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FOCUS MINERALS LTD Interim / Quarterly Report 2024

Jan 30, 2024

64932_rns_2024-01-30_6854fcda-6404-4e52-8a76-ccc7731e1d1b.pdf

Interim / Quarterly Report

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Market Announcement

31 January 2024

December 2023 Quarterly Activities Report

Operations:

Coolgardie Gold Operations:

  • Processing 266,786 tonnes of gold ore at 0.98 g/t and 87% recovery produced 7,262 ounces of gold for the quarter.

  • Commissioning of the Three Mill Hill (TMH) treatment plant was completed during the quarter, with the November mill throughput rate exceeding the nameplate capacity of 100,000 tonnes per month.

  • Mill feed was predominantly from low grade historical stockpiles for commissioning whilst Greenfields ore production ramps up.

  • The cut back at Greenfields Open Pit was largely complete at quarter end. 910,799 tonnes of waste and 73,622 tonnes of ore was mined for the period.

  • Mining focussed on deepening the Greenfields pit is expected to result in a significant reduction in stripping ratio and increasing ore production to provide 100% ore feed to the processing plant in the coming months.

  • Bonnie Vale Underground Mine Ore Reserve was updated delivering 932Kt @ 5.9 g/t for 177,920 oz (+17% increase in oz).

  • A significantly reduced production outcome is expected in January 2024 with an extended power outage of 10 days resulting from storm damage to the Western Power 220 KVA power line to the Goldfields region.

Exploration Activities:

Coolgardie Gold Project

  • Several Mineral Resources were updated for input into future mine planning. The aggregate Measured + Indicated + Inferred Mineral Resources at the Coolgardie Gold Project now total 46.2Mt @ 1.8g/t for 2.7Moz.

  • Planning and field checks completed for 2024 exploration programs.

Page 1 of 11

Laverton Gold Project

  • 50 RC exploration holes for 7,186m were completed at Laverton in the December quarter 2023.

Corporate Highlights:

  • Cash (unrestricted) at 31 December 2023: $1.198M.

West Australian gold company Focus Minerals ( ASX: FML ) ( Focus or the Company ) is pleased to provide its Quarterly Activities Report for the quarter ended 31 December 2023. Most of the Company’s effort during the quarter was directed towards the Coolgardie Gold Project, in line with the previously announced plan to resume gold mining operations.

Coolgardie Gold Operations

The Coolgardie Gold Project ( Coolgardie ) covers 121km[2] of highly prospective tenements on the outskirts of the Coolgardie township in the Goldfields region. The Company’s efforts are focused on the ramp up of the Three Mile Hill ( TMH ) plant which reported its first gold production during the September quarter 2023.

CGO Production Activities

During the quarter under review substantial production progress was made:

Greenfields OP Mining:

  • Cut back of the North and South pit walls was largely complete at quarter end.

  • 910,799 tonnes of waste and 73,622 tonnes of ore was mined during the quarter with a strip ratio of 12.4 waste to ore tonnes.

  • Mining will now focus on deepening the existing pit with large exposures of ore on the floor of the pit. This will see a significant reduction in the stripping ratio and capacity to provide 100% Greenfields ore feed into the processing plant.

  • The Big Blow small mining project was successfully completed with 9,480 tonnes mined at 3.69g/t containing 1,123 oz.

TMH ore processing:

  • Commissioning of the refurbished plant was completed during the December quarter.

  • 266,786 tonnes were processed at 0.98 g/t and 87% recovery and produced 7,262 ounces of gold, with 6,592oz poured and shipped. Gold in circuit increased to 670 oz over the quarter.

  • Mill feed for the December quarter consisted of 81% historical low-grade stockpiles, 15% Greenfields open pit ore and 4% Big Blow open pit.

  • The TMH Plant achieved nameplate capacity (1.2Mtpa) rate in November, processing 101,764 tonnes during the month. December processing at 77,699 tonnes was affected by a planned 5-day maintenance shutdown.

  • Mill availability for the December quarter at 89%, which is an acceptable level given the commissioning phase and the yearly 92% availability target.

  • Crusher feed for the December quarter consisted of 216k tonnes at 0.87g/t from historic low-grade stockpiles, 9.5k tonnes at 3.69 g/t from Big Blow and 40.7k tonnes at 1.02 g/t of mined ore from Greenfields.

