Azure Minerals : Hits High Grade Nickel and Copper at Ridgeline

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16 MARCH 2021

AZURE HITS HIGH GRADE NICKEL & COPPER

AT RIDGELINE

Massive Ni-Cu sulphides intersected in new western extension

• Massive Ni-Cu sulphides intersected at Ridgeline returned high grade assays:

ANDD0134:	6.3m @ 3.59% Ni, 0.21% Cu & 0.17% Co from 459.2m downhole;
	Within 12.6m @ 2.17% Ni, 0.46% Cu & 0.10% Co from 459.2m
ANDD0128:	4.9m @ 3.50% Ni, 1.34% Cu & 0.17% Co from 542.8m downhole;
	Within 14.5m @ 1.84% Ni, 0.88% Cu & 0.09% Co from 537.0m
ANDD0127:	0.9m @ 4.45% Ni, 0.19% Cu & 0.17% Co from 356.6m downhole;
	Within 4.1m @ 1.40% Ni, 0.60% Cu & 0.06% Co from 356.6m

• High grade intersections previously reported from Ridgeline (ASX: 2 August 2021): ANDD0045: 4.5m @ 3.95% Ni, 0.80% Cu & 0.16% Co from 486.6m downhole; and
  3.4m @ 2.01% Ni, 0.43% Cu & 0.09% Co from 605.2m downhole
• Encouragingly, more massive Ni-Cu sulphides were intersected in ANDD0147, 140m along strike to the west of Ridgeline - drilling is continuing to test this mineralisation

Azure Minerals Limited (ASX: AZS) ("Azure" or "the Company") is pleased to announce that drilling at the Ridgeline nickel-copper(Ni-Cu) sulphide prospect (formerly VC-07 West) has returned multiple high grade nickel and copper intersections. Ridgeline forms part of the Andover Project (60% Azure / 40% Creasy Group), located in the West Pilbara region of Western Australia.

Additionally, a geologically-targetedstep-out drill hole collared approximately 140m along strike to the west of Ridgeline intersected a three metre-wide zone of Ni-Cu sulphide mineralisation, including two intervals of massive Ni-Cu sulphides (see Images 1 and 2).

Image 1: Close-up of massive Ni-Cu sulphide mineralisation in Ridgeline drill hole ANDD0147

1. Level 1, 34 Colin Street, West Perth, Western Australia, 6005 T [phone] | F [phone]

ABN 46 106 346 918 | ASX AZS

www.azureminerals.com.au

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Image 2: Ni-Cu sulphide mineralised intersection in drill hole ANDD0147

Figure 1: Ridgeline drilling, A-AA cross section location and Andover Ni-Cu deposit

(Note: Ni-Cu sulphide intersections in holes ANDD0147 & 0148 provide significant western strike

extension to Ridgeline mineralised zone)

RIDGELINE

Ridgeline Ni-Cu sulphide mineralisation starts approximately 200m along strike to the west of the Andover Ni-Cu deposit and extends to the west for at least 600m (see Figure 1). Azure has drilled 32 holes at Ridgeline, intersecting several distinct horizons of sulphide mineralisation (see Figure 2).

1. Level 1, 34 Colin Street, West Perth, Western Australia, 6005 T [phone] | F [phone]

ABN 46 106 346 918 | ASX AZS

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Figure 2: Cross section through Ridgeline showing nickel tenor of mineralised intersections*

(*Nickel tenor is concentration of Ni contained in 100% sulphides) (Note: drilling is projected from 250m either side of the section)

Significant mineralised intersections from recent drilling at Ridgeline include:

ANDD0126:

1. 2.9m @ 0.91% Ni, 0.19% Cu and 0.03% Co from 389.3m downhole, including:
2. • 0.8m @ 2.81% Ni, 0.33% Cu and 0.10% Co from 389.3m downhole.

ANDD0127:

1. 4.1m @ 1.40% Ni, 0.60% Cu and 0.06% Co from 356.6m downhole, including:
2. • 0.9m @ 4.45% Ni, 0.19% Cu and 0.17% Co from 356.6m downhole.

1. Level 1, 34 Colin Street, West Perth, Western Australia, 6005 T [phone] | F [phone]

ABN 46 106 346 918 | ASX AZS

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ANDD0128:

1. 14.5m @ 1.84% Ni, 0.88% Cu and 0.09% Co from 537.0m downhole, including:
2. • 4.9m @ 3.50% Ni, 1.34% Cu and 0.17% Co from 542.8m downhole.

