Godolphin Resources : Update on Gundagai Drill Program

26 November 2021

For personal use only

UPDATE ON GUNDAGAI DRILL PROGRAM

• Drilling postponed due to significant weather events - reduces near term expenditure and will allow for ongoing review of targets
• Despite delay, promising quartz and sulphide veining intercepted from drill hole at Mantons Prospect
• Statutory approval forms for Yeoval RC/DD drill program lodged with Department of Regional NSW- program to commence during Q1 2022

Godolphin Resources Limited (ASX:GRL) ("Godolphin" or the "Company") wishes to provide the following update on drilling activities at the Gundagai Project in NSW.

Godolphin advises it has made the decision to postpone drilling activities at the Gundagai Project due to unseasonable high intensity weather events, which have led to an unsafe working environment. This will reduce expenditure and allow the Company to deploy resources across other projects, ahead of recommencement of the program in the coming weeks. Management is encouraged by initial results at Gundagai and consequently have added two additional drill holes to test the Mantons (EL8586) and the Big Ben Prospects (EL8061).

Statutory forms for a proposed drilling program at the prospective Yeoval copper porphyry project have also been submitted and await approval.

Managing Director, Jeneta Owens said: "Due to encouraging visible quartz and sulphides intersected in the second hole drilled at the Manton's Prospect on the Gundagai Project, additional holes have been added to the Gundagai drilling program. However, due to extremely challenging weather events in the Central West NSW, which have led to an unsafe working environment, limited access and costs associated with holding an inactive drill rig, we have made the decision to postpone the Gundagai drill program. As soon as it is safe to do so we will get back to drilling the additional holes at the Manton's Prospect.

"We look forward to providing ongoing drilling updates and assay results over the coming months."

GUNDAGAI PROJECT - EL8586 and EL8061

Due to significant and unseasonable weather events, the Company has made the strategic decision to postpone the remaining drilling activities at Gundagai as the entire area is affected by widespread heavy rainfall. This will reduce expenditure associated with holding an inactive drill rig at site, allow Godolphin to review initial results and deploy resources across other key projects. The Company expects to recommence drilling once the Gundagai Projects terrain is deemed safe for access and an RC drill rig is available.

Despite the postponement, Godolphin has made significant progress at Gundagai. Most recently, the Company completed one RC drill hole, with a second hole partially complete at the Manton's Prospect on the Gundagai North tenement (EL8586). The first drill hole was designed to test historic workings along mineralised quartz veins within dacitic volcanics of the Frampton Volcanics. Drilling was oriented perpendicular to the strike of these old workings to test mineralisation at depth.

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

For personal use only

Results from the first hole were reviewed, with encouraging alteration intersected. The second hole that has commenced, which cannot be completed at this time, has intersected quartz veins thought to host gold mineralisation and visible sulphides. This provides support for the two additional drill holes added to the program to test mapped quartz veining and old workings containing quartz veins that historically produced visible gold (Figure 1).

The four RC holes drilled at the Emu Prospect prior to the heavy rain event have been sent to the laboratory and results are pending.

Two new drill holes have been designed to test auriferous sheeted quartz veins within a quartz feldspar porphyry exposed in a nearby quarry at the Big Ben Prospect near Surprise Hill North on EL8061. During a mapping campaign at the prospect in October 2021, the sheeted quartz vein sets were identified in a different orientation to that previously interpreted and hence would not have been intersected by previous drilling. Gundagai South is also affected by the weather events; RC drilling is expected to commence at Big Ben once the current drilling at Gundagai North is completed. Figure 1 shows the location of the planned drill holes at Big Ben.

YEOVAL - EL8586 and EL8061

Statutory documents have been submitted to commence a RC drill program at the Yeoval Project (EL8538). Five RC drillholes, two with diamond tails targeting anomalous copper in rock chips and soils have been proposed. Following approval from the Department of Regional NSW, Godolphin will aim to commence the drill program, following completion of the Gundagai drilling campaign.

Godolphin Resources

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This market announcement has been authorised for release to the market by the Board of Godolphin Resources Limited.

