DELTA LITHIUM LIMITED — Interim / Quarterly Report 2021

Jan 19, 2021

ASX Announcement 20 January 2021

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DECEMBER 2020 QUARTERLY ACTIVITIES REPORT

HIGHLIGHTS

• Completed acquisition of Warriedar Mining Pty Ltd, owner of the strategically located Eureka and Warriedar gold projects located in Western Australia

• Warriedar Mining acquisition approved by shareholders at November AGM

• 10,200m reverse circulation drilling program commenced in December at Eureka targeting high-grade extensions below historic open pit

• $3.9m share placement completed to fast-track priority exploration programs

• Warriedar directors Alex Hewlett and James Croser, who were also directors of highly successful WA gold explorer Spectrum Metals, joined the Board of TIN

• Warriedar CEO Matt Boyes, an experienced geologist and mining executive, appointed CEO of TIN

• Permitting of initial drilling program progressing at East Canyon Uranium/Vanadium project located in Utah, USA

TNT Mines Ltd (ASX: TIN , ‘ TNT Mines ’ or ‘ the Company ’), is pleased to present its Quarterly Activities Report for the period ended 31 December 2020.

ACQUISITION OF WARRIEDAR MINING

TNT Mines signed a binding share sale agreement to acquire 100% of Warriedar Mining Pty Ltd ( Warriedar ), which owns the Eureka Gold Project 50km north of Kalgoorlie in the Western Australian Goldfields and the Warriedar Gold Project in WA’s Murchison region.

Both the Eureka and Warriedar projects have a history of gold production, are located close to established infrastructure including operating gold mills and demonstrate potential for the rapid delineation of significant shallow high-grade gold resources. Eureka, which is under granted Mining Leases and is the initial focus of exploration, contains an existing JORC2012 Indicated and Inferred Mineral Resource of 762,000 tonnes at 1.80 g/t Au for 43,100 ounces of contained gold[1 ] (refer to ASX: TIN 23[rd] October 2020 ‘ TNT Acquires Historic Western Australian Gold Projects ’).

All key resolutions pertaining to the acquisition of Warriedar were passed by shareholders at the AGM held on 30 November 2020, and the acquisition was formally completed on the 23[rd] December.

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TNT Mines Limited | ACN 107 244 039 | tntmines.com.au
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ASX Announcement 20 January 2021

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Eureka Gold Project location plan and regional simplified geological setting
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EXPLORATION PROGRAM UPDATE

TIN commenced a 10,200m reverse circulation drilling program at Eureka in the December quarter, focusing on identifying extensions to existing mineralisation below the historic open pit located on the project tenements and testing structures along strike to the north and south of the pit.

Following completion of that program, the focus of drilling is expected to shift to the Warriedar project area and the Reids Ridge and Mt Laws areas in particular, a further 5,000m of RC and diamond drilling will be undertaken. Assay results from both programs will be reported as they become available.

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TNT Mines Limited | ACN 107 244 039 | tntmines.com.au
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ASX Announcement 20 January 2021

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Matt Boyes, CEO with Strike Drilling commence maiden RC program at Eureka Gold Project in December

SHARE PLACEMENT

During the quarter, as part of the Warriedar acquisition TIN completed a $3.9m placement before costs, after receiving binding commitments from institutional, sophisticated and professional investors for the issue of 30,000,000 shares at a price of $0.13 each in two tranches.

The funds were raised to support the Warriedar transaction and to ensure sufficient funding is in place to undertake significant near-term exploration programs at the Eureka and Warriedar projects and the East Canyon uranium-vanadium project in southeast Utah, USA.

The first tranche of 5,173,287 shares was issued on 30 October 2020 under TIN’s existing ASX Listing Rule 7.1 placement capacity. The second tranche of 24,826,713 shares was issued on 4 December 2020 after shareholder approval was received at the Company’s AGM.

Chieftain Securities acted as lead manager and joint broker to the share placement. TNT Mines Executive Director Brett Mitchell is also a director and shareholder of Chieftain Securities. The fee paid to Chieftain as lead manager and joint broker to the transaction was an industry standard fee and negotiated on arm’s length commercial terms.

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TNT Mines Limited | ACN 107 244 039 | tntmines.com.au
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ASX Announcement 20 January 2021

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BOARD AND MANAGEMENT CHANGES

Following the AGM held on 30 November 2020, Warriedar directors Alex Hewlett and James Croser joined the Board of TIN.

Both were directors of Spectrum Metals Limited, the exploration company that delineated one of the highest-grade undeveloped gold resources in Australia at its Penny West Project in WA’s Yilgarn district and was acquired by Ramelius Resources earlier last year.

