Kavango Resources Regulatory News (KAV)

PRESS RELEASE

11 October 2022

KAVANGO RESOURCES PLC

("Kavango" or "the Company")

KCB - Drilling commences

Botswana focussed metals exploration company Kavango Resources plc (LSE:KAV) ("Kavango") is pleased to announce that drilling has begun at Hole KCBRC001 within the Company's Kalahari Copper Belt ("KCB") project area.

Hole KCBRC001 is the first hole to test the Central Zone of PL082/2018, a well-defined copper anomaly that is 27km in strike and contains multiple targets prospective for copper/silver mineralisation.

HIGHLIGHTS

- Hole KCBRC001

- Target depth up to 250m

- Drilling commenced on Monday 10 October

- First of up to 6 exploration holes planned in current phase

- Target chosen based on highly favourable geochemical data (strong copper anomalies)

- Central Zone target

- KCBRC001 is targeting a 100m wide anomaly that has been identified by 3 adjacent points of value >30ppm copper ("Cu") (pXRF values), spaced at 50m intervals  

- Quartz veining observed at surface, as both quartz float and thin veins in in-situ D'kar formation rock

- Veining can be an indicator of potentially mineralising fluid flow, and might be associated with mineralisation at depth

- Sand cover is relatively thin (less than 5m)

- This increases Kavango's confidence in the Cu soil geochemical readings taken

- Next steps

- Kavango is using live data from an ongoing Controlled-Source Audio MagnetoTelluric ("CSAMT") survey to enhance future drill targeting

- Potentially mineralised samples will be analysed at an internationally accredited laboratory

Ben Turney, Chief Executive Officer of Kavango Resources, commented:

"Each hole that we drill in the Kalahari Copper Belt could lead to a significant discovery. Our team has done fantastic work over the last 18 months to bring us to this point and our future exploration is a simple numbers game. The more we drill, the greater the chance we have of success.

Reverse circulation drilling is highly cost-effective and will enable us to cover a great deal of ground in a relatively short period of time. With so many high-priority drill targets across our portfolio, we are excited about what the coming months will bring."

KCBRC001 details

KCBRC001 is targeting a discrete copper geochemical anomaly aligned with mapped underlying geology at PL082/2018 (announced >>> 29th September 2022) called the Central Zone.

The details of the Central Zone are as follows:

- Adjacent to an interpreted anticline feature. This anticline forms the dome that hosts the Zeta and Plutus copper deposits located by Discovery Metals to the North East. Kavango interprets the elevated copper values as representing a possible leakage zone from an underlying redox contact

- Quartz veining has been observed as both quartz float and as thin veins in in-situ D'Kar formation rock.

- Infill soil sampling confirmed elevated copper readings along the Central Zone's strike length, further strengthening its prospectivity

The drilling of hole KCBRC001 is expected to complete well before the end of October.

First phase drill programme details

KCBRC001 is the first hole in a reconnaissance drill programme targeting multiple prospective targets on PL082/2018. Based on Kavango's analysis, this prospecting licence represents a possible analogue for Khoemacau's Banana Zone deposit, which has been reported to have an estimated total mineral resource of 55.7Mt @ 1.1% Cu & 16.4g/t Ag.

Kavango expects to drill up to 5 further holes to test other parts of the Central Zone target and the Northern Zone target.

The details of the Northern Zone target are as follows:

- Robust anomaly extending over 8km of geological strike length occurring in an area with no outcrop (under Kalahari cover) on the edge of a magnetic high that bears similarities to the Ourea and Quirinus copper deposits identified by Discovery Metals in 2009. These deposits are interpreted to be on the limbs of tight anticlines

- Previous work by Kavango identified an AEM conductor in this area extending over approximately 8km and 400m at its widest. This conductor coincides with copper readings identified in geochemical soil samples over the Northern Zone

- In contrast to other areas of the Company's KCB projects, cover is generally thin over PL082/2018. This means that drilling conditions should be favourable for Reverse Circulation ("RC") drilling. RC drilling is rapid and has minimal water requirements, making it a suitable and cost-effective method of reconnaissance drilling in the KCB.

Drilling is expected to complete by early November. Upon completion of each hole, samples will be sent to an internationally accredited laboratory for testing.

