Southern Hemisphere Mining Limited - Quarterly Activity Report for the Period Ended 30 June 2023

Highlights:

-          High-grade rock chips up to 7.28% Cu, 18.65g/t Au and 55g/t Ag and other work continue to expand the mineralised footprint of the large Llahuin Copper-Gold-Moly Porphyry Project in Chile

-          A 27.5% increase in the JORC Mineral Ore Resource at the 100% owned Los Pumas Battery Metal Manganese Project in Northern Chile to 30.26 Million Tonnes of Ore and subsequent plan to spin out this advancing project into Titan Battery Minerals Technology Pty Ltd

14 July 2023 - Southern Hemisphere Mining Limited (“Southern Hemisphere” or “the Company”) (ASX: SUH, FWB: NK4) reports the quarterly activity report for the period ended 30 June 2023.

Figure 1 Location Map of Llahuin Project – Chile

EXPLORATION ACTIVITIES

Llahuin Copper-Gold-Moly Porphyry Project 100%

During the quarter under review, the Company continued its soil, rock chip sampling, mapping programs and its extensive relogging of historical drill holes to understand newly-discovered veins hosting high-grade mineralisation occurring in swarms within the porphyry breccia. The team on site also completed over 4,000 pulp composites which have been multi-element analysed by in-house Pxrf to assist with understanding the multi-element signature of the deposit. The relogging and Pxrf work will assist with the new geological interpretation later this year. This understanding is a vital part of refining the highly anticipated drill program scheduled for the 4th quarter this year.

On 19 April 2023, the Company reported that the geological mapping of areas previously unexplored within the project area continued and identified additional mineralised veins in areas outside known resources in the project area.

Figure 2 Project map showing the large growth target at Cerro-Ferro deposits link and comparative scale to the Kalgoorlie Super-Pit

The Company also panned gold in five samples taken from a 500m stretch north of the resource zone at the 1.9km-long Cerro Ferro porphyry-hosted geochemistry target.

From the newly-discovered outcropping quartz veins a best result of 18.65g/t gold, with another sample just 4m away returned 7.56g/t gold.

Several high-grade copper veins were also found west of Ferrocarril porphyry deposit returning results of up to 7.28% copper. (Refer ASX Announcement, dated 19 April 2023 – High-Grade Rock Chips Up To 7.28% Cu, 18.65g/t Au 55g/t Ag).

Figure 3 Panned gold tail (near sample 22LHR000297 and 299)

Los Pumas Battery Metals Manganese Project 100%

On 3 May 2023, the Company reported a substantial JORC mineral resource upgrade for its wholly owned Los Pumas Battery Metals Manganese Project in northern Chile to 30.26 million tonnes of ore, including 23.3 million tonnes in the indicated category.

The resource upgrade now concludes the exploration stage of this long-life battery metals manganese project and moves it to the scoping and metallurgical study phase. The advance also marks a milestone in the Company’s plans to provide high-quality resources for the production of High-Purity Manganese at site. (Refer ASX Announcement, dated 3 May 2023 – JORC Mineral Resource Estimate Update- Los Pumas Project).

CORPORATE ACTIVITIES

Payments to related parties during the quarter totalled $66,537 which included directors fees, superannuation, consulting fees, reimbursements, office lease and equipment rental.

Approved by the Board of Directors

CONTACTS:

For further information on this announcement or the Company generally, please visit our website at www.shmining.com.au or contact the Company.

[email protected]

Ph 08 6144 0590

BACKGROUND INFORMATION ON SOUTHERN HEMISPHERE MINING LIMITED:

Southern Hemisphere Mining Limited is an experienced minerals explorer in Chile, South America. Chile is the world’s leading copper-producing country and one of the most prospective regions of the world for major new copper discoveries. The Company’s projects include the Llahuin Porphyry Copper-Gold Project and the Los Pumas Battery Metals Manganese Project, both of which were discovered by the Company.

Llahuin Copper/Gold/Moly Project:  Total Measured and Indicated Resources - JORC (2004) Compliant. As announced to the market on 18 August 2013.

Note: *Copper Equivalent (“Cu Equiv”): The copper equivalent calculations represent the total metal value for each metal, multiplied by the conversion factor, summed and expressed in equivalent copper percentage. These results are exploration results only and no allowance is made for recovery losses that may occur should mining eventually result. It is the Company’s opinion that elements considered have a reasonable potential to be recovered as evidenced in similar multi-commodity natured mines. Copper equivalent conversion factors and long-term price assumptions used are stated below: 

Notes on copper recovery from historical testwork

·         “Recoveries of copper vary between 75% Cu and 91% Cu with the weighted average of the results being 84% Cu, which is a typically acceptable commercial level”;

·         “Recoveries of gold vary between 41% Au and 57% Au, which is in line with expectations given the relatively low gold grades within the deposit”; and

·         “Flotation concentrates produced during testing contained the resource weighted average copper grade of 28% Cu and 4.9g/t Au. They also contained low levels of deleterious materials in the concentrate. Given that these tests were designed to set parameters and were not optimized, the results indicated good flotation process characteristics”.

Copper Equivalent Formula= Cu % + Au (g/t) x 0.72662 + Mo % x 4.412 Price Assumptions- Cu ($3.40/lb), Au ($1,700/oz), Mo ($15/lb)

Los Pumas Manganese Project: Total Measured and Indicated Resources - JORC (2012) Compliant. As announced to the market on 3 May 2023.

       Total JORC Resources for the Los Pumas Manganese Project at a 2.5% Mn cut-off.

Metallurgical studies have demonstrated greater than 38% Mn concentrates are achievable by DMS with low impurities and high silica product.

In relation to the above resources, the Company confirms that it is not aware of any new information or data that materially affects the information in the announcements, and all material assumptions and technical parameters in the announcements underpinning the estimates in the relevant market announcement continue to apply and have not materially changed.

COMPETENT PERSON / QUALIFIED PERSON STATEMENT:

The information in this report that relates to copper and gold exploration results for the Company’s Projects is based on information compiled by Mr Adam Anderson, who is a Member of The Australasian Institute of Mining and Metallurgy and The Australian Institute of Geoscientists. Mr Anderson has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration, and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Anderson is a consultant for the Company and consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

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