Minerals 260 : Second significant copper-gold zone discovered at Moora

ASX RELEASE | 19th April 2022 | ASX:MI6

Second significant copper-gold zone discovered at Moora 12m @ 1.4% copper and 2.0g/t gold intersected at the Zest prospect

HIGHLIGHTS

• • Shallow copper-gold mineralisation intersected in Reverse Circulation (RC) drill-hole MRRC0039 at the newly-named Zest prospect (formerly the SEZ/South-East Zone):

  • ▪ 12m @ 1.4% Cu and 2.0g/t Au from 72-84m*, including:

    • o 6m @ 2.5% Cu and 3.5g/t Au from 74-80m

• • The mineralisation, which is associated with disseminated to semi-massive chalcopyrite hosted by fine grained dolerite, is open in all directions.

• • The intersection is ~50m below an air-core hole (MRAC0072), drilled in early 2021, which intersected 17m @ 0.4g/t Au from 1-17m and 12m @ 0.2% Cu and 0.2g/t Au from 25-37m hosted by oxidized bedrock.

• • This latest result follows the recent discovery of high-grade copper-gold mineralisation at the Mynt prospect, located ~3.3km to the north-west (see ASX release dated 4th March 2022), where RC drilling (MRRC0040) intersected:

  • ▪ 24m @ 1.9% Cu and 0.7g/t Au from 99-123m*, including:

    • o 14m @ 2.9% Cu and 1.1g/t Au from 100-114m; and

    • o 2m @ 5.1% Cu and 1.3g/t Au from 100-102m

• • The Zest and Mynt mineralisation appear to be identical in style with similar geological settings and associated elements including elevated tungsten (up to 0.13% W), bismuth (up to 108ppm Bi) and silver (up to 12g/t Ag).

• • Significant copper mineralisation (2m @ 1.4% Cu from 108-110m) also intersected in a single RC hole (MRRC0041) drilled into a subtle electromagnetic (EM) anomaly located ~4.1km south south-east of Zest.

• • Further significant gold assays received for remaining drill holes completed at the Angepena gold prospect, located ~1.5km south-west of Mynt and 3.8km west north-west of Zest. Latest results include:

  • ▪ MRRC0022

  9m @ 2.8g/t Au from 3-12m#, including:

  • o 5m @ 4.7g/t Au from 3-8m 20m @ 0.9g/t Au from 24-44m#, including:

  • o 4m @ 3.5g/t Au from 32-36m

• • Assays pending for 126 air-core holes drilled across other geochemical anomalies, mainly located on adjacent Koojan JV.

• • First-pass and infill geochemical sampling continuing across other parts of Project area, with ~4,000 samples collected so far (assays pending) from a planned 6,000 sample program.

* True width currently estimated at ~75% down-hole width - further drilling required to confirm # True width currently estimated at 30-40%% down-hole width - further drilling required to confirm

Minerals 260 Limited (ASX:MI6, "Minerals 260" or "Company") is pleased to advise that it has discovered a second significant zone of shallow copper-gold mineralisation at its 100%-owned Moora Project, which is located ~150km north-east of Perth in the Julimar Mineral Province of SW Western Australia.

The Company has now received all assays from drilling completed earlier this year, with the results continuing to demonstrate the potential of the Moora Project to host major precious and base metal discoveries.

The drilling completed has discovered two separate copper-gold zones (Mynt and Zest) and a significant gold zone (Angepena), with all mineralised zones remaining open.

The Moora Project forms part of a contiguous, 1,000km2 land position which also includes the adjacent Koojan JV, where the Company is in joint venture with Lachlan Star Limited (ASX: LSA) and has the right to earn up to 51% equity (Figure 1).

In January 2022, the Company completed a 37-hole/6,196m diamond core/Reverse Circulation (RC) drilling program over four targets:

• • Angepena - Drillholes MRDD0001 - 0010, MRRC0015-0036

• • Zest (formerly SEZ) - Drillholes MRRC0037-0039

• • Mynt (formerly Northern Zone) - Drillhole MRRC0040

• • Unnamed - Drillhole MRRC0041

The Angepena, Zest and Mynt prospects are coincident with the Mt Yule Magnetic Anomaly (MYMA), a WNW/ESE trending feature that is 6.8km long and up to 2.2km wide, interpreted to be largely due to mafic/ultramafic rocks obscured by shallow cover (Figures 2 and 3A).

