Legacy Minerals : Large Low Sulphidation System Highlighted by GA-IP Survey

ASX ANNOUNCEMENT

16 MAR 2022

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Large Low Sulphidation System Highlighted by GA-IP Survey

New areas of interest identified sub-parallel to known gold veining at Bauloora Project

"Au-Ag mineralisation, scale, alteration and preservation"

• The Company has completed a large 81km, 50m line spaced gradient array induced polarisation (GA-IP) survey at the Bauloora Project.
• The GA-IP encompassed the northern section of a 4km by 2km zone of elevated gold-in-rock chip samples (>0.1g/t Au).
• Interpretation of the results by GeoDiscovery Group and the Company has highlighted numerous prospective areas.
• These targets may represent disseminated sulphides (chargeable) or quartz veins and/or silica alteration (resistive).
• These areas are defined by significant chargeable and resistive targets (Figure 1) that, in places, directly correlate to the known mineralisation at the Mee Mar Prospect (quartz- carbonate-adulariaveins) and Bauloora East Prospect (carbonate base-metalveins) giving encouragement to newly defined highly prospective areas along strike and sub-parallel.
• Results indicate chargeable and resistivity targets are open along strike and to the east.
• Newly identified chargeable features coincide with historical shallow reverse circulation (RC) drilling that intercepted up to 3m at 1.13g/t Au, 15.8g/t Ag, 34ppm Hg and 7.2% Pb+Zn from 69m1.

Management Comment

Legacy Minerals Managing Director, Christopher Byrne said:

"Our recently completed GA-IP survey has contributed significantly to our interpreted prospectivity at the Bauloora Project. The survey forms part of our approach to systematically explore and drill the Project and we are excited to see the early fruits of this work.

The GA-IP survey focused on the northern section of an 8km2 anomalous gold zone, and the findings of this survey are highly significant for Legacy Minerals. The survey results support a correlation of identified target areas with historical gold in drill intersections. The important implication of this correlation with gold mineralisation, is that the survey has defined similar chargeability and resistivity responses over a 2km strike length that has seen virtually no drilling.

Importantly, what we see in the Bauloora Project is all the right ingredients for a significant low- sulphidation epithermal discovery: extensive gold and silver mineralisation, scale, alteration and system preservation."

ABN 43 650 398 897 Level 7, 1 Margaret Street Sydney

ASX: LGM

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Figure 1: GA-IP chargeability, prospects, drill holes, and rock chip photo locations

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Results and Implications

The GA-IP survey has defined a large area which exhibits elevated and anomalous chargeability and resistivity responses over a 2km strike length. Zones of elevated chargeability and resistivity are found proximal to interpreted and known veins and mineralisation within the Bethungra and Cowcumbala Volcanics (Figures 2 - 6).

Results returned from the GA-IP survey indicate correlation between chargeability and observed clay alteration in the Bethungra volcanics, as well as with historical Mee Mar prospecting pits (Figures 4 & 5) and mapped veining that has strong gold, silver and base-metal intersections reported in historic drill holes (e.g. HB4: 3m at 1.13g/t Au, 15.8g/t Ag and 7.2% Pb+Zn from 69m). Chargeable anomalies within the Bethungra rhyolites and dacites that have been identified in the central and western parts of survey area are of significant interest as they present a contrast to the interpreted resistive bedrock lithology.

Resistive anomalies have also been shown to occur with known veining and surface gold mineralisation at Bauloora North (Figures 2 & 3), the Mee Mar vein and at Bauloora East (Figure 6). Resistive anomalies may represent quartz veining and/or zones of silica alteration associated with gold and silver mineralisation. These resistive targets may represent the response of an extensive low-sulphidationquartz-carbonate vein system.

Target areas of interest extend along strike (north and south) and to the east of the current survey. The Company is currently assessing plans to extend the survey to these areas in the future. The limited drilling at the Bauloora project and the anomalies defined through the GA-IP survey have highlighted the untested prospectivity. Significantly, the Company interprets high levels of the low sulphidation system to be preserved due to the presence of sinter related lithology, and diagnostic vein textures and geochemistry. This Project therefore, represents an excellent opportunity for a shallow high-grade gold and silver discovery to be made.

Grab Sample Rock Textures

Figure 2 and Figure 3: Crustiform quartz-carbonate veins with botryoidal and mamillary textures and bladed

calcite pseudomorph's in quartz.

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Figure 4: Lattice bladed carbonate intergrown with crustiform carbonate banding above quartz breccia

clasts cemented within fine grained quartz carbonate matrix (Mee Mar mullock).

Figure 5: Lattice bladed carbonate and pseudobladed quartz occurring with colloform chalcedony and

boxwork textured (after sulphide) layers (Mee Mar mullock).

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Figure 6: White to pale yellow low Fe sphalerite and galena within quartz-carbonate veins hosted in

intensely chlorite altered conglomerate (Bauloora East mullock).

Gradient Array Induced Polarisation

Gradient array is an efficient way to map horizontal variations in subsurface resistivity and chargeability. Resistive highs may represent zones of silica alteration and quartz veining that may be associated with gold and silver. Chargeability highs potentially represent zones of disseminated sulphides such as pyrite or arsenopyrite that may be associated with mineralisation.

GA-IP is often used as a first pass to highlight general regions of chargeable or resistive response, then dipole-dipole(DP-DP) or pole-dipole(P-DP) surveys are commonly completed to provide additional depth penetration to target drill holes. No depth information is acquired with gradient array set-up however the significant benefit is its ability to cover a large area of ground quickly and cost effectively.

Legacy Minerals retained Fender Geophysics Pty Ltd to complete a total of 81km of surveying over the Company's Bauloora Project. This was to forward the Companies systematic exploration strategy at the project and build upon the results of the ground magnetic survey. The survey covered the majority of the known Mee Mar strike length and prospects including Bauloora East and Bauloora North within the northern portion of the gold anomalous zone.

The GA-IP data received is of good quality and data interpretation remains ongoing. The data was acquired in 4 blocks as shown in Figure 8. Each data block measures 1km x 1km with potential electrodes located 2km apart (500m to the east and west of each data block). Some survey stations overlap between blocks has been incorporated in the design to allow for data continuity. Stations were acquired at 25m intervals along on E-W lines 50m apart.

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