BSE Base Resources Limited

MH348

Auger

550,036

9,516,037

2,951

10,650

70

0

3

3

1.4

37.9

0.9

MH347

Auger

550,096

9,516,252

2,850

10,850

78

0

9

9

1.2

28.5

0.7

MH349

Auger

550,017

9,516,461

2,650

10,950

80

0

7.5

7.5

1.1

33.6

0.8

MH350

Auger

549,942

9,516,529

2,550

10,950

81

0

7.5

7.5

1.0

30.0

1.0

CD052

RCAC

551,503

9,515,640

4,300

11,349

52

0

7.5

7.5

1.0

18.7

1.1

CD053

RCAC

551,464

9,515,673

4,249

11,347

56

0

6

6

1.6

23.9

1.9

CD054

RCAC

551,430

9,515,708

4,201

11,350

56

0

4.5

4.5

1.7

38.4

1.9

CD059

RCAC

551,409

9,515,731

4,170

11,353

52

0

4.5

4.5

1.6

30.7

1.8

CD046

RCAC

551,502

9,515,710

4,252

11,400

57

0

7.5

7.5

1.3

24.6

1.9

CD055

RCAC

551,463

9,515,745

4,200

11,399

57

0

6

6

2.1

31.4

2.6

CD058

RCAC

551,435

9,515,774

4,160

11,402

52

0

3

3

1.6

18.6

1.7

CD044

RCAC

551,571

9,515,714

4,301

11,449

53

0

9

9

1.0

19.1

1.0

CD045

RCAC

551,534

9,515,749

4,250

11,450

58

0

6

6

1.7

21.4

1.2

CD056

RCAC

551,498

9,515,782

4,201

11,450

59

0

7.5

7.5

2.4

28.0

2.7

CD057

RCAC

551,460

9,515,816

4,150

11,450

53

0

4.5

4.5

1.8

29.4

2.1

CD039

RCAC

551,639

9,515,788

4,301

11,550

54

0

10.5

10.5

1.5

22.3

1.3

CD038

RCAC

551,607

9,515,822

4,254

11,553

58

0

7.5

7.5

1.8

19.0

0.9

CD037

RCAC

551,564

9,515,856

4,200

11,549

62

0

9

9

1.7

24.9

0.8

CD060

RCAC

551,536

9,515,893

4,154

11,558

58

0

4.5

4.5

1.6

28.5

1.8

CD061

RCAC

551,512

9,515,911

4,124

11,555

53

0

4.5

4.5

1.4

29.6

1.2

CD035

RCAC

551,670

9,515,895

4,251

11,650

60

0

10.5

10.5

1.5

25.6

1.8

CD036

RCAC

551,633

9,515,930

4,200

11,651

63

0

12

12

2.4

22.4

1.1

CD064

RCAC

551,595

9,515,964

4,149

11,650

59

0

4.5

4.5

2.2

26.0

1.1

CD063

RCAC

551,577

9,515,980

4,125

11,650

54

0

3

3

2.2

25.2

1.2

CD062

RCAC

551,559

9,515,997

4,101

11,650

51

0

6

6

1.4

25.9

1.3

MH351

Auger

551,079

9,516,436

3,450

11,650

72

0

12

12

1.0

18.9

0.9

MH346

Auger

551,005

9,516,504

3,350

11,650

69

0

3

3

1.0

29.8

0.8

CD002

RCAC

551,769

9,515,944

4,295

11,750

56

0

4.5

4.5

1.2

19.8

1.2

CD003

RCAC

551,734

9,515,974

4,251

11,750

61

0

10.5

10.5

1.7

25.6

1.4

CD007

RCAC

551,697

9,516,007

4,199

11,748

64

0

12

12

2.2

22.2

1.7

CD065

RCAC

551,626

9,516,071

4,100

11,750

51

0

6

6

1.8

24.5

3.2

CD008

RCAC

551,765

9,516,081

4,201

11,850

62

0

12

12

1.1

24.4

1.0

CD026

RCAC

551,945

9,516,049

4,350

11,949

51

0

7.5

7.5

1.5

17.7

1.5

CD027

RCAC

551,909

9,516,083

4,301

11,950

54

0

7.5

7.5

1.5

23.4

1.8

CD028

RCAC

551,873

9,516,117

4,251

11,951

55

0

6

6

1.2

26.7

1.2

CD029

RCAC

551,835

9,516,151

4,200

11,950

51

0

3

3

1.3

23.7

2.1

CD031

RCAC

551,976

9,516,157

4,300

12,050

46

0

4.5

4.5

1.0

15.7

2.1

CD030

RCAC

551,941

9,516,181

4,258

12,044

46

0

6

6

1.0

14.9

3.7

CD019

RCAC

551,775

9,516,597

3,864

12,236

74

0

16.5

16.5

3.8

16.8

0.5

CD017

RCAC

