ALCHEMY RESOURCES LIMITED — Board/Management Information 2021

Dec 15, 2021

ASX: ALY

16 December 2021

BOARD AND MANAGEMENT

MR LINDSAY DUDFIELD NON-EXECUTIVE CHAIRMAN

MR JAMES WILSON CHIEF EXECUTIVE OFFICER

MS LIZA CARPENE NON-EXECUTIVE DIRECTOR

MR ANTHONY HO NON-EXECUTIVE DIRECTOR

MS JESSAMYN LYONS JOINT COMPANY SECRETARY

MS CARLY TERZANIDIS JOINT COMPANY SECRETARY

PROJECTS

LAKE REBECCA (ALY 100%)

KARONIE (ALY 100%)

KARONIE DRILLING TO COMMENCE

HIGHLIGHTS

• Aboriginal Cultural Heritage Surveys completed with the Ngadju and Kakarra traditional owners across all the proposed drill areas at the Karonie Gold Project in Western Australia for 2022.

• Drill rig booked to start in the first week of January 2022. Government approvals have been granted for commencement of the drill program.

• Drilling consists of ~7000m of Aircore drilling testing the Karonie East targets over a 10km strike extent over similar structural features hosting Silver Lake Resources Karonie deposits, located adjacent to ALY’s 100% owned tenure.

• Yellow Mountain Project heritage surveys commenced in New South Wales and expected to be completed in early January 2022, to enable follow up on historic high-grade drill results including 24.4m @ 1.12% Cu, 1.19% Pb and 1.02% Zn from surface[5] and high grade mullock grab samples grading 7.15% Cu, 6.4% Pb and 1.08g/t Au[6,7,8] .

LACHLAN (ALY 80%)

WEST LYNN (ALY 80%)

BRYAH BASIN (ALY 20%, TSX-V SGI 80%) BRYAH BASIN (ALY 20%, SFR 80%)

Alchemy Resources Limited (ASX: ALY) (“Alchemy” or “the Company”) is pleased to announce the completion of two key Heritage Surveys at the Karonie Gold Project in Western Australia with no areas of significance identified. The comprehensive archaeological and ethnographic surveys were conducted in November and December 2021 with the representatives of the Ngadju and the Kakarra Traditional Owners. The surveys were designed to assess the areas of proposed exploration at the Karonie East, Western Brown, Gilmore, Esplanade and Challenger targets. Advice from both groups confirms that the areas are clear for stated drill programs to proceed. The first drill program, planned for early January 2022, will focus on the 10km long corridor adjacent to Silver Lake Resources’ (“SLR”) Aldiss Mining Operations at Karonie East, with targets generated by the recent high-resolution magnetics survey[1] . Government approvals have been obtained and the program is fully permitted to commence. Two further drill programs are planned for the Western Brown / Gilmore and Challenger / Esplanade targets to follow during the year.

Chief Executive Officer Mr James Wilson commented:

“We are pleased to have finalised these key heritage surveys, which allow us to execute all planned drill programs in 2022 and beyond. We thank the Ngadju and Kakarra People for progressing the surveys in a timely fashion and look forward to a continuing strong relationship in the future. Looking forward, we are excited to hit the ground running when we commence drilling at the Karonie East target in early January 2022”.

Alchemy Resources Limited

ABN: 17 124 444 122

T: 9481 4400 | E: admin@alchemyresources.com.au | W: www.alchemyresources.com.au 8/8 Clive Street, West Perth 6004, WA

KARONIE PROJECT EXPLORATION (WA ALY 100%)

PHASE 2 AIRCORE DRILL PROGRAM (~7000m) – Commencing early January 2022

Alchemy has completed two key Aboriginal Cultural Heritage Surveys for the Karonie Gold Project in Western Australia. The surveys focussed on clearing three main areas at 1) Karonie East, adjacent to the SLR Mining Operations; 2) Western Brown and Gilmore Structural and Magnetic anomaly targets identified earlier this year[1] ; and 3) the Challenger and Esplanade targets.

