant volume of the mineralisation at the West Desert Deposit

• • New intersections of copper and molybdenum outside of the current resource highlight the exploration upside of the large and under-explored mineral system

• • Multiple high-grade copper intervals have been defined including;

  • o 21.95m @ 1% Cu, 0.33g/t Au, 6.9g/t Ag, 28g/t In, 0.03% Mo from 306.31m, including;

    • ▪ 2.45m @ 3.5% Cu, 0.85g/t Au, 38.83g/t Ag, 81.6g/t In, 0.14% Mo from 308.14m, and;

    • ▪ 2.13m @ 3.15% Cu, 1.44g/t Au, 5.58g/t Ag, 56.64g/t In, 0.04% Mo from 314.08m

• • Multiple high-grade zinc intervals have also been defined, including;

  • o 32m @ 4.43% Zn, 0.27% Cu, 0.1g/t Au, 7.59g/t Ag, 24.23g/t In from 150.56m, including;

    • ▪ 6.4m @ 11.42% Zn, 0.53% Cu, 0.26g/t Au, 14.66g/t Ag, 48.23g/t In from 150.56m, and;

    • ▪ 5.18m @ 8.66% Zn, 0.54% Cu, 0.17g/t Au, 16.05g/t Ag, 60.57g/t In from 162.15m

  • o 21.18m @ 4.25% Zn, 0.13% Cu, 0.06g/t Au, 2.88g/t Ag, 49.34g/t In from 196.13m, including;

    • ▪ 6.4m @ 7.64% Zn, 0.25% Cu, 0.13g/t Au, 6g/t Ag, 72.26g/t In from 196.13m

• • Outstanding high-grade intervals of molybdenum intersected, including;

  • o 21.5m @ 0.6% Mo, 23.4g/t Ag from 758.46m, including;

    • ▪ 3.35m @ 1.2% Mo, 48.8g/t Ag, 1.1% Zn from 759.83, and;

    • ▪ 7.31m @ 1.1% Mo, 31.7g/t Ag from 768.67m, including;

      • • 3.05m @ 2.3% Mo, 70.9g/t Ag from 768.67m

American West Metals Limited (American West or the Company) (ASX: AW1) is pleased to announce the assay results from the first diamond drill hole completed by the Company at the West Desert Project in Utah (West Desert or the Project).

Drill hole WD22-01 was designed to test the upper continuation of high-grade mineralisation in a key section of the historical West Desert deposit.

The drill hole has intersected multiple lenses of high-grade copper and zinc mineralisation within broader halos of lower grade mineralisation. Significantly, a number of these high-grade zones lie outside of the current resource on this drill section.

The drilling has also highlighted the exploration potential of the porphyry system with exceptional molybdenum mineralisation encountered at depth.

Dave O'Neill, Managing Director of American West Metals commented:

"We are extremely pleased to be able to report the drilling results for AW1's first diamond drill hole at West Desert.

"WD22-01 has intersected multiple zones of high-grade copper, zinc and molybdenum mineralisation, and confirms the exceptional quality of the mineralisation at the West Desert Deposit as well as its outstanding growth potential. High grades of indium and silver are also present in these wide intersections, supporting the high value of the West Desert mineralisation.

"The assays confirm the initial visual observations, which is hugely exciting given the strong and continuous mineralisation encountered in the latest drill holes completed by American West and for which assays are pending.

"Overall we see thick intervals of copper and zinc within the Main Zone and Deep Zone, with encouraging new mineralisation identified outside of the current resource model.

"The assays have also highlighted an outstanding interval of high-grade molybdenum immediately adjacent to the West Desert Deposit. This interval is two to three times higher in grade than typical molybdenum ores, is largely unexplored and further highlights the huge upside potential of the regional scale mineral system.

"The assay results from the current drill program will be used for American West's maiden JORC compliant resource estimation for West Desert. With zinc and indium listed as critical metals by the US Government, and prices for the metals in West Desert's commodity suite at multi-year highs, the development potential of West Desert is a stand-out for investors looking for emerging opportunities.

"Diamond drilling is continuing at the West Desert Project and investors can look forward to further news flow in the coming weeks and beyond as we continue receiving assay results."

Figure 1: Schematic geological section at 288850E showing main geological units and drilling. Only significant intervals of Cu, Zn and Mo are shown (Table 1) with lower grade mineralisation highlighted in orange.

