Arrow Minerals Limited announced the completion of Stage 1 of the reprocessing of the historical geophysical data by Mira Geoscience (Mira). Five high priority areas have been identified, each between 5km and 7km in strike length, that demonstrate modelled responses consistent with areas that have high potential for significant haematite development within the iron bearing lithologies. In Stage 1, Mira has utilised two distinct modelling techniques, magnetic vector inversion (MVI) and geologically based VPmg magnetic modelling and inversion to identify shallow target zones (<200m) within the broader lithological units that have high potential for significant haematite development and enrichment.

The results from both techniques compare favourably with each other and the surface geological mapping conducted by Arrow. Arrow is moving to implement its maiden drilling program at the Simandou North Iron Project (AMD 33%) this quarter. The drilling program will contribute towards Arrow earning rights to a 60.5% controlling interest in the project.

Details of the drill program and commencement of drilling will be announced in due course. The five high priority areas within the Simandou North Iron Project area identified through the reprocessing and modelling by Mira Geoscience of historical raw data flown by Fugro Geophysics in 2007 demonstrate significant zones of lower amplitude magnetic response within broad high amplitude magnetic bodies. Each target area extends for 5km to 7km in strike length.

The zones within the target areas containing lower magnetic susceptibility are interpreted as having high potential for significant haematite development and enrichment. Spatially the potential haematite enriched zones correlate well between the two geophysical modelling techniques applied and the three high potential lithologic units, Siliceous heamatite, Goethite-haematite and Canga, mapped in the upper zones of the Simandou North Iron Project permit area. Modelled depth slices indicate these zones occur from surface to at least 100m depth and provide high quality drill targets for Arrow.

Arrow is now utilising the new geophysical information in combination with recent field geological mapping data, to develop a phase one drill program to test the high priority targets for high grade iron rich zones within the Simandou North Iron Project. SIMANDOU NORTH The Simandou North Iron Project lies at the northern end of the Simandou Range and forms an extension of the stratigraphy that hosts one of the largest undeveloped high-grade iron deposits in the world, including WCS's Block 1 & 2 with a reported measured, indicated and inferred mineral resource of 1.8 billion tonnes at 65.4% Fe and Rio Tinto Simfer's (Simfer) Simandou Project Block 3 & 4 with a total measured, indicated and inferred mineral resource estimate of 2 billion tonnes grading 65.5% iron. The government of Guinea, Simfer and WCS created La Compagnie du TransGuineen on 27 July 2022, a JV Company to co-develop the megaproject requiring the construction of the 670km "TransGuinean" railway, extending from the Simandou Ranges to Forécariah on the coast where the deep-water port and ship loading infrastructure will be built at Morebaya.

This USD 15 billion major capital investment is set to deliver shared purpose infrastructure to the area, expected to be completed by December 2024, enabling commercial production from mines in the area by 2025. On January 5, 2023 a term sheet for the financing, development, construction and operation of the rail and port infrastructure was signed by the partners, including the Guinean government, Rio Tinto, Chinalco, Winning Consortium Simandou and Baowu Group, for the multi-purpose and multi-user infrastructure project. ARROW MINERALS STRATEGY: Arrow Minerals has a strategy of delivering long-term value to shareholders through the discovery and development of economic mineral deposits in West Africa.

Arrow has beneficial rights of 33.3% in the Simandou North Iron Project, Guinea and a clear road map to extend these rights to 60.5% within 24 months. Arrow aims to systematically advance the Simandou North Iron Project over the coming months to identify areas of high-grade iron within the project area an realise the potential value released through the major infrastructural upgrades, rail and port, underway in the region. Mira Geoscience Geophysical Modelling: Mira Geoscience completed magnetic modelling and inversion applied to the historical aeromagnetic data set for Simandou North Iron Project.

In the course of this work, preliminary products were generated to assist interpretation of near surface magnetisation variations within the iron formations. The description herein explains the generation of these products. It is important to state that the work summarised herein is part of a larger project designed to investigate strategies for managing the magnetic challenges at Simandou North Iron Project.

The described results representing an initial phase of modelling. Input data: The input data for magnetic modelling was from a 2007 Aeromagnetic survey flown by Fugro Airborne Surveys. Flight line spacing for the survey was 200m, but was infilled to 100m line spacing over the iron formations within the tenements of interest.

Flight line orientation was SW/NE. The digital elevation model from the survey data was used to define the top of the model. Altimeter data from the survey was used to define the elevations of the measured data for magnetic modelling.

Discussion: The two modelling techniques, MVI and the geologically based VPmg inversion, yielded results that exhibit reasonable consistency in terms of magnetic susceptibility highs and lows. This provides confidence in the modelling outcomes and for interpretation of magnetic lows, and cross-validated against the computed analytic signal response of the data. During this preliminary stage of geologically-based modelling there is ambiguity between the dip of iron formation domains and the magnetic remanence assigned to domains, however given that initial attention has only been on the very shallow part of the model, it has not been essential for identification of near surface magnetic highs and lows to arduously separate out the contribution to the magnetic response of dip and magnetic remanence.

Ongoing modelling is seeking to better establish geometries of the iron formations at depth and magnetic remanence of domains.