DevEx Resources : Quarterly Activities and Cashflow Report for the Quarter ended 31 March 2022

26th April 2022

Activities Report for the Quarter Ended 31 March 2022

HIGHLIGHTS

Sovereign Nickel-Copper-PGE Project, WA (Earn-In and 100% Tenement)

• • Ground electromagnetic (EM) surveys testing for massive Nickel-Copper-PGE (Ni-Cu-PGE) mineralisation within the 12km x 5km mafic-ultramafic intrusion progressed, with several mid-time anomalous responses defined so far requiring further follow-up.

• • Ground EM surveys are continuing and will extend over the eastern half of the intrusion in the June Quarter.

Junee Copper-Gold Project, NSW (100%)

• • A ~16,000m drill programme comprising diamond, Reverse Circulation (RC) and air-core (AC) drilling is well underway at the Nangus Road Prospect. Drilling is primarily targeting the 2km long gold-copper (Au-Cu) anomaly where previous gold (Au) and copper (Cu) grades of up to 3.5g/t Au and 1,410ppm Cu were returned from broad-spaced AC drilling.

• • Early results from the drilling have identified a north-south trending Au-Cu zone with initial Au intercepts including 4m @ 5.9 g/t Au from 4m (22JNAC013), 3m @ 1.2g/t Au from 28m (22JNAC041 at bottom-of-hole) in AC drilling and 6m @ 1.2 g/t Au from 188m (22JNRC001) in RC drilling.

• • In-fill AC drilling will continue into the June Quarter, with the majority of assay results from drilling completed during the current quarter expected in the next month.

Nabarlek Uranium Project, NT (Earn-In and 100%)

• • A strong resurgence in the uranium spot price, with recent prices reaching 10 year highs (above US$50/lbs U3O8), is providing a strong justification to bring forward an expansive RC/Diamond drill campaign this year at Nabarlek Project targeting along trend from previous high grade uranium intercepts.

• • ~ 18,000m of RC and diamond drilling is planned to test priority prospects surrounding the Nabarlek Uranium Mine Area (previous production of 24 Mlbs @ 1.84% U3O8).

• • Drilling contract signed with leading drilling contractor DDH1, with an RC/diamond rig expected to be mobilised to site in late June/July.

Corporate

• • DevEx remains well-funded to continue its multi-pronged exploration programs in WA, NSW and the NT with $10M in cash at Quarter-end.

1. SOVEREIGN NICKEL-COPPER-PGE PROJECT, WA (Earn-In and 100% Tenement)

At the Sovereign Project, DevEx is exploring a large, 12km long mafic-ultramafic intrusion complex for nickel, copper and platinum group elements (Ni-Cu-PGE) along strike from the globally significant Gonneville Ni-Cu-PGE discovery to the south, owned by Chalice Mining Ltd (ASX: CHN), and the Yarawindah Brook Ni-Cu-PGE project to the north, owned by Caspin Resources Ltd (ASX: CPN) (see Figure 1).

Three reconnaissance diamond holes completed last quarter have confirmed the presence of a thick sequence of differentiated mafic-ultramafic intrusive rocks extending over the full length of the project.

As part of this initial diamond programme, several zones of disseminated (low grade) Ni-Cu sulphide mineralisation were intersected which, together with signs of assimilation of the surrounding country rock, provide an indication of the potential for the intrusion to host concentrations of Ni-Cu-PGE mineralization.

Extensive ground electromagnetic (EM) surveys continued during the quarter, designed to test for conductors that may be associated with massive Ni-Cu-PGE mineralisation. The focus of activity during the March Quarter was on the western side of the Sovereign mafic-ultramafic intrusion (see Figure 2).

Several mid-time anomalous responses have been defined from this work and follow-up moving loop and fixed-loop EM is planned to further evaluate these responses.

Ground EM continues and will be extending across the eastern half of the mafic-ultramafic intrusion over the coming Quarter.

Additional reconnaissance air-core (AC) drilling was completed during the Quarter (Figure 2).

A total of 235 AC holes for 6,082m (including 135 holes for 3,391m on the western Joint Venture tenement E70/3405) were designed to map the geological variations within the mafic-ultramafic intrusion beneath the laterite cover.

Although not the primary purpose of the drilling, no significant Ni-Cu-PGE assay results have been received to date. The Company is awaiting receipt of all assay results from this drilling prior to undertaking a complete geological review aimed at identifying prospective geological horizons within the intrusion.

DevEx is currently exploring the western half of the Sovereign mafic-ultramafic intrusion (E70/3405) under an Earn-In Agreement with Australian Silica Quartz Group Ltd (ASX: ASQ) (see the Company Announcement of 1 June 2020).

The eastern half of the intrusion is located within a granted tenement held by DevEx (E70/5365) - see Figure 2.

Figure 1: DevEx's 100%-owned tenement together with the Australian Silica Quartz Group Ltd (ASQ) tenement overlying airborne magnetics (RTP) in relation to Chalice Mining Limited's high-grade palladium-nickel discovery (ASX: CHN) at the

Julimar Project. The outline of the Julimar Complex was interpreted by the Company from information in Harrison (1984)3.

Figure 2: Sovereign Project: Current exploration activity testing the Sovereign Mafic Ultramafic Intrusion.

2. JUNEE COPPER-GOLD PROJECT, NSW (100%)

A ~16,000m drill programme comprising diamond, Reverse Circulation (RC) and AC drilling is well underway at the Nangus Road Prospect. Drilling is primarily targeting the 2km long gold-copper anomaly where previous gold and copper grades of up to 3.5g/t Au and 1,410ppm Cu were returned from broad spaced AC drilling.

Subsequent to Quarter-end, initial assay results from the drilling have identified a north-south trending gold-copper zone with recent gold intercepts including 4m @ 5.9 g/t Au from 4m (22JNAC013), 3m @ 1.2g/t Au from 28m (22JNAC041 at bottom-of-hole) in air-core drilling and 6m @ 1.2 g/t Au from 188m (22JNRC001) in RC drilling - see Figure 3.

Gold intercepts and associated anomalous copper lie within a broad hydrothermal alteration zone, with early indications suggesting the mineralisation is associated with a porphyry copper-gold system.

Results received to date are from a much larger drill programme comprising a combination of diamond, RC and AC designed to test the large, 2km-long gold-copper (Au-Cu) bedrock anomaly defined by last year's wide-spaced AC drilling.

To date, two (2) diamond holes, eight (8) RC holes and 162 AC holes have tested the Nangus Road Prospect. Drilling is still broad-spaced, with diamond and RC drilling testing the target on 400m spaced traverses and AC drilling completed on 100m traverses.

Drilling is still in progress, and assay results are still pending for the majority of drill holes (~75%) - see Figure 3. Results are expected to continue to be received over the coming month.

Figure 3: Nangus Road Prospect showing location of current drill holes and results. AC drilling has been thematically mapped to show maximum gold values down the hole where assay results have been returned. Assay results are pending for a significant portion of the drilling (open circles and squares).