West Wits Mining : Quarterly Activities Report

ASX Announcement and Media Release

29 October 2020

ASX Announcement

Thursday, 29 October 2020

Quarterly Activity Report - September 2020

Reporting Period 1st July - 30th September 2020

HIGHLIGHTS

• Geological modelling of the K9 reef package was substantially completed during the period and resulted in an updated JORC compliant Mineral Resource Estimate ("MRE") in October 20201
• The updated global MRE now stands at 4.37Moz at 3.88g/t Au (2g/t cut-off), growing the previously stated MRE by 702,000oz and increasing the global grade by 0.48g/t Au1
• Independent Scoping Study at Witwatersrand Basin Gold Project ("WBP") delivers positive results, confirming WWI's development strategy which aims to produce 50,000 to 60,000oz per annum at steady state production2
• Scoping Study assumptions in sufficient detail to move directly into Bankable Feasibility Study which commenced in September 2020
• SkyTEM's Heliborne Electromagnetic ("HEM") Survey identifies five primary areas of potential bedrock anomalism at West Wits' 100%-owned Mt Cecelia Project, Paterson Province WA
• SkyTEM flew 1,205 line-kms across the entire 225km2 tenement area at 200m spacing and 36 kms of infill survey lines to provide localised 100m spacing at the five areas of potential anomalism3

West Wits Mining (ASX: WWI, 'West Wits' or 'the Company') is pleased to present its latest quarterly report for

the period ending 30 September 2020.

SOUTH AFRICA

Witwatersrand Basin Project, Central Rand (WWI: 66.6%)

Exploration

WWI's exploration activity at the WBP during the reporting period was focused on converting the K9A Exploration Target into a JORC compliant resource. The work was carried out by West Wits' South African based geological consultant, Shango Solutions, under supervision of the Company's recently appointed Head of Geology & Exploration, Martin Bevelander. The K9 project spanned 6-months and culminated in the release of an updated MRE shortly after the reporting period to a global MRE of 4.37Moz at 3.88g/t Au (2g/t cut-off)1.

TABLE 1: UPDATED GLOBAL MRE FOR THE WITWATERSRAND BASIN PROJECT AT 2.0G/T CUT-OFF1

WBP - Updated Global Mineral Resource Estimate

Category	Tonnes (M)		Grade (g/t Au)			Ounces (M)
Measured	6.73	4.21		912,000
Indicated	14.3	3.90		1,794,000
Measured & Indicated	21.1		4.00			2,706,000
Inferred	14.0	3.70		1,669,000
Total	35.10		3.88			4,375,000

Notes: The Global MRE set at a 2.0 g/t Au cut-off. Reported in accordance the JORC Code of 2012. Number differences may occur due to rounding errors.

ASX Announcement and Media Release

29 October 2020

The outstanding work carried out by the geology team resulted an additional 702,000oz and a substantial 0.48g/t increase of the global MRE grade to 3.88g/t which has largely been driven by the proportional growth of the K9A reef which features at an average grade of 5.3g/t (Table 2)1.

TABLE 2: MRE FOR THE K9A REEF AT 2.0G/T CUT-OFF

Updated K9A Mineral Resource Estimate

Category	Tonnes (M)	Grade (g/t Au)	Ounces (M)
Measured	2.1	4.92	338,000
Indicated	2.4	5.08	395,000
Measured & Indicated	4.6	5.01	733,000
Inferred	4.3	5.51	764,000
Total	8.9	5.30	1,497,000

Notes: The MRE set at a 2.0 g/t Au cut-off. Reported in accordance the JORC Code of 2012. Number differences may occur due to rounding errors.

The updated MRE covers the K9A and K9B gold bearing reefs in the eastern portion of the Kimberly Reef Project and is the result of an extensive exercise of historical data recapture and validation followed by a new Mineral Resource Estimation utilising advanced geostatistical estimation methods, which includes simple and ordinary kriging. The estimate was carried after a detailed data capturing and validation process that included historic underground mining data as well as surface diamond drilling completed by West Wits in 2009. To ensure a complete result, both previously mined and unmined areas of the K9A and K9B reef were estimated and then the mined areas were subtracted from the modelling result.

The activities performed during the Resource Reconciliation can be summarised as follows:

1. Rubber sheeting Vertical Projection (VP) data into the correct spatial position
2. Spatial transformation of VP data
3. Spatial interrogation of duplicated VP assay data
4. Amalgamation of verified VP captured assay data with the point and stretch datasets (final combined datasets)
5. Migration of data into Datamine software to evaluate the remaining resource above 40 Level
6. Modelling of structures and reef planes was completed in the LeapfrogTM modelling software before completing the geostatistical estimation on the DatamineTMplatform.

Scoping Study

The Company announced that the positive results received from the Independent Scoping Study by mining consultants Bara Consulting ("Bara") which confirmed the Company's development strategy which targets WBP to produce 50,000 to 60,000oz per annum at steady state production2.

