Drilling on Sierra Cuadrada Project Defines Extensive Areas of Near Surface Uranium Mineralisation

Piche Resources Limited (ASX: PR2) (“Piche” or the “Company”), is pleased to present reconnaissance drill results at the Sierra Cuadrada uranium project, Chubut province, Argentina (Figure 1).

HIGHLIGHTS

• Auger drilling at Sierra Cuadrada highlights extensive areas of near surface uranium mineralization including:
  • Assay results have been received for the shallow reconnaissance holes including 6 samples >1000ppm U₃O₈ (to maximum 2,650 ppm U₃O₈) and 2 samples >500ppm U₃O₈ (to maximum 900 ppm U₃O₈)
  • 30% of reconnaissance hole assays showed anomalous uranium mineralization.
  • Mineralisation varies in thickness from 0.5m to 4m, with an average thickness 1.5m. The largest being 6km long and 3km wide and remains open.
• These samples were instrumental in understanding the shallow subsurface geology and on prioritising target areas. Multiple areas are being evaluated to identifying priority areas for follow up trenching, mapping and delineation.
• We are waiting on 407 samples from a further 212 drill holes that are currently being prepared for assaying.
• A second auger rig has been delivered to site accelerating the current grid drill programme.
• An additional 37 uranium tenement applications lodged - total U exploration area 2,243km². Several of the new applications are in the adjacent Rio Negro province and are prospective for sandstone hosted uranium and in-situ recovery (ISR) mineralisation.

To date 609 auger holes have been completed to an average depth of 3.91m over both regional reconnaissance and grid drilling.

Visible uranium has been recorded in 146 of the 303 holes assayed to date and 90 of those holes have returned anomalous grades up to 2,650ppm U₃O₈.

The most significant results from the earlier reconnaissance drilling are included in Table 1.

Table 1: Significant assays from regional reconnaissance vertical auger drilling (using cut off grade of 200ppm U3O8)

Drilling is currently being undertaken on a 400m x 400m grid, with some infill on 200m x 200m grid (Figure 2). Samples from a further 212 drill holes are currently being prepared for assaying, with visible uranium recorded in 38% of those holes.

As there is anomalous uranium on many of the tenements in the Sierra Cuadrada portfolio, and radiometric uranium anomalies on all of them, the purpose of the grid auger drilling is to determine areas of mineralisation suitable for trenching and sampling to enable the completion of a JORC compliant mineral resource estimate.

Following earlier reconnaissance sampling and auger drilling, the tenement portfolio has been divided into five priority areas (P1-5). Priority has been defined based on historical exploration, prior airborne radiometric anomalies, Piche field reconnaissance, recent field sampling and auger drilling1.

Detailed grid drilling commenced on the P4 (tenements Teo 5, Teo 6 and Peponi 3) area where land access agreements were first achieved. Access agreements have since been executed on P3 area and are expected to be confirmed on P1 & P2 areas in the near term.

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