CLASSIC MINERALS LTD — Capital/Financing Update 2021

May 20, 2021

CLASSIC MINERALS LIMITED

71 Furniss Rd, Landsdale Western Australia 6065

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ASX: CLZ | ABN 119 484 016 contact@classicminerals.com.au

21 May 2021

ASX Announcement

– RC INFILL DRILLING PROGRAM COMPLETED KAT GAP

Highlights:

• The final program of deeper RC infill drilling prior to first production was recently completed at Kat Gap Gold project.

• The drilling program consisted of 28 RC holes for a total 2,548m conducted over 120m of strike length, north of the cross cutting Proterozoic dyke.

• Infill drill spacing of 20m x 10m and 10m x 10m was conducted and will provide important resource model data for optimisation and final pit design work.

• Assay results are expected mid-June 2021 and the company intends to embark on additional step-out exploration programs in the coming months.

• Together with the recently announced Native Title endorsement over the mining area at Kat Gap, the completion of infill drilling is yet another significant milestone leading up to full scale production.

• The 100% owned flagship Kat Gap Gold Project which lies 170km south of Southern Cross and has an initial JORC 92,869 oz @ 2.96 g/t Au with gravity and conventional cyanide leach process proving 95-96% recovery from both fresh and oxide samples1.

• Classic Minerals remains on track to achieve first gold pour through the Gekko processing plant and mine at full capacity by the end of August 2021.

WA-focused gold exploration and development company Classic Minerals Limited (ASX: CLZ, “the Company” or “CLZ”) is pleased to announce it has completed its infill drilling campaign at Kat Gap Gold project, necessary to provide important resource model data for optimisation and final pit design work ahead of production.

The RC infill drilling program consisted of 28 RC holes for a total 2,548m conducted over 120m of strike length, north of the cross cutting Proterozoic dyke and was conducted over 20m x 10m and 10m x 10m spacing.

1 ASX announcement dated 10 Aug 2020

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CLASSIC MINERALS LIMITED 71 Furniss Rd, Landsdale Western Australia 6065 ASX: CLZ | ABN 119 484 016 contact@classicminerals.com.au

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Assay results are expected mid-June 2021 and the company intendeds to embark on additional stepout exploration programs in the coming months.

The 100% owned flagship Kat Gap Gold Project which lies 170km south of Southern Cross and has an initial JORC 92,869 oz @ 2.96 g/t Au with gravity and conventional cyanide leach process proving 9596% recovery from both fresh and oxide samples[2] .

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Figure 1: Recently completed infill RC drilling at Kat Gap

The CEO, Dean Goodwin said “With Classic Minerals remaining on track to achieve first gold pour through the Gekko processing plant and mine at full capacity by the end of August 2021, together with the recently announced Native Title endorsement over the mining area at Kat Gap, the completion of this infill drilling campaign is yet another significant milestone leading up to full-scale production.

Classic Minerals Ltd continues to strive to maximise shareholder wealth, by capitalising on the strength of the gold price as it transitions into an ASX listed Gold producer. ”

This announcement has been approved by the Board. For further information, please contact: Company Secretary Madhukar Bhalla contact@classicminerals.com.au

2 ASX announcement dated 10 Aug 2020

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CLASSIC MINERALS LIMITED 71 Furniss Rd, Landsdale Western Australia 6065

ASX: CLZ | ABN 119 484 016 contact@classicminerals.com.au

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ABOUT THE FORRESTANIA GOLD PROJECT

The FGP Tenements (excluding Kat Gap) are registered in the name of Reed Exploration Pty Ltd, a wholly owned subsidiary of ASX listed Hannans Ltd (ASX: HNR). Classic has acquired 80% of the gold rights on the FGP Tenements from a third party, whilst Hannans has maintained its 20% interest in the gold rights. For the avoidance of doubt Classic Ltd owns a 100% interest in the gold rights on the Kat Gap Tenements and also non-gold rights including but not limited to nickel, lithium and other metals.

Classic has an inferred and indicated Mineral Resource of 8.24 Mt at 1.52 g/t for 403,906 ounces of gold , classified and reported in accordance with the JORC Code (2012), with a recent Scoping Study (see ASX Announcement released 2nd May 2017) suggesting both the technical and financial viability of the project. The current post- mining Mineral Resource for Lady Ada, Lady Magdalene and Kat Gap is tabulated below.

Additional technical detail on the Mineral Resource estimation is provided, further in the text below and in the JORC Table 1 as attached to ASX announcements dated 18[th] December 2019, 21[st] January 2020, and 20 April 2020.

	Indicated	Indicated			Inferred			Total
Prospect	Tonnes	Grade	Ounces	Tonnes	Grade	Ounces	Tonnes	Grade	Ounces
		(Aug/t)	Au		(Aug/t)	Au		(au)
LadyAda	257	2.01	16,600	1,090,800	1.23	43,100	1,348,100	1.38	59,700
Lady Magdalene				5,922,700	1.32	251,350	5,922,700	1.32	251,350
Kat Gap				975,722	2.96	92,856	975,722	2.96	92,856
Total	257	2.01	16,600	7,989,222	1.50	387,306	8,246,522	1.52	403,906

Notes:

1. The Mineral Resource is classified in accordance with JORC, 2012 edition

2. The effective date of the mineral resource estimate is 20 April 2020.

3. The mineral resource is contained within FGP tenements

4. Estimates are rounded to reflect the level of confidence in these resources at the present time.

5. The mineral resource is reported at 0.5 g/t Au cut-off grade

6. Depletion of the resource from historic open pit mining has been considered

Forward Looking Statements

This announcement may contain certain “forward-looking statements” which may not have been based solely on historical facts, but rather may be based on the Company’s current expectations about future events and results. Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have reasonable basis. However, forward looking statements are subjected to risks, uncertainties, assumptions and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to Resource risk, metals price volatility, currency fluctuations, increased production costs and variances in ore grade or recovery rates from those assumed in mining plans, as well as political and operational risks in the Countries and States in which we operate or sell product to, and governmental regulation and judicial outcomes. For a more detailed discussion of such risks and other factors, see the Company’s annual reports, as well as the Company’s other filings. Readers should not place undue reliance on forward looking information. The Company does not undertake any obligation to release publicly any revisions to any “forward-looking statements” 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.

Competent Persons Statement

The information contained in this report that relates to Mineral resources and Exploration Results is based on information compiled by Dean Goodwin, a Competent Person who is a Member of the Australian Institute of Geoscientists (AIG). Mr Goodwin is a consultant exploration geologist with Reliant Resources Pty Ltd and consults to Classic Minerals Ltd. Mr. Goodwin has sufficient experience that is relevant to the style of mineralisation and the type of deposit 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”. Mr. Goodwin consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

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