Bara's Independent Scoping Study utilised a base gold price assumption of USD 1,500 and ZAR/USD exchange rate of ZAR16.5. Sensitivity analysis of gold price in the study indicates the potential for significant upside when compared to the prevailing gold price at the time of reporting.

The Independent Scoping Study identifies five distinct reef packages to develop mining operations (Image 1). The combination of these five mining operations was in the previous phase of the mine's life some 20 years ago producing around 80koz-100koz Au per annum. However, due to expected constraints in re-opening old shafts the Independent Scoping Study has concluded that the refurbished operations will achieve something moderately less than past production rate.

ASX Announcement and Media Release

29 October 2020

Bird Reef Central

Main Reef and MRL

Qala Shallow (<500m)

Bird Reef East

Qala Deeps (500m - 1,500m)

Not to scale

Image 1: Schematic of WBP Scoping Study conceptual mine layout shows the connection between the Qala Shallow to both

the Bird Reef East package and Qala Deeps.

The Qala Shallows and Qala Deeps areas still have extensive life left and will form the backbone of the Project. The other areas of operation will supplement additional tonnes through the Qala operations mine life (Image 2).

The Qala Shallows was operational when the historical mine closed in the early 2000's. The scoping study proposes development via the refurbishment of the existing adit which is anticipated to include trackless haulage and would require significantly lower CAPEX compared to reconstructing the incline shaft with winder.

A key factor in the Independent Scoping Study's prioritisation of the Qala Shallows for initial development is the Kimberley Reef's ore profile which modelling shows is best suited to provide the steadiest state of production over WBP's mine life. In turn, production from Qala Shallows would support the development of other distinct target areas during development phases. In addition, mine design undertaken as part of the Independent Scoping Study shows that the Qala Adit provides a feasible access point for early mining development and future mechanised mining operations, as well as access to the Qala Deep and Bird Reef East ore bodies (Image 1).

Image 2: 3D Schematic of Scoping Study conceptual mine layout

ASX Announcement and Media Release

29 October 2020

The scoping study's production target is based on a combination of measured resource, indicated resource, inferred resource and exploration target. Due to the inclusion of the inferred resource and exploration target areas in early stage mining , the Company decided to defer the decision to release the Scoping Study's production target or financial modelling until the currently underway exploration projects have been completed.

Mining Method & Processing

The scoping study utilises a narrow reef breast-mining method in the upper sections of the conceptual mine plan which was the same mining method being used when the historical mine ceased in the early 2000's and is still being used extensively in South African gold mining today. Therefore, the scoping study is based on a tried and tested mining method in the Witwatersrand Basin with a readily available, highly skilled workforce and supply network. The BFS will also investigate additional mechanised mining techniques which are expected to provide significant efficiency improvements where the reef dip is greater than 50o.

There is sufficient capacity and quality of processing in the region to enter a toll treating arrangement with one of the local process plant operators as opposed to allocating CAPEX for the construction and operation of a process facility. The Independent Scoping Study did not foresee any issues with processing of the ore as it has been successfully processed during the mine's historical operation and the neighbouring mines are currently mining the same reef packages which achieve metallurgical recoveries greater than 90%.

Mining Right Application

The Department of Mineral Resources' ("DMR") Environmental Authorisation ("EA") approval, granted on 24/06/2020, was subjected to public review for 20 calendar days whereby interested and affected parties (IAP's) can lodge an appeal against the EA decision. Once an appeal is lodged with the Department of Environmental Affairs ("DEA"), the EA will not be further acted on until the appeal has been ruled on. A directive issued by the Minister for Environment on 05/06/2020 provided for an additional 30-day period for appeals to be submitted due to the impacts of COVID. Three parties submitted appeals in the extended period which were expected and had been foreshadowed.

West Wits' legal counsel submitted the Company's response to the DEA in August. The Company remains confident in the soundness of its EA process and is confident of a successful outcome which is expected by early November 2020.

AUSTRALIA

Paterson Province

During the quarter, the Company completed a helicopter-borne aeromagnetic survey at its Mt Cecelia Project in the Paterson Province of Western Australia3.

The HEM survey follows West Wits' local exploration team's initial reconnaissance trip in July which determined access and supply stations for future exploration as well as provide observations of geological outcropping and other features. The field trip identified large areas of the tenement to be under sand cover, a common feature of the Paterson Province, which was a key motivator in commissioning the HEM survey.

SkyTEM completed the helicopter-borne aeromagnetic survey covering the 225km2 tenement area, flying 1,205km survey lines flown at 200m spacing and 30-50m above ground level. West Wits engaged Southern Geoscience Consultants (SGC) to provide geophysical expertise, having worked closely with SkyTEM previously and being associated with successful discoveries in the Paterson Province over the past 20 years.