Lefroy Exploration : Exploration Update-1200m Deep Diamond Hole Underway at Burns

ASX RELEASE-12 July 2022

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Exploration Update

1200m Deep Diamond Hole Underway at Burns

A 1200m deep diamond drill hole is underway at the Burns gold copper prospect located in the Company's wholly owned Eastern Lefroy Gold Project, 70km southeast of Kalgoorlie.

Burns is a new and unique style of an intrusion-relatedAu-Cu mineral system in the Eastern Goldfields Province (EGP) of Western Australia, with understanding of the scale and genesis of the system will be advanced through this hole.

The EIS co-funded diamond hole is designed to evaluate the Au-Cu mineralised diorite porphyry host rock to 1000m vertical depth from surface with key aims to:

• Expand the vertical scale of the mineralisation discovered to date
• Provide geological and geochemical information to support ongoing research
• Demonstrate further that Burns is a new, large Au-Cu intrusion hosted mineral system

The hole is part of a two-hole diamond drill program that will also involve drilling a 450m deep hole to evaluate an interpreted shallowly plunging high-gradeAu-Cu zone within the broader Au Cu Ag Mo porphyry hosted mineral system at Burns.

In addition, planning of an infill RC drill program to evaluate the system over a 700m strike length and to a vertical depth of 200m from surface to support a maiden near surface resource estimate has commenced.

The diamond drill program is expected to be completed in August, with initial assay results anticipated in September. The infill RC drill program is scheduled to commence in August.

Lefroy Exploration Managing Director, Wade Johnson said "The long wait for the diamond drill rig is over and the +1000m deep drill hole is finally underway at our high priority Burns gold copper prospect. The LEX team are excited to be back out drilling at Burns this time to explore the vertical extent of this unusual intrusion related Au- Cu system to demonstrate the scale and to realise its full potential. We are grateful for the EIS co-funded support for this hole that will provide further information to assist in assigning a genetic model for Burns"

ASX Code: LEX	Australian Registered Office	E: [e-mail]
T: [phone]
Shares on Issue: 146M	Level 3, 7 Rheola St
ARBN: 052 123 930
Market Capitalisation: $40.8m	West Perth, 6005

www.lefroyex.com

ASX Announcement

12 July 2022

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Lefroy Exploration Limited (ASX: LEX) ("Lefroy" or "the Company") is pleased to announce that a 1200m deep diamond drill hole evaluating the Burns Au-Cu intrusion related mineral system is underway at the Company's wholly owned Eastern Lefroy Gold Project (Figure 1), located 70km southeast of Kalgoorlie.

Figure 1. Lefroy Gold Project showing extent of the Eastern and Western sub projects and the location of Burns and other high priority prospects within the LEX portfolio.

The Burns Au-Cu prospect is situated on the eastern margin of a large interpreted intermediate intrusion, termed the Burns Intrusion (refer LEX ASX release 23 February 2021 & 28 September 2021).

A maiden 22-hole RC drill program completed in Jan-Feb 2021 intersected a spectacular gold and copper interval in hole LEFR260 containing 38m @ 7.63g/t Au & 0.56% Cu from 134m. The results from that RC program provided the geological and geochemical data that highlighted the unique geological characteristics of Burns and was a key stepping stone to subsequent and ongoing exploration activity.

The broad high-grade gold mineralisation is hosted within a suite of hematite-magnetite-biotite-chalcopyrite-pyrite altered diorite porphyries (refer LEX ASX release 22 February 2021) that intrudes high-magnesium basalt. This porphyry suite, termed the Eastern Porphyry, is open to the north, south and at depth.

The gold and copper mineralisation hosted by both the diorite porphyry, basalt and massive magnetite veins are considered by the Company to be a new and unique style of Au-Cu mineralisation near Kalgoorlie, within a land position dominated by LEX.

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12 July 2022

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Diamond Drill Program

A two-hole/1650m diamond drill program (Figure 2) is underway at Burns. The 1200m hole (LEFD006) currently underway will provide a section through the entire Burns system (including western basalt) to test the continuity of the multi-phase diorite porphyry intrusions, broadly known as the eastern porphyry, to a vertical depth of 1000m (Figure 3).

Co-funding for this hole is provided under the Exploration Incentive Scheme (EIS) managed by the Department of Mines, Industry Regulation and Safety (DMIRS) (refer LEX ASX release 29 October 2021).

The second hole (DDH002) has a planned depth of 450m and is designed to intersect the down plunge extent of the high-grade Au Cu zone defined by holes LEFR260 & 320 (refer to long section Figure 4). The collar position of this hole is located 230m south of the baseline (0N) section (Figure 2 & 5).

Figure 2 Burns site plan highlighting the extent of the recent AC drilling on Lake Randall and interpreted extent of the Eastern Porphyry and gold anomaly (>0.10g/t Au) at Burns. Position of the planned diamond holes are shown. Refer Figure 3 for baseline Cross section with hole LEFD006.

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ASX Announcement

12 July 2022

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personalFor Figure 3 Burns baseline drill section showing completed drill holes, extent of the multiphase porphyries that make up the eastern porphyry and the 1200m diamond hole now underway

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ASX Announcement

12 July 2022

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Interrogation of gold (Au), copper (Cu) and molybdenum (Mo) 3D metal models sourced from an extensive multi-element drill database collected over the Burns project since January 2021, provided an enhanced interpretation of the geometry of the Burns mineral system (Figure 4 and 5). This has highlighted a large, northwest trending, southerly plunging mineral (Au, Cu, Ag, ± Mo) shell. Included within this shell is a higher-grade, northerly trending Au-Cu component (Figures 4 and 5) which provided the model to design and plan the two diamond holes.

This northerly trending, high-grade zone is further supported by the recent (LEX ASX 21 February 2021) multiple aircore (AC) gold intersections in Lake Randall, 240m north of discovery hole LEFR260 (refer Figure 2). This included an intersection of 24m at 2.86g/t Au from 16m in LEFA1089 (LEX ASX release 23 February 2021), hosted within diorite porphyry and obscured by transported overburden (Figure 2).

The two-hole diamond drill program is expected to be completed in August. Samples of the core will be progressively despatched in batches to the laboratory after completion of geological logging. Initial assay batches are expected in September, with final assay results in October at which time a full assessment of the program can be made.

Reverse Circulation (RC) Drill Program

In addition to the diamond drilling, which is focussed on the deep vertical extent of the system planning of an RC drill program to evaluate the system to 200m from surface and over a 700m strike length is well advanced (refer Figure 4). The drilling will be both land-based and on Lake Randall. The drilling will be on a nominal 40m by 40m grid pattern. The drill data when combined with existing drill data, will form the basis for a maiden gold copper resource estimate.

Subject to drill availability and assay result turnaround the Company aims to deliver a maiden resource estimate for the shallow part of the Burns system in the December 2022 Quarter.

A specialised lake RC drill rig has been secured and scheduled to commence in early August.

This announcement has been authorised for release by the Board

Wade Johnson

Managing Director

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