Azure Minerals : COVID-19 and Operations Update

19 MAY 2020

COVID 19 UPDATE

AZURE SET TO RESUME SILVER & GOLD EXPLORATION IN MEXICO

• Mexican Presidential Decree designates mining as an essential business
• Azure's exploration team to restart field activities in June 2020
• Focus will be on the silver, gold and copper mineralised targets at Alacrán

Azure Minerals Limited ("Azure" or "the Company) (ASX: AZS) advises that the Mexican Government has decreed that the mining industry, including exploration, is to be considered an essential service in respect of COVID-19.

Operations will be allowed to re-open from 1 June 2020, with the period from 18 May to 31 May to be used to implement changes to protocols and procedures to ensure workplace safety. The resumption of activities is conditional upon approval by the Ministry of Health of each company's new safety measures and may be subject to further Government orders as the COVID-19 pandemic develops.

Under these guidelines, Azure is designing and implementing strict health, safety and hygiene standards, both at the Company's office in Hermosillo and in the field, to minimise infection risks amongst its employees, contractors and members of local communities.

Meanwhile, the Company has used the past two months of isolation policies undertaking detailed data analysis and interpretation to evaluate and prioritise targets for further testing.

Resumption of field exploration will follow up silver, gold and copper targets identified in the most recent drilling campaign (ASX: 23 March 2020) on the Company's 100%-owned Alacrán Project. Major priorities include:

• Mina San Simon where drilling near old mine workings returned 21m @ 2.0g/t Au & 64g/t Ag;
• the exciting new Gregors copper discovery where drilling intersected significant quantities of chalcopyrite (copper sulphide) mineralisation, returning:
• • GGC-002:30m @ 0.68% Cu from 22.5m; including 6.0m @ 2.30% Cu
  • GGC-003:18m @ 0.96% Cu from 21.0m; including 1.5m @ 7.03% Cu

The Company will keep the market informed of progress towards resuming exploration activities.

-ENDS-

Level 1, 34 Colin Street, West Perth, Western Australia, 6005	| T: [phone] | F: [phone]
www.azureminerals.com.au | ABN: 46 106 346 918 |	ASX: AZS

Authorised for release by Mr Brett Dickson, Company Secretary.

For enquiries, please contact:

Tony Rovira

Managing Director Azure Minerals Limited Ph: [phone] [e-mail]

or visitwww.azureminerals.com.au

COMPETENT PERSON STATEMENT

Information in this report that relates to previously reported Exploration Results has been crossed- referenced in this report to the date that it was reported to ASX. Azure Minerals Limited confirms that it is not aware of any new information or data that materially affects information included in the relevant market announcements.

Level 1, 34 Colin Street, West Perth, Western Australia, 6005 | T: [phone] | F: [phone]

www.azureminerals.com.au | ABN: 46 106 346 918