Native Mineral Resources : Arcoona Airborne Magnetics Indicating New Greenstones

ASX ANNOUNCEMENT

12 April 2022

MULTIPLE NEW TARGET AREAS REVEALED IN HIGH-

RESOLUTION MAGNETIC DATA at "ARCOONA".

Highlights

• • A new, high-resolution airborne geophysical survey has added additional support to the interpretation that greenstones (igneous mafic volcanics) extend beneath cover rocks at NMR's Arcoona Project area in the world class Eastern Yilgarn, Western Australia.

• • A >4600-line kilometre magnetics and radiometric survey has been completed over the southern Arcoona tenement area (E31/1203) providing unprecedented geophysical knowledge of the area.

• • The data have reinforced but also expanded geological interpretations of a major greenstone lens/sheet extending northwest, into the southern part of the tenement.

• • The data has led to the generation of 8 new high-priority target areas.

• • This high-resolution dataset has provided NMR with the confidence to expedite exploration on the tenement located only 4km west of Northern Star's Carosue Dam gold mine.

• • Field work is set to commence in late April to early May following the completion of drilling at its Nullarbor projects.

• • Approvals for sampling have been completed and NMR is set to get "boots-on-ground" to test for gold and nickel at its eight new target areas.

Native Mineral Resources Holdings Limited (ASX: NMR), or ("NMR" the "Company"), is pleased to advise that it has recently completed a high-resolution airborne geophysical survey for a total of 4362-line kilometres at a 25m line spacing and 25m sensor height. This new dataset has been reviewed in context of existing information from the region and at least eight (8) new target areas have been identified for an immediate follow-up sampling campaign. The principal aim of the survey was to help NMR interpret the potential presence and extent of previously inferred greenstones (igneous mafic volcanics) at several locations on the tenement, but with a particular focus on the southern edge where previous exploration has not been carried out. The survey was successfully completed by professional geophysical acquisition company MagSpec Airborne Surveys Pty Ltd.

Management Commentary

NMR's Managing Director, Blake Cannavo, commented: "New, previously unrecognised exploration

opportunities have been identified on the Arcoona project area. NMR will be targeting eight new areas that were pinpointed using the newly acquired airborne geophysical data. NMR couldn't be more impressed and excited with the geophysical results that have been obtained over the Arcoona Tenement.

Areas under cover are often forgotten and lack sufficient exploration but this new dataset has provided us (NMR) with the confidence that there are likely to be significant volumes of greenstones under cover, and that these greenstones may hold gold or nickel mineralisation as they do in the same type of rocks in the region. The growing evidence of these greenstones, in a target area only 4 kilometres west of Northern Star's Carosue Dam, is extremely exciting news and we are looking forward to getting samples and the sample results back as soon as possible. NMR look forward to reporting results from the area in the very near future."

Figure 1. Final magnetic results. Unannotated magnetics TMI RTP image generated for the southern part of the Arcoona tenement. Image was generated using a north-south lighting effect to help highlight key features.

Survey location and background

The Arcoona project area, 100 km north-east of Kalgoorlie, covers the margins of a large Archaean granite (biotite monzogranite) intrusion with its emplacement interpreted to have been localised by a series of north-west and north-east trending regional structures. Greenstones are interpreted to bound the eastern margin of the granite intrusion known as the Relief Monzogranite. The tenement is marginal to a secondary granite intrusion and has faulted granite/greenstone contacts. The project area is adjacent to the crustal level Kilkenny-Yilgangi Fault, a major control of mineralisation. The area is located 4 km from Northern Stars' 4.2Moz at 2.0g/t (Total Gold Resource reported March 2021, Northern Star, 2021) Carosue Dam project.

