MRG METALS LIMITED - Capital/Financing Update 2021

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ASX ANNOUNCEMENT

18 March 2021

FIRST HEAVY MINERAL SANDS TARGET GENERATED AT MARAO

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Key Highlights

Initial reconnaissance grid auger drilling within MRG’s new Marao (6842L) Heavy Mineral Sands (HMS) Licence (refer ASX Announcements 03 December 2020 and 08 February 2021) has delivered early exploration success in the first 25 holes of a 395 hole program underway.
A Heavy Mineral Sands (HMS) target with a surface footprint of >5 sq km of visually estimated (VIS EST) +3% THM sand has been identified from 9 auger holes from surface to 13.5m.
Significant VIS EST Total Heavy Mineral (THM) hand auger highlights from drilling at Marao to date:
21MUHA015 0 – 13.5m 13.5m @ 5.1% THM; and
21MUHA014 0 – 13.5m 13.5m @ 4.3% THM.
Grab samples from surface collected from two road building sand quarries within the Marao licence, one within the above target area, are currently being investigated for the mineral assemblage.
Additional mineral assemblage investigations will be conducted from material generated during this program to further define and quantify the Valuable Heavy Mineral (VHM) content of the Heavy Mineral Concentrate (HMC)
Aircore infill drilling at MRG’s Nhacutse high grade target will be completed during this week (refer ASX Announcement 17 February 2021), with the drill rig then moving to a 30 drillhole infill aircore drilling program at the Koko Massava target (refer ASX Announcement 10 March 2021).

MRG Metals Limited ABN: 83 148 938 532 / ASX Code: MRQ

Phone: +61 3 5330 5800 / Fax: +61 3 53330 5890

12 Anderson Street West, Ballarat VIC 3350 / PO Box 237 Ballarat VIC 3353

www.mrgmetals.com.au / [email protected]

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MRG Metals Limited (“ MRG ” or “ the Company ”) ( ASX Code: MRQ ) is pleased to update the market on progress of its initial program being carried out at the Company’s new Marao (6842L) HMS Licence (Figure 1) in Mozambique.

MRG Metals Chairman, Mr Andrew Van Der Zwan said: “The results in from only the first 25 of the planned 395 holes at Marao have been extremely successful in highlighting an initial >5 sq km HMS target, with 9 of these holes returning VIS EST THM of >3% THM from surface to 13.5m. These early results from Marao are very promising indeed and certainly point to the potential of more targets being identified in this very exciting project.

We commenced our Auger drilling adjacent to the camp site to optimize new field crew training. The drilling is now moving to the south west corner and will progressively move to the east. What we are seeing in our initial results at Marao is reflective of the continuing exploration success in being able to identify potential targets. As we continue with our success in defining shallow mineral sands deposits we hope to identify a number of targets for follow up aircore drilling.”

An exploration base camp was constructed on site (Figures 3 and 4 for locality of the camp, images of the camp in Figure 5). A reconnaissance hand auger grid drillhole program of approximately 395 holes at 500m X 1000m hole spacing has commenced (Figure 2), with 25 holes completed to date (Figure 3). The program was initiated in close proximity to where the Marao base camp was being constructed for logistical reasons, so that the MRG onsite senior staff could conduct the drilling whilst being involved in the camp construction simultaneously, without significant travelling. With the exploration camp now complete, the auger drilling program’s focus will expand and commence in the south western sector of the Marao licence.

Strong visually estimated ( VIS EST ) heavy mineral results from MRG’s initial hand auger drilling located close to the camp has delivered the Company’s first HMS mineralised target at Marao, the Magonde Target , with 9 hand auger holes in this area returning VIS EST THM of >3% THM (Table 1, Figure 4).

The Magonde Target, which has a total area of +5 sq km, was auger drilled to f 13.0 to 13.5m, with mineralisation encountered from surface. Within the target area, two holes, 21MUHA014 (VIS EST 4.3% THM) and 21MUHA015 (VIS EST 5.1% THM) demonstrate the potential for higher grade mineralisation within this area. The holes were drilled as deep as possible for hand held augering, with all still in mineralisation at hole completion, demonstrating the significant potential for depth extension.

