Prodigy Gold NL : Major JV with Newmont for Monza Gold Project

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ASX ANNOUNCEMENT / MEDIA RELEASE

ASX: PRX

30 November 2021

Newmont Signs Farm-in Agreement to Advance Exploration at

Monza Project, Northern Territory

HIGHLIGHTS

• Exploration Farm-in and Joint Venture Agreement ("Agreement") signed with Newmont Exploration Pty Ltd, a wholly owned subsidiary of Newmont Corporation ("Newmont"), to advance exploration at the Monza Project located in the Northern Territory (the "Project")
• Prodigy Gold free carried until Newmont makes a decision to proceed with the development of a mine
• Under the Agreement, Newmont can earn an initial 51% interest in the Project by either spending A$6 million on exploration or defining a JORC 2012 Inferred Mineral Resource
• Newmont can earn an additional 29% interest in the Project if it makes a decision to mine
• Prodigy Gold has a financing option exercisable from the decision to mine to commencement of commercial production
• The Project area hosts several key targets along strike or parallel to the Trans-Tanami Trend
  - most targets have been subject to limited or no previous exploration
• Prospectivity of the Project area highlighted by encouraging results from drilling completed at the Dune Prospect, located 1.5km to the south of Newmont's Oberon Deposit

Prodigy Gold NL (ASX: PRX) ("Prodigy Gold" or the "Company") is pleased to advise that it has signed a binding Exploration and Farm-in and Joint Venture Agreement ("Agreement") with Newmont Exploration Pty Ltd, a wholly owned subsidiary of Newmont Corporation ("Newmont") to advance exploration at the Monza Project located in the Northern Territory (the "Project").

Under the Agreement, Newmont can earn an initial 51% interest in the Project by either incurring expenditure of A$6,000,000 or defining a JORC 2012 Inferred Mineral Resource (whichever occurs first) (Phase 1 Earn-In). The Joint Venture commences on Prodigy Gold receiving a completion notice from Newmont for the Phase 1 Earn-In. Once the Joint Venture decides to proceed with the development of a mining operation, Newmont will automatically earn an additional 29% interest in the Project (resulting in an 80% aggregate interest) (Phase 2 Earn-In).

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If the Joint Venture completes the Phase 2 Earn-In, Prodigy Gold may (within 60 days of the receipt of the completion notice for the Phase 2 Earn-In) elect to bring Newmont's interest in the Joint Venture to 85% and require Newmont to fund Prodigy Gold's share of future Joint Venture costs (including feasibility study costs) from the date it receives such notice until the commencement of commercial production (the Financing Option).

Prodigy Gold must either elect to exercise the Financing Option, co-fund all future exploration and development or dilute its interest in the Project and convert to a 1% net smelter return royalty if its interest falls below 10%.

Management Commentary

Commenting on the Agreement with Newmont, Prodigy Gold's Managing Director Matt Briggs said:

"We are pleased to be partnering with Newmont to advance exploration at the Monza Gold Project, an area that we believe hosts significant exploration upside potential. Prodigy Gold has established a good working relationship with Newmont through a current Joint Venture over the Tobruk Gold Project, so we are looking forward to combining our technical expertise to advance Monza.

Figure 1 - Tanami Region tenement map showing the Monza JV and adjacent Prodigy Gold and Newmont tenements (See endnotes for endowment source references)

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This is a favourable agreement for Prodigy Gold which will see the Company retain a 20% free carried interest through to decision to mine. We look forward to providing further updates on exploration plans for Monza in due course.

Newmont is heavily investing in the Tanami Region at their existing mine. The Tanami Expansion 2 is adding a 1,460 metre hoisting shaft to allow mining to 2,140 metre below surface, and supporting infrastructure to achieve an annual production of 3.5 million tonnes (www.miningmagazine.com 28

October 2019)"

Monza Project Background

The Project includes over 3,000km² of exploration licences and applications in the Tanami Region of the Northern Territory along strike of and containing structures parallel to, the Trans-Tanami Fault trend. This trend is the regional control of major gold deposits in the area, including Newmont Mining's 14.2 million ounce Callie Gold Mine (Schmeider et al 2018).

