ALCHEMY RESOURCES LIMITED — Interim / Quarterly Report 2021

Jul 29, 2021

==> picture [596 x 132] intentionally omitted <==

BOARD AND MANAGEMENT

MR LINDSAY DUDFIELD

30 July 2021

QUARTERLY ACTIVITIES REPORT

NON-EXECUTIVE CHAIRMAN

MR JAMES WILSON CHIEF EXECUTIVE OFFICER

MS LIZA CARPENE NON-EXECUTIVE DIRECTOR

MR ANTHONY HO NON-EXECUTIVE DIRECTOR

MS JESSAMYN LYONS COMPANY SECRETARY

PROJECTS

LAKE REBECCA (ALY 100%)

KARONIE (ALY 100%)

LACHLAN (ALY 80%)

WEST LYNN (ALY 80%)

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

For the period ending 30 June 2021

Highlights

KARONIE PROJECT (WA) – Gold

• Aggressive drill program of up to 20,000m planned for Alchemy’s Western Australian tenements in 2021.

• The Phase 1 drill program was completed at the Parmelia, Taupo, KZ5 and Warrior prospects along strike from Silver Lake Resources (ASX: SLR) Aldiss Mining Centre.

• Wide zones of mineralisation intersected along strike and up/down dip of existing zones at Taupo, KZ5 and Parmelia. High grade mineralisation intersected at Taupo, mineralisation extended 150m down dip and remains open at depth

• Best intercepts from the drill program included[4] :

• KZ5: 4m @ 3.39g/t Au in from 56m in KZRC104

BRYAH BASIN (ALY 20%, SFR 80%)

• TAUPO: 1m @ 5.73g/t Au from 123m in TARC013

• TAUPO: 4m @ 1.82g/t Au from 48m in TARC014

ASX: ALY

BRYAH BASIN PROJECT (WA) – Gold / Base Metals

Sandfire Resources JV:

• 250 aircore holes were completed over the Bullgullan Bore and Horseshoe Lights tenements.

• Drilling forms part of an initial 800m x 100m pattern, designed to provide high quality lithogeochemical samples and to delineate stratigraphy.

• Best intercepts from the drill program at Bullgullan Bore included:

• 5m @ 1,170ppm Cu (HSAC0203)

• 5m @ 630ppm Zn (HSAC0139)

• 5m @ 487ppm Pb (HSAC0156)

Superior Gold JV:

• Heritage Surveys completed on Wilgeena-Hermes proposed haul road.

• Preliminary Infrastructure design work has been carried out to provide a footprint for the heritage, flora and fauna surveys and potential drilling.

Alchemy Resources Limited

ABN: 17 124 444 122

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

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 earned 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.

Alchemy completed the Phase 1 drill program at Karonie with 27 RC holes drilled for 3,121m. The Phase 1 drill program at Karonie was focussed on infilling and extending shallow zones of mineralisation at Parmelia, Taupo and KZ5 with anomalous intercepts returned from most holes. Mineralisation remains open at depth and Alchemy considers this area to be a key focus for ongoing exploration in the future.

Detailed reconnaissance mapping was commenced in the northern and southern areas which will form part of the next phases of drilling commencing later this year.

At the Bryah Basin Project Joint Venture, Sandfire drilled 250 aircore holes on the 800m x 100m program, with approximately 400 aircore holes remaining to be drilled as part of this program. Following this drilling an RC drilling program will be designed to follow-up on any geochemical anomalism observed in the first pass program.

The Superior Joint Venture completed heritage surveys on the proposed haul road from Wilgeena to Hermes during the quarter. Preliminary infrastructure design work was also carried out to provide a footprint for required heritage and flora surveys.

==> picture [412 x 268] intentionally omitted <==

Figure 1: Alchemy Resources Project Location Plan

Quarterly Activities Report 1 April 2021 – 30 June 2021

2

Karonie Project (WA) (Alchemy 100%)

The Karonie Project includes twelve exploration licences and three exploration licence applications covering 1,179km[2] of highly prospective mineralised structures within Kurnalpi Terrain greenstones 100km east of Kalgoorlie ( Figure 2 ). The tenements are located along strike of Silver Lake Resources (ASX: SLR) Aldiss Mining Centre (reserves/resources of over 585,000oz @ 1.9g/t Au)[1] , and are within 50km of Silver Lake’s Randalls processing plant, and cover 38km of the under-explored, gold endowed Claypan Shear Zone commencing just 12km along strike to the south of Breaker Resources NL’s (ASX: BRB) Bombora deposit (resource of 1.37Moz @ 1.5g/t Au)[ 2] .