Grab samples collected from two road building sand quarries (Figures 3 and 4) returned analytical results from Scientific Services laboratory in Cape Town of 2.96 and 2.83% THM respectively (Table 2) from two samples in the western quarry ( Quarry 1 ) and 3.54% THM from the eastern quarry ( Quarry 2 ). Quarry 2 is incidentally within the northwestern edge of the new Magonde mineralised target. Mineralogical studies are currently underway on HMC from the samples from the two quarries. The

MRG Metals Limited ABN: 83 148 938 532 / ASX Code: MRQ 12 Anderson Street West, Ballarat VIC 3350 / PO Box 237 Ballarat VIC 3353

Phone: +61 3 5330 5800 / Fax: +61 3 53330 5890 www.mrgmetals.com.au / [email protected]

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results from the studies on these samples will be augmented by comprehensive mineralogical studies based on HMC from the hand auger drillholes.

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Figure 1: MRG Projects in Mozambique, aircore drilling taking place within Corridor Central (6620L) and Corridor South (6621L) projects.

MRG Metals Limited ABN: 83 148 938 532 / ASX Code: MRQ

Phone: +61 3 5330 5800 / Fax: +61 3 53330 5890

12 Anderson Street West, Ballarat VIC 3350 / PO Box 237 Ballarat VIC 3353

www.mrgmetals.com.au / [email protected]

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Figure 2: Planned 500m by 1000m reconnaissance Hand Auger drillng grid at Marao 6842L.

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Figure 3: Exploration base camp area at Marao 6842, the position of the 2 road building sand quarries and the results shown from the samples from the quarries, with the VIS EST % THM results shown from Hand Auger drilling to date.

MRG Metals Limited ABN: 83 148 938 532 / ASX Code: MRQ

Phone: +61 3 5330 5800 / Fax: +61 3 53330 5890

12 Anderson Street West, Ballarat VIC 3350 / PO Box 237 Ballarat VIC 3353

www.mrgmetals.com.au / [email protected]

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Figure 4: A VIS EST +3% THM target generated from the initial hand auger drilling close to the Exploration base camp area within Marao 6842.

MRG Metals Limited ABN: 83 148 938 532 / ASX Code: MRQ

Phone: +61 3 5330 5800 / Fax: +61 3 53330 5890 www.mrgmetals.com.au / [email protected]

12 Anderson Street West, Ballarat VIC 3350 / PO Box 237 Ballarat VIC 3353

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Figure 5: Images of the Exploration Base Camp at Marao 6842L.

MRG Metals Limited ABN: 83 148 938 532 / ASX Code: MRQ

Phone: +61 3 5330 5800 / Fax: +61 3 53330 5890

12 Anderson Street West, Ballarat VIC 3350 / PO Box 237 Ballarat VIC 3353

www.mrgmetals.com.au / [email protected]

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Figure 6: Images of the two road building sand quarries within Marao 6842L. Top images from western Quarry 1 and lower two images from eastern Quarry 2.

MRG Metals Limited ABN: 83 148 938 532 / ASX Code: MRQ

Phone: +61 3 5330 5800 / Fax: +61 3 53330 5890

12 Anderson Street West, Ballarat VIC 3350 / PO Box 237 Ballarat VIC 3353

www.mrgmetals.com.au / [email protected]

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Table 1: Summary collar and visual estimated THM% results for hand auger drill data for the reconnaissance Marao license completed early 2021 to the 13[th] of March 2021.

