Globe Metals & Mining : Jun 2021 Quarter

Globe Metals & Mining

Niobium - critical to new and emerging technologies

onlyASX RELEASE

26 July 2021

Ab ut Globe

• Gl be Metals & Mining Limited is a Perth based company listed on Australian Stock Exchange (ASX Code: GBE)

useInv stment Summary

• 100% interest held in Kanyika Niobium Project in Malawi (Africa)

Directors and Management

Ms Alice Wong - Non-Executive Chairperson

personalMr A istair Stephens - Managing Director Mr William Hayden - Non-executive Director

Mr Bo Tan - Non-executive Director Mr Ricky Lau - Non-executive Director Mr Michael Fry - CFO/Company Secretary

Capital Structure

Shares on Issue: 465,922,373

Substantial Shareholders

Apollo Metals: 52.79%

Ao-Zhong International Minerals: 25.36%

Director Holdings*

Mr Alice Wong: 245,983,611 (52.80%)

Mr William Hayden: 1,276,923 (0.27%) ForDi ector Stephens: 1,200,000 (0.26%)

* both direct and indirect

C ntact

Alistair Stephens Managing Director [e-mail]: [phone]

Quarter ended 30 June 2021

Review of Operations

HIGHLIGHTS

Kanyika Niobium Project

• Company received formal notice dated 3 June 2021 advising it that
  Malawi's Mineral Resource Committee (MRC) had recommended the issue of a Mining Licence for the Kanyika Project - refer ASX announcement of 7 June 2021 titled "Formal Approval Received for
  Grant of Mining Licence".
• Pursuant to the Mines and Minerals Act (2018), the Minister of Mines is obligated to follow the recommendation of the MRC and issue the mining licence within 45 days (i.e. by c.o.b Monday, 19 July 2021). Upon issue of a mining licence, the Registrar has 5 working days thereafter to notify the applicant (i.e. by c.o.b Monday, 26 July 2021).
• Globe has not received any such notification as at the date of this report.
• Work in relation to off-take,debt-funding, community development programs, relocation of affected persons has ramped up in anticipation of the grant of a mining licence.
• Other work included further processing optimisation testwork aimed at reducing the Kanyika Project's capital and operating costs.

Development Agreement

• Execution of a Development Agreement is not a condition to grant of a mining licence under the new Mines Act.

Niobium - Recent Press

• CBMM, the world's largest supplier of niobium, announced in June
  2021 that by 2030 it expects to produce and sell 45,000 tons of niobium oxide, used in the production of electric batteries, up from just 100 tons presently.
• World Steel Association released its short-range outlook for 2021 and 2022 which predicts that steel demand will grow 5.8% in 2021 and a further 2.7% in 2022 (~90% of niobium is consumed as ferro-niobium in the manufacture of high strength low alloy steels).

Corporate & Finance

• Cash at bank and in term deposits as at 30 June 2021 was $2.816 million (31 March 2021: 3.506 million).
• During April 2021, a decision was handed down in favour of Globe in the Blantyre High Court in the matter of Frank Nkolokosa v Globe Metals and Mining Africa Limited. The judgement was vindication for Globe's conduct and serves as an example to others that Globe will defend its reputation at all times and not give over to fictitious claims.

ASX: GBE

Unit 1, 26 Elliott Street, Midvale

Western Australia 6056

www.globemm.com

P: [phone]

For personal use only

Globe Metals & Mining Limited (ASX Code: GBE) ("Globe" or "the Company") provides its activities report for the quarter ended 30 June 2021.

1. Kanyika Niobium Project

1.1 Exploration Activities During the Quarter

During the quarter, Globe's in-country team undertook a reconnaissance exploration program in the south-western sector of the Kanyika Exclusive Prospecting Licence area (EPL0421) comprising mapping and sampling.

Mapping Observations

The south-west of EPL0421 is observed to be strongly deformed with foliated rocks, generally concordant contacts, and large licence scale folding. Mafic rocks are common, occurring as concordant sheets, possibly remnant dykes, and recognised as metagabbro, metapyroxenite and amphibolite. Common also was marble and skarn.

During fieldwork, people from the community were observed gold panning in the Kambila, Livwezi and Dwangwa rivers.

Location

The EPL0421 licence area covers much part of the Kasungu district, under traditional authorities Wimbe and Simlemba (TAs). The total area of the licence area is 163.8 Km2.

The area is demarcated by the following coordinates (using ARC1950 coordinates), and the following map.

POINT	EASTING	NORTHING
A	588473	8581224
B	569988	8581361
C	570273	8594324
D	576873	8594324

Table 1: coordinates of the EPL

Figure 1: Location area of the EPL

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Sampling

In total, 363 samples were collected, comprising eighty-five (85) from stream sediments and two- hundred-seventy-eight (278) from soil-line-sampling, covering both the Northern and Southern side of the Dangwa River.

