VRX Silica Limited announced a 100 hole air core drill program has commenced at its Boyatup Silica Sand Project, located approximately 100km east of Esperance, Western Australia. Results of early work undertaken by VRX and the previous tenement holder indicated in-situ sand grades up to 99.7% SiO2 with potential to produce a very low Fe2O3 product. Drilling is expected to take up to 10 days with assay results to follow in late April 2022.

This drilling campaign is anticipated to enable a maiden mineral resource to be estimated. Drilling will also produce bulk material for metallurgical testwork to determine the product quality that the project can produce. "Early work here indicates the in-situ sand is finer than their other projects and can produce a different product for a different market.

This in turn would expand the market for their silica sand products. The drilling is being undertaken pursuant to a program of work, or POW, approved by the Department of Mining, Industry and Regulation and Safety of Western Australia. In addition, a heritage survey undertaken by the Esperance Tjaltjraak Native Title Aboriginal Corporation has cleared the area for the proposed activity.

Environmental studies over the area have commenced. Location and environs: The project is located 100km east of the port town of Esperance, Western Australia and is connected to the Esperance bulk port via the sealed road Fisheries Road which by-passes the city of Esperance. The Esperance bulk port is capable of handling Cape sized vessels of up to 200,000t.

The vegetation at Boyatup lends itself to the Company's unique environmental rehabilitation technique, known as vegetation direct transfer or VDT, that will be used at Arrowsmith and Muchea. VRX has commissioned an environmental desktop study to commence the compilation of required documents. A photograph of the general vegetation type at Boyatup is set out in.

Historic work: Boyatup was acquired by VRX in February 20192 with two different sand types having been sampled. The particle size distribution of the silica sand samples, that both types of sand are very fine grained and +90% passing 300um. Typical glass sand specification requires a top size of <600um indicating glass grade products of this size will be desirable to end users.

During the mid-1990's RGC Limited explored the Boyatup area for mineral sands. RGC targeted this area as it lay on an interpreted paleo coastline. The Pallinup Siltstone overlays the Werillup Formation sits unconformably on the Proterozoic granite basement.

The Pallinup Siltstone is a said to have 3 facies units; Spongolite, Sand/Silt and Siltstone. The RGC Section shown in Figure 5 shows the surface quaternary deposits of "Sand" and "Clayey Sand" sitting above weathered and then unweathered Pallinup Siltstone. The Pallinup siltstone therefore is the source of the targeted silica sand and the RGC logging is interpreted as equivalent to the sampled white and yellow sands respectively.

Drilling Target: The location of the 2,000ha Drilling Target to be explored. This area makes up less than 20% of the Company's tenure, 100% of which is interpreted to have potential for high grade silica sand. Exploration Target: The Company has developed an Exploration Target for the area to be drilled at Boyatup that is estimated to contain 30Mt to 60Mt of high grade silica sand at 98% to 99% SiO2 grade.

The estimation is based on the following assumptions: Exploration Target area 2,000ha ­ the area being drill tested; 1.6t/m3 in situ bulk density ­ the dry in situ bulk density is consistent with other VRX silica sand deposits and is considered appropriate here; 25% to 40% of the area contains high grade silica sand ­ the % of drill area that is silica sand is indicated by prior exploration in the area; Depth of high grade sand 4 to 5m ­ the range of sand depth is indicated by prior exploration in the area; In-situ grade ranges from 98% to 99% SiO2 ­ the grade range reflects prior VRX sampling. The Exploration Target estimation is therefore estimated using the following calculation: 2,000ha x 1.6t/m3 x 25% (low) 40% (high) x 4m (low) 5m (high) = 30Mt to 60Mt.