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Fe Limited: Drilling Results Received from Kasombo 5 Copper Project in DRC

Highlights:

-          High grade copper result from first drillhole at Kasombo 5

-          KSB001: 23 m @ 3.18% copper from 54 m; incl 10 m @ 5.18%

-          Drilling intersected two zones of mineralisation

-          Assay from first RC drillhole received; other assays awaited

-          Assay from cobalt prospective Kasombo 7 expected end of February

Fe Limited (Company) (ASX: FEL) is pleased to advise that it has recently received a long-awaited assay from the first drillhole completed at the Kasombo Copper-Cobalt Project (Kasombo Project).  The assay was from drillhole KSB001 located at the Kasombo 5 prospect.

The assays show the drillhole intersected two zones of mineralisation:

-          an upper zone from 25 to 30 m with copper grade of 1.98%

-          a lower zone from 54 to 77 m with copper grade of 3.18%;

• including a higher-grade portion of 10 m @ 5.18%

Preliminary reverse circulation (RC) drilling was completed at Kasombo 5 and Kasombo 7 in late December 2017 and early January 2018 (ASX announcement 8 January 2018):

-          Kasombo 5: targeting copper mineralisation mapped in the pit-wall of an open cut:

• two completed RC holes for 149 m;
• two abandoned RC holes for 114 m (null result expected).

-          Kasombo 7: targeting cobalt mineralisation observed in bedding cross-cutting breccias and in conformable bedding layers exposed by small-scale artisanal workings:

• four completed RC holes for 190 m;
• mapping shows potential for cross-cutting breccia style mineralisation;

-          a previous ASX announcement (dated 12/12/2018) highlight high-grade rock-chip cobalt assay.

Mapping works at the Kasombo Project (reported in ASX announcement dated 12/12/2017) showed two styles of mineralisation: the first conforming to a style typical of deposits of the Katangan Copper Belt; the second showing cross-cutting breccia style, which provides the potential to significantly increase deposit size.  The drilling program recently completed was designed to test the concepts of mineralisation observed from that mapping program.  The evaluation of this drilling will conclude on receipt of assay from three further batches.  ALS is committed to finalising these assays by the end of February. 

The Kasombo Project comprises three mineralised areas of approximately 600 hectares, Kasombo 5, 6 and 7, located within two granted mining licenses PE481 and PE4886 and situated approximately 25 km from the DRC’s second largest city, Lubumbashi, in the Katanga Copper Belt.

Commenting on the commencement of the exploration works, Chairman Tony Sage said;

“I am pleased to see that the early results of the preliminary drill program support our high hopes for this project.  We are building the justification to proceed with a planned 5,500 m drill-out of Kasombo 5 and Kasombo 7.”

Yours faithfully

FE LIMITED

Tony Sage

Non-Executive Chairman

Figure 1: Location of Kasombo Project and nearby Kipushi Processing Plant

Figure 2: Kasombo Location Map

Figure 3; Kasombo 5 Prospect Drillhole KSB001; projection of drillhole shown with the dark green line, and bedding layes drawn on the pit-wall of the open cut; image of pit showing bedding (with light blue line, downdip projection as dotted line); basal fault (dark blue line); mineralisation target (red lines, downdip projection as dotted line); drill rig in position (but with its mast down) outside the rim of the pit.

Figure 4; Kasombo 5 plan-view of KSB001, open-cut outline shown by blue outline; fault shown by thick green line, bedding shown by thin dotted green line; mineralisation zone shown by red stipple, drillhole collar shown by green dot, and surface projection of drill-trace is shown by the grey arrows.  Drillhole, KSB001 is located at 532,879mE 8,710,342mN (datum: wgs84 zone 35 south)

Competent Person Statement

The information in this report is compiled and collected by Mr Jess Oram, Executive Director of Cauldron Energy (an affiliate company of FE Limited) who is a Member of the Australasian Institute of Geoscientists.  Oram has sufficient experience that is relevant to the style of mineralisation, type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 edition of the Australasian Code for Reporting of Exploration, Results, Mineral Resource and Ore Reserves (JORC Code 2012). Oram consents to the inclusion in the report of the matters based on this information in the form and context in which it appears.

To view entire News including tables and JORC-Code in English language, please follow the link:

https://www.asx.com.au/asxpdf/20180216/pdf/43rmkqknsfwdmp.pdf