Avira Resources : Quarterly Activities Report and Appendix 5B

21 January 2021

The Manager

Market Announcements Office

Level 40, Central Park

152-158 St Georges Terrace

PERTH WA 6000

AVIRA RESOURCES LIMITED - QUARTERLY ACTIVITIES REPORT

(DECEMBER 2020)

Avira Resources Limited (ASX: AVW) (Avira or the Company) wishes to advise on the following activities during the quarter ended 31 December 2020.

Operational Activities

Paterson Range projects, WA

Avira Resources Limited (ASX: AVW) (Avira or the Company), currently holds two tenement packages within the Paterson Range province which are host to a number of substantial gold, copper and manganese mines and deposits including the Telfer gold-copper mine.

Figure 1. Location of the Mount Macpherson and Throssel Range Projects.

Avira Resources Limited

Suite 9, Level 2, 330 Churchill Avenue Subiaco WA 6008 Australia

1. 61 8 6489 1600 F: 61 8 6489 1601 www.aviraresourcesltd.com.au ABN: 38 131 715 645

Exploration undertaken during the preceding Quarter involved geochemical sampling, heritage and land access negotiations, and ongoing analysis and modelling of the Mount Macpherson and Throssel Range airborne EM surveys undertaken in 2020.

Geochemical Sampling

Following the end of the December quarter, Avira is pleased to confirm that the assay results from recently completed geochemical have now been received and analysed.

The Company took a total of 947 geochemical samples, comprised of 208 stream sediment samples and 739 soil samples, inclusive of QAQC samples. Stream sediment samples were taken from stream beds, sieved to 0.1-04mm. Soil samples were taken as +0.4mm -2mm fraction sieved to ~100g.

All samples were assayed via Aqua-Regia digest and analysed by Inductively Coupled Plasma Mass Spectrometry for 33 elements plus gold. Industry standard QAQC procedures were undertaken, with 1:20 duplicate field samples and 2"100 certified reference material samples submitted. Full details are presented in the JORC Table 1.

QAQC analysis indicates that the soil sampling procedure and methodology undertaken was accurate, precise and was done to industry best practise.

Analysis of the sample dataset indicates a strong component of aeolian sand, which is interpreted to dilute the geochemical response of the bedrock across the majority of the tenements. This is typical of the regolith in the Paterson Province, and has influenced this sampling dataset despite the shallow cover and sub-outcrop in the tenements.

Despite the shallow cover, significant portions of the tenement have only tested the aeolian sands and the bedrock is insufficiently tested.

Avira acknowledges certain delays due to COVID-19 in conducting work programs and securing technical contractors. A robust and active exploration sector has also presented availability and resourcing capacity challenges for independent contractors engaged by the Company.

Mount Macpherson

Soil sampling was conducted over the Mount Macpherson tenement in two phases, with sample locations planned in the swales between sand dunes to minimise the influence of wind blown sand. A series of stream sediment samples were taken in the mountainous area surrounding Mount Macpherson. Infill lines were conducted to target the Pipeline Conductor target which had been identified from the Airborne EM survey.

Results here show that some large areas of the tenement appear to be dominated by sand which has almost no bedrock geochemical response; these areas exhibit geochemistry below detection limit for Na, Ca, Sc, Tl, etc. These areas typically show very low aluminium contents (clays) and therefore sampling has likely only encountered aeolian sands and is largely ineffective.

Nevertheless, a large portion of the conductive anomalies identified from the EM survey lie in areas where is can be presumed the soil sampling has been at least partially effective given the elements here are consistently above detection limit, especially Na, Ca, with higher Al, Fe, Mg.

Avira Resources Limited

Suite 9, Level 2, 330 Churchill Avenue Subiaco WA 6008 Australia

1. 61 8 6489 1600 F: 61 8 6489 1601 www.aviraresourcesltd.com.au ABN: 38 131 715 645

Three of the above-background Au results (>1ppb) lie directly above the Pipeline Conductor, which indicates that weak Au bearing fluids may have preferentially travelled along this structure. No coherent trace element anomalism (As, Ag, Cu, Co, As, Bi, W) or definitive base metal anomalism correlate strongly with this structure.

