TRUE NORTH COPPER LIMITED — Capital/Financing Update 2021

Apr 28, 2021

ASX Announcement Media Release

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DEX – NEW RESOURCES LIKELY FROM DRILLING IP TARGETS AT QUORN

APRIL 29, 2021

Duke Exploration (ASX Code: DEX) is excited to announce that a recently completed 3D IP survey of the Quorn area has identified significant electrical anomalous targets for exploration drilling. The drill targets at Quorn have similar characteristics to the electrical geophysical anomalies successfully drilled at Mt Flora as reported in previous announcements to the ASX (see announcements on November 10, 2020, December 22, 2020 and February 18, 2021). An exploration scout drilling programme is planned to start in May, with preliminary results expected by the end of May. The Quorn targets have been developed from three IP gradient array surveys and a sectional pole-dipole IP survey reported to the ASX on December 15, 2020 and the new 3D IP survey at Quorn reported below.

Highlights

• The exploration and development strategy at the Bundarra project is to simultaneously carry out resource development work at Mt Flora while exploring the regional potential of the Bundarra Pluton, with the aim of discovering a pipeline of resource projects for future development.

• The results from the 3D IP survey at Quorn are very encouraging and have mapped similar conductivity anomalies to those associated with copper, silver and gold mineralisation at Mt Flora based on a statistical analysis of the downhole conductivity data from the current Mt Flora resource drilling.

• There are three large scale well defined consistent conductivity anomalies at Quorn that are interpreted potentially to be due to extensive copper, silver and gold sulphide mineralisation like Mt Flora.

• Historic copper, silver and gold drill results at Quorn confirm the interpretation that the conductivity values at Mt Flora can be used to map bedrock copper, silver and gold mineralisation.

Duke Exploration Limited ABN 28 119 421 868 PO Box 765 Kenmore Q 4069 AUSTRALIA www.duke-exploration.com.au

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• The conductivity anomalies at Quorn that have the same conductivity as the mineralisation at Mt Flora can be mapped to a vertical depth of 320 m, which equates to a volume of around 107,891,394 m[3] compared to a volume of 19,117,125 m[3] at Mt Flora.

• The conductive volume mapped at Quorn represents approximately 116 million tonnes of potentially mineralised rock, using the average measured density of the massive sulphide and disseminated mineralisation and ratio of conductive rock to mineralisation at Mt Flora. This is more than five times larger than the tonnage of mineralisation defined by the drilling to date at Mt Flora and represents a significant new resource development target .

• In addition to the 3D IP survey at Quorn, a gradient array IP survey has been completed at Isens, which suggests that the copper, silver and gold mineralisation mined underground historically at Isens could extend to the south west into the hornfels and be much larger than initially interpreted,

• The second phase of resource RC drilling continued at Mt Flora that will extend and infill the first phase of drilling, with 37 holes for 6,374m drilled to date , compared to the Phase Two plan of 68 holes for 11,967m.

• A total of 14,750 RC resource drilling samples have now been sent to the laboratory in Townsville since resource drilling started at Mt Flora and 7,839 assay results are yet to be announced.

• Work on an independent interim Inferred Resource at Mt Flora is underway , which is expected to be completed and announced by the end of June 2021 , with an updated resource delivered later in the year once Phase Two drilling is completed and assays returned.

Details of the work reported in this announcement are outlined in Appendix 1 - JORC Code, 2012 Edition, Checklist of Assessment and Reporting Criteria.

Commenting on progress - Toko Kapea, Chairman:

“The geophysical surveys in the south west of the Bundarra Project area are providing compelling results that continue to confirm our belief that we are exploring a very large mineral system at Bundarra where new discoveries will continue to be made into the future. We suspected the mineral system in the Quorn area might be bigger and more extensive than at Mt Flora and the 3D IP survey has confirmed that the potential mineralised system at Quorn could be more than five times larger than at Mt Flora. The new information at Quorn will help with the planning of a second resource drilling programme at Quorn that will start as the resource drilling at Mt Flora continues using a second drill rig. The current exploration strategy to use pXRF soil sampling and 3D IP and ground EM follow up surveys is proving effective by assisting to provide exciting new drill targets like the target to the south of Absolon and the gradient array target to the south west of Isens that will lead to new discoveries. We are growing in confidence that new discoveries will continue to be made at a rapid pace into the future, further extending shareholder value.”

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Future Work Programme

• Deliver Interim Maiden Resource at Mt Flora by end of June.

• Complete Phase Two RC drilling at Mt Flora and start resource estimate update.