  • A significantly reduced production outcome is expected in January 2024 with an extended power outage of 10 days resulting from storm damage to the Western Power 220 KVA power line to the Goldfields region.

Market Announcement | Page 2 of 11

Bonnie Vale Underground Project:

  • The Bonnie Vale Underground Mine Ore Reserve was updated delivering 932Kt @ 5.9 g/t for 177,920 oz (+17% increase in oz). This Reserve and updated mine design will form the basis for the development project anticipated to commence in 2024.

Exploration Activities

Various Coolgardie Gold Project Mineral Resources reviews were reviewed improving the quality of the targeted Mineral Resources with update to JORC 2012 status. Coolgardie Measured + Indicated + Inferred Mineral Resources have increased by 525.3Kt @ 1.19 g/t for 20.1Koz. Coolgardie Gold Project aggregate Measured + Indicated + Inferred Mineral Resources total 46.2Mt @ 1.8g/t for 2.7Moz (See ASX announcement dated 1 December 2023).

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Figure 1: Key Coolgardie project deposits with recent Mineral Resource Estimates.

Market Announcement | Page 3 of 11

The 2024 Coolgardie exploration budget/plan has been advanced. Additional field checks and clearances will be completed in January 2024 with drilling to resume towards the end of January.

Laverton Gold Project

50 RC exploration holes for 7,186m were completed at Laverton in the December quarter 2023. Several Mineral Resource updates were progressed during the December quarter for compilation in the March Quarter 2024.

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Figure 2: Second half 2023 Laverton RC drilling.

Market Announcement | Page 4 of 11

Corporate

Focus received approximately $21.311M from the proceeds of sale of gold during the Quarter.

The Company has repaid a A$20 million loan to its major shareholder, Shandong Gold Group Co Ltd, with the drawdown of funds from a new loan facility. Material terms of the new loan facility are:

Facility Amount: RMB100 million Security: Unsecured Loan Term: 1 year Interest Rate: 6.5% per annum Repayment Terms: Focus Minerals Ltd may repay the loan earlier should sufficient funds become available.

Focus spent $1.706M on exploration during the December quarter, including on drilling, assays and payments to consultants and exploration personnel.

In compliance with ASX Listing Rule 5.3.5, Focus reports it has paid $244,000 to related parties of the Company and their associates, which includes Executive Directors’ salaries, non-Executive Directors’ fees, superannuation and rent for the Directors.

As at 31 December 2023, the Company’s cash position is as follows:

Cash at Bank and Deposits
Cash held on bond
Total Cash and Equivalents
$1.198m
$5.551m
$6.749m

Market Announcement | Page 5 of 11

Tenement Movements during the Quarter

Coolgardie Gold Project

Tenement Location Percentage as at
01 October 2023
Percentage as at
31 December 2023
Note
M15/0150 Bayleys 100% 100%
M15/0630 Bayleys 100% 100%
M15/1434 Bayleys 100% 100%
M15/1788 Bayleys 100% 100%
P15/5717 Bayleys 100% 100%
P15/5995 Bayleys 100% 100%
P15/6254 Bayleys 100% 100%
P15/6256 Bayleys 100% 100%
M15/0277 Bonnie Vale 100% 100%
M15/0365 Bonnie Vale 100% 100%
M15/0595 Bonnie Vale 100% 100%
M15/0662 Bonnie Vale 100% 100%
M15/0711 Bonnie Vale 100% 100%
M15/0770 Bonnie Vale 100% 100%
M15/0852 Bonnie Vale 100% 100%
M15/0857 Bonnie Vale 100% 100%
M15/0877 Bonnie Vale 100% 100%
M15/0981 Bonnie Vale 100% 100%
M15/1384 Bonnie Vale 100% 100%
M15/1444 Bonnie Vale 100% 100%
M15/1760 Bonnie Vale 100% 100%
M15/1853 Bonnie Vale 0% 0% Under application
P15/5159 Bonnie Vale 100% 100%
P15/5702 Bonnie Vale 100% 100%
P15/5703 Bonnie Vale 100% 100%
P15/5704 Bonnie Vale 100% 100%
P15/6598 Bonnie Vale 100% 100%
P15/6670 Bonnie Vale 100% 100%
P15/6801 Bonnie Vale 0% 0% Under application
P15/6825 Gunga 0% 0% Under application
P15/6826 Gunga 0% 0% Under application
P15/6827 Gunga 0% 0% Under application
P15/6828 Gunga 0% 0% Under application
G15/0007 Infrastructure 100% 100%
G15/0046 Infrastructure 0% 0% Under application
L15/0027 Infrastructure 100% 100%
L15/0028 Infrastructure 100% 100%
L15/0034 Infrastructure 100% 100%
L15/0042 Infrastructure 100% 100%
L15/0051 Infrastructure 100% 100%
L15/0059 Infrastructure 100% 100%
L15/0063 Infrastructure 100% 100%
L15/0077 Infrastructure 100% 100%
L15/0078 Infrastructure 100% 100%
L15/0088 Infrastructure 100% 100%
L15/0090 Infrastructure 100% 100%