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DOWNHOLE
UTM MIN % MAX %
UTM NORTH ELEV'N EOH AVG % VIS INTERSECTION
HOLE ID EAST TARGET DRILL TYPE VIS EST VIS EST
WGS84 (M) (M) EST THM FOR (M)
WGS84 THM THM
ENTIRE HOLE
21MUHA001 7297180 604881 55 13.0 Marao HAND AUGER 2.1 0-13.0 2.0 3.0
21MUHA002 7297880 605590 64 13.0 Marao HAND AUGER 2.5 0-13.0 2.0 3.0
21MUHA003 7298584 606306 91 13.5 Marao HAND AUGER 3.6 0-13.5 3.0 4.0
21MUHA004 7297531 605940 65 13.5 Marao HAND AUGER 1.4 0-13.5 1.0 2.0
21MUHA005 7297174 606287 51 13.0 Marao HAND AUGER 1.4 0-13.0 1.0 2.0
21MUHA006 7298243 605238 71 13.5 Marao HAND AUGER 2.1 0-13.5 1.5 2.5
21MUHA007 7298592 604884 68 13.5 Marao HAND AUGER 1.5 0-13.5 1.0 2.0
21MUHA008 7298940 605953 93 13.5 Marao HAND AUGER 3.3 0-13.5 2.5 4.0
21MUHA009 7299295 605601 85 13.5 Marao HAND AUGER 3.2 0-13.5 2.5 4.0
21MUHA010 7299648 605247 81 13.5 Marao HAND AUGER 2.2 0-13.5 2.0 2.5
21MUHA011 7300011 604899 84 13.5 Marao HAND AUGER 1.8 0-13.5 1.5 2.0
21MUHA012 7299639 606662 105 13.5 Marao HAND AUGER 3.1 0-13.5 2.0 3.5
21MUHA013 7299998 606308 173 13.5 Marao HAND AUGER 3.1 0-13.5 2.0 4.0
21MUHA014 7300356 605957 92 13.5 Marao HAND AUGER 4.3 0-13.5 4.0 5.0
21MUHA015 7300706 605608 89 13.5 Marao HAND AUGER 5.1 0-13.5 4.0 6.0
21MUHA016 7301071 605252 83 13.5 Marao HAND AUGER 1.8 0-13.5 1.5 2.0
21MUHA017 7300341 607372 82 13.5 Marao HAND AUGER 1.1 0-13.5 1.0 1.5
21MUHA018 7300697 607027 78 13.5 Marao HAND AUGER 1.5 0-13.5 1.0 2.0
21MUHA019 7301055 606674 82 13.5 Marao HAND AUGER 1.9 0-13.5 1.5 2.0
21MUHA020 7301410 606319 78 13.5 Marao HAND AUGER 1.1 0-13.5 1.0 1.5
21MUHA021 7301771 605969 86 13.5 Marao HAND AUGER 3.2 0-13.5 3.0 3.5
21MUHA022 7302122 605624 71 13.5 Marao HAND AUGER 3.4 0-13.5 3.0 4.0
21MUHA023 7302472 605270 69 13.5 Marao HAND AUGER 2.3 0-13.5 1.5 3.0
21MUHA024 7302824 606332 84 13.5 Marao HAND AUGER 1.8 0-13.5 1.5 2.5
21MUHA025 7303181 605980 88 13.5 Marao HAND AUGER 2.6 0-13.5 1.5 3.0
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MRG Metals Limited ABN: 83 148 938 532 / ASX Code: MRQ 12 Anderson Street West, Ballarat VIC 3350 / PO Box 237 Ballarat VIC 3353

Phone: +61 3 5330 5800 / Fax: +61 3 53330 5890 www.mrgmetals.com.au / [email protected]

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Table 2: Analytical results from samples collected from two (2) road building sand quarries within the Marao licence.

NORTHING	EASTING	ELEVATION_M	SAMPLE ID	% SILT	% THM	DESCRIPTION
7294196	597507	85	20MR01	12.48	2.96	Marao, Quarry 1
7294115	597447	88	20MR02	13.33	2.83	Marao, Quarry 1
7301836	605797	68	20MR03	9.76	3.54	Marao, Quarry 2

Competent Persons’ Statement

The information in this report, as it relates to Mozambique Exploration Results is based on information compiled and/or reviewed by Mr JN Badenhorst, who is a member of the South African Council for Natural Scientific Professions (SACNASP) and the Geological Society of South Africa (GSSA). Mr Badenhorst is a contracted employee of the Company and has sufficient experience which is relevant to the style of mineralisation and type of deposits under consideration and to the activity which has been undertaken 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”. Mr Badenhorst consents to the inclusion in this report of the matters based on the information in the form and context in which they appear.

