ChemX Materials announced the Rare Earth Elements (REE) results from the 2022 aircore drilling campaign at its Kimba Kaolin-REE project on the Eyre Peninsula in South Australia. Samples collected from the Kelly Tank, Bunora East and Bunora South prospects, comprised predominantly kaolin clay associated with silica as quartz sand, and mica with variable quantities of iron oxides, were screened at sub 45 micron and assayed. The results demonstrate the strong potential of the Company's Eyre Peninsula tenements for ionically adsorbed REE.

Further results interpretation is in progress and will inform future exploration activities. The relevance of REE being associated with kaolin clay is that; they are loosely bonded to the surface of the clay particles and can be readily displaced by simple low-cost chemical solutions which can be further processed to recover the individual rare earth oxides. ChemX has engaged ANSTO to conduct diagnostic testwork for determination of potential REE extractability, with the results of this programme expected late 2022.

Once received, this report will inform ChemX on feasible flowsheet optionality and serve as a key input to future downstream processing studies. The Kimba Kaolin-REE project is also specifically targeting high quality kaolin clays and the kaolinite polymorph, halloysite, that has been identified at both Kelly Tank and Bunora prospects. The presence of REE associated with the clays, if proven to be economically viable to extract, adds another level to the prospectivity of the Kimba Kaolin-REE project that will be consistently investigated within the framework of the developing project.

The assay results for kaolin are currently being collated and analysed, the results will be advised as soon as practical. Additionally noteworthy, is ChemX's unique position with key projects situated within near proximity of established major infrastructure (road, rail and port) routes, each of which have the potential to significantly enhance the economics of any project development.