Market Announcement | Page 6 of 11

Tenement Location Percentage as at
01 October 2023
Percentage as at
31 December 2023
Note
L15/0095 Infrastructure 100% 100%
L15/0096 Infrastructure 100% 100%
L15/0114 Infrastructure 100% 100%
L15/0116 Infrastructure 100% 100%
L15/0119 Infrastructure 100% 100%
L15/0122 Infrastructure 100% 100%
L15/0123 Infrastructure 100% 100%
L15/0126 Infrastructure 100% 100%
L15/0127 Infrastructure 100% 100%
L15/0130 Infrastructure 100% 100%
L15/0161 Infrastructure 100% 100%
L15/0164 Infrastructure 100% 100%
L15/0168 Infrastructure 100% 100%
L15/0169 Infrastructure 100% 100%
L15/0171 Infrastructure 100% 100%
L15/0172 Infrastructure 100% 100%
L15/0173 Infrastructure 100% 100%
L15/0174 Infrastructure 100% 100%
L15/0175 Infrastructure 100% 100%
L15/0177 Infrastructure 100% 100%
L15/0179 Infrastructure 100% 100%
L15/0186 Infrastructure 100% 100%
L15/0193 Infrastructure 100% 100%
L15/0194 Infrastructure 100% 100%
L15/0200 Infrastructure 100% 100%
L15/0211 Infrastructure 100% 100%
L15/0283 Infrastructure 100% 100%
L15/0294 Infrastructure 100% 100%
L15/0371 Infrastructure 100% 100%
L15/0403 Infrastructure 0% 0% Under application
L15/0405 Infrastructure 0% 0% Under application
L15/0421 Infrastructure 0% 0% Under application
L15/0455 Infrastructure 0% 0% Under application
L15/0458 Infrastructure 0% 0% Under application
L15/0459 Infrastructure 0% 100% Granted
P15/5964 Londonderry 100% 100%
P15/5966 Londonderry 100% 100%
P15/5967 Londonderry 100% 100%
P15/5968 Londonderry 100% 100%
P15/5969 Londonderry 100% 0% Surrendered
P15/5970 Londonderry 100% 0% Surrendered
P15/5971 Londonderry 100% 100%
P15/5972 Londonderry 100% 100%
P15/6118 Londonderry 100% 100%
P15/6119 Londonderry 100% 100%
P15/6120 Londonderry 100% 100%
P15/6121 Londonderry 100% 100%
P15/6122 Londonderry 100% 100%
P15/6123 Londonderry 100% 100%
P15/6176 Londonderry 100% 100%
P15/6177 Londonderry 100% 100%