Mr Hewlett has assumed the role of Non-Executive Chairman, while Mr Croser has been appointed Non-Executive Director. Warriedar CEO Matthew Boyes, an experienced geologist and mining executive, has also joined TIN as CEO. Executive Director Brett Mitchell and NonExecutive Director Peter Woods continue on in their current roles on the TIN Board, and NonExecutive Director Nick Castleden has resigned from the TNT Mines Board.

EAST CANYON URANIUM-VANADIUM PROJECT, UTAH

In early October, highly encouraging assay results were received from underground channel sampling undertaken at both the None Such and Bonanza prospects, confirming the East Canyon Project’s potential to host high-grade uranium and vanadium mineralisation in economic quantities.

All sample results have been received, with better assays including:

	All sample results have been received, with	better assays	including:
	None Such1	Bonanza1
	2m at 0.52% U3O8and 2.87% V2O5(EC2019)	1m at 1.27% U3O8and 4.53% V2O5(EC2002a)
	0.6m at 0.69% U3O8and 2.82 V2O5(EC2021)	1m at 0.38% U3O8and 2.46% V2O5(EC2001)
	0.6m at 0.34% U3O8and 1.55% V2O5(EC2017)	1.25m at	0.26% U3O8and 1.68% V2O5(EC2004)
	1m at 0.22% U3O8and 2.29% V2O5(EC2020)	1m at 0.20% U3O8and 1.89% V2O5(EC2007)

1 Refer to ASX Announcement High Grade Uranium & Vanadium Assays Continue at East Canyon 02/10/20

Planning and permitting for an initial drilling program using information obtained from the mapping and sampling activities is underway. The first phase drilling program will commence following receipt of all regulatory approvals. TIN is monitoring the evolving situation with COVID-19 in the US, and the possible implications to effectively manage and monitor the planned drilling program in the coming months, following the receipt of regulatory approvals.

East Canyon is a strategic asset in that it is located only 50km from the White Mesa Mill, the only fully licensed, fully permitted and operational uranium and vanadium mill in the USA, via major highway.

PELLEY RIDGE ZINC PROJECT, MONTANA

The Pelley Ridge Zinc in Montana encompasses two contiguous leases which cover approximately 2,000 hectares. The project is located near the town of Hot Springs in the Belt Purcell Basin, Montana, and has excellent infrastructure in place with a governmentmaintained road within the tenue and year-round site access. The land is not vegetated and has no apparent environmental sensitivities.

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TNT Mines Limited | ACN 107 244 039 | tntmines.com.au
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ASX Announcement 20 January 2021

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Exploration field operations at the Pelley Ridge zinc project remain suspended with no material exploration programs carried out during the December Quarter, due to Covid-19 restriction of activities.

The Board is continuing to undertake discussions with parties with North American base metals assets and operations that may be interested in investing in the project as a farm in or project partner.

Any information on the expected timing of proposed work programs will be communicated to shareholders as soon as is practicably possible, and the Company intends to maintain its investment in the project for a future turnaround in the zinc market sentiment and commodity price.

APPENDIX

In accordance with Listing Rule 5.3.3 TIN provides the following information in relation to its mining tenements.

Mining tenements held at the end of the quarter:

Project	Location	Tenement	Status	Beneficial Interest
Pelley Ridge	Montana, North America	Pelley Ridge Claim Group	Granted	100%
East Canyon	Utah, USA	East Canyon Claim Group	Granted	100%
Windanya	Western Australia	P24/5116	Granted	100%
Bardoc	Western Australia	L24/0234	Granted	100%
Warridar East	Western Australia	E59/1723	Granted	100%
Eureka	Western Australia	M24/0189	Granted	100%
Warriedar	Western Australia	E59/1966	Granted	100%
Windanya	Western Australia	P24/5116	Granted	100%
Windanya	Western Australia	P24/5116	Granted	100%
Warriedar	Western Australia	P59/2070	Granted	100%
Eureka	Western Australia	M24/0189	Granted	100%
Eureka	Western Australia	M24/0584	Granted	100%
Eureka	Western Australia	M24/0585	Granted	100%
Eureka	Western Australia	M24/0586	Granted	100%

There were no beneficial percentage interests held in farm-in or farm-out arrangements at the end of the quarter.

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TNT Mines Limited | ACN 107 244 039 | tntmines.com.au
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ASX Announcement 20 January 2021

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In accordance with Section 1.2, 6.1 & 6.2 of the December 2020 quarter Appendix 5B, TIN provides the following information:

Section Description $A’000 1.2 Expenditure for staff and administrative corporate costs 281 6.1 & 6.2 Payments made to related parties and their associates include Directors 68 fees and corporate costs.

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Authorised for lodgement on behalf of the Board.

