Austral Resources Reveals Positive Scoping Study Highlighting Significant Copper Production Pipeline

Jane Morgan Management

Brisbane, Australia – 4 October 2024 | Austral Resources Australia Ltd (ASX:AR1) (“Austral” or “the Company”) is pleased to announce the results of a positive Scoping Study (the “Study) conducted by ERM Australia Consultants Pty Ltd (“ERM”). The study highlights the significant potential for copper production at several of Austral’s key deposits, further enhancing the Company’s growing production profile.

Highlights:

• Positive Scoping Study: The Study, conducted on the Lady Annie, Lady Brenda, Mount Clarke, and Flying Horse deposits, indicates approximately 128,000 tonnes of contained copper potentially available for mining from Austral’s existing Mineral Resource inventory.

• Processing Potential: Around 15,600 tonnes of copper oxide and transitional ore can be processed at Austral’s existing Mt Kelly SX/EW facility, while 112,400 tonnes of additional copper ore can be processed via flotation.

• JORC Classification: Approximately 90% of the Mineral Resources in the Study are within the Measured or Indicated JORC classification, supporting the economic viability of the project.

• Fast-Tracking Development: Austral is fast-tracking the Pre-Feasibility Study (PFS) for these deposits, with completion expected in Q4 2024, paving the way for early production.

David Newling, Chairman of Austral Resources, commented: “We are extremely excited with the outcomes of the scoping study which demonstrate the strength of Austral Resources’ extension project and its long-term copper production growth story.”

“The scoping study supports a strongly viable go-forward case, and is a very exciting development for Austral, our partners and shareholders. Additionally, the optimisation work confirms we have a business that can continue to be significant and has the scale to reposition Austral as a leading Australian mid-tier copper producer with economic relevance, especially as we continue to move into a greener world.”

“I want to thank all our stakeholders and shareholders for their continued support, and I look forward to sharing more positive updates with you as we progress the recapitalisation of the Company.”

Study Highlights:

The Scoping Study examined how an optimised mine plan could enhance production from existing deposits. The study confirms the viability of mining around 124,000 to 131,000 tonnes of contained copper from the identified deposits. The Company’s refurbished Mt Kelly Processing Plant will process the oxide material, while sulphide ore will be processed through Glencore’s Mount Isa facility under a planned toll treatment agreement, expected to be finalised by Q4 2024.

Next Steps:

• Finalise the Pre-Feasibility Study by Q4 2024.

• Continue exploration drilling to upgrade Inferred Resources to Measured and Indicated classifications.

• Progress discussions with Glencore on the toll treatment agreement for sulphide ore processing.

Dan Jauncey
Managing Director & CEO
Austral Resources Australia Ltd
info@australres.com

Jane Morgan
Investor and Media Relations
jm@janemorganmanagement.com.au

About Austral Resources:

Austral Resources Australia Ltd is an Australia-based copper producer, developer and explorer located in the Mt Isa District of northwest Queensland. The Company’s projects include Anthill Project, Lady Annie Project, Cameron River Project and Miranda Project. The Anthill Project area lies within the Lady Annie Project and is located approximately 45 kilometres (km) from the Mt Kelly processing facility. The Lady Annie Project tenements are in the Western Fold Belt of the Mount Isa Inlier. The Cameron River Project tenements lie within the Eastern Fold Belt of the Mount Isa Inlier with the northern tenement close to the boundary with the Central Kalkadoon-Leichardt Belt. The tenements are prospective for copper, gold and rare earths. The Miranda Project tenements lie predominantly within the Central Kalkadoon-Leichardt Belt of the Mount Isa Inlier, with one tenement, EPM 17646, occurring within the Mary Kathleen Group of the Easter Fold Belt.

Jane Morgan
Jane Morgan Management
Investor and Media Relations
jm@janemorganmanagement.com.au