-ENDS-

Authorised by the Board of MRG Metals Ltd.

For more Information please contact:

MRG Metals Investor Relations Andrew Van Der Zwan Victoria Humphries Chairman NWR Communications M: +61 (0) 400 982 987 M: +61 (0) 431 151 676 E: [email protected] E: [email protected]

MRG Metals Limited ABN: 83 148 938 532 / ASX Code: MRQ Phone: +61 3 5330 5800 / Fax: +61 3 53330 5890

12 Anderson Street West, Ballarat VIC 3350 / PO Box 237 Ballarat VIC 3353 www.mrgmetals.com.au / [email protected]

Appendix 1 JORC Code, 2012 Edition – Table 1

Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code explanation	Commentary
Sampling	• Nature and quality of sampling (eg cut channels, random chips, or	• Auger sampling:
techniques	specific specialised industry standard measurement tools appropriate	•A sample of sand, approximately 20g, was scooped from the sample
	to the minerals under investigation, such as down hole gamma	bag of each sample interval for wet panning and visual estimation.
	sondes, or handheld XRF instruments, etc). These examples should	•The same sample mass is used for every pan sample visual
	not be taken as limiting the broad meaning of sampling.	estimation.
	• Include reference to measures taken to ensure sample representivity	•The consistent sized pan sample is to ensure visual calibration is
	and the appropriate calibration of any measurement tools or systems	maintained for consistency in percentage visual estimation of total
	used.	heavy mineral (THM).
	• Aspects of the determination of mineralisation that are Material to the	•Geotagged photographs are taken of each panned sample with the
	Public Report.	corresponding sample bag to enable easy reference at a later date
	• In cases where ‘industry standard’ work has been done this would be	•The larger 1.5m interval auger drill samples were homogenized prior
	relatively simple (eg ‘reverse circulation drilling was used to obtain 1	to being grab sampled for panning.
	m samples from which 3 kg was pulverised to produce a 30 g charge	•Visual estimated THM% results are filtered to determine which holes
	for fire assay’). In other cases more explanation may be required,	are sent for laboratory analysis. Only holes with average uncut
	such as where there is coarse gold that has inherent sampling	downhole grade ≥3% visual estimated THM are sent for heavy liquid
	problems. Unusual commodities or mineralisation types (eg	separation laboratory analysis.
	submarine nodules) may warrant disclosure of detailed information.	•The large 1.5m drill samples have an average of about 4kg and were
		split down in Mozambique to approximately 300-600g by riffle splitter
		for export to the Primary processing laboratory.
		•At the laboratory the 300-600g laboratory sample was dried and split
		to 100g, de-slimed (removal of -45µm fraction) and oversize (+1mm
		fraction) removed, then subjected to heavy liquid separation using
		TBE to determine total heavy mineral (THM) content.
Drilling	• Drill type (eg core, reverse circulation, open-hole hammer, rotary air	• Hand Augerdrilling is a manual hand operated system produced by
techniques	blast, auger, Bangka, sonic, etc) and details (eg core diameter, triple	Dormer Engineering in Australia.
	or standard tube, depth of diamond tails, face-sampling bit or other	•Drill rods and drill bits are 1m long.
	type, whether core is oriented and if so, by what method, etc).	•The auger is a 62mm open hole drilling technique.
		•All holes have been drilled vertically.
		•The drilling onsiteis governed by aHandAuger Drilling Guideline to

