Galileo Resources Plc
("Galileo" or "the Company")

Update on Lithium Discovery - Kamativi Project 

Following the recent announcement concerning the lithium discovery on Galileo's Kamativi licence in Zimbabwe, the Company considers it prudent to detail the history, work completed to date and rationale for drilling together with a licence-wide technical review for the benefit of shareholders. This announcement incorporates the drilling results announced on 10 August 2023.

Colin Bird Chairman and CEO said "Following our exciting discovery we thought it prudent and informative to advise the market and shareholders of the underlying history and our strategy towards the Kamativi lithium and tin project. This initially reported lithium discovery has given us much encouragement and provided the impetus to increase the allocation of drilling metres to allow for definition drilling of the mineralisation. This demonstrates that our team has the ability to discover and thereafter implement protocols and regimes consistent with best practice.  We look forward to presenting further results in accordance with the aforementioned protocols as the Project evolves and we will keep shareholders abreast of any material change should it arise".

Background and Basis for Exploration Strategy

·     The Kamativi district is well-known for tin and latterly the ongoing development of a substantial lithium mining and processing operation at the former Kamativi tin mine.

·     Late-stage pegmatites mined on the neighbouring Kamativi mine are found in the Kamativi Formation hosted in a granitic terrane, mostly steeply dipping.

·     This same highly prospective pegmatite-bearing formation extends along strike to the southwest and northeast into Galileo's exploration licence from the Kamativi mine licence.

·     Exploration is guided by a wealth of external research underpinned by current work completed by CSA Global consultants ('CSA') on behalf of the Company looking specifically at the results of pXRF analyses for lithium indicator minerals (lithium analysis requires follow-up laboratory testing) on stream sediment, rock chip and soil samples collected by Galileo and the corresponding independent external certified analyses undertaken by ALS Laboratories. CSA concluded that "the laboratory data is of high quality and has adequate detection limits for all elements and the suite of elements analysed is fit for purpose".

·     Research* notes that lithium and tin mineralisation is typically found in the highly fractionated LCT pegmatites that are enriched in Li, Cs, Ta, Sn, and Rb. Such fractionated lithium - tin-rich pegmatites are found on the Galileo Licence and extend through to the neighbouring Kamativi mine licence where they were selectively mined for tin generating a large tailings resource rich in lithium with a reported average grade of 0.58% Li2O. *(Ref: R.A Shaw et al, 2022: The magmatic - hydrothermal transition in lithium pegmatites: petrographic and geochemical characteristics of pegmatites from the Kamativi area, Zimbabwe).

·     The lithium minerals identified at the Kamativi mine include spodumene, petalite and amblygonite. Late-stage pegmatites in the Kamativi Formation hosting this mineralisation pass through the western and eastern parts of the Galileo licence and the discovery of extensive lithium soil anomalies based on accredited independent assays may indicate the presence of some or all of these lithium minerals in pegmatites delineated within the Galileo licence.

·     CSA Global during their independent assessment of all available data collected by Galileo over the Licence note that low K/Rb ratios coincide with areas of highest lithium anomalism which are associated with the most fractionated rocks - "rendering these areas most prospective". This is aligned with independent research that also identifies the significance of low K/Rb ratios as an indicator of lithium potential.

·     Galileo exploration has identified the western part of the Licence as being characterised by low K/Rb ratios (acknowledged by CSA) and anomalous in Li and Sn whilst the eastern part of the Licence is richer in rare earth elements ('REE') and Ta - Sn anomalies, although some Li potential also exists.

·     Within the western anomalous area CSA note that individual soil samples above/in vicinity of mapped pegmatites show very high concentrations of several of the key pathfinder elements, and some of those coincide with rock-chip samples characterised by low K/Rb and/or high Sn.

·     The eastern part of the Licence hosts soils that are somewhat less enriched in late-stage pegmatite pathfinder elements but there are areas strongly enhanced in REEs, including heavy REEs as determined by laboratory analyses.

Current Drill Programme

·     To date 6 holes have been drilled for over 700m of diamond drilling. Core recoveries are good, and drilling is producing high quality core that can be logged, split and sampled.

·     All core is initially tested by pXRF specifically for measurement of K/Rb ratios to guide further exploration drilling. A quarter core sample is collected and sent to an accredited Zimbabwean laboratory for lithium analysis.  A further half core sample will be sent to a separate accredited ALS Global assay laboratory in South Africa for multi-element analysis including lithium assay.

·     To date in the first six holes have intersected approximately 111 metres downhole width of pegmatites with an appropriately low K/Rb ratio with the potential to host lithium mineralisation.

·     The assay summary for the lithium intercept in hole BSDD001 (drilled at -50 degrees towards north) is as follows:

* True width estimated to be about two thirds of downhole width

·     Preparation of samples is under way for detailed analysis of the pegmatite minerals that are generating the lithium-rich anomalies to determine the specific lithium minerals present. This will initially involve thin section and other mineralogical work being undertaken in Zimbabwe and elsewhere by recognised expertise.

·     Follow-up work is also planned in the northeast of the licence area to test in more detail the REE content of pegmatites where early indications from soil and stream sediment sampling suggest potential for economic grades of highly sought after specialist rare earth elements.

·     Drilling has intersected significantly more pegmatite that was originally anticipated, and this has brought some areas of the Licence thought to be less prospective back into the spotlight as possible additional hosts for lithium (and tin - REE) mineralisation.

·     Tin mineralisation up to 0.4% Sn, often found in association with lithium, is present in rock chip samples on the Galileo Licence and was the original reason for the development of the nearby Kamativi mine. Whilst initial pXRF analysis of Galileo's drill core indicates anomalous tin values associated with some of the pegmatite intervals, full assessment of the tin potential awaits receipt of laboratory analyses.

·     Additional drilling has been approved for Kamativi based on the recent success with the aim of completing definition drilling of mineralisation broadly defined to date. The total additional meterage will be guided by the results achieved with each new drillhole. 

Data QAQC

·     Anomalies derived from pXRF soil and stream sediment sampling are found to be coincident with pXRF rock chip anomalies that in turn are coincident with ALS Global analyses (certified laboratory). CSA notes that laboratory data is of high quality and has adequate detection limits for all elements and the suite of elements analysed is fit for purpose.

·     Galileo has taken samples of recent drill core and had these analysed for lithium at Performance Laboratories Zimbabwe (PVT) Limited ('Performance'), with insertion of certified reference material to check on the accuracy of the results. Based on limited work to date the laboratory results are considered satisfactory. Performance is an accredited laboratory (accreditation No: TEST - 5 0070) tested according to SADCAS accreditation and in accordance with the recognised international standard ISO/IEC 17025:2017 with the accreditation valid from 3 June 2022 and extending to 2 June 2027. Performance is accredited specifically to analyse for lithium gold, cobalt, base metals and PGMs. Core samples will also be check assayed for lithium and associated elements at the ALS Global laboratory in Johannesburg.

Technical Sign-Off: Technical information in this announcement has been reviewed by Edward (Ed) Slowey, BSc, PGeo, Technical Director of Galileo. Mr Slowey is a geologist with more than 40 years' relevant experience in mineral exploration and mining, a founder member of the Institute of Geologists of Ireland and is a Qualified Person under the AIM rules. Mr Slowey has reviewed and approved this announcement.

You can also follow Galileo on Twitter: @GalileoResource

For further information, please contact: Galileo Resources PLC

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018 ("UK MAR").

Technical Glossary

Abbreviations

Cs           Caesium

K             Potassium

Li             Lithium

Rb           Rubidium

Sn           Tin

Ta            Tantalum