Viking Mines Ltd. provide an update on a review of historical metallurgical testwork completed on the Canegrass Battery Minerals Project (‘Canegrass' or ‘the Project'). Viking has identified three rounds of metallurgical testwork that has been conducted on samples collected from Canegrass. The objectives of the respective programmes have varied over time and not been focussed on producing a concentrate optimised for V2O5 recovery.

This presents a unique opportunity for the Project as the true value of the vanadium has not been effectively assessed. Even with the lack of focus however, the results of the testwork completed demonstrate that high V2O5 can be achieved into a magnetic concentrate. Discussion: Maximus Resources Ltd. (‘Maximus') commissioned ProMet Engineers to review results from Davis Tube Recovery (‘DTR') tests completed on 15 samples collected from five RC drillholes across the Project tenements.

Of the 15 samples tested, eight are from the Alpha domain of the Fold Nose JORC (2012) Inferred Mineral Resource (59Mt at 0.66% V2O52), with the remaining seven samples collected from drillholes located in different parts of the stratigraphy outside of the calculated Mineral Resource. The objective of the testwork was to determine if a magnetite concentrate could be produced for the purpose of direct shipping. As such, the strategy adopted by Maximus appears to have been focussed on producing iron ore, and not vanadium, as the direct shipping of a magnetite concentrate to a blast furnace would likely not receive credits for the vanadium content.

Notwithstanding the focus of the testwork and sample selection being on the Iron content, the testwork has proved useful in the context of assessing vanadium recovery. The results presented above are focussed on those from the Alpha Domain of the Fold Nose Mineral Resource. The eight samples that fall in the Alpha domain have demonstrated moderate to high vanadium recoveries, especially given that the samples selected are from the oxidised upper portion of the deposit.

This oxide zone would be expected to see lower recoveries than samples collected from fresh rock found below the oxidation profile. This improvement in recovery is evident with the results from four samples in hole MNRC0017 reaching 76.3% vs. a maximum of 63.0% in hole MNRC0016.

Most encouraging of all is the grade of the concentrate reaching as high as 1.54% V2O5. This demonstrates that whilst the total recovery is lower in the oxide zone, a suitable concentrate grade can be achieved. Discussion: Flinders Mines Ltd. (‘Flinders') commissioned WorleyParsons to conduct a range of staged testwork on samples collected from nine RC drillholes from across the project tenure.

Important to note is that only one of these drillholes sampled the Alpha Domain of the Fold Nose Mineral Resource as part of the Canegrass Project and is the focus of this discussion. The remainder of the samples are not representative of the mineralisation found at the Fold Nose Mineral Resource and provide regional context but not direct information on the metallurgy of the Project. As with the ProMet testwork, the objective was to produce a magnetite concentrate as a direct shipping product and as such was not optimised for vanadium and unlikely to see any value if shipped to a blast furnace as iron ore.

This is especially apparent in the low vanadium head-grades of the samples used from the Fold Nose Mineral Resource. It is unclear why samples below the mineral resource cut-off grade were selected and can only be assumed that the focus was not on vanadium extraction due to the envisaged product being shipped to a blast furnace. The priority appears to be to determine the recovery of iron (as magnetite) and that the substantial value of the vanadium does not seem to have been considered in the selection of the samples.

However, even with the sub-optimal sample selection, positive results were received with vanadium recovery up to 86.3%. This has helped to provide insights into the metallurgical characteristics of the VTM mineralisation at the Canegrass Project. The report details Stage 1 involved DTR tests on 25 composite samples, from which two subsequent composites were produced from the one drillhole within the Alpha Domain of the Fold Nose Mineral Resource.

The results in the report have been reported by domain and not by individual samples so there remains some uncertainty around individual sample performance. The Stage 2 testwork involved the combination of the samples used for DTR testwork to produce larger samples for LIMS testwork. NAGROM Testwork (2020): Three samples from two drillholes are selected from north of the Canegrass Project Kinks Inferred Mineral Resource within the fresh rock profile; Wet High Gradient Magnetic Separation (WHGMS) testwork at various grind sizes was completed with follow up mineralogy of the concentrates using INCA Mineralogy tests.

A grind size of P100 -1mm was initially used with a low magnetic field strength of 100 Gauss to produce a rougher concentrate; Average of WHGMS results: V2O5 recovery 89.0%; Head (feed) grade of 0.61% V2O5; Concentrate grade of 1.03% V2O5. High recoveries were obtained at a very coarse grind size and low magnetic field strength; Progressive regrinds saw concentrate grade increase whilst recovery decreases; Chalcopyrite (copper sulphide mineral) was identified in the non-magnetic tail confirming presence of this battery mineral. Discussion Flinders commissioned NAGROM laboratories to undertake a series of Wet High Gradient Magnetic Separation (WHGMS) testwork and mineralogical studies on the concentrates to better understand the metallurgical properties of the mineralisation.

As with the previous testwork, there appears to be limited thought applied to the appropriate selection of samples. Two drillholes (that are located 180m and 1,400m North of the Kinks Mineral Resource respectively) were used to provide chips for analysis, with no samples from within the current Inferred Mineral Resource areas. That said, the samples do appear to be located from extensions of the known mineralisation and can be considered useful in providing insight into potential vanadium recovery from the Project.

The testwork completed a series of WHGMS tests at various grind sizes with a low magnetic field strength to determine the various recoveries at different grind sizes (Appendix 1). Importantly, and noted in the reports, the presence of chalcopyrite (copper sulphide mineral) was identified in the non-magnetic tail. This reaffirms the potential for copper credits at the Project and that further metallurgical testwork to produce a sulphide concentrate is required in future testwork programmes.