Alligator Energy Limited provided the results of the interpretation of the time domain ground electromagnetic survey conducted at the Piedmont nickel (sulphide) - cobalt Project. Initial Exploration Services completed a ground-based EM survey over five grids at the Alpe Laghetto licence during October 2022, the results of which have now been processed and interpreted with the assistance of consultant geophysicists. The 2022 Piedmont ground EM survey was designed to target areas immediately surrounding known historic workings and mapped mineralisation trends from previous AGE fieldwork and sampling.

The use of ground EM is an industry accepted standard for the targeting and identifications of massive nickel sulphide bodies, representing the preferred mineralisation style targeted within the Project. The location of the survey within the Company's combined Piedmont project package is reflected in Figure 1. The final EM survey is comprised of and designed to test five areas within the Alpe Laghetto Exploration Licence. Details of the five survey grids can be found below in Table 1 with completed grids shown in Figure 2 below.

Five surveys were completed in total with four of these survey grids targeting extensions along strike and at depth of the historic nickel mineralisation at La Balma, Laghetto, Laghetto South and Cevia. A fifth smaller grid (EM1) was planned to further investigate the primary anomaly from an historic airborne VTEM lite survey. Interpretations from modelled data have highlighted notable conductive anomalies in four of the five survey grids with the exception being the Cevia grid.

Modest scale anomalies are highlighted in the Laghetto south and EM1 grids. Both of these anomalies are yet to be explained with scree and vegetation covering the EM1 anomaly and the Laghetto south anomaly yet to be site inspected. The primary anomalies are those highlighted red and purple within Figure 2 (highest conductivity) at Alpe Laghetto and La Balma.

The highest order anomaly identified is that at the La Balma prospect (northern most grid). This anomaly is approximately 700m in length located to the east of historic workings and observed mineralisation and not closed off by the current survey due to timing of identification and accessibility. The originally planned grid was extended by approximately 50% during the initial survey to further delineate the conductive anomaly.

Modelling of the anomaly indicates the feature is steeply dipping to the west with continuation to depth. This modelling aligns closely with mapped geology and observed layering of gabbro's from field investigations which are yet to determine the cause of the large scale anomaly. The Laghetto anomaly occurs directly coincident with historic workings and mapped extent of mineralisation at the prospect, believed to be associated with the observed sulphide body present there.

Due to topographic constraints the EM loop was situated above the mineralisation likely leading to poor coupling and limiting the ability to model depth extent or orientation accurately. Potential drill targeting of the Laghetto, La Balma and EM1 anomalies in 2023 is now being investigated with Alligator already holding approved drilling permits close to these targets. Initial reconnaissance work was conducted in November 2022 at both the La Balma and EM1 anomalies but was however limited by early season snow.

In total 10 rock-chip samples (7 and 3 respectively) were collected and sent for analysis to help determine the cause of both anomalies and rule out other conductive features such as graphite and fine shale like units. A representative sample from each anomaly will also be considered for petrophysical analysis to identify sulphide assemblage styles and lithological properties. In summary the completion of this program has enhanced the geological understanding of the Piedmont Project through the collection and presentation of high-quality data, demonstrating the projects exploration potential with the identification of high-order EM anomalies.

This will allow Alligator and its Partner (CRP) to consider a targeted follow up drill program. In addition to the 10 rock chip samples collected during the EM field reconnaissance, an additional 18 samples from the Isola, Sella Bassa and Gavala prospects have also been submitted for analysis. Issue a Notice to CRP confirming completion of the Company's obligations under the farm-in arrangement.

This will then trigger formation of a joint venture and the transfer of a 51% interest in the Alpe Laghetto, Galerno and Gavala exploration licences to Alligator. Modelling and interpretation of the new EM data remains ongoing with next key steps being to identify lithological properties from the samples collected and conduct further field reconnaissance to determine the actual cause of the identified EM anomaly. In conjunction with investigative geological works, planning of potential drill targeting has commenced to ensure, if warranted, that this can be conducted in 2023 under the currently approved or varied drilling permits.