Chikundo Cu-Pb-Zn VHMS Update

Highlights

Chikundo is a recently discovered Copper(Cu)-Lead (Pb)-Zinc (Zn) prospectlocated within the Chilalo Graphite Project tenements:

• A recent field visit and sampling programme has identified gossanous material over 1km along strike from the original workings supporting the potential for an extensive Volcanic Hosted Massive Sulphide (VHMS) style Cu-Pb-Zn system

• New soil and rock chip sampling from the original workings has confirmed highly anomalous base metal values

• A review of historical drilling data, targeting graphite, has identified over 5% Cu in samples near surface

• Three new VHMS prospects with highly anonymous base metal and pathfinder geochemistry have been identified within the Company’s tenements.

Evolution Energy Minerals Limited (Evolution or the Company) (ASX: EV1, FSE: P77) is pleased to provide a further update on the Chikundo VHMS prospect, within the Chilalo Graphite Project area (the Project) in southeast Tanzania, previously announced on 28 October 2024.

Chikundo has the key characteristics of a VHMS Cu-Pb-Zn prospect, including the expected host geology and key lithogeochemical associations. These associations include a strong pathfinder relationship between the economic metals (Cu-Pb-Zn) and pathfinder elements such as Bismuth (Bi) and Tellurium (Te).

Recent Activity

Surface Sampling and Analysis

During recent field reconnaissance at Chikundo, eight rock chip samples were collected near the original workings (Malachite Pit) to confirm both visual evidence of copper carbonate (Malachite) at surface, as well as values from historical sampling. Significant results from samples collected in and around the Malachite Pit include:

• MAL-PT-01 – 2,753ppm Cu, 616ppm Zn, 25ppb Pd, 10ppb Pt, 13ppb Au

• MAL-PT-02 – 31ppb Pd, 405ppm Cu

• MAL-PT-03 – 277pm Cu, 153ppm Ba

• MAL-PT-04 – 24ppb Pd, 371ppm Cu

• MAL-PT-05 – 53ppm Ag, 167ppb Au, 63ppb Pd, >1% Cu3 , 1,194ppm Zn, >15% Fe, >5% S

• MAL-PT-06 – 713ppm Cu, 126ppm Zn

• MAL-PT-07 – 3,324ppm Cu, 125ppm Zn, 256ppm Ba

• MAL-PT-08 – 1,832ppm Cu, 324ppm Zn, 263ppm Ba

The key findings from these results are:

• Sample MAL‐PT‐05 is a highly anomalous consistent with a strong VHMS‐style sulphide occurrence (high Cu (>1%), Zn (0.12%), Fe (15%), S (>5%), plus notable Ag (53g/t) and Au (167ppb)).

• Several other samples (MAL‐PT‐01, ‐07, ‐08) confirm that copper mineralization is not isolated.

• Elevated barium in MAL‐PT‐06 and ‐07 suggests possible barite or exhalite layers—again, typical in VHMS systems.

A sample was also collected approximately 1km to the southwest of the Malachite Pit, where a historical soil sample had returned a highly anomalous value of 71ppm Te. On initial inspection, this location had abundant in situ ferricrete. Further investigation showed compelling evidence, including remnant weathered sulphides, that this material represents a gossan.

A gossan is the oxidised, weathered remnant of mineralisation originally rich in sulphide minerals. When these sulphides oxidise, they produce iron oxides/hydroxides and release trace elements into the weathering zone. Gossans act as “pathfinders” because the oxidation process concentrates or mobilizes metals (e.g., Cu, Zn, As) that may indicate a primary sulphide body at depth.

A sample was sent to ALS laboratories in Perth and the significant assays results are shown below:

• 10398054 – 5,340ppm Cu, 34ppm Pb, 1,610ppm Zn, 66pm As, 50% Fe, 0.18% S, 279ppm Ni, 24ppm Mo, 6ppm Bi, 4ppm Sn, 240ppm Se

Beyond the markedly anomalous Cu and Zn values observed in the assay results, the geochemical signature of this sample provides compelling evidence of its classification as a gossan. Notably, key oxyanion-forming elements—molybdenum (Mo), bismuth (Bi), tin (Sn), and selenium (Se)—which remain immobile under acid-rich weathering conditions, serve as critical discriminants between primary hydrothermal mineralisation and secondary Cu-Zn remobilisation. The elevated concentrations of these elements in this sample further substantiate its interpretation as a gossan, reinforcing its significance as a pathfinder for mineralisation.