551,941

9,516,595

3,984

12,347

72

0

16.5

16.5

4.1

16.4

0.7

CD018

RCAC

551,927

9,516,612

3,960

12,347

72

0

18

18

4.5

16.5

1.0

CD004

RCAC

551,871

9,516,656

3,891

12,345

74

0

18

18

5.1

16.8

0.8

CD015

RCAC

552,047

9,516,634

4,040

12,445

69

0

16.5

16.5

3.8

18.2

1.1

CD014

RCAC

552,023

9,516,662

4,000

12,449

71

0

18

18

4.0

15.8

0.8

CD006

RCAC

551,988

9,516,695

3,951

12,449

73

0

19.5

19.5

6.5

15.6

1.6

CD005

RCAC

551,943

9,516,721

3,901

12,450

74

0

18

18

3.9

19.0

1.3

CD016

RCAC

551,902

9,516,744

3,855

12,433

74

0

16.5

16.5

1.8

17.8

0.6

KE923

Auger

552,010

9,516,940

3,796

12,650

72

0

7.5

7.5

1.0

23.7

0.8

KE922

Auger

551,976

9,516,971

3,750

12,650

71

0

4.5

4.5

1.0

24.7

0.7

KE920

Auger

552,007

9,517,078

3,701

12,750

66

0

4.5

4.5

1.0

31.6

1.0

KE901

Auger

553,202

9,517,200

4,499

13,647

58

0

9

9

1.2

28.3

2.2

KE899

Auger

553,494

9,517,072

4,801

13,750

47

0

7.5

7.5

3.5

11.6

4.8

KE915

Auger

553,633

9,517,081

4,898

13,851

45

0

9

9

5.1

12.8

3.5

KE900

Auger

553,551

9,517,145

4,794

13,843

49

0

4.5

4.5

1.0

10.2

2.4

KE918

Auger

553,766

9,517,083

4,994

13,941

45

0

6

6

1.4

17.1

8.0

KE912

Auger

553,503

9,517,603

4,449

14,148

59

0

6

6

1.1

21.8

1.1

KE911

Auger

553,646

9,517,592

4,562

14,236

57

0

7.5

7.5

1.2

28.9

1.4

NE079

Auger

552,614

9,518,556

3,150

14,250

69

0

6

6

1.3

37.2

0.5

NE080

Auger

552,541

9,518,624

3,050

14,250

72

0

9

9

1.3

36.1

0.6

NE104

Auger

551,657

9,519,434

1,851

14,250

90

0

3

3

1.3

39.5

1.0

NE103

Auger

551,583

9,519,501

1,751

14,250

91

0

3

3

1.7

37.0

1.8

NE112

Auger

551,509

9,519,569

1,650

14,250

92

0

3

3

1.9

43.7

0.9

NE119

Auger

551,436

9,519,637

1,551

14,251

90

0

9

9

1.4

29.9

0.4

CD024

RCAC

554,120

9,517,312

5,100

14,350

47

0

9

9

2.1

11.8

5.1

NE115

Auger

553,051

9,518,292

3,650

14,350

79

0

13.5

13.5

1.8

26.2

1.1

NE114

Auger

552,977

9,518,359

3,550

14,349

79

0

9

9

1.2

28.4

0.9

NE109

Auger

552,904

9,518,426

3,451

14,350

78

0

9

9

1.2

34.4

1.3

NE120

Auger

552,534

9,518,761

2,952

14,347

80

0

19.5

19.5

1.7

21.9

0.6

NE121

Auger

552,460

9,518,829

2,852

14,347

82

0

18

18

1.6

23.7

0.9

NE129

Auger

552,386

9,518,896

2,752

14,346

81

0

7.5

7.5

1.0

28.6

0.6

NE125

Auger

552,312

9,518,964

2,651

14,346

76

0

3

3

1.1

41.3

0.7

NE136

Auger

552,165

9,519,099

2,452

14,346

67

0

4.5

4.5

1.1

34.1

1.3

NE135

Auger

552,091

9,519,167

2,351

14,347

72

0

4.5

4.5

1.3

41.1

1.1

CD023

RCAC

554,299

9,517,285

5,251

14,451

45

0

3

3

1.3

5.4

2.8

CD022

RCAC

554,261

9,517,318

5,200

14,449

45

0

6

6

2.5

7.2

11.1

CD021

RCAC

554,224

9,517,355

5,148

14,452

47

0

9

9

1.9

11.3

6.7

CD020

RCAC

554,188

9,517,385

5,101

14,450

48

0

9

9

1.7

8.6

3.5

NE095

Auger

552,677

9,518,770

3,051

14,450

81

0

18

18

1.6

21.7

0.5

NE122

Auger

552,528

9,518,907

2,849

