22 March 2024

CASTILLO COPPER LIMITED
("Castillo" or the "Company")

Completion of Sale of Broken Hill Licenses

Castillo Copper Limited (LSE and ASX: CCZ), a base metal explorer primarily focused on copper across Australia and Zambia, announces an update further to the announcement of 11 January 2024 that it had agreed the sale of two of its 100% owned Exploration Licences, EL 8572 and EL 8599, at the Broken Hill Project ("Broken Hill"), to Rimfire Pacific Mining LTD ("Rimfire")(ASX:RIM).  This transaction has now been completed following the completion by Rimfire of all outstanding items pertaining to the tenant purchase agreement.

As per agreement terms Rimfire will now issue the following Rimfire Ordinary Shares;

·    To Castillo Copper, 8,064,516 Rimfire Ordinary Shares ("Consideration Shares") being $150,000 worth of shares at an issue price of $0.0186 ("Consideration Shares Issue Price"). The issue price is the 5-day Volume Weighted Average Price (VWAP) up to and including the last day of trading immediately before the date of execution of the Tenement Purchase Agreement,

·    To Castillo Copper, a further $150,000 worth of Rimfire Ordinary Shares ("Subsequent Shares") at an issue price of $0.0279, which is 50% above the Consideration Shares Issue Price (Subsequent Shares Issue Price). The Subsequent Shares will be issued at the Subsequent Shares Issue Price, resulting in the issue of 5,376,345 Shares;

·    To individual Royalty holders, 5,376,337 Rimfire Ordinary Shares being $100,000 worth of shares at the Consideration Shares Issue Price $0.0186 ("Royalty Holder Shares").

All Consideration Shares, Subsequent Shares and Royalty Holder Shares are subject to a 6-month escrow period.

For further information, please contact:  

About Castillo Copper  

Castillo Copper Limited is an Australian-based explorer primarily focused on copper across Australia and Zambia. The group is embarking on a strategic transformation to morph into a mid-tier copper group underpinned by its core projects:  

·    A large footprint in the Mt Isa copper-belt district, north-west Queensland, which delivers significant exploration upside through having several high-grade targets and a sizeable untested anomaly within its boundaries in a copper-rich region.  

·    Four high-quality prospective assets across Zambia's copper-belt which is the second largest copper producer in Africa.  

·    A large tenure footprint proximal to Broken Hill's world-class deposit that is prospective for zinc-silver-lead-copper-gold and platinoids.   

·    Cangai Copper Mine in northern New South Wales, which is one of Australia's highest grading historic copper mines.  

The group is listed on the LSE and ASX under the ticker "CCZ."