ENCOUNTER RESOURCES LIMITED — Investor Presentation 2021

Feb 15, 2021

RIU Explorers Conference February 2021

Copper - Gold in Australia: Collaborating with high quality partners to make new discoveries

ASX: ENR

Disclaimer and compliance statement

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This presentation has been prepared by Encounter Resources Limited (“Encounter”). The information contained in this presentation is a professional opinion only and is given in good faith. Certain information in this document has been derived from third parties and though Encounter has no reason to believe that it is not accurate, reliable or complete, it has not been independently audited or verified by Encounter.

Any forward-looking statements included in this document involve subjective judgement and analysis and are subject to uncertainties, risks and contingencies, many of which are outside the control of, and maybe unknown to Encounter. In particular, they speak only as of the date of this document, they assume the success of Encounter’s strategies, and they are subject to significant regulatory, business, competitive and economic uncertainties and risks. Actual future events may vary materially from the forward looking statements and the assumptions on which the forward looking statements are based. Recipients of this document (“Recipients”) are cautioned to not place undue reliance on such forward-looking statements.

Encounter makes no representation or warranty as to the accuracy, reliability or completeness of information in this document and does not take responsibility for updating any information or correcting any error or omission which may become apparent after this document has been issued.

To the extent permitted by law, Encounter and its officers, employees, related bodies corporate and agents (“Agents”) disclaim all liability, direct, indirect or consequential (and whether or not arising out of the negligence, default or lack of care of Encounter and/or any of its Agents) for any loss or damage suffered by a Recipient or other persons arising out of, or in connection with, any use or reliance on this presentation or information.

The information in this report that relates to Exploration Results is based on information compiled by Mr. Peter Bewick who is a Member of the Australasian Institute of Mining and Metallurgy. Mr. Bewick holds shares and options in and is a full time employee of Encounter and has sufficient experience which is relevant to the style of mineralisation under consideration to qualify as a Competent Person as defined in the 2012 Edition of the 'Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Bewick consents to the inclusion in the report of the matters based on the information compiled by him, 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 relevant ASX releases and the form and context of the announcement has not materially changed. The Company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcements.

Certain exploration drilling results for BM1 were first disclosed under JORC code 2004. It has not been updated since to comply with the JORC code 2012 on the basis that the information has not materially changed.

The information in this report that relates to Exploration Results is based on information compiled by Mr. Peter Bewick who is a Member of the Australasian Institute of Mining and Metallurgy. Mr. Bewick is a full time employee of Encounter and has sufficient experience which is relevant to the style of mineralisation under consideration to qualify as a Competent Person as defined in the 2004 Edition of the 'Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Bewick consents to the inclusion in the report of the matters based on the information compiled by him, in the form and context in which it appears.

This announcement has been approved for release by the Board of Encounter.

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The Encounter business model

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PROJECT GENERATOR MODEL

Progress project pipeline with a mix of alliances, joint ventures and sole funding

TIER 1 TARGETS

Project generation and exploration targeting major gold and base metal discoveries in world-class mineral belts

HIGH QUALITY PARTNERS

Partner with leading mid-tier and major producers which have well supported, talented and highly resourced exploration teams

FAST ADOPTION OF NEW DATA AND TECHNOLOGIES Fast mover, early adopter of new technologies and datasets

DATA DRIVEN INSIGHTS

Reduce exploration risk through cost effective and innovative data-driven techniques to rapidly prioritise and assess targets

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Creating value through project generation and discovery Encounter at a glance

Capital structure

Share price – 12 months

Capital structure
ASX ticker	ENR
Share price (15/02/2021)	$0.14
Shares on issue	314M
Options Market capitalisation	17M ~$44
Cash	~$7.5M
Listed investments	~$1M
Enterprise value (net of cash and listed investments)	~$35M
Major shareholders
Board and Management	~14.2%
IGO	~8.2%
Silver Lake Resources	~5.3%

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2,500,000.00 $0.35
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Mr Peter Bewick Mr Philip Crutchfield Exploration Director Non Executive Director B.Eng (Hons), B.Comm., LL.B (Hons), MAusIMM LL.M LSE

Mr Paul Chapman Non Executive Chairman

Dr Jon Hronsky OAM Non Executive Director BAppSci, PhD, MAusIMM, FSEG

Mr Will Robinson Managing Director B.Comm, MAusIMM

B.Comm, ACA, Grad. Dip. Tax, MAICD, MAusIMM

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Early mover positions in world-class minerals belts attracting world-class partners

A premier copper and gold exploration portfolio

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P aterson Province - WA

• Lamil (ENR 100%)

• Yeneena Cu-Co (IGO $15m earn in)

Tanami / West Arunta - WA

• Aileron IOCG Copper-Gold-Rare Earths

• Tanami Gold

Northern Territory Copper

▪ Elliott Copper (BHP option $22m earn in)

• Jessica Copper (ENR 100%)