14,450

83

0

13.5

13.5

1.3

30.2

0.6

NE148

Auger

552,238

9,519,170

2,458

14,448

69

0

6

6

1.1

26.8

0.8

NE084

Auger

551,643

9,519,716

1,650

14,449

103

0

7.5

7.5

1.2

37.2

0.1

NE085

Auger

551,571

9,519,784

1,550

14,450

107

0

6

6

1.8

44.9

0.0

NE124

Auger

552,448

9,519,111

2,652

14,547

81

0

3

3

1.0

27.9

0.3

NE123

Auger

552,374

9,519,179

2,552

14,547

78

0

3

3

1.1

34.4

0.3

NE110

Auger

551,779

9,519,864

1,650

14,650

102

0

9

9

1.1

27.4

0.3

NE099

Auger

553,407

9,518,519

3,759

14,758

73

0

7.5

7.5

1.1

32.8

2.1

NE118

Auger

552,953

9,518,924

3,151

14,750

81

0

15

15

1.4

26.8

0.5

NE139

Auger

553,308

9,518,866

3,452

14,947

77

0

16.5

16.5

1.2

25.3

1.4

NE133

Auger

553,234

9,518,933

3,352

14,946

76

0

13.5

13.5

1.2

27.4

1.8

NE144

Auger

553,081

9,519,213

3,050

15,049

81

0

9

9

1.2

30.7

0.5

NE089

Auger

553,143

9,519,428

2,950

15,250

83

0

9

9

1.1

36.0

0.8

NE107

Auger

553,942

9,518,968

3,850

15,450

70

0

3

3

1.0

36.2

0.6

NE105

Auger

553,868

9,519,035

3,751

15,450

75

0

6

6

1.1

37.5

2.6

NE090

Auger

553,720

9,519,170

3,550

15,450

80

0

12

12

1.1

32.2

1.0

NE096

Auger

554,200

9,519,545

3,651

16,050

57

0

3

3

1.1

26.7

2.4

Sampling techniques

Nature and quality of sampling (e.g., cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc). These examples should not be taken as limiting the broad meaning of sampling.

Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.

Aspects of the determination of mineralisation that are Material to the Public Report. In cases where ‘industry standard’ work has been done this would be relatively simple (e.g., ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases, more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g., submarine nodules) may warrant disclosure of detailed information.

For holes prefixed GN, KE, MH and NE mechanised auger drilling was used to obtain 1.5m samples from which approximately 4.0kg was collected via composite grab sampling of a homogenised sample to produce a sub-sample for HM analysis utilising heavy liquid separation, magnetic separation and XRF assay.

All holes were sampled over consistent 1.5m intervals.  Several programs of twin drilling of air core holes have been undertaken and, while some variability was observed, it was concluded that auger drilling is appropriate for reconnaissance drilling to identify mineralisation potential.

For holes prefixed CD, reverse circulation aircore drilling was used to collect the entire 1.5m downhole sample averaging ~10kg from which approximately 3kg was collected via two-stage riffle splitting.

Samples were analysed by mineral sands industry standard techniques of screening, desliming and heavy liquid separation using SPT (sodium polytungstate: SG = 2.85g/cm3).  XRF analysis of HM magnetic fractions was used to define the VHM content.

Drilling techniques

Drill type (e.g., core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (e.g., core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc).

