Adavale Resources Limited announced geochemistry results from the work program in the final quarter of 2021 on its 100% owned Lake Surprise Uranium Project tenements in South Australia. The gamma survey undertaken by Adavale's geological team targeted the strongest known radioactive signatures at surface from the historic regional data. This work along with surface rock chip sampling has shown a presence of highly anomalous uranium accompanying the elevated gamma.

The exploration strategy moving forward will aim to: Identify targets that are a continuation of the surface anomaly with an appropriate method of exploration, most probably air core drilling. Identify new targets for a longer-term exploration program on the Lake Surprise Project utilising spectral surveys, ground surveys and ultimately drilling. With the above exploration objectives and broad goals in mind, Adavale will seek to expedite the exploration activities at the Lake Surprise Project, unlocking the resource potential of the tenement package.

Initial on ground exploration commenced in early November 2021. The field work undertaken comprised a Gamma survey to better target rock chip sampling of outcrops that demonstrated elevated gamma reading. The data from this survey was processed in field and used on ground by geological staff to sample areas where gamma was elevated above background levels.

The results of the geochemistry show uranium levels greater than 100 ppm in 11 out of 28 samples from zones of elevated gamma. This is an important correlation that will be used for future field activities in 2022. Key Highlights: Highest uranium content of 356ppm, 11 of 28 samples with uranium content above 100ppm ­ of which 7 are above 200ppm, Elevated gamma correlating with the uranium in samples.

To provide context to the results achieved, the average background levels of uranium in geological units in the Lake Surprise Uranium Project is below 4ppm. This value is estimated from the gamma spectrometer data and is in line with the global average for shales and mudstones (between 0.9 and 3.7ppm), and which make up most of the stratigraphic units (rock types) within the tenement package. The rock chip data collected shows that the uranium content of the silcrete is between 20 and 95 times the background levels and is coincidental with the zones of high gamma.

The data reveals that the lower levels of the gamma readings have reduced uranium content in the surface samples, whereas the zones of elevated gamma have increased uranium values. With the key geochemical results now in Adavale is planning the next phase of work on the tenements and the company intends to extend the targets defined by the spectrometer survey and rock chip sampling. Adavale acknowledges the Dieri as Traditional Custodians of the land on which current works are located.

With respect to Elders past, present and emerging Adavale is committed to conducting its activities with utmost respect to the communities in which it operates.