==> picture [362 x 488] intentionally omitted <==

Figure 2: Karonie Project tenements, deposits, prospects and interpreted major structures over published geology.

1 Refer to Silver Lake Resources Limited’s ASX announcement dated 19 August 2020. CP: A. Awan

2 Refer to Breaker Resources Limited’s ASX announcement dated 29 April 2021. CP’s: T. Sanders, A. Barker, N. Fogden.

Quarterly Activities Report 1 April 2021 – 30 June 2021

3

Karonie Project Drill Program

During the quarter, the Company completed 27 holes for 3,121m of Reverse Circulation (“RC”) drilling at the Parmelia, Warrior, KZ5 and Taupo prospects. The objective of the drill program was to infill and extend the three main discovery zones at KZ5, Parmelia and Taupo which sit directly along strike from Silver Lake Resources (ASX: SLR) Aldiss Mining Operations. A fourth target area of interest was located at Warrior to the south-east of Parmelia, to test a large coincident magnetic/gravity high.

As part of the Phase 1 drill program, holes were designed to target up-dip and down-dip of mineralised intercepts as well as extend zones of known mineralisation along strike. Mineralisation is near to surface in the three advanced prospects, and in most areas had only been drilled down to ~100m vertical, except for KZ5 which has mineralised intercepts at up to 250m vertical depth and is open at depth.

==> picture [287 x 486] intentionally omitted <==

Figure 3: Karonie Project Prospects location

Quarterly Activities Report 1 April 2021 – 30 June 2021

4

Parmelia Prospect Drill Program

Drilling at Parmelia comprised 5 holes for a total of 684m, targeting the strike extensions and down dip extents of existing intercepts including 26m @ 1.6g/t Au from 83m[3] . Drilling intersected zones of silica altered dolerites with variable levels of sulphides and quartz veining.

Results from the RC drilling has confirmed the mineralised structure extends both down dip and along strike to the south with assays ranging from 0.3g/t Au to 0.83g/t Au over widths from 4m to 20m. PARC015, the southernmost RC hole at Parmelia, has confirmed the mineralised system extends a further 100m south from the previous intercept of 17m @ 1.05g/t Au observed in PARC011[3] . Alchemy believes the Parmelia mineralisation may occur as a series of steeply south plunging shoots over a strike length which now exceeds 500m in length.

Parmelia Prospect Assay Results

Significant assay results for Parmelia include[4] :

• PARC015: 4m @ 0.83g/t Au* from 68m

• PARC015: 20m @ 0.3g/t Au* in from 98m

• PARC016: 4m @ 0.35g/t Au* from 112m

• PARC017: 6m @ 0.53g/t Au from 158m

• Denotes 4m composite samples

==> picture [306 x 381] intentionally omitted <==

Figure 4: Parmelia Prospect with RC holes drilled during the quarter.

