South Pacific Metals Returns up to 12.8% Copper from Outcrop Outside the Kili Teke Resource; Massive Sulphide Traced over 200 Metres Assays confirm mineralisation within a massive sulphide unit mapped over more than 200 metres on the western margin of
South Pacific Metals Returns up to 12.8%
Copper from Outcrop Outside the Kili Teke
Resource; Massive Sulphide Traced over 200
Metres
Assays confirm mineralisation within a massive sulphide unit
mapped over more than 200 metres on the western margin of
the Central Porphyry. Two priority target areas outside the
current Mineral Resource are advancing toward drill-ready
status.
Highlights
Massive sulphide unit, mapped over 200 metres and open,
along a north-south fault contact
on the western margin of the Central Porphyry outside of the Mineral Resource boundary
strengthened by surface mapping and assays: outcrop samples returned 12.8% Cu, 0.30
g/t Au and 104 g/t Ag.
Historic trench mineralisation validated by new sampling.
Eight samples collected across
part of the historic trench were mineralised, averaging 0.36% Cu and 0.72 g/t Au.
Ridge Gold (Kwaki Creek area) remains a compelling geochemical target:
historic soils
returned up to 9,390 ppb Au (9.39 g/t Au) within a strong gold-in-soil anomaly, also elevated in
tellurium, indicating a potential alkalic, Porgera-style target.Previous drilling was oriented from the
north-to-south and did not effectively test the inferred south-dipping structures.
Further targeting focused at depth beneath the current Mineral Resource,
where historic
drilling includes 187 m at 1.10% CuEq (0.62% Cu, 0.44 g/t Au) from 501 m in KTDD022.
Additional 205 soil samples and 60 rock samples
pending assay
from current program.
Drill-ready targets expected in Q4 2026,
ahead of a planned maiden diamond drill program.
Vancouver, British Columbia--(Newsfile Corp. - August 31, 2026) -
South Pacific Metals Corp.
(TSXV:
SPMC) (OTCQB: SPMEF) (FSE: 6J00) ("
SPMC
" or the "
Company
") is pleased to report first assay
results and field progress from the Kili Teke Copper-Gold Project ("
Kili Teke
") in Hela Province, Papua
New Guinea, held 100% through the Company's wholly-owned subsidiary Kainantu Resources Limited.
Kili Teke hosts a National Instrument 43-101 ("
NI 43-101
") Inferred Mineral Resource of 237 Mt grading
0.34% Cu and 0.24 g/t Au, equivalent to approximately
4.2 Moz AuEq
1
at 0.55 g/t AuEq or 3.14 billion
lbs CuEq at 0.60% CuEq
, within the Central Main Porphyry. More than 95% of historical drilling across
the 253 km
2
licence was concentrated on this single porphyry centre. The Company's current exploration
program is confirming historic work and identifying mineralised target zones outside the current mineral
resource envelope (see news release dated
June 25, 2026
).
The current work is prioritising two target areas outside the Mineral Resource (see news release dated
July 29, 2026
) - the Ieru (Yalopi formation) to the west of the Central Porphyry, including the massive
sulphide and trench zones, and Ridge Gold (Kwaki Creek area) to the east. Much of the preparatory
work required to convert them into drill-ready targets is now well underway. The current program
represents the first systematic exploration at Kili Teke in approximately a decade.
Timo Jauristo, CEO of SPMC, commented: "Kili Teke has been dormant for almost a decade, but the
opportunity here was never in doubt. Our first exploration program has already found further encouraging
evidence of strong mineralisation in several areas outside of historically drilled Central Porphyry. This
supports our view of Kili Teke as a broader porphyry/epithermal complex around the 4.2 Moz AuEq or
3.1 billion lbs CuEq Central Porphyry. Our focus now is on pulling this recent data together with the
historical dataset to define targets ready for drill testing by the end of October."
