Thomson Resources (ASX: TMZ) (Thomson or the Company) advises that it has continued to progress its detailed due diligence activities on the Webbs and Conrad silver projects.

Thomson entered into a binding Terms Sheet with Silver Mines Limited (ASX: SVL) (SVL) to acquire a 100% interest in the Webbs and Conrad silver projects on 11 November 20201 Both projects are located in the New England Fold Belt in the vicinity of Inverell, NSW. Pursuant to the Terms Sheet, Thomson and SVL have a period of time to undertake due diligence activities. Thomson engaged Global Ore Discovery to assist with the technical due diligence on the projects2. That due diligence is well underway, but given time pressures on both parties and the impact of COVID-19 restrictions, the parties have agreed to extend the due diligence period by a further 30 days.

Thomson's initial focus has been on the Conrad silver project and that due diligence is well advanced and the Company anticipates releasing some initial observations on the Conrad silver project over the next 2 weeks.

Cautionary Statement

The Exploration Results referred to in the above two paragraphs are not reported in accordance with the JORC Code 2012; A Competent Person has not done sufficient work to disclose the Exploration Results in accordance with the JORC Code 2012; It is possible that following further evaluation and/or exploration work that the confidence in the prior reported Exploration Results may be reduced when reported under the JORC Code 2012; Nothing has come to the attention of Thomson that causes it to question the accuracy or reliability of Pacific Nickel's Exploration Results; but Thomson has not independently validated Malachite's Exploration Results and therefore is not to be regarded as reporting, adopting or endorsing those results.

Pacific Nickel's work on assessing what was in the main part of the Conrad deposit produced an image of the lode resource which showed that it was open in a number of places at depth.

The preliminary due diligence work so far undertaken on Conrad has not yet demonstrated that this is not the case. Thomson will release its findings on this in the next couple of weeks. Pacific Nickel were very optimistic about the project and its then Managing Director, Gary Lowder, stated, at a time when the silver price was A$30.70/oz11: 'The existing high grade resource at Conrad may well represent a viable project in its own right. Boosting the available tonnes with additional high grade resources from the Princess Shoot can only improve the outlook.'

Silver Strategy

Thomson to consider opportunities to expand its Silver resources both organically and via acquisition, with a view to becoming a strong alternative for investors seeking an Australian focused, high-grade, growth orientated, silver exposure on the ASX.

Contact:

Tel: 82 138 358 728

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