• Five other camp scale copper projects

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Paterson Province
Gold-Copper Tanami
Drill ready gold targets Belt scale gold Northern Territory
25km NW of Telfer project
Sediment Hosted copper
and IOCG targets in
100% emerging region
100%
West Arunta
IOCG target
copper-gold-rare earths
Paterson Province
New approach in a
known Cu-Co district
100%
Yilgarn Gold
New techniques in a world-
class gold province
Copper
Gold
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Paterson Province – WA Australia’s hottest copper address

• Lamil – 5km long Cu-Au system

ENR 100%

▪ Yeneena – Copper/cobalt targets Earn-in

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Paterson Province: drill ready gold targets at Lamil

• 100% ENR – located 25km NW of Telfer

• Dune Prospect - primary copper-gold mineralisation over 800m and open:

• 4m @ 7.1g/t Au from 216m

• 10m @ 2.8g/t Au from 94m

• 4m @ 3.3g/t Au from 74m

• Gap Prospect – supergene gold mineralisation on a single section of drilling:

• 30m @ 1.1g/t Au from 96m

• 36m @ 0.4g/t Au from 124m

• 36m @ 0.5g/t Au from 28m

• Elsa Prospect – Havieron-style IP target adjacent to the depth extensive breccia zone

• RC drill program completed Feb 2021 at Dune

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Lamil Project - Airphoto – Max gold-in-hole

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Refer to ASX releases 26 April 2017, 11 June 2020 and, 4 September 2020, 18 December 2020

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Dune: primary copper-gold over 800m and open

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▪ Ten hole (2,077m) RC drill program completed

• Initial observations include:

• Mineralised zone at Dune extends further to the south and east

• Copper anomalism noted in Niton XRF

• Minor visual malachite and native copper logged in drill cuttings

• Assay results March 2021

• Immediate follow up diamond drilling April 2021

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Supergene copper mineralisation noted in EPT228 (104-107m)

Dune Prospect (Max in hole Au) and recently completed RC holes

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Refer to ASX releases 26 April 2017, 11 June 2020 and, 4 September 2020, 18 December 2020, 15 February 2021

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Yeneena – IGO Partnership – Copper-Cobalt

• The Paterson Province is a proven mineral region with a consistent history of discoveries

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• Encounter holds exploration tenure over 1,600km² of the Paterson Province:

• Central African Copperbelt analogue

• Magmatic Copper-Gold (Winu analogue)

• IGO and Encounter joined forces to advance the Yeneena Copper-Cobalt Project:

• IGO can sole fund $15 million in exploration expenditure over a maximum seven years to earn a 70% interest

• Well funded majors actively exploring in the region and making new discoveries

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Refer ASX announcement 5 November 2020

Paterson Province: Yeneena Copper Project

▪ Fine-fraction soil surveys:

• New copper in soil anomalies defined

BM1: Coherent zone of shallow copper oxide mineralisation. Best intersections include[1] :

• 10m @ 6.8% Cu from 32m*

• 20m @ 2.0% Cu from 22m*

• 16m @ 3.2% Cu from 26m

• Supported multi element geochemistry

▪ Electromagnetic (“EM”) surveys:

• Conductor identified at depth adjacent to BM1 copper prospect on Windsor Fault

• steep conductive feature defined on the northern margin of the Aria breccia pipe

• New datasets to define and prioritise targets

• Three hole November 2020 diamond drilling:

• Tarcunyah geochem target (total 610m)

• Windsor target (one hole paused at 483m)

• Assay results expected March 2021

▪ Drilling to resume March 2021

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1Refer ASX announcements 15 July 2014, 30 January 2015, 2 March 2017. *Reported pursuant to the 2004 Edition of the JORC Code.

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Tanami/West Arunta - WA Belt Scale Partnering Opportunities

• West Tanami – Major gold exploration portfolio

▪ Aileron – IOCG-style copper-gold-rare earths project

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West Tanami: a major gold exploration portfolio

• Rare belt scale gold project in WA

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• 100km of strike along the major structural corridor interpreted to be the key controlling structure for gold mineralisation in the Tanami

• Material new near mine gold discoveries at Newmont +14Moz Callie mine¹

• Shallow historical exploration has defined multiple Tier 1 deposit footprints

• Newcrest completed (to Dec 2020):

• 18,400km line airborne magnetic survey

• Extensive heritage clearances

• One program of broad spaced RC drilling

Tanami regional leasing summary (Encounter = black, Northern Star = yellow, Newmont = red, Prodigy = blue) with gold occurrences over regional gravity data

• Discussions underway with potential partners

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1 Refer to Newmont Tanami Operations AGES Paper 20 March 2018

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Tanami: priority prospects for follow up in 2021

▪ Afghan Prospect

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• +7.5km long gold anomaly in shallow RAB drilling

• 10m @ 1.6g/t Au from 4m[1]

▪ Mojave Prospect

• +7km long gold-arsenic anomaly that includes thick mineralised drill intersections strengthening at bottom of hole

▪ Camel Prospect

• 7.2m @ 3.1g/t Au from 95m in last drilling completed in 2010[2]