Holes prefixed GN, KE, MH and NE were drilled using trailer mounted mechanised auger equipment, with the fleet comprising three rigs utilising the dead stick auger method (0.5m sample runs) and one rig utilising the continuous flight auger method.

All holes were drilled vertically with the trailer levelled using site preparation and manual jack legs.

Hole diameter was approximately 4” or 102 mm.

Holes prefixed CD were drilled used a truck mounted RCAC EVH 2100 drill rig using remet drill rods of 75mm diameter and a 3 blade aircore vacuum sampling bit.

All holes were drilled vertically with the rig levelled using site preparation and rear hydraulic jacks.

Drill sample recovery

Method of recording and assessing core and chip sample recoveries and results assessed.

Measures taken to maximise sample recovery and ensure representative nature of the samples.

Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.

Sample condition was logged at the rig as either good, moderate or poor, with good meaning not contaminated and appropriate sample size (recovery), moderate meaning not contaminated, but sample over or undersized, and poor meaning contaminated or grossly over/undersized.

It is recognised that open hole auger drilling is subject to potential sample contamination by smearing as the sample is retrieved (both methods) and material falling downhole during running of the drill string (dead stick method).  To counter downhole contamination the driller nominates material for rejection as potential contamination on each 0.5m drill run.

Moist ground conditions meant that best sample quality for aircore drilling was found to be achieved via slow penetration with water injection to aid in the sample recovery.

No relationship is believed to exist between grade and sample recovery.  No bias is also believed to occur due to loss of fine material.

Logging

Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.

Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc) photography.

The total length and percentage of the relevant intersections logged.

All samples were visually checked on site and a summary log was completed by the site geologist. For the initial auger drilling, detailed logging was completed off-site to avoid speculation by community observers, whereas for the aircore drilling, logging was completed on-site to also capture ground conditions.   Samples are logged for lithotype, grain size, colour, hardness, and moisture content.  Logging was based on a representative grab sample that was panned for heavy mineral estimation and host material observations.

Logging codes were developed into the logging software (LogChief) to capture observations on lithology, colour, grainsize, induration and estimated mineralisation.  Any relevant comments e.g., water table, hardness, gangue HM components and stratigraphic markers (e.g fossilised wood) were included to aid in the subsequent geological modelling.

Sub-sampling techniques and sample preparation

If core, whether cut or sawn and whether quarter, half or all core taken.

If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled wet or dry.

For all sample types, the nature, quality and appropriateness of the sample preparation technique.

Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.

Measures taken to ensure that the sampling is representative of the in-situ material collected, including for instance results for field duplicate/second-half sampling.

Whether sample sizes are appropriate to the grain size of the material being sampled.

For the auger holes an approximate 25% split of the drilled sample interval is collected on site via manual cone and quarter composite grab sampling. 

For aircore holes the entire sample interval was collected mostly wet and bagged on site in polyweave bags with internal plastic lining to avoid loss of slimes. Following air drying of excess moisture an approximate 25% split of the drilled sample interval was collected via riffle splitting.

The split sample was processed in a dedicated sample preparation facility where it was air-dried when weather permitted, otherwise it was oven dried during the rainy season.  After drying, the sample was rotary split to produce a ~200-400g sample for analytical work.  The remaining drill sample material was combined and split down to ~2-3kgs for storage.  Improvements to the sample preparation stage were made in recent years to ensure industry best practice and to deliver a high degree of confidence in the results.  These included the following:

• A formalised process flow was generated, posted in all sample preparation areas and used to train and monitor sample preparation staff.
• Regular monitoring was completed by Base Titanium senior staff.
• Field samples were left in their bags for initial air-drying to avoid sample loss.
• TSPP dispersant was introduced to decrease attrition time and improve slimes recovery.  A range of attrition times (with 5% TSPP) were trialled and plotted against slimes recovery figures to determine optimum attrition time (15 minutes).
• Staff were trained to use paint brushes and water spray rather than manipulate sample through slimes screen by hand to remove the potential for screen damage.
• A calibration schedule was introduced for scales used in the sample preparation stage.
• The introduction of LIMS software allowed the capture of sample preparation data digitally at inception and synchronisation in real-time to the master Kwale Laboratory database.
• Slimes screen number recorded to isolate batches should re-assay be required due to poor adherence to procedure or to identify screen damage.

