MATSA RESOURCES LIMITED — Investor Presentation 2021

Jul 13, 2021

Becoming a Gold Producer

ASX : MAT matsa.com.au

Paul Poli | Noosa | July 2021

Corporate Presentation

Disclaimer

Disclaimer and Forward Looking Statements

This presentation has been prepared by Matsa Resources Limited ("Matsa" or the "Company"). It should not be considered as an offer or invitation or inducement to subscribe for or the purchase of any securities in the Company. This presentation may contain certain "forward-looking statements" which may not have been based solely on historical facts, but rather may be based on Matsa's current expectations about future events and results. Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. Actual results and developments may differ materially from those expressed or implied.

The material in this presentation is intended to be a summary of current and proposed activities, selected geological data and Mineral Resource estimates. This data is based on information available at the time. It does not include all available information and should not be used in isolation as a basis to invest in the Company. This overview of Matsa does not purport to be all-inclusive or to contain all information which its recipients may require in order to make an informed assessment of the Company's prospects. You should conduct your own investigation and perform your own analysis in order to satisfy yourself as to the accuracy and completeness of the nformation, statements and opinions contained in this presentation before making any investment decision.

This presentation includes information and graphics relating to a conceptual mining study, completed Mineral Resource estimate and a scoping study and includes "forward looking statements" which include, without limitation, estimates of gold production based on mineral resources that are currently being evaluated.

While the Company has a reasonable basis on which to express these estimates, any forward looking statement is subject to risks, uncertainties, assumptions and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Risks include, without limitation, gold metal prices, foreign exchange rate movements, project funding capacity and estimates of future capital and operating costs. The Company does not undertake to release publicly any revisions to forward looking statements included in this report to reflect events or results after the date of this presentation, except as may be required under applicable securities regulations.

Any potential investor should refer to publicly available reports on the ASX website and seek independent advice before considering investing in the Company.

Production Targets and Forecast Financial Information

The information in this presentation that relates to production targets and financial information is extracted from ASX announcements dated 22 January 2021 (Concept Study 600,000tpa Treatment Plant Lake Carey Project) and 14 April 2021 (Devon Pit Scoping Study Delivers Excellent Results). Matsa confirms that all material assumptions underpinning the production targets and forecast financial information derived from production targets set out in those announcements, including the cost and pricing assumptions, continue to apply and have not materially changed.

Competent Persons Statements

The information contained within this presentation that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on, and fairly represents information prepared by Mr Pascal Blampain, a Competent Person who is a Member of the Australian Institute of Mining and Metallurgy (AusIMM) and Australian Institute of Geoscientists (AIG). Mr Blampain is a Director of Matsa Resources Ltd and has sufficient experience that 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 Resource and Ore Reserves". Mr Blampain consents to the inclusion in this presentation of the matters based on his information in the form and context in which it appears.

Corporate Overview

KEY SHAREHOLDERS as at 13/7/21 DIRECTORS

BNP Paribas - Clearstream	15.51%
BNP Paribas - DRP	11.81%
Sparta AG	6.66%
Paul Poli	4.32%
Top 20 Shareholders	~55.41%

Paul Poli	Executive Chairman & Managing Director
Pascal	Executive
Blampain	Director
Frank	Non-Executive
Sibbel	Director
Andrew Chapman	Executive Director & Company Secretary

New Strategy – building gold inventory, a new plant and shareholder value

• Mineral Resources of 694,000oz*
• 503km² target rich tenement package in Western Australia
• Three mines Fortitude Stage 2, Devon Pit and Red October
• Excellent exploration pipeline with proven high-grades
• Concept study on 600ktpa standalone plant highlighted significant economic benefits
• Devon high grades support standalone near term mining opportunity
• Excellent potential to become a significant mid-tier Australian gold producer
• Strong exposure to Nickel through IGO JV Fraser Range

Projected A\$96.15M surplus – Fortitude / Devon alone

Corporate Presentation

5

Symons Hill - Fraser Range

• Commanding land holding in Fraser Range provides strategic Ni exposure from 225km² tenement package
• Matsa completed tenement wide EM on E69/3070, IGO undertaking diamond drilling and exploration
• E28/2916 5km NW of Nova, Matsa reviewing historical data
• E39/2159 and E39/2162 in the north recently granted
• Strong magnetic and gravity signatures
• Known occurrences of Ni in area

Symons Hill - Fraser Range

• Standout 410m* intercept of blebby to semi massive sulphide zone with pyrrhotite, chalcopyrite and pentlandite
• Drill hole testing historical Bottom Of Hole (AC) anomalism of 1m @ 0.10% Ni and 0.11% Cu & 1m @ 0.09% Ni and 0.10% Cu
• Anticipating further drilling

following assay review

Assays pending Semi massive 3 phase sulphides in cumulate gabbronorite, 576.8m

Cross Section looking NE of 21AFDD105 showing the interpreted position of the gabbronorite intrusive

