DREADNOUGHT RESOURCES LTD — Capital/Financing Update 2022

Jul 31, 2022

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1 August 2022

COMPLETION OF ACQUISITION – CENTRAL YILGARN PROJECT

HIGHLIGHTS

• Dreadnought has completed the acquisition of 100% of seven tenements covering ~100 strike kilometres over the Evanston, Elvire and Yerilgee greenstone belts (~740sq kms) west of and adjacent to the Illaara greenstone belt. The consolidated greenstone belts form one project being the Central Yilgarn Project.

Dreadnought Resources Limited (“ Dreadnought ”) is pleased to announce that it has completed settlement to acquire 100% of seven tenements covering ~100 strike kilometres over the Evanston, Elvire and Yerilgee greenstone belts located adjacent to the Illaara greenstone belt, in the Central Yilgarn Region of Western Australia.

Settlement has been made in line with the terms announced on 11 July 2022 and referred to again later in this announcement.

Included as part of the consideration for the project is the issue of 2,350,000 fully paid ordinary shares to Arrow Minerals Ltd (ASX:AMD; “Arrow”) today. The shares are subject to voluntary escrow until 5pm WST on 31 January 2023.

The Yerilgee and Evanston greenstone belts have proven gold and iron ore mineralisation and significant potential for LCT pegmatites, VMS and komatiite hosted nickel sulphides. The Central Yilgarn Project represents a significant regional consolidation over a highly prospective area.

In addition, first-pass, gold exploration has resulted in numerous gold occurrences with significant intercepts requiring follow-up, including the following prospects:

• T1: 15m @ 1.5 g/t Au including 3m @ 6.7g/t Au from 12m*

• T2: 21m @ 1.1g/t Au including 3m @ 2.3g/t Au from 63m*

• Phil’s Lode: 24m @ 1.6g/t Au including 9m @ 3.3g/t Au from 12m*

• Snowflake: 16m @ 1.9 g/t Au including 4m @ 8.5g/t Au from 0m*

• Megatron: 9m @ 2.6 g/t Au including 3m @ 7.1 g/t Au from 26m*

Dreadnought’s Managing Director, Dean Tuck, commented: “We are pleased to have completed the acquisition to further consolidate the Central Yilgarn Project. Dreadnought now controls a dominate land position in a region currently experiencing the expansion and development of several iron ore and gold operations and with significant potential for base metals and LCT pegmatites. Dreadnought will continue to assess opportunities to unlock value as part of an ongoing commercial and technical review.”

Dreadnought Resources Limited Unit 1, 4 Burgay Court, Osborne Park WA 6017 PO Box 646, West Perth WA 6872

www.dreadnoughtresources.com.au info@dreadnoughtresources.com.au

+61 08 9473 8345

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Figure 1: Map of the Yilgarn Craton showing the location of gold and iron ore operations around the Central Yilgarn Project highlighting the location of the Evanston, Yerilgee and Illaara greenstone belts.

*For further information please refer to previous ASX:AMD announcements:

• 14 September 2017 First Pass Drilling Discovers Significant Gold Mineralisation at T1 & T2

• 24 January 2018 Further Positive Drill Results from Barlee Gold Project

• 14 June 2018 Strickland Project Update

• 30 August 2018 Strickland Gold Project Update

• 22 November 2018 Drilling at T6 Prospect Confirms High-Grade Gold Along 3.2km Mineralised Corridor

Dreadnought Resources Limited Unit 1, 4 Burgay Court, Osborne Park WA 6017 PO Box 646, West Perth WA 6872

www.dreadnoughtresources.com.au info@dreadnoughtresources.com.au

+61 08 9473 8345

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Central Yilgarn Optimisation

Dreadnought now controls ~1,600 sq kms over four greenstone belts in the Central Yilgarn known to contain iron ore, gold and massive sulphide mineralisation as well as significant potential for komatiite hosted nickel sulphides and lithium bearing pegmatites.

