Aeris Resources : BUDGERYGAR MINERAL RESOURCE UPDATE

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1 DECEMBER 2021	ASX/MEDIA RELEASE

BUDGERYGAR MINERAL RESOURCE UPDATE

• The Budgerygar deposit is one of three new ore sources being developed at the Tritton Copper Operations in FY22:
• • Budgerygar deposit starts 70m below surface and extends 750m down-plunge
  • The deposit remains open down plunge
  • Located ~600m north of the Tritton underground mine and accessed via Tritton mine infrastructure
• Updated Mineral Resource estimate completed for the Budgerygar deposit:
• • Total tonnes increased 15% to 2,600kt including:
  • • 720kt @ 1.7% Cu in Indicated Mineral Resource
  • Total contained copper metal also increased 15% to 39kt
  • Updated Mineral Resource estimate focused on upper third of the known deposit
• Resource definition drilling is ongoing, testing deeper mineralisation within the Inferred Mineral Resource
• First development ore targeted March quarter FY22 and first ore from stoping targeted in June quarter FY22

Aeris Resources Limited ABN 30 147 131 977

Level 2, HQ South Tower, 520 Wickham Street, Fortitude Valley QLD 4006 Australia

Post: Box 14, 520 Wickham Street, Fortitude Valley, QLD 4006

E: [e-mail] T: [phone] F: [phone]

aerisresources.com.au

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Established Australian copper-goldproducer and explorer, Aeris Resources Limited (ASX: AIS) (Aeris or the Company) is pleased to provide an updated Mineral Resource estimate for the Budgerygar deposit, located within the Company's 100% owned Tritton tenement package in New South Wales.

The updated Mineral Resource estimate of 2.6 million tonnes at 1.48 percent copper, for 38,700 tonnes of copper metal (see Table 1), represents a 15% increase in both tonnage and copper metal compared to the previously reported Mineral Resource estimate in June 2021 (see Table 2), and is based on an underground resource definition drill campaign targeting the conversion of Inferred Mineral Resource to an Indicated Mineral Resource status. The underground resource definition drill program has to date targeted the upper third of the known Budgerygar deposit. The resource definition drill program is ongoing and is now targeting the deeper extents of the Inferred Mineral Resource.

Aeris' Executive Chairman, Andre Labuschagne, said "The Budgerygar deposit is one of three life-of-mine extension projects, along with Avoca Tank underground mine and Murrawombie Pit cut-back, that we are developing at the Tritton Copper Operations in FY22. With the Budgerygar deposit being only 600m from the Tritton underground mine infrastructure and commencing from 70m below surface, the cost and time to bring into production are significantly lower compared to a new stand-alone mine."

"The drilling program to date has focused on the upper third of the known deposit, enabling a large portion of this section of the deposit to be upgraded to the Indicated Mineral Resource category. Interestingly, the copper and gold grades for the Indicated Resource are higher than those reported in the Inferred category. This uplift in grade as drill density increases is similar to what we saw in the upper sections of the Tritton deposit."

"Our immediate focus is to continue the resource drilling program over the remainder of the Inferred Mineral Resource. However, the deposit remains open at depth and in FY23 we intend to drill a couple of deeper holes to get a better understanding of potential continuity of the deposit at depth."

Budgerygar Deposit

Copper mineralisation at the Budgerygar deposit (Budgerygar) is similar to other copper deposits discovered within the Tritton tenement package, including the Tritton deposit located 600 metres south from Budgerygar.

Copper mineralisation at Budgerygar is hosted within pyrite dominant with lesser chalcopyrite (copper bearing mineral) sulphide lenses. Sulphide textures vary from massive, banded, stringer to disseminated. Pyrite is the dominant sulphide, forming several broad horizons over several hundred metres of strike. High grade copper mineralisation forms multiple stacked lodes within an elongated corridor less than 150 metres along strike and 750 metres down plunge.

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The elongated geometry of the high-grade copper mineralisation and long down plunge dimension is a characteristic shared with all known copper deposits discovered within the Tritton tenement package. The most notable being the Tritton deposit, which has been traced over 2 kilometres down plunge, while the Constellation and Murrawombie deposits have been traced 1 kilometre down plunge. The Tritton, Murrawombie and Constellation deposits all remain open down plunge.

Drilling at the Budgerygar deposit has traced the mineralised system 750 metres down plunge to date and remains open down plunge.

Figure 1 - Long section view looking west showing the Indicated and Inferred Budgerygar Mineral Resource outline. Includes drill hole intersections which informed the updated Mineral Resource.

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Budgerygar December 2021 Mineral Resource

The updated Budgerygar Mineral Resource (Table 1) is reported in accordance with the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves 2012 (JORC Code). The updated Mineral Resource is based on a resource definition drill program which targeted mineralisation within the upper 250 metres of the known mineralised system (5,200mRL to 4,950mRL). A total of 76 resource definition drill holes have been used to update the geological interpretation and increase the confidence in the resource model. The updated Mineral Resource represents a 15% increase in both tonnage and contained copper metal at the reported cut-off grade (0.8% Cu).

Table 1: December 2021 Budgerygar Mineral Resource1,2.

	December 2021 Budgerygar Mineral Resource
Resource Category	Tonnage	Cu (%)	Cu metal	Au	Au metal		Ag	Ag metal
(kt)	(kt)	(g/t)	(koz)		(g/t)	(koz)
Measured	-	-	-	-	-		-	-
Indicated	720	1.7	12	0.4	10		10.3	240
Inferred	1,900	1.4	27	0.1	6		5.3	320
TOTAL	2,600	1.5	39	0.2	15		6.7	560
Table 2: June 2021 Budgerygar Mineral Resource1,2.
	June 2021 Budgerygar Mineral Resource
Resource Category	Tonnage	Cu (%)	Cu metal	Au	Au metal		Ag	Ag metal
(kt)	(kt)	(g/t)	(koz)		(g/t)	(koz)
Measured	-	-	-	-	-		-	-
Indicated	-	-	-	-	-		-	-
Inferred	2,300	1.5	34	0.2	15		5.2	380
TOTAL	2,300	1.5	34	0.2	15		5.2	380

The resource classification was based primarily on drill density with some consideration given to the confidence of the geological interpretation. The resource model has been classified as Indicated and Inferred Mineral Resource. Indicated Mineral Resource is reported from areas with a drill density up to 40 metres x 40 metres, with Inferred Mineral Resources classified from wider spaced drilling up to a nominal 80 metres x 80 metres.

1. Discrepancy in summation may occur due to rounding.
2. Mineral Resource is reported at a 0.8% copper cut-off grade.

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Figure 2 - Tonnage changes between the December 2021 and June 2021 Budgerygar reported Mineral Resource figures.

Figure 3 - Copper metal changes between the December 2021 and June 2021 Budgerygar reported Mineral Resource figures.

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