Capital Structure and Financial Snapshot

ASX Code TIN Shares on issue 96.4m Current share price (19/01/21) 25.c Mkt Cap $24.1m Cash (as at 31 Dec 2020) $4.7m

For further information, please contact:

Media Enquiries TNT Mines Ltd Luke Forrestal Brett Mitchell Media and Capital Partners Executive Director +61 411 479 144 +61 8 6319 1900 luke.forrestal@mcpartners.com.au frontdesk@tntmines.com.au

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TNT Mines Limited | ACN 107 244 039 | tntmines.com.au
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ASX Announcement 20 January 2021

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Note 1. Additional notes to Mineral Resource estimation

The Mineral Resources as presented in Table 1 have been estimated on the basis of historical and recent drilling at the Project by Independent consulting resource geologist Richard Maddocks. Further details of the Mineral Resource estimation are provided in ASX: TIN 23[rd] October 2020 ‘ TNT Acquires Historic Western Australian Gold Projects ’.

The aggregate resource figures referenced in this announcement is broken down into JORCcompliant resource categories as set out below.

Current Mineral Resources

Mineral Resources
Category	Tonnes Gradeg/t Ounces Au
Indicated	434,000 1.80 25,200
Inferred	328,000 1.70 17,900
Total	762,000 1.80 43,100

Table 1. Eureka JORC (2012) compliant Mineral Resources reported at 0.50g/t Au cut-off

Competent Persons Statement

The information in this report that relates to Exploration Targets and Mineral Resource estimates is based on information compiled by Richard Maddocks, a Competent Person who is a Fellow of the Australasian Institute of Mining and Metallurgy. Richard Maddocks is an independent consultant to Warriedar Mining Pty Ltd. Mr Maddocks has sufficient experience that is relevant to the style of mineralisation and 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 Mineral Resources and Ore Reserves’. Mr. Maddocks consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

The information in this release that relates to Exploration as those terms are defined in the 2012 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserve", is based on information compiled by Mr. Matthew Boyes, who is CEO of the Company and a Fellow of the Australian Institute of Geoscientists. Mr. Boyes has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which they are 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 Reserve". Mr. Boyes consents to the inclusion of the matters based on his information in the form and context in which it appears.

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TNT Mines Limited | ACN 107 244 039 | tntmines.com.au
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Rule 5.5

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Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly cash flow report

Name of entity

TNT MINES LIMITED (ASX CODE: TIN) ABN Quarter ended (“current quarter”) 67 107 244 039 31 DECEMBER 2020

Consolidated statement of cash flows	Current quarter $A’000	Year to date (6 months) $A’000
1. Cash flows from operating activities 1.1 Receipts from customers 1.2 Payments for (a) exploration & evaluation (if expensed) (b) development (c) production (d) staff costs (e) administration and corporate costs 1.3 Dividends received (see note 3) 1.4 Interest received 1.5 Interest and other costs of finance paid 1.6 Income taxes paid 1.7 Government grants and tax incentives 1.8 Other (provide details if material) 1.9 Net cash from / (used in) operating activities	- - - - (41) (240) - 1 - - - -	- - - - (53) (334) - 4 - - - -
	(280)	(383)
2. Cash flows from investing activities 2.1 Payments to acquire: (a) entities (b) tenements (c) property, plant and equipment	- - -	- - -

ASX Listing Rules Appendix 5B (17/07/20) + See chapter 19 of the ASX Listing Rules for defined terms.

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Consolidated statement of cash flows	Current quarter $A’000	Year to date (6 months) $A’000
(d) exploration & evaluation (if capitalised) (e) investments (f) other non-current assets 2.2 Proceeds from the disposal of: (a) entities (b) tenements (c) property, plant and equipment (d) investments (e) other non-current assets 2.3 Cash flows from loans to other entities 2.4 Dividends received (see note 3) 2.5 Other (Warriedar Mining acquisition) 2.6 Net cash from / (used in) investing activities	(273) - - - - - - - - - 18	(273) - - - - - - - - - 18
	(255)	(433)
3. Cash flows from financing activities 3.1 Proceeds from issues of equity securities (excluding convertible debt securities) 3.2 Proceeds from issue of convertible notes 3.3 Proceeds from exercise of options 3.4 Transaction costs related to issues of equity securities or convertible debt securities 3.5 Proceeds from borrowings 3.6 Repayment of borrowings 3.7 Transaction costs related to loans and borrowings 3.8 Dividends paid 3.9 Other (provide details if material) 3.10 Net cash from / (used in) financing activities	3,950 - - (178) - - - - -	3,950 - - (181) - - - - -
	3,772	3,769
4. Net increase / (decrease) in cash and cash equivalents for the period 4.1 Cash and cash equivalents at beginning of period 4.2 Net cash from / (used in) operating activities (item 1.9 above) 4.3 Net cash from / (used in) investing activities (item 2.6 above)	1,513 (280) (255)	1,798 (383) (433)

ASX Listing Rules Appendix 5B (17/07/20) + See chapter 19 of the ASX Listing Rules for defined terms.

