China Baiyin Group (00815): Exploration results support continued exploration activities at the Shigatse mine

According to the Zhitong Finance App, China Baiyin Group (00815) issued an announcement relating to Shigatse mine exploration activities. Xiaqiu District continues to carry out geological exploration activities, including geological mapping, low-altitude aeromagnetic surveying, drilling, core logging and sample testing. As of the date of this announcement, about 6 drilling rigs have been deployed in Xiaqiu District. Up to now, the main exploration results of the Shigatse mine are summarized as follows:

1. The drilling completed up to now has the following preliminary findings: (i) Angle lithification and garnet silica rock alteration. Narrow chalcopyrite veins in tuff intersect at the shallow end, indicating the presence of local copper mineralization. (ii) Preliminary surface troughing identified silica type polymetallic mineralization, including copper, lead, zinc and silver mineralization, as well as magnetic-rich iron ore segments. (iii) A number of deep-drilled core logging identified altered granodiorite porphyry, impregnated and fine-veined molybdenum mineralization, and veined and reticular lead-zinc mineralization.

2. An aqueous sediment anomaly was previously discovered in the central part of Xiaqiu District. After geological verification, an outcrop was found, indicating molybdenum mineralization. The outcrop produces roughly horizontally and is located in the contact zone between metamorphic feldspar quartz sandstone, metamorphic quartz sandstone, and granodiorite porphyry. The outcrop follows an east-west intermittent trail with a length of about 1 km, and the reported vertical thickness is about 1 meter to 20 meters. Preliminary laboratory analysis of selected samples taken from this outcrop revealed molybdenum mineralization.

Considering comprehensive aeromagnetic survey results, structure and alteration mapping data, the above observation signs indicate that there may be a composite porphyry-silica-hydrothermal vein polymetallic mineralization system containing molybdenum, copper, lead, zinc and silver, but further exploration is needed to confirm the existence, scope and continuity of this mineralized system.

The above exploration results are based on selected borehole sections, samples and observation data obtained at this stage of exploration work. In view of the limited exploration work that has been completed to date, the results should not be considered representative data or estimates of the amount or average grade of any mineral resources, or the true thickness, shape or continuity of mineralization. The dimensions of the report are preliminary results and may vary as exploration progresses.

The Company believes that the exploration results support the continuation of exploration activities at the Shigatse mine. These activities are currently expected to proceed in accordance with the estimated capital requirements and development schedule for the Shigatse mine as previously disclosed. Further deep drilling is expected to be carried out at the Shigatse mine to test the possible presence and location of porphyry mineralization centers and the extent of copper and molybdenum mineralization. In addition, aeromagnetic measurement data will be comprehensively interpreted, and priority target areas will be identified based on surface molybdenum mineralization and associated erosion distribution, and systematic verification will be carried out through deep drilling. In addition, systematic sampling will continue to be carried out for petrographic testing and chemical analysis to improve the geological model of the Shigatse mine.