• 3 Refer Alchemy Resources ASX Announcement 9 Dec 2019

• 4 Refer Alchemy Resources ASX Announcement 5 July 2021

Quarterly Activities Report

5

1 April 2021 – 30 June 2021

Hole ID Northing Easting Dip Azimuth **Depth **	Hole ID Northing Easting Dip Azimuth **Depth **	Hole ID Northing Easting Dip Azimuth **Depth **	Hole ID Northing Easting Dip Azimuth **Depth **	Hole ID Northing Easting Dip Azimuth **Depth **	Hole ID Northing Easting Dip Azimuth **Depth **	Prospect From(m) To(m) Width(m) Au(g/t)	Prospect From(m) To(m) Width(m) Au(g/t)	Prospect From(m) To(m) Width(m) Au(g/t)	Prospect From(m) To(m) Width(m) Au(g/t)	Prospect From(m) To(m) Width(m) Au(g/t)
PARC015			-60	270	132	Parmelia	68	72	4*	0.83
PARC015	6559100	457625				Parmelia	98	118	20*	0.3
PARC016	6559163	457661	-60	270	120	Parmelia	112	116	4*	0.35
PARC017	6559245	457667	-60	270	168	Parmelia	158	164	6	0.53
PARC021	6559649	457603	-60	270	114	Parmelia	NSI
PARC022	6559481	457545	-60	90	150	Parmelia	NSI
WARC001	6555941	458786	-60	270	96	Warrior	64	68	4*	0.66
WARC002	6555953	458976	-60	270	114	Warrior	NSI
WARC004	6555967	459380	-60	270	114	Warrior	NSI
WARC006	6555948	459808	-60	270	120	Warrior	72	76	4	0.38

*= 4m composite samples

Table 1: Parmelia and Warrior intercepts

KZ5 Prospect Drill Program

Drilling at KZ5 comprised 9 holes for 913m, targeting the up/down dip and along strike extension of the zones of existing mineralisation including 26m @ 1.30g/t Au[3] from 125m. Drilling intersected variably altered dolerites and basalts with zones of sulphides and quartz veining close to the interpreted strike extension locations.

RC drilling at KZ5 was planned to infill previous drilling and test strike extensions of the existing mineralisation envelope. Assay results received from KZ5 indicate the continuity of mineralisation along strike and at depth. Importantly, mineralisation was intercepted in KZRC104 with assays returning 4m @ 3.39g/t Au from 56m[4] . This hole targeted the up-dip extent of the deep mineralisation observed in KZD009.

In the northern area, mineralisation observed in KZRC103 indicates a potential flexure or offset towards the northwest beyond historic drill hole KZRC041, which returned 1m @ 6.67g/t Au from 24m[4] . Alchemy believes there is significant opportunity to test the structure to the north-west where historic drilling is both wide spaced and shallow, with most hole depths 10m or less.

KZ5 Prospect Assay Results

Significant assay results for KZ5 drilling include[4] :

• KZRC103: 12m @ 1.26g/t Au from 24m

• KZRC104: 4m @ 3.39g/t Au* in from 56m

• KCRC105: 1m @ 1.87g/t Au from 58m

• KZRC107: 40m @ 0.54g/t Au* from 8m

• KCRC107: 4m @ 1.25g/t Au* from 96m

• KZRC109: 2m @ 1.25g/t Au from 109m

• Denotes 4m composite samples

Quarterly Activities Report 1 April 2021 – 30 June 2021

6

==> picture [379 x 415] intentionally omitted <==

Figure 5: KZ5 Drill Plan

Hole ID Northing Easting **Dip **	Hole ID Northing Easting **Dip **	Hole ID Northing Easting **Dip **	Hole ID Northing Easting **Dip **	Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)
KZRC100	6569567	460050	-60	90	90	KZ5	NSI
KZRC102	6569452	460099	-60	85	79	KZ5	NSI
KZRC103	6569451	460021	-60	85	60	KZ5	24	36	12	1.26
incl.							24	32	8	1.41
KZRC104	6569404	460087	-60	85	96	KZ5	56	60	4*	3.39
KZRC105	6569359	460051	-60	85	84	KZ5	37	41	4	0.71
				85		KZ5	58	59	1	1.87
KZRC106	6569361	460004	-60	85	120	KZ5	NSI
KZRC107	6569282	460092	-60	85	120	KZ5	8	48	40*	0.54
incl.							8	24	16*	0.76
KZRC107							96	100	4*	1.25
KZRC108	6569207	460079	-60	85	114	KZ5	89	103	14	0.64
KZRC109	6569125	460060	-60	85	150	KZ5	108	113	4	0.85
incl.							109	111	2	1.25

*= 4m composite samples

Table 2: KZ5 drill program intercepts

Quarterly Activities Report 1 April 2021 – 30 June 2021

7

Taupo Prospect Drill Program

Drilling at Taupo comprised 9 holes for 1,081m, targeting infill and extension of the two primary lodes of mineralisation along strike from previous results, including 10m @ 1.8g/t Au[3] (from 68m). Drilling during the quarter intercepted zones of silica altered dolerites, quartz veining and sulphides in proximity to the interpreted strike extension locations.