Figure 1: Kili Teke Au-Te-As anomalies in soils, with recent sampling
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/10890/312085_0147052b14afa9c8_001full.jpg
FIRST ASSAY RESULTS
The first-phase exploration program by SPMC is designed to map and sample the district surrounding
the Central Main Porphyry to identify and prioritise new drill targets outside the current Mineral Resource.
Forty-two rock samples collected during the initial site visit have been analysed for gold (Au), copper
(Cu), and silver (Ag), with full multi-element results pending. Selected results are presented in Table 1,
with results for all 42 samples provided in Appendix 1:
Table 1: Highlights from rock sampling
Sample ID
Easting
Northing
RL
Silver (g/t)
Gold (g/t)
Copper(%)
E50301
688602
9403499
1396
104.0
0.30
12.80
E50319
688795
9403351
1391
7.7
0.76
1.84
E50327
688633
9403279
1324
6.8
0.64
1.44
E50321
688670
9403288
1333
3.2
0.34
1.44
E50322
688645
9403281
1318
2.0
0.19
0.73
E50331
688565
9403188
1297
9.5
0.08
0.56
E50329
688565
9403188
1297
4.7
0.18
0.56
E50328
688569
9403191
1292
6.5
0.57
0.51
E50339
688171
9403293
1191
4.0
0.59
0.46
E50336
688167
9403289
1192
11.0
0.43
0.46
E50337
688169
9403290
1192
3.7
0.72
0.41
E50302
688601
9403489
1391
1.8
0.28
0.39
E50343
688180
9403322
1199
6.4
1.88
0.39
Sample ID
Easting
Northing
RL
Silver (g/t)
Gold (g/t)
Copper(%)
Rock chip and outcrop sampling is selective in nature and the results are not necessarily
representative of the overall mineralisation present on the Project. See sampling and quality
assurance below for analytical methods and QA/QC procedures. Full results for all 42 samples are
available in Appendix 1.
Figure 2: Geology of the Kili Teke area showing recent rock samples
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/10890/312085_0147052b14afa9c8_002full.jpg
TWO PRIORITY TARGET AREAS DEFINED
The Yalopi formation, part of the Ieru prospective zone, lies west of the Central Main Porphyry
resource
and incorporates a large gold-in-soil anomaly, the historic Ieru trench and the newly mapped
massive sulphide unit described above. The historic trench returned
132 m at 0.55% Cu, 0.6 g/t Au
,
including
27 m @ 0.97% Cu, 1.25 g/t Au
. New sampling across part of the historic trench returned eight
mineralised samples averaging 0.36% Cu and 0.72 g/t Au, supporting mineralisation previously
identified in the area. Mapping is 70% complete and is documenting lithology, alteration and
mineralisation across the target area.
At the Kwaki Creek area, within the greater Ridge Gold area,
a priority target area east of the
Central Main Porphyry resource incorporates the very high tenor gold-in-soil anomaly. A
205
-sample soil
grid has been completed, while recent mapping identified further altered and mineralised outcrop,
including monzonite, on the northern flank of the ridge, consistent in type and style with mineralisation
already documented to the south. The target area is materially larger than it was previously understood to
be. Historic trenches on the southern flank have been relocated and resampled. This target is expected
to be defined by gridded soil geochemistry along with mapping.
The Company's initial focus will be generating drill targets outside of the historic resource area,
focused on Ieru-Yalopi and Ridge Gold-Kwaki areas.
FURTHER TARGETS AT DEPTH BENEATH THE MINERAL RESOURCE
Prior operator, Harmony Gold, completed approximately 37,500 metres of drilling at Kili Teke and
defined the current Mineral Resource within the upper part of a single porphyry centre (Central Main
Porphyry). Several of the longest and highest-grade intercepts recorded extend below the base of that
model, and a number of holes ended in mineralisation.
