BMG Resources Limited announced that assays from the Company's recent diamond drilling (DD) program at the Abercromby Gold Project have delivered another significant batch of gold results, materially adding to the known mineralised envelope at the Capital Prospect which remains open at depth and along strike. Drilling expanded on the excellent results for the previous drilling campaign completed in the June quarter, that more than doubled the mineralised envelope and continued to define regional targets. Laboratory assay results have been received for the seven hole, 3,989m DD program, completed in September 2022, which focussed on infill, extensional and resource definition drilling at the Capital Prospect, part of the Company's high-grade Abercromby Gold Project.

Details of the six DD holes completed, and a seventh hole that was abandoned due to drill bit failure. This third major drilling campaign by BMG followed excellent results from the highly successful second drilling campaign, completed earlier this year, which more than doubled the mineralised envelope and continued to define regional targets. This latest round of assay results builds on the Company's understanding of the exciting gold deposit and potential for significant scale.

Mineralisation comprises several north-west trending lodes that contain high-grade, plunging shoots. The latest drill results have continued to define these mineralised zones as shown in the Figures, below. All holes intersected mineralisation in positions at or near planned locations down hole.

Most significantly, the drilling confirmed the southward continuation of the mineralised structure, with both lodes returning mineralised intercepts. The strong intercept of the West Lode in hole 21ABDD007A, indicates the possibility of another high-grade shoot is present; which will need to be verified with further drilling. This drill hole was completed 335m south of previous known mineralisation in the West Lode intersecting 5.56m @ 3.5 g/t Au from 400m, demonstrating significant strike extension potential to the West Lode.

Selected results on a hole- by-hole basis for the returned assays: 5.56m @ 3.5g/t Au from 400m (22ABDD007A) 6m @ 2.79g/t Au from 171m (22ABDD007) 90m @ 0.6g/t Au from 250m, incl 9m @ 1.81g/t Au from 303m (22ABDD008) 8.45m @ 3.46g/t Au from 414.5m and 13m @ 2.3 g/t Au from 317m (22ABDD010) 60m @ 0.66g/t Au from 244m, incl 6.6m @ 2.32g/t Au from 272.7m (22ABDD011) The success of BMG's recent drill programs, particularly the two completed DD programs in 2022, have added significant scale to the mineralised footprint at Abercromby. This is illustrated by the Orthographic view of modelled grade distribution in Figure 2, which highlights the broad band of mineralisation (green), punctuated by high-grade zones (red), across a 1.2km section at the Capital Prospect, which remains open in all directions. The delineation between the shallower oxidised zones and the deeper fresh rock zones is noted on the diagram, showing an even dispersion of mineralisation through the weathering profile, which runs from near surface and remains open at depth - as well as in both directions along strike.

The outstanding results from this program and the other recent RC and DD programs have continued to enhance the resource potential of the Abercromby Project. Further extensional and infill drilling is planned for H1 2023 to continue to scope the full potential of the expanding the mineralised footprint at Abercromby. BMG has engaged GR Engineering and Extreme Metallurgy to assist with further metallurgical test work on mineralised material from Abercromby.

This will build upon the preliminary testwork undertaken in 2021 which indicated the nature of the Abercromby ore as free milling across the weathering profile from shallower oxidised zones to deeper fresh rock zones A program has been designed to test two circa 50kg samples of fresh mineralised material. The results will feed into future planned mine feasibility work. A full analysis of the data returned from this round of drilling is in progress and further drilling will be planned once completed.