AIC Mines : Multiple Targets Identified-Copper Hills Belt-Marymia

ASX ANNOUNCEMENT

30 November 2021

onlyAIC wns the Eloise Copper Mine, a high-grade operating

ABOUT AIC MINES

AIC Mines is a growth focused Australian resources company. Its strategy is to build a portfolio of gold and copper assets in Australia through exploration, development and acquisition.

underground mine located SE of Cloncurry in North Queensland.

useAIC also has two exploration proj cts in Western Australia, the Lamil JV located in the Pater on Province immediately west of the Telfer Gold-Copper Mine and the Marymia Project, within the Capricorn Orogen strategically located within trucking distance of the Plutonic

personalGo d Mine and the DeGrussa Copper Mine.

CAPITAL STRUCTURE

Shares on Issue: 308.7m

CORPORATE DIRECTORY Jo ef El-RaghyNon-ExecutiveChairman

Aaron Colleran

Managing Director & CEO

Br tt Montgomery

Non-Executive Director

Tony Wolfe

Non-Executive Director

Jon Young

Non-Executive Director

Linda Hale ForCompany Secretary

CORPORATE DETAILS ASX: A1M www.aicmines.com.au ABN: 11 060 156 452

1. [phone]

1. [phone]

1. [e-mail]

1. A8, 435 Roberts Rd, Subiaco, WA, 6008 Share Register:

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Multiple targets identified from airborne

electromagentic and soil surveys Copper Hills Belt - Marymia Project

AIC Mines Limited (ASX: A1M) ("AIC" or the "Company") is pleased to report the results from the recently completed airborne electromagnetic survey and soil geochemistry program completed over the Copper Hills Belt, part of the Marymia Project located in the Gascoyne region of Western Australia. The results reinforce the view that the belt has the potential to host copper mineralisation in a setting similar to that hosting the DeGrussa Copper Mine.

OVERVIEW

• Several conductive anomalies spatially associated with the extensive Copper Hills Prospect where identified.
• Two distinct conductive trends identified along strike of the Copper Hills Prospect that are not related to known prospects.
• The soil geochemistry program was successful in extending the Copper Hills Prospect anomaly 2 kilometres further east, bringing the total strike of the anomaly to 9 kilometres.
• Elevated copper responses were also returned from several zones within the northern extension of the belt that will now become the focus of exploration.
• A diamond drilling rig has mobilised to the Stetson Prospect and will commence drilling shortly. A single deep drill hole will test for a buried extension of the highly endowed Plutonic-Marymia Greenstone Belt beneath over-thrust granite.
• A reverse circulation drilling rig is also set to be mobilised to the Hermes North Prospect shortly. An 11 hole program for 1,100m will test a gold-in-soil anomaly associated with the northern margin of the Plutonic-Marymia Greenstone Belt.

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Copper Hills Belt

The Copper Hills Belt occurs at the northern end of the Company's large Marymia Project located 160 kilometres south of Newman in the Gascoyne region of Western Australia. The Marymia Project captures over 3,600 km2 of tenure that is prospective for both gold and copper:

• Gold - strike extensions and segments of the highly endowed Plutonic-Marymia Greenstone Belt (PMGB), which has produced in excess of 6 million ounces of gold
• Copper - preserved segments of Paleoproterozoic basin rocks that are considered prospective for VMS-stylebase-metal deposits that bound the PMGB to the north, east and south (Figure 1).

The Copper Hills Belt is interpreted as a preserved portion of Paleoproterozoic basin rocks, equivalent to the Bryah, Yerrida or Padbury basins, accreted to the northern margin of the PMGB. It hosts the Copper Hills Prospect where oxide copper mineralisation associated with discontinuous stringers of malachite and azurite were discovered in the 1970's (for further details see AIC's ASX announcement "Marymia Project Exploration Update" dated 24 June 2020). Mapping by AIC of the exposed portion of the prospect indicated the presence of strongly altered bimodal volcanosedimentary rocks and a thin silica-hematite (chert) horizon. Both of these features are common to volcanogenic massive sulphide (VMS) deposits hosted within the Bryah Basin (host to the DeGrussa copper mine).