Figure 2. Geo-chemical soil sample lines taken on the Mount Macpherson tenement.

Throssel Range

Soil sampling was conducted over the Throssel Range tenement in two phases, with sample locations planned in the swales between sand dunes to minimise the influence of wind blown sand. Infill lines were conducted to target conductors associated with dolerites hosted within the Archaean basement, which had been identified from the Airborne EM survey.

The sampling appears to be relatively effective at testing the bedrock, especially in the infill lines. A consistent, coherent low-level response of Cu, Pb and other elements indicate the soils have tested the regolith adequately.

Geochemical assay results were generally low level throughout the area. No high-level anomalism appears to be present within Cu, Au or base metals. No clear anomalism lies over any of the conductive trends in the EM survey.

The gold results are generally below detection limit, with a few +1ppb results. No clear trends are evident, and it can be concluded that no significant Au mineralising event has been detected by the sampling.

Avira Resources Limited

Suite 9, Level 2, 330 Churchill Avenue Subiaco WA 6008 Australia

1. 61 8 6489 1600 F: 61 8 6489 1601 www.aviraresourcesltd.com.au ABN: 38 131 715 645

Commenting on these results, AVW's Executive Director David Deloub said.

"Geochemical surveys form an important layer of information within the exploration process. Exploring in areas covered by wind blown sand presents significant challenges and can conceal mineralisation even in shallowly covered areas. Whilst these soils results are not definitive, they do form an important part of the exploration process. The existing EM targets form a basis for a ground based fixed loop EM program to be conducted in the first quarter of 2021 which is expected to result in the determination of any priority RC drill targets."

Follow up exploration

The Company will continue exploration of the Throssell Range and Mount Macpherson projects in the coming year. The Company will consider the use of Ultra Fine Fraction sample assaying to 'see through' the aeolian cover. This is a cutting edge assaying and sample treatment process developed by CSIRO to specifically deal with difficult, deeply covered areas of regolith and is being widely used in the Paterson to generate geochemical anomalies.

The focus of exploration efforts will be to design and complete a ground based electromagnetic survey of priority conductors identified from the airborne EM survey. This focused ground-based program is designed to delineate deeper bedrock conductors, which will form priority RC drill targets.

The company intends to mobilise a drill rig and crew as soon as practicable pending receipt and interpretation of the geophysical data generated from this program. The timing of drilling will be contingent upon receipt of all land access and heritage clearances and satisfactory weather conditions. The Company has prepared a Programme of Works, and (if required) a Heritage Clearance Survey to open up access tracks and base lines to support drilling activities.

Corporate Activities

On the 17 November 2020 Avira announced that the Sale and Purchase Agreement with Minotaur for the sale of Pyramid Project had been executed. Completion of the transaction is contingent on satisfaction of the condition precedent being receipt of approval from the QLD department of mines to transfer the tenements from Avira to Minotaur Exploration Limited (ASX: MEP).

The Company engages Cicero Group Pty Ltd for accounting, administrative and company directorship & secretarial services at $10,000 per month (exclusive of GST). Mr Sonu Cheema is a shareholder in Cicero Group Pty Ltd. Payments of monthly and accrued Director fees, superannuation and provision of administration/consulting services totalled $57,858 during the December quarter. This is also detailed in Section 6 of the Appendix 5B.

The $296,550 of outflows from operating activities during the September quarter (refer Item 1.2 (a) (d) and (e) of the Appendix 5B) predominantly comprised of:

• Exploration field activities including;

• 1. Logistics planning, reconnaissance and geological mapping o Geochemical sample collection (rock chip and soils).
     o Sample transport and assay o Analysis and reporting
• Technical consulting fees including; consulting geologists and geo physicists.
• Tenement administration, management and reporting.

Avira Resources Limited

Suite 9, Level 2, 330 Churchill Avenue Subiaco WA 6008 Australia

1. 61 8 6489 1600 F: 61 8 6489 1601 www.aviraresourcesltd.com.au ABN: 38 131 715 645