The sample preparation flow sheet follows conventional mineral sands processes but departed from standard mineral sand practices in one respect; the samples were generally not oven dried prior to de-sliming to prevent clay minerals being baked onto the HM grains (because the HM fractions were to be used in further mineralogical test work).  Instead, a separate sample was split and dried to determine moisture content, which was accounted for mathematically.

Pre-soaking of the sample TSPP dispersant solution ensured a more efficient de-sliming process and avoided potentially under-reporting slimes content.

QA/QC procedures involved the following:

• Prepared laboratory duplicate split samples were processed at every 20th sample.
• Prepared laboratory repeat samples were processed at every 7th sample.

The manual hard-copy sample preparation records are maintained in files in the event of cross-references due to identified scribing errors into LIMS software.

The sample size is considered appropriate for the grain size of the material because the grade of HM is measured in per cent.

Quality of assay data and laboratory tests

The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.

For geophysical tools, spectrometers, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.

Nature of quality control procedures adopted (e.g., standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e., lack of bias) and precision have been established.

Samples were analysed by conventional mineral sands techniques of screening, desliming and heavy liquid separation using SPT (sodium polytungstate: SG = 2.85g/cm3).  XRF analysis of HM magnetic fractions was used to estimate the VHM content.

All drill samples were submitted to the Kwale Operations laboratory, with the following approach adopted.

• All samples were dried and weighed.
• Split to a ~200-400 g sub-sample using a rotary splitter.
• Wet screened using 45 µm and 1 mm sieves, to generate oversize and sand fractions, with slimes lost during screening and calculated by difference.
• Sand fraction processed by SPT heavy liquid separation to generate a HM fraction.
• HM fraction subject to magnetic separation on a roll magnet to generate a magnetic (Mag) fraction and non-magnetic (NonMag) fraction.
• XRF analysis of magnetic fractions, with rutile (assumed 95% TiO2) calculated from TiO2 assay of NonMag by dividing by 0.95, zircon calculated from ZrO2 assay of NonMag, and ilmenite (assumed 54% TiO2 average) calculated from TiO2 assay of Mag by dividing by 0.54.
• Various quality control samples were submitted routinely to ensure assay quality.  A total of 494 duplicate field samples, 492  laboratory duplicate samples, 906 laboratory repeat samples and 26 internal field standards have been assayed at Kwale Operations’ site laboratory.

Verification of sampling and assaying

The verification of significant intersections by either independent or alternative company personnel.

The use of twinned holes.

Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.

Discuss any adjustment to assay data.

Drill hole logging and site sample data was collected electronically in Maxwell LogChief software, installed on field Panasonic Toughpads and which synchronise directly to the Maxwell DataShed exploration database software hosted on the Base Titanium network server.  Assay data was captured electronically via LIMS software and merged with logging and sample data in Datashed.

No adjustment to assay data was made.

Location of data points

Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.

Specification of the grid system used.

Quality and adequacy of topographic control.

Proposed drill holes were sited on the ground using hand-held Garmin GPS units which have an accuracy of between 3 and 5m. The auger drill collars were surveyed using the same instrumentation while 60 out of 65 aircore holes were surveyed using real time kinematic (RTK) DGPS unit.

The survey Geodetic datum utilised was UTM Arc 1960, used in East Africa Arc 1960 references the Clark 1880 (RGS) ellipsoid and the Greenwich prime meridian.  All survey data used has undergone a transformation to the local mine grid from the standard UTM Zone 37S (Arc 1960). The local Grid is rotated 42.5o, which aligns the average strike of the deposit with local North and is useful for both grade interpolation and mining reference during production.

The drill collars were projected to a merged local LIDAR and SRTM digital terrain model

Data spacing and distribution

Data spacing for reporting of Exploration Results.

Whether the data spacing, and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.

Whether sample compositing has been applied.

The drill data spacing for the drilling was nominally 100m X, 50m Y and 1.5m Z.  Variations from this spacing resulted from access challenges.

This spacing and distribution is considered sufficient to establish the degree of geological and mineralisation continuity appropriate for reconnaissance exploration.

No sample compositing has been applied for HM, slimes, oversize and XRF assays.

Orientation of data in relation to geological structure

Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.

If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.

