OAR Resources : Douglas Canyon Gold Project Update

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21 February 2022

Douglas Canyon Gold Project Update

HIGHLIGHTS

• First-phasediamond drilling program to recommence in March
• Project strategically expanded with new ground staked over key structures immediately adjacent and to the west of existing Project area
• Extends interpreted strike to >2.5km, expanding OAR's footprint in this richly endowed district of Southern Nevada

Oar Resources Limited (ASX:OAR) ("OAR" or the "Company"), is pleased to provide an update in respect of its 100% owned Douglas Canyon Gold Project in the prolific Walker Lane Gold-Silver district of Southern Nevada, in the USA.

Drilling Program to Recommence

The Company is scheduled to recommence drilling of the high-grade Douglas Canyon Gold Project in March. Drilling will initially re-enter and extend the first hole in the drilling program (DCD-02), which was temporarily suspended due to adverse weather conditions and the Christmas holiday period.

DCD-02 is targeting the depth extension of a highly fractured high-grade quartz vein within highly sheared meta sediments mapped at surface. Drilling of DCD-02 will now resume and continue to a target depth of 250m to 300m, before repositioning to the second hole, to drill test the parallel high- grade structure on the northern shear DCD-01 (see Figure 1), to the north of DCD-02.

The drilling program will remain targeted on a series of parallel vein structures where previous outcrop sampling has confirmed high-grade gold and silver mineralisation1.

Due to the fractured nature of the drill core recovered thus far, drilling operations will prioritise maximising recovery of drill core for analysis, over speed to ensure OAR recovers good quality core required to improve our understanding of the geology and to assist in planning of subsequent holes.

When drilling ceased in late December, the Company interpreted that it had intersected the targeted shear structure, and at the current depth (213.5m) remains within this structure. The silica flooded host rock, with thin quartz stringers and highly siliceous quartz breccias observed in the drilling to date are encouraging for the discovery of further gold mineralisation.

OAR's Managing Director Justin Richard commented:

"With gold prices running higher it's an opportune time to be drilling the Douglas Canyon Gold Project in Nevada, which consistently ranks among the top tier mining jurisdictions globally and currently holds top spot for overall investment attractiveness and second for mineral potential2. In short, we have the right team, in the right place, at the right time".

• Refer Appendix 1 of the Company's ASX Announcement dated 25 January 2022

• In 2021, the Fraser Institute ranked Nevada the number one mining jurisdiction in the world based on the Investment Attractiveness Index which takes into account mining policies and mineral potential.

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Figure 1: Drill collar location plan - Douglas Canyon Gold Project

Strategic Expansion of Douglas Canyon Project Area

OAR also advises that it has expanded the Douglas Canyon Project area, via the strategic addition of new claims immediately adjacent and to the west of the existing Project tenure (Figure 2).

The new claims increase the Project area by an additional ~2.59km2 (~259 hectares) to approximately 6.47km2 (647 hectares) and increases the interpreted strike length to in excess of 2.5km.

The western extension of the main shear currently the subject of OAR's first-phase drilling at Douglas Canyon can be visually traced for approximately 1.5kms. Prospect pits adjacent (marked by blue dots in Figure 1), to the south of this structure have now been staked, and new claims are being filed with the Nevada Bureau of Land Management.

The southernmost structure has multiple prospect pits continuing to the west of the area previously mapped and sampled. Airborne imagery suggests there may be other structures between these two major structures (in the new western extension block). Mapping and prospecting of the extended claim area is also due to commence in March.

Historic bulk leach extractable gold (BLEG) Au/Ag sample results are shown for the whole map area; they are anomalous (yellow, orange and red circles) for the new area to be staked but anomalism is in the lower range of "anomalism". One high-grade BLEG result within the new claim area of 80.9 ppb Au 232.1 ppb Ag (red dot) is interpreted to be due to contamination from mining and smelting activity to the southwest at Camp Douglas.