The three prospects are also coincident with the margin of a large NNW/SSE trending gravity anomaly that is 10km long and up to 3.3km wide (Figure 3B), the northern part of which is coincident with the MYMA. The gravity anomaly is also interpreted to represent mafic/ultramafic rocks, including non-magnetic units which are part of a larger intrusive complex.

The fourth target (Unnamed) is defined by a subtle EM anomaly located on the south-east margin of the gravity anomaly ~4.1km south south-east of Zest (Figures 3A and 3B).

Results have previously been reported for 12 holes (MRRD0001-0005, MRRC0015-0021) from the Angepena prospect and the single hole drilled at Mynt - see ASX release dated 4th March 2022.

The latest results include assays for all remaining holes from the program with relevant statistics provided in Appendices 1 and 2.

Zest Prospect (formerly SEZ)

The Zest prospect is coincident with the south-east margin of the MYMA, where an air-core hole, drilled as part of a longer north/south traverse (Figure 2), intersected highly anomalous gold and copper values (see highlights) hosted by completely oxidised bedrock.

Two RC holes were drilled to test for the primary source of this anomalism with MRRC0039 (see highlights) intersecting disseminated to semi-massive chalcopyrite hosted by a fine-grained dolerite. Due to the intrusion of a later, barren, granitic pegmatite (Figure 4), the total width of the copper-gold zone is not yet known.

The Zest prospect is not coincident with surface anomalism and the air-core drilling was designed to test the effectiveness of the geochemical sampling, which now appears to be dependent on the local regolith and depth of cover. The latest drill results indicate that large parts of the magnetic and gravity anomalies remain untested, substantially enhancing the exploration potential of the Project.

Ground geophysics (EM and IP) is not possible in the immediate area due to interference from a high-voltage powerline located ~500m to the north.

Follow-up drilling will be planned for later in the year (post-harvest) and will test for dip and strike continuation of the copper-gold mineralisation. This drilling will be part of a larger program including follow-up at other prospects within the Moora and Koojan JV areas.

Angepena

The Angepena prospect is located near the south-eastern margin of the Mt Yule magnetic anomaly, ~3.8km west north-west of Zest (Figure 2). Better intersections from past and recent drilling at the prospect include:

▪ MRRC0001*	43m @ 1.8 g/t Au from 198-241m, including 18m @ 3.9g/t Au from 211-229m
▪ MRAC0092*	11m @ 1.5 g/t Au from 2-13m, including 5m @ 2.7g/t gold from 4-9m
▪ MRDD0001*	9m @ 1.1g/t Au from 100-109m, including 3m @ 2.7g/t Au from 102-105m
▪ MRDD0003*	4m @ 1.3g/t Au from 29-33m, including 1m @ 4.6g/t Au from 32-33m
2.45m @ 5.6g/t Au from 64-66.45m, including 1.45m @ 9.4g/t Au from 65-66.45m
6m @ 1.1g/t Au from 124-130m, including 1.1m @ 5.3g/t Au from 128-129.1m
4.32m @ 2.7g/t Au from 133-137.32m, including 1.61m @ 6.5g/t Au from 135.04-
136.65m (and 2.28m @ 4.9g/t Au and 1.4% Co from 135.04-137.32m)

• ▪ MRDD0004* 15m @ 0.5g/t Au from 104-119m, including 1m @ 2.2g/t Au from 104-105m

  1m @ 2.4g/t Au and 1.5% Cu from 140-141m

  2m @ 0.4g/t Au and 1.6% Cu from 162-164m

  1m @ 0.1g/t Au and 0.8% Co from 182-183m

• ▪ MRDD0005* 4.6m @ 0.8g/t Au and 0.5% Cu from 48 - 52.6m, including 0.6m @ 5.0g/t Au

and 2.7% Cu from 51-51.6m

▪

• MRRC0016* 4m @ 1.4g/t Au from 92 - 96m 15m @ 0.6g/t Au from 101 - 116m, including 2m @ 1.3g/t Au from 106 - 108m

  ▪

• MRRC0018* 10m @ 0.7g/t Au from 10 - 20m, including 4m @ 1.3g/t Au from 13 - 17m

• ▪ MRRC0022

9m @ 2.8g/t Au from 3-12m#, including5m @ 4.7g/t Au from 3-8m 20m @ 0.9g/t Au from 24-44m#, including4m @ 3.5g/t Au from 32-36m

* Previously reported

Gold+copper+cobalt mineralisation has been intersected over a strike length of 900m (Figure 5) with the system remaining open along strike and at depth.