• Complete exploration drilling at Quorn to test the 3D IP anomalies and plan follow up resource drilling if results are positive.

• Complete exploration drilling to test the south Absolon pole-dipole anomaly target and plan follow up exploration drilling if results are positive.

• Extend the gradient array and pXRF soil sampling to cover anomalous areas from the Quorn surveys that are open to the east, north and south.

• Complete electrical geophysical and pXRF soil surveys over the Isens Underground mine area, to allow exploration drill planning to be completed.

• Finalise land access and drill planning at the Prairie Creek gold target.

This announcement has been authorised for release by the Board.

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Philip Condon Managing Director p.condon@dukeexploration.com.au Ph +61 417 574 730

Toko Kapea Chairman t.kapea@dukeexploration.com.au Ph+64 27 534 2886

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Technical Information

The exploration and development strategy being used for the Bundarra project is to simultaneously carry out resource development work at Mt Flora while exploring the regional potential of the Bundarra Pluton with the aim of discovering a pipeline of resource development projects around the Bundarra pluton to add to the Mt Flora project through organic growth by exploration discovery. pXRF soil sampling and gradient array resistivity and induced polarization (GAIP) surveys continued to be carried out to the south and east of the surveys completed to date towards the Roger and Isens prospects (Figure 1). Detailed 3D IP data, targeting the GAIP anomalies at Quorn and Absolon, have been acquired, with the first results from the Quorn target area received (Figure 1). These surveys were used to plan scout exploration drilling to be carried out at Quorn in May.

Figure 1. Location map of Bundarra regional survey areas and IP line in relation to main Duke targets and VTEM anomalies.

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Quorn 3D IP Data Acquisition and Modelling

Planetary Geophysics Pty Ltd (Planetary) completed 3D IP surveying at Quorn, using the same system that was used at Mt Flora to better map the GAIP electrical anomaly at Quorn and anomalous surface copper from pXRF soil sampling in 3D space to a depth of around 300m (Figure 2 and Figure 3). The survey was completed over a period of 25 days from 10th February 2021 to 6th March 2021. The Quorn prospect area has areas of challenging terrain with an elevation range of between 200m and 400m. The instruments used for the survey consisted of a two GDD RX8/32 receivers and a GDD 5000W 20amp transmitter. All IP measurements were made in the time-domain using a two second half-duty cycle. An integration window of 0.500 to 1.100 seconds was used for the final chargeability calculation.

Figure 2. Left: Quorn 3D IP survey area in relation to gradient array IP conductivity anomalies, VTEM plate anomalies, known historic mines and historic drill holes. The image is of residual conductivity, with the long wavelength signal removed to improve detail. Right: Quorn 3D IP survey area at Quorn compared to copper soil grid that maps the major anomalous areas defined by the 140 ppm copper contour and VTEM targets.

The survey was carried out along north east oriented lines. A total of three offset (3D), IP/Resistivity setups, consisting of two receiver lines either side of a central transmission line were read. This, resulted in a total coverage of nine receiver lines and three transmitting lines. Note that two overlapping lines were repeated between setups and one line was not read on the eastern side as per the specified plan. Receiver lines were read at 100m line spacing with 50m dipoles separation along the line. Electrode spacing on the transmitter lines was set at 50m. Current electrodes were extended 250 meters past the receiver lines for more depth penetration. Lines were gridded by Planetary using a Garmin Map 64s series GPS. Waypoints were measured at every station using the GDA 94 zone 55 datum. The final survey comprised 11,100 metres of data acquisition for 4,280 locations. At

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the completion of each line, the data were checked by Fathom Geophysics Australia Pty Ltd (Fathom), with all data being of good quality.

The final data were corrected and 3D inversions completed by Newexco, using the Res3dinvx64 software package. There were some negative chargeability values in the dataset, which may be valid readings, but the modelling software does not take them into account, so they were removed. By default, most of the software’s settings are neutral with no biasing or weighting given to depth, strike or dip. The first model runs were done using the raw, field data, a course mesh (50m cells) and no weighting or biasing. An unconstrained model was produced using variable blocks sizes to improve the resolution with the known geology. The block model was rotated 32 degrees east to replicate the 3D IP model grid. The block model was populated, using the inverse distance weighted squared interpolation of the original x,y,z conductivity data and a spherical search radius of 80m was used to interpolate between the data points.

Figure 3. Setting up the transmitters for the 3D IP survey at Quorn.

