Xanadu Mines : Quarterly Activities Report & Appendix 5B - 31 December 2021

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ASX ANNOUNCEMENT

28 January 2022

Quarterly Activities Report and Appendix 5B - 31 December 2021

28 January 2022

ASX Markets Announcement Office

Exchange Centre

20 Bridge Street

Sydney NSW 2000

BY ELECTRONIC LODGEMENT

Quarterly Activities Report and Appendix 5B - 31 December 2021

Please find attached for release to the market, Bastion Minerals Limited's Quarterly Activities Report and Appendix 5B for the quarter ended 31 December 2021.

-ENDS-

This announcement was approved for release by the Board of Bastion Minerals.

For more information contact:

Ross Landles

Executive Chairman

1. [e-mail]

1. [phone]

Bastion Minerals Limited ABN: 19 147 948 883		ASX:BMO
Level 6, 22 Pitt Street, Sydney NSW 2000	Page 1 of 19
	bastionminerals.com

For personal use only

ASX Announcement

28 January 2022

Quarterly Activities Report

31 December 2021

Bastion Minerals Limited (ASX: BMO) (Bastion or the Company) is pleased to provide a summary of its activities for the period ended 31 December 2021. During the December quarter, the Company progressed exploration activities at its 100% owned Capote Gold Project, located within the mineral-rich Atacama Region of Chile.

Highlights

Capote Gold Project

• Detailed geophysical activities completed within the Capote Mining District and surrounding vein systems.1
• 360-line-kmof 25m spaced ground magnetics acquired over the San Juan Gold Mine and surrounding vein systems.
• 3D magnetic inversions are mapping the sub-surface distribution of mineralised veins at depth of up to 400m highlighting sub-surface extensions.
• 50-line-kmof Induced Polarisation (IP) and 50-line-km of Audio Magnetotellurics (AMT) data acquired.

Corporate

• Change in role for David Nolan from Executive Director to Non-Executive Director.2
• Chile Country Manager, Mr Alvaro Trujillo, appointed post quarter end.3

Exploration expenditure incurred during the quarter totaled $711,000 Cash at the end of the quarter was $3,480,000.

Executive Chairman, Ross Landles, commented:

"The high-quality datasets acquired during the quarter will greatly aid drill targeting and planning as we gear up for the 5,000m diamond drill program in 2022."

1. ASX Announcement 1 December 2021 - Extensions to high-grade surface gold at Capote
2. ASX Announcement 25 October 2021 - Change to Executive Role on the Board
3. ASX Announcement 17 January 2022 - Chile Country Manager Appointed

Bastion Minerals Limited
ABN: 19 147 948 883		ASX:BMO
Level 6, 22 Pitt Street Sydney NSW 2000	Page 2 of 19
bastionminerals.com

ASX ANNOUNCEMENT

Capote Gold Project, Chile

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The Capote Gold Project consists of approximately 88.5km2 of granted mining and exploration tenements surrounding the historic San Juan Gold Mine, 20km northeast of Vallenar. Known mineralisation at Capote consists of high-grade gold occurring within quartz- carbonate-sulphide (iron oxide at surface) veins associated with north to northwest trending structures cutting the host granite and metamorphic rocks.

During the quarter, the Company completed detailed geophysical activities within the Capote Mining District and surrounding vein systems, which included a Ground Magnetics Survey and an Induced Polarisation (IP), and Audio-Magnetotellurics Survey (AMT) has been designed.

Figure 1 - Capote Mining District

Bastion Minerals Limited		ASX:BMO
ABN: 19 147 948 883	Page 3 of 19
Level 6, 22 Pitt Street Sydney NSW 2000	bastionminerals.com

ASX ANNOUNCEMENT

Ground Magnetics Survey

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A ground magnetics survey consisting of 360-line-km of 25m spaced ground magnetics has been completed over the San Juan, Resurgimiento and Yayito Vein Systems (Figure 2). The objective of the work was to provide highly detailed 3D magnetic models that can image the sub-surface extensions of mineralised veins from surface mapping.

Final data from this survey has been inverted into 3D, building solid geophysical models, from which interpretations of vein orientations, structures and geology can be made (Figure 3).

Induced Polarisation (IP) / Audio-Magnetotellurics Survey (AMT)

A program of IP and AMT has been designed to cover Yayito, San Juan, Resurgimento and other recognised vein systems (Figure 2). The objective of this work is to image the subsurface expression of mineralisation. Fifty-line-kilometres of gradient array IP is planned to identify areas of sulphide associated with mineralised veins and fifty line-kilometres of AMT is designed to identify key shallow structures.

Together the 3D magnetics, IP, AMT, surface geological mapping and geochemistry will provide a highly detailed dataset for accurate drill targeting.

Next Steps

The Company will undertake an approximately 5,000-metre diamond drilling program, with a focus on testing the shallow surface expression of multiple vein systems where high-grade gold has been returned from recent rock-chip campaigns. Drillhole locations have been designed and regulatory and environmental approvals are underway.

Bastion Minerals Limited		ASX:BMO
ABN: 19 147 948 883	Page 4 of 19
Level 6, 22 Pitt Street Sydney NSW 2000	bastionminerals.com

ASX ANNOUNCEMENT

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Figure 2 - Capote Mining District showing geology, Bastion tenements (blue outline) and newly acquired tenement area

(yellow tenement boundary) showing location of the current geophysical survey.

Bastion Minerals Limited		ASX:BMO
ABN: 19 147 948 883	Page 5 of 19
Level 6, 22 Pitt Street Sydney NSW 2000	bastionminerals.com