Austin Metals : Extensive new drilling program underway at Austin Gold

For personal use only

6 July 2022

AIRCORE DRILLING COMMENCES TO TEST GRAVITY TARGETS AT

AUSTIN GOLD PROJECT

Key Highlights

• Aircore drilling has now commenced on high priority gravity targets on the Company's flagship Austin Gold Project (Figure 1).
• The drill program aims to follow up gold discovered from previous aircore drilling including at the Everlong, Overdrive and Generator prospects as well as several other untested gravity anomalies (Figure 2).
• The results of this program to date have been highly encouraging with the identification of extensive quartz veining at Everlong and Overdrive (Figure 3).
• The current aircore program will comprise circa 7,000m and will be the most extensive undertaken by the Company in testing the gravity targets that are known to host high grade gold in the district.

Technical Director Leo Horn comments "Given the success of previous aircore drilling with the delineation of gold mineralisation at Everlong, Overdrive and Generator, the Company is committed to continuing our proven exploration strategy. All three prospects warrant follow up drilling and multiple other gravity targets have been identified so we now begin the process of systematically exploring each one. We are delighted to see early visual signs of quartz veins at two prospects and excited for the rest of the program."

Figure 1: Aircore Drilling Rig at Everlong Prospect of the Austin Gold Project

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Austin Metals Limited (ASX: AYT, "Austin Metals", "the Company") is pleased to announce the commencement of further aircore drilling across the extensive Austin Project tenure. The air core program will comprise a total of 7,000m of drilling and is expected to be completed in 2-3 weeks.

Figure 2: Gravity image of the Austin Gold Project showing the location of gravity anomalies and prospect areas where gold has already been discovered by aircore drilling.

Figure 3: Photograph of aircore chips showing extensive quartz veining at the Overdrive prospect in SAAC0263 from 2-18m. NB: 25% quartz veining logged from 7-10m and 50% quartz logged from 11-16m. Collar located 591645E/6938066N, -60deg dip, 270 az. Depth 40m.

Suite 9,330 Churchill Avenue,	[phone]	[e-mail]
Subiaco WA 6008 | PO Box 866 Subiaco WA 6904	[phone]	www.austinmetals.com.au

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The Company's most recent program targeting gravity anomalies, which are known to host high grade gold in the district, discovered gold and quartz vening in areas which is high encouraging from our exploration strategy prospective. Austin Metals will now upscale efforts by undertaking a much more extensive air core program targeting the gold discovered at the Everlong, Overdrive and Generator prospects, along with another seven high priority targets identified.

This announcement has been authorised by the Board of Directors of Austin Metals Limited.

-ENDS-

Contact details

Sonu Cheema (Director and Company Secretary)

Ph: [phone]

Fax: [phone]

Email:[e-mail]

About Austin Metals

Austin Metals Limited (AYT) is a base and precious metals explorer focused on the prolific mining districts of Broken Hill, the Cobar Basin and the Lachlan Fold Belt of New South Wales, Australia. AYT's flagship Austin Gold Project is located in the highly prospective Murchison greenstone province of Western Australia, directly adjacent to the Cue Gold Project owned by Musgrave Minerals Limited (ASX:MGV), which includes the high grade Break of Day Deposit and Starlight discovery. The Company has also secured a significant ground holding of the Tallering Greenstone belt in the prolific Murchison gold mining region of Western Australia located 150 km south of the Golden Grove deposit.

CAUTION REGARDING FORWARD LOOKING INFORMATION

This document contains forward looking statements concerning Austin Metals Limited. Forward-looking statements are not statements of historical fact and actual events and results may differ materially from those described in the forward-looking statements as a result of a variety of risks, uncertainties and other factors. Forward-looking statements are inherently subject to business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company's actual results to differ materially from those expressed or implied in any forward-looking information provided by the Company, or on behalf of, the Company. Such factors include, among other things, risks relating to additional funding requirements, metal prices, exploration, development and operating risks, competition, production risks, regulatory restrictions, including environmental regulation and liability and potential title disputes. Forward looking statements in this document are based on Austin Metal's beliefs, opinions and estimates of Austin Metals as of the dates the forward-looking statements are made, and no obligation is assumed to update forward looking statements if these beliefs, opinions and estimates should change or to reflect other future development.

