Middle Island Resources : 26 Oct 2021 - Exploration Update PDF

Middle Island Resources Ltd

ACN 142 361 608

ASX code : MDI

www.middleisland.com.au

Capital Structure:

122.4 million ordinary shares

22 million unlisted OOTM options

Cash & Investments

$2.2 million (as of 30 September 2021) No debt

Directors & Management:

Peter Thomas

Non-Executive Chairman

Brad Marwood

Executive Director

Bruce Stewart

Non-Executive Director

Dennis Wilkins

Company Secretary

Contact:

Office: [phone]

[e-mail]

Sandstone and Barkly Exploration Update

Sandstone Gold Project

• A total of 536 Auger geochemistry holes were completed across 4 new untested targets including 3 target areas in the Sandstone permits and 1 target in the Jew Well Permit (located approximately 10km south of Sandstone plant).
• All holes have been analysed by semi-quantitative portable XRF (pXRF) for a 24 multi-element suit, and for Gold by 30g Fire Assay.
• 5 new gold prospects have been identified within the Sandstone Permits with limited to no historical drilling.
• A 2km nickel anomaly (open to northeast) has been defined in the Jew Well permit outlining a potential Ultramafic Complex.

Barkley Super Copper-Gold Project

• Two new permit applications with a consent to grant application, have been approved by the Central Land Council (CLC). Middle Island has until the 31 October 2023 to negotiate a Native Title agreement. This takes the Barkley Project to a total of 5,220km2. The two new permits are contiguous with the Crosswinds Copper discovery reported by Middle Island.
• A detailed Airborne magnetic and radiometric survey has been scheduled for November / December 2021 and will be co-funded by the Northern Territory Geological Survey. This work will be followed by a detailed ground gravity survey to enable drill targeting.
• An IP survey is planned across Crosswinds Prospect. Silica associated with the copper mineralisation (malachite) on surface indicates a hydrothermal source and will potentially highlight the source at depth of the 130m of malachite located on surface. This will present a drill ready target in the coming months.

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ASX Release - 26 October 2021

AUGER GEOCHEMICAL DRILLING COMPLETED

As per ASX release of 7 July 2021, the Company completed the auger drilling program across Sandstone and Jew Well permits. 4 of the initial 5 first pass programs for a total of 536 holes were completed in 3 weeks (Jew Well North target is yet to be drilled). Holes ranged from 1m to 14m in depth and targeted interface sampling below the transported cover. Sandstone holes were completed on a wide spaced 200m by 100m grid and Jew Well on a 400m by 100m grid.

The planned auger programs are shown in Figure 1 below:

Figure 1

Middle Island tenure - Sandstone and Jew Well planned Auger Geochemistry.

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ASX Release - 26 October 2021

Sandstone

Middle Island undertook a portable XRF scan using an Olympus Delta pXRF. This analytical method was undertaken on 1mm sieved samples and is semi-quantitative, but effective in highlighting base and indicator elements of significance for early-stage exploration.

In the Sandstone Permits, the pXRF analysis exercise has highlighted several Arsenic anomalies that can assist in mapping structures, with Arsenic often associated with Gold Mineralisation in the region.

Samples were also dispatched to SGS for gold analysis by 30g Fire Assay. The following image highlights 5 new prospects identified by the Auger Geochemistry.

Figure 2

Sandstone Permits - Auger Au Results - 5 new prospects.

The prospects have highlighted 5 preliminary targets that require infill Auger Geochemistry to refine the anomalies. The Auger targets are all taken >1.5m depth and considered to be high quality and uncontaminated from surface small scale prospecting activity and transported material. Targets defined are:

• Nugget Patch 1 & 2 which are in proximity to historical nugget patches exploited by surface prospectors with no drilling;
• Mt Kempt is a poorly tested historical target with minor drilling;
• 3 Mile is a known nugget patch with limited drilling;
• Wirraminna North is an interpreted fault offset of Wirraminna with minor shallow drilling;

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ASX Release - 26 October 2021

• 2 Mile West is a 600m extension associated with the Banded Iron Ridge with limited drilling having been completed; and
• A 6th prospect was defined at Nungara north but is on the boundary of the historical abandoned townsite of Nungara. Additional permitting is required to access this area.

The Jew Well program undertaken across the magnetic feature from government magnetic data, has highlighted a 2km long Nickel anomaly from pXRF highlighting the potential underlying Ultramafic rocks.

Weak gold was associated with the ultramafic, but the remainder of the high magnetic target returned no significant gold and is considered to be associated with fragments of sheared BIF within granite.

Figure 3

Jew Well permits - Nickel anomalies from pXRF

Interpretation of the historical datasets and the detailed magnetics and radiometrics survey flown in 2020, is ongoing and will provide further context for the auger anomalies which will be infill sampled and prioritised for drill testing.

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ASX Release - 26 October 2021

BARKLY EXPLORATION

The Barkly Super Project has maintained momentum over the past 2 months with the finalisation of the scope of geophysical works completed the terms and conditions for undertaking the works finalised and the focus now moves to identifying an optimum weather window to secure the best results. The current planning is to commence the airborne magnetics and radiometrics survey in November or December when the contractor becomes free. All contracts have been signed for this work.

Two new permit applications with a consent to grant application, have been approved by the Central Land Council (CLC). Middle Island has until the 31 October 2023 to negotiate a Native Title agreement. This takes the Barkley Project to a total of 5,220km2. The two new permits are contiguous with the Crosswinds Copper discovery reported by Middle Island

RELEASE AUTHORISED BY THE MDI BOARD:

Contacts:	[phone]	[e-mail]
WEBSITE:	www.middleisland.com.au

Forward Looking Statements

Statements contained in this release, particularly those regarding possible or assumed future performance, costs, dividends, production levels or rates, prices, resources, reserves or potential growth of Middle Island, industry growth or other trend projections are, or may be, forward looking statements. Such statements relate to future events and expectations and, as such, involve known and unknown risks and uncertainties. Actual results and developments may differ materially from those expressed or implied by these forward-looking statements depending on a variety of factors.

Competent Person Statement

The reported Exploration Results were compiled by Beau Nicholls, a Member of the Australian Institute of Geoscientists. Mr. Nicholls 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'. Mr. Nicholls is a principal Consultant with Sahara Natural Resources (Sahara), and the Competent Person is independent of the Company and other than being paid fees for services in compiling this report, neither has any financial interest (direct or contingent) in MDI.

New Information or Data

MDI confirms that it is not aware of any new information or data that materially affects the information included in previous market announcements and, in the case of estimates of Mineral Resources, which all material assumptions and technical parameters underpinning the estimates in the relevant market 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 materially changed from the original market announcement.

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