RC drill results have confirmed the continuity of the mineralised structure in the central zone where TARC013 recorded a strong intercept of 4m @ 1.72g/t Au from 123m[4] , including 1m @ 5.73g/t Au from 123m[4] . Mineralisation in the central zone displays a gentle westerly 45°dip and can be traced up to 150m down dip, based on the limited drill density. Both zones remain open at depth and along strike to the north.

Taupo Prospect Assay Results

Significant assay results from Taupo include[4] :

• TARC013: 4m @ 1.72g/t Au from 123m (including 1m @ 5.73g/t Au from 123m)

• TARC014: 12m @ 0.78g/t Au* from 40m (including 4m @ 1.82g/t Au from 48m)

• TARC011: 1m @ 2.67g/t Au from 107m

• TARC016: 2m @ 0.62g/t Au from 66m

• Denotes 4m composite sample

==> picture [399 x 415] intentionally omitted <==

Figure 6: Taupo Drill plan

Quarterly Activities Report 1 April 2021 – 30 June 2021

8

Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)	Hole ID Northing Easting Dip Azimuth Depth Prospect From(m) To(m) Width(m) Au(g/t)
TARC008	6568953	458527	-60	90	114	Taupo	NSI
TARC009	6568949	458450	-60	90	120	Taupo	NSI
TARC010	6569149	458435	-60	90	120	Taupo	106	110	4*	0.75
TARC011			-60	90	120	Taupo	55	56	1	0.57
TARC011	6568949	458450					107	108	1	2.67
TARC012	6569151	458636	-60	90	114	Taupo	NSI
TARC013	6569201	458420	-60	90	138	Taupo	123	127	4	1.72
incl.							123	124	1	5.73
TARC014	6569190	458509	-60	90	114	Taupo	40	52	12*	0.78
incl.							48	52	4*	1.82
TARC015	6569250	458403	-60	90	120	Taupo	NSI
TARC016	6569190	458509	-60	90	114	Taupo	66	68	2	0.62

*= 4m composite samples

Table 3: Taupo drill program intercepts

Warrior Prospect Drill Program

Drilling at Warrior comprised 4 holes for 444m of drilling, targeting a coincident Electro Magnetic and Gravity anomaly. RAB drilling (8 holes for 166m) was completed in 2018 at Warrior but unfortunately these holes were unable to penetrate the younger cover rocks and intersect the bedrock target. Hole WARC002 was designed to test the magnetic anomaly on the western side of the zone and intersected dolerite accompanied by a zone of alteration from 65-110m with varying levels of quartz veining, sulphides and magnetite. The combination of favourable lithology (dolerite is the preferred host rock for mineralisation in the district) and alteration in the first hole to reach bedrock at Warrior is regarded as highly encouraging.

Two intercepts were received from Warrior, 4m @ 0.66g/t Au[4] from WARC001 and 4m @ 0.38g/t Au[4] from WARC006 which were both in the transported clays that overlay the basement rock. There were no other significant assay results to report from the four wide spaced RC holes that were drilled to test the coincident gravity and magnetic highs at Warrior. This program is the first program that has succeeded in penetrating and testing basement geology. The drilling intersected favourable gold host geology: black shales and fractionated dolerites with silica alteration and sulphide minerals, which gives reason to pursue with follow up drill programs after more in depth interpretation of the geology along strike of the recent drilling.

Detailed surface mapping commenced in southern Karonie areas:

Alchemy has commenced detailed mapping on the southern tenements in the Esplanade-Batavia areas with a view to defining new targets and refining existing areas. Best high-grade results from these areas include 3m @ 14.6g/t Au, 1m @ 17.8g/t Au and 8m @ 2.1g/t Au[5] . Alchemy believes that a better understanding of the controls on mineralisation obtained from surface mapping, combined with utilising bedrock geology from the numerous drill holes in this area, will greatly assist drill targeting at southern Karonie. A total of 69 surface rock chip samples have been submitted for multi-element analysis with results expected in the next quarter.