There is also significant magnetite iron ore potential which is becoming of increasing interest to other parties in the area. The area is also seeing heightened iron ore activity with Legacy Iron Ore Ltd (ASX: LCY) and Hawthorn Resources Ltd. (ASX:HAW) announcing on 7 April 2022 an earn-in by Hancock Magnetite Holdings Pty Ltd into the Mt Bevan iron ore project. Mt Bevan is located ~30km from Dreadnought’s key iron ore positions in the Central Yilgarn. In addition, Mineral Resources Ltd. (ASX:MIN) announced in 2021 that it would be potentially transitioning from hematite mining at its Yilgarn Hub to the development of magnetite resources.

With the underexplored region home to major iron ore and gold operations, Dreadnought’s significant landholding in the Central Yilgarn provides options for commercialisation and discovery across a range of commodities.

In order to fully optimise the potential of Central Yilgarn Project, Dreadnought has recruited Leah Dawson as the Senior Exploration Geologist to focus on managing the project. Since leaving Arrow in 2019, Leah has worked with Rio Tinto at Winu, and at BHP in the Nickel West and Iron Ore divisions.

Leah will be undertaking a full, multi-commodity project review to optimise significant technical and commercial potential at the Central Yilgarn Project.

Key Commercial Terms

Key commercial terms for the transaction are summarised below:

• Dreadnought to acquire 100% of E16/495, E30/493, E30/494, E77/2403, E77/2416, E77/2432, E77/2634 upon Completion;

• Dreadnought to pay $20,000 upon signing the Sale & Purchase Agreement (paid);

• Dreadnought to pay $280,000 at Completion (paid);

• Arrow to receive 2,350,000 fully paid ordinary shares at Settlement, escrowed until 31 January 2023 (issued);

Dreadnought Resources Limited Unit 1, 4 Burgay Court, Osborne Park WA 6017 PO Box 646, West Perth WA 6872

www.dreadnoughtresources.com.au

info@dreadnoughtresources.com.au

+61 08 9473 8345

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• Dreadnought to pay a

• further $300,000 on or by 30 November 2022;

• a 1% Net Smelter Royalty;

• and

• On the identification and

• reporting of a JORC compliant Inferred Resource of >500,000oz gold equivalent, Dreadnought will pay Arrow $1,000,000.

Figure 2: Photo of outcropping magnetite banded iron formation at the T2 prospect.

Dreadnought Resources Limited Unit 1, 4 Burgay Court, Osborne Park WA 6017 PO Box 646, West Perth WA 6872

www.dreadnoughtresources.com.au

info@dreadnoughtresources.com.au

+61 08 9473 8345

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Background on Central Yilgarn

The Central Yilgarn Project is located ~190 kms from Kalgoorlie and comprises 14 tenements (~1,600 sq kms) covering ~150 kms of strike along the majority of the Illaara, Yerilgee and Evanston greenstone belts.

The Central Yilgarn has mainly been held by parties looking to develop iron ore mines north of the Koolyanobbing Iron Ore Operation. Given the long history of iron ore mining in the region, the Central Yilgarn is well situated in relation to existing road and rail infrastructure connecting it to a number of export ports.

Historically, gold was discovered and worked at Rainy Rocks, Metzke’s Find and Lawrence’s Find in the early to mid 1900s. In addition to gold, outcropping VMS base metals mineralisation was identified and briefly tested in the 1970s and 1980s with no subsequent exploration utilising modern techniques.

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Figure 3: Plan view of the Central Yilgarn Project showing main gold projects and basement geology.

Dreadnought Resources Limited Unit 1, 4 Burgay Court, Osborne Park WA 6017 PO Box 646, West Perth WA 6872

www.dreadnoughtresources.com.au info@dreadnoughtresources.com.au

+61 08 9473 8345

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For further information please refer to previous ASX announcements:

• 24 June 2019 75 km Long Illaara Greenstone Belt Acquired from Newmont

• 6 December 2019 Consolidation of 75km Long Illaara Greenstone Belt

• 11 July 2022 Significant Regional Consolidation – Central Yilgarn Project

UPCOMING NEWSFLOW

1-3 August: Attending Diggers and Dealers Mining Forum in Kalgoorlie

August: Further update on REE drilling at Yin, Y2 and Y3 ironstones (Mangaroon 100%)

August: Assays from Peggy Sue pegmatite sampling (Central Yilgarn)

August: Assays from RC drilling at Nelson, Trafalgar, Metzke’s Find, Kings, Spitfire (Central Yilgarn) August: Results from Central Komatiite Belt nickel sulphide target generation work (Central Yilgarn) August: Remaining results from project wide auger sampling program (Tarraji-Yampi)

