Caprice Resources : Significant Expansion of the Northampton Project

ASX RELEASE | 6 December 2021 | ASX:CRS

only		SIGNIFICANT EXPANSION OF NORTHAMPTON PROJECT
SUMMARY
		Northampton Project significantly expanded to over 1,170km2 via three new Exploration
		Licence Applications (ELAs) and the purchase of the Yungaro Project
		Northampton is a highly prospective historical base metals field that has seen very little
use	modern exploration
All historical deposits discovered as outcropping mineralisation

Caprice is applying new geological concepts to test the potential for mineralisation away from historical mining areas

Late 2020 RC drilling by Caprice returned excellent results of 31m @ 1.1% Cu, 2.0% Pb & 9g/t Ag

Caprice Resources Ltd (ASX: CRS) ("Caprice" or "the Company") is pleased to provide an update

for the Northampton Base Metals Project ("Northampton", "Project"), located in the Mid West

personalregion of Western Australia.2

Caprice has submitted three ELAs which abut the Company's existing 150km Northampton tenements. The ELAs cover an area of c.900km2. In addition, the Company has agreed to purchase the Yungaro Project from a private party for $210,000 in Caprice scrip plus milestone payments. The Yungaro Project consists of two granted exploration licences covering c.130km2, which abut the southernmost ELA. Combined, the Northampton Project now covers over 1,170km2.

Between 1850 and 1973, over 100 base metals deposits were mined in the Northampton Mineral Field. Production is estimated at 77kt Pb, 4.3kt Cu, 42t Zn and 212kg Ag. Almost all of the deposits outcropped at surface. The deposits are structurally controlled, generally occurring as massive or disseminated sulphides or in breccias. Since production ceased, the area has seen minimal modern exploration.

RC drilling by Caprice near the Wheal Fortune Mine in late 2020 returned outstanding first pass results of 31m @ 1.1% Cu, 2.0% Pb & 9g/t Ag, incl. 3m @ 3.8% Cu, 3.8% Pb & 3g/t Ag (see ASX: 1/10/20).

ForUsing regional geophysical datasets, Caprice has interpreted early structural corridors away from the historical mining area which may have the potential to host a broader style of structurally controlled hydrothermal Pb-Cu-Zn-Ag mineralisation.

irst pass work will likely involve a regional aeromagnetic survey to assist in refining the geological and structural interpretation of the region to generate targets prior to any significant on-ground exploration.

Managing Director, Andrew Muir, commented:

"Via some detailed geological analysis, Caprice has recognised a significant opportunity in the Northampton region. The region has had significant historical production, and we believe it remains very fertile, yet it has not been subject to modern exploration methods or the application of new concepts."

CAPRICERESOURCES.COM.AU

Level 3, 10 Outram Street, West Perth WA 6005 Australia

ASX RELEASE | 6 December 2021 | ASX:CRS

For personal use only

Figure 1: Northampton Project Tenements

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CAPRICERESOURCES.COM.AU Level 3, 10 Outram Street, West Perth WA 6005 Australia

ASX RELEASE | 6 December 2021 | ASX:CRS

Geology and Background

onlyCaprice's Northampton Project includes the two existing granted exploration licenses, three exploration license applications (ELAs) and now two tenements from the Yungaro acquisition. This package covers an area of 1,170km2, encompassing a large portion of the Proterozoic Northampton Complex.

Caprice has invested considerable time over the last year in assessing the area's potential and developing an exploration strategy that could unlock considerable value for the Company and its shareholders.