Selected historical intersections include higher-grade Cu-Au intervals reported at 0.8% Cu cut-off,
together with a broader mineralised interval in KTDD022 of 187 m @ 1.10% CuEq (0.62% Cu, 0.44 g/t
Au) from 501 metres. A high-grade skarn intersection in KTD025 of 8 m @ 13.31% Cu, 11.75 g/t Au
from 920 metres demonstrates mineralisation along the carbonate contact outside the current resource
model, in a hole that was not drilled to test a skarn.
Table 2: Selected historical drill intersections at depth at Kili Teke's Central Main Porphyry
Hole
From (m)
Interval (m)
Cu (%)
Au (g/t)
CuEq (%)
KTD013
348
52
1.18
0.81
2.06
KTD022
571
47
1.08
0.5
1.62
KTD025
712
32
1.01
0.46
1.51
KTD025 (Skarn)
920
8
13.31
11.75
26.02
KTDD022
501
187
0.62
0.44
1.1
Copper-equivalent (CuEq) is calculated as CuEq (%) = Cu (%) + 1.0815 × Au (g/t), using metal prices
of US$4.45/lb copper and US$3,300/oz gold and assuming equal metallurgical recoveries for both
metals - the same basis on which the Company reports its Inferred Mineral Resource. No allowance is
made for differential metallurgical recovery, though test work indicates that gold reports primarily to
copper concentrates in the porphyry system. Metal equivalents are presented for comparative
purposes only and do not represent a statement of economic viability. Cu and Au grades are rounded
for presentation; CuEq is calculated from unrounded values. Historic results generated by prior
operator Harmony Gold. All intervals are downhole lengths; true widths are not known.
Octavio Garcia, Exploration Manager of SPMC, commented: "What stands out from this first program is
that the geology is telling us the same story from two independent directions. On the western side we
have strong outcrop exposure in the creek beds, including sulphide mineralisation we can trace along
strike for a couple of hundred metres, which gives us real confidence in that area even before the
balance of the assays are back. The eastern side is different - the outcrop is there, but Ridge Gold will
be defined more by soil geochemistry than by what we can see at surface, so the two areas will mature
differently. The best information is coming from the bottom of deep creeks, which will be a challenge for
drilling but is not impossible. Our priority now is turning this into a properly ranked, structurally-informed
drill target inventory."
THE MINERAL RESOURCE
Kili Teke hosts an NI 43-101 Inferred Mineral Resource of 237 million tonnes, defined by Harmony Gold
within the upper part of the Central Main Porphyry alone, inside the broader 253 km² licence:
Table 3: NI 43-101 Mineral Resource at Kili Teke's Central Main Porphyry (effective 18
November 2022)
Inferred Resource - 237 Mt
Grade
Contained Metal
Copper
0.34% Cu
1.77 billion lbs Cu
Gold
0.24 g/t Au
1.81 Moz Au
Gold-equivalent
0.55 g/t AuEq
4.2 Moz AuEq
Copper-equivalent
0.60% CuEq
3.14 billion lbs CuEq
Kili Teke Inferred Mineral Resource of 237Mt @ 0.34% Cu, 0.24g/t Au and 168ppm Mo, for a total of 802kt of Cu, 1.81Moz of Au and 40kt Mo
reported at a 0.2% Cu cut-off above 780 m RL. See the November 18, 2022 technical report for assumptions and estimation methodology. For
indicative comparison, SPMC calculates the contained Au and Cu as approximately 4.2 Moz AuEq using US$3,300/oz Au and US$4.45/lb Cu and
assumed equal recovery of Au and Cu. Molybdenum is excluded. This AuEq figure is not the basis of the Mineral Resource Estimate; drawn from
the independent technical report dated November 18, 2022, prepared by Graeme J. Fleming, B.App.Sc., MAIG, and available under the Company's
profile on SEDAR+ at
www.sedarplus.ca
.
Gold-equivalent and copper-equivalent grades are calculated at US$3,300/oz gold and US$4.45/lb
copper assuming equal recoveries for both metals, as disclosed in the Company's news release
dated July 29, 2026. No allowance is made for differential metallurgical recovery, though test work
indicates that gold reports primarily to copper concentrates in the porphyry system. Metal equivalents
are presented for comparative purposes only and do not represent a statement of economic viability.
