Mila Resources Plc updated shareholders on progress with Liontown Resources Limited regarding its arrangements to enter into a joint venture (JV) and assay results from the recent RC drilling programme at the Company's Kathleen Valley Gold Project in Western Australia. The Company and Liontown have held a number of meetings to establish a critical path towards commencing lithium exploration at Kathleen Valley. Due to a scarcity of water within the region and as part of the preliminary work programme, Liontown will sink a number of drill holes to test for water imminently.

This is with a view to securing future water supply for its forthcoming mining operations at its significant Kathleen Valley Lithium Mine, due to commence production in mid-2024. Liontown has identified several lithium targets in the northern and central areas of the Project, which coincide with the gold target areas previously identified by Mila. Mila and Liontown are working jointly on conducting Heritage Surveys across these areas.

Under the JV, Mila will be able to access and conduct gold and base metal test work from the drilling core provided by Liontown drill programme. The board of Mila expects that this will significantly reduce the overall cost and timeframe of Mila's exploration activities within the coincident areas. Liontown is also planning extensive low impact soil geochemistry and surface geophysical surveys over the Project and is in discussions with The Tjiwarl Aboriginal Corporation (TAC), the traditional land owners, to ensure that it avoids any sensitive heritage areas.

This work should provide further data to complement the soils work previously conducted by Mila, which identified the northern and central gold targets and allow geochemical analysis in untested areas within the Licence area. Further progress updates will be provided in due course. Gold Drilling results: The recent drilling of six reverse circulation (RC) holes for a total of 820m in June 2023 was undertaken to test and assess the resource by stepping out into a previously untested northwestern border.

The drilling campaign has uncovered structural features and supergene mineralisation providing further indications of the Project's mineralisation potential. These findings will be integrated into a comprehensive geological-structural review of the property, which should reduce the exploration risk associated with further work on the property. Two drill lines were completed testing the strike extent of mineralisation 50m and 100m along strike to the northwest where it was open and untested.

A best assay intersection of 4m at 0.36 g/t Au from 36-40m depth was returned from KVRC0044. This intersection sits high up in the drill hole and is most likely associated with supergene mineralisation from the Coffey system or potentially a second nearby system. Further work is required to identify the source of this supergene anomaly.

The drilling campaigns have revealed critical insights about the Kathleen Valley Gold project, in particular that it is characterised by a highly structured orebody featuring concentrated zones of high-grade mineralisation shoots (notably 6.6m at 14.9 g/t gold and 10.0m at 8.38 g/t gold) within a sulphide bearing shear structure.