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Figure 2: Douglas Canyon Claims - Western extension (yellow) to cover key structures and historic BLEG sample

anomalism (Au ppb/ Ag ppb)

Figure 3: Historic working within the expanded Douglas Canyon Claim area

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Figure 4: Historic working within the expanded Douglas Canyon Claim area

About the Douglas Canyon District

The Douglas Canyon project is in the Camp David/Mina district in Southern Nevada which hosts numerous high-gradegold-silver epithermal projects. The area in the immediate vicinity of OAR's Douglas Canyon Project is a major focus of exploration, with Fortitude Gold Corporation commencing production in 2019, at its Isabella Pearl Gold mine located just 24 km to the northwest of Douglas Canyon.

Gold mineralisation in the district is hosted in northwest trending shear hosted epithermal quartz veins like those mapped at surface at OAR's Douglas Canyon Project.

Strategic Project Review

Previous announcements have highlighted a strategic review is underway on the Company's project portfolio, with Bramfield Iron Ore being identified as a non-core asset and Crown Ni-Cu-PGE Project identified as a priority. The Douglas Canyon Gold also remains a priority with the maiden drilling program now continuing and additional claims being staked.

"This Announcement has been authorised for release to ASX by the Board of Oar Resources Limited"

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For further information please contact:
Justin Richard	James Moses
Managing Director	Media & Investor Relations
Oar Resources Limited	Mandate Corporate
P: [phone]	E: [e-mail]
[e-mail]
www.oarresources.com.au

About Oar Resources Limited

Oar Resources Limited is an ASX listed precious metals explorer and aspiring producer. Oar has acquired 100% of Australian Precious Minerals Pty Ltd, holder of the Crown Project in Western Australia. Crown is situated near Chalice Mining's world-class Julimar polymetallic discovery. Oar has also acquired 100% of Alpine Resources' gold exploration projects in the highly prospective gold province of Nevada, United States - ranked the third best mining jurisdiction in the world. These projects are in an area that hosts several multi-million-ounce deposits. Oar, through its wholly owned subsidiary Lymex Tenements Pty Ltd holds a number of tenements on the South Australian Eyre Peninsular which are considered highly prospective for kaolinite and halloysite mineralisation, graphite, and other commodities. In addition, Oar's Peruvian subsidiary, Ozinca Peru SAC, owns a CIP Gold lixiviation plant, strategically located proximal to thousands of small gold miners in Southern Peru.

Forward Looking Statement

This ASX announcement may include forward-looking statements. These forward-looking statements are not historical facts but rather are based on Oar Resources Ltd.'s current expectations, estimates and assumptions about the industry in which Oar Resources Ltd operates, and beliefs and assumptions regarding Oar Resources Ltd.'s future performance. Words such as "anticipates", "expects", "intends", "plans", "believes", "seeks", "estimates", "potential" and similar expressions are intended to identify forward-looking statements. Forward-looking statements are only predictions and are not guaranteed, and they are subject to known and unknown risks, uncertainties and assumptions, some of which are outside the control of Oar Resources Ltd. Past performance is not necessarily a guide to future performance and no representation or warranty is made as to the likelihood of achievement or reasonableness of any forward-looking statements or other forecast. Actual values, results or events may be materially different to those expressed or implied in this ASX announcement. Given these uncertainties, recipients are cautioned not to place reliance on forward looking statements. Any forward-looking statements in this announcement speak only at the date of issue of this announcement. Subject to any continuing obligations under applicable law and the ASX Listing Rules, Oar Resources Ltd does not undertake any obligation to update or revise any information or any of the forward-looking statements in this announcement or any changes in events, conditions, or circumstances on which any such forward looking statement is based.

Competent Person's Statement

The information in this ASX Announcement for Oar Resources Limited was compiled by Mr. Anthony Greenaway, a Competent Person, who is a member of the Australasian Institute of Mining and Metallurgy. Mr Greenaway is an employee of Oar Resources Limited. Mr Greenaway has sufficient experience, which is relevant to the style of mineralisation and types of deposits under consideration and to the activity to which he is undertaking 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 Greenaway consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

All references to original source information are included as footnote references as indicated throughout the presentation where required.

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