Critical Resources : Drilling Contractor Appointed - Mavis Lake Lithium Project

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14 March 2022

Drilling Contractor Appointed for Mavis Lake Lithium Project

5,000m Drill Program planned to Commence in April

Critical Resources Limited (ASX:CRR) ("Critical Resources" or the "Company"), advises that it has appointed Cyr Drilling International ("Cyr") as the drilling contractor for the planned upcoming drill program at its Mavis Lake Project in Ontario, Canada.

Highlights

• Cyr appointed to conduct CRR's maiden drill campaign at the Mavis Lake Lithium Project, commencement planned for April 2022
• Drillers experienced in multiple commodities and environments in Canada and internationally
• Program to comprise of 49 holes for a total of 5,000m
• Cyr Drilling are an experienced, well established drilling company with local expertise, an excellent safety record and Tier 1 clientele
• 1Previous drill programs have yielded high-grade Li2O intercepts

including

• • 55.25m at 1.04% Li2O from 80.75m in drill hole MF18-53 and
  • 26.30m at 1.70% Li2O from 111.9m inc. 7.70m at 2.97% Li2O from 130.5m in drill hole MF17‐491.
• Previous exploration results demonstrate excellent potential for resource definition and expansion

The Company has appointed Canadian exploration drilling specialist Cyr Drilling International to complete the initial 5,000m drill program at its Mavis Lake Lithium Project in Ontario, Canada.

Critical Resources Managing Director Alex Biggs said: "We are pleased to announce the appointment of Cyr Drilling as our contractor for the conduct of drilling activities at Mavis Lake. Cyr provide a strong track record in safety, a high level of expertise and employment of best practice principles. Historical drilling at Mavis Lake has returned multiple high-grade lithium intersects downhole. The purpose of this drill program is to confirm historic drilling from 1956 to 2016 and further expand the mineralisation extent potential of the observed pegmatites. We welcome Cyr Drilling as our drilling partner for Mavis Lake and look forward to working together on the Project".

1The reported intersections are down hole measurements and are not necessarily true width

Critical Resources Ltd | Level 11, 40 The Esplanade, Perth, WA, 6000 | P: [phone] | web:criticalresources.com.au

Email: [e-mail] | ABN 12 145 184 667 | ASX:CRR

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Mavis Lake Project Description

The Mavis Lake Lithium Project is 19 kilometres east of the town of Dryden, Ontario. The Project is in close vicinity to the Trans-Canada highway and railway major transportation arteries linking larger cities such as Thunder Bay, Ontario, to the southeast and Winnipeg, Manitoba, to the west. The region boasts excellent infrastructure with hydro-power located a few kilometres to the southwest of the project. The region is a well-established lithium province with multiple projects located within the vicinity.

Previous drill programs have yielded high-grade Li2O intercepts including:

• 55.25m at 1.04% Li2O from 80.75m in drill hole MF18-53 and
• 26.30m at 1.70% Li2O from 111.9m inc. 7.70m at 2.97% Li2O from 130.5m in drill hole MF17‐ 491.

These results present significant exploration potential, a summary of previous results can be seen in ASX Announcement 25 October 2021. A future work program has been determined and is discussed in detail in ASX announcement 13 Dec 2021.

Figure 1: Sample of Mavis Lake intersections from 2017 and 2018 drilling campaign

Critical Resources Ltd | Level 11, 40 The Esplanade, Perth, WA, 6000 | P: [phone] | web:criticalresources.com.au

Email: [e-mail] | ABN 12 145 184 667 | ASX:CRR

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Figure 2: Mavis Lake project location

Drilling - Mavis Lake

The planned drilling program at Mavis Lake is set to comprise 49 holes for a total of 5,000m. Drill locations are shown in Figure 3.

Drilling on the property has occurred intermittently since 1956. Work will be focused on the southern pegmatite outcrop (Pegmatite 6) with the remainder taking place on the northern outcrops (Pegmatite 17 and 18). By drilling validation holes, infill holes and extensional holes, the Company will be moving closer to delineating a JORC compliant Mineral Resource.

Critical Resources Ltd | Level 11, 40 The Esplanade, Perth, WA, 6000 | P: [phone] | web:criticalresources.com.au

Email: [e-mail] | ABN 12 145 184 667 | ASX:CRR

For personal use only

Figure 3: Mavis Lake drill Locations

Deposit Type and Exploration Thesis

Previous exploration campaigns at Mavis Lake have confirmed the presence of lithium bearing pegmatites.

Critical Resources Ltd | Level 11, 40 The Esplanade, Perth, WA, 6000 | P: [phone] | web:criticalresources.com.au

Email: [e-mail] | ABN 12 145 184 667 | ASX:CRR

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The pegmatite occurrences at Mavis Lake are found within the correct zonation for lithium enrichment from the Ghost Lake Batholith, a fertile granite intrusion. The zonation of pegmatite occurrences can be seen in Figure 4.

Figure 4: Regional Zonation of Mavis Lake Pegmatite group

Sources: Demmeier and Mercier (2011), modified from Breaks and James (1991)

The recently conducted airborne survey (see ASX announcement 01 February 2022) demonstrated the potential continuity of geological trends between Pegmatite 6 and Pegmatite 18. This potential continuity represents new areas of interest for the company that will be investigated via surface mapping and sampling with the aim of identifying new drill targets.

Permitting and Stakeholder Engagement

Permitting is progressing well and as expected. The Company will update the market in due course.

About Cyr Drilling International

Cyr specialise in providing surface and helicopter drilling services to the resources sector, especially diamond and geotechnical drilling. Strategically located in Winnipeg, Eastern Manitoba this is of significant benefit to the Company as it will mitigate travel related impacts that may be encountered. Cyr are scheduled to arrive at Mavis Lake in April 2022.

This announcement has been approved for release by the Board of Directors.

-End-

Critical Resources Ltd | Level 11, 40 The Esplanade, Perth, WA, 6000 | P: [phone] | web:criticalresources.com.au

Email: [e-mail] | ABN 12 145 184 667 | ASX:CRR