Boab Metals : Drilling Commenced at Sorby Hills

For personal use only

28 July 2022

Boab Commences Phase VI Drilling Program at Sorby Hills

Boab Metals Limited (ASX: BML) ("Boab" or the "Company") is pleased to announce the commencement of the Phase VI drilling program at its 75% owned Sorby Hills Lead-Silver-Zinc Project ("Sorby Hills", or the "Project") located in the Kimberley Region of Western Australia.

HIGHLIGHTS

• Phase VI program will include 31 drill holes (+3,700m) comprising a combination Mud Rotary pre-collars and Reverse Circulations (RC) drill holes.
• Key objectives of the program include:
  o Facilitating an increase in the Beta and Norton Deposit Ore Reserves;
  o Testing of an exciting conceptual target within the current Mining Lease; and o Completion of the maiden drill program at the Eight Mile Creek tenement.
• Phase VI program will build upon the positive results from Phases IV and Phase V programs which underpin the ongoing Sorby Hills Definitive Feasibility Study.
• Boab is fully funded to complete the DFS and advance towards a Decision to Mine at Sorby Hills.

Boab Managing Director and CEO Simon Noon stated:

"We have planned a very specific and targeted work program that is focused on enhancing value within the later stages of the current Sorby Hills mine life and testing priority exploration targets for their potential to grow the Project mine life into the future."

We look forward to providing updates and delivering the results from this exciting program."

For personal use only

Figure 1 - Sorby Hills Resource plan and planned Phase VI (2022) drilling.

Phase VI Overview

The planned Phase VI drilling program will comprise some +3,700m of drilling across 31 RC that will be pre-collared by Mud Rotary drilling and completed with RC drilling.

The primary objectives of the drill program will be to facilitate an increase in the portion of the Beta and the Norton Deposits classified as an Ore Reserve.

Both these objectives aim to significantly enhance the value within the latter stages of the current Sorby Hills mine life.

For personal use only

Other objectives of the Phase VI program include:

1. testing of an exciting conceptual exploration target within the current Mining Lease and interpreted from historic seismic data; and
2. finalisation of the maiden drill program at the Company's 100% owned Eight Mile Creek exploration project located immediately south of the Sorby Hills mining tenements.

The Phase VI program has been designed to be targeted and cost-effective such that Boab will retain sufficient cash reserves to complete the ongoing Definitive Feasibility Study and progress to a Decision to Mine at Sorby Hills.

Beta Deposit

The Beta Deposit was drilled for the first time by Boab during the Phase V diamond drilling campaign. The final results from the drilling at Beta only became available after the cut-off date for the December 2021 Mineral Resource Estimation and therefore could not be included in the estimate.

Best results included:

• SHRC_123: 27m @ 3.47% Pb & 37g/t Ag from 34m down hole: o Including 3m @ 7.04% Pb & 95g/t Ag from 35m;
  o 5m @ 5.60% Pb & 44g/t Ag from 45m; and o 6m @ 4.50% Pb & 49g/t Ag from 55m.
• SHRC_124: 17m @ 3.51% Pb & 46g/t Ag from 49m down hole: o Including 8m @ 6.93 %Pb & 90g/t Ag from 57m.

The results conform with the interpreted mineralisation geometry and confirm the elevated silver grades with some metre intervals recording up to 360g/t silver (SHRC_124 from 57m) however they also provide scope for the expansion of the current resource envelope (Figure 2).

The Phase VI program for Beta includes 18 drill holes for an estimated total of 1,800m of Mud Rotary and reverse circulation (RC) drilling (Figure 1). Positive drilling results would extend the Resource, and support an improved Resource classification and the inclusion of a larger proportion of the Beta Resource in the Ore Reserve category.

For personal use only

Figure 2 - Beta Cross Section showing opportunities for Resource extension.

Norton Deposit

Six reverse circulation (RC) drill holes for about 700m drilling have been planned at the Norton Deposit (Figure 1) with a view to increasing the Sorby Hills mining inventory.

The most recent Mineral Resource Estimate highlighted high-grade zones of mineralisation in the northeast portion of the Norton Deposit that are not included in the Sorby Hills mining inventory (Figure 3). Boab is of the view that tighter drill hole spacing in this area may improve the interpreted continuity of these high-grade zones and enable their inclusion in future mine plan.

For personal use only

Figure 3 - Norton N-S Cross Section illustrating the > 4% Pb ore shell and grade gap that is targeted.

Keep Seismic Target

The recent interpretation of historic seismic data across the Burt Range Sub-Basin has resulted in the proposition of a conceptual drill target within the Sorby Hills JV mining tenements.

Seismic line WP96-08 which traverses the project area south of A-Deposit (Figure 1) shows that the basement rocks of the Pincombe Inlier gradually plunge to the northeast and that its eastern flank subside across a series of extensional faults to the southeast (Figure 4). The seismic data shows that additional carbonate build-ups are buried below a thick pile of Carboniferous sediments to the east within the Burt Range Sub-basin.

The Pincombe No1 petroleum well drilled in 1996, intersected the Knox Formation - Sorby Dolomite contact horizon at a depth of about 530m below surface. The gamma data shows similar stratification in the Sorby Dolomite and Knox Formation interval in the deeper part of the basin as can be seen in the Sorby Hills area. The well log refers to abundant iron sulphides at the contact but notes a lack of dolomitization.

A conceptual structural target is proposed for drill testing (Figure 4). The target is an extensional graben setting up-dip in the hinge zone of a major half-graben down dip. The target falls within the licence area and is estimated to be between 200 and 400 m deep.