Resource Base Limited provided an update on its initial step out drilling program, targeting the northwest section of tenement EL007646 where higher grade clay hosted REE was discovered in an earlier drilling program, has been completed. Geological logging of the drill holes has identified ferruginous clayey intervals visually like those previously found to be hosting REE mineralisation in earlier drilling. These clayey horizons are consistently developed across the extent of the step-out drilling and continue up to the southern border of the recently granted EL007640, a distance of approximately 1.5km.

Details of the recently completed drillholes containing visually identified ferruginous clayey horizon targeted for REE mineralisation. The initial step out drilling was completed on a 200m x 100m spacing, with a total of 125 holes completed for a total of 1,348m. Further step out drilling will be completed in this area once the winter rains clear and ground conditions improve later in the year.

The drilling program will continue to test across the extent of EL007646 as well as extending onto and beginning to broadly test EL007640 to the north in due course and as prevailing weather conditions allow. Air Core Drill: The Company's newly acquired air core drill rig has now been fully commissioned including the recruitment and training of the operating crew. The drilling operations have performed above expectations with many of the expected benefits being exceeded.

In particular the continuous operation, flexibility and significantly reduced costs are being realised. Laboratory Results: The Company anticipates receiving the first batch of sample results from the laboratory by mid to late August. JORC Resource: The Company is working towards establishing a JORC Compliant Resource by end of first quarter 2023.

Near Term Drilling Activity: Air core drilling will commence imminently on high priority tenement EL007647 located closely to and along strike from AR3's Red Tail and Yellow Tail JORC compliant REE resources. Initially broad spaced drilling along existing road accesses will be undertaken which will be then followed up with closer spaced step out drilling.