Market Announcement | Page 7 of 11

Tenement Location Percentage as at
01 October 2023
Percentage as at
31 December 2023
Note
P15/6178 Londonderry 100% 100%
M15/0385 Lord Bob 100% 100%
M15/1789 Lord Bob 100% 100%
P15/5712 Lord Bob 100% 100%
P15/5939 Lord Bob 100% 100%
P15/6102 Lord Bob 100% 100%
M15/0384 Norris 100% 100%
M15/0515 Norris 100% 100%
M15/0761 Norris 100% 100%
M15/0791 Norris 100% 100%
M15/0871 Norris 100% 100%
M15/1153 Norris 100% 100%
M15/1422 Norris 100% 100%
M15/1793 Norris 100% 100%
P15/6002 Norris 100% 100%
P15/6033 Norris 100% 100%
P15/6605 Norris 100% 100%
M15/0154 Three Mile Hill 100% 100%
M15/0636 Three Mile Hill 100% 100%
M15/0645 Three Mile Hill 100% 100%
M15/0781 Three Mile Hill 100% 100%
M15/0827 Three Mile Hill 100% 100%
M15/1341 Three Mile Hill 100% 100%
M15/1357 Three Mile Hill 100% 100%
M15/1358 Three Mile Hill 100% 100%
M15/1359 Three Mile Hill 100% 100%
M15/1432 Three Mile Hill 100% 100%
M15/0023 Tindals 100% 100%
M15/0237 Tindals 100% 100%
M15/0410 Tindals 100% 100%
M15/0411 Tindals 100% 100%
M15/0412 Tindals 100% 100%
M15/0646 Tindals 100% 100%
M15/0660 Tindals 100% 100%
M15/0675 Tindals 100% 100%
M15/0958 Tindals 100% 100%
M15/0966 Tindals 100% 100%
M15/1114 Tindals 100% 100%
M15/1262 Tindals 100% 100%
M15/1293 Tindals 100% 100%
M15/1294 Tindals 100% 100%
M15/1433 Tindals 100% 100%
M15/1461 Tindals 100% 100%
M15/1903 Tindals 0% 0% Under application
P15/5949 Tindals 100% 0% Surrendered
P15/5987 Tindals 100% 0% Surrendered
P15/6251 Tindals 100% 100%
P15/6252 Tindals 100% 100%
P15/6253 Tindals 100% 100%
P15/6257 Tindals 100% 100%
P15/6333 Tindals 0% 0% Under application

Market Announcement | Page 8 of 11

Tenement Location Percentage as at
01 October 2023
Percentage as at
31 December 2023
Note
P15/6335 Tindals 100% 100%
M15/1874 Nepean 0% 0% RoyaltyRights
P15/5574 Nepean 0% 0% RoyaltyRights
P15/5575 Nepean 0% 0% RoyaltyRights
P15/5739 Nepean 0% 0% Royalty Rights

Laverton Gold Project

Tenement Location Percentage as at
01 October 2023
Percentage as at
31 December 2023
Note
E38/1864 Admiral Hill - Barnicoat 100% 100%
E38/3232 Admiral Hill - Barnicoat 100% 100%
E38/3238 Admiral Hill - Barnicoat 100% 100%
E38/3565 Admiral Hill - Barnicoat 100% 100%
E38/3661 Admiral Hill - Barnicoat 100% 100%
E38/3691 Admiral Hill - Barnicoat 0% 0% Under application
E38/3824 Admiral Hill - Barnicoat 0% 0% Under application
M38/0264 Admiral Hill - Barnicoat 100% 100%
M38/0318 Admiral Hill - Barnicoat 100% 100%
M38/0376 Admiral Hill - Barnicoat 100% 100%
M38/0377 Admiral Hill - Barnicoat 100% 100%
M38/0387 Admiral Hill - Barnicoat 100% 100%
M38/0401 Admiral Hill - Barnicoat 100% 100%
M38/0507 Admiral Hill - Barnicoat 100% 100%
M38/1032 Admiral Hill - Barnicoat 100% 100%
M38/1042 Admiral Hill - Barnicoat 100% 100%
P38/4519 Admiral Hill - Barnicoat 100% 100%
E38/1642 Burtville 100% 100%
E38/2032 Burtville 100% 100%
E38/3050 Burtville 100% 100%
E38/3051 Burtville 100% 100%
E38/3088 Burtville 100% 100%
E38/3217 Burtville 100% 100%
E38/3659 Burtville 0% 0% Under application
E38/3739 Burtville 0% 0% Withdrawn
E38/3816 Burtville 0% 0% Under application
M38/0008 Burtville 100% 100%
M38/0073 Burtville 91% 91%
M38/0089 Burtville 91% 91%
M38/0261 Burtville 100% 100%
M38/1281 Burtville 100% 100%
P38/4547 Burtville 100% 100%
E38/3424 Central Laverton 100% 100%
E38/3858 Central Laverton 0% 0% Under application
E38/3859 Central Laverton 0% 0% Under application
M38/0143 Central Laverton 100% 100%
M38/0236 Central Laverton 100% 100%
M38/0270 Central Laverton 100% 100%
M38/0342 Central Laverton 100% 100%