Previous exploration has primarily been soil sampling and patchy reconnaissance drilling with 10 of the 18 tenements in the Project having no drilling in the last 20 years.

The Project hosts key targets along strike or parallel to the Trans-Tanami Fault trend which have seen limited or no previous exploration. Positive results have been received from previous drilling completed at the Dune Prospect, located 1.5 kilometres to the south of Newmont's Oberon Deposit (Figure 1).

Previous RC drilling within the Project area has defined significant gold anomalies in oxide at Dune over a strike length of 1.4 kilometres (Figure 2). Within this area results included (ASX: 22 Jan 2019,

19 Aug 2019 & 28 Nov 2019):

• 2 metres @ 12.0 g/t Au from 105 metres (EUR0006)
• 8 metres @ 1.9 g/t Au from 94 metres (EUR0003)
• 36 metres @ 0.6 g/t Au from 104 metres, including 20 metres @ 0.95 g/t Au from 105 metres (EUR0010)
• 18 metres @ 0.4 g/t Au from 126 metres, including 2 metres @ 1.24 g/t Au from 126 metres (EUR0019)
• 10 metres @ 0.3 g/t Au from 146 metres (EUR0021).

The bedrock source of the gold in oxide (Figure 2) is not yet defined and gold in oxide remains open to the north towards Newmont's Oberon Deposit.

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Figure 2 - Dune Prospect drilling

Figure 3 - Dune Prospect Cross Section.

Authorised for release by Prodigy Gold's Interim Executive Chairman, Matt Briggs.

For further information contact:

Matt Briggs

Interim Executive Chairman

[phone]

Follow @ProdigyGoldAuon Twitter

Follow Prodigy Goldon LinkedIn

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About Prodigy Gold NL

Prodigy Gold has a unique greenfields and brownfields exploration portfolio in the proven multimillion -ounce Tanami Gold Province. Prodigy Gold remains highly active in its systematic exploration approach and following the removal of COVID-19 restrictions intends to continue exploration prioritising on:

• drilling targets on its Tanami Projects
• a scoping study on the Buccaneer Resource
• systematic evaluation of high potential early stage targets
• joint ventures to expedite discovery on other targets

Competent Person's Statement

The information in this announcement relating to exploration targets and exploration results are based on information reviewed and checked by Mr Matt Briggs, MAusIMM. Mr Briggs is a Member of The Australasian Institute of Mining and Metallurgy and has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity 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 (the "JORC Code"). Mr Briggs is a fulltime employee and shareholder of the Company in the position of Interim Executive Chairman and consents to the inclusion of the Exploration Results in the form and context in which they appear.

Prodigy Gold NL confirms that it is not aware of any new information or data that materially affects the information included in the market announcement and that all material assumptions and technical parameters underpinning the estimates included in referenced previous market announcements continue to apply and have not materially changed.

Endowment References

Callie / Dead Bullock Soak

S. Schmeider, S. Perazzo, L. Griesel, and C. Robinson 2018. Tanami Operations, Callie mine: Multiple new discoveries supporting transformational growth in a mature mining camp, Abstract and Presentation in 'Annual Geoscience Exploration Seminar (AGES) 2018. Record of Abstracts'. Northern Territory Geological Survey, Record 2018.

Oberon

D Huston, L Vandenberg, A Wygralak, Andrew and T Mernagh, Terrence & Bagas, Leon & Crispe, Andrew & Lambeck, Alexis & Cross, Andrew & Fraser, Geoff & Williams, Nick & Worden, Kurt & Meixner, Tony & Goleby, Bruce & Jones, Leonie & Lyons, Patrick & Maidment, D.W.. (2007). Lode-gold mineralization in the Tanami region, northern Australia. Mineralium Deposita. 42. 175-204.

Buccaneer and Old Pirate

See 2020 Prodigy Gold Annual Report at www.prodigygold.com.au/investors

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