Mining licence issued for Luansobe Copper Project

Galileo Resources plc ("Galileo "or the "Company") is pleased to announce the award of a small scale mining licence for the Luansobe copper project ("Luansobe" or the "Project") in Zambia to Statunga Investments Limited ("Statunga"). Galileo holds a 75% interest in the Project.

Highlights

• Small-scale mining licence No. 34543-HQ-SML covering 354 hectares has been issued by the Zambian authorities to Statunga for a period of 10 years from 24th April 2024 over part of the previous exploration licence encompassing the Project.
• The mining licence covers an area for which Galileo has previously reported Inferred Mineral Resources reported in accordance with the JORC code 2012 edition as summarised below (refer to RNS dated 09 February 2023):-

o Approximately 5.8 million tonnes gross at 1% total Cu above a cut-off grade of 0.25% total Cu for 56,000 tonnes of contained Cu, potentially amenable to open pit mining.

o Approximately 6.3 million tonnes gross at 1.5% total Cu above a cut-off grade of 1% total Cu for 97,000 tonnes of contained Cu, potentially amenable to underground mining.

· A further mining licence application is currently pending over the remainder of the former exploration licence where historic drilling suggests an exploration target of approximately 3 million to 7 million tonnes between depths of 100 to 300m with grades in the region of 1% to 1.5% total Cu, reported in accordance with the JORC code 2012 edition. The exploration target is conceptual in nature and may not be realised (refer to RNS dated 09 February 2023). Sparse historical drilling indicates that there is potential for additional resources beyond those highlighted above subject to confirmation by deeper drilling.

Colin Bird Chairman & CEO said: "We are pleased to be in receipt of the mining licence for Luansobe over the area of the proposed open pit. As stated previously, our intention is to plan for the development of the open pit and accessible underground resources separate from a deeper drilling programme targeted at investigation of the extent of the deposit at depth. We believe that there is the potential to define a much larger resource within our licence boundary.

We will continue to keep shareholders informed as development progresses."

Project Background

The Luansobe area is situated some 15km to the northwest of the Mufulira Mine in the Zambian Copperbelt which produced well over 9Mt of copper metal during its operation. It forms part of the northwestern limb of the northwest - southeast trending Mufulira syncline and is essentially a strike continuation of Mufulira, with copper mineralisation hosted in the same stratigraphic horizons. At the Luansobe prospect mineralisation occurs over two contiguous zones, dipping at 20-30 degrees to the northeast, over a strike length of about 3km and to a vertical depth of at least 1,250m.

Galileo entered into a Joint Venture agreement with Statunga, a private Zambian company which held the Project comprising small-scale exploration licence No. 28340-HQ-SEL in the Zambian Copperbelt prior to its conversion to two mining licences (see RNS of 30 December 2021).

Information on Statunga: Statunga Investments Limited was registered on 4 May 2020 in Zambia with company number 120200003303 owned by Zambian individuals, including Lukonde Makungu who is a director of Statunga Investments Limited and an executive director of Cooperlemon consultancy which provides consultancy services to Statunga. Statunga's main activity is mining, and registered address office is at Plot No. 2457B, Kamfinsa, Copperbelt Province, Zambia.

The JV Agreement provides Galileo the right to earn an initial 75% interest in a special purpose joint venture company to be established under Zambia law to, with Ministerial consent, acquire the exploration licence and the technical data related to the Luansobe Project by making two payments of US$200,000 each (subject to project due diligence) by 20 February 2022 and issuing 5,000,000 Galileo shares to the Vendors. These conditions were met by the Company. Statunga retains a 25% interest in the Project.

If a decision to mine is made by Galileo, then the parties will be entitled to fund pro rata to their beneficial interest in the JV Company. Any funding shortfall by the Vendors will be recovered from subsequent mine production.

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