Cu and Au grades are rounded for presentation; CuEq is calculated from unrounded values. Historic
results generated by prior operator Harmony Gold. All intervals are downhole lengths; true widths are
not known.
The resource is reported on both a gold-equivalent and a copper-equivalent basis as Kili Teke is a bi-
metallic asset: a meaningful gold inventory and a meaningful copper inventory in the same deposit, and
neither presentation alone describes it fully.
NEXT STEPS
Further samples have been collected, including 205 soil samples and 60 rock samples, with assay
results to be reported once received and validated.
Geochemical analysis integrating new field results with the historical datasets - to test for
mineralisation outside the Central Porphyry.
A LiDAR and airborne magnetic survey to support structural interpretation and drill planning.
Collection of additional structural data required to define drilling parameters.
Finalisation of alteration, lithology, structural, mineralisation assemblages and their interpretation.
Follow-up on several other targets identified in the surrounding area.
The Company anticipates being in a position to define drill-ready targets within the two priority areas by
the end of October 2026. Further field campaigns are planned, the scope of which will depend on the
outcome of the current assessment and which will include further mapping and sampling of the two main
targets, as well as other targets. Further details will be announced in due course.
Quality Assurance and Quality Control
All rock samples are collected on site by the Company's geology team and surveyed using hand-held
GPS. Samples are shipped to Intertek Laboratory in Lae, Papua New Guinea. Gold is assayed by 50 g
fire assay with AAS finish (FA50/AA); copper and silver are assayed by 3-acid digest with AAS finish
(PGGA03) at Intertek Lae. Only the initial assaying for Au-Cu-Ag is reported in this release. Sample
pulps are subsequently sent to Intertek in Perth, Western Australia, for multi-element ICP-MS analysis
using a 4-acid digest (4A/MS); the ICP-MS multi-element work is pending for all samples noted in this
release. The Company's procedures require the insertion of two certified reference materials
(standards), one blank and one duplicate within each batch of 100 samples to monitor laboratory
performance.
Qualified Person
The technical and scientific information relating to exploration in this news release has been reviewed
and approved by Dr. Darren Holden, B.Sc. (Hons), Ph.D., FAusIMM, a technical advisor and consultant
to the Company and a "Qualified Person" as defined under National Instrument 43-101. Resource
information is drawn from the independent technical report dated 18 November 2022, prepared by
Graeme J. Fleming, B. App. Sc., MAIG, available under the Company's profile on SEDAR+ at
www.sedarplus.ca
.
Marketing Agreement Update
The Company is providing further disclosure in respect of its online marketing agreement dated June 5,
2026, as amended (the "
Marketing Agreement
"), with i2i Marketing Group, LLC ("
i2i
"), previously
disclosed in the Company's news releases dated June 5, 2026, and June 16, 2026.
The Company and i2i have entered into an amending agreement dated August 26, 2026 (the
"
Amending Agreement
"), pursuant to which the Company has agreed to pay an additional minimum
creation and media distribution budget of US$100,000 (the "
Continued Media Budget
") in
consideration for additional corporate marketing and investor awareness services. The Continued
Media Budget increases the aggregate creation and media distribution budget under the Marketing
Agreement to US$400,000. The Continued Media Budget does not extend the initial term of four months,
which commenced on June 22, 2026.
The Continued Media Budget is payable by the Company in cash, in advance and the Company has not
issued, and will not issue, any securities to i2i as compensation for its services.
The services to be provided under the Marketing Agreement are otherwise unchanged and consist of
corporate marketing and investor awareness services, including content creation management, author
sourcing, project management and media distribution.
i2i is a private company led by its principal, Joseph Grubb, with its place of business at 1107 Key Plaza,
Suite 222, Key West, Florida, 33040, United States. i2i is at arm's length to the Company and, to the
knowledge of the Company, i2i does not have any interest, directly or indirectly, in the Company or its
securities, nor any right or present intention to acquire such an interest.
