High-Grade Rock Chip Samples Confirm Cu-Au-Ag-Mo Potential

ASX Announcement

9 November 2021

For personal use only

HIGH-GRADE ROCK CHIP SAMPLES CONFIRM CU-AU-AG-MO POTENTIAL AT GAGARIN

Sunshine Gold Limited (ASX:SHN, "Sunshine Gold", "the Company") is pleased to present results from mapping, rock chip sampling and soil sampling at the Gagarin Cu- Au-Ag-Mo prospect ("Gagarin"), Ravenswood West.

HIGHLIGHTS

• High-gradecopper, gold, silver and molybdenum mineralisation confirmed in WNW striking veins and faults. Results include:
  o 10.96% Cu, 0.48 g/t Au, 4.61 g/t Ag, 1,048 ppm Mo(GG001) o 12.99% Cu, 0.07 g/t Au, 6.29 g/t Ag, 182 ppm Mo(GG010) o 8.58% Cu, 0.36 g/t Au, 5.10 g/t Ag, 339 ppm Mo(GG011) o 8.86% Cu, 0.24 g/t Au, 5.81 g/t Ag, 513 ppm Mo(GG004) o 7.93% Cu, 0.44 g/t Au, 5.24 g/t Ag, 410 ppm Mo(GG014) o 6.93% Cu, 0.67 g/t Au, 17.86 g/t Ag, 1,260 ppm Mo(GG006) o 3.69% Cu, 0.98 g/t Au, 4.76 g/t Ag, 309 ppm Mo(GG002) o 0.34% Cu, 2.11 g/t Au, 12.69 g/t Ag, 2,012 ppm Mo(GG003)
• Rock chipped veins correspond with radiometric anomalism (potassium).
• Historic drilling in the area did not test the sampled areas yet returned encouraging intercepts including:

• GG8 11m @ 0.72% Cu, 0.09 g/t Au, 4,380 ppm Mofrom 28m
• GG6 4m @ 0.44% Cu, 0.16 g/t Au, 3,330 ppm Mofrom 44m
• GG3 3m @ 1.88% Cu, 0.25 g/t Au 736 ppm Mofrom 27m

Sunshine Gold's Managing Director, Damien Keys commented: "Early field work campaigns of mapping and sampling are a necessity to generate new targets and field confirm data generated targets. We are really encouraged to see high-gradeCu-Au-Ag-Mo rock chips being returned from Gagarin.

Gagarin is one of six Cu-Au-Ag-Mo prospects that occupy a 15km zone along the Podosky Fault. We have completed first drilling at Titov and Keans and are currently awaiting assay results on 21 holes. We look forward to first pass drill testing at Gagarin in 2022."

Figure 1. Quartz veining, weathering sulphide and malachite stain on fractures in rock chip sample from Gagarin (Sample GG013: 4.31% Cu, 0.45 g/t Au, 3.01 g/t Ag, 414 ppm Mo)

SUNSHINE GOLD LIMITED (ASX:SHN)

Directors:	Postal Address:	Contact:	Capital:
Mr Alec Pismiris	PO Box 572	T [phone]	Ordinary shares: 467,822,730
Dr Damien Keys	Floreat WA 6014	E [e-mail]	Unquoted shares: 88,000,000 (24m Esc)
Mr Anthony Torresan	Queensland Office:	Wwww.shngold.com.au	Deferred shares: 100,000,000 (24m Esc)
Mr Paul Chapman	3/50 Tully Street	ABN 12 063 388 821	Unlisted options:71,000,000 (24m Esc)
Mr Les Davis	South Townsville QLD 4810		Unlisted plan options: 2,000,000
			Perf Rights: 17,000,000 (24m Esc)

ASX Announcement

9 November 2021

For personal use only

Figure 2. Prospect map of Ravenswood West

GAGARIN PROSPECT (SHN 100%)

Gagarin was first iden fied in the 1960's as a copper-molybdenum prospect. The prospect was pa ern drilled in 1999 with 14 (601m) ver cal RC holes drilled to an average depth of 42m. Assay data is not available for 2 holes (GG10 and GG11). Best results from the remaining 12 holes include:

• GG8 11m @ 0.72% Cu, 0.09 g/t Au, 4,380 ppm Mofrom 28m
• GG6 4m @ 0.44% Cu, 0.16 g/t Au, 3,330 ppm Mofrom 44m
• GG3 3m @ 1.88% Cu, 0.25 g/t Au 736 ppm Mofrom 27m

Further review of the project area highlighted two zones of discrete radiometric anomalism (elevated potassium and thorium) either side of the historic drilling (Figure 3). The anomalies coincide with interpreted faul ng (magne cs) and historic rock chip anomalism (1999), including:

• 6.72% Cu, 1.45 g/t Au, 8.00 g/t Ag, 1,620 ppm Mo(PK40)
• 11.16% Cu, 1.00 g/t Au, 12.00 g/t Ag, 396 ppm Mo(PK42)
• 10.54% Cu, 0.25 g/t Au, 5.00 g/t Ag, 1,180 ppm Mo(PK43)

At the Gagarin South anomaly, Sunshine Gold has mapped a 1-3m wide, quartz vein containing decaying sulphide (undifferen ated) and malachite staining. The vein outcropped in two zones over 400m of strike (Figure 3).

