Bastion Minerals : Capote Induced Polarisation

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ASX ANNOUNCEMENT

28 February 2022

INDUCED POLARISATION HIGHLIGHTS SUB-SURFACE POTENTIAL OF

HIGH-GRADE GOLD AT CAPOTE

Bastion Minerals Limited (ASX: BMO) (Bastion or the Company) is pleased to provide an update on its on-going exploration program and the completion of detailed geophysical activities within the Capote Mining District and surrounding vein systems in the mineral rich Atacama Region of Chile.

Highlights

• Detailed 52-line-km of 25m spaced dipole Gradient Array Induced Polarisation (IP) and Audio-Magento-Tellurics (AMT) acquired over the San Juan Gold Mine and surrounding vein systems.
• The geophysical modelling shows potential extensions to high-grade surface gold at Capote and the San Juan Gold vein which produced approximately 0.5Moz at 40g/t Au.1
• Combined 3D magnetic and IP inversions are mapping the sub-surface distribution of mineralised veins at depth of up to 400m highlighting sub-surface extensions.
• The combined 3D Magnetic and IP data define final drill targets for Capote.
• Geological and geochemical surveys continue with one-hundred and eleven (111) samples taken across multiple veins returning average assays of 2.5g/t Au and maximum up to 16.65g/t Au.
• Maiden 5000 metre drilling campaign to commence in early Q2, 2022.

Bastion's Executive Chairman, Mr. Ross Landles, commented:

"As we continue to work towards our maiden drilling campaign at our flagship Capote gold project, this new detailed geophysical dataset highlights the potential of the Capote gold district and helps vectoring drilling into deeper parts of this large undrilled gold system. Importantly, it provides confidence for early drilling success when drilling commences in early Q2, 2022. The quality of the geophysical data coupled with extensive groundwork already completed gives me assurance that our maiden campaign will be very successful."

1 ASX Announcement 15 March 2021 - Prospectus

Bastion Minerals Limited

ABN: 19 147 948 883Page 1 of 18 Level 6, 22 Pitt Street Sydney NSW 2000

ASX:BMO

www.bastionminerals.com

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ASX ANNOUNCEMENT

Induced Polarisation (IP) / Audio-Magnetotellurics survey (AMT)

A program of IP and AMT has been conducted to cover Yayito, San Juan, Resurgimiento and other recognised vein systems at Capote (Figure 1). The objective of this work was to image the subsurface expression of mineralisation. Fifty-line-kilometres of gradient array IP has been acquired to identify areas of sulphide associated with mineralised veins and fifty line- kilometres of AMT to identify key shallow structures.

Induced Polarisation is a geophysical method which maps the sub-surface distribution of "chargeable" minerals. The sulphide minerals associated with the gold mineralisation at Capote (e.g., pyrite) are chargeable and the distribution of these minerals may correlate with the distribution of gold.

Audio-Magnetotellurics is a geophysical method which maps the flow of natural electrical currents within the earth's crust. These currents will follow conductive zones such as faults and structures and through mapping these, key structures can be imaged.

Together, the 3D magnetics, IP, AMT, surface geological mapping and geochemistry provide a highly detailed dataset for accurate drill targeting.

Detailed Geophysical Modelling

Geophysical datasets become more powerful and predictive when multiple datasets are combined into 3D models. The highly detailed ground magnetics acquired in late 2021 and new IP data have been combined using clustering processes (Self Organising Maps) to highlight areas of "like" geophysical properties and identify areas of the datasets which are anomalous. These anomalous areas often represent the areas of strongest alteration or mineralisation. This process has been run for the new Capote geophysical data (Figures 2 and 3). These cluster maps are mapping the geology and alteration below surface, and more importantly pinpoint the location and orientation of key structures associated with mineralisation at surface.

Surface Geochemistry

One-hundred and eleven (111) rock-chip samples have been collected during the past months during detailed mapping exercises, aimed at understanding the size and orientation of mineralised veins at surface (Figure 4). The average gold grade of the 111 samples is 2.5g/t with a maximum of 16.65g/t Au. The average silver value of these samples is 3.6g/t Ag with a maximum of 124g/t Ag. The average copper value of these samples is 0.3% Cu with a maximum of 4.5% Cu. The average lead value of these samples is 0.22% Pb with a maximum of 6.8% Pb.

Bastion Minerals Limited
ABN: 19 147 948 883	Page 2 of 18
Level 6, 22 Pitt Street Sydney NSW 2000

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www.bastionminerals.com

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Next Steps

The final preparation stages of the Company's maiden drilling program are currently underway. Drilling is aimed at expanding gold mineralisation around the known historical deposits at Yayito and Resurgimiento veins and testing several new greenfield target areas. The Company will undertake an approximately 5,000-metre diamond drilling program, with a focus on testing the shallow surface expression of multiple vein systems where high-grade gold has been returned from recent rock-chip campaigns. Drill hole locations are being designed and regulatory and environmental approvals process have commenced.

Bastion Minerals Limited
ABN: 19 147 948 883	Page 3 of 18
Level 6, 22 Pitt Street Sydney NSW 2000

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www.bastionminerals.com

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Figure 1: Capote Mining District showing geology, Bastion tenements (blue outline) and option agreement area (yellow tenement

boundary) showing location of the current geophysical survey.

Bastion Minerals Limited
ABN: 19 147 948 883	Page 4 of 18
Level 6, 22 Pitt Street Sydney NSW 2000

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www.bastionminerals.com

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Figure 2: Detailed 3D Magnetic and IP Chargeability models at Capote.

Bastion Minerals Limited
ABN: 19 147 948 883	Page 5 of 18
Level 6, 22 Pitt Street Sydney NSW 2000

ASX:BMO

www.bastionminerals.com