With the geological setting being a layered dunal/fluvial/maritime sequences, the orientation of the deposit mineralisation in general is sub-horizontal.  All drill holes were orientated vertically to penetrate the sub-horizontal mineralisation orthogonally.

Hole centres were spaced nominally at 50-200m.  This cross-profiles the dune so that variation can be determined.  Down hole intervals were nominated as 1.5m.  This provides adequate sampling resolution to capture the distribution and variability of geology units and mineralisation encountered vertically down hole.

The orientation of the drilling is considered appropriate for testing the horizontal and vertical extent of mineralisation without bias.

Sample security

The measures taken to ensure sample security.

Sample residues from the preparatory stage were transferred to pallets and stored in a locked shed beside the warehouse at Kwale Operations.

Residues from the Kwale Operations site laboratory were placed in labelled bags and stored in numbered boxes.  Boxes were placed into a locked container beside the laboratory. 

Sample tables are housed on a secure, network-hosted SQL database.  Full access rights are only granted to the Exploration Manager and senior IT personnel.

Data is backed up every 12 hours and stored in perpetuity on a secure, site backup server.

Audits or reviews

The results of any audits or reviews of sampling techniques and data.

In-house reviews were undertaken by Mr. Scott Carruthers and Mr. Ian Reudavey, both employees of the Base Resources group and Competent Persons under the JORC Code.

Mineral tenement and land tenure status

Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings.

The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.

The Kwale East exploration area is situated on a Prospecting Licence 100% owned by Base Titanium– PL/2018/0119 located in Kwale County, Kenya.  Base Titanium is a wholly owned subsidiary of ASX and AIM-listed resources company, Base Resources.

The 40km2 Prospecting Licence was re-granted on 26 of May 2021 for a second, three-year term ending 25 May 2024.

The PL is in good standing with the Kenya State Department of Mining at the time of reporting, with all statutory reporting and payments up to date.

Local landowners have been generally supportive of exploration activities, though blanket access was not achieved. 

The existing Special Mining Lease No. 23 is adjacent to the PL.  The SML boundary has been varied on multiple occasions, most recently to include the Bumamani Project deposits.

The Kenyan Mining Act 2016 includes a provision for existing mineral rights to transition to mining licences upon their expiry on a priority basis. 

Landowner access permission is required to both complete the exploration program and then progress conversion of the PL to a mining licence.  The Mining Act 2016 provides greater flexibility on securing land rights, specifically allowing for a mineral right to be issued on private land.  The Mining Act 2016 additionally, provides for fair and adequate compensation to be paid to lawful landowners, occupiers and users.

Exploration done by other parties

Acknowledgment and appraisal of exploration by other parties.

No historical exploration by third parties was undertaken in the Kwale East area.

Geology

Deposit type, geological setting and style of mineralisation.

The Kwale East deposits are primarily hosted in reddish dunal sands (Ore Zone 1) which is underlain by a transitional and occasionally lateritic zone (Ore Zone 4).  To the east and around the 50-60mRL, these deposits are hosted in shallow paleo-beach sands (Ore Zone 20) originating from a Pleistocene marine transgression event.  This zone is low in slime and typically has a high valuable heavy mineralogy content.

All three formations have a regional strike direction of about 40 degrees East of North and range in age from mid-Pliocene to Pleistocene.

Drill hole Information

A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes:

• easting and northing of the drill hole collar
• elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar
• dip and azimuth of the hole
• down hole length and interception depth
• hole length.

If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.

A tabulation of drilling data with significant intersections ≥1% HM is included in Appendix 1.  All drill hole locations are shown in Figure 2, and those holes not tabulated have not reported significant intersections.  The exclusion of detailed collar information for all drill holes is justified on the basis that:

• auger drilling represents a reconnaissance exploration tool with over 1,000 holes drilled; and
• the air core drilling completed was primarily for better quality samples in areas identified as prospective by the auger drilling program and to ensure the holes were drilled down to basement.

Drilling by year (max, min and average depths) is as follows.

• 2018/2019

• 123 air core drill holes (depth: max 33m, min 6m, avg 15m).
• Total 1,851.5m drilled

• 2023

• 1,134 auger drill holes (depth: max 24m, min 3m, avg 11.5m).
• Total 13,105.5m drilled by auger
• 65 aircore drill holes (depth: max 24m, min 6m, avg 16m).
• Total 1,054.5m drilled by aircore

All drill holes are drilled vertically (-90 degrees).  All collars have been projected to the DTM surface.