Criteria	JORC Code explanation	Commentary
		ensure consistency in application of the method.
		•A wooden surface collar is placed on the ground at the beginning of
		each hole to prevent widening of the collar and material falling into
		the hole.
Drill sample	• Method of recording and assessing core and chip sample recoveries	• Augerdrilling is considered to be an early stage relatively
recovery	and results assessed.	unsophisticated technique of drilling.
	• Measures taken to maximise sample recovery and ensure	•The auger drill used is an open hole method and recovery of sample
	representative nature of the samples.	extracted from the holes is measured by spring balance at the drill
	• Whether a relationship exists between sample recovery and grade	site.
	and whether sample bias may have occurred due to preferential	•Samples are consistently collected at 1.5m intervals.
	loss/gain of fine/coarse material.	•No significant losses of auger sample were observed due to the
		shallow depths of drilling (<12m).
		•The initial 0–1.5m interval in each auger hole is drilled with care to
		maximize sample recovery.
		• There is potential for contamination in open hole drilling techniques
		but sample bias is not likely due to the shallow drill hole depths.
Logging	• Whether core and chip samples have been geologically and	•Foraugerthe 1.5m auger drill intervals were logged onto paper field
	geotechnically logged to a level of detail to support appropriate	log sheets prior to transcribing into a Microsoft Excel spreadsheet.
	Mineral Resource estimation, mining studies and metallurgical	•The auger samples were logged for lithology, colour, grainsize,
	studies.	rounding, sorting, estimated %THM, estimated %slimes and any
	• Whether logging is qualitative or quantitative in nature. Core (or	relevant comments, such as slope and vegetation.
	costean, channel, etc) photography.	•Geological logging is governed by a Hand Auger Drilling Guideline
	• The total length and percentage of the relevant intersections logged.	with predefined log codes and guidance of what to include in log
		fields to ensure consistency between individuals logging data.
		•Field photographs are taken of each panned sample alongside the
		sample bag with sample number to track numbers of samples per
		hole and cross reference with laboratory data.
		•Data is backed-up each day at the field base to a cloud storage site.
		• Data from the Microsoft Excel spreadsheets is imported into a
		Microsoft Access database and the data is subjected to numerous
		validationqueries to ensure dataquality.
Sub-sampling	• If core, whether cut or sawn and whether quarter, half or all core	•ForAugerthe 1.5m drill sample composites were homogenized at
techniques	taken.	the drill site and then cone-and-quarter split onsite and inserted into
and sample	• If non-core, whether riffled, tube sampled, rotary split, etc and	clean calico sample bags with metal sample tag according to the
preparation	whether sampled wet or dry.	Hand Auger Drilling Guideline.
	• For all sample types, the nature, quality and appropriateness of the	•At the field base, the samples were homogenized within the calico
	samplepreparation technique.	bagbyrotatingit and then fed through a single tier riffle splitter that is

Criteria	JORC Code explanation	Commentary
	• Quality control procedures adopted for all sub-sampling stages to	placed on a hard surface and levelled, to reduce samples to 300-
	maximise representivity of samples.	600g sub-samples for export to the Primary processing laboratory.
	• Measures taken to ensure that the sampling is representative of the in	•The 300-600g sub-sample is deposited into a new labelled calico
	situ material collected, including for instance results for field	sample bag with metal sample tag and prepared to be sent to the
	duplicate/second-half sampling.	Primary laboratory for analysis.
	• Whether sample sizes are appropriate to the grain size of the material	•Where samples were wet when sampled, they were dried in clean
	being sampled.	plastic basins prior to riffle splitting.
		•All of the samples collected have been sand or silty-sand and the
		preparation techniques are considered appropriate for this sample
		type.
		•The sample sizes were deemed suitable based on industry
		experience of the geologists involved and consultation with laboratory
		staff.
		•Field duplicates of the samples were completed at a rate of 5%, or at
		a frequency of approximately 1 per 25 primary samples.
		•Standard Reference Material (SRM) samples are inserted into the
		sample stream at a frequency of 1 per 50 samples.
		•Employees undertaking the primary sampling and splitting are closely
		monitored by a geologist to ensure sampling qualityismaintained.
Quality of	• The nature, quality and appropriateness of the assaying and	•The wet panning of samples provides an estimate of the %THM
assay data	laboratory procedures used and whether the technique is considered	content within the sample which is sufficient for the purpose of
and	partial or total.	determining approximate concentrations of %THM.
laboratory	• For geophysical tools, spectrometers, handheld XRF instruments, etc,	•The field derived visual panned THM estimates are compared to a
tests	the parameters used in determining the analysis including instrument	range of laboratory derived THM images of pan concentrates. This
	make and model, reading times, calibrations factors applied and their	allows the field geologists to calibrate the field panned visual
	derivation, etc.	estimated THM with known laboratory measured THM grades.
	• Nature of quality control procedures adopted (eg standards, blanks,
	duplicates, external laboratory checks) and whether acceptable levels
	_of accuracy (ie lack of bias) and precision have been established. _
Verification of	• The verification of significant intersections by either independent or	•Selected visual estimated THM field data are checked by the Chief
sampling and	alternative company personnel.	Geologist.
assaying	• The use of twinned holes.	•Significant visual estimated THM >5% are verified by the Chief
	• Documentation of primary data, data entry procedures, data	Geologist. This is done either in the field or via field photographs of
	verification, data storage (physical and electronic) protocols.	the pan sample.
	• Discuss any adjustment to assay data.	•The Chief Geologist has made numerous visits to the field drill sites to
		train and embed process and procedure with field staff.
		•No twinned holes have been completed during this programme to
		date but twin holes are planned.
		•The geologicfield dataismanually transcribedinto amaster

