Rationalisation of Portfolio

Empire Metals Limited (LON: EEE), the AIM-quoted resource exploration and development company, announces that, in line with the Company's strategy to accelerate the development of the Pitfield Titanium Project ('Pitfield') in Western Australia, management has undertaken an assessment of the Company's non-core assets and as a consequence decided not to extend the Gindalbie Tribute Agreement which is due to expire on 24 February 2024.

Shaun Bunn, Managing Director, said: "Since the discovery of the giant titanium-rich mineral system at Pitfield less than 10 months ago, the Company has been setting a cracking pace in establishing the massive scale, superior grade, and soft-rock nature of the titanium mineralisation. As announced on 6 February 2024, we have strengthened our technical expertise with the appointments of a process development team, comprising of a highly experienced process design manager and two of the titanium industry's leading processing experts. This places the Company in an excellent position to accelerate the economic development of the Pitfield Titanium Project.

"Given the focus on the rapid advancement of Pitfield, the Company considers it prudent to rationalise its exploration portfolio and has decided not to renew the Tribute Agreement covering the Gindalbie tenement which sits adjacent to our Eclipse Gold Project, near Kalgoorlie in Western Australia. The Board no longer believes that this is a core project for Empire. By rationalising the Company's portfolio, the Board can apply all of the Company's energy and resources on Pitfield as it targets a maiden resource in 2024, and the construction of a demonstration plant in the following year. I look forward to providing an update on our progress at Pitfield, particularly on the outcome from our recent mineralogical and metallurgical studies, in the very near future."

Eclipse and Gindalbie Gold Project

The Eclipse and Gindalbie Gold Project consists of two adjacent mining leases, located near the historic gold mining town of Gindalbie, situated 55km north-east of Kalgoorlie.

Empire holds a 75% interest in the 306ha Eclipse mining lease (M27/153), which contains the Eclipse and Jack's Dream historical gold mine workings. In February 2022, Empire entered into a Tribute Agreement that gave Empire the exclusive right to explore, develop and mine within a granted area on Maher Mining's 100% owned mining lease (M27/158) ('Gindalbie'), which sits adjacent to the eastern border of the Eclipse licence area and extended the area for exploration targets by 643ha to a total of 943ha.

Since August 2020, Empire has completed a series of exploration drill programmes culminating in a small but high-grade gold mineral inventory around the historical Eclipse mine shaft. The drilling to date has confirmed that the gold mineralisation is associated with a NW-striking and steeply SW-dipping shear zone ('Eclipse shear') with significant gold mineralisation known to extend over a strike length of more than 500 metres.

The exploration drilling completed at Gindalbie under the Tribute Agreement tested for high-grade gold lodes within the transition and fresh rock, immediately below or adjacent to several of the historic mine shafts scattered across the tenement. Based on these results it was concluded that the main gold mineralisation at Gindalbie was associated with similar NW-striking and steeply SW-dipping shear zone as encountered at Eclipse. As part of the drilling campaign at Gindalbie, the Company also encountered a kaolin-rich zone. Subsequent testwork has shown that the kaolin was not of sufficient quality to warrant further studies.

The Gindalbie Tribute Agreement is due to expire on 24 February 2024. Until expiration, Empire has the option to extend the Tribute Agreement by up to 12 months, subject to paying Maher Mining the amount of A$250,000 and to continue exploration drilling ahead of completing a mining study. Rather than continue to pursue this opportunity, the Company, having met all of its commitments under the Tribute Agreement, has decided not to extend.