In parallel with drilling, Kavango is completing an CSAMT survey of up to 17 line-km within PL082/2018. The Company's objective is to provide resolution of the anticipated anticline structure and to ensure optimal drill orientation. Future drill target locations will be finalised, based on drill data and CSAMT interpretation.

Further information in respect of the Company and its business interests is provided on the Company's website at www.kavangoresources.com and on Twitter at #KAV.

For further information please contact:

Kavango Resources plc

Ben Turney

bturney@kavangoresources.com

 First Equity (Joint Broker)

+44 207 374 2212

Jason Robertson

SI Capital Limited (Joint Broker)

+44 1483 413500

Nick Emerson

Kavango Competent Person Statement

The technical information contained in this announcement pertaining to geology and exploration have been read and approved by Brett Grist BSc(Hons) FAusIMM (CP). Mr Grist is a Fellow of the Australasian Institute of Mining and Metallurgy with Chartered Professional status. Mr Grist has sufficient experience that is relevant to the exploration programmes and geology of the main styles of mineralisation and deposit types under consideration to act as a Qualified Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'.

NOTES TO EDITORS

KAVANGO'S INTERESTS IN THE KALAHARI COPPER BELT

Kavango's exploration licences in the KCB include:

Kanye Resources

Agreement to acquire 100% working interest (Kavango currently owns 50% working interest) in 10 prospecting licences held in a Joint Venture vehicle (Kanye Resources) with Power Metal Resources (LSE:POW), which cover 4,256km2. Terms of the acquisition, which is subject to the issue of a prospectus by Kavango, are provided in the announcement dated 8 July 2022.

The LVR Project

Earning in a 90% interest in prospecting licences PL082/2018 & PL 083/2018, held in a Joint Venture with LVR GeoExplorers (Pty) Ltd ("LVR"), which cover 809km2.

THE KCB PROJECT GEOLOGICAL SETTING

Kavango's KCB Project areas include lengthy redox boundaries, close to surface, that represent excellent exploration targets.

The redox boundaries were formed several hundred million years ago in active sedimentary basins flooded by shallow seas. Organic matter accumulating on the sea floor created anoxic conditions, which formed a chemical barrier to metal ions rising upwards through the sediments as the basin subsided. The change in chemistry caused the precipitation of metal species (carbonates, sulphides etc.) including copper and silver on or just below the redox boundary.

Subsequent tectonic activity folded the sedimentary layers, which was often accompanied by the concentration of metals into the fold hinges and shear zones. Fold hinges pointing upwards are known as anticlines, while the downward pointing hinges are called synclines.

Several large copper/silver ore deposits have been discovered on the KCB in association with anticlines in areas now held under licence by Sandfire Resources (ASX:SFR) and Cupric Canyon (a privately owned mining development company). These deposits are relatively close to surface and many are amenable to open pit mining operations.

Accumulations of metals can be traced along the strike of redox boundaries (sometimes for many kilometres) because they often contain iron and have a higher magnetic signature than the surrounding rock. These have recently been successfully mapped by Kavango's exploration teams.

GLOSSARY

AEM: Airborne Electromagnetic Survey. This uses an energised loop to induce currents in underlying lithological units, which resultant magnetic field can then be measured.

CSAMT: Abbreviated from Controlled Source Audio frequency Magneto Telluric. An AMT survey is an electromagnetic survey technique that uses naturally occurring passive energy sources, and which can electrically map geologic structures to depths of 500 metres or more.

Inversion: Geophysical inversion refers to mathematical and statistical techniques for recovering information on subsurface physical properties, from observed geophysical data

KCB: Kalahari Copper Belt. An area of southern Africa, running ENE-WSW from Botswana into Namibia, within which multiple economic copper-silver sedimentary rock hosted deposits have been discovered.

RC: Reverse Circulation drilling. This is a cost-effective method of drilling that uses compressed air to drive a downhole hammer, which breaks rock into chips that are forced up an internal tube in the drill rod, minimising risk of contamination by wall-rock.

Redox boundary: Reduction and oxidation boundary, at which the chemical oxidative state of chemical species changes, typically resulting in precipitation of metal salts.