Criteria	JORC Code explanation	Commentary
		Microsoft Excel spreadsheet which is appropriate for this stage in the
		exploration program.
		•The raw field data is checked in the Microsoft Excel format first to
		identify any obvious errors or outlier data. The data is then imported
		into a Microsoft Access database where it is subjected to various
		validation queries.
Location of	• Accuracy and quality of surveys used to locate drill holes (collar and	•Downhole surveys for these auger holes are not required due to the
data points	down-hole surveys), trenches, mine workings and other locations	relatively shallow nature.
	used in Mineral Resource estimation.	•A handheld 16 channel Garmin GPS is used to record the positions of
	• Specification of the grid system used.	the aircore holes in the field.
	• Quality and adequacy of topographic control.	•The handheld Garmin GPS has an accuracy of +/- 5m in the
		horizontal.
		•The datum used for coordinates is WGS84 zone 36S.
		•The accuracy of the drillhole locations is sufficient for this early stage
		exploration.
Data spacing	• Data spacing for reporting of Exploration Results.	•Hole spacing used in this reconnaissance drill program is 500m by
and	• Whether the data spacing and distribution is sufficient to establish the	1000m spacing between auger drillholes hole stations. The holes
distribution	degree of geological and grade continuity appropriate for the Mineral	were located from a regular grid but are reconnaissance phase holes.
	Resource and Ore Reserve estimation procedure(s) and	•The spacing between auger holes and between lines is sufficient to
	classifications applied.	provide a reasonable degree of confidence in geological models and
	• Whether sample compositing has been applied.	grade continuity between holes for aeolian style HMS deposits during
		this reconnaissance drilling phase.
		•Closer spaced drilling in follow-up drilling phases (250m x 500m and
		250m x 1000m spaced holes) will provide a higher confidence in
		geological models and grade continuity between the holes.
		•Each auger drill sample is a single 1.5m sample of sand intersected
		down the hole.
		•No compositing has been applied to values of THM, slime and
		oversize.
Orientation of	• Whether the orientation of sampling achieves unbiased sampling of	•The auger drilling was located on a grid drilling pattern covering the
data in	possible structures and the extent to which this is known, considering	entire licence along the interpreted strike of mineralization.
relation to	the deposit type.	•Drill holes were vertical and the nature of the mineralisation is
geological	• If the relationship between the drilling orientation and the orientation	relatively horizontal.
structure	of key mineralised structures is considered to have introduced a	•The orientation of the drilling is considered appropriate for testing the
	sampling bias, this should be assessed and reported if material.	lateral and vertical extent of mineralization without any bias.