The Amending Agreement remains subject to the acceptance of the TSX Venture Exchange.
Investor Distribution Campaign Agreement
The Company further announces that it has entered into an investor marketing and distribution
agreement dated August 31, 2026 (the "
Distribution Agreement
") with Emerging Growth, LLC, doing
business as TDM Financial ("
TDM Financial
"), pursuant to which TDM Financial will provide investor
marketing and distribution services to the Company.
Under the Distribution Agreement, TDM Financial will conduct a four-month investor distribution
campaign consisting of the distribution of Company content as sponsored content on social media
networks, in alerts delivered to users of SECFilings.com, and by email to TDM Financial's investor
subscriber base.
The total consideration payable under the Distribution Agreement is US$20,000. Payment is due, and
the four-month distribution period commences on the later of September 4, 2026, and the date on which
the Company notifies TDM Financial that the Distribution Agreement has been accepted by the TSX
Venture Exchange. The Company has not issued, and will not issue, any securities to TDM Financial as
compensation for its services
TDM Financial is a trade name of Emerging Growth, LLC, a private company with its place of business
at 600 E. 8th St., Whitefish, Montana, 59937, United States. TDM Financial is at arm's length to the
Company and, to the knowledge of the Company, neither TDM Financial nor any of its principals has any
interest, directly or indirectly, in the Company or its securities, nor any right or present intention to acquire
such an interest.
The Distribution Agreement is subject to the acceptance of the TSX Venture Exchange.
About South Pacific Metals Corp.
South Pacific Metals Corp. is an emerging gold-copper exploration company operating in the heart of
Papua New Guinea's proven gold and copper production corridors. SPMC has four exploration
properties:
Ontenu (Osena Project)
- Bordering K92 to the southwest. Drilling underway on K92-style targets
with drill hits including 8.0 m grading 8.95 g/t Au, 0.10% Cu and 16 g/t Ag and 12.2 m grading 4.93
g/t Au, 0.50% Cu and 55 g/t Ag (ONED26-009). All intervals are downhole lengths; true widths
have not yet been determined.
Anga
- Bordering K92 to the northeast, along strike from K92's Arakompa discovery; soils to
1,080 ppb Au
,
3,397 ppm Cu
and stream samples up to
281.8 g/t Au
.
Kili Teke
-
4.2 Moz AuEq
* NI 43-101 Inferred Resource (effective 18 November 2022) of 237 Mt
@ 0.34% Cu, 0.24 g/t Au and 168 ppm Mo; containing approximately 802 kt Cu, 1.81 Moz Au, 40
kt Mo.
May River
- District-scale system beside Frieda River; high-grade drilling includes
19 m @
11.47% Cu, 2.17 g/t Au
and
109 m @ 1.53 g/t Au
.
* Kili Teke Inferred Mineral Resource of 237Mt @ 0.34% Cu, 0.24g/t Au and 168ppm Mo, for a total of 802kt of Cu, 1.81Moz of Au and 40kt Mo
reported at a 0.2% Cu cut-off above 780 m RL. See the November 18, 2022 technical report for assumptions and estimation methodology. For
indicative comparison, SPMC calculates the contained Au and Cu as approximately 4.2 Moz AuEq using US$3,300/oz Au and US$4.45/lb Cu and
assumed equal recovery of Au and Cu. Molybdenum is excluded. This AuEq figure is not the basis of the Mineral Resource Estimate; drawn from
the independent technical report dated November 18, 2022, prepared by Graeme J. Fleming, B.App.Sc., MAIG, and available under the Company's
profile on SEDAR+ at
www.sedarplus.ca
.
SPMC common shares are listed on the TSX Venture Exchange (TSXV: SPMC), the OTCQB
Marketplace (OTCQB: SPMEF) and Frankfurt Stock Exchange (FSE: 6J00).