For further information regarding Godolphin, please visit godolpinresources.com.au or contact:

Jeneta Owens Managing Director [phone] [e-mail]

Released through: Henry Jordan, Six Degrees Investor Relations, [phone]

About Godolphin Resources

Godolphin Resources (ASX:GRL) is an ASX listed resources company, with 100% controlled Australian-based projects in the Lachlan Fold Belt ("LFB") NSW, a world-classgold-copper province. Currently the Company's tenements cover 3,200km2 of highly prospective ground focussed on the Lachlan Transverse Zone, one of the key structures which controlled the formation of copper and gold deposits within the LFB, the Godolphin Fault and the Molong Volcanic Belt.

Godolphin is exploring for structurally hosted, epithermal gold and base-metal deposits and large, gold- copper Cadia style porphyry deposits and is pleased to announce a re-focus of exploration efforts for unlocking the potential of its East Lachlan tenement holdings, including increasing the mineral resource of its advanced Lewis Ponds Project. Reinvigoration of the exploration efforts across the tenement package is the key to discovering the exploration potential and represents a transformational stage for the Company and its shareholders.

COMPLIANCE STATEMENT The information in this report that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Ms. Jeneta Owens, a Competent Person who is a Member of the Australian Institute of Geoscientists. Ms Owens is the Managing Director and full-time employee of Godolphin Resources Limited. Ms Owens has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Ms Owens consents to the inclusion in the report of the matters based on her information in the form and context in which it appears.

Information in this announcement is extracted from reports lodged as market announcements referred to above and available on the Company's website www.godolphinresources.com.au.

The Company confirms that it is not aware of any new information that materially affects the information included in the original market announcements and that all material assumptions and technical parameters underpinning the estimates in the relevant market announcements continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Persons' findings are presented have not been materially modified from the original market announcements.

Godolphin Resources

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Appendix 1 - JORC Code, 2012 Edition, Table 1 report

Section 1 Sampling Techniques and Data (Criteria in this section applies to all succeeding sections)

	Criteria	JORC Code explanation	Commentary
	Sampling	• Nature and quality of sampling (eg cut channels, random chips, or specific specialised industry	•	2m samples were collected via reverse circulation (RC) drilling using a cyclone cone splitter.
	techniques	standard measurement tools appropriate to the minerals under investigation, such as down hole	•	Samples were mostly dry and sample loss was minimal.
only		gamma sondes, or handheld XRF instruments, etc). These examples should not be taken as limiting	•	Sample pXRF analysis directly on the calico bag once collected from cyclone splitter
	the broad meaning of sampling.	•	Reference chips for each meter were stored in chip trays and logged by a geologist.
	• Include reference to measures taken to ensure sample representivity and the appropriate calibration	•	Magnetic susceptibility was recorded from the calico bag for each meter by an Alpha geoinstrament "magrock" sus meter.
		•	Holes commenced with a blank, standards, duplicates and blanks were inserted every 20 samples
		of any measurement tools or systems used.
		•	Gold mineralisation at Gundagai North is hosted in quartz veins within porphyritic dykes which intrude Silurian sediments and
		• Aspects of the determination of mineralisation that are Material to the Public Report.
				volcanics, and trend in a general north-south direction. Extensive historical mining has taken place at both Emu and
				Johnston's Hill, and artisanal mining is evident at the Manton's prospect. Samples have been sent to a laboratory and will be
				reported upon once results are received.
use
Drilling	• Drill type (eg core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc)	•	Reverse circulation (RC) drilling.
techniques	and details.
Drill	• Method of recording and assessing core and chip sample recoveries and results assessed.	•	The RC rig was fitted with a cone splitter with adjustable ports at the bottom of the cyclone. At the end of each 1m, the sample
sample			is dropped into the cone splitter with the calico sample bag attached to the right-side port and bulk waste collected on 1m intervals
recovery			from the bottom of the cone splitter into large green bags. The assay samples were collected every 2m, with the assay sample
personal			bag removed every 2m of drilling. Field duplicates were collected every 20 samples with a second calico sample bag attached
			to the left side port.
		•	Rock chips were collected on 1m intervals from the excess sample bags, these samples were sieved and washed and collected
				into plastic chip trays.
			• Drill hole data, samples and geology logging is recorded on a purpose designed logging excel spreadsheet and stored on the
				company secure server.
	Logging	• Whether core and chip samples have been geologically and geotechnically logged to a level of detail	•	The drill chips were logged by a GRL geologist. The log includes detailed datasets for: lithology, alteration, mineralisation, veins,
		to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.		and magnetic susceptibility.
			•	The data is logged by a qualified geologist and is suitable for use in any future geological modelling, resource estimation, mining
				and/or metallurgical studies.