Figure 1. Marymia Project Location and Regional Geology

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Airborne Electromagnetic Survey

1. helicopter-borneelectromagnetic survey (EM) utilising NRG's XciteTM system was completed during the September 2021 Quarter (for further details see AIC's ASX announcement "Quarterly Activities Report for the Period Ending 30 September 2021" dated 20 October 2021). A total of 547 line kilometres was flown on a 200m line spacing centred on the Copper Hills copper-oxide prospect and strike extensions, but covering the volcano-sedimentary packages also considered prospective for gold (see Figure 2).

Preliminary interpretation of the data has identified at least 3 discrete anomalies in the mid to late time channels (B field z component CH35 -49) within the footprint of the Copper Hills Prospect, plus several longer strike length conductive trends along strike of the prospect to the south west. A conductive trend is also present along the southern margin of the survey but is known to be associated with the Beyondie banded iron formation and not a target for copper mineralisation.

The central and western most responses (CUH1 and 2), which correspond to the position of the oxide anomaly, while not tested directly, are close to wide-spaced RC holes drilled in October 2021, the assay results of which are awaited. The eastern anomaly (CUH3) remains untested by drilling. While integration of the recently completed drilling data will complement the understanding of the two conductors, refining these anomalies with a ground EM program prior to further drilling in 2022 is warranted. Similarly, further integration of magnetic data and historical wide spaced RAB and AC drilling will be used to assess the longer strike length trends located to the west and south west of the prospect (CUW and CUSW).

Figure 2. Copper Hills Belt airborne electromagnetic survey (B field Z component channel 35) showing

conductive trends

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Surface Geochemistry

A soil sampling program on a 400m x 400m offset grid completed over the northern extension of the Copper Hills Belt, with 200m infill offset grid at the Copper Hills Prospect, was completed in the June Quarter (for further details see AIC's ASX announcement "Quarterly Activities Report for the period ending 30 June 2021" dated 16 July 2021). Results from this program were received recently, allowing for a prioritisation and assessment of the entire belt for further copper potential.

Soil sampling east of the Copper Hills Prospect was successful in extending the anomaly by another 2 kilometres to the east where the belt is obscured by younger cover (see Figure 3). The surficial copper oxide mineralisation defined in soils now extends some 9 kilometres in strike length.

The wider spaced grid covers approximately 20 kilometres of the belt and returned two extensive target zones defined by elevated copper responses. The northern zone, centred on the Copper Hills North area, defines an area of interest stratigraphically above the Copper Hills Prospect package. The southern zone lies near the interpreted contact between the Paleoproterozoic belt and the Archean granite of the PMGB.

Figure 3. Copper Hills Belt soil geochemistry (image Cu data gridded) overlying major regolith and

interpreted geology

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Drilling

Copper Hills Prospect

A program of 9 reverse circulation (RC) drill holes for 1,1820m was completed at the Copper Hills Prospect in October 2021. The holes were drilled on various spacings (~300m to 1.5km) along the entire trend of the surficial copper oxide mineralisation defined by the soil geochemistry (for further details see AIC's ASX announcement "Quarterly Activities Report for the Period Ending 30 September 2021" dated 20 October 2021). Assays are expected to be received late in December 2021.

Stetson Prospect

A diamond drilling rig has mobilised to site and will commence drilling shortly at the Stetson Prospect.

The Stetson Prospect is interpreted as a buried extension of the highly endowed Plutonic-Marymia Greenstone Belt beneath over-thrust granite immediately east of the previously mined K1 and K2 gold deposits (owned by Vango Mining Ltd). Drilling will be centred on a coincident magnetic and gravity response modelled at a depth of approximately 400m (see Figure 4).

The drilling cost is co-funded up to $150,000 by the Western Australian Exploration Incentive Scheme (EIS) grant.

Figure 4. Stetson Prospect defined by a magnetic trend (image RTP magnetics) coincident with gravity

highs (polygons) located between the mineralised trends

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