Kingfisher Mining : Significant REE Discovery at Mick Well of 12m at 1.12% TREO

ASX Announcement: 10 January 2022

onlyASX CODE: KFM

Shares on issue: 42,250,001

Cash: $4.0M (30 September 2021)

Debt: Nil

usePROJECTS

Boolaloo: Copper-Gold

Kingfi her: Rare Earth Elements

Mick Well: Rare Earth Elements

Arth r River: Copper

personalCORPORATE DIRECTORY WARREN HALLAM

Non-Executive Chairman

JAMES FARRELL

Executive Director and CEO

ADAM SCHOFIELD

Non-Executive Director

SCOTT HUFFADINE

Non-Ex cutive Director

STEPHEN BROCKHURST

Com any Secretary

MEDIA & INVESTOR ENQUIRIES

ForPeter Taylor, NWR Communications P: [phone]

E: [e-mail]

ABN: 96 629 675 216

P: [phone]

1. [e-mail]

1. www.kingfishermining.com.au

Unit 2, 106 Robinson Avenue

Belmont WA 6104 AUSTRALIA

GPO Box 2517 Perth

WA 6831 AUSTRALIA

Significant Rare Earths Discovery:

12m at 1.12% TREO

• Mick Well Prospect drill program delivers an impressive 12m at 1.12% total rare earth oxides (TREO), including 4m at 1.73% TREO - high-grade TREO establishes significant potential for a rare earths project.
• The Mick Well interval recorded 12m at 0.21% Nd2O3 and Pr6O11, including 4m at 0.31% Nd2O3 and Pr6O11.
• Further anomalous results of 4m at 0.27% TREO and 4m at 0.18% TREO were returned from the same target and a second target at Mick Well also returned 4m at 0.17% TREO.
• Follow-upmapping indicates significant rare earths exploration potential for the Company's expansive Gascoyne tenure which now covers 969km2. Mapping and first-pass interpretation has identified 12 more potential areas of carbonatite intrusions with associated alternation which have the potential to host rare earth elements (REEs).

Kingfisher Mining Limited (ASX:KFM) ("Kingfisher" or the "Company") is pleased to provide drill results from the on-going exploration at its 100% owned projects in the Gascoyne Mineral Field in Western Australia.

The Company has received results from the reverse circulation (RC) drilling of three targets at its Mick Well Prospect and one target at its Kingfisher Prospect. Significant new drill results associated with a discovery of rare earths mineralisation include:

• MWRC004: 12m at 1.12% TREO with 0.21% Nd2O3 and Pr6O11 from 40m, including 4m at 1.73% TREO with 0.31% Nd2O3 and Pr6O11 from 40m.

The results compare favourably with the world-class Yangibana Project which includes Mineral Resources of 27.42Mt @ 0.97% TREO with 0.33% Nd2O3 and Pr6O11#. Yangibana is located 105 km north of the Company's Mick Well Project and is also associated with Durlacher Suite rocks; the same Durlacher Suite rocks outcrop and are associated with the recently discovered mineralisation at Mick Well.

Neodymium and Praseodymium (NdPr) are highly sought-after elements. Their primary use is in permanent magnets which are used in electric vehicles and wind turbines. The NdPr market is in deficit and future demand for NdPr is expected to remain strong due to the clean energy economy.

The drilling at Mick Well also returned other anomalous analytical results which are still being evaluated and will form the basis of on-going targeting and exploration (Figure 1). The anomalous results from Mick Well include:

• MWRC005: 4m at 0.27% TREO with 506 ppm Nd2O3 and Pr6O11 from 16m and 4m at 0.12% TREO with 222 ppm Nd2O3 and Pr6O11 from 76m.
• MWRC003: 4m at 0.18% TREO with 388 ppm Nd2O3 and Pr6O11 from 88m.
• MWRC002: 4m at 0.17% TREO with 247 ppm Nd2O3 and Pr6O11 from 12m

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Figure 1: Drill hole locations and analytical results for Mick Well targets MW2 and MW3. The extents of the interpreted carbonatite complexes are also shown.

The drilling program at Mick Well and Kingfisher was designed to test targets that were initially identified from the Versatile Time Domain Electromagnetic (VTEMTM Max) airborne survey completed by the Company in July 2021 (see ASX:KFM announcement 27 July 2021). The survey produced several high- quality conductor targets and the drill holes were designed to test three of the VTEMTM conductors at Mick Well (MW1, MW2 and MW3) and a conductor on the interpreted structure strike extensions at the historic Kingfisher prospect (KF1).

Targets MW2 and MW3 were selected for priority drilling due to the discrete magnetic lows which were spatially associated with VTEMTM conductors (Figure 2). The potential for rare earth elements associated with the targets was recognised from anomalous rock chip samples that were collected during the drilling program (see ASX:KFM announcement 21 December 2021).

Three-dimensional modelling of the magnetics data for targets MW2 and MW3 has been completed and has revealed the discrete magnetic lows are pipe-like features that have significant vertical extents, with the MW2 pipe extending to a depth of 1000m. The pipe-like features have now been interpreted to be associated with the intrusion of the carbonatites and potentially other ultramafic rocks which outcrop close to the MWRC004 drill site (Figure 3).

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Figure 2: Total magnetic intensity (first vertical derivative) showing the discrete magnetic lows at the MW2 and MW3 targets as well as the drill hole locations and analytical results for Mick Well. The extents of the interpreted carbonatite complexes are also shown.

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Figure 3: Carbonatite dyke outcrop and a sample of ultramafic intrusive from Mick Well.

The RC drilling completed at Mick Well and Kingfisher included 12 holes for 1,552 metres. Drill holes MWRC003, MWRC004 and MWRC005 were completed at the MW2 target, with drill holes MWRC001 and MWRC002 completed at the MW3 target.

Each of drill holes at the MW2 target returned anomalous results, with an impressive 12m at 1.12% total TREO from 40m downhole, including 4m at 1.73% TREO intersected in MWRC004. Significantly, the mineralisation intersected in MWRC004 is in fresh (unoxidised) rock and appears to be zoned, with an outer zone of anomalous copper mineralisation which includes 32m at 0.16% Cu from surface, 8m at 0.08 g/t Au from 24m and the 12m wide zone of rare earth mineralisation from 40m (Figure 4). The Company considers this zonation of mineralisation to be highly encouraging for the potential for larger scale mineralisation systems to be present within the area.

The mineralisation at Mick Well is associated with carbonate complexes which consists of the carbonatite intrusions and dykes, amphibolite, gneiss and ultramafic rocks as well as alteration and veins related to the intrusions. The orientation of the mineralisation within this complex geological setting is not yet known, all reported intervals in this announcement are down hole lengths.

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Figure 4: Cross-section showing MWRC004 geology and mineralisation. The section location is shown on Figure 2.

The Mick Well drilling and recent field mapping programs have contributed important information to the on-going regional exploration. Field mapping has resulted in the identification of outcropping carbonatites and associated alteration at more than 20 field sites (Figure 4 and Figure 5, see ASX:KFM announcement 21 December 2021). The information from mapping has already been combined with the airborne magnetic and electromagnetic surveys and will greatly assist with on-going exploration. A high-level reinterpretation of the magnetics data following integration of the new mapping has potentially identified an additional 14 pipe-like features at Mick Well and Kingfisher and re-assessment of the lower conductivity responses from the VTEMTM survey has produced another 15 priority areas for follow-up fieldwork. All newly identified magnetic and electromagnetic targets are associated with interpreted carbonatite intrusions (Figure 6).

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