5 Refer Alchemy Resources ASX Announcement 24 May 2016

Quarterly Activities Report 1 April 2021 – 30 June 2021

9

Lake Rebecca Project (WA) (Alchemy 100%)

The newly formed Lake Rebecca Project includes ten highly prospective, exploration licence applications covering 674km[2] of prospective greenstones, internal granites, and known gold bearing structures to the southeast of Northern Star Resources’ (ASX: NST) 4.6Moz Carosue Dam gold deposit[6] , along strike to the north of Breaker Resources Limited’s (ASX: BRB) 1.37Moz Bombora gold deposit[2] , and immediately west of Apollo Consolidated Limited’s (ASX: AOP) 1.1Moz Rebecca, Duchess and Duke deposits[7] in the Eastern Goldfields, WA ( Figure 7 ).

The Carosue Dam deposit is located within the Carosue Basin immediately east of the east dipping Keith Kilkenny fault, which is interpreted to trend through the western tenements of the Lake Rebecca Gold Project (Figure 7) The tenements also cover part of the Claypan Shear Zone which hosts Breaker’s Bombora deposit, and parts of a western splay off the Pinjin Fault. Despite the highly prospective geological setting, previous drilling within the licences has been limited due to the amount of transported cover.

During the quarter, the Company continued the process of Native Title application for the entire tenement package. Data compilation for the area is underway.

==> picture [369 x 320] intentionally omitted <==

Figure 7: Lake Rebecca tenements (under application in blue) and recent tenements won by ballot (in red).

6 Refer to Saracen Mineral Holdings Limited ASX Announcement dated 4 August 2020

7 Refer to Apollo Consolidated Limited ASX Announcement dated 20 April 2021

Quarterly Activities Report 1 April 2021 – 30 June 2021

10

Lachlan / Cobar Basin Projects (NSW) (Alchemy 80%)

The Lachlan Projects cover an area of 674km[2] of the Central Lachlan Orogen in NSW and comprise three project areas prospective for Cobar-style epithermal gold and base metals and copper-gold porphyry mineralisation.

The Lachlan / Cobar Basin Projects consist of the Overflow Gold-Base Metal Project, the Yellow Mountain CopperGold Project, the West Lynn Nickel-Cobalt-Alumina Project, and the Eurow Copper-Gold Project, each containing multiple drill ready gold and/or base metal and/or nickel-cobalt targets. The projects form part of a Farm-In and Joint Venture with Heron Resources Ltd (ASX: HRR ) and are proximal to high profile mining centres in the Cobar Basin and central Lachlan Fold Belt, including Hera/Nymagee (Aurelia Metals Ltd - ASX: AMI ), Mallee Bull/Wagga Tank/Southern Nights (Peel Mining Ltd - ASX: PEX ), Tritton (Aeris Resources Ltd - ASX: AIS ) and the Parkes mining centre.

No work was completed for these projects due to COVID-19 government restrictions in place in NSW.

Bryah Basin Project (WA) (Alchemy 20%)

Base Metals Exploration (Sandfire 70-80%)

Sandfire has earned an 80% interest in Alchemy’s 100% owned tenements and a 70% interest in the tenements jointly owned by Alchemy and Jackson Minerals Pty Ltd (a wholly owned subsidiary of Fe Ltd (ASX: FEL )) (Figure 8) . Alchemy remains free-carried on further exploration to completion of a Pre-Feasibility Study, and then carried on an interest-free deferred basis for a further $5M of Definitive Feasibility Study expenditure, with the deferred amount to be repaid from 50% of Alchemy’s share of free cash flow earned through production.

==> picture [504 x 317] intentionally omitted <==

Figure 8: Bryah Basin Project – Sandfire Resources JV and Billabong Gold JV areas over interpreted geology.

Quarterly Activities Report 1 April 2021 – 30 June 2021

11

Two hundred and fifty (250) Aircore (AC) drill holes were completed for a total of 20,324m on the Bullgullan Bore and Horseshoe Lights Prospects. All these holes are part of the overall AC drill program through the JV tenure and were designed to provide high quality lithogeochemical samples and help with delineation of stratigraphy.

Drilling of the initial 800m x 100m AC programme has intersected interbedded quartz-feldspar-lithic arenites and siltstones interpreted to be of the ‘’Ravelstone’’ Formation though the central to southern sections of the drill lines. Central sections of the drill pattern have intersected variably foliated High-Mg basalts of the Narracoota formation, currently interpreted to be part of a thrust block. Copper values of up to 1,170ppm were recorded from Bullgullan Bore ( Table 4 ).

