Alkane Resources Limited announced the initial Kaiser resource following its extensive drilling program at the Company's Kaiser Prospect in Central New South Wales. The Kaiser resource is located 500 metres northwest of Boda, a landmark porphyry gold-copper system, within the Northern Molong Porphyry Project, which the Company believes has the potential to be a large, tier one gold-copper project. The Project is located in central west NSW at the northern end of the Molong Volcanic Belt of the Macquarie Arc and is considered highly prospective for large scale porphyry and epithermal gold-copper deposits.

Exploration in the NMPP has identified five discrete magnetic/intrusive complexes ­ Kaiser, Boda, Comobella, Driell Creek and Finns Crossing ­ within a 15km northwest trending corridor. The corridor is defined by intermediate intrusives, lavas and breccias, extensive alteration and widespread, low-grade, gold-copper mineralisation. Significant exploration on the NMPP commenced in 2019, defining several gold-copper occurrences and co-incident IP anomalies within the 15 km monzonite intrusive corridor that extends from Boda Three to Finns Crossing.

This exploration comprised of intensive drilling of the Boda prospect resulting in the reporting of an initial Inferred Resource with a total metal inventory of 5.2Moz gold and 0.9Mt copper. Drilling continues to test mineralised zones outside of the Boda Deposit resource envelope at Kaiser, Korridor (Boda North) and Boda Two/Three prospects. The initial Inferred Mineral Resource estimation for the Kaiser deposit is confined to a surface area of 1,100m strike length and 700m width and is summarised.

The estimation uses nominal drill hole grid of 100m by 100m to depths averaging 400m and up to 800m below surface (~490mRL). It utilises a total of 130 drill holes for a combined 49,398 metres including an historical assay component (for the period 1995 ­ 2003) captured by Rio Tinto and Newcrest from 37 drill holes comprising of 3,224 metres of RC and 4,169 metres of diamond core. The extensive shallow drilling on the small high grade historic Kaiser workings completed prior to the Rio work, has not been included in this estimation.

The resource was classified to the -140mRL as the depth. A review of feasibility and existing operating data for similar deposits in Australia was considered in determining cutoff grade of 0.3 g/t AuEq* as reasonable for the prospect of eventual extraction with the use of an open cut mining method. Figure 1 presents grade vs tonnage curves at various cut-off grades.

At the nearby Boda deposit, an initial Inferred Resource was estimated at 624 Mt at 0.51 g/t AuEq* for 5.2 Moz gold and 0.9 Mt copper (ASX Announcement 30 May 2022), giving the total NMPP combined Resources of 894 Mt at 0.52 g/t AuEq* for 7.26 Moz Au and 1.38 Mt Cu. The Mineral Resource estimation was classified to the -140mRL, the depth considered reasonable for the prospect of eventual extraction by open cut methods. Two significant reverse faults bound and dislocate the main zone of mineralisation at Kaiser.

There is potential for further extensions to higher grading mineralisation on the down thrust Kaiser West zone of mineralisation, southwest of the Kaiser Fault. This target area is supported by drill hole KAI090 intersecting a bornite-chalcopyrite crackle breccia of 122.4m @ 0.40% Cu, 0.42g/t Au from 576.6m, including 28m @ 0.84% Cu, 0.92g/t Au from 646m Further deeper drilling around higher grading intercepts within the Kaiser East and Kaiser West zones will improve confidence for the classification for an underground resource estimation. Exploration immediately southwest and along strike of the Kaiser East zone towards the Boda Deposit where significant RC drill hole intercepts include BOD065 ­ 64m grading 0.43g/t Au, 0.12% Cu from 174m to end of hole.

Exploration drilling is ongoing at the Boda Two/Three prospects adjacent and south of the Boda Deposit. Boda Two includes a poorly defined distal zone of phyllic pyrite-gold alteration with a significant drill hole intercept of KSDD022 ­ 292m grading 0.66g/t Au from 867m. This is in addition to the proximal and extensive gold-copper calc-potassic alteration intersected by broadly spaced drilling, including significant intercepts of KSDD033 ­ 995m grading 0.19g/t Au, 0.12% Cu from 322m.