Data aggregation methods

In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g., cutting of high grades) and cut-off grades are usually Material and should be stated.

Where aggregate intercepts incorporate short lengths of high-grade results and longer lengths of low-grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail.

The assumptions used for any reporting of metal equivalent values should be clearly stated.

Exploration results are reported as length weighted averages from surface.  No grade cutting has been applied and a nominal cut-off grade of 1% HM has been utilised.  However, lower grade intervals may be included to provide geological continuity and in recognition of bulk mining techniques used for mineral sands.

No metal equivalent values were used.

Relationship between mineralisation widths and intercept lengths

These relationships are particularly important in the reporting of Exploration Results.

If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.

If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g., ‘down hole length, true width not known’).

The deposit sequences are sub-horizontal, and the vertically inclined holes are a fair representation of true thickness.

Diagrams

Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported. These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.

See body of the announcement - Figure 2.  Additional diagrams, including cross sections, have not been included as no significant discovery is being reported.  Given the Company’s decision to discontinue exploration activities at Kwale East, these are not considered material.  Further, detailed cross sections were included in the July Announcement.

Balanced reporting

Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.

The drilling location plan shows the average HM assay results for all drill holes.

Other substantive exploration data

Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.

Geological observations suggest that the Kwale East dunal material contains significantly lower slimes than the deposits currently being mined.  This would be beneficial to support the co-disposal of tails, while still having sufficient slimes to support hydraulic mining.

Due to the reconnaissance nature of exploration to date and the decision to not proceed with further exploration, there is no other substantive exploration data to report.

Further work

The nature and scale of planned further work (e.g., tests for lateral extensions or depth extensions or large-scale step-out drilling).

Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.

Exploration activities at Kwale East have been discontinued.  This decision followed an evaluation of the likely mineralisation for the three targets using the results from the Phase 1 and Phase 2 drill programs and applying optimistic assumptions on the continuity of mineralisation in the Magaoni and Zigira target areas that were not able to be drilled.  Even on these optimistic assumptions, the evaluation indicated that there is unlikely be sufficient volume or heavy mineral grade to support an economically viable mining development.  For further details about the evaluation undertaken, refer to the Company’s announcement titled “Kwale Operations to transition to post-mining at end of 2024 as planned”, also released today.

Base Titanium

Base Resources’ wholly-owned Kenyan operating subsidiary and the owner and operator of Kwale Operations.

collar

Location of a drill hole.

Competent Person

Has the meaning given in the JORC Code. 

The JORC Code requires that a Competent Person be a Member or Fellow of The Australasian Institute of Mining and Metallurgy, or of the Australian Institute of Geoscientists, or of a ‘Recognised Professional Organisation’.

A Competent Person must have a minimum of five years’ experience working with the style of mineralisation or type of deposit under consideration and relevant to the activity which that person is undertaking.

DTM

Digital Terrain Model.

GPS

Global positioning system.

HM

Heavy mineral.

JORC Code

The Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, as published by the Joint Ore Reserves Committee of The Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia.

Kwale Operations

Base Titanium’s mineral sands mining operations in Kwale County, Kenya.

LIDAR

Light Detection and Ranging, a remote sensing method that uses pulsed laser to measure ranges.

LIMS

Laboratory information management system.

PL

Prospecting licence.

QA/QC

Quality assurance and quality control.

RCAC

Reverse circulation aircore drilling method

RL

Reduced level, equating elevations with reference to a common assumed vertical datum

SG

Specific gravity, or relative density.

SML

Special mining lease.

SPT

Sodium polytungstate heavy liquid used for mineral separation based on relative density.

SQL

Structured Query Language, a standardized programming language used to manage relational databases.

SRTM

Shuttle Radar Topography Mission, a modified radar system used by a Space Shuttle Endeavour mission to capture a high-resolution topographic database of the earth.

TSPP

Sodium (Tetra) Pyrophosphate.

UTM

Universal Transverse Mercator, a plane coordinate grid system.

VHM

Valuable heavy mineral.

XRF

A spectroscopic method used to determine the chemical composition of a material through analysis of secondary X-ray emissions, generated by excitation of a sample with primary X-rays that are characteristic of a particular element.

Australian Media Relations

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