Criteria	JORC Code explanation	Commentary
Sample	• The measures taken to ensure sample security.	•Field photographs are taken of each sample bag with corresponding
security		sample number and panned sample in order to track numbers of
		samples per hole and per batch.
		•Auger samples remained in the custody of Company representatives
		while they were transported from the field drill site to Marao field
		camp / Chibuto field camp for splitting and other processing.
		•Auger samples remain in the custody of Company representatives
		until they are transported to Maputo for final packaging and securing.
		•The Company uses a commercial shipping company, Deugro or DHL,
		to ship samples from Mozambique to Perth.
Audits or	• The results of any audits or reviews of sampling techniques and data.	•Internal data and procedure reviews are undertaken.
reviews		•No external audits or reviews have been undertaken.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code explanation	Commentary
Mineral	• Type, reference name/number, location and ownership including	•The exploration work was completed on the Marao tenement (6842L)
tenement and	agreements or material issues with third parties such as joint	which is 100% owned by the Company through its 100% ownership of
land tenure	ventures, partnerships, overriding royalties, native title interests,	its subsidiary, Sofala Mining & Exploration Limitada, in Mozambique.
status	historical sites, wilderness or national park and environmental	•All granted tenements have initial 5 year terms, renewable for 3
	settings.	years..
	• The security of the tenure held at the time of reporting along with any	•Traditional landowners and village Chiefs within the areas of influence
	known impediments to obtaining a licence to operate in the area.	were consulted prior to the aircore drilling programme and were
		supportive of the programme.
		•Representatives from the Provincial Directorate of Mineral Resources
		and Directorate of Lands, Environment and Rural Development, and
		District Planning and Infrastructure Departments are also part of the
		consent and consultation process.
		•An Environment Management Plan is currently being prepared by an
		independent consultant and will be submitted to the Gaza Provincial
		Directorate of Lands, Environment and Rural Development in
		accordance with Mining Law and Regulations.
Exploration	• Acknowledgment and appraisal of exploration by other parties.	•Historic exploration work was completed by Rio Tinto.
done by other		•The Company has obtained digital data in relation to this historic
parties		information.
		•The historic data comprises very limited Auger drilling.
		•The historic results are not reportable under JORC 2012.
Geology	• Deposit type, geological setting and style of mineralisation.	•Two types of heavy mineral sand mineralisation styles are possible
		along coastal Mozambique:
		1. Thin but high grade strandlines which may be related to marine
		or fluvial influences, and
		2. Large but lower grade deposits related to windblown sands.
		•The coastline of Mozambique is well known for massive dunal
		systems such as those developed near Inhambane (Rio Tinto’s
		Mutamba deposit), near Xai Xai (Rio Tinto’s Chilubane deposit) and
		in Nampula Province (Kenmare’s Moma deposit). Buried strandlines
		are likely in areas where palaeoshorelines can be defined along
		coastal zones.

