Classic Minerals Ltd (ASX: CLZ) Gold development company Classic Minerals Ltd is pleased to announce a significant confidence upgrade in the gold resource at its flagship Kat Gap Project.

20,488oz of the previous Inferred Gold Resource has been successfully upgraded to Indicated. This is a pivotal milestone in the project's advancement towards stage 1 extraction, processing and monetization

The enhanced resource confidence level, resulting from re-estimation following the integration of two years' worth of additional drill data which has seen approximately 360 more holes drilled across the deposit by Classic since the 2020 estimate. This new dataset informed the current mineralogical model and resource estimation was completed by ordinary kriging within the 3D modelled mineralisation wireframes and block modelling in Surpac.

This underscores Classic Minerals' commitment to the long-term success of the Kat Gap Project and its vision to become a profitable gold miner. This re-estimation work was carried out by Cadre Geology and Mining Pty Ltd, who stated that the modelling process ensures a reasonable prospect of eventual economic extraction. The gold grade and near-surface nature of Kat Gap additionally supports this. Thorough drilling and geological input have culminated in the delineation of a maiden Indicated gold resource at the Kat Gap Project. The upgrade to this higher confidence level opens the door for mine planning work that will gauge the economics of Kat Gap and contribute to better understanding of the greater Forrestania project. On 20 April 2020 Classic Minerals Ltd announced its Maiden Mineral Resource for Kat Gap, as per table below.

The resource is estimated and reported at 0g/t cut-off grade to represent the global resource estimate at Kat Gap comparable to the maiden 2020 estimate at the same cut-off. There is also a nominal reported 0.7g/t cut off to closer represent a possible minimum mining cut-off grade for initial open-pit operations, although optimization and financial assessment is still in process. Classic now plans to undertake detailed staged mine planning activities, paying particular attention to this new Indicated resource for initial stage one trial mine extraction, which will provide a strong foundation for future mining operations at the deposit. The Company's 100% owned, state-of-the-art processing facility is a crucial component of the mine planning detail, facilitating in-house control over ore processing and gold production. Classics' robust infrastructure provides a competitive advantage, enhancing its ability to capitalize on the upgraded resource and further expand its gold production capabilities. Mr. Dean Goodwin, CEO of Classic Minerals, expressed his excitement about the upgraded resource at the Kat Gap Project, stating,

This is a game-changer for Classic Minerals. Upgrading the resource to the Indicated category is a significant step towards realizing the full potential of the Kat Gap Project. We are now better positioned than ever to fund our own way forward, increasing the ounces within our global resource and setting the stage for continued success.'

About Classic Minerals Ltd

Expanding its focus from exploration to mining, West Australian-based, minerals house Classic Minerals Ltd holds a pipeline of projects and continues to examine new opportunities both cyclic and counter-cyclic. Currently, ASX-listed Classic holds approximately 578 km2 of tenements across two major regional exploration areas in minerals-rich West Australia. Classic's ground is in areas with identified high grade gold and base metal targets. Classic's flagship Kat Gap Gold Project has been the recent focus of its exploration, mining and processing efforts and is strategically located some 170 km south of Southern Cross and some 50 km south of the Company's Forrestania Gold Project. With strong grades and near-surface mineralisation Kat Gap is soon to attain full scale production.

ABOUT THE FORRESTANIA GOLD PROJECT

The FGP Tenements (excluding Kat Gap) are registered in the name of Reed Exploration Pty Ltd, a wholly owned subsidiary of ASX listed Hannans Ltd (ASX: HNR). Classic has acquired 80% of the gold rights on the FGP Tenements from a third party, whilst Hannans has maintained its 20% interest in the gold rights. For the avoidance of doubt Classic Ltd owns a 100% interest in the gold rights on the Kat Gap Tenements and also non-gold rights including but not limited to nickel and lithium. Classic has inferred and indicated mineral resources of 8.41Mt at 1.45 g/t for 391,417 ounces of gold, classified and reported in accordance with the JORC Code (2012), with Scoping Study suggesting both the technical and financial viability of the project.

Forward Looking Statements

This announcement may contain certain 'forward-looking statements' which may not have been based solely on historical facts, but rather may be based on the Company's current expectations about future events and results. Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have reasonable basis. However, forward looking statements are subjected to risks, uncertainties, assumptions and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to Resource risk, metals price volatility, currency fluctuations, increased production costs and variances in ore grade or recovery rates from those assumed in mining plans, as well as political and operational risks in the Countries and States in which we operate or sell product to, and governmental regulation and judicial outcomes. For a more detailed discussion of such risks and other factors, see the Company's annual reports, as well as the Company's other filings. Readers should not place undue reliance on forward looking information. The Company does not undertake any obligation to release publicly any revisions to any 'forward-looking statements' to reflect events or circumstances after the date of this announcement, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws

Competent Person Statement

The information in this report that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr Ben Pollard, a Competent Person who is a Member of the Australian Institute of Mining and Metallurgy. Mr Pollard is the Principal of Cadre Geology and Mining Pty Ltd and is paid as a consultant to Classic Minerals, to provide technical geological advice. Mr Pollard has sufficient experience that is relevant to the style of mineralisation and type of deposits under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the 'Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Pollard consents to the inclusion in the report of the matters based on his information in the form and context in which it appears

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