The target rocks at Arcoona are referred to collectively as "Greenstones". NMR will be targeting mineralisation associated with the greenstones as well as the structures that penetrate from the greenstones into the adjacent monzogranite. The greenstones include variably metamorphosed Archean age intrusive mafic (basalt) volcanics. In the eastern Yilgarn, the term greenstones can include multiple geochemical variations of mafic rock and are host to numerous gold and nickel deposits. At Arcoona, the greenstones are primarily buried under cover, therefore NMR use the term greenstones to include mafic rocks that are likely to contain/exhibit multiple compositional variations and are classified by the Geological Survey of Western Australia (GSWA) as intrusive mafic volcanic unit A-b-YEG on 1:2,000,000 geological maps. NMR plans to identify the major rock types in future drilling. The tenement is also cross-cut by approximately E-W-trending ca. 2408-2401 Ma dykes of the Widgiemooltha dyke swarm. High resolution magnetic data captured in December have been extremely useful in interpreting the under-cover extent of these mafic dykes. Near the eastern margin of the tenement, for example, NMR have recognised the opportunity for potential nickel, copper, PGE and gold mineralisation and will target parts of these dykes in the upcoming survey as discussed in more detail below.

Figure 2. Map showing the location of NMR project areas including Arcoona located approximately 100 kilometres to the northeast of Kalgoorlie in the Eastern Yilgarn of Western Australia.

Airborne geophysical survey

A high-resolution magnetic survey was completed over the "Arcoona" area (E31/1203) in December of 2021. The survey acquired 4632-line kilometres of magnetic and radiometric data over the region at a line spacing of 25m. The principal flight line direction was 090-270 (E-W) and tie lines flown at 250m spacing oriented 000-180 (N-S). The survey was completed with fixed wing aircraft with a sensor height of 25m. The survey was planned to provide magnetics data at a resolution that was sufficient to pinpoint rock type contacts, rock type variations and potential target areas for follow up field work over the Arcoona project. A contour map of the magnetic TMI RTP data is provided in the appendix.

Geophysical data interpretation

The geophysical data has been interpreted by NMR by including existing interpretations from the Geological Survey of Western Australia. The magnetic data (TMI RTP,Figure 1)shows two narrow, NW-trending features interpreted to be faults and two approximately E-W trending features (085) (high magnetic response) that align with previous interpretations of two separate dykes of the Widgiemooltha Dyke Swarm. Areas of low magnetic response are shown as cooler colours (purple and blue) onFigure 1.In the NE corner of the map, the low magnetic responses correspond closely with the location of previously interpreted greenstones(Figure 3).

A principal aim of the airborne magnetic survey was to explore the extent of the NW-trending "finger" of inferred greenstones in the southern part of the tenement. The greenstones appear on some geological maps, but due to extensive cover, their NW-limit was not well constrained. Based on the new, high resolution magnetic data, a region of low magnetic response is observed extending to the NW, and past the eastern termination of the southernmost of the two Widgiemooltha dykes (high magnetic response). NMR interpret this low magnetic zone in the southern part of the tenement as indicative of a finger of greenstones protruding some 5.5 kilometres into the tenement. This contrasts with the original interpretation of low-resolution magnetics by the GSWA which had the greenstones protruding only 2.8 kilometres to the northwest of the tenement boundary(Figure 3). This increase in interpreted area increases the exploration opportunities on the tenement.

Prospectivity for Gold, Nickel, Copper and Platinum Group Elements (PGE).

New, previously unrecognised exploration opportunities have been identified on the Arcoona project area. NMR will be targeting eight new areas pinpointed on the newly acquired airborne geophysical data shown onFigure 3.NMR will focus on exploring for greenstone-hosted gold, narrow vein hosted gold and intrusion-related nickel, copper and PGE's.

The areas specifically targeting anomalous gold are marked on the map below as T1A-T1D(Figure 3). The primary of interest lies in the SW corner of the tenement where the new magnetics results have improved NMR's interpretations of the basement rocks there. T1A corresponds to a region where both NMR and historical GSWA mapping have both interpreted greenstones as being present under cover. Accordingly, the T1A is the region of highest confidence but not necessarily highest prospectivity. T1B is the newly identified target area interpreted to be greenstones by NMR. Both regions will be covered by surface-based soil sampling to be completed in the coming months. The package of greenstones extends south to Kurnalpi where it is host to the famous Kurnalpi gold field.

Figure 3. Map highlighting the interpreted "finger" of greenstones interpreted to extend to the NW into the southern part of the Arcoona tenement.

Figure 4. Map showing the same features as above(Figure 3)overlain on satellite visible imagery.