Exploration Program Commences at Virka

Basin Energy Limited (ASX:BSN) (‘Basin’ or the ‘Company’) is pleased to announce that work has commenced at the Virka project (the “Project” or “Virka”) following execution of a binding agreement (the “Agreement”) to acquire an exploration portfolio located within Scandinavia.

Key Highlights

• Historic data review identifies three areas for immediate field investigation
• Initial mapping and reconnaissance sampling underway
• Historic drill core located for relogging, and where possible, sampling:
  • Evidence for both significant width and grade mineralisation at the Virka project from drilling which included ^1,2
    • 9 m at 1,087 ppm U₃O₈ from 24.5 m in drill hole 81-003
    • within 17 m at 707ppm U₃O₈ from 23 metres depth
• No modern systematic exploration undertaken with last significant exploration in 1980’s highlighting district scale potential

Initial work will focus on the assessment of three areas identified through reviewing historic reports. Limited exploration work was documented, but recorded anomalous base metals, silver and uranium. Exploration work at Virka focussed on North-NorthEast orientated structural features, which were interpreted to be a suitable structural conduit for potential mineralisation.

Basin’s Managing Director, Pete Moorhouse, commented:

“The team at Basin are extremely excited to commence work on the recently announced Scandinavian uranium and green energy metals portfolio. Initial review of the available historical data on the Virka project has provided areas for immediate groundwork. We know that the system is prospective for a variety of metals, with the historical drilling indicating favourable thickness of uranium mineralisation.

The team has commenced work immediately at Virka, conscious of the upcoming winter season. Initial work will focus on getting boots on the ground to assess rock outcrops and trace boulder trains. We will move to historic drill core review and additional literature compilation once the weather prohibits further ground activities.”

Virka Project Background ³

The Virka project is strategically positioned in the heart of the Arjeplog-Arvidsjaur shear-hosted uranium district in Sweden, and approximately 37 km southeast of Boliden’s (STO:BOL) Laisvall Pb-Zn-Ag former mine.

Figure 1: Virka initial work locations

Previous drilling activities conducted in the 1980’s across all licenses targeted uranium mineralisation, with diamond drillholes gamma probed and in rare occasions sampled for geochemical analysis³. Additionally, historical regional geological mapping and boulder tracing records unveiled several surface anomalisms in lead, zinc, silver and gold associated with fault structures. Research indicates that these anomalies have not been adequately followed up with results not verified to JORC Code (2012), however using this data and Basin’s interpretations, three areas have been prioritised for immediate field reconnaissance (Figure 1). This program has commenced with the review of these anomalous features that were historically reported in the project area.

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