Godolphin Resources

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		Criteria	JORC Code explanation		Commentary
		Sub-	• For all sample types, the nature, quality and appropriateness of the sample preparation technique.		Reverse Circulation and Diamond Drilling sampling
		sampling			•	The sample preparation for RC follows industry best practice involving oven drying, crushing and pulverisation
		techniques
				•	All Reverse Circulation drilling was sampled using a cone splitter on the bottom of the rig cyclone. The right port collects the
		and sample
		preparation				original sample, with the left port used for duplicates. The level of the splitter is frequently checked by the company representative
only					at the rig and cleaned as required with compressed air, wet samples have been collected, these samples are noted in the
					company sampling and logging excel spreadsheet.
					• External certified reference material / standards, blanks and duplicates are submitted every 19th,22nd sample respectively for
					QAQC purposes for reverse circulation samples
					.
				•	Reverse Circulation sampling are appropriate for the rock types intersected and follows industry best practice.
	Quality of	• The nature, quality and appropriateness of the assaying and laboratory procedures used and whether		•	All GRL samples collected so far in the program were submitted to Bureau Veritas laboratories in Adelaide.
	assay data	the technique is considered partial or total.		•	The samples were sorted, wet weighed, dried then weighed again. Primary preparation involved crushing and splitting the
	and	• Nature of quality control procedures adopted (eg standards, blanks, duplicates, external laboratory			sample with a riffle splitter where necessary to obtain a sub-fraction which was pulverised in a vibrating pulveriser. All coarse
	laboratory	checks) and whether acceptable levels of accuracy (ie lack of bias) and precision have been			residues have been retained.
	tests	established.		•	The samples have been analysed by firing a 40g (approx) portion of the sample. Lower sample weights may be employed for
use						samples with very high sulphide and metal contents. This is the classical fire assay process and will give total separation of
					Gold, Platinum and Palladium in the sample. Au, Pd, Pt have been determined by Inductively Coupled Plasma (ICP) Optical
					Emission Spectrometry.
				•	The lab routinely inserts analytical blanks, standards and duplicates into the client sample batches for laboratory QAQC
					performance monitoring.
	Verification	• The verification of significant intersections by either independent or alternative company personnel.		•	An internal review of results was undertaken by Company personnel. No independent verification was undertaken at his stage.
	of sampling	• Documentation of primary data, data entry procedures, data verification, data storage (physical and		•	All field and laboratory data has been entered into an industry standard database using a database administrator (DBA).
	and	electronic) protocols.			Validation of both the field and laboratory data is undertaken prior to final acceptance and reporting of the data.
	assaying	• Discuss any adjustment to assay data.		•	Quality control samples from both the Company and the Laboratory are assessed by the DBA and reported to the Company
personal						geologists for verification. All assay data must pass this data verification and quality control process before being reported.
				•	GRL also inserted QAQC samples into the sample stream as mentioned above.
				•	All of the QAQC data has been statistically assessed and if required a batch or a portion of the batch may be re-assayed. (no
						re-assays required for the data in the release).
		Location of	• Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches,		•	A handheld Garmin GPSmap was used to pick up collars with an averaged waypoint measurement: accuracy of 1m.
		data points	mine workings and other locations used in Mineral Resource estimation.		•	Final collar positions are yet to be collected using a Trimble TDC150 GPS with average accuracy of 20-30cm in all three axes
					•	Coordinates picked up using WGS84 and transformed into Map Grid of Australia 1994 Zone 55
		Data	• Data spacing for reporting of Exploration Results.		•	The geological model interpreted for the Gundagai North Project area consists of numerous approximately north-south trending,
		spacing	• Whether the data spacing and distribution is sufficient to establish the degree of geological and grade			steeply dipping, narrow quartz veins and porphyritic dykes. As a result, the drill density in this area deemed sufficient to test
		and	continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and			the targets
		distribution	classifications applied.
			• Whether sample compositing has been applied.
		Orientation	• Whether the orientation of sampling achieves unbiased sampling of possible structures and the		•	Quartz veins and mineralised porphyries strike approximately north-south in the Gundagai North Project area. Drilling has been
		of data in	extent to which this is known, considering the deposit type.			designed to intersect the veins and dykes at a perpendicular angle as much as practicable.
		relation to			•	No significant bias is likely as a result of the pattern of intersection angles.
Godolphin Resources			pg. 5
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