The Northampton Complex is a fault bound Proterozoic inlier composed of granulite facies paragneiss. useThe paragneiss has been introduced by an early suite of granitoids and pegmatites followed by a late warm of tholeiitic dolerite dykes. The dolerite dykes are interpreted to have intruded along regionally dominant north-east striking faults prior to the development of Pb-Cu-Zn-Ag mineralisation. The northeast striking faults are interpreted to have acted as the main channel for Pb-Cu-Zn-Ag mineralisation into narrow dilational sites. The Northampton Complex is uncomfortably overlain by Perth Basin

sediments. The deposition of the Perth Basin sediments is thought to postdate mineralisation. personalFor

Figure 2: Northampton Project Geology (LHS) and Interpreted Dykes and Key Structures (RHS)

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CAPRICERESOURCES.COM.AU Level 3, 10 Outram Street, West Perth WA 6005 Australia

ASX RELEASE | 6 December 2021 | ASX:CRS

only			The Pb-Zn-Cu-Ag mineralisation mined in historical deposits
		was narrow, typically sub-vertical and composed of massive to
				semi-massive sulphides.
				Recovered lead ores typically contained greater than 20% Pb
				from galena dominant lodes. The larger historical deposits
				including Narra Tarra, Baderra and Wheal Ellen, recovered ore
use			over a strike length greater than 200m and down to a vertical
		depth of 100m or more.
		Historically, lead was the dominant mineral mined, with minor
				copper and a small number of zinc operations. Mine plans and
				reports have referenced copper zones where lead
			mineralisation gave way to copper dominant mineralisation. As
		Figure 3: Sample from the southern
		end of Yungaro: malachite with vuggy	historical mines were targeting lead zones, mining often ceased
		carbonate on oxidised dolerite taken	once the copper rich zone was encountered.
		from sub-crop proximal to historical
			costeans.
	Exploration Strategy
	Exploration away from the historical mineralisation has been very limited. Furthermore,
personal	• the stratigraphy, structural geology and intrusive history of the complex is poorly studied,
•	with a focus Broken Hill style targeting models in more recent decades.
		•	biased towards the historical lead dominant positions,

• primarily focussing on areas with well exposed bedrock geology, and

However, the Company believes there remains significant upside around the historical mining areas, with 2020 drilling returning excellent drill results of 31m @ 1.1% Cu, 2.0% Pb and 9g/t Ag (see ASX 1/10/20).

ForOn a more regional scale, the Company is looking to focus exploration on the interaction between the early pre-existing structures and features with the controlling north east striking structures.

Yungaro Acquisition

After a thorough review, historical data compilation and site visit, Caprice believes the Yungaro tenements have the potential to host Pb-Cu-Zn-Ag mineralisation. The interpreted geology based on data from the historic Lady Sampson deposit aligns well with the regional exploration strategy.

Historical exploration data includes mapping, soil sampling and costean sampling. Costean sampling from the 1970s suggests mineralisation is far broader than the narrow high-gradevein-like mineralisation associated with most historical deposits of the region with results such as 30.5m @ 1.5%

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CAPRICERESOURCES.COM.AU Level 3, 10 Outram Street, West Perth WA 6005 Australia

ASX RELEASE | 6 December 2021 | ASX:CRS

Pb and 0.1% Zn from costean 72LSC500N. Additionally, historical soil sampling, costeaning and recent onlygrab sampling suggests a Cu anomaly exists to the south of the historic Lady Sampson shaft, with a

recent rock chip grab sample from a malachite bearing exposure returning 7.8% Cu.

Caprice see the Yungaro tenements and the Lady Sampson prospect as a possible example of a style of Pb-Zn-Cu-Ag mineralisation that has been broadened due to an interaction with a larger pre-existing structure. Caprice aims to evaluate the Lady Sampson prospect and, in parallel, identify similar positions across the Company's now significantly bolstered tenement holding within the Northampton Complex.

personal use

Location of 7.8%

Cu grab sample

Figure 4: Historical costean sampling results at Yungaro compiled by Caprice

Acquisition details

ForCaprice has purchased 100% of the two Yungaro exploration licences (E66/106 & E70/5677) covering c.130km2. Both tenements are granted. The vendor, Belres Pty Ltd, is an unrelated party to the Company.

Consideration for the acquisition is:

• $210,000 in CRS ordinary fully paid shares (see Appendix 3B of today's date for further details),
• A 2.5% Net Smelter Royalty, and
• Cash payment of $250,000 on completion of a positive Pre-Feasibility Study.

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CAPRICERESOURCES.COM.AU Level 3, 10 Outram Street, West Perth WA 6005 Australia