Critical Resources : Final Approval Received for Drilling - Halls Peak, Sunnyside

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13 April 2022

Final Approval Received for Drilling at Halls Peak Sunnyside

Prospect

Critical Resources Limited (ASX:CRR) ("Critical Resources" or the "Company"), is pleased to advise that it has received final Resources Regulator Approval for drilling at its Sunnyside prospect, part of the greater 100% owned Halls Peak project.

Highlights

•  Resources Regulator Approval has been received for 1,700m of diamond drilling exploration at the Halls Peak Sunnyside Prospect

•  Multiple targets exist with holes designed to test geophysical anomalies to a maximum depth of 700m

•  Sunnyside prospect located ~1.5km from Gibsons prospect currently being drilled

•  Drilling at depth aims to expand the overall potential of the Halls Peak System and demonstrate continuity of mineralisation between the two prospects

•  16 Holes completed at Gibsons with 5 remaining before relocating to Sunnyside

•  Large scale base metals SEDEX type system potential being explored across Halls Peak tenements

The Company is pleased to announce it has received final Resources Regulator approval for drilling at its Sunnyside prospect, part of the Company's 100% owned Halls Peak project. Once drilling is completed at Gibsons it will commence at Sunnyside, located approximately 1.5km to the north-west.

Multiple targets exist at Sunnyside which will be tested to a maximum depth of 700m with a view to demonstrate continuity of mineralisation between Gibsons and Sunnyside.

Critical Resources Managing Director Alex Biggs said: "We are excited that Resources Regulator approval has been received for Sunnyside drilling. Being able to drill the previously untested geophysical anomalies seen at Sunnyside represents a major step in our exploration program at Halls Peak. The Sunnyside prospect is approximately 1.5km from the Gibsons prospect so represents a clear expansion of the resource potential that exists at Halls Peak".

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

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

Figure 1: Proposed Sunnyside drill holes on section 406400mE (see highlighted section in Figure 2)

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500mRL

0mRL

-500mRL

Sunnyside Drilling Strategy and New Targets

New geophysical targets have been recently developed at Sunnyside through reinterpretation and analysis of data collected in a 2012 Versatile Time Domain Electromagnetic ("VTEM") survey (see ASX announcement dated 2 June 2021).

All drilling will be diamond core, JORC QAQC compliant and act as infrastructure to allow for downhole electromagnetic surveying and imaging of the mineralised zones. This surveying will then aid in refining the further drill targets for the next stage of drilling.

The Company is of the opinion that this staged approach to exploration will enable more accurate, lower risk, target development and more efficient placement of future holes and further exploration of the down dip and down plunge extensions to known mineralisation.

Proposed drill holes are shown in Figure 1, based on section 406400mE. Figure 2 shows three sections: 406300mE, 406400mE and 406500mE. Each section is a 100m interval from the next demonstrating continuity of potential mineralisation along strike as well as at depth. The red highlighted square visualises the Sunnyside VTEM interpretation.

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

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

Figure 2: Sunnyside geophysical targets demonstrating three sections at 100m intervals

Section 406300mE

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Section 406400mE

Section 406500mE

Halls Peak Project Description

The 100% owned Halls Peak project is located in New South Wales approximately 45km South-East of Armidale in the New England Fold Belt, an area well known for its mineral endowment and production. The Halls Peak massive sulphide deposits were discovered in 1896 where near surface mining extracted high-grade Zinc, Lead, Copper and Silver. Recent exploration at the Gibsons prospect has yielded excellent high-grade intersections of Zinc, Lead, Copper and Silver.

Halls Peak is considered to have potential to contain world class deposits similar to those already being mined in northern Australia. The project area comprises multiple historic mines and prospects including Gibsons, Sunnyside, Firefly, Faints, Khans Creek, Keys and Mickey Mouse. All current exploration activities are focused on exploration licence EL 4474 with primary targets being the Gibsons and Sunnyside prospects. A summary of the project location is shown in Figure 3.

