Godolphin Resources : Quarterly Activities and Cash Flow Reports 31 March 2022

ASX ANNOUNCEMENT

29 April 2022

Quarterly Activities Report: Godolphin continues strong progress and strengthens project strategies

• • Farm-in joint venture secured to earn up to a 75% interest in the Narraburra Rare Earth Element Project

• • Narraburra is located in Central West NSW, in the province hosting Australia's most advanced Zirconium and Rare Metal project held by Australian Strategic Metals Limited

• • Narraburra has an extensive historical exploration data suite which provides GRL with a strong foundation to upgrade the mineral resource in coming months

• • Sale of joint venture projects advanced with Orange Minerals for total consideration of $550,000 to assist with Narraburra exploration initiatives

• • 700m diamond drill program at the Gundagai South Project intersected extensive sulphide mineralisation, assays awaited

• • Dating of rocks at Turrawonga Prospect at Copper Hill East Project confirm an age equivalent to other major porphyries including the Cadia Copper-Gold Mine, the Copper Hill Copper Deposit and the Boda Copper-Gold Project

• • Two new ELs granted by the NSW Government, Department of Mining Exploration and

  Geoscience - ELs located amongst the Company's existing projects

• • 900m drilling program testing targets at the Yeoval Copper-Gold Project is underway

Godolphin Resources Limited (ASX: GRL) ("Godolphin" or the "Company") is pleased to provide the following update on activities undertaken during the three-month period ended 31 March 2022 (the "Quarter"). During the Quarter, the Company continued to advance its suite of projects across the Lachlan Fold Belt and entered into a farm-in agreement which provides significant optionality and exposure to Rare Earth Elements ("REE") and Rare Metals ("RM").

Management commentary:

Managing Director Ms Jeneta Owens said:

"During the quarter, Godolphin made considerable progress across its project portfolio and broadened its exposure to Critical Minerals with the addition of the highly prospective Narraburra Rare Earths and Rare Metals Project through a farm-in agreement.

Narraburra provides the Company with significant optionality and a number of near-term value catalysts, which we intend to act on quickly. There has been significant historical exploration undertaken at the project which provides us with a strong understanding of the prospective geology.

Additional work across the Company's copper and gold portfolio has complemented our growing exposure to the greener technology space. We look forward to providing ongoing updates over the coming months as we progress an active works program across the project suite."

Godolphin Resources

ASX Code: GRL	A: Unit 13, 11-19 William Street, Orange NSW 2800	E:[e-mail]
ABN: 13 633 779 950	P: [phone]	www.godolphinresources.com.au

Farm-in secured for advanced Rare Earth Element Project:

Godolphin entered into a farm-in and joint venture agreement with EX9 Pty Ltd, providing Godolphin with the opportunity to earn up to a 75% interest in the Narraburra Rare Earth Element Project (EL 9258 and EL 8420) located 15km northeast of Temora in central west NSW.

The Narraburra area was first explored for REEs associated with the Devonian-aged Narraburra Granite in

1999. After this, it was identified as one of Australia's largest zirconium, REE and RM resources, which also hosts quantities of lithium. It is listed as a critical minerals project by the Critical Minerals Facilitation Office of the Australian Government's Department of Industry, Science, Energy and Resources and Australian Trade and Investment Commission. Narraburra is a significant opportunity for Godolphin and is located 30km from GRL's recently acquired Sebastopol tenement and 60km from its Gundagai Project, (refer Figure 1).

Figure 1: Location map showing the two Exploration Licences, EL9258 and EL8420 which are subject to the earn-in agreement in relation to GRL's existing tenement holdings.

Previous work included a program of 17 reverse circulation percussion (RC) and aircore drill holes. Samples were collected at 1m intervals and composited to 4m for analysis due to the interpreted consistency of the disseminated oxide mineralisation. All samples were assayed by NATA registered laboratories. Continuity of the mineralisation was noted to be evident from the radiometric signature of the deposit and the geological correlation between sections and drill holes.

Godolphin is confident that the planned drill program will expand the existing zone of mineralisation and allow a Mineral Resource to be classified in compliance with JORC 2012. A more closely spaced drilling patternhas been planned with an expanded analytical suite enabling resource estimation at a higher cut-off grade for additional tonnage at higher grades.

Following a review of historical data, Godolphin has determined that the currently defined mineralisation is shallow, with the average drill depth of only 40m. A significant number of historical holes finished in the highest grades of RM and REE, which indicates there is untested potential at depth.

After the end of the Quarter, Godolphin advised that an initial 4,000m drill program comprising 80 air core holes will commence in late April 2022 (Refer ASX announcement by GRL: 20 April 2022). The drill holes are designed to test for depth extensions and step outs to known mineralisation and provide data to complete a JORC 2012 Mineral Resources Estimate (MRE).

Details and terms for the two-tranche farm-in and joint venture agreement can be found in the Company's previous ASX announcement released 2 March 2022.