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Consolidated statement of cash flows	Current quarter $A’000	Year to date (6 months) $A’000
4.4 Net cash from / (used in) financing activities (item 3.10 above) 4.5 Effect of movement in exchange rates on cash held 4.6 Cash and cash equivalents at end of period	3,772 (1)	3,769 (2)
	4,749	4,749
5. Reconciliation of cash and cash equivalents at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts	Current quarter $A’000	Previous quarter $A’000
5.1 Bank balances 5.2 Call deposits 5.3 Bank overdrafts 5.4 Other (provide details) 5.5 Cash and cash equivalents at end of quarter (should equal item 4.6 above)	4,749 - - -	1,513 - - -
	4,749	1,513
6. Payments to directors of the entity and their associates Current quarter $A'000 6.1 Aggregate amount of payments to related parties and their associates included in item 1 37 6.2 Aggregate amount of payments to related parties and their associates included in item 2 31 Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an explanation for, such payments
		Current quarter $A'000
		37
		31

ASX Listing Rules Appendix 5B (17/07/20) + See chapter 19 of the ASX Listing Rules for defined terms.

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7. Financing facilities available Note: the term “facility’ includes all forms of financing arrangements available to the entity. Add notes as necessary for an understanding of the sources of finance available to the entity. 7.1 Loan facilities 7.2 Credit standby arrangements 7.3 Other (please specify) 7.4 Total financial facilities	Total facility amount at quarter end $A’000	Amount drawn at quarter end $A’000
	-	-
	-	-
	-	-
		-

• 7.6 Include in the box below a description of each facility above, including the lender, interest rate, maturity date and whether it is secured or unsecured. If any additional financing facilities have been entered into or are proposed to be entered into after quarter end, include a note providing details of those facilities as well.

NIL

8.	Estimated cash available for future operating activities	$A’000
8.1 8.2 8.3 8.4 8.5 8.6 8.7	Net cash from / (used in) operating activities (Item 1.9) (318) (Payments for exploration & evaluation classified as investing activities) (item 2.1(d)) (273) Total relevant outgoings (Item 8.1 + Item 8.2) (591) Cash and cash equivalents at quarter end (Item 4.6) 4,749 Unused finance facilities available at quarter end (Item 7.5) - Total available funding (Item 8.4 + Item 8.5) 4,749 Estimated quarters of funding available (Item 8.6 divided by Item 8.3) 8 Note: if the entity has reported positive relevant outgoings (ie a net cash inflow) in item 8.3, answer item 8.7 as “N/A”. Otherwise, a figure for the estimated quarters of funding available must be included in item 8.7.	(318) (273) (591) 4,749 - 4,749
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8.8	If Item 8.7 is less than 2 quarters, please provide answers to the following questions: 1. Does the entity expect that it will continue to have the current level of net operating cash flows for the time being and, if not, why not?
	Answer: N/A
	2. Has the entity taken any steps, or does it propose to take any steps, to raise further cash to fund its operations and, if so, what are those steps and how likely does it believe that they will be successful?
	Answer: N/A
	3. Does the entity expect to be able to continue its operations and to meet its business objectives and, if so, on what basis?
	Answer: N/A

Note: where item 8.7 is less than 2 quarters, all of questions 8.8.1, 8.8.2 and 8.8.3 above must be answered.

ASX Listing Rules Appendix 5B (17/07/20) + See chapter 19 of the ASX Listing Rules for defined terms.

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Compliance statement

• 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.

• 2 This statement gives a true and fair view of the matters disclosed.

Date: 20 January 2021

[ Authorised for lodgement by Brett Mitchell, Executive Director]

Authorised by: ..........................................................................................................

Notes

1. This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about the entity’s activities for the past quarter, how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so.

2. If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.

3. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.

4. If this report has been authorised for release to the market by your board of directors, you can insert here: “By the board”. If it has been authorised for release to the market by a committee of your board of directors, you can insert here: “By the [ name of board committee – eg Audit and Risk Committee ]”. If it has been authorised for release to the market by a disclosure committee, you can insert here: “By the Disclosure Committee”.

5. If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Council’s Corporate Governance Principles and Recommendations , the board should have received a declaration from its CEO and CFO that, in their opinion, the financial records of the entity have been properly maintained, that this report complies with the appropriate accounting standards and gives a true and fair view of the cash flows of the entity, and that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively.

ASX Listing Rules Appendix 5B (17/07/20) + See chapter 19 of the ASX Listing Rules for defined terms.

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