Previous drilling results include:

Critical Resources Limited - ASX Announcements 7.63 metres @ 0.23% Zn, 0.01% Pb, 1.15% Cu, 73.15g/t Ag, 0.01g/t Au (refer ASX Announcement 05 April 2022)

3.6 metres @ 15.06% Zn, 8.38% Pb, 0.69% Cu, 37.51g/t Ag, 0.09g/t Au (refer ASX Announcement dated 09 March 2022)

7.53m @ 4.20% Zn, 1.92% Pb, 0.39% Cu, 19.15g.t Ag, 0.11g/t Au 7.18m @ 3.63% Zn, 1.89% Pb, 0.77% Cu, 15.82g/t Ag, 0.09g/t Au 1.28m @ 13.5% Zn, 4.75% Pb, 0.71% Cu, 21.5g/t Ag, 0.09g/t Au (refer ASX Announcement dated 21 February 2022)

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

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

5.30m @ 26.29% Zn, 12.49% Pb, 1.28% Cu, 49.18g/t Ag, 0.15g/t Au 5.99m @ 8.17% Zn, 4.33% Pb, 0.84% Cu, 25.36g/t Ag, 0.13g/t Au (refer ASX announcement dated 09 February 2022)

12.45m @ 10.91% Zn 5.73% Pb , 1.15% Cu, 331.63g/t Ag and 1.50g/t Au (refer ASX announcement dated 11 January 2022)

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1Sovereign Gold Company and Force Commodities Limited - ASX Announcements 11.3m @ 15.18% Zn, 8.02% Pb, 597g/t Ag, 1.61% Cu from hole SG-03

(refer ASX announcement dated 15 December 2016)

11.2m @ 19.71% Zn, 10.77 % Pb, 134.96 g/t Ag, 0.8% Cu from hole SG-06 (refer ASX announcement dated 29 December 2016)

7.2m @ 20.19% Zn, 7.17 % Pb, 30.93gpt Ag, 0.66% Cu from hole SG-05 (refer ASX announcement dated 29 December 2016)

5.7m @ 9.44% Zn, 7.09% Pb, 155g/t Ag, 0.53% Cu from hole SG-03 (refer ASX announcement dated 15 December 2016)

2Precious Metal Resources Limited - ASX Announcements

37.2m @ 8.7% Zn, 3.0% Pb, 85g/t Ag, 1.4% Cu from hole DDH HP 026

(refer to ASX announcement dated 03 January 2014)

7.45m @ 8.88% Zn, 3.11% Pb, 22 g/t Ag, 0.56% Cu from hole DDH HP 027

(refer ASX announcement dated 15 January 2014)

1,2The information required pursuant to listing rule 5.7 is included in ASX announcement dated 08 July 2021

Figure 3: Halls Peak project location

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

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

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

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EXPLORATION WORK - COMPETENT PERSONS STATEMENT

The information in this ASX Announcement that relates to Exploration Results is based on information compiled by Mr Michael Leu, a Competent Person who is a Member of the Australian Institute of Mining and Metallurgy and the Australian Institute of Geoscientists. Mr Leu is a full-time employee of Critical Resources Limited. Mr Leu has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Leu consents to the inclusion in this ASX Announcement of the matters based on his information in the form and context in which it appears.

FORWARD LOOKING STATEMENTS

Information included in this release constitutes forward-looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as "may", "will", "expect", "intend", "plan", "estimate", "anticipate", "continue", and "guidance", or other similar words and may include, without limitation, statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs. Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance and achievements to differ materially from any future results, performance or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licences and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which the Company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation.

Forward looking statements are based on the Company and its management's good faith assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the Company's business and operations in the future. The Company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the Company's business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the Company or management or beyond the Company's control.

Although the Company attempts and has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in forward looking statements, there may be other factors that could cause actual results, performance, achievements or events not to be as anticipated, estimated or intended, and many events are beyond the reasonable control of the Company. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, in providing this information the Company does not undertake any obligation to publicly update or revise any of the forward-looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based.

NO NEW INFORMATION

Except where explicitly stated, this announcement contains references to prior exploration results, all of which have been cross-referenced to previous market announcements made by the Company. The Company confirms that it is not aware of any new information or data that materially affects the information included in the relevant market announcements.

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

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