GATEWAY MINING LIMITED — Capital/Financing Update 2021

Mar 29, 2021

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: 30 March 2021

GIDGEE GOLD PROJECT – DRILLING PROGRESS UPDATE

Strong progress with RC and diamond drilling to test the Northwest Margin discovery and extend systematic RC coverage of the prospective Montague-Caledonian NE Pit corridor continuing, with a large number of assay results now pending

HIGHLIGHTS

• The major Reverse Circulation (RC) and diamond drilling campaign designed to follow-up on the previously announced Northwest Margin Lower Zone discovery is well underway, with two rigs on site and operating well.

• Drilling is progressing well, with only three days lost to rain delays associated with major regional rainfall events.

• To date a total of 42 RC drill-holes for 6,859m have been completed, as well as three diamond drillholes/diamond tails for 971.2m.

• To date, holes drilled along the Northwest Margin corridor have intersected the targeted geological units, including the recently identified highly prospective ultramafic intrusion located under cover along the margin of the Montague Granodiorite unit.

• A total of 37 batches of RC samples have been submitted to the commercial laboratory in Perth. However, Gateway is caught up in an industry-wide lack of assay laboratory capacity, with frustratingly long delays being experienced in assay turnaround.

• Diamond core has been logged and marked-up on site, and all trays have been transported to Perth for cutting and sampling prior to submission to the commercial laboratory in Perth.

• Assay results are expected to begin to flow after the Easter break and will be released to market once received and appropriate compilation and Quality Assurance checks completed.

Gateway Mining Limited (ASX: GML) ( Gateway or Company ) is pleased to provide an update on the progress of its 2021 exploration program at the 100%-owned Gidgee Gold Project in Western Australia, where a major Reverse Circulation ( RC ) and diamond drilling campaign is underway at the recently discovered Northwest Margin target area.

A program comprising 78 RC drill-holes as well as seven diamond drill-holes/diamond tails has been designed to test the extent of the high-grade mineralisation discovered in the Lower Zone at the Northwest Margin[1] . Results returned from drilling at the Lower Zone late last year included:

• GRC550: 15m @ 3.0g/t Au from 104m and 10m @ 9.2g/t Au from 140m

• GRC538: 10m @ 2.5g/t Au from 114m*

• GRC630: 7m @ 11.7g/t Au from 97m*

• (*historical results)

1 See ASX Releases dated 20 November 2020 and 22 January 2021

As well as testing the Lower Zone, the RC program is also designed to test the prospective geology south of the Montague-Boulder Mineral Resource towards the Caledonian NE pit, which exhibits the same attributes as that north of the Montague-Boulder Mineral Resource.

A similar exploration strategy is being employed at this prospective zone, with systematic sections of RC drill holes to be drilled. Recent RC drilling off the south end of the Montague-Boulder Mineral Resource demonstrated that mineralisation is open south of the existing Resource, returning the following assay results[2] :

• GRC609: 5m @ 6.9g/t Au from 67m (~100m south of existing Resource)*

• ▪ GRC612: 3m @ 3.7g/t Au from 88m (~160m south of existing Resource) (historical results)

In addition, four dedicated stratigraphic diamond drill-holes have been designed to provide crucial information relating to the overarching geological and structural framework around the Montague Granodiorite dome. These four holes are co-funded through the WA State Government Exploration Incentive Scheme (EIS).

All planned drill-holes are shown in Figure 1.

To date, a total of 42 RC drill-holes for 6,859m, and three diamond drill-holes for 971.2m have been completed. Drilling has progressed well, with good drilling conditions encountered and only three days lost due to rain associated with regional rainfall events. Drilling has so far encountered the targeted prospective ultramafic intrusive unit as expected in the predicted locations, with assay results from the holes completed to date pending.

To date, a total of 37 batches of RC drill samples have been submitted to a commercial laboratory in Perth. In addition, all diamond core from completed holes has been logged and marked-up on site and transported to Perth for cutting and sampling. However, due to an industry-wide lack of assay laboratory capacity, turnaround times on submitted samples are frustratingly slow.

The Company expects assay results to begin to start to flow consistently following the Easter break.

2 See ASX Release dated 11 January 2021

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Figure (1): Northwest Corridor target area with designed drill programs and previous drill results

MANAGEMENT COMMENT

Gateway’s Managing Director, Mr Mark Cossom, said: “ Our 2021 drilling program is off to a strong start with a large number of holes already completed and submitted for assay. While the slow turnaround of assay results – an industrywide phenomenon – has been frustrating, we are confident that this situation will begin to turn around quite quickly following the Easter break given the large number of samples currently in the laboratory.

“We have a systematic exploration program mapped out, with an overall program of more than 35,000m of RC, diamond and air-core drilling – and we are looking forward with great anticipation to our first results.”

This released has been authorised by:

Mark Cossom Managing Director

For and on behalf of GATEWAY MINING LIMITED

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 Mark Cossom who is a full-time employee of Gateway Mining Ltd and is a current Member of the Australian Institute of Mining and Metallurgy. Mr Cossom owns shares and options in Gateway Mining Ltd. Mr Cossom 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 Cossom consents to the inclusion in the report of the matters based on the information in the form and context in which it appears.

Investors Media Mark Cossom Nicholas Read Managing Director Read Corporate T: 02 8316 3998 T: 08 9388 1474 or Kar Chua Company Secretary T: 02 8316 3998

APPENDIX (1)

About the Gidgee Gold Project

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Gidgee Gold Project Tenement Location Diagram