▪ Hutch’s Find Prospect

• Significant zone of gold/arsenic anomalism in colluvium over 5km of strike

• Limited drilling – 19m @ 2.3g/t Au from 98m and 10m @ 5.4g/t Au from 123m[2]

▪ Bandicoot Prospect

18,400 line km airborne magnetic survey completed

• Large, untested magnetic anomaly coincident with gold-arsenic geochemical anomaly

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1 Refer to ASX Release 23 January 2020

2 Refer to ASX Release 3 May 2018

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West Arunta: IOCG targets in a new region

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• 1,300km² West Arunta province of WA

• Initial drill target a steeply dipping 500m x 200m magnetic body starting from ~50m below surface1

• Newcrest partially completed one deep diamond drill hole to a depth of 158m (EAL001) into this unexplored belt

• Intersected hydrothermal hematitealtered mafic intrusions and granite with a distinctive IOCG geochemical signature

• Discussions underway with potential partners

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Tenement location plan on TMI background

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1Refer to ASX announcement 21 March 2018

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West Arunta: IOCG targets in a new region

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• Shallow cover depth ~10m

• Hydrothermal hematite-altered mafic intrusions and granite with a distinctive IOCG geochemical signature

• Assays include zones of anomalism:

• Copper (up to 0.1% Cu),

• Gold (up to 48ppb Au)

• Molybdenum (up to 155ppm Mo).

• Rare earth elements:

  • → Lanthanum (La) up to 0.2%

  • → Cerium (Ce) up to 0.3%

• Metal anomalism at Aileron is associated with hematite-alteration

• IOCG mineralisation often has a strong density contrast (Olympic Dam, Prominent Hill) meaning gravity surveys could provide drill targets and a clear pathway to discovery

Hematite altered and fractured, coarse grained granitic rock with narrow mafic intrusive (88.5 - 91.7m)

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Refer to ASX announcement s16 October 2020, 28 January 2021

Northern Territory The next hot spot for copper in Australia

• Elliott – Standout copper in groundwater anomaly Option

▪ Jessica – Copper oxides in water bore ENR 100%

▪ Five other first mover camp scale copper projects ENR 100%

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Northern Territory: the next hot spot for copper in Australia

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• Highly prospective, vastly underexplored region under shallow cover located between the major copper-gold producing districts of Mt Isa and Tennant Creek

• Copper sourced from sedimentary-hosted deposits is one of the largest sources of copper in the world

• Potential for sedimentary-hosted copper deposits under thin cover is being opened up through new government datasets (GA, NTGS)

• Encounter moved early and aggressively to secure a series of camp scale, first mover opportunities

• Seven projects targeting sediment-hosted and IOCG style copper

• Early exploration has yielded exciting results

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Elliott Copper Project - BHP teams up with Encounter

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140km
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• 4,500km² located on a major structural intersection on the south western margin of the Beetaloo Basin

• Standout copper in groundwater anomaly from Geoscience Australia sampling

• New regional GA and NTGS geophysical and geochemical datasets

• Target sequence undercover and untested

• Project being advanced together with BHP via an option agreement to enter an earn-in and joint venture

• Staged earn-in where BHP has the right to earn up to 75% interest in Elliott by spending up to $22 million over 10 years

• Validation program of compilation, interpretation and modelling

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Elliott Leasing over Regional Gravity

Jessica Copper Project

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• 5,500km² covering key structural corridors east of Tennant Creek

• Prospective for sediment-hosted copper and IOCG deposits

• Near surface copper oxide (malachite) mineralisation identified in rock chips generated from water bore drilling

• Initial aircore drill program scheduled for May 2021

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Barkly Tablelands (Photo: Geoscience Australia)

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Copper Carbonate (Malachite)

• 0-3m from RN28419 – chemical assay 1.5% Cu

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Upcoming exploration activity

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Jan Feb Mar Apr May Jun Jul Aug
Lamil Copper-Gold RC
EIS diamond drilling
(100% ENR) drilling
Aircore
Copper Projects NT Validation program (seismic, EM interp,
drilling Field validation programs
(100% ENR) geochem review )
(Jessica)
Paterson Province
Diamond drilling Aircore drilling
Copper-Cobalt
Elliott Copper BHP decision on next phase Field validation programs
West Tanami Gold
New project partner discussions Gravity survey / drilling
West Arunta IOCG
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Shareholders gain leverage to significant discovery opportunities with minimal dilution Foundations established for major exploration drive

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Exploration expenditure

Total spend				West Tanami Au
on Encounter projects				West Arunta IOCG Cu-Au-REE
				Elliott Cu
Encounter		Lamil Copper-Gold		Yeneena Cu-Co JV
spend		NT Copper Projects Yilgarn Gold Projects		100% ENR

Next Milestone

New project partners

JV commencement

Drilling resumes Mar 2021

Lamil assays – Mar 2021 Lamil drilling – Apr 2021 Jessica drilling – May 2021

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