ANDD0134

1. 2.4m @ 1.17% Ni, 0.19% Cu and 0.05% Co from 98.7m downhole o 12.6m @ 2.17% Ni, 0.46% Cu & 0.10% Co from 459.2m; including
2. • 6.3m @ 3.59% Ni, 0.21% Cu & 0.17% Co from 459.2m.

As previously reported (ASX: 2 August 2021), an earlier hole drilled by Azure at Ridgeline (ANDD0045) also intersected high nickel tenor massive sulphide mineralisation returning high nickel grades:

ANDD0045:

1. 4.5m @ 3.95% Ni, 0.80% Cu and 0.16% Co from 486.6m downhole, and:

1. 7.5m @ 1.39% Ni, 0.45% Cu and 0.06% Co from 601.6m downhole, including:
2. • 3.4m @ 2.01% Ni, 0.43% Cu and 0.09% Co from 605.2m downhole.

Drilling will continue at Ridgeline to extend these high nickel tenor mineralised zones along strike to the east and west and up-dip closer to surface.

EXPLORATION

Favourable geology has been intersected in the first two step-out holes drilled to the west of the Ridgeline mineralisation (see Figure 1), with both ANDD0147 (140m west of Ridgeline) and ANDD0148 (120m west of ANDD0147 and 260m west of Ridgeline) containing visible Ni-Cu sulphide mineralisation in a geological setting similar to the Andover deposit (see Table 2).

ANDD0147 intersected a 3m-wide zone containing massive, semi-massive, matrix, blebby and disseminated Ni-Cu sulphide mineralisation (see Images 1 and 2). This intersection includes two zones of massive sulphides which returned high nickel readings when tested with a handheld portable XRF, indicating the sulphides are of high nickel tenor.

ANDD0148 intersected a 10m-wide zone containing disseminated Ni-Cu sulphides (see Table 2), confirming the ongoing fertility of the western Ridgeline extensions.

Surface fixed loop electromagnetic (EM) surveying is being undertaken in this area, with drilling and downhole EM surveys continuing to test for additional accumulations of Ni-Cu sulphide mineralisation.

The Company continues to build its understanding of important geological units, structural trends and mineralisation controls at Andover. Other exploration activities in planning include:

• Drilling at Skyline and Seaview (see Figure 3) to follow-upNi-Cu sulphide mineralisation intersected in the Company's earlier drill programs; and
• Surface fixed loop EM surveying and initial drilling at the Atrium and Woodbrook Ni-Cu sulphide prospects.

1. Level 1, 34 Colin Street, West Perth, Western Australia, 6005 T [phone] | F [phone]

ABN 46 106 346 918 | ASX AZS

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Figure 3: Andover project area showing Andover and Ridgeline Ni-Cu deposits and other targets

Table 1: Significant mineralised intersections returned from holes drilled at Ridgeline

	HOLE No			DEPTH (m)			INTERCEPT			ESTIMATED TRUE						GRADE
			FROM			TO			LENGTH (m)			WIDTH (m)			Ni (%)			Cu (%)			Co (%)
	ANDD0125	78.4		78.9		0.5		0.3		1.22		0.22		0.04
	ANDD0126	389.3		392.2		2.9		1.7		0.91		0.19		0.03
	Incl	389.3		390.1		0.8		0.5		2.81		0.33		0.10
	ANDD0127	356.6		360.7		4.1		2.4		1.40		0.60		0.06
	Incl	356.6		357.5		0.9		0.5		4.45		0.19		0.17
	ANDD0128	245.8		247.8		2.0		1.0		1.41		1.66		0.06
			537.0		551.5		14.5		7.3		1.84		0.88		0.09
	Incl	542.8		547.7		4.9		2.5		3.50		1.34		0.17
	ANDD0130	90.8		91.2		0.4		0.2		1.38		0.16		0.06
	ANDD0134	98.7		101.1		2.4		1.3		1.17		0.19		0.05
			459.2		471.8		12.6		7.4		2.17		0.46		0.10
	Incl	459.2		465.5		6.3		3.6		3.59		0.21		0.17

Mineralised intersections calculated using a 0.4% Ni grade cut-off for overall zones and 1.0% Ni for

included high grade zones.

1. Level 1, 34 Colin Street, West Perth, Western Australia, 6005 T [phone] | F [phone]

ABN 46 106 346 918 | ASX AZS

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