Liontown Resources : Encouraging results from maiden drilling program at Moora

19th January 2021

ASX ANNOUNCEMENT | ASX : LTR

Initial assays of up to 2.5% copper and 1.1g/t gold from Kathleen Valley confirmed as a world-classlithium deposit as

maiden drilling program at 100%-owned Moora Project, WA Resource increases to 156Mt @ 1.4% Li2O

Highly encouraging initial results with elevated nickel and platinum point to

possible magmatic sulphides at depth, to be tested by RC drilling now underway

HIGHLIGHTS

• Extensive copper-gold anomalism defined by shallow, wide-spaced aircore drilling at the Moora Project, located in the same geological terrain as the Julimar PGE1-nickel-copper-gold discovery. Intersections2 include:

1. 10m @ 1.9% copper from 32m (to EoH3) including 4m @ 2.5% copper from 36m (MRAC0012); and

• 1. 12m @ 0.5g/t gold from 12m including 4m @ 1.1g/t gold from 20m (MRAC0012)
• Copper-goldmineralisation associated with elevated nickel and platinum, indicating possible magmatic sulphides at depth.
• Assays pending for 81 air-core holes.
• Ongoing and upcoming exploration activities include:

1. Reverse Circulation (RC) drilling - 12-15hole/1,500-2,000m program in progress testing beneath better aircore results;

1. Aircore drilling - further 80-90 holes planned, scheduled to commence late January; and

1. Auger drilling - additional first-pass sampling in progress to evaluate priority geophysical targets, comprising ~1,100 samples.

1. PGE - Palladium + Platinum
2. Up to 4m composite samples/true widths unknown due to limited geological data
3. End of hole

Liontown Resources Limited (ASX: LTR, "Liontown" or "Company") is pleased to report highly encouraging initial assay results from a partially completed maiden aircore drilling program at its 100%-ownedMoora Project in Western Australia including potentially ore grade copper and gold values.

The Moora Project is located 150km NNE of Perth, Western Australia in the same geological terrain as Chalice Mines Limited's world-class Julimar PGE-nickel-copper-gold discovery (Figure 1).

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The aircore drilling, which will resume in late January 2021, is designed to provide initial bedrock data beneath gold+PGE+nickel+copper anomalies defined by auger sampling completed last year. Holes are drilled to refusal, which is effectively the base of strong weathering and complete oxidation. Given the wide spacing of drill holes, the drilling is targeting geochemical haloes in the weathered, oxidised profile that may be associated with primary mineralisation in fresh bedrock.

The assays received so far have defined an extensive copper-gold zone extending over 1km in length and up to 200m in width (Figures 2 and 3), coincident with elevated nickel (>250ppm) and platinum (up to 80ppb).

Drilling has intersected quartzo-feldspathic gneiss with interlayered banded iron formation, mafic and ultramafic units. The copper-gold values listed in the highlights are hosted by completely weathered material and the original rock type cannot be determined; however, magnesium and chrome values indicate a mafic/ultramafic protolith.

The association of anomalous copper-gold-nickel-platinum is interpreted to indicate magmatic sulphide mineralisation at depth and a 12-15hole/1,500-2,000m RC drilling program has commenced to test beneath the better aircore intersections.

The overall aircore program will comprise up to 200 holes for 12,000m, with 119 holes for 5,247m drilled before Christmas 2020 (Figure 4) and the remaining drilling scheduled to commence before the end of January 2021. Assays have been received for the first 38 holes with results for the rest of the pre-Christmas drilling expected by the end of January 2021. Samples are initially assayed as 4m composites with 1m splits to be analysed where warranted.

Regional auger sampling across previously untested, priority magnetic targets has also re-commenced and is ongoing. This work is expected to define further targets for drill testing and will be undertaken in parallel with ground-based Moving Loop Electromagnetic (MLEM) surveys to help refine drill targeting.

Liontown Managing Director, David Richards, said: "Achieving potentially ore grade copper and gold intercepts in our very first batch of assays from this early-stage of air-core drilling is a very encouraging result which gets our maiden exploration program at Moora off to a very strong start. Importantly, the association of these significant values with strong nickel and platinum geochemistry in the context of what we believe to be the broader geological setting points to a possible magmatic source at depth.

"We are looking forward to seeing what RC drilling beneath some of the stronger aircore results will reveal, and to receiving the balance of the aircore numbers. We are continuing to pursue a systematic and multi- pronged approach to unlocking a possible commercial discovery at Moora, employing the full range of exploration methodologies including ground EM, auger drilling, aircore drilling and, now, RC drilling."

This announcement has been authorized for release by the Board.

DAVID RICHARDS

Managing Director

For More Information:	Investor Relations:
David Richards	Nicholas Read
Managing Director	Read Corporate
T: [phone]	T: [phone]
[e-mail]	[e-mail]
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Competent Person Statement

The Information in this report that relates to Exploration Results is based on and fairly represents information and supporting documentation prepared by Mr David Richards, who is a Competent Person and a member of the Australasian Institute of Geoscientists (AIG). Mr Richards is a full-time employee of the company. Mr Richards has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activities 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'. Mr Richards consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Forward Looking Statement

This announcement contains forward-looking statements which involve a number of risks and uncertainties. These forward-looking statements are expressed in good faith and believed to have a reasonable basis. These statements reflect current expectations, intentions or strategies regarding the future and assumptions based on currently available information. Should one or more of the risks or uncertainties materialise, or should underlying assumptions prove incorrect, actual results may vary from the expectations, intentions and strategies described in this announcement. No obligation is assumed to update forward looking statements if these beliefs, opinions and estimates should change or to reflect other future developments.

Figure 1: Moora Project: Location plan and regional geology.

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Figure 2: Mt Yule Prospect - Drill hole plan on magnetic image showing better aircore results.

Figure 3: Mt Yule Prospect - Drill section 423450E.

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