The controls on the mineralisation are poorly understood due to the intrusion of multiple post-mineralising, dolerite dykes which have disrupted the host mafic/ultramafic stratigraphy and further drilling will be planned after a comprehensive review of the data.

Unnamed Prospect

A review of airborne and ground EM data defined a subtle anomaly ~4.1km south south-east of Zest coincident with the south-east margin of the large gravity anomaly referred to above (Figure 3B).

The anomalous copper results intersected in drilling (see highlights) are associated with chalcopyrite and confirm the metal fertility of the underlying geology. The drill results also indicate that previous geochemical sampling would have been ineffective due to the thickness of transported cover in the local area.

Infill geophysical programs including gravity and IP are being planned to assist with optimising follow up drilling.

Regional Exploration

126 air-core holes have been drilled across a number of previously untested coincident geochemical/geophysical targets located on both the Moora and Koojan JV Projects.

The completed holes are part of a larger 160-180 hole program; however, due to early, unseasonal wet weather and the commencement of cropping activities, the remainder of the planned program will now be completed later in the year after harvesting.

A 6,000-sample geochemical program designed to infill previously identified, partially defined anomalies and assess new areas is ongoing, with ~65% of the samples collected and submitted for assay. Despite the limited effectiveness of geochemical sampling, it is still considered to be a cost-effective exploration technique with the results needing to be combined with other datasets to define drill targets.

Initial assays for the air-core and geochemical samples are expected in May/June 2022.

A review of geophysical data collected late 2021/early 2022, including gravity, aeromagnetics and Gradient Array Induced Polarisation (GAIP), is largely complete and is expected to define other targets for follow up by infill geochemistry and/or drilling.

Management Comment

Minerals 260 Managing Director, David Richards, said the results from the Company's first drilling program at Moora since listing last year had confirmed the potential of the project for major discoveries.

"We are very excited by these results. Taking into consideration the scale of the project and the relatively limited nature of the first RC/diamond drill program, we have already discovered two significant zones of copper-gold mineralisation and one large gold zone - an outstanding result in such a short space of time.

"What is even more exciting is that we have intersected mineralisation at the new Zest prospect in an area with no geochemical anomalism, suggesting that large portions of the gravity and magnetic anomalies remain untested.

"In short, we have a large, under-explored project with serious exploration upside. In addition to the known zones at Mynt, Zest and Angepena - which provide obvious vectors for follow-up drilling - there are extensive areas that still need to be tested.

"Information from the recently completed air-core drilling and ongoing geochemical sampling will be combined with data from the gravity, aeromagnetic survey and GAIP surveys already completed to help us prioritise targets for what is expected to be a major new phase of drilling commencing later this year."

This announcement has been authorised for release by the Managing Director, David Richards.

Competent Person Statement

For further information please contact:	Investor Relations:
David Richards	Nicholas Read
Managing Director	Read Corporate
T: [phone]	T: [phone]
[e-mail]	[e-mail]
Page 5 of 19

The Information in this report that relates to Exploration Results is based on and fairly represents information and supporting documentation prepared by Mr David Richards, who is a Competent Person and a member of the Australasian Institute of Geoscientists (AIG). Mr Richards is a full-time employee of the company. Mr Richards has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activities being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Richards consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

The Information in this Report that relates to other Exploration Results for the Moora and Koojan Projects is extracted from Minerals 260 Limited ASX announcement titled "Wide copper-gold zone confirmed at Moora" released on 4 March 2022" which is available onwww.minerals260.com.au and Liontown Resources Limited ASX announcement titled "Strong PGE and gold anomalism confirmed at the Koojan JV Project, WA" released on 14 July 2021 which is available onwww.ltresources.com.au.

The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcements and that all material assumptions and technical parameters underpinning the estimates or production targets or forecast financial information derived from a production target (as applicable) in the relevant market announcements continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person's findings are presented have not been materially modified from the original market announcements.

Forward Looking Statement

This announcement contains forward-looking statements which involve a number of risks and uncertainties. These forward-looking statements are expressed in good faith and believed to have a reasonable basis. These statements reflect current expectations, intentions or strategies regarding the future and assumptions based on currently available information. Should one or more of the risks or uncertainties materialise, or should underlying assumptions prove incorrect, actual results may vary from the expectations, intentions and strategies described in this announcement. No obligation is assumed to update forward looking statements if these beliefs, opinions and estimates should change or to reflect other future developments.