Theta Gold Mines Limited announced the progress made with its underground gold project Feasibility study ("FS"), environmental approvals, and preparation for plant construction. The Beta, Frankfort, CDM, and Rietfontein mines are collectively referred to as TGME Underground (UG) Project. Discoveries made recently, namely Beverly Hills and Desire mines, form part of the 43 historical mines under management.

Both have experienced very little modern exploration. The company now know through underground plans and mine surveys, Desire is one of the larger underground mining complexes in the Goldfield with historic underground workings extending kilometers. The Desire Mine complex is 1.5km on strike and 3.2km on dip, making this one of the largest unexplored old mines under management.

The Desire Mine complex exploited the Portuguese Reef, producing approximately 170Koz Au from 563Kt, grading 9.41 g/t Au. The mine area overlaps parts of the farms Graskop 564KT, Desire 563KT (10167 MR), Ponieskrans 543KT (83 MR), and Grootfontein 562KT (341 MR). The permanent onsite team will continue with sampling and exploration work.

The team is on track to complete the DFS in Second Quarter 2022. The geotechnical investigations were conducted according to plan with encouraging results. Metallurgical test work continued with bulk samples (approx.

1.5 tons per Mine) taken from, Rietfontein and CDM Mines. These samples are currently at the Laboratory. The team has completed the final permitting scoping phase for Mining Right 83.

The final scoping report will now be assessed by the DMRE and once approved the process will move to the Environmental Impact Assessment (EIA) phase of the permitting process. The underground gold project Definitive Feasibility Study ("DFS") that started in September 2021 is progressing well, currently at 65% completion with final completion expected in Second Quarter 2022. In support of the FS, metallurgical test work, mine designs, geotechnical studies, and underground investigations are now nearing completion.

In addition to the metallurgical test work undertaken for the Preliminary Feasibility Study ("PFS"), a further bulk sample was taken from Frankfort Mine by trenching the reef accumulation generated by the trial mining, providing a representative sample in terms of ore variability and particle size distribution. The PFS study included a single rougher flotation stage and indicated limited sensitivity to grind. It was decided to conduct additional flotation test work confirming the plant process flow.

The flotation trials are complete and largely support the PFS results. The carbon and sulphide flotation products are currently submitted for analysis, which will allow for final circuit mass balancing and financial modeling. These results are expected in the first week of March 2022.

The overall mine designs are progressing well with the ventilation studies for Beta, CDM and Frankfort completed following the mine design and mining schedules. The surface infrastructure of the mining operations is in the process of being aligned and adjusted to recommended environmental layouts. The optimisation of the mining power requirements has been completed and, informing the bulk power supply infrastructure design.