Split Rocks Lithium, Cobalt & Gold, WA (ZNC 100%)

Zenith is systematically exploring the Split Rocks project located in Western Australia for both lithium and gold. Large parts of the western portion of the project area are covered by thick, low lying scrub that has restricted past exploration activities.

The Split Rocks Project covers a large area (>500sqkm) of the Forrestania greenstone belt, this emerging lithium district is host to the new Earl Grey lithium deposit containing 189Mt @ 1.5% Li2O (KDR ASX Release 19th Mar 2018). Zenith is exploring for this style of lithium rich (spodumene) pegmatite within its large land holding located within 10km of the Earl Grey lithium deposit.

As detailed in Zenith’s ASX releases on (17th April 2018, 14th September 2017 and 4th December 2017) first pass surface samples taken at Split Rocks, to date covering less than 10% of the Company’s tenements defined three large, coherent zones of anomalous lithium, caesium and rubidium surrounding granite bodies in the western exploration licences that may be potential source rocks for lithium bearing pegmatites. The tenor of these large scale lithium anomalies is comparable with competitor surface results that upon drilling have returned significant bedrock lithium mineralisation in several instances. Field follow-up indicated very little to no outcrop in the areas of the lithium soil anomalies and drilling is planned.

The surface geochemical anomalies are in addition to the Dulcie pegmatite target located in the eastern portion of Zenith’s Split Rocks tenure where anomalous lithium bearing pegmatites were intersected in a maiden aircore drill program over 950m of strike (ASX Release 12th April 2018). The best lithium result in each hole in this northern area was at drill refusal in saprock at the end of the hole, being the depth beyond which the aircore rig could not penetrate. These anomalous lithium, caesium and rubidium results confirm the presence of prospective pegmatites north along strike of Kidman Resources Limited’s (ASX:KDR) Earl Grey lithium pegmatite deposit and represent a drill target for follow-up testing.

Zenith’s maiden drill program (104 aircore holes) at the Dulcie Prospect confirmed high-grade near surface cobalt-nickel mineralisation, widespread scandium as well as returning strong gold results within Zenith’s recently granted 100% owned Split Rocks project in Western Australia (ASX Release 12th April 2018). Drilling confirmed and extended the cobalt – nickel zone identified in a review of previous exploration and in addition has defined widespread near surface scandium mineralisation in a relatively continuous flat-lying blanket above or beside the cobalt-nickel mineralisation. Significant cobalt – nickel and scandium drill results from initial 4 composite samples from the Dulcie Prospect include:

· 12m @ 0.27% cobalt and 1.45% nickel from 20m downhole;

· 30m @ 0.06% cobalt and 0.75% nickel from 20m downhole; and

· 16m @ 0.07% cobalt and 0.72% nickel from 16m downhole.

· 4m @ 190ppm scandium from surface;

· 8m @ 105ppm scandium from surface; and

· 16m @ 98ppm scandium from 8m downhole.

Significant gold mineralisation was also intersected in several drill holes in the south of the Dulcie prospect area. Results from initial composite samples included:

· 30m @ 0.6g/t gold from 20m downhole, including 4m @ 3.28g/t gold;

· 7m @ 1.93g/t gold from 28m downhole, including 3m @ 4.32g/t gold; and

· 4m @ 0.66g/t gold from surface