Drilling is currently limited though the northern section of the drill pattern, however, current understanding suggests these could be sediments of the Bangemall Group. Geological interpretation through the project area is currently ongoing. Approximately 400 AC holes remain to be drilled as part of the initial 800x100m spaced program. Following this drilling an RC drilling will be designed to follow-up on any geochemical anomalism observed in the first pass program.

==> picture [300 x 431] intentionally omitted <==

Figure 9: Map of the 250 AC holes drilled within the Sandfire JV tenements during the Quarter

Quarterly Activities Report 1 April 2021 – 30 June 2021

12

Hole ID			To	Down hole Thickness		Intersection	Intersection
	Prospect	From
					Cu [ppm]	Au [ppb]	Zn [ppm]	Pb [ppm]
HSAC0139	Bullgullan Bore	80	85	5	148	2	630	99
HSAC0156	Bullgullan Bore	25	30	5	40	-	36	487
HSAC0197	Bullgullan Bore	80	81	1	24	660	40	7
HSAC0203	Bullgullan Bore	75	80	5	1,170	15	131	9
HSAC0223	Bullgullan Bore	30	32	2	34	-	45	719
HSAC0240	Bullgullan Bore	75	80	5	46	90	5	302

Table 4: Significant assays from Bullgullan Bore (ALY/SFR JV)

Gold Exploration (Superior Gold 70-80%)

Exploration of Alchemy’s tenements that cover the gold prospective part of the Bryah Basin Project ( blue outline in Figure 8 ) continued under a farm-in and joint venture arrangement with Billabong Gold Pty Ltd (“ Billabong Gold JV ”), a subsidiary of Superior Gold Inc (TSX-V: SGI “ Superior ”).

Under the terms of the Billabong Gold JV, Alchemy’s interest is carried on an interest-free deferred basis to production, with Alchemy to repay the deferred amount from 50% of its share of free cash flow from production following the commencement of mining.

The Billabong Gold JV contains a JORC 2012 compliant resource of 2.2Mt @ 1.6g/t for 114,000oz Au[8] at the Hermes South deposit[7] . Hermes South is located approximately 20km south-southwest of the Hermes mining operation, and 65km southwest of the Plutonic gold mine (Figure 8) . The mineralisation remains open at depth and there is excellent potential for further drilling to expand the area of gold mineralisation and add to the known resource. Alchemy is confident that the Hermes South deposit will become part of the production profile for the Plutonic Gold Operation, with design and scheduling work for Hermes South continuing and mining expected to commence in the first half of 2021.

Work completed during the quarter

The Heritage Survey of the Wilgeena to Hermes proposed haul road, which commenced in March 2020, was completed during the Quarter. An additional survey area to the west of the currently proposed haul road was heritage-surveyed to facilitate re-routing of the proposed haul road around identified Aboriginal Heritage Sites. In addition, a heritage survey of the Wilgeena mining footprint was carried out.

Preliminary Infrastructure design work has been carried out to provide a footprint for the required heritage surveys, flora and fauna surveys and potential drilling.

No field work was completed during the quarter. Flora and Fauna surveys are due to commence next quarter along with drilling at Wilgeena.

8 Refer to Alchemy Resources Limited’s ASX Announcement dated 8 May 2019: CP: L. Ryan

Quarterly Activities Report

13

1 April 2021 – 30 June 2021

Corporate and Financial Commentary

The Quarterly Cashflow Report (Appendix 5B) for the current period provides an overview of the Company’s financial activities. Alchemy had $924,000 cash at hand at 30 June 2021. Exploration expenditure for the reporting period was $478,000. There were no mining production and development activities to report during the period. The total amount paid to directors of the entity and their associates in the period (item 6.1 & 6.2 of the Appendix 5B) was $70,000 and includes salary, directors’ fees, and superannuation.

This announcement has been approved for release by the Board .

