GWR : Maiden Iron Ore Shipment Completed

10 February 2021

ASX Announcement

Maiden Iron Ore Shipment Completed

HIGHLIGHTS

• • Successful loading of ore and departure of the Cargo Ship "PANAFRICAN" with 52,425 tonnes of premium high-grade lump now headed for delivery to offtake partner Pacific Minerals Ltd (Figure 1).

• • The company has overcome haulage issues and a series of challenges outside of its control including, a tidal surge event, a maintenance outage and the recent severe weather that caused the closure of the haulage road.

• • C4 Stage 1 mining activities continue on site with High-Grade lump and fines product being stockpiled at the Port of Geraldton Site 88 location, and shipments are now targeted to continue each month in accordance with GWRs offtake agreement with Hong Kong Trader, Pacific Minerals.

• • GWR is expected to secure a Vessel for its second shipment of Iron Ore to its Offtake partner shortly.

• • The current review being undertaken by GWR on its entire Wiluna West Iron Ore project is progressing very well with regards to:

  • o Stage 1 - C4 production tonnage expansion

  • o Stage 2 - C4 portion of the remaining ~20 million tonnes1 to be optimised and the company has made good progress in advancing discussions with interested parties.

  • o Other GWR Iron Ore deposits - Focussing on optimised high grade low strip ratio deposits.

• • PRG is engaged for Stage 1 of the C4 mining operations which covers the first 1 million tonnes of C4's Mineral Resource estimate of 21.6 million tonnes at 60.7% Fe1.

1 2004 JORC Code compliant Resource is 131.1 Mt at 60.0% Fe, comprising of 10.1 Mt at 62.5% Fe Measured, 72.0 Mt at 59.9% Fe Indicated and 48.8 Mt @ 59.4% Fe Inferred. (refer ASX announcement dated 12th November 2019 and 8th July 2011 and 11th April 2013).

GWR Group Limited (ASX:GWR) ("GWR Group" or "the Company") is pleased to provide this shipping and production update to shareholders with operations continuing to progress at GWR's 100% owned flagship C4 Iron Ore deposit in Wiluna.

Figure 1: Cargo ship PANAFRICAN (Port of Geraldton) which has successfully set sail to deliver 52,425 tonnes of premium high-grade lump Iron offtake partner Pacific Minerals Ltd.

GWR Chairman Mr Gary Lyons commented:

"I am delighted to inform shareholders the cargo vessel PANAFRICAN successfully set sail yesterday with 52,425 tonnes of premium high-grade lump iron ore.

This, our maiden iron ore shipment was met with a series of haulage issues and challenges outside of our control including, a tidal surge event, a maintenance outage and the recent severe weather that caused the closure of the haulage road.

However, despite these challenges we successfully navigated our way towards this historic event for shareholders, which has been many years in the making.

The GWR board is delighted that our vision to become an ASX listed Iron Ore producer has come to fruition and we look forward to ramping up operations".

Alliance Partner Pilbara Resource Group (PRG) is engaged for Stage 1 of the C4 mining operations which covers the first 1 million tonnes of C4's Mineral Resource estimate of 21.6

million tonnes at 60.7% Fe with assessment and modelling currently underway to increase production tonnage on Stage 1.

Under the Joint Venture with PRG, GWR is required to provide minimal capex and opex, will retain 70% share in the project profit as well as retaining the rights for ore sales, strategy and timing.

The current review being undertaken by GWR on its entire Wiluna West Iron Ore project is progressing very well with regards to increasing the production tonnage at Stage 1 (C4 Iron deposit) and optimising the remaining ~20 million tonnes1 to be optimised for Stage 2 whilst discussions have advanced with interested parties.

Other than at C4 GWR currently has mining approvals in place for the C3 and Bowerbird deposits which permit the mining of a combined 7 million tonnes per annum.

The emphasis being placed on this review is to focus on high grade portions of deposits, which have low strip ratios and can be brought to production in the most effective manner in order to maximise the benefits to shareholders from the current buoyant Iron Ore prices.

Table 1: Key Project Milestones to be achieved for the development of the C4 Iron Deposit

MILESTONE **The Company will keep shareholders informed of operational milestones as they progress**	PROGRESS
Historic First Shipment of Iron Ore to Offtake Partner	Successful
First Ore at Geraldton Port of Iron Ore Mined and Transported	Completed
Haulage contracts	Completed
Completion of service agreement with nearby mine for access to site services such as village, workshops and water.	Completed
Finalisation of contract rates for major services; mining, crushing and screening	Completed
Northern Haul Road construction and site setup (workshops, lay down area's, internal access roads and services such as water, power and communication)	Completed
Works Approval (required for crushing and screening operations)	Completed
Road user agreement for the gravel sections and low standard tar sealed sections of the C4 turn to Meekatharra portion of the Gold Fields highway	Progressing
Completion of agreements with Port of Geraldton for services and third party for shed access	Completed
Commencement of Production Mining Operations	Commenced
Commencement of first Iron Ore Haulage	Commenced
Offtake Agreements of High-grade DSO Iron Ore	Completed

This ASX announcement was authorised for release by Gary Lyons, Chairman of GWR Group Limited

For further information please contact:

Gary Lyons	David Utting	Mark Pitts
Chairman	David Utting Corporate	Company Secretary
Ph: [phone]
E:[e-mail]	E:[e-mail]

E:[e-mail]

Competent Person's Statement

The information in this report which relates to Exploration Targets, Exploration Results and Mineral Resources or Ore Reserves is based on information compiled by Mr Allen Maynard, who is a Member of the Australian Institute of Geosciences ("AIG") a Corporate Member of the AusIMM and independent consultant to the Company. Mr Maynard is the Director and principal geologist of Al Maynard & Associates Pty Ltd and has over 40 continuous years of exploration and mining experience in a variety of mineral deposit styles. Mr Maynard has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the "Australasian Code for reporting of Exploration Results, Exploration Targets, Mineral Resources and Ore Reserves" (JORC Code). Mr Maynard consents to inclusion in the report of the matters based on this information in the form and context in which it appears.

The Mineral Resource Estimate was prepared and first disclosed under the JORC Code 2004. It has not been updated since to comply with the JORC Code 2012 on the basis that the information has not materially changed since it was last reported.