Analysis of historical drilling

Nine drillholes including three Reverse Circulation (RC) holes and five Diamond Core holes were completed proximal to Chikundo by the IMX Resources Ltd (ASX:IXR) and Continental Nickel Ltd (TSXV:CNI). The exploration results from this drilling were announced IMX Resources (now Indiana Resources Ltd) on 28 March 20125 . The significant intercepts are summarised below:

RC Holes

• NRC12110 – 18m @ 0.6g/t Ag, 814ppm Cu, 947ppm Zn, 2% S from 21m includes 1m @ 1,930ppm Cu, 6,480ppm Zn and 5.5% S from 31m

• NRC14135 – 34m @ 5,046ppm Cr, 2,443ppm Ni, 151ppm Zn, 1% S from surface includes 4m @ 10,897ppm Cr, 1,344ppm Cu, 30% Fe, 4,095ppm Ni, 3% S and 140ppm Zn from 30m

• NRC14136 – 65m @ 1,963ppm Cr, 427ppm Cu and 1.5% S from surface Diamond Core Holes

• NRD11046 – 3m @ 1,002ppm Cu, 6% S from 49m includes 0.3m @ 1,250ppm Cu, 21% Fe and 22% S from 50.3m

• NRD11047 – 1.2m @ 27,365ppm Cu, 14% Fe,14.5% S from 27.7m includes 0.4m @ 52,700ppm Cu, 24% Fe and 26% S from 28.5m

• NRD11048 – 2.6m @ 177ppm Cu, 413ppm Ni, 4.5% S from 82.4m

• NRD11049 – 6.3m @ 2,059ppm Cu, 3% S from 62.7m includes 0.6m @ 8,950ppm Cu, 10% Fe and 9% S from 63.3m

• NRD11050 – 6m @ 0.1g/t % Au, 5,034ppm Cu, 8% Fe, 5% S from 49m includes 0.6m@ 13,450ppm Cu, 14% Fe and 13% S from 49m, and includes 1.0m @ 10,300ppm Cu, 7% Fe and 5% S from 53m

It is of particularly interest that holes NRD11047, NRD11049 and NRD11050, which are located either within or very close to the surface Bi anomaly, also contain the highest Cu intercepts of between 1% and 5.3% Cu. These samples also contain very high levels of iron (Fe) and sulphur (S).

For the remaining holes, the fact that NRC12-110, which is located over 300m northwest of the Bi anomaly and has 0.2% Cu and 0.6% Zn, continues to reinforce the probability of VHMS style of system.

Next Steps

Following the extremely encouraging results of this initial recognisance phase, the Company intends to undertake a systematic exploration programme to delineate the potential of the Chikundo discovery, and the other VHMS targets. This programme is likely to include:

• Geological mapping, soil sampling, and trenching programs to both infill and potentially extend the current Cu-Pb-Zn anomalies.

• Geophysical modelling of ground Fixed Loop Electromagnetic or airborne VTEM conductors, with the aim of identifying VHMS targets hidden by graphite conductors.

• Targeted RC drilling to test the extent, depth and continuity of the mineralisation.

• The strategy is focused on defining a maiden mineral resource estimate.

Soil sampling program

A detailed soil sampling program has been designed to cover all four VHMS prospects and is currently planned to be executed in two stages. The first stage will provide complete coverage of these targets at a 200m x 200m spacing. Based on the results of Stage One, the second stage will close this sampling grid down to 100m x 100m, for those targets which return anomalous geochemistry.

The timing of this program will depend on access following the current wet season. The Market will be updated in due course.

Evolution’s CEO, George Donne, commented:

“The discovery of the Chikundo is hugely exciting for Evolution and has the potential to give us exposure to other highly desirable battery metals.

While we focus on the delivery of our Chilalo coarse flake graphite project, Chikundo broadens our asset portfolio and offers the chance to capture meaningful additional value. Although we are currently targeting final investment decision at Chilalo, this mineralisation shows that our tenements are highly prospective and that exploration is still an important part of our development plan.”

For media enquiries, please contact:

Matthew Lister
Head: Investor Relations
Email: mlister@archempartners.com
Mobile: +44 7780 049 074