March 2022 Quarterly Report

Dome North lithium drilling to further improve the quality and confidence of the Resource completed with the next drill programme to grow the Resource starting in May.




HIGHLIGHTS

  • Pioneer Dome Lithium Project, WA: Key operational activities during the Quarter were:

  • Completion of a diamond core drill (DD) programme aimed at improving the quality and confidence of the lithium Mineral Resource Estimate (MRE) by obtaining samples of near-surface (oxide/transition) mineralisation at both the Cade and Davy deposits and of fresh rock from Davy for bulk density measurements and for metallurgical test work.

  • Planning has been completed for the next drill programme aimed at growing the lithium MRE with drilling planned to start in the second half of May. The programme will consist of 22 Reverse Circulation + diamond tail (RCD) holes totalling 9,000m.

  • Assay batches from the air-core drill programme completed in January remain outstanding and are now expected in May. A report on all results will be finalised in June.

  • Baseline environmental survey report and hydrology report finalised during the Quarter.

  • Juglah Dome Gold Project, WA: A 22-hole RC drill programme totalling 1,915 metres was completed during the Quarter with assays due by the end of May. Felsic porphyry with variable feldspar-pyrite alteration and quartz veining was observed in every drill line.

  • Closing cash on hand as at 31 March 2022 was $9.5 million.

  • POST QUARTER: An unsolicited, confidential, non-binding indicative takeover proposal was received from a credible lithium industry participant to acquire 100% of the issued capital of Essential by way of an off-market takeover, however it was subsequently withdrawn in light of the recent upward trajectory in the trading price of Essential shares.