For further information please contact:
Michael Murphy, Executive Chairman
Tel: +1-604-260-0309
Email:
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Information
This news release contains "forward-looking information" within the meaning of applicable Canadian
securities laws. Forward-looking information is often, but not always, identified by words and phrases
such as "anticipates", "expects", "intends", "plans", "believes", "estimates", "may", "could", "would",
"will", "potential", "proposed", "subject to" and similar expressions, or statements that certain actions,
events or results "may", "could", "would" or "will" occur or be achieved. Forward-looking information in
this news release includes, among other things, statements regarding the Company's planned and
ongoing drilling and exploration programs; the timing and expected results of those programs; the
interpretation of geological, geochemical and geophysical data; the potential for mineralisation on the
Company's properties; the Company's engagement of i2i and TDM Financial; the anticipated nature,
scope, timing and continuation of the marketing, investor awareness and distribution services to be
provided by each of them; the amount and expenditure of the Continued Media Budget and of the
consideration payable under the Distribution Agreement; and the acceptance by the TSX Venture
Exchange of the Amending Agreement and the Distribution Agreement.
Forward-looking information is based on the Company's current expectations, estimates, forecasts and
projections, as well as assumptions that the Company considers reasonable as of the date of this news
release. These assumptions include, among others: the continuity of mineralisation; the accuracy of the
Company's interpretation of geological, geochemical and geophysical data; the timing and results of
planned and ongoing drilling and exploration; the timeliness of assay results from third-party laboratories;
the Company's ability to obtain and maintain required permits and regulatory approvals; the continued
support of local communities and government stakeholders in PNG; the availability of equipment,
personnel and consultants; continued access to project sites; general business, economic and capital
market conditions; the Company's ability to obtain required TSX Venture Exchange acceptance; the
ability of each service provider to provide the contemplated services; and the availability and
effectiveness of media placements and marketing services.
Forward-looking information is subject to known and unknown risks, uncertainties and other factors that
may cause actual results, performance or achievements to differ materially from those expressed or
implied by such forward-looking information. These risks and uncertainties include, among others: risks
inherent in mineral exploration and development, including that exploration may not result in the discovery
of an economically viable mineral deposit; the risk that drilling results, assays and geological
interpretations may not be indicative of the presence, continuity or grade of mineralisation; delays in
receiving assay results or in the progress of exploration programs; the risk that historical results and
third-party data may not be verified or replicated; uncertainties relating to mineral resource estimates,
including the Kili Teke Inferred Mineral Resource; the risk that planned exploration activities may be
delayed, modified, suspended or terminated; risks relating to title, permitting and access to mineral
properties; risks relating to operations in Papua New Guinea, including political, security, infrastructure,
community-relations and logistical risks; the Company's ability to fund its business and exploration
activities; commodity price volatility; currency fluctuations; the risk that the TSX Venture Exchange may
not accept the Amending Agreement or the Distribution Agreement on the terms proposed or at all; the
risk that the marketing, investor awareness and distribution services may not commence as anticipated
or at all, or may be delayed, modified, suspended or terminated; the risk that media placements or
investor awareness activities may not achieve the expected results; and the other risks described in the
Company's public disclosure documents filed under its profile on SEDAR+.
Readers are cautioned not to place undue reliance on forward-looking information. The forward-looking
information contained in this news release is made as of the date hereof, and the Company does not
undertake any obligation to update or revise any forward-looking information, whether as a result of new
information, future events or otherwise, except as required by applicable securities laws.
APPENDIX
Table A.1: Recently received rock chip results ordered by Cu%, with samples >1% Cu or 0.5g/t Au
highlighted in bold. Coordinates in WGS84 Zone 54. *Indicates verification sample of historic trench.
Sample ID
Easting
Northing
RL
Silver (g/t)
Au (g/t)
Copper (%)
E50301
688602
9403499
1396
104
0.295
12.80