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Figure 1: Karonie drill targets

1 Refer to ALY ASX announcement 18 November 2021: Karonie Exploration Update

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Phase 2 of Alchemy’s planned drilling has been refocussed on the Karonie East target area as a priority target, after the high-resolution magnetics pin-pointed multiple high tenor structures in proximity to the existing deposits at Aldiss. Understanding the structural framework of the area has been a key focus over the last nine months, that has been supported by recent detailed field mapping and high-resolution magnetics. Alchemy has successfully sampled historic holes at Karonie East for multi-element geochemistry which returned anomalous results, supporting the view that historical exploration did not adequately test this area as previous drilling did not penetrate the younger cover or was too wide spaced to target the model of short strike length but high-grade structures at Karonie.

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Figure 2: Karonie East drill targets and Resources[2]

2 Refer to ALY ASX announcement 31 August 2021: Maiden 111koz Mineral Resource for Karonie

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PHASE 3 DRILL PROGRAM – Commencing Q2-Q3 2022

Western Brown and Gilmore

Western Brown is a newly defined 2km[2] greenfields target that was identified during recent field work (Figure 3). The target is defined by a magnetic dolerite that is disrupted by a major NE-striking fault corridor; these NE fault corridors are what generally control mineralisation throughout the Karonie province. The intersection point of the fault corridor and the magnetic dolerite is interpreted to be situated in the middle of a large salt lake and has never been drill tested. The same NE-striking fault corridor that intersects the dolerites at Western Brown also disrupts fractionated magnetic dolerites at the Gilmore prospect. Both targets have seen very little effective drilling, with most of the RAB drilling at Gilmore not being able to penetrate through transported cover to basement geology. Alchemy has secured EIS Co-Funding for these targets, which is seen as additional technical validation of its potential to host new discoveries in the region.

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Figure 3: Phase 3 Drill targets at Gilmore and Western Brown

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PHASE 4 DRILL PROGRAM – Commencing Q3-Q4 2022 Challenger and Esplanade South

CHALLENGER

Challenger is a more advanced target that has known fresh rock mineralisation. Intercepts of up to 10m at 1.46 g/t gold (from 128m) in ISRC10351[3] are hosted within a thick high-Fe quartz dolerite sill, which is a similar host rock to the mineralisation at Bombora and the Golden Mile. A significant Au-Bi-Mo-Te-W-Sb anomaly, which is considered the best pathfinder for mineralisation, can be seen from the AC drilling in the area. The area has had historic Reverse Circulation (RC) drilling only and was drilled in a SW orientation, which would have failed to adequately test the SW dipping fold limb at Challenger. NE orientated drillholes are likely to test the structure sufficiently.

CHALLENGER SOUTH

The Challenger South target is the southern extension of a high-Fe quartz dolerite sill that is seen at the Challenger prospect, that is disrupted/demagnetised by a NE-striking fault corridor. Historical aircore drilling coverage is ~400m x 160m, which Alchemy believes is too broad spaced to define tight lode mineralisation that is typical along the Keith Kilkenny Shear Zone, especially with the stripped regolith profile that is seen in the area.

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Figure 4: Phase 4 Drill targets at Challenger and Esplanade

3 Refer ALY announcement 24 May 2016

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YELLOW MOUNTAIN PROJECT (NSW ALY 80%)

YELLOW MOUNTAIN MINE PROSPECT

In late November 2021, Alchemy hosted representatives of the Condobolin Aboriginal Land Council to the Yellow Mountain Mine Prospect. Unfortunately, due to significant rain in the region, part of the access to the Prospect was cutoff, so the remainder of the survey will be completed in early January 2022.

No drilling has taken place on this prospect since 1986, despite significant occurrences of high-grade copper and lead mineralisation. The Yellow Mountain Mine was worked from the mid-1800s. Accurate production records do not exist for the mine; however, the mine reportedly produced 2.74t of lead, 360kg of copper and 6.2kg of silver from an open pit[4] . The Yellow Mountain Mine Prospect was last drilled in 1986; most of the historic drilling was shallow and many of the drill holes were not assayed for gold.