Market Announcement | Page 9 of 11

Tenement Location Percentage as at
01 October 2023
Percentage as at
31 December 2023
Note
M38/0345 Central Laverton 100% 100%
M38/0363 Central Laverton 100% 100%
M38/0364 Central Laverton 100% 100%
M38/1187 Central Laverton 100% 100%
E38/3639 Chatterbox 100% 100%
E38/3821 Chatterbox 0% 100% Granted
E38/3823 Chatterbox 0% 0% Under application
E38/3830 Chatterbox 0% 0% Under application
E38/3832 Chatterbox 0% 0% Under application
M38/0049 Chatterbox 100% 100%
M38/0101 Chatterbox 100% 100%
M38/0535 Chatterbox 100% 100%
M38/0693 Chatterbox 100% 100%
G38/0020 Infrastructure 100% 100%
G38/0024 Infrastructure 100% 100%
G38/0025 Infrastructure 100% 100%
G38/0033 Infrastructure 100% 100%
L38/0034 Infrastructure 100% 100%
L38/0052 Infrastructure 100% 100%
L38/0053 Infrastructure 100% 100%
L38/0054 Infrastructure 100% 100%
L38/0055 Infrastructure 100% 100%
L38/0056 Infrastructure 100% 100%
L38/0057 Infrastructure 100% 100%
L38/0063 Infrastructure 100% 100%
L38/0075 Infrastructure 100% 100%
L38/0076 Infrastructure 100% 100%
L38/0078 Infrastructure 100% 100%
L38/0092 Infrastructure 100% 100%
L38/0101 Infrastructure 100% 100%
L38/0108 Infrastructure 100% 100%
L38/0152 Infrastructure 100% 100%
L38/0153 Infrastructure 100% 100%
L38/0160 Infrastructure 100% 100%
L38/0165 Infrastructure 100% 100%
L38/0166 Infrastructure 100% 100%
L38/0173 Infrastructure 100% 100%
L38/0177 Infrastructure 100% 100%
L38/0179 Infrastructure 100% 100%
L38/0183 Infrastructure 100% 100%
L38/0231 Infrastructure 100% 100%
L38/0335 Infrastructure 100% 100%
L38/0336 Infrastructure 100% 100%
L38/0337 Infrastructure 100% 100%
L38/0338 Infrastructure 100% 100%
L38/0339 Infrastructure 0% 0% Under application
E38/2873 Lake Carey 100% 100%
E38/3604 Lake Carey 0% 0% Withdrawn
E38/3186 Lancefield 100% 100%
M38/0037 Lancefield 100% 100%
M38/0038 Lancefield 100% 100%

Market Announcement | Page 10 of 11

Tenement Location Percentage as at
01 October 2023
Percentage as at
31 December 2023
Note
M38/0159 Lancefield 100% 100%
M38/0547 Lancefield 100% 100%
M38/1272 Lancefield 100% 100%
P38/4347 Lancefield 100% 100%
P38/4348 Lancefield 100% 100%
P38/4349 Lancefield 100% 100%
E38/1725 Prendergast 100% 100%
E38/1869 Prendergast 100% 100%
E38/2862 Prendergast 100% 100%
P38/4551 Prendergast 100% 100%
M38/0425 Murrin Murrin 0% 0% Au Rights
M38/0505 Murrin Murrin 0% 0% Au Rights

The release of this ASX announcement was authorised by Mr Wanghong Yang, Executive Chairman of Focus Minerals Ltd.

For further information please contact:

Nicholas Ong Company Secretary Focus Minerals Ltd. Phone: +61 8 9215 7888 Email: [email protected]

About Focus Minerals Limited (ASX: FML)

Focus is committed to delivering shareholder value from the Coolgardie Gold Operation, a 121km[2] tenement holding that includes a 1.2Mtpa processing plant at Three Mile Hill, with commencement of mining activities in mid2023. A new Life of Mine plan with 7-year production for 402,000oz of gold was announced to the ASX on 24 October 2022.

The Laverton Gold Project covers 384km[2] area of highly prospective ground that includes the historic Lancefield and Chatterbox Trend mines. Focus’ priority target is to confirm sufficient gold mineralisation to support production restart at Laverton.

Competent Person Statement

The information in this announcement that relates to Exploration Results is based on information compiled by Mr Alex Aaltonen, who is a Member of the Australasian Institute of Mining and Metallurgy (AusIMM). Mr Aaltonen is an employee of Focus Minerals Limited. Mr Aaltonen has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is 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 Reserves.

Market Announcement | Page 11 of 11