Terra Metals Delivers High-Grade PGM Results at Southwest Prospect

Terra Metals Fires Up 2026 Drilling Season With High-Grade PGM-Copper-Nickel Results at Southwest

Terra Metals Limited (ASX: TM1) has opened its 2026 drilling campaign at the Southwest Prospect of the Dante Project with a strong set of assay results. The Terra Metals Southwest Prospect drilling results at the Dante Project confirm multiple high-grade intervals of massive and semi-massive platinum group metal (PGM), copper, nickel, and cobalt sulphide mineralisation across three drillholes.

These results extend known mineralisation at two separate discovery zones — SW5 in the south and SW6 in the north — while the first infill hole between them hints at the possibility of a single, continuous sulphide deposit.

The headline numbers from SWDD011 stand out immediately: 100 metres grading 1.06 g/t PGE3 from 200 metres depth, including a high-grade core of 16.3 metres at 2.56 g/t PGE3, 0.25% copper, 0.36% nickel, and 285 ppm cobalt. Within that, a narrow 1.12-metre interval returned 8.76 g/t PGE3 — among the highest-grade sulphide intervals recorded on the project.

Furthermore, the mineralisation at SWDD011 spans 150 metres over multiple stacked horizons, and additional assays for deeper sections of SWRD051's diamond tail remain pending.

Three Holes, Three Meaningful Results

Each of the three drillholes released provides a distinct and complementary piece of the Southwest puzzle.

SWDD011 — Northern SW6 Discovery Zone

• 100.0m @ 1.06 g/t PGE3, 0.11% Cu, 0.19% Ni, 169 ppm Co from 200m
• Including 16.3m @ 2.56 g/t PGE3, 0.25% Cu, 0.36% Ni, 285 ppm Co from 281.7m
• Including 1.12m @ 8.76 g/t PGE3, 0.26% Cu, 1.54% Ni, 1,068 ppm Co from 284.7m
• Further zone: 24.3m @ 0.52 g/t PGE3 from 313.7m
• Tested and confirmed the EM conductor modelled from 2025's SWDD006 data
• Highest copper, nickel, and cobalt sulphide grades recorded at Southwest to date

SWDD009 — Southern SW5 Discovery Zone

• 39.5m @ 0.70 g/t PGE3, 0.12% Cu from 49m
• Including 3.8m @ 3.12 g/t PGE3, 0.20% Cu, 0.23% Ni, 206 ppm Co from 65.2m
• Peak interval: 0.6m @ 17.11 g/t PGE3 from 68.4m
• Confirmed multiple stacked Upper and Basal Reef horizons
• Diamond twin to RC hole SWT008; difference in grades interpreted to reflect hydrothermal alteration along a dolerite dyke contact — a potentially important finding for local grade upgrading

SWRD051 — Infill Between SW5 and SW6

• 11.0m @ 1.32 g/t PGE3, 0.15% Cu, 0.17% Ni from 102m
• Including 3.0m @ 4.04 g/t PGE3, 0.42% Cu, 0.56% Ni from 102m
• 7.0m @ 0.84 g/t PGE3 from 153m (open at depth)
• 436.5 metres of diamond tail assays remain pending — the deepest and potentially most telling results are still to come

Management Commentary

"Results from the first three drillholes confirms the excellent start to Terra Metals' 2026 drilling campaign at Southwest, delivering broad shallow, sulphide mineralisation with multiple high-grade zones. The first two diamond drillholes for the season both intersected broad sulphide mineralisation with uniquely high-grade PGM grades, with SWDD011 delivering 150 metres of PGM-Cu-Ni sulphide mineralisation over multiple stacked horizons. SWDD009 and SWDD011 also delivered the highest recorded nickel, copper and cobalt sulphide grades on the project to date."

— Thomas Line, CEO & Managing Director, Terra Metals

Understanding PGE3 vs. PGE7: Why the Full Basket Matters

What Are PGE3 and PGE7?

Most Terra Metals Southwest Prospect drilling results at the Dante Project have used the PGE3 measure — the combined grade of platinum (Pt), palladium (Pd), and gold (Au). These three elements represent the most commercially recognised platinum group metals and are the standard basis for early-stage PGM exploration reporting.

PGE7, however, adds four more elements: rhodium (Rh), ruthenium (Ru), osmium (Os), and iridium (Ir). These are part of the "iridium-group PGEs" and, while produced in smaller quantities, often command significant market premiums. Rhodium in particular has experienced substantial price volatility and can carry considerable value per ounce.

Why Does This Matter for Investors?

When Terra Metals began running PGE7 assays on selected 2025 drill samples, the results showed a consistent uplift over PGE3 values — typically in the range of 5% to 15%, with some intervals showing larger increases. For instance:

The peak PGE7 result from SWDD006 reached 31.17 g/t PGE7 over 0.3 metres — a bonanza-grade hit that reflects the potential for concentrated, high-value zones within the broader Southwest system.

