Odessa Minerals : Proposed Strategic Lithium Acquisition - Lyndon Project

ASX Announcement

26 April 2022

PROPOSED STRATEGIC LITHIUM ACQUISITION

LYNDON PROJECT - WESTERN GASCOYNE

HIGHLIGHTS

• • Odessa Minerals to acquire the "Lyndon Project" located 200km NE of Carnarvon in the Gascoyne Complex of Western Australia covering an area of 606km2, subject to Shareholder approval

• • The attractive multi-commodity acquisition consists of an area highly prospective for Lithium (Li), Rare Earth Elements (REE) and Nickel-Copper (Ni-Cu)

• • The acquisition will diversify Odessa's commodity exposure, especially to the regenerative battery metals market, to enhance its value proposition and returns to shareholders

Lithium Potential:

• • An area in excess of 50km2 with numerous clusters of pegmatites prospective for Lithium

• • Highly anomalous Government (GSWA) Lithium geochemistry of 49.6ppm1

Rare Earth Element (REE) Potential:

• • Several aeromagnetic features similar to those associated with REE carbonatites recently discovered 90km to the SE by Dreadnought (ASX:DRE)

Nickel - Copper Potential:

• • 32 strike-kilometres of Mundine Well Dolerite prospective for Magmatic Nickel-Copper Sulphide mineralisation

• • Ni-Cu sulphide deposits currently being evaluated by First Quantum/Dreadnought 30km to the east2

Odessa's CEO, Alistair Stephens, commented: "This Lyndon Project acquisition is an excellent opportunity for Odessa to enter the battery metals sector, in a part of the Gascoyne Complex that is host to a number of newly discovered occurrences of Lithium, Rare Earth and Nickel-Copper. We remain resolutely focussed on progressing our cornerstone diamond projects in the Kimberley region, and as work becomes limited during the northern wet season, this acquisition will provide an excellent year-round exploration project for Odessa."

• 1 Geological Survey of Western Australia (GSWA, WACHEM No 208317)

• 2 Dreadnought Resources Limited ASX Announcement 14 February 2022

Odessa Minerals Limited (ASX:ODE) (Odessa or the Company) is pleased to announce it has signed a binding agreement to acquire three (3) Exploration Licence Applications referred to as the "Lyndon Project" (refer Table 1; "Tenements") from CRC Minerals Pty Ltd that covers 606 km2 in the Gascoyne Complex of Western Australia.

Figure 1: Lyndon Project. Location and Regional Geology

LYNDON PROJECT - Geology and Mineral Targets

The Lyndon Project tenements are primarily prospective for Lithium, Rare Earths and Nickel-Copper Sulphide mineralisation.

The Lyndon Project contains excellent potential for the discovery of new Lithium-rich pegmatites, Rare Earth Carbonatites and Magmatic Nickel-Copper Sulphide deposits in what is becoming a significant, emerging metallogenic province that has recently seen the discovery of a number of highly promising Lithium-bearing Pegmatites, REE-rich Carbonatites and Magmatic Ni-Cu sulphide deposits.

Figure 2: Lyndon Project. Location of the Government (GSWA) Lithium geochemistry and key target areas for Lithium, REE, Nickel and Copper.

The Lyndon Project area has three (3) principal discovery opportunities;

1. Lithium-bearing Pegmatites. Sampling by the Geological Survey Western Australia (GSWA, No.

208317) has identified anomalous Lithium geochemistry (49.6ppm Li) in the vicinity of several outcropping pegmatites. The area is unexplored for lithium and represents an excellent opportunity for new lithium discoveries;

2. Rare Earth Element Carbonatites: The area contains several geophysical features similar to those associated with REE carbonatites on the neighbouring Mangaroon Project currently being explored by Dreadnought Resources Limited (ASX:DRE).

3.

Magmatic Nickel-Copper Sulphide mineralisation in mafic intrusions of the Mundine Well Dolerite.

An intrusion (the "Money Intrusion") that is part of the same mafic suite (age, rock-type) is currently being explored by Dreadnought - First Quantum 30km to the west. The Money Intrusion is host to several significant and promising Nickel-Copper Sulphide occurrences. The mostly outcropping mafic sills within the Lyndon Project area have never before been explored for magmatic sulphide mineralisation.

Tenement No. Name	E08/3364 Ebra Bore	E09/2605 Lyndon	E08/3434 Daylight Well
Mineral Targets	REE	Li, REE, Ni-Cu	Li, REE, Ni-Cu
Blocks	70	69	61
Area (sq. km.)	220	207	179
Application Date	31 May 2021	30 July 2021	9 September 2021
Grant Date	Pending	Pending	Pending

Table 1: Lyndon Project. Tenement Schedule ("Tenements").

Acquisition terms:

Odessa is proposing to acquire 100% of the Lyndon Project Tenements (Table 1) from CRC Minerals Pty Ltd. ("CRC") for the following consideration:

• • $10,000 non-refundable deposit payable by Odessa to CRC;

• • The acquisition consideration comprises:

  • • Cash payment of $90,000 (excluding GST);

  • • 52,000,000 shares in Odessa and 15,000,000 4-year unlisted options (exercisable at 4 cents), with 80% of the shares and options to be issued upon the grant of any two of the three Tenements and the remaining 20% to be issued on the grant of the final third Tenement ("Consideration Securities"); and

  • • The grant of a 1.3% net smelter royalty in favour of CRC.

The acquisition of the Tenements (and payment of the acquisition consideration) is subject to conditions (which may be waived by Odessa), including:

• • Grant of any two of the three Tenements;

• • Receipt of Ministerial consent under the Mining Act 1978 (WA) to the transfer of the any two of the three Tenements from CRC to Odessa; and

• • Odessa obtaining shareholder approval for the issue of the Consideration Securities. Odessa intends to obtain shareholder approval just prior to or following grant of the Tenements to CRC.

Alistair Stephens | CEO	Investor & Media Relations	General Enquiries
[e-mail]	[e-mail]	[e-mail]
M: [phone]	M: [phone]	www.odessaminerals.com.au
Competent Persons Statement

A break fee of $200,000 will be payable to CRC in the event that Odessa's shareholders do not approve the acquisition of the Lyndon Project and the other conditions are satisfied.

The vendors of the Lyndon Project are unrelated parties of the Company.

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

ENQUIRIES

The information in this report that relates to mineral exploration from the Lyndon Project is based on information compiled from Government geochemical data and published geological maps reviewed by Mr.

Robert Perring who is a geologist and Director of CRC Minerals Pty Ltd. Mr. Perring is a Registered Professional with the Australian Institute of Geoscientists and has sufficient experience that is relevant to the style of mineralisation and type of deposits 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' (JORC code). Mr. Perring consents to the inclusion in this report of the

matters based on the information in the form and context in which it appears.