Symons Hill - Fraser Range

• Q4 2021 Symons Hill Nickel project is located ~6km SW of IGO's Nova operation
• 843m drill hole completed by IGO/MAT, A\$7M JV earn-in agreement
• JV conditions:
• A\$625,000 paid to Matsa for first 24mths exploration period
• A\$1,375,000 payable to Matsa for next 12 months exploration period
• After 3rd year IGO can elect to acquire 70% interest with payment of A\$1,500,000 to Matsa
• Matsa retain 30% free carried interest through to decision to mine
  • IGO in-ground expenditure commitment A\$1,500,000 in first period and A\$2,000,000 in second period

Lake Carey

Lake Carey – 694,000oz gold resource

Project	Cutoff g/t Au	Measured		Indicated		Inferred			Total Resource
		('000t)	g/t Au	('000t)	g/t Au	('000t)	g/t Au	('000t)	g/t Au	('000 oz)
Red October
Red October UG	2.0	71	8.8	445	5.0	416	6.1	932	5.8	173
Red October Subtotal		71	8.8	445	5.0	416	6.1	932	5.8	173
Devon
Devon Pit	1.0	-	-	341	4.8	102	3.6	443	4.6	65
Olympic	1.0	-	-	-	-	171	2.8	171	2.8	15
Hill East	1.0	-	-	-	-	633	1.7	633	1.7	35
Devon Subtotal		-	-	341	4.8	906	2.1	1247	2.9	115
Fortitude
Fortitude Stage 2	1.0	-	-	2,945	1.8	2,503	2.1	5,449	2.0	343
Gallant	1.0	-	-	-	-	341	2.1	341	2.1	23
Bindah	1.0	-	-	43	3.3	483	2.3	526	2.4	40
Fortitude Subtotal		-		2,988	1.8	3,328	2.1	6,316	2.0	406
Total		71	8.8	3,774	2.5	4,650	3.0	8,495	2.5	694

Pathway to building our own mill

* See slide 8 for full exploration target details

Matsa's Exploration Targets*

EXPLORATION TARGETS*
		Lower Case Target			Upper Case Target
EXPLORATION TARGET	Tonnes	Grade	Ounces Gold	Tonnes	Grade	Ounces Gold
Red October	900,000	6.9	200,000	1,740,000	6.1	340,000
Devon	1,040,000	3.0	100,000	2,600,000	3.0	250,000
Olympic	180,000	4	20,000	560,000	6	110,000
Fortitude North Supergene	1,130,000	4.7	70,000	2,020,000	4.7	310,000
Fortitude North Primary	1,350,000	3.2	140,000	2,810,000	3.2	290,000
Hill East (HE 1)	60,000	1.7	3,000	120,000	1.7	6,000
Hill East Exploration Target	252,000	1.7	13,000	470,000	1.7	6,000
Gallant	280,000	2.2	20,000	350,000	2.2	25,000
TOTALS	5,190,000	4.0	666,000	10,670,000	3.9	1,357,000

*ASX Announcement 18 August 2020

The Exploration Target is an important tool whereby available information can be used to guide exploration and prioritise drill hole planning. The potential quantity and grade of an Exploration Target is conceptual in nature. There has been insufficient exploration to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource.

Matsa owned and operated 600ktpa plant is the pathway to shareholder value

• Study shows a 100% owned plant significantly and positively impacts Matsa
• Plant Cost ~ A\$42.5M Other Costs ~ A\$16.3M Ore Processing Costs ~A\$32.50/t
• Fortitude Stage 2 positive cashflow from mining increases to A\$55.4M* and Devon to A\$40.75M*
• Planning and construction could be completed within 18 months from lodgement of permitting applications

A Matsa owned treatment facility has the potential to also unlock regional mining opportunities and produce gold from several low grade stockpiles

Corporate Presentation

Fortitude Stage 2 delivers A\$55.4M

• Cash surplus of A\$55.4M at A\$2,500/oz
• Expected 22-month mine life
• Fully permitted and development ready
• Previous trial mine provides high level of confidence
• Production of 54,400oz gold at 93% recovery with potential to increase
• Capital outlay of A\$6.6M, which includes prestripping
• Maximum cash exposureA\$8.4M
• Operating cash cost of A\$1,483/oz gold
• Further improvements expected

Significant upside potential exists

Devon Open Pit delivers A\$40.75M

• Cash surplus of A\$40.75M at A\$2,250/oz
• Expected 12-month mine life
• Granted mining lease
• Previous GME operated mine provides high level of confidence
• Planned production of 36,737 oz Au at 93% recovery with potential to increase
• Operating cash cost of A\$1,144/oz Au
• Further improvements expected through increased drilling