Hole ID	From (m)	To (m)	Width	Zn %	Cu %	Au g/t	Ag g/t	In g/t	Mo %
WD22-01	31.7	35.2	3.5	3.2	-	-	-	1.7	-
Including	34.6	35.2	0.6	10.8	0.24	-	-	8.8	-
150.56	182.56	32	4.43	0.27	0.1	7.59	24.23	-
Including	150.56	156.96	6.4	11.42	0.53	0.26	14.66	48.23	-
and	162.15	167.33	5.18	8.66	0.54	0.17	16.05	60.57	-
196.13	217.31	21.18	4.25	0.13	0.06	2.88	49.34	-
Including	196.13	202.53	6.4	7.64	0.25	0.13	6	72.26	-
Including	196.13	197.96	1.83	15.05	0.73	0.19	14.55	97.68	-
and	215.48	217.31	1.83	8.75	0.35	0.06	3.09	109.10	-
228.44	233.16	4.72	-	0.76	0.31	2.64	14.7	-
240.48	249.01	8.53	-	0.51	0.21	-	14.8	-
306.31	328.26	21.95	-	1	0.33	6.9	28	0.03
Including	308.14	310.59	2.45	-	3.5	0.85	38.83	81.6	0.14
and	314.08	316.21	2.13	-	3.15	1.44	32.9	37.7	0.04
346.24	351.26	5.02	-	0.52	-	-	10.59	-
Including	350.66	351.26	0.6	-	2.69	0.26	4.94	26.62	-
355.07	366.35	11.28	4.12	0.35	0.1	-	16.2	-
Including	355.07	359.47	4.4	6.9	0.21	-	-	12.5	-
and	362.69	363.91	1.22	10.46	0.94	0.25	5.4	20.65	-
504.57	505.94	1.37	7.16	0.13	0.23	2.4	9.27	-
512.95	514.63	1.68	10.46	0.22	0.19	2.71	21.18	-
537.79	542.21	4.42	4.71	0.17	-	8.6	56.87	-
542.21	550.29	8.08	-	1.01	0.2	32.9	37.7	-
Including	542.21	545.11	2.9	-	2.2	0.4	56	83.5	-
564.31	566.75	2.44	-	-	-	-	-	0.1
578.18	581.83	3.65	7.23	0.33	0.18	14.65	-	-
Including	579.85	581.85	2	11.46	0.53	0.29	24.46	-	-
688.66	702.83	14.17	4.8	0.26	0.3	11.29	45.94	-
Including	688.66	696.59	7.93	6.6	0.24	0.31	8.6	59.25	-
709.08	711.98	2.9	8.54	1	1.56	73.28	24.1	-
758.46	779.96	21.5	-	-	-	23.4	-	0.6
Including	759.83	763.19	3.36	-	-	-	48.8	1.2
and	768.67	775.98	7.31	-	-	-	31.7	-	1.1
Including	768.67	771.72	3.05	-	-	-	70.9	2.3

Table 1: Summary of significant drilling intersections for drill hole WD22-01 (>2% Zn, >0.5% Cu and >0.1% Mo)

DRILL HOLE WD22-01 DETAILS

The drill hole was completed to a depth of 792.56m and encountered multiple thick zones of skarn and porphyry style mineralisation (Figure 1 & Table 1). The samples for WD22-01 were processed by American Assay Laboratories in Reno, Nevada, with the final assays received by American West on 23rd of April, 2022.

The assays have confirmed the high tenor of the strong sulphide mineralisation identified as initially reported (see ASX announcement dated 14/02/2022: Extensive Mineralisation Identified at West Desert). Several mineralised intervals have returned assays that exceeded the visual estimate. This is particularly true for some of the sphalerite zones which can be challenging to identify within highly altered skarns.

The intersections are expressed as downhole widths and are interpreted to be close to true widths within the Skarn and approximately 85% of the downhole widths within the CRD dominant ore zones.

Figure 2: Plan view of the West Desert Deposit (Red shading showing current >2% Zn ore blocks) and drilling.

Hole ID	Prospect	Easting	Northing	Depth (m)	Azi	Dip
WD22-01	West Desert	288849	7745308	792.56	182.2	-56.4

Table 2: Drill hole details