Peako Limited announced encouraging PGE assay results from reconnaissance exploration drilling at the easternmost prospect of the Eastman Intrusion Complex known as The Gap. The Gap is the first of eight prospects recently drilled at the Eastman Platinum Group Element (PGE) Project in the Kimberley region of Western Australia. Peako's 2022 Phase 1 program incorporated 35 reverse circulation (RC) drillholes over various prospects for 4,138m as a first-pass test of PGE endowment across the ultramafic stratigraphy along the 16.5km strike of the Eastman Intrusive Complex.

The drill program involved 15 wide-spaced drill fences drilled across eight PGE prospects. Located at the eastern-most extent of the Eastman Intrusion, "The Gap" is a prospect identified from historical geochemistry anomalism and untested by historical drilling. The target ultramafic unit is approximately 600m in length and up to 180m wide.

Peako completed reconnaissance drilling of three RC drillholes at The Gap to provide a first pass assessment of PGEs in ultramafic rocks. Two RC drillholes were oriented to the NW and one drillhole to the SE for logistical reasons/access. Assay results from The Gap include higher grade `reef zones' encapsulated by broad zones of PGE halo mineralisation, with PGE mineralisation from surface in two of the three RC holes drilled.

Palladium is the most abundant metal in the Au+Pd+Pt (3E) calculation, followed by platinum and a minor gold component. Significant intercepts include: 99m @ 0.3 g/t 3E (0.6 g/t PdEq) from surface (PRC033) including: 7m @ 1.20 g/t 3E (1.64 g/t PdEq) from 26m, 8m @ 0.7 g/t 3E (1.17 g/t PdEq) from 83m; 7m @ 0.3 g/t 3E (0.45 g/t PdEq) from surface (PRC034); 31m @0.3 g/t 3E (0.64 g/t PdEq from 40m including: 7m @ 1.01 g/t 3E (1.37 g/t PdEq) from 63m. Multielement geochemistry identified that stratabound PGE mineralisation is hosted by more Mg-rich peridotite to dunnite units within the intrusion complex, with the higher grade `reef' zones likely representing magmatic stratiform layers that are potentially continuous along strike.

Drillhole PRC0032 targeting ultramafic to the SE did not intercept the target horizon due to unrealised folding of the sequence and the south-eastern ultramafic remains untested. Further PGE Potential in Rarer PGEs The Gap PGE mineralisation also has potential to contain rarer PGE metals of Rhodium (Rh), Iridium (Ir), Ruthenium (Ru), and Osmium (Os) as highlighted by recent nickel sulphide (NiS) fire assays on rock chip samples. A selection of RC samples from The Gap and a number or other prospects have been submitted for NiS fire assay.

Further Work - Further RC drilling is planned to drill test The Gap Prospect and its strike extensions as soon as feasible, preferably before onset of the wet season in November. At present, The Gap ultramafic unit is only tested by two drillholes along a single drill fence section, meaning that the remaining 600m of strike with encouraging surface geochemistry at the prospect is untested. Planning for the next phase of drilling is currently underway with the program aiming to drill test key prospects from the results of the first phase RC drill program.

Palladium Equivalent (PdEq) - The Company reports individual grades for each of the elements palladium, platinum, gold, nickel, copper and cobalt as well as an aggregate 3E value, being the aggregate of Pd, Pt and Au. The Company cautions that while many PGE explorers report 3E grades, such grades, being aggregates, do not reflect the varying value contribution of each element. As such 3E PGE mineralisation with a high proportion of Palladium, such as that reported from the Eastman Project, will have a higher value than the same grade 3E PGE mineralisation calculated from a different project that is comprised largely of Platinum, due to the higher value of Palladium per gram compared to Platinum.