The conductivity data from the 3D IP survey at Quorn were classified statistically and visually constrained by a statistical analysis of the down hole resistivity data from the Mt Flora resource drilling for the massive sulphide, disseminated sulphide and unmineralised samples (Table 1). This allowed the conductivity values from the Quorn 3D IP survey to be used to map potential volumes of copper, silver and gold massive sulphide and disseminated sulphide mineralisation at Quorn (Figure 4 and Figure 5). A visual review of the anomalous conductivity volumes

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confirms that the conductivity data at Quorn maps the location of the known copper, silver and gold mineralisation in historic drilling and surface pXRF soil sampling (Figure 4 and Figure 5). The anomalous copper soil values cover the main conductive anomalies in the hornfels to the west and the granodiorite to the east, which are separated by the range of hills that mark the granodiorite contact (Figure 4). All the mineralised historic drill holes are located in the conductive anomaly volumes at Quorn.

Conductivity	Class	Mt Flora Intersections
<0.02	Unmineralised
0.02-0.03	Disseminated mineralisation	5 m at 0.96% Cu, 15.3 g/t Ag and 0.03 g/t Au in the Flora lode
0.03-0.12	Massive sulphide mineralisation	16.7 m at 1.15% Cu, 16.06 g/t Ag and 0.03 g/t Au
>0.12	Highly conductive

Table 1. Summary of conductivity value cut offs from down hole resistivity that maps copper, silver and gold mineralisation at Mt Flora.

The conductivity isovalues listed in Table 1 were used to map the areas in the 3D IP block model at Quorn with the highest potential to host copper, silver and gold mineralisation (Figure 4 and Figure 5). There are three large scale well defined consistent conductivity anomalies that are interpreted to be due to extensive copper, silver and gold sulphide mineralisation at Quorn. The conductivity anomalies at Quorn that have the same conductivity as the mineralisation at Mt Flora can be mapped to a vertical depth of 320 m, which equates to a volume of about 107,891,394 m[3] compared to a volume of 19,117,125 m[3] at Mt Flora.

The historic drilling at Quorn confirms the interpretation that the conductivity values at Mt Flora can be used to map bedrock copper, silver and gold mineralisation (Figure 5). The conductive volume mapped at Quorn represents approximately 116 million tonnes of potentially mineralised rock, using the average measured density of the massive sulphide and disseminated mineralisation and ratio of conductive rock to mineralisation at Mt Flora. Copper, silver and gold mineralisation intersected by historic drilling at Quorn in the conductivity target volume includes:

• 30.0 m at 0.7 % Cu and 12.2 g/t Ag from 16 m in MFP1,

• 30.0 m at 0.5 % Cu and 14.3 g/t Ag from 10 m in MFP2 and

• 6.0 m at 1.4 % Cu and 38 g/t Ag from 27 m in D002.

This is more than five times larger than the tonnage of mineralisation defined by the drilling to date at Mt Flora and represents a significant new resource development target.

In conclusion, as with the 3D IP survey at Mt Flora, it is unlikely that the 3D IP at Quorn maps the detailed location and geometry of the copper, silver and gold mineralisation but it does map the volume of rock that may contain this mineralisation accurately. Importantly the 3D IP data provide information on the geometric distribution and scale of areas for resource drilling and will allow drill planning to be optimised, so reducing cost and the time to

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complete resource definition drill outs. The survey confirms the conductivity anomalies increase in intensity to the west where more conductive sediments have been mapped, which may not be mineralised. The main conductive anomalies at Quorn have evidence of historic mining but have been poorly drilled to date. There are also other smaller anomalies that may represent new mineralised systems that have also not been drill tested. The conductivity targets from the 3D IP survey at Quorn confirm that the potential for additional resources in the Bundarra region that could be significantly larger than the resource target currently being drilled at Mt Flora.

The results to date from the 3D IP survey at Quorn are another significant step forward in developing a successful mining operation at Bundarra and has provided more confidence in the project hosting additional resources of copper, silver and gold to that already found at Mt Flora. The scale of the mineral system and the number of new targets at Quorn suggest that a near surface long life mining operation may be present at Bundarra, particularly when the other VTEM targets are included. The results from the 3D IP survey at Quorn further confirms that the ability to directly detect the massive sulphides that host the copper, silver and gold in the mineral system using EM and 3DIP geophysics is speeding up the exploration process, is significantly reducing costs and will add value to the project more quickly than would happen in projects that require drilling to establish project valuations.

Figure 4. Quorn 3D IP block model of potentially mineralised rock in relation to VTEM plate anomalies, historic drill holes and highly anomalous copper soil contours.

