Zeus Resources Limited announced the Company has received assay results from rock chip sampling conducted at its Mortimer Hills Project (E09/2147) during June 2022. Zeus is required under the Mining Act of WA for exploration licences to relinquish an area of no less than 40% of the total tenement area at the end of the sixth year of their term. A total of 6 graticular blocks have been surrendered of the 15 current blocks at Mortimer Hills E09/2147 on 13 September 2022.

Zeus believes that relinquishing this area will not substantially reduce the prospectivity of the Project. Zeus has received assay results from the rock chip samples collected at its Mortimer Hills Project (E09/2147) during June 2022. A total of 4 rock chip samples were taken from the parent granite and 28 rock chip samples were taken of pegmatites with a further 8 samples collected from several base metal targets.

Arrow at their Malinda Project (i.e. T-Bone, Tomahawk and Blade prospects) immediately to the east of Zeus' E09/2147 tenement has identified the Thirty-Three Supersuite as a fertile parent granitoid with the potential to generate LCT Pegmatite swarms up to 500 to 3,000 m out from the parent granitoid. The Thirty-Three Supersuite and Morrissey Metamorphic Suite extend east-southeast from Malinda into Zeus' tenement. Zeus therefore considers that E09/2147 has substantial potential for host- related LCT Pegmatite mineralisation.

Extensive tourmaline alteration of the country-rock found within the tenement also suggests the Thirty-Three Supersuite is highly fractionated and has the potential to generate LCT Pegmatites. Subcropping deformed pegmatites, similar in character to those described at Arrow's Malinda Prospect, were first identified on Zeus' E09/2147 tenement in Third Quarter 2021 with subsequent mapping locating the Pegmatite Creek Prospect in December 2021. Fieldwork during Second Quarter 2022 targeted the prospective zone extending outwards from the Thirty-Three Supersuite Granitoids.

The prospective zone extending outwards from the margins of the prospective granites into the host metasediments is largely obscured by an extensive blanket of quartz sheetwash derived from weathering of the intrusive granitoid. At the Pegmatite Creek prospect numerous pegmatites are exposed by erosion along the flanks of the intrusive granite with recent winter rainfalls fortuitously facilitating better exposure of outcrops. Mapping indicates the core of the intrusive is composed of K-feldspar-quartz-muscovite/biotite granite surrounded by a siliceous outer carapace of quartz-albite-tourmaline granite containing extensively developed pegmatites and quartz-tourmaline veining.

A 50-200 m wide (narrowing along strike to the southeast) transitional margin contains interleaved quartz veins, quartzose pegmatites, tourmaline-rich zones and migmatised biotite-cordierite schists. The contact metamorphic aureole, in which the regional chlorite-sericite-garnet schists are metamorphosed to biotite-cordierite schists, extends outwards for approximately 500 m from the parent granite. Individual pegmatites and pegmatite swarms are observed intruding along the dominant northwest-southeast regional metamorphic fabric.

Evidence of zonation has been observed within larger pegmatites and some pegmatites appear to be recrystallised and sheared and boudinaged by post-intrusion deformation. None of the pegmatite rock chip assays collected are considered to be of economic grade but appear to show typical pegmatite zoning with the pegmatite Li and Ta grades both tending to increase towards the south and away from the granite. This trend will be tested by further mapping and sampling of pegmatite outcrops farther out from the granites, towards the northeast, with the aim of finding a pegmatite zone where the Li and other elements achieve economic grades.

The Company has engaged Western Geophysics Pty Ltd. in WA to collect more publicly available geophysical data with the aim of identifying further prospective areas. An airborne drone photogrammetry survey is also planned for Third Quarter 2022 to target the lithium `sweet spot'. Previous exploration at Mortimer Hills located the widespread occurrences of manganiferous ironstone clasts within transported sheetwash on the tenement.

Field mapping during Quarter 2 2022 located several outcrops of manganiferous gossans developed adjacent to fault bounded outcrops of dolomite within sedimentary units of the Bangemall Basin. Competent outcrops of dolomite typically form large sheared lenses 0.5 to 2 km in length within the Ti-Tree shear zone. Manganiferous nodules and manganese-cemented breccias outcrop on their southern margins where erosion and transport downslope forms extensive pediments of transported manganite and quartz.