Please direct enquiries to Alchemy’s authorised representative:

Mr James Wilson – Chief Executive Officer

Telephone: +61 8 9481 4400 Email: james@alchemyresources.com.au

Quarterly Activities Report 1 April 2021 – 30 June 2021

14

APPENDIX 1 Schedule of Mining Tenements as at 30 June 2021

Project/Tenement	State	Status	Interest startQtr	Interest endQtr	Co-holder	Notes
Bryah Basin Project
E52/1668	WA	Granted	10%	10%	Jackson/Billabong /Sandfire	1,2,3
E52/1678	WA	Granted	10%	10%	Jackson/Billabong /Sandfire	1,2,3
E52/1722	WA	Granted	10%	10%	Jackson/Sandfire	1,2
E52/1723-I	WA	Granted	20%	20%	Billabong /Sandfire	2,4,5
E52/1730	WA	Granted	10%	10%	Jackson/Billabong /Sandfire	1,2,3
E52/1731	WA	Granted	20%	20%	Billabong /Sandfire	2,4
E52/1810	WA	Granted	20%	20%	Sandfire	2
E52/1852	WA	Granted	20%	20%	Billabong	4
E52/2360	WA	Granted	20%	20%	Sandfire	2,6
E52/2362	WA	Granted	20%	20%	Billabong /Sandfire	2,4,6
E52/3292	WA	Granted	20%	20%	Sandfire	2
E52/3358	WA	Granted	20%	20%	Sandfire	2
E52/3359	WA	Granted	20%	20%	Sandfire	2
E52/3405	WA	Granted	20%	20%	Billabong /Sandfire	2,4
E52/3406	WA	Granted	20%	20%	Billabong /Sandfire	2,4
E52/3407	WA	Granted	20%	20%	Sandfire	2
E52/3408	WA	Granted	20%	20%	Billabong /Sandfire	2,4
E52/3409	WA	Granted	20%	20%	Sandfire	2
E52/3472	WA	Granted	20%	20%	Sandfire	2
E52/3475	WA	Granted	20%	20%	Sandfire	2
M52/722	WA	Granted	20%	20%	Billabong /Sandfire	2,4,6
M52/723	WA	Granted	20%	20%	Billabong /Sandfire	2,4,6
M52/737	WA	Granted	20%	20%	Billabong	4,6
M52/795	WA	Granted	20%	20%	Billabong /Sandfire	2,4,6
M52/844-I	WA	Granted	20%	20%	Sandfire	2,6
M52/1049	WA	Granted	20%	20%	Billabong	4,6
P52/1425	WA	Granted	20%	20%	Sandfire	2
P52/1427	WA	Granted	20%	20%	Sandfire	2
P52/1428	WA	Granted	20%	20%	Sandfire	2
P52/1429	WA	Granted	20%	20%	Billabong	4
P52/1467	WA	Granted	20%	20%	Sandfire	2
P52/1468	WA	Granted	20%	20%	Sandfire	2
P52/1469	WA	Granted	20%	20%	Sandfire	2
P52/1470	WA	Granted	20%	20%	Sandfire	2
P52/1531	WA	Granted	20%	20%	Sandfire	2
P52/1532	WA	Granted	20%	20%	Sandfire	2
P52/1533	WA	Granted	20%	20%	Sandfire	2
P52/1534	WA	Granted	20%	20%	Sandfire	2
P52/1535	WA	Granted	20%	20%	Sandfire	2
P52/1538	WA	Granted	10%	10%	Jackson/Billabong	1,4
P52/1539	WA	Granted	10%	10%	Jackson/Billabong	1,4
P52/1540	WA	Granted	20%	20%	Sandfire	2
P52/1541	WA	Granted	20%	20%	Sandfire	2
P52/1565	WA	Granted	20%	20%	Sandfire	2
P52/1566	WA	Granted	20%	20%	Sandfire	2
P52/1567	WA	Granted	20%	20%	Sandfire	2
P52/1568	WA	Granted	20%	20%	Sandfire	2
P52/1572	WA	Granted	20%	20%	Sandfire	2,6
P52/1577	WA	Granted	20%	20%	Billabong	4,6