Criteria	JORC Code explanation	Commentary
Drill hole	• A summary of all information material to the understanding of the	•Summary drill hole information is presented within Table 1 of the main
Information	exploration results including a tabulation of the following information	body of text of this announcement.
	for all Material drill holes:
	`o` easting and northing of the drill hole collar
	`o` elevation or RL (Reduced Level – elevation above sea level in
	metres) of the drill hole collar
	`o` dip and azimuth of the hole
	`o` down hole length and interception depth
	`o` hole length.
	• If the exclusion of this information is justified on the basis that the
	information is not Material and this exclusion does not detract from
	the understanding of the report, the Competent Person should clearly
	_explain why this is the case. _
Data	• In reporting Exploration Results, weighting averaging techniques,	•A no cut-off	THM% grade is shown for the entire hole; a cut-off of
aggregation	maximum and/or minimum grade truncations (eg cutting of high	3%THM was used for the “high				grading” value shown (if applicable).
methods	grades) and cut-off grades are usually Material and should be stated.	•The visual estimated THM% averaging					is grade-weighted.
	• Where aggregate intercepts incorporate short lengths of high grade	•An example of data averaging is shown below.
	results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of		HOLE_ID	FROM	TO	PCT VIS THM	Average visTHM	Average visTHM
	such aggregations should be shown in detail.		19CCAC104	0.0	3.0	6.0
	• The assumptions used for any reporting of metal equivalent values should be clearly stated.		19CCAC104 19CCAC104 19CCAC104 19CCAC104 19CCAC104 19CCAC104 19CCAC104 19CCAC104	3.0 6.0 9.0 12.0 15.0 18.0 21.0 24.0	6.0 9.0 12.0 15.0 18.0 21.0 24.0 27.0	6.0 6.0 8.0 6.2 6.6 5.5 8.0 4.0	37.5m @ 4.9%	27m @ 6.3%
			19CCAC104	27.0	30.0	2.5
			19CCAC104	30.0	33.0	2.0
			19CCAC104	33.0	36.0	1.7
			19CCAC104	36.0	37.5	1.5
Relationship	• These relationships are particularly important in the reporting of	•The nature of the mineralisation is broadly horizontal, thus vertical
between	Exploration Results.	aircore holes are thought to represent close to true thicknesses of the
mineralisation	• If the geometry of the mineralisation with respect to the drill hole	mineralisation.
widths and	angle is known, its nature should be reported.	•Downhole widths are		reported.
intercept	• If it is not known and only the down hole lengths are reported, there
lengths	should be a clear statement to this effect (eg ‘down hole length, true
	_width not known’). _
Diagrams	• Appropriate maps and sections (with scales) and tabulations of	•Figures are	displayed in the main text.
	intercepts should be included for any significant discovery being
	_reported These should include, but not be limited to a plan view of _

Criteria	JORC Code explanation	Commentary
	_drill hole collar locations and appropriate sectional views. _
Balanced	• Where comprehensive reporting of all Exploration Results is not	•A summary of the visual estimated THM% data is presented in Table
reporting	practicable, representative reporting of both low and high grades	1 of the main part of the announcement, comprising downhole
	and/or widths should be practiced to avoid misleading reporting of	averages, intersection thickness, together with maximum and
	Exploration Results.	minimum estimated THM values in each hole.
Other	• Other exploration data, if meaningful and material, should be reported	•No other material exploration information has been gathered by the
substantive	including (but not limited to): geological observations; geophysical	Company.
exploration	survey results; geochemical survey results; bulk samples – size and
data	method of treatment; metallurgical test results; bulk density,
	groundwater, geotechnical and rock characteristics; potential
	_deleterious or contaminating substances. _
Further work	• The nature and scale of planned further work (eg tests for lateral	•Further work will include heavy liquid separation analysis for
	extensions or depth extensions or large-scale step-out drilling).	quantitative THM% data.
	• Diagrams clearly highlighting the areas of possible extensions,	•Additional mineral assemblage and ilmenite mineral chemistry
	including the main geological interpretations and future drilling areas,	analyses will also be undertaken on suitable composite HM samples
	provided this information is not commercially sensitive.	to determine valuable heavy mineral components.
		•As the project advances, TiO2 and contaminant test work analyses
		will also be undertaken.

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MRG METALS LIMITED Capital/Financing Update 2021

65374_rns_2021-03-17_6a062f36-f8e7-4594-827b-b5e9acdc0253.pdf

ASX ANNOUNCEMENT

FIRST HEAVY MINERAL SANDS TARGET GENERATED AT MARAO

Key Highlights

Competent Persons’ Statement

Authorised by the Board of MRG Metals Ltd.

For more Information please contact:

Appendix 1

JORC Code, 2012 Edition – Table 1

Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

AI assistant

MRG METALS LIMITED — Capital/Financing Update 2021

65374_rns_2021-03-17_6a062f36-f8e7-4594-827b-b5e9acdc0253.pdf

ASX ANNOUNCEMENT

FIRST HEAVY MINERAL SANDS TARGET GENERATED AT MARAO

Key Highlights

Competent Persons’ Statement

Authorised by the Board of MRG Metals Ltd.

For more Information please contact:

Appendix 1

JORC Code, 2012 Edition – Table 1

Section 1 Sampling Techniques and Data

Section 2 Reporting of Exploration Results

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MRG METALS LIMITED Capital/Financing Update 2021