GATEWAY MINING LIMITED — Capital/Financing Update 2019

Sep 15, 2019

ABN: 31 008 402 391 Level 11, 52 Phillips Street Sydney NSW 2000 GPO Box 225 Sydney NSW 2001 Tel: 61 2 8316 3998 Fax: 61 2 8316 3999 Website: www.gatewaymining.com.au

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ASX Announcement: 16 September 2019

MAJOR NEW DRILLING PROGRAM SET TO COMMENCE AT GIDGEE

Multiple targets to be tested including immediate extensions of Whistler and Montague deposits

Key Points:

• ~16,000m of RC and air-core drilling planned.

• Immediate extensions of Whistler and Montague deposits to be tested.

• First-pass drilling beneath NE Caledonian pit and Achilles target also planned.

• Re-commencement of drilling follows recent successful $3.46M capital raising.

• Work well advanced on maiden Mineral Resource Estimate (MRE), on track for release by late September.

Gateway Mining Limited (ASX: GML) ( Gateway or Company ) is pleased to advise that is preparing to re-commence drilling at its 100%-owned Gidgee Gold Project , Western Australia (Figure 2) following the completion of its recent highly successful $3.46 million capital raising.

Subject to final statutory approvals, extensive drilling programs comprising ~8,000m of Reverse Circulation ( RC ) and ~8,000m of air-core drilling will commence towards the end of the month.

The aim of the RC drilling is to target immediate extensions to the Whistler and Montague Gold Deposits, as well as undertake first-pass drill testing of a series of high-priority targets along the granodiorite contact. In addition to this, the air-core drilling is designed to commence systematic testing of large strike extensions of the prospective granodiorite contact that have never previously been tested.

The air-core drilling will commence following the completion of the RC drilling.

The commencement of drilling is expected to coincide with the completion of a maiden Mineral Resource Estimate ( MRE ) for the Gidgee Gold Project. Work is well advanced on this MRE, which has been expanded to include recently reported drilling results at Montague and historical resources at S-Bend and Rosie North (see below).

NEW DRILLING PROGRAMS

The initial 8,000m program of RC drilling, which may be expanded, will target the following (Figure 1):

• Extensions to the Whistler Gold Deposit targeting:

• Immediate extensions to the recently discovered shallow, high-grade shoots to the north and south of the main mineralised zone.

• The potential of the recently discovered large-scale, flat-lying shear zones in the hanging wall of the main mineralised zone.

• Major strike extensions to the south along the contact of the granodiorite.

• Extensions to the Montague Gold Deposit targeting:

• Continued extensions to high-grade shear zone currently the focus of resource modeling.

• ▪ Major strike extensions to the north and south along the contact of the granodiorite.

• First pass drill testing beneath the historical NE Caledonian open pit targeting:

• High-grade primary structures immediately in the base of the pit.

• Major strike extensions to the north and south along the contact of the granodiorite.

• In-fill drill testing over the 1.2km long, highly mineralised Achilles Target that hosts the Rosie, North Rosie and S-Bend Prospects. Limited, shallow historical drilling in this area has intersected strong zones of shear zone and stockwork-hosted mineralisation that remain largely untested.

On completion of the RC drilling program, an air-core drilling rig will commence systematic testing of large strike extensions of the prospective granodiorite contact that have never previously been tested.

The information collected from this drilling will provide key geological and geochemical information that, in the first instance, will be used to identify immediate new RC drill targets and, as an extension, will be incorporated into geophysical datasets that will advance the understanding of the granodiorite contact.

These programs of drilling will be ongoing for at least the next three months and results will be reported as they come to hand. Additional drilling will be planned based on results.

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Figure (1): Gidgee Gold Project Location Plan

MAIDEN MINERAL RESOURCE

Work is currently well advanced on a JORC 2012 compliant maiden Mineral Resource Estimate (MRE) for the Gidgee Project, with the assistance of an independent resource geologist.

The scope of the maiden MRE (which was originally based on the Whistler and Montague deposits only) has been slightly expanded to include the recent successful drilling at Montague and to provide additional time to undertake due diligence on reporting historical resources at S-Bend and Rosie North (both of which will be targeted for expansion in the next phase of drilling).

The additional work required to finalise the maiden MRE should see it now being completed and reported towards the end of September 2019.

Peter Langworthy Managing Director

For and on behalf of GATEWAY MINING LIMITED

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Competent Person Statement

The information in this report that relates to Exploration Results or Mineral Resources is based on information compiled or reviewed by Mr Peter Langworthy who is a full-time employee of Gateway Mining Ltd and is a current Member of the Australian Institute of Mining and Metallurgy. Mr Peter Langworthy has sufficient experience, which is relevant to the style of mineralisation and types of deposit under consideration and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code of Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Langworthy consents to the inclusion in the report of the matters based on the information in the form and context in which it appears.

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Figure (2): Gidgee Gold Project Location Plan

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