Dalaroo Metals Ltd. announced that assay results from Phase 2 aircore (AC) drilling at the Lyons River Project has extended the footprint of the Pb-Zn-Ag mineralized system at the Browns prospect to approximately 400m in thickness in its central portion. Lyons River comprises a strategic (100% owned) land position of 703 km2 within the Proterozoic Mutherbukin Zone of the Gascoyne Province, Western Australia. Dalaroo believes the district is an emerging Broken Hill Type ("BHT") /Sedimentary Exhalative ("SEDEX") deposit setting.

The Browns prospect is one of six Pb- Zn soil geochemical prospects identified at Lyons River within a Proterozoic Age basin setting covering an area of 30km by 10km. Technical Commentary - Browns prospect Pb-Zn-Ag: In December 2022, 16 AC holes totaling 1,153 m were drilled at the Browns prospect with the objective of testing: (1) Zn soil and rock chip geochemical anomalism in southern Browns beyond the limits of previously drill-tested zone - in particular the northern edge of an interpreted "trough" or fold structure deemed highly prospective for BHT/SEDEX deposits, extensions to mineralization intersected in the previous AC drilling at Browns, conceptual geological targets with the purpose of advancing the understanding of the host basin sequence and paleo-architecture to guide follow-up targeting. In the previously discovered Pb-Zn-Ag mineralized zone at "central Browns", mineralization remained open to the south and up-dip from LRAC010 (e.g. 10m @ 1.04% Pb, 0.49% Zn, 2.85g/t Ag from 37m).

In this drilling campaign, known mineralization in LRAC010 was extended up-dip to the surface oxide zone with the intersection of 21m @ 0.33% Pb, 0.17% Zn, 0.52g/t Ag from 1m (LRAC034). Importantly, approximately 150m south of the mineralized units in LRAC010 and LRAC034, thick zones of variably pyritic biotite-quartz gneiss, likely representing metamorphosed shales, were intercepted and found to be enriched in silver, returning 63m @ 1.76g/t Ag from 16m (LRAC032) and 16m @ 1.43g/t Ag from 68m (LRAC033). This extends the footprint of Pb-Zn-Ag mineralized system at Browns to approximately 400m in thickness in its central portion.

The location of higher grade mineralized intercepts supports management's previous interpretation that BHT/SEDEX mineralizing processes may be related to an oblique NE-trending structure that transects the NW-trending basin stratigraphy. The drilling of bedrock beneath surface geochemical anomalism in southern Browns intersected mostly biotite-quartz-feldspar gneiss and quartzite with sulfide-bearing schists towards end-of-hole LRAC021. The anomalous zinc in geochemical samples is attributed to a secondary enrichment process with the source of metals weakly zinciferous biotite-rich schists intercepted in this zone, which are found to have elevated background zinc contents (up to 804 ppm in LRAC027).

Significantly, the geological transition to more pyritic and phyllosilicate-rich units identified at the southern limits of the tested area (from 80m depth in LRAC021) is interpreted to represent a transition in the pre-metamorphic protolith stratigraphy to lower energy sedimentary units, considered more prospective for BHT/SEDEX type deposits. Therefore, future investigations will continue to test southwards into this domain, which also coincides with the "trough" structure epicenter interpreted from detailed gravity plus airborne magnetics geophysical data. Resampling and assay of composited drill samples, collected in the first phase of AC drilling at Browns has been completed to obtain grade intercept data at the 1m interval resolution.

The mineralized intersections defined in the first sampling and assay campaign have been repeated and, significantly, high grades of Pb have been returned at the 1m interval scale. Results include 1m @ 3.13% Pb from 38m, 0.24% Zn, 5g/t Ag from 38m (LRAC010). This intercept suggests that localized high grades of base metals and silver (e.g. percent levels of Pb) mineralization identified in surface rock chips (39.6% Pb, 0.71% Zn, 82g/t Ag; exist in the subsurface hypogene mineral system at Browns.

Next Steps at Lyons River Project: Browns: Pb-Zn-Ag-Dalaroo proposes to carry out Induced Polarisation (IP) geophysical surveys supported with additional close-spaced surface geochemical sampling in the next phase of exploration. The goal of these surveys will be the delineation of a mineralized body at depth that possesses not just the surface geochemical signature, but also the geophysical properties, characteristic of a significant BHT/SEDEX deposit in the Browns prospect area. Deeper diamond drilling is also proposed to better understand the geological transition to more pyritic and phyllosilicate-rich units identified at the southern limits of the drill tested area interpreted to represent a transition in the pre-metamorphic protolith stratigraphy to lower energy sedimentary units, considered more prospective for BHT/SEDEX type deposits.