Further exploration has strong potential to deliver substantial upside

Bindah – newest Mineral Resource Estimate

• Bindah is located 2km south of Fortitude Mine
• New Mineral Resource of 526kt @ 2.4g/t Au for 40,000oz Au
• Further exploration potential remains along strike to the northwest and downdip
• Single lode of mineralisation with relatively consistent strike extent
• Historically mined in two campaigns with high oxide grades of 6.8g/t Au - 7.5g/t Au
• Located partially on a Mining Lease and partially on a Prospecting Lease easily converted to a Mining Lease

Red October Gold Mine

• Existing Mineral Resource 932,000t @ 5.8 g/t Au for 173,000oz Au¹
• Red October is a high-grade structurally controlled narrow vein gold deposit with significant exploration upside potential
• March 2021 quarterly production of 1,576 oz gold at C1 cash costs of A\$1,259 oz and AISC A\$2,272 oz
• Production is winding down to allow for major exploration programs to build long life mine plan
• New substantial exploration targets parallel to the east and west, extensions to current mining fronts to the north and south also targeted
• Mining fleet, surface and underground equipment 100% Matsa owned and remain in place

Red October has significant value and is poised to grow

Red October Gold Mine

Sensational past drilling results

Nemo

12m @ 23.8g/t Au	RCRD023
11m @ 28.9g/t Au	ROC104:
3.1m @ 94.9g/t Au	ROGEX032

Lion Fish

2m @ 91.0g/t Au	ROEX041
7.3m @ 4.8g/t Au	RORD106

Bruce

2m @ 26.3g/t Au	ROC164
0.8m @ 8.3g/t Au	RORD029

Splay/Anchor

5.8m @ 8.3g/t Au RORD058

Marlin 410

0.8m @ 37.7g/t Au	ROEX047w2
0.7m @ 9.0g/t Au	ROEX047w1

Upcoming news flow

• ✓ Devon regional exploration drilling results (1m sample results)
• ✓ Bindah mining study
• ✓ Red October model updates (Lion Fish, Marlin, Nautilus)
• ✓ Fortitude Stage 2 update model
• ✓ Devon / Hill east update models
• ✓ Matsa ore processing plant progress update
• ✓ Fortitude North initial model
• ✓ Fraser Range assay results and work program

Delivering shareholder growth through action

Lake Carey regional potential

• 503km² high quality area in north east goldfields region surrounded by world class mines
• Multiple corridors along an extensive 69km of strike
• Significant pipeline of 30 exploration targets ready for drilling
• Favourable structural settings along major faults
• Salt lakes have seen little previous exploration
• Matsa's new discoveries include

Corporate Presentation

• BE 1, BE 4, FF1 and Fortitude North
• 2nd and 3rd order structures host Sunrise Dam, Red October and Wallaby mines

20

Matsa's Exploration Targets*

EXPLORATION TARGETS*
		Lower Case Target			Upper Case Target
EXPLORATION TARGET	Tonnes	Grade	Ounces Gold	Tonnes	Grade	Ounces Gold
Red October	900,000	6.9	200,000	1,740,000	6.1	340,000
Devon	1,040,000	3.0	100,000	2,600,000	3.0	250,000
Olympic	180,000	4	20,000	560,000	6	110,000
Fortitude North Supergene	1,130,000	4.7	70,000	2,020,000	4.7	310,000
Fortitude North Primary	1,350,000	3.2	140,000	2,810,000	3.2	290,000
Hill East (HE 1)	60,000	1.7	3,000	120,000	1.7	6,000
Hill East Exploration Target	252,000	1.7	13,000	470,000	1.7	6,000
Gallant	280,000	2.2	20,000	350,000	2.2	25,000
TOTALS	5,190,000	4.0	666,000	10,670,000	3.9	1,357,000

*ASX Announcement 18 August 2020

The Exploration Target is an important tool whereby available information can be used to guide exploration and prioritise drill hole planning. The potential quantity and grade of an Exploration Target is conceptual in nature. There has been insufficient exploration to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource.

Significant Regional Prospectivity

Devon Hub

Devon pit – strong exploration potential remains at depth

Hill East – >1km gold-in-soil anomaly, numerous historical workings, shallow drill tested

Fortitude Hub

Fortitude North – Matsa discovery, 7km north of Fortitude pit

Bindah / Gallant trend – 1.3km shear zone bookended by Bindah and Gallant

Red October Hub

Red October – New targets interpreted from seismic and magnetics

Nautilus – 1.5km trend anomalous gold parallel to Red October

Lake Carey Regional

Over 30 prospects identified and prioritised for drill testing

Devon – May 2021 drilling*

3m Composite results*

Devon Pit

• 3m of 7.20 g/t Au from 63m (21HERC053)
• 6m of 2.33 g/t Au from 69m (21HERC054)