Historic drilling and sampling at the Yellow Mountain Mine Prospect (Figure 5) returned broad zones of copper and gold mineralisation including[5] :

• Mullock dump stockpile sample assay of 7.15% Cu, 6.4% Pb and 1.08g/t Au [6,7,8]

• 24.4m @ 1.12% Cu, 1.19% Pb and 1.02% Zn from surface (YP05A)

• 52m @ 0.54g/t Au, 0.31% Cu, 35g/t Ag, 1.15% Pb and 1.28% Zn from 14m (PYM011) 6

• 16.5m @ 1.08g/t Au, 0.48% Cu, 52g/t Ag, 2.04% Pb and 3.48% Zn from 198m (YD13)

Sampling of mullock dumps undertaken in 2001 by Golden Cross Resources Ltd returned assays of 7.15% Cu, 6.4% Pb and 1.08g/t Au[6,7,8] . These samples are in the area around the historic Yellow Mountain Mine shaft which was operated in the early-mid 1930s. Alchemy sees this as significant, showing the potential for high grade mineralisation at the Prospect. This sample site sits adjacent to previously reported results including 24.4m @ 1.12% Cu, 1.19% Pb and 1.02% Zn from surface in historic drilling.

The Yellow Mountain Project remains an important strategic landholding for Alchemy with a contiguous land position along strike from the Mineral Hill Mine which was recently acquired by Kingston Resources Ltd (ASX: KSN).

4 Refer to NSW DIGS Open File Report (RE0003757) - Paradigm Metals Annual Exploration for Licence 6325 Report dated 19th October 2012 – Table 3

5 Refer to ALY ASX announcement 9 June 2019: Significant Copper-Gold Targets identified at Yellow Mountain

6 Refer to NSW DIGS Open file report (R00019808) Golden Cross Operations Pty Ltd – First Annual Exploration Report EL5721 EL5787, Condobolin Area 3rd May 2001

7 Refer to NSW DIGS Open file report (R00019808) Golden Cross Operations Pty Ltd – Appendix 1: Yellow Mtn reconnaissance report D00389976 8 Refer to ALY ASX announcement 2 August 2021: Melrose and Yellow Mountain Exploration Update

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Figure 5: Yellow Mountain Mine Prospect with historic drilling and recently discovered grab sample assays

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Alchemy confirms that it is not aware of any new information or data that materially affects the information included , and that all material assumptions and technical parameters underpinning the previous estimates referred to continue to apply and have not materially changed.

ABOUT ALCHEMY RESOURCES

Alchemy Resources Limited (ASX: ALY; “Alchemy” or the “Company”) is an Australian exploration company focused on growth through the discovery and development of gold, base metal, and nickel-cobalt resources within Australia (Figure 1). Alchemy has built a significant land package in the Carosue Dam - Karonie greenstone belt in the Eastern Goldfields region in Western Australia and has an 80% interest in the Lachlan/Cobar Basin Projects in New South Wales. Alchemy also maintains its interest in the Bryah Basin Project in the gold and base metal-rich Gascoyne region of Western Australia, where Superior Gold Inc. (TSX-V: SGI; “Superior”), and Sandfire Resources Limited (ASX: SFR; “Sandfire”) are continuing to advance gold and base metal exploration, respectively.

COMPETENT PERSON STATEMENT

The information in this report that relates to Exploration Results is based on information compiled by Mr James Wilson, who is the Chief Executive Officer of Alchemy Resources Limited and holds shares and options in the Company. Mr Wilson is a Member of the Australian Institute of Geoscientists and has sufficient experience of relevance to the styles of mineralisation and the types of deposits under consideration, and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the Joint Ore Reserves Committee ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (‘JORC Code 2012’). Mr Wilson consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

This announcement has been approved for release by the Board.

For further information please contact:

James Wilson

Chief Executive Officer

E: james@alchemyresources.com.au P: 08 9481-4400

Forward looking statements This announcement contains “forward-looking statements”, including statements about the scheduling of drilling programs. All statements other than those of historical facts included in this announcement, are forward-looking statements. Forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual events or results to differ materially from future events or results expressed, projected or implied by such forward-looking statements. The Company does not undertake to release publicly any revisions to any “forward-looking statement” to reflect events or circumstances after the date of this announcement, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.

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