Co-ordinates from the where the samples were collected are included at Appendix B and C.

The stream sediment sampling mainly focussed on the Kambila and Livwezi rivers that drain the southern part of the EPL and flowing northwards into the Dwangwa river.

Figure 2: Map showing location of stream sediment sampling points

The soil-line-sampling concentrated on the northern side of the Dwangwa river where a multitude of quartz veins were observed, with the lines planned to run east to west to cut across the strike of the quartz veining.

In total sixteen (16) lines were sampled, each 250 metres apart, with samples collected at 100 metre intervals along the lines.

In total, 278 samples were collected from soil-line-sampling as follows:

Line	1	2	3	4	5	6	7	8	9	10	11	12	13	14	15	16	TOTAL
Samples Collected	21	21	21	21	35	33	17	14	12	12	12	14	13	13	10	9	278

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Figure 3: Map showing location of samples collected from soil-lines

The samples are in the process of being shipped for mineralogical assay to the Intertek Genalysis Laboratory in South Africa and results are expected towards the end of the September 2021 Quarter.

The cost of the program to date is less than US$5,000.

There was no other substantive exploration activity during the quarter.

1.2 Project Studies

The Company has during the quarter continued its broad review of the latest processing technologies to assess cost reduction and optimisation options and continues to undertake further processing optimisation test-work.

Due to the commercially sensitive nature of this works program, as previously advised, Globe will provide relevant information at the appropriate time.

1.3 Mining Licence

Globe received formal notification from the Principal Secretary of Mining, dated 3 June 2021, that the Malawi Government's Mineral Resources Committee (MRC) has reviewed Globe's mining licence application for the Kanyika Niobium Project (AML0026) and recommended the grant of a Mining Licence.

Approval by the MRC is a critical and formal step in the process of granting a Mining Licence under the new Mines and Minerals Act, 2018 (Mines Act) which became effective on 1 September 2019. Pursuant to the Mines Act, the Minister of Mines is obligated to follow the recommendation of the MRC and grant the licence within 45 days, with the Registrar then having 5 business days to notify the Company and issue the licence.

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1.4 Environmental Certification

The Company has fulfilled the mandatory conditions for the grant of the mining licence by obtaining all relevant environmental certificates in accordance with the Environmental Management Act (2016) and the Mines Act.

1.5 Development Agreement

The execution of a Development Agreement is not a condition under the new Mines Act. Despite this, both the Company and the Malawi Government have indicated their desire and intention to execute a Development Agreement. The finalisation and execution of a Development Agreement is an important aspect of the Project as it outlines the fiscal regime under which the Project will operate and sets out the terms upon which Globe is able to develop the minerals contained in the Project, including terms not otherwise required through existing regulations.

1.6 Impact of Coronavirus

As at 30 June 2021, Malawi has had a total of 36,926 reported cases of coronavirus with 1,208 having resulted in death, 33,326 having recovered and 2,392 active cases.

Globe has a small and committed team who have and continue to take all necessary measures to ensure the safety of our team, our partners, the community and the countries in which we operate. The protocols for health safety adopted and maintained by the Company have allowed its staff to continue to meet and work with both Government personnel and communities during this time.

1.7 Community

In November 2020, the Ministry of Mines provided verbal approval for Globe to proceed and meet with the leaders and the people of the District and of the Kanyika Community in relation to the Community Development Agreement. The Community Development Agreement (provided to the Malawi Government together with the Project Feasibility Study by Globe in late 2020) forms part of the Social Responsibility Programmes that the Company has tabled with Government for consideration and approval.

Once the Government provides approval of these programmes, formal meetings can be entertained with the Kanyika Community and additional programme details can be fulfilled that meet community expectations. Part of the Community Development Agreement is the provision of a 0.45% royalty that provides the community with direct financial benefits from the proposed mining project.

As previously reported:

On 7 April 2021, Globe presented to the Mzimba Development Executive Committee arranged and chaired by Mr Precious Kantsitsi, Planning Director, M'mbelwa District Assembly, in response to Globe's request to the Mzimba District Commissioner for a meeting to discuss the Community Development Agreement Plan.

The meeting was well supported with Senior Chief Mabulabo from Kanyika and all sixty (60) of the invited Committee Members in attendance. The District Executive Committee provided approval for Globe to present to the Kanyika Community the project development plans including Social Responsibility Programmes and the Community Development Agreement Plan. Chief Mabulabo stated that over the years he has always had a good relationship with Globe and is pleased the project is approaching implementation. He welcomed the project of behalf of the Kanyika Community and has provided approval for the Company to meet with the local Kanyika community (specific to the Mining Licence application area) to discuss project development plans and social responsibility programmes.

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