Challenger Exploration announce results from Phase 1 drilling targeting the CV-A and CV-B Au-Ag-Cu soil anomalies in the Colorado V concession ("Colorado V", the "Project") in El Oro Province, Ecuador. The results build on the first five CV-A and CV-B drill holes, all of which intersected over 450 metres of mineralisation, and confirm two Au-Cu-Ag-Mo discoveries of significance in Colorado V. Three of five drill holes reported in this release intersected over 500 metres of, and ended in, mineralisation. The results include an intersection of 181.0 metres at 1.0 g/t AuEq including 62.5 metres at 1.8 g/t AuEq within a broader intersection of 402.8 metres at 0.6 g/t AuEq and 774 metres at 0.4 g/t AuEq to the end of the hole.

This intersection confirms that the mineralisation at CV-A has a true width of over 600 metres and extends from surface to almost 800 metres and remains open at depth. Importantly, this is the first indication of wide zones of higher-grade mineralisation in the Company's drilling at Colorado V. The Colorado V concession adjoins CEL's 100% owned El Guayabo concession to the south and the Cangrejos concession to the north which hosts the 17-million ounce Cangrejos Gold Project1. The CV- A and CV-B discoveries have similar scale to Cangrejos with both the CV-A and CV-B Au-soil anomalies being 1 kilometre long and 500 metres wide.

Drilling by the company has now intersected mineralisation over 500 metres of strike length in both the CV-A and CV-B anomalies. The CV-A anomaly is an Au-Ag-Cu soil anomaly 1 kilometre long and 500 metres wide which forms part of a greater 3 kilometre linear trending gold in soil feature at Colorado V. The CV-A anomaly, like the other fifteen regionally significant Au-Ag-Cu-soil anomalies across the Company's 35.7 km2 tenement package, has a peak gold value some 50 times background. Additionally, it is coincident with significant underlying magnetic anomalies indicative of porphyry systems. Limited historical drilling had been undertaken outside the CV-A soil anomaly targeting vein and breccia mineralisation which is currently being exploited by small scale mining.

Results included 248 metres at 0.5 g/t AuEq including 114 metres at 0.7 g/t AuEq, in drillhole ZK16-2 located on the northwest flank of the CV-A anomaly and 112 metres at 0.5 g/t AuEq within a zone of 454m at 0.3 g/t AuEq over the entire length of drillhole ZK0-4 located outside the southern boundary of the CV-A soil Anomaly. These historic results had not been followed up with drilling which directly targeted the CV- A anomaly prior to the Company's current program of which CVDD-22-001 was the first hole.