Eagle Mountain Mining Ltd. December 2021 Quarterly Report

Perth, Jan 27, 2022 - Eagle Mountain Mining (ASX:EM2) (OTCMKTS:EGMMF) is pleased to provide shareholders and investors with an exploration and operations overview to accompany the Appendix 5B for the quarter ending 31 December 2021.

Eagle Mountain's Chief Executive Officer, Tim Mason, commented:

"It has been a very successful quarter with the discovery of further high-grade copper mineralisation plus the confirmation of multiple indicators of large prospective systems at Golden Eagle.

We are working to expand the existing Resource and results received during the quarter continued to deliver a combination of both high-grade and thick mineralised zones. These results will be included in the JORC Mineral Resource Estimate update which is on track to be completed in Q1 2022. This upgrade will see the inclusion of 54 new holes outside the existing Resource plus 5 new holes designed to increase confidence and allow resources in the 'Measured' category to be defined.

At Golden Eagle, we received the assays from the first two holes which confirmed multiple strong indicators of large mineralised systems. While we await assays for a further 10 holes, we are planning an Induced Polarization geophysical survey to identify further potential targets in this area.

The wait time for assay results is increasing which has been quite frustrating, so we now have results pending for 48 holes. We continue to drill with three rigs operating full time. Our goal remains to increase the size and confidence of the existing Resource and also explore other prospective targets, which could result in a 'step change' to the project.


EXPLORATION ACTIVITIES

Oracle Ridge Copper Mine Project

Eagle Mountain aims to become a lower cost producer of low-emission copper at the Oracle Ridge Copper Project ("Oracle Ridge", "Project"). To achieve this goal, the Company continues to undertake various exploration activities at and around the mine with the aim of growing the existing high-grade mineral resource base.

Oracle Ridge has significant infrastructure in place, including approximately 18 kilometres of underground development, access roads, tailings facility (since closed), underground electrical and water services.

Following ongoing positive exploration results in previous quarters, the Company continued its drilling program aiming to:

- Expand the existing JORC Mineral Resource Estimate (MRE);

- Update the existing MRE including the upgrade of a portion of the resource currently classified as 'Indicated' to the 'Measured' category;

- Bring unclassified material to the "Inferred" category;

- Drill test high-priority targets within a few kilometres of the existing mine; and

- Increase the geological understanding of the near-mine area to assist vectoring towards prospective targets.

As part of this program, the following key exploration activities were undertaken at Oracle Ridge during the quarter:

- Resource expansion drilling at the Talon;

- Resource upgrade drilling with the aim of defining a maiden resource in the 'Measured' category - the highest level of confidence defined by the JORC Code; and

- Earthworks to provide access to additional drill pads.

A total of 13,680 metres were drilled during the period, which is the most drilling at the Project in any quarter since drilling commenced in September 2020.


Mineral Resource Expansion

The JORC Mineral Resource Estimate expansion drilling occurred throughout the quarter focusing on the western Talon area on a feature named the 'Wave'. The Talon is defined by a strong magnetic anomaly and is considered a highly prospective target to define further mineralisation beyond the existing MRE. The magnetic anomaly is interpreted as being caused by abundant magnetite, a strongly magnetic mineral that is often associated with high-grade copper mineralisation at Oracle Ridge.

The Wave has favourable conditions for substantial mineralisation and is interpreted to be over 500 metres long in a north-south direction and is also open to the east. Limited historical drilling was completed along its extent. Selected assays received during the period along the Wave, which are all outside the existing MRE, include:

- 22.5m at 2.84% Cu, 27.46g/t Ag and 0.48g/t Au; within
- 69.5m at 1.60% Cu, 15.37g/t Ag and 0.30g/t Au (WT-21-40)
- 12.0m at 1.85% Cu, 12.73g/t Ag and 0.21g/t Au; within
- 29.0m at 1.62% Cu, 12.44g/t Ag and 0.23g/t Au (WT-21-39)
- 5.8m at 2.72% Cu, 29.59g/t Ag and 0.72 g/t Au; within
- 16.6m at 1.87% Cu, 18.53g/t Ag and 0.51g/t Au (WT-21-33)
- 2.6m at 1.35% Cu, 5.12g/t Ag and 0.08g/t Au (WT-21-34)
- 1.1m at 2.51% Cu, 19.80 g/t Ag and 0.19g/t Au (WT-21-35)
- 2.1m at 1.51% Cu, 17.55g/t Ag and 0.07g/t Au (WT-21-36)

The Wave is in contact with the prospective Martin and Abrigo Formations which creates favourable conditions for substantial mineralisation to occur. The Martin and Abrigo formations are units within the limestones and are evident at other major copper deposits in Arizona. The results received during the quarter are encouraging and continue to support our findings that substantial thicknesses of mineralisation could occur more broadly in the Talon area. Drilling over the coming months will continue to focus in this area.

