Petratherm Limited announced assay results of Rare Earth (REE) drill intersections from the Comet Project Area (EL 6443 & EL 6633) in the Northern Gawler Craton of South Australia. Samples from 44 shallow RAB drill holes returned significant REE mineralised clay intersections outlining several regionally significant Prospect Areas. The results presented are for the most part 3 metre composite bottom hole samples taken from the Company's ongoing regional RAB geochemical sampling program and the mineralisation encountered remains open at depth and out into surrounding areas.

Full suite REE analysis of the 44 drill holes was undertaken following recognition of anomalous light REE (cerium and lanthanum) and other REE path finder elements from the Company's initial assay work. In addition to the 44 holes presented herein, a further 111 drill holes of the 993 shallow RAB holes drilled thus far contain evidence for elevated REEs. These samples are now undergoing analysis to better characterise the extent of REE mineralisation in the region.

First pass drilling was completed on a 400 metre X 400 metre spaced grid and the newly defined REE Prospect areas have been shown to be regionally extensive extending several kilometres. REE 1 Anomaly - Area 1 is a broad northeast trending anomaly extending over an approximate 9 kilometre by 2-kilometre area. The 10 holes sampled to date in this area have returned a top of clay 3 metre composite Total Rare Earth Oxide (TREO) grade ranging between 703 ppm to 2,819 ppm.

The area includes the Target 14 Gold Prospect where REE assaying of the crystalline basement rock below the clay interval has also returned highly anomalous REE's, with drill hole T14_RC10 intercepting 4m @ 3,042 ppm TREO from 36m - 40m. The presence of primary REE mineralisation in fresh rock below the REE clays is highly encouraging, confirming the presence of local REE source rocks. Drill Hole 703 records 3m @ 2,819 ppm from 15m to end of hole and Hole 704 which is the adjacent hole 400m to east, returned 3m @ 2,660 ppm TREO from 15m to end of hole.

These holes contain exceptional high value Magnet REE grades of 743 ppm and 702 ppm respectively. Another 50 drill holes with anomalous REEs and/or REE pathfinder elements from within Area 1 are with ALS laboratories undergoing analysis. REE2 Anomaly - Area 2 REE anomaly extends over an approximate 3 kilometre by 1.5-kilometre area and broadly overlies a prominent magnetic basement rock complex.

Research is underway to determine if the magnetic complex is the source of the REE mineralisation in the area. A further 37 drillholes at REE2 have returned anomalous samples which are now with ALS for analysis. Other Early Stage REE Anomalies - Several single and multi-hole regional spaced drill holes have returned highly significant REE grades including: Hole 590 - 3m @ 2,701 ppm TREO from 15m - 18m (EOH) of which 1,016 ppm are High-Value Magnet REEs and Hole 931 - 3m @ 1,705 ppm TREO from 12m - 15m (EOH).