Australasian Metals Limited advised that the Company's maiden drill program at the Capella gold project has returned high grade gold intercepts. The 1,644m reverse circulation (RC) program focused on verifying and adding confidence to the QA/QC of the historical drilling at the Ayres Rock prospect for the delineation of a maiden JORC compliant resource, as well as testing an identified trend of mineralisation to the north-west of this prospect. The basement rocks in the project area consist of Bathampton Metamorphics, a subdivision of the Anakie Metamorphics.

The units consist dominantly of quartz-mica schist and phyllite, with subordinate quartzite, amphibolites and calcsilicate rocks. Historical drilling indicated the continuation of a stockwork mineralised horizon at the tenement. 1995-2001, Australian Goldfields NL completed aeromagnetic, auger soil geochemistry, IP surveys, percussion and diamond drilling at the tenement.

Together 28 RC holes for 3,388m were drilled. In 2008, Impact Minerals Limited drilled 15 RC holes totaling up to 2,490m. Historically, over 66 RC holes for a total of 6,500m have been drilled across the tenement.

For 2022 program, 1644m were drilled in total across 12 RC holes, two of which were drilled to compensate the landowner to provide some water well holes. The 2022 RC drilling program successfully tested and verified earlier drilling where a potential resource occurs. The holes and targets are shown on the following drilling plan map and long section.

Results from CAR036 have identified thick, high-grade gold mineralisation over 10m beneath the historical results (including ARC009 with 32m at 3.8g/t Au). This hole provides valuable information for to chase the high-grade plunge in future program. The drilling results show that there is close to 1 km strike of gold mineralization to be tested and the Company is investigating the control of the high-grade zones by conducting further structural geology studies.

It seems that the interpreted sub north-south shear system controls the overall gold mineralisation, while the high grade zones may be the dilation jogs along the main structure. The Company has completed the first campaign of RC drilling and confirmed several high- grade areas within the mineralised system. A diamond drill hole program will be designed to follow and extend the high-grade shoots and extract valuable structural information.

In the meantime, the Company will review data and start to develop a resource model for the Capella project. The Company is expecting to finalize the interpretation of the Retro Extended drilling results in a couple of weeks and update the market accordingly.