LIN5

• 3m of 6.91 g/t Au from 15m (21HERC061)

HE1-HE2

• 3m of 16.8 g/t Au from 123m (21HERC042)
• 3m of 6.88 g/t Au from 84m (21HERC046)
• 9m of 1.99 g/t Au from 63m (21HERC045)

HE5

• 3m of 3.07g/t Au from 9m (21HERC035)

Final 1m results expected end July 2021

Fortitude North – a Substantial Discovery

• BIG system 1.5km strike, 600koz gold exploration target*
• Previous drilling results include:

47m @ 2.55 g/t Au incl. 5m @ 17 g/t Au	18FNAC071
26m @ 1.95 g/t Au incl. 5m @ 5.41 g/t Au	18FNAC036
8m @ 2.94 g/t Au incl. 5.8m @ 3.8g/t Au	19FNDD001
3.4m @ 12.28 g/t Au and 17.2m @ 3.4g/t Au	20FNDD003
10.3m @ 3.48 g/t Au	20FNDD004

• Potential to substantially enhance production profile at Matsa's 100% owned gold processing plant
• ~7km north of Fortitude Gold Mine

Potential for a large new mine

24

Fortitude North

• Very strong early indications of multiple lode system with intercepts between 50m and 200m below surface
• Lake exploration historically challenging provides a largely untapped exploration frontier
• Less than 50% of strike tested below aircore refusal

Red October - New Western and Eastern Targets

Matsa will drill test from existing underground development (traces shown in white)

• Co-incident seismic and sub-audio magnetic (SAM) anomalies

• Limited previous drilling consists of only 2 holes + 3 wedges, which intersected these 'new' structures at depth

• all of which show strong alteration assemblages (quartz / carbonate / sericite) with anomalous gold

Planned Work Schedule

	Q2 2021	Q3 2021	Q4 2021	H1 2022	H2 2022
	Optimisation and mine design
Red October Project		Red October East pit model
	Drilling
			LTP mine plan

Devon Project			SAM survey extension
		Extensional & resource drilling
			Open pit feasibility
	Hill East supergene model

		Fortitude North SAM survey
Fortitude Project			Fortitude North drilling
	Fortitude Stage 2 model upgrade

Lake Carey Regional	Gallant/BE drilling
	Bindah model
		BE/FF trend drilling
			Lake Carey LOM plan

Exploration will deliver shareholder value

• Focus and commitment to transform Matsa to mid tier gold producer
• Fortitude and Devon alone deliver potential A\$96M, with more to come
• Two existing mining centres (Red October & Fortitude) with 3rd developing (Devon) on granted MLs
• High-grade Devon deposit can be developed through own plant or sooner through third party mill
• 600,000tpa mill strategy also unlocks many regional opportunities
• Number of walk-up drill ready targets
• Extensive project pipeline across exploration stages
• Supporting mine and amenities infrastructure/permitting in place
• New processing centre offers opportunities to capture value from regionally stranded assets

CONTACT

Paul Poli Executive Chairman

Suite 11, 139 Newcastle Street Perth, Wester nAustralia 6000

+61 8 9230 3555

reception@matsa.com.au

Successful Seismic Survey - March 2020

Strong structures in seismic line-up with Marlin and Red October Shear Zone (ROSZ)

Curtin University – DistributedAcoustic Sensing (DAS) technology under MERIWAresearch program, MINEX CRC

Red October - 2D Seismic Section

Red October Exploration Targets

To be followed up:

Nemos

RCRD023: 12m @ 23.8g/t Au ROC104: 11m @ 28.9g/t Au ROGEX032: 3.1m @ 94.9g/tAu Lion Fish ROEX041: 2m @ 91.0g/tAu RORD106: 7.3m @ 4.8g/tAu Bruce ROC164: 2m @ 26.3g/t Au RORD029: 0.8m @ 8.3g/tAu Splay/Anchor RORD058: 5.8m @ 8.3g/tAu Marlin 410

ROEX047w2: 0.8m @ 37.7g/tAu ROEX047w1 0.7m @ 9.0g/tAu

Red October - Revised Outlook

• 173kozAu in Measured, Indicated & Inferred*
• Strong exploration and mining potential demonstrated in MSO
• Numerous in-mine and brownfields exploration targets

Devon LIN 1- Newly Discovered Target

• LIN1 –Astrong 1.1km coincidentAu,As, Te, TFEM anomaly
• Limited historical drilling with healthy grades (1m @ 4.35g/t and 1m @ 3.04g/t) drilled in wrong direction!

Wider Devon Area SAM Survey

• 38 strong Sub-audio magnetic (SAM) anomalies identified immediately south of Devon pit
• 3 walk up drill targets supported by anomalous geophysics and geochemistry
• LIN1, MMC HE1, MMC HE5 drilling being organised as we speak, results expected soon