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ASX Announcement

9 November 2021

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Figure 3. Potassium radiometric image showing two anomalous zones, 1999 drill collars and significant rock chip

results. The recently identified quartz vein sits within Gagarin South.

NEXT STEPS

Reconnaissance drilling will be conducted at the Gagarin North and South prospects in 2022. In the meantime, further mapping and sampling of the greater Gagarin area will be conducted.

PLANNED ACTIVITIES

• 11 November 2021: Presenta on at the Noosa Mining Conference.

 18 November 2021:

Annual General Mee ng.

• November 2021: Diamond drilling at Titov Cu-Au-Ag- Mo.
• November 2021: RC JORC Resource drilling at Triumph Gold Project.
• November 2021: Results from RC drilling at Titov and Keans Cu-Au-Ag- Mo.
• January 2022:31 December 2021 Quarterly Report.
• January -February 2021: Results from RC JORC Resource drilling at Triumph Gold Project.
• 10-11February 2022: Presentation at the Australian Gold Conference, Sydney.
• 15-17February 2022: Presentation at the RIU Explorers Conference, Fremantle.
• 15 March 2022: Financial Statements for half year ended 31 December 2021.
• March 2022:Triumph maiden JORC Resource estimate

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ASX Announcement

9 November 2021

ABOUT SUNSHINE GOLD

Sunshine Gold is focused on its high-quality gold and copper projects in Queensland comprising a 100% interest in the Triumph, Hodgkinson, Investigator and Ravenswood West projects.

Ravenswood West Gold-Copper-Rare Earths Project (EPM 26041, EPM 26152, EPM 26303, EPM 26304: 100%) Ravenswood West is comprised of a significant holding (392 km2) of highly prospec ve gold-copper ground within 5 kms of the Ravenswood Mining Centre (4 Moz Au produced, a further 4.3 Moz Au in Resource and 1.8 Moz in Ore Reserves). The Ravenswood Mining Centre was purchased by EMR Capital and Golden Energy & Resources Ltd. (SGX:AUE) in 2020 for up to $300m and is presently subject to a ~$200m upgrade. In addi on, there are three other gold mills within 100 km, two of which are toll trea ng.

The Project is highly prospec ve for intrusion-related and orogenic gold, porphyry gold-copper-molybdenum and rare earth elements. Ravenswood West covers 20-25 km of strike along a major fault that links Pajingo (4 Moz) and Ravenswood (9.8 Moz) and contains numerous historic gold workings.

Triumph Gold Project (EPM18486, EPM19343: 100%)

Triumph is centred around the historical Norton gold field from which ~20,000 oz of gold was extracted between 1879-1941. The project is located 50km south of the mining hub of Gladstone and comprises tenements covering 138km2. Triumph is located within the Wandilla Province of the New England Orogen. Nearby large gold deposits include Mt Rawdon (2.8 Moz Au), Mt Morgan (8 Moz Au and 0.4 Mt Cu) and Cracow (2 Moz Au). Triumph is a 15km² intrusion related gold system which has the poten al to host both discrete high-grade vein deposits and large-scale, shear hosted gold deposits.

Hodgkinson Gold Copper Project (EPM18171, EPM19809, EPM25139, EPM27539, EPM27574, EPM27575: 100%) Hodgkinson is located 100km north east of Cairns in North Queensland. The project comprises tenements covering 365km2. The project is situated between the Palmer River alluvial gold field (1.35 Moz Au) and the historic Hodgkinson gold field (0.3 Moz Au) and incorporates the Elephant Creek Gold, Peninsula Gold-Copper and Campbell Creek Gold prospects. Hodgkinson has been extensively explored for tungsten, owing to its proximity to the Watershed and Mt Carbine tungsten deposits, but underexplored for gold. BHP-Utah Interna onal completed stream sediment sampling across the project in the late 1980's and confirmed that the area was anomalous in gold as well as tungsten.

Inves gator Copper Project (EPM27344, EPM27345: 100%)

Inves gator comprises tenements covering 115km2. It is located 110km north of Mt Isa and 12km south of the Mt Gordon Copper Mine. Inves gator has seen no modern explora on and importantly, no holes have been drilled in the most prospec ve stra graphic and structural posi ons.

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ASX Announcement

9 November 2021

For personal use only

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