Matador Mining : Inaugural Winter Drill Program Commences at Cape Ray

ASX Announcement

7 February 2022 ǀ ASX: MZZ; OTCQX: MZZMF; FSE: MA3

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Inaugural Winter Drill Program Commences at Cape Ray

Matador Mining Limited (ASX: MZZ; OTCQX: MZZMF; FSE: MA3) ("Matador" or the "Company") is pleased to announce the successful launch of its inaugural winter drill program at the Cape Ray Gold Project (the "Project") in Newfoundland, Canada.

Highlights

• First ever winter drill program commenced;
• 30 hole / 3,000-4,500 metre diamond drill program;
• Testing targets at PW East, Stag Hill, Isle aux Morts and Benton.

Figure 1 Inaugural winter diamond drilling at PW East with Window Glass Hill in the background

Matador Mining Limited	Level 20, 140 St George's Terrace
ABN 45 612 912 393	www.matadormining.com.au
Perth WA 6000
ASX:MZZ; OTCQX: MZZMF; FSE: MA3	[e-mail]
T: [phone]

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Executive Chair Ian Murray commented:

"I would like to congratulate our exploration team and our service providers for the hard work they have put into the planning and preparation of this inaugural winter drill program. As with all exploration programs, safety and environment are front of mind. With a winter program, new potential challenges need to be planned for, which our team has done well during the preparation for this program.

In 2021, we commenced the largest ever drill program at the highly prospective Cape Ray Gold Project, with 20,681 metres of diamond drilling completed during the year. However, winter conditions in Newfoundland typically halt traditional drilling for a few months. To mitigate this, our inaugural winter drill program, which consists of around 30 diamond holes for 3,000 - 4,500 metres, will allow Matador to maintain the aggressive pace of exploration that we have established at Cape Ray, during what is typically a period of inactivity in the field.

As the winter program then segues into our 2022 summer program, Matador will prove itself as an exploration company that can successfully and efficiently execute exploration programs in all seasons, and provide investors with regular news flow throughout the year.

I look forward to updating the market of the results from this winter drill program in due course."

Winter Drill Program

Matador has commenced its inaugural winter season diamond drilling program, with work focusing on a corridor encompassing the PW East, Stag Hill, Isle aux Morts and Benton prospects along the Cape Ray Shear Zone (Figure 2).

The program has been designed to:

• Investigate the surficial geochemistry and magnetic anomalies at PW East and along the untested northern Margin of the Central Zone Mineral Resource which hosts a current Mineral Resource of 526,000oz @ 2.2 g/t Au;
• Follow up on results of the 2021 surficial and auger geochemistry and magnetic anomalies at Stag Hill;
• Drill test the brownfield depth extensions and greenfield targets proximal to the Isle aux Morts deposit identified at the end of the 2020 diamond drill program, including IAM-SW1,2; and
• Follow up on results of the auger drilling, diamond drilling, surficial geochemistry, and magnetic anomalies at Benton.

The program consists of approximately 30 diamond holes, for 3,000 - 4,500 metres.

1. ASX announcement 6 October 2020
2. ASX announcement 29 October 2020

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Figure 2: Winter Program Target locations in relation to the Exploration Camp and detailed magnetics

(TMI-RTP image)

Assays Pending from Summer Drill Program

During the execution of the winter drilling program, investors can also anticipate news flow from 35 diamond drill holes from the 2021 summer drilling season which are pending assay results from the following targets:

• 10 greenfield diamond drill holes assessing the WGHG Heart-Shaped Pond (HSP) target area3. This area, just west of the main WGH Mineral Resource, has never been drilled, however, new Power Auger geochemistry delivered multi-grambottom-of-hole gold intercepts prompting a reassessment of the area's prospectivity;
• 7 greenfield diamond drill holes testing for along-strike extensions of the WGHG Margin mineralisation to the north-east3;
• 3 greenfield diamond drill holes from the Big Pond Area (Figure 3);
• 11 infill drill holes within the WGH Mineral Resource3; and
• 4 geotechnical drill holes (623 metres) undertaken at Central Zone (Figure 3).

Results are also pending for 1,200 conventional till samples from the Malachite Lake greenfield reconnaissance program and the remainder of the Stag Hill power auger sampling program4.

1. ASX announcement 31 January 2022
2. ASX announcement 18 November 2021

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Figure 3: Location of 2021 drilling and surface sampling with assays pending

This announcement has been authorised for release by the Company's Board of Directors.

To learn more about the Company, please visit www.matadormining.com.au, or contact:

Ian Murray - Executive Chair	Alex Cowie - Investor Relations
Phone: [phone]	Phone: [phone]
Email:[e-mail]	Email:[e-mail]

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About the Company

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Matador Mining Limited (ASX: MZZ; OTCQX: MZZMF; FSE: MA3) is a gold exploration company with tenure covering 120 kilometres of continuous strike along the highly prospective, yet largely under-exploredCape Ray Shear in Newfoundland, Canada. In November 2021 Matador was the recipient of the CIM NL Prospector/Explorer of the Year award. The Company released a Scoping Study which outlined an initial potential seven-yearmine life, with a forecast strong IRR (51% post Tax), rapid payback (1.75 year) and LOM AISC of US$776/oz Au (ASX announcement 6 May 2020). The Company is currently undertaking the largest exploration program carried out at Cape Ray, with upwards of 45,000 metres of diamond drilling, targeting brownfield expansion and greenfields exploration. Matador acknowledges the financial support of the Junior Exploration Assistance Program, Department of Industry, Energy and Technology, Provincial Government of Newfoundland and Labrador, Canada.

Reference to Previous ASX Announcements

In relation to the results of the Scoping Study which were announced on 6 May 2020, Matador confirms that all material assumptions underpinning the production target and forecast financial information included in that announcement continue to apply and have not materially changed.

In relation to the Mineral Resource estimate announced on 6 May 2020, the Company confirms that all material assumptions and technical parameters underpinning the estimates in that announcement continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person's findings are presented have not been materially modified from the original market announcement.

In relation to the exploration results included in this announcement, the dates of which are referenced, the Company confirms that it is not aware of any new information or data that materially affects the information included in those announcements.

The Company confirms that the form and context in which the Competent Person's findings are presented have not been materially modified from the original market announcements.

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