August: Assays for Ni-Cu sulphides at the Money Intrusion (Mangaroon FQM Option) August/September: REE assays from RC drilling ironstones/carbonatites (Mangaroon 100%) August/September: Initial JORC Resource for Metzke’s Find Au (Central Yilgarn)

8 September: Presenting at New World Metals Conference in Perth

20-22 September: Presenting at New World Metals Conference in Sydney and Melbourne

September: Audited Financial Report

October/November: Results from Metallurgical test work at Yin (Mangaroon 100%)

November: Annual General Meeting

December Quarter: initial Yin JORC Resource (Mangaroon 100%)

~Ends~

For further information please contact:

Dean Tuck Jessamyn Lyons Managing Director Company Secretary Dreadnought Resources Limited Dreadnought Resources Limited E:dtuck@dreadnoughtresources.com.au E:jlyons@dreadnoughtresources.com.au

This announcement is authorised for release to the ASX by the Board of Dreadnought.

Competent Person’s Statement

The information in this announcement that relates to geology and exploration results and planning was compiled by Mr. Dean Tuck, who is a Member of the AIG, Managing Director, and shareholder of the Company. Mr. Tuck has sufficient experience which 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 Exploration Results, Mineral Resources and Ore Reserves'. Mr. Tuck consents to the inclusion in the report of the matters based on the information in the form and context in which it appears. The Company confirms that it is not aware of any new information or data that materially affects the information in the original reports, and that the forma and context in which the Competent Person’s findings are presented have not been materially modified from the original reports.

Dreadnought Resources Limited Unit 1, 4 Burgay Court, Osborne Park WA 6017 PO Box 646, West Perth WA 6872

www.dreadnoughtresources.com.au info@dreadnoughtresources.com.au

+61 08 9473 8345

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INVESTMENT HIGHLIGHTS

Kimberley Ni-Cu-Au Projects

Dreadnought controls the second largest land holding in the highly prospective West Kimberley region of WA. The main project area, Tarraji-Yampi, is located only 85kms from Derby and has been locked up as a Defence Reserve since 1978.

Tarraji-Yampi presents a rare first mover opportunity with known outcropping mineralisation and historic workings from the early 1900’s which have seen no modern exploration.

Results to date indicate that there may be a related, large scale, Proterozoic Cu-AuAg-Bi-Sb-Co system at Tarraji-Yampi, similar to Cloncurry / Mt Isa in Queensland and Tennant Creek in the Northern Territory.

Mangaroon Ni-Cu-PGE JV & REE Au 100%

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Project

Mangaroon is a first mover opportunity covering ~4,500sq kms located 250kms south-east of Exmouth in the vastly underexplored Gascoyne Region of WA. Part of the project is targeting Ni-Cu-PGE and is subject to a joint venture with First Quantum Minerals (earning up to 70%). The joint venture area contains outcropping high tenor Ni-Cu-PGE blebby sulphides in the recently defined Money Intrusion. Dreadnought’s 100% owned areas contain outcropping high-grade gold bearing quartz veins along the Edmund and Minga Bar Faults and outcropping high-grade REE ironstones, similar to those under development at the Yangibana REE Project. Recently six potentially REE bearing carbonatite intrusions have been identified which may also be the source of the regional rare earths.

Central Yilgarn Gold, Base Metals, Critical Minerals & Iron Ore Project

Central Yilgarn is located ~190km northwest of Kalgoorlie in the Yilgarn Craton. The project comprises ~1,600 sq kms covering ~150km of strike along the majority of the Illaara, Yerilgee and Evanston greenstone belts. Central Yilgarn is prospective for typical Archean mesothermal lode gold deposits, VMS base metals, komatiite hosted nickel sulphides and critical metals including Lithium-CaesiumTantalum.

Prior to consolidation by Dreadnought, the Central Yilgarn was predominantly held by iron ore explorers and remains highly prospective for iron ore.

Dreadnought Resources Limited Unit 1, 4 Burgay Court, Osborne Park WA 6017 PO Box 646, West Perth WA 6872

www.dreadnoughtresources.com.au

info@dreadnoughtresources.com.au

+61 08 9473 8345