COMPETENT PERSONS STATEMENT

The information in this announcement that relates to Exploration Results is based on and fairly represents information and supporting documentation prepared by Mr Leo Horn. Mr Horn is a Director of Austin Metals Limited and a member of the Australian Institute of Geoscientists. Mr Horn has sufficient experience relevant to the styles of mineralisation and types of deposits which are covered in this announcement and to the activity which they are undertaking to qualify as a Competent Person as defined in the 2012 edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves' ("JORC Code"). Mr Horn consents to the inclusion in this announcement of the matters based on his information in the form and context in which it appears.

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Subiaco WA 6008 | PO Box 866 Subiaco WA 6904	[phone]	www.austinmetals.com.au

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Appendix 1: The following tables are provided to ensure compliance with the JORC Code

(2012) requirements for the reporting of the Austin Project

Section 1: Sampling Techniques and Data (Criteria in this section apply to all succeeding

sections)

Criteria

JORC Code explanation

Commentary

use

Sampling

•

Nature and quality of

• Sampling procedures adopted by Austin Metals

techniques

sampling (eg cut channels,

recently at the project utilise a aircore rig from

random chips, or specific

which a

4m

or

6m composite 1-2

kg spear

specialised industry

sample

or 1m

composite

1-2

kg

cone

split

standard measurement

sample

was

taken. Selected

4m

composite

tools appropriate to the

samples are pulverized to produce either a 50

minerals under

g charge for fire assay with ICP- atomic

investigation, such as down

hole gamma sondes, or

absorption spectrometry

analysis

(detection

personal

handheld XRF instruments,

limit 0.005 ppm Au) for

gold at

ALS in Perth.

etc). These examples

Selected 6m composite samples are pulverized

should not be taken as

to produce

a

500g

jar

then

subject

to

limiting the broad meaning

ChrysosTM

Photon Assay

analysis

technique

of sampling.

(detection limit 0.02ppm Au) for gold at Intertek

•

Include reference to

Genalysis

in

Perth. These

industry

standard

measures taken to ensure

sampling

procedures are

considered to

be

sample representivity and

adequate for the identification of >0.05 g/t Au

the appropriate calibration

aircore anomalies for the style of gold deposit

of any measurement tools

or systems used.

and for the reporting of Exploration Results.

•

Aspects of the

determination of

mineralisation that are

Material to the Public

Report. In cases where

'industry standard' work has

been done this would be

For

relatively simple (eg

'reverse circulation drilling

was used to obtain 1 m

samples from which 3 kg

was pulverised to produce

a 30 g charge for fire

assay'). In other cases more

explanation may be

required, such as where

there is coarse gold that

has inherent sampling

problems. Unusual

commodities or

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[phone]

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Subiaco WA 6008 | PO Box 866 Subiaco WA 6904

[phone]

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	Criteria			JORC Code explanation			Commentary
					mineralisation types (eg
					submarine nodules) may
					warrant disclosure of
					detailed information.
		Drilling		• Drill type (eg core, reverse		• In August 2021 and March 2022, Austin Metals
use		techniques		circulation, open-hole		contracted a	truck mounted	Aircore-Slimline
				hammer, rotary air blast,		RC rig from Gyro Drilling equipped with Air 750
				auger, Bangka, sonic, etc)
			CFM / 250 PSI Sullair Compressor with additional
					and details (eg core
						Air Booster Support 750 CFM / 250PSI and also a
					diameter, triple or standard
						hammer to go deeper into bedrock in selected
					tube, depth of diamond
						holes.
					tails, face-sampling bit or
					other type, whether core is
					oriented and if so, by what
personalFor					method, etc).
		Drill sample		• Method of recording and		• Recoveries for all sampling methods are
		recovery		assessing core and chip		recorded by	the geologist	during	the drill
					sample recoveries and		program. No	recovery issues	were	identified
					results assessed.
						during the drill program within mineralised
					• Measures taken to		intervals. Sample representation is considered
					maximise sample recovery		to be adequate for the reporting of Exploration
					and ensure representative
						Results.
					nature of the samples.
					• Whether a relationship exists
					between sample recovery
					and grade and whether
					sample bias may have
					occurred due to
					preferential loss/gain of
					fine/coarse material.

Suite 9,330 Churchill Avenue,	[phone]	[e-mail]
Subiaco WA 6008 | PO Box 866 Subiaco WA 6904	[phone]	www.austinmetals.com.au