Quarterly Report for the Quarter Ended 31 December 2023

Magnetic Resources NL (Magnetic or the Company) is pleased to announce an Updated Mineral Resource Estimate from its deposits in the Laverton and Homeward Bound area. The main deposits include Hawks Nest 9 (HN9), Lady Julie Central (LJC), Lady Julie North 4 (LJN4), Mount Jumbo and Homeward Bound South (Figure 2), which are all located in an area with well-endowed regional infrastructure including three processing plants within 35kms.

HIGHLIGHTS

Updated combined Mineral Resources estimate for the whole project area of:

• 22.7Mt @ 1.69g/t Au totalling 1.24Moz of gold at 0.5g/t cutoff.
• Increase of 107% of the total ounces over the 3 February 2023 ASX Release.

Significantly, the contained gold in LJN4 has risen from 204,000oz to 852,000oz Au (a 317% increase). LJN4 is now by far the largest resource in the project area – and it remains open at depth.

Key deposits are close to each other and form part of one mining field. Given the scale of the resource upgrade, consideration is now also being given to a dedicated processing plant.

Magnetic Resources lodged a Mining Lease application over its Lady Julie North 4 discovery. M38/1315 (pending) overlays Magnetic tenements P38/4170 and E38/3127 and covers an area of 238Ha.

Ongoing extension drilling continues looking to extend the size of LJN4 has resulted in a number of compelling intersections. MLDD033 intersected 16m at 4.51g/t Au from 411m, which was a very large 200m step out below the current resource, which is potentially underground mineable and is still open downdip. This section indicates mineralisation continuity of 550m down dip, which is by far the biggest down dip extension identified to date within LJN4.

New hanging wall breccia zone was also discovered in MLJD033 with an intersection of 2m at 15.32g/t Au from 247m, and 8.7m at 2.43g/t Au from 107m and 13m at 1.00g/t Au from 135m in MLJDD032.

MLJRCD826 intersected a 40m thick breccia zone from 270 to 310m, which has assays pending. It is directly 65m down dip from MLJDD031, which intersected 21m at 5.37g/t Au from 198m within a breccia, and is still open down dip and to the south. Further diamond holes are being planned to follow up this 40m thick breccia zone.

MLJRCD802 had our best intersection to date, of 133m at 2.87g/t Au from 173m, which includes 61m at 4.68g/t Au from 243m (1m splits). Assays are pending for the down-dip extension within MLJRC820 from 290m to 453m.

MLJDD034 intersected 6.8m at 12.06g/t Au from 151m (contained within a 11.5m zone with 4.8m of core loss) in a gossanous chert breccia.

Laverton Area

Magnetic Resources NL has 203km2 in the Laverton region comprising E38/3127 Hawks Nest, E37/3100 Mt Jumbo, E38/3205 Hawks Nest East, E38/3209 Mt Ajax, P38/4317–24 Mt Jumbo East, E39/2125, P39/6134-44 Little Well and P38/4346, P38/4379-84, P38/4170 Lady Julie (Figure 1). Table 1 shows the exploration completed to date and recent/proposed exploration.

Figure 1. Hawks Nest, Hawks Nest East, Lady Julie, Little Well, Mt Ajax, Mt Jumbo and Mt Jumbo East projects, showing tenements, major shear zones, targets and gold deposits and historic workings.

Table 1. Laverton region drilling summary.

Table 1. Laverton region drilling summary.

Mineral Resource Estimate update 24 November 2023

• This update incorporates recent drilling results at Lady Julie North 4 (LJN4) and Lady Julie Central (LJC) since the last resource report in February 2023 (“Expands Mineral Resources estimate ASX release 3 February 2023”).
• Updated combined Mineral Resources estimate for the whole project area of:
  • 22.7Mt @ 1.69g/t Au totalling 1.24Moz of gold at 0.5g/t cutoff.
  • Increase of 107% of the total ounces over the 3 February 2023 ASX Release.
• Significantly, the contained gold in LJN4 has risen from 204,000oz to 852,000oz Au (a 317% increase).
• LJN4 is now by far the largest resource in the project area – and it remains open at depth; exploration continues for similar deposits along the extensive 12km Chatterbox shear.
• Key deposits are close to each other and form part of one mining field.
• Three processing plants are nearby, within 10–35km away providing scope for toll processing. Given the scale of the resource upgrade, consideration is now also being given to a dedicated processing plant.
• Ongoing extension drilling continues and is expected to result in further resource increases.

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