Sale of Joint Venture projects to fund Narraburra Rare Earth Project exploration:

During the Quarter, the Company entered a binding term sheet with Orange Minerals NL ("Orange Minerals")

(ASX: OMX) to progress the sale of its Ophir (EL8323) and Wiseman's Creek (EL8554) projects for a total consideration of $550,000.1 Godolphin will retain its joint venture interest in the Calarie Gold Project in NSW, which is farmed out to Orange Minerals and not included as part of the sale agreement.

The $550,000 sale price consists of a $275,000 cash component and, subject to OMX shareholders' approval, fully paid ordinary shares to be issued by Orange Minerals valued at $275,000. The fully paid ordinary shares will be issued at an issue price equal to the 10-day volume weighted average price (VWAP) of Orange Minerals shares immediately prior to their date of issue.

Funds raises from the sale will be used to progress the exploration initiatives at the highly prospective Narraburra Rare Earth Element and Rare Metals Project.

Diamond drill program at Gundagai South Gold Project intersects extensive sulphide mineralisation

Godolphin mobilised a drill rig to its 100%-owned Gundagai South Gold Project to complete a 700m Diamond Drill ("DD") program at the Surprise Hill North and Big Ben prospects located on EL8061. Drilling was successful and intersected extensive disseminated pyrite, stringer and vein-hosted sulphide mineralisation at both prospects (refer Figure 2).

Figure 2: Disseminated and stringer pyrite mineralisation in brecciated siltstone unit at 86m

Hole GSDD001 at Surprise Hill North Prospect intersected strong coarse-grained disseminated and stringer pyrite mineralisation (>5%) associated with pervasive chlorite-sericite alteration in a brecciated siltstone from 80m. Strong sulphide mineralisation is predominately within a well deformed interbedded siltstone and arenite rock package. Multiple porphyritic quartz-feldspar intrusive sills were intersected and appear to be unmineralised, however, the sills may have acted as a heat source to drive localised chlorite and sericite

1 ASX: GRL 21 March 2022 "Godolphin JV Projects Funds for Narraburra REE Exploration"

hydrothermal alteration which increases proximal to the sills. The multiple porphyritic intrusions intersected in GSDD001 are interpreted to be sills rather than dykes due to being conformable to bedding contacts. Weak to moderate fine grained disseminated pyrite mineralisation occurs throughout the entire hole to 495m. Sulphides comprising pyrrhotite, pyrite and copper mineral chalcopyrite were intersected at 205m in narrow quartz veins (refer Figure 3).

Figure 3: Quartz vein-hosted pyrrhotite and chalcopyrite mineralisation surrounded by chlorite-sericite altered arenite, 205m, GSDD001

Hole GSDD002, drilled to 204m at the Big Ben Prospect, intersected variable sericite and chlorite altered and quartz veined arenites and volcanic sandstones. Disseminated pyrite mineralisation also occurs throughout the entire hole. Small intersections of vein-hosted pyrite mineralisation and intense vein-halo sericite alteration occurs at intervals throughout the hole (refer Figure 4).

Initial results from the drilling at both prospects suggest that both holes, particularly GSDD001, intersected several small zones of strong hydrothermal alteration that appear to be coincident with an increase in pyrite mineralisation.

Geological logging, cutting and sampling of the drill holes has commenced, with assay results expected in Q2 2022. Several samples across both holes will be selected for further petrological studies to determine lithologies, alteration assemblages and mineralisation style.

Figure 4: Vein-hosted pyrite mineralisation and intense vein-halo sericite alteration from GSDD002 95m.

Age dating at Turrawonga Prospect at Copper Hill East confirms equivalence to other major porphyries:

Godolphin completed intensive petrographic work and sent samples of the intrusive rocks to the University of Tasmania for age dating, which confirmed an Ordovician age for the porphyry intrusions at the Turrawonga Prospect located on its 100%-owned Copper Hill East Project within EL8556.

The data confirmed that porphyritic intrusions from Turrawonga have an age equivalent to those at the world-class Cadia Copper-Gold Mine, the Copper Hill Copper Deposit and the Boda Copper-Gold Project, all situated within the Molong Volcanic Belt. This suggests the Turrawonga intrusions were emplaced during the same crustal evolution event that generated the Cadia gold-copper porphyry system. This age date provides an impetus for systematic exploration of the Turrawonga system to "vector in" on the target potassic alteration core, where the Godolphin exploration model predicts more intense copper mineralisation should occur.

These results are significant as they highlight that the intrusions at Turrawonga fall within a compatible age range to large porphyry deposits along strike within the Lachlan Fold Belt, both north and south in the Molong Volcanic Belt. This also indicates that the emplacement of the intrusions at Turrawonga has potential for large porphyry style tonnage mineralisation and strongly supports systematic focused exploration using the Cadia and Boda models.