The Wave is interpreted to connect high-grade intercepts to the historic Leatherwood Mine where the mineralisation outcrops at the surface at the southern end of the mine area (refer Figure 4*).


Golden Eagle

Golden Eagle is an area centred approximately two kilometres to the east of the Oracle Ridge mine portals and abutting the OREX target to the north (Figure 5*).

During the quarter, assay results confirmed the presence of two separate alteration systems, both vastly different to the copper skarn mineralisation at Oracle Ridge. These systems are:

- A vein-hosted polymetallic system, characterised by pyrite and silica alteration with localised veins containing lead, zinc and copper sulphides. The intensity of alteration and veining appears to increase to the west and at depth.

- A gold-rich system, confirmed by assay results, displaying abundant hematite (iron oxide) alteration associated with geological structures (e.g. breccias).

Both systems have a strike extent exceeding 500 metres and remain open at depth and to the west. It is expected that future assay results will assist in defining exploration vectors towards the most endowed parts of these alteration systems. Importantly, the polymetallic vein alteration could be interpreted as the distal expression of a potential porphyry also linked to the skarn-hosted copper-silver-gold mineralisation at the mine (refer ASX announcement 28 October 2021).

Full assay results were received during the quarter for two of the 13 holes drilled at Golden Eagle. The gold-rich system contained significant gold values, reported using a 0.5g/t gold cut-off, (refer ASX announcement 28 October 2021) including:

- 1.6m at 0.91g/t Au and 0.02% Cu from 200.4m (GE-21-01)

- 21.2m at 1.88g/t Au and 0.11% Cu from 236.8m (GE-21-03), including
o 8.0m at 3.80g/t Au and 0.20% Cu, and
o 7.2m at 1.26g/t Au and 0.09% Cu

Assay results, together with additional geological interpretation and a new geophysical survey, will assist vectoring toward more prospective zones at Golden Eagle. Further drilling at Golden Eagle will be planned once all drilling data has been compiled and interpreted and the results of the planned IP survey received.


JORC Mineral Resource Estimate Update

During the quarter the Company announced that it would release its first update to the initial JORC Mineral Resource Estimate. SRK Consulting Australia (SRK) have been engaged to assist with the Resource update. SRK is familiar with the project having worked on the initial MRE in late 2020. This update is planned for completion in Q1 2022.

The maiden 2020 JORC MRE was based on a dataset comprised of 531 drillholes. The updated Resource will include a further 54 extensional holes plus 5 infill holes. Due to the larger step-outs of the drilling, it is expected that there will be a relatively larger increase in the 'Inferred' mineralisation compared to 'Indicated' or 'Measured' categories. The Company will continue to update its Mineral Resources periodically and a further Resource update will be conducted later in this calendar year as significant of amounts of assays are still pending and drilling continues.

To view the full quarterly report, please visit:
https://abnnewswire.net/lnk/J61KO29U


About Eagle Mountain Mining Ltd

Eagle Mountain Mining Ltd ASX:EM2Eagle Mountain Mining Limited (ASX:EM2) (OTCMKTS:EGMMF), is a copper-gold explorer focused on the strategic exploration and development of the Oracle Ridge Copper Mine and the highly prospective greenfield (Silver Mountain) project, both located in Arizona, USA.

Arizona is at the heart of America's mining industry and home to some of the world's largest copper discoveries such as Bagdad, Miami and Resolution, one of the largest undeveloped copper deposits in the world.



Contact

Eagle Mountain Mining Ltd
Tim Mason, BEng, MBA, GAICD, Chief Executive Officer
tim@eaglemountain.com.au

Mark Pitts, B.Bus, FCA, GAICD, Company Secretary
mark@eaglemountain.com.au

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