Legacy Iron Ore Limited (Legacy Iron or the Company) is pleased to announce the completion of the first round of PQ size (85mm) diamond drilling for metallurgical studies at the Mt Celia project.

The drilling was undertaken to generate cores for metallurgical test works. A total of 4 drillholes have been completed, with 1 more hole to be drilled in September 1st week to generate a few more composite samples.

Geological logging of the PQ cores resulted in the visual confirmation of expected mineralized zones providing increased confidence for the upcoming metallurgical test works.

Metallurgical test works commenced at ALS Metallurgy Perth. Simon Walsh from Simulus Engineers is supervising metallurgical studies. The study will characterize metallurgical properties of the ore and will define process design for recoveries. It is expected that the final report on the metallurgical studies will be available by the end of November.

In line with the Company's objective to grow the current resource, another 3,500m of RC drilling will be commencing from 2nd September. In addition to increasing the existing estimated resources of Kangaroo bore and Blue Peter, the drilling will also be used to upgrade the current resources through additional infill drilling. The planned 3500 m will be drilled over 40 holes to test potential subparallel mineralisation within 100 m of the Kangaroo Bore resource, and an extension of Blue Peter resource along the strike.

In addition, to further assist in the understanding of geotechnical parameters to assist in the pit design, HQ size core drilling work will commence around the 2nd week of September at the Blue Peter deposit. It is currently proposed to drill 300m across 6 HQ (64mm) size drillholes. SRK consulting has been appointed to undertake geotechnical studies

Next Steps

The company is focusing to increase the overall resource for the Mt Celia project and to convert the current inferred resources into an indicated category. Upon completion of the proposed drilling programs, resource modelling and pit optimization work will be undertaken. The company intends to complete metallurgical and geotechnical studies by December 2020 to support the pre-feasibility study of the project, with 4 PQ diamond holes completed and one more hole to be drilled in September first week, to assist with metallurgical testing. Additionally, approx.1000 m of core drilling is planned to support geotechnical studies in the project in September- October.

Consistent with the objective of moving towards feasibility, the Company continues to work through the required regulatory approvals undertaking the necessary environmental and heritage studies. The firstround of environmental survey work has been completed and it is planned to commence the second round of surveys in Mid-September. Work is also underway to convert current exploration licence to mining lease.

A total of 207 drill holes including 24 diamond holes (totaling 15,099 m of drilling) were considered for use in the Kangaroo Bore resource estimate. The majority of the data used for the resource estimation was derived from historical drilling. The Kangaroo Bore deposit is hosted by the Laverton Tectonic Complex, a strongly faulted and folded greenstone sequence that forms part of the larger Edjudina-Laverton greenstone belt. The mineralisation occurs within the Kangaroo Bore shear zone, which strikes to the northwest, and dips steeply to the northeast. The gold mineralisation occurs predominantly within micro-folded quartz-carbonate veins hosted within silicified quartz-pyrophyllite schists.

The Blue Peter prospect is located approximately 2-3km south of the Kangaroo Bore with in the Mt Celia Project. A total of 122 RC holes (totaling 9,356 m of drilling) were considered for use in the Blue Peter current resource estimates. At Blue Peter, the mineralisation is hosted within a set of narrow, subparallel lodes that strike to the northwest and dip steeply to the northeast. The mineralisation occurs over a strike extent of approximately 2 km, and comprises three main sub-regions: Blue Peter North, Blue Peter/Blue Peter South/ Blue Peter West, and Coronation, which have approximate strike lengths of 130 m, 620 m, and 200 m, respectively. Within these subregions, the nominal drill spacing is 25 m. The section lines are oriented orthogonal to the general strike of the mineralisation, with most of the holes dipping at 60-degree to the southwest.

Contact:

Rakesh Gupta

Tel: +61 8 9421 2000

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