Quarterly Activities Report 1 April 2021 – 30 June 2021

15

Project/Tenement	State	Status	Interest startQtr	Interest endQtr	Co-holder	Notes
Karonie Project
E28/2575	WA	Granted	100%	100%		7
E28/2576	WA	Granted	100%	100%		7
E28/2601	WA	Granted	100%	100%		7
E28/2619	WA	Granted	100%	100%		7
E28/2643	WA	Granted	100%	100%		7
E28/2657	WA	Granted	100%	100%		7
E28/2667	WA	Granted	100%	100%		7
E28/2668	WA	Granted	100%	100%		7
E28/2681	WA	Granted	100%	100%		7
E28/2752	WA	Granted	100%	100%		7
E28/2880	WA	Granted	100%	100%		7
E28/2940	WA	Granted	100%	100%		7
E28/2976	WA	Appl.	-	-		7
E28/3032	WA	Appl.(contest)	-	-		7
Lake Rebecca Project
E28/3006	WA	Appl.	-	-		7
E28/3008	WA	Appl.	-	-		7
E28/3010	WA	Appl.	-	-		7
E28/3012	WA	Appl.	-	-		7
E28/3035	WA	Appl.(contest)	-	-		7
E28/3039	WA	Appl.(contest)	-	-		7
E28/3048	WA	Appl.(contest)	-	-		7
E28/3059	WA	Appl.	-	-		7
E28/3063	WA	Appl.	-	-		7
E28/3064	WA	Appl.	-	-		7
Lachlan Projects
EL5878 - Overflow	NSW	Granted	20%	80%	Heron Resources	8
EL7941 - Overflow	NSW	Granted	20%	80%	Heron Resources	8
EL8267 - Overflow Nth	NSW	Granted	20%	80%	Heron Resources	8
EL8356 - Yellow Mtn	NSW	Granted	20%	80%	Heron Resources	8
EL8192 - Eurow	NSW	Granted	20%	80%	Heron Resources	8
EL8318 - Girilambone	NSW	Granted	20%	80%	Heron Resources	8
EL8631 - West Lynn	NSW	Granted	20%	80%	Heron Resources	8
EL8711 - Woodsreef	NSW	Granted	20%	80%	Heron Resources	8

Notes:

1. Jackson Minerals Pty Ltd, a subsidiary of Fe Ltd (ASX: FEL), retains a 20% interest free-carried to a decision to mine.

2. Sandfire Resources NL (ASX: SFR) holds a 70-80% interest (excludes iron ore) in whole or part tenements, with Alchemy free-carried up to completion of a pre-feasibility study.

3. Billabong Gold Pty Ltd holds a 70% interest in whole or part of tenement.

4. Billabong Gold Pty Ltd holds an 80% interest in whole or part of tenement.

5. PepinNini Robinson Range Pty Ltd retains a 1% NSR on iron ore.

6. Carey Mining Iron Ore JV: Alchemy has 100% mineral rights for all minerals, excluding iron ore where ownership is Alchemy 50% / Carey Mining 50%.

7. Goldtribe Corporation Pty Ltd, a subsidiary of Alchemy Resources Ltd, holds a 100% interest in the tenement.

8. Alchemy Resources (NSW) Pty Ltd, a subsidiary of Alchemy Resources Ltd, holds a 80% interest with Heron Resources owning the remaining 20%.

Competent Person’s 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 Office 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.

The information in this report that relates to Mineral Resources at the Hermes South Gold Deposit is based on information compiled by Mr Stephen Hyland, a geological consultant working for Superior Gold Inc. Mr Hyland is a Fellow of The Australasian Institute of Mining and Metallurgy, 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 Hyland consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.”

Forward Looking Statements

This report may include forward looking statements. Forward looking statements are only predictions and are subject to risks, uncertainties and assumptions which are outside the control of Alchemy. Actual values, results or events may be materially different to those expressed or implied in this report. Given these uncertainties, recipients are cautioned not to place reliance on forward looking statements. Any forward-looking statements in this presentation speak only at the date of issue of this presentation. Subject to any continuing obligations under any applicable law and the ASX Listing Rules, Alchemy does not undertake any obligation to update or revise any information or any of the forward-looking statements in this presentation of any changes in events, conditions or circumstances on which any such forward looking statement is based.

Quarterly Activities Report

16

1 April 2021 – 30 June 2021