Anglo Australian Resources NL : Quarterly Activities & Cashflow Report

MARCH 2022 QUARTERLY REPORT

Astral Resources NL (ASX: AAR) (Astral or the Company) is pleased provide an update on its activities for the March 2022 Quarter. The Company's focus for the reporting period has been advancing exploration activities at its flagship Mandilla Gold Project near Kalgoorlie, Western Australia.

HIGHLIGHTS

Mandilla Gold Project - Kalgoorlie, WA

• • Upgraded JORC 2012 Mineral Resource Estimate (MRE) of 24Mt at 1.0g/t Au for 784koz of contained gold completed, encompassing the cornerstone Theia and Iris deposits, and an inaugural MRE at the Eos discovery.1

• • 293 air-core drill-holes completed for an aggregate of 10,260m identified significant gold anomalism to the south-east of Eos, with encouraging first-pass results including:2

  • o 28 metres at 1.38g/t Au from 46 metres in MDAC276

  • o 9 metres at 2.30g/t Au from 50 metres in MDAC272

  • o 14 metres at 0.95g/t Au from 46 metres in MDAC278; and

  • o 4 metres at 1.61g/t Au from 49 metres in MDAC274

• • Metallurgical diamond drill-hole MDRCD512 at Theia returned:

  • o 15.1 metres at 1.46g/t Au from 127.1 metres; and

  • o 45.7 metres at 0.94g/t Au from 149 metres.

Koongie Park Joint Venture - Halls Creek, WA

• • Post reporting period, agreement signed with AuKing Mining Limited (ASX: AKN) to acquire remaining 25% JV interest from Astral, together with gold and PGE rights, for total consideration of A$6 million.3

o Upfront cash consideration of A$3 million

o Equity consideration, comprising AKN shares to the value of A$1.5 million; and

o Deferred cash consideration of A$1.5 million.

Corporate

• • Cash of $4.8 million at 31 March 2022

• • Subsequent to the reporting period, the Company officially changed its name to Astral Resources, formerly Anglo Australian Resources.4

• 1 ASX Announcement 18 January 2022 - Mandilla Resource Grows Further to 784,000 ounces

• 2 ASX Announcement 22 February 2022 - AC Drilling Identifies Further Mandilla Discovery Potential

• 3 ASX Announcement 5 April 2022 - AAR to realise A$6m from Divestment of Koongie Park

• 4 ASX Announcement 8 April 2022 - Results of Meeting

MANDILLA GOLD PROJECT

The Mandilla Gold Project is situated in the northern Widgiemooltha greenstone belt, 70km south of the significant mining centre of Kalgoorlie, Western Australia (Figure 1).

Mandilla is covered by existing Mining Leases which are not subject to any third-party royalties other than the standard WA Government gold royalty.

Figure 1 - Project Location Map

Mineral Resource Estimate (MRE)

On 18 January 2022, the Company announced an updated JORC 2012 Mineral Resource Estimate (MRE) of 24Mt at 1.0g/t Au for 784koz of contained gold, encompassing the cornerstone Theia and Iris deposits, and an inaugural MRE at the Eos discovery. The MRE was prepared by independent consultant Cube Consulting in accordance with the JORC Code (2012 Edition).

This represented the third MRE published for Mandilla within eight months, demonstrating the Company's ability to continue to grow its Mineral Resource inventory as it progresses its strategy to develop a long-term gold business in the Kalgoorlie region.

The MRE was estimated using a 0.39g/t Au cut-off and is constrained within pit shells using a gold price of AUD$2,500 per ounce (consistent with the maiden MRE) (Table 1).

Table 1 - Mandilla Mineral Resource Estimate (January 2022)

Mineral Resource Estimate for the Mandilla Gold Project (Cut‐Off Grade >0.39g/t Au)
Classification	Tonnes (Mt)	Grade (g/t)	Ounces (koz)
Indicated	10	1.0	331
Inferred	14	1.0	453
Total	24	1.0	784
The preceding statement of Mineral Resources conforms to the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code) 2012 Edition. All tonnages reported are dry metric tonnes. Minor discrepancies may occur due to rounding to appropriate significant figures.

Table 2 - MRE (January 2022) Grade and tonnage by source

Deposit	Classification	Tonnes (Mt)	Grade (g/t)	Ounces (koz)
Theia	Indicated	10	1.0	320
Inferred	9.3	1.1	338
Total	19	1.1	658
Iris	Indicated	0.5	0.7	11
Inferred	4.0	0.8	104
Total	4.4	0.8	115
Eos	Indicated
Inferred	0.3	1.2	11
Total	0.3	1.2	11
Total	24	1.0	784
All tonnages reported are dry metric tonnes. Minor discrepancies may occur due to rounding to appropriate significant figures.

Table 3 - MRE (January 2022) Grade and tonnage by cut‐off grade

Cut‐off grade (g/t Au)	Tonnes (Mt)	Grade (g/t)	Ounces (koz)
0.30	28	0.9	831
0.35	26	1.0	807
0.39	24	1.0	784
0.40	24	1.0	781
0.45	21	1.1	752
0.50	19	1.2	721
All tonnages reported are dry metric tonnes. Minor discrepancies may occur due to rounding to appropriate significant figures.

The locations of the optimised pit shells based on a gold price of AUD$2,500 per ounce are set out in the plan view in Figure 2 below.

Figure 2 - Optimised pit shell on local area geology (GxM represents gram‐metres)

A summary of information material to the understanding of the MRE was provided in the ASX announcement dated 18 January 2022, in compliance with the requirements of ASX Listing Rule 5.8.1.

Theia Deposit

Theia is the main deposit at Mandilla, representing 84% of the reported MRE. The total MRE at Theia is 19Mt at 1.1g/t Au for 658koz of contained gold. Since the August MRE, the number of contained gold ounces interpreted at Theia increased by 17%, based largely on the inclusion of assays from approximately 12,000 metres of new drilling.

Figure 3 below shows the Mineral Resource for Theia within the optimised pit shell in cross-section.

Figure 3 - Theia cross‐section (Section 1)

Section 2, as illustrated in Figure 4 below, shows Iris in cross-section.

Iris Deposit

The Mineral Resource at Iris is 4Mt at 0.8g/t Au for 115koz of contained gold. Since the August MRE was reported, assays from an additional 3,000 metres of drilling were included in the January 2022 MRE.