Sipa Resources Limited provided a progress update on its multiple exploration programs in various parts of Western Australia. Sipa's major operational focus over the last month has been on its exploration program at the Paterson North project, which includes extensive drilling and geophysical surveys. The program is being conducted as part of a Farm-In and Joint Venture Agreement with Rio Tinto Exploration Pty Limited (RTX).

Exploration on the project is being funded by RTX, pursuant to the FIJV Agreement, with a $3.2m funding commitment allocated to the 2022 exploration program. Drillholes have now been completed at one of the northern target areas, and further targets have been tested in the east and south of the project area. Current drilling is at targets located southeast of the Obelisk prospect.

The first batch of samples is at the laboratory, with initial assay results expected late in August. A heritage survey is scheduled to commence in mid-September, to enable future drilling and other ground-based activities to proceed. In addition, the previously announced SkyTEM airborne geophysical survey has been completed.

Data from the survey will now be processed and interpreted to assist in the generation of future drill targets. The Company looks forward to providing investors with assay results post the completion of drilling at Paterson North, which sits within 10km of RTX's Winu copper-gold discovery in northern WA. Barbwire Terrace (50/50 JV with Buru Energy Limited): Drilling is now underway at the Barbwire Terrace Project.

Exploration is being undertaken under a 50/50 joint venture (JV) with energy company, Buru Energy Limited (Buru), with Sipa as the operator. The JV is currently testing only one portion of its extensive tenure, which is highly prospective for zinc-lead mineralisation and sits in an analogous geological setting to zinc-lead deposits along the Lennard Shelf. The initial hole is at approximately 300m (of a nominal 500m) depth.

Upon completion of this hole, the rig will move approximately 20km along strike to the southeast to commence the next hole. Drilling is being co-funded by the Western Australian government's Exploration Incentive Scheme which will provide up to $180,000 support to the JV for drilling costs. Wolfe Basin (100% Sipa): An extensive soil sampling program has just commenced at Wolfe Basin across the entirety of tenement E80/5491.

Once analysed, the survey results will provide an excellent dataset to identify future focus areas over this portion of the Wolfe Basin project, which is prospective for gold, base metals and rare earth elements. Soil sampling further to the north on tenement E80/5491 highlighted a significant base metal anomaly that is ready to drill. The project area also lies adjacent to RareX Limited's Cummins Range project, which contains a current resource estimate of 18.8Mt grading 1.15% TREO +0.14% niobium.

Skeleton Rocks (100% Sipa): Drilling of lithium targets at Skeleton Rocks is planned to commence in second half of 2022, following the recent receipt of Program of Works approval. Key targets identified from Sipa's detailed aeromagnetic survey have been further refined by assay results from aircore drilling conducted earlier in 2022.