Glossary of Key Terms

• PGE3: Sum of platinum (Pt), palladium (Pd), and gold (Au) grades
• PGE7: Sum of Pt, Pd, Au, rhodium (Rh), ruthenium (Ru), osmium (Os), and iridium (Ir)
• IPGE: Iridium-group platinum group elements — typically associated with high-temperature, primitive magmatic systems
• Massive sulphide: Rock composed primarily (>50%) of sulphide minerals — generally higher-grade ore
• Semi-massive sulphide: Rock with 20–50% sulphide content — still economically significant
• Layered intrusion: A body of igneous rock formed by the settling of minerals during slow cooling, producing distinct horizontal layers
• DHEM: Downhole electromagnetic survey — used to detect sulphide conductors beyond the drillhole
• RC drilling: Reverse circulation drilling — chips returned to surface through inner drill rod
• Diamond drilling: Core sample recovery — provides the most detailed geological information

The Big Picture: A System Still Growing

What makes this announcement particularly significant is not just the grades achieved, but the structural picture taking shape beneath the Southwest Prospect.

SWDD011 has confirmed a 150-metre down-hole sequence of PGM-Cu-Ni sulphide mineralisation across multiple stacked horizons within the SW6 zone. This is not a single thin reef — it is a vertically extensive, multi-layered system. The geological interpretation points to a feeder-proximal magmatic sulphide environment, where repeated injections of new magma drove sulphide saturation and metal concentration.

SWRD051 — the first infill hole between SW5 and SW6 — is arguably the most strategically significant hole released so far. By targeting the gap between the two discovery zones, it tests whether Southwest represents a single, continuous sulphide deposit of potentially larger scale.

Geological work now underway includes:

• Structural data acquisition from oriented diamond core across all completed holes
• Downhole televiewer surveys to image layering and structural features directly
• Whole-rock geochemical studies integrated with the new PGE7 dataset
• Interpretation of mantle-normalised PGM fractionation patterns, showing signatures consistent with feeder-proximal magmatic sulphide systems in major layered intrusions globally

The Dante Project: Scale and Context

The Southwest Prospect sits within the broader Dante Project in Western Australia's West Musgrave region — an area that hosts the Jameson Layered Intrusion, part of the approximately 1,074 million-year-old Giles Intrusive Complex. The geological setting is frequently compared to the Bushveld Complex in South Africa — the world's most important source of PGMs, estimated to contain 2.2 billion ounces of PGMs.

The Dante Project already hosts a JORC 2012-compliant Mineral Resource Estimate (MRE) established in August 2025:

The total resource also includes 400,000 oz of gold, 880,000 oz of platinum, 22 Mt of TiO2, and 800 kt of V2O5 — a genuinely multi-commodity inventory. Importantly, the Southwest Prospect sits outside the current MRE, meaning all discoveries at SW1 through SW6 represent entirely incremental upside to the existing resource base.

What Comes Next: The 2026 Drilling Roadmap

The 2026 campaign at Southwest is active and ongoing. With Terra Metals Southwest Prospect drilling results at the Dante Project from three holes now in hand, and assays still pending from significant intervals in multiple additional holes, the pace of news flow is expected to remain high.

Key upcoming catalysts and work programmes include:

1. SWRD051 diamond tail assays — 436.5 metres of samples currently in the lab, testing the full extent of sulphide mineralisation below the SW6 and SW5 zones
2. SWDD012 and SWDD013 assay results — both holes completed and pending assay, testing extensions to known mineralisation
3. Continued diamond and RC drilling — targeting strike extensions, depth extensions, and infill between discovery zones
4. Additional PGE7 assays — extending the full seven-element analysis across more 2025 and 2026 drill samples
5. EM and structural surveys — ground EM, downhole EM from new holes, and directional drilling over massive sulphide zones
6. Three-dimensional geological model refinement — integrating structural, geochemical, and assay datasets into an evolving model
7. Economic studies — the company has flagged plans to proceed with economic studies following completion of the resource definition programme

Investment Thesis: Why Southwest Could Redefine the Dante Story

Terra Metals already holds a substantial 148 Mt JORC resource with meaningful PGM, copper, titanium, and vanadium content. However, the Southwest Prospect — sitting entirely outside that resource — is producing some of the highest-grade sulphide intervals on the project, with a geological character distinct from and complementary to the stratiform magnetite reefs captured in the MRE.

Several factors underpin the investment case:

• Grade quality: Broad intersections exceeding 100 metres at greater than 1 g/t PGE3, with multiple high-grade cores above 5 g/t and peak hits approaching 17 g/t PGE3
• Multi-metal profile: Southwest is not solely a PGM story — cobalt grades reaching 1,068 ppm and nickel grades of 1.54% within the same intervals add meaningful polymetallic value, particularly given ongoing demand for battery-relevant metals
• Hidden value in PGE7: The consistent uplift from PGE7 relative to PGE3 means the Southwest system likely carries more value per tonne than PGE3 reporting alone captures
• Scale potential: With SW5 and SW6 now separately confirmed as significant discovery zones, and infill drilling between them underway, the possibility of a single, continuous deposit remains firmly open
• Shallow depth: Mineralisation commencing at 49 metres in SWDD009 and 102 metres in SWRD051 suggests the system is accessible at economically attractive depths
• Deep system open: SWDD011 reached 1,065 metres with mineralisation continuing, and SWRD051 extends to 596.5 metres with a large section of assays still pending

In summary, Terra Metals (ASX: TM1) has delivered a compelling start to its 2026 drilling season. High-grade PGM-copper-nickel-cobalt sulphide results from the Southwest Prospect confirm broad, multi-horizon mineralisation at both the SW5 and SW6 discovery zones. With the first infill hole between those zones still delivering pending assays at depth, the possibility of a single, continuous sulphide deposit is firmly on the table. Against the backdrop of an existing 148 Mt JORC resource and a geological setting compared to the Bushveld Complex, the 2026 drill campaign warrants close attention.

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