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Figure 5. Cross section 7,569,520 mN from west to east through the Quorn 3D IP block model of potentially mineralised rock in relation to historic drill holes and geology.

Isens Gradient Array IP Data Acquisition and Modelling

A gradient array resistivity and induced polarization survey (GAIP) was carried out over the Isens prospect while the Quorn 3D IP data were being modelled (Figure 1). The survey was carried out by Planetary Geophysics, using the same equipment and techniques as used at the Quorn and Absolon prospects. The gradient array survey consisted of one 1 km[2] setup array (Figure 1). The lines were run east-west, spaced 100 m apart with 25 m dipoles. The survey geometry was designed based on the orientation of the mineralisation and associated conductive zones that are orthogonal to the Bundarra intrusive contact at the Isens prospect.

The GAIP survey was carried out to map zones of near surface conductivity that may indicate copper and silver sulphide mineralisation like that being drilled at Mt Flora, as well as any porphyry style signatures. GAIP is a quick, cost effective reconnaissance method that provides a robust map of the electrical properties of the near surface, including conductivity and chargeability. The mode of acquisition means that GAIP is a surface method only and depth information is not available from the data. There were no issues with the data collection and the data were reviewed daily to check quality and have been reviewed, QAQC’d, and signed off by Fathom Geophysics.

The GAIP survey fails to map the main historic copper, silver and gold underground mine at Isens, which is spatially related to a significant copper soil anomaly (Figure 6). However, there is a very significant conductivity anomaly mapped 320 m to the south west along the strike of the Isens massive sulphide veins that corresponds to a major VTEM plate anomaly (Figure 6). This conductivity anomaly is also coincident with a chargeability anomaly. Both anomalies define a 470m by 165m target that has not been tested by drilling to date, may be a new discovery that has not been considered to date and not included in the Exploration Target for Isens as reported in our recent prospectus (140,000-300,000 tonnes at 1.4-4.5% Cu for 2,000-14,000 tonnes of copper, 30-60g/t Ag for 135,000579,000 ounces of silver and 0.1-0.2g/t Au for 450-2,000 ounces of gold. See www.duke-exploration.com.au to download the Independent Geologists Report for the details of the Exploration Target).

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Figure 6. Isens conductivity anomalies mapped for the gradient array IP data in relation to known historic mines and anomalous copper soil contours.

Follow Up Exploration Drill Planning at Quorn and Absolon

Planning of follow up exploration drilling of the 3D IP targets at Quorn and the pole-dipole conductive and chargeability anomaly south of Absolon has been finalised. Three RC holes for 900m are planned at Quorn and two holes at Absolon for 600m to collect detailed down hole geophysical, geochemical and optical data. These data will then be used to confirm the lithological and geometric relationships of the known copper, silver and gold mineralisation at Quorn, which will lead to planning of a first phase of pattern resource drilling.

Three holes have been planned for 900m, to test the significant conductivity and chargeability anomalies in the near surface to 400 m depth just to the south of Absolon (Figure 7). This anomaly is within the Bundarra pluton and just to the south of a near surface conductive anomaly in the Absolon GAIP survey. This is the largest and most depth extensive conductivity anomaly mapped at Bundarra to date, has never been tested before and could lead to the discovery of a new style of mineralisation at Bundarra that, based on the pole-dipole anomalies could be more extensive that the targets currently being tested at Bundarra, including Quorn (Figure 7).

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Figure 7: Line 652850 E IP inversion results, showing main target for exploration drilling of the new anomaly south of Absolon. Conductivity (inverse of resistivity) and Chargeability sections top and bottom panels respectively (See Figure 1 for location).

Mt Flora Phase Two RC Drilling Progress

The Mt Flora prospect is the highest priority target for development in the Bundarra Project area (see www.dukeexploration.com.au for project details). The second phase of resource RC drilling continued at Mt Flora that will extend and infill the first phase of drilling. As of 23 April, 37 Phase Two holes for 6,374m have been drilled at Mt Flora compared to the Phase Two plan of 68 holes for 11,967m (Figure 8). There have now been 79 holes drilled for a total of 14,181m since drilling started at Mt Flora. A total of 14,750 samples have now been sent to the laboratory in Townsville since resource drilling started at Mt Flora and 7,839 assay results are yet to be announced. The holes at Mt Flora are intersecting mineralisation as expected with logged mineralised intersections of chalcopyrite rich veins providing excellent down dip and along strike continuity.

Figure 8. Mt Flora drill location plan for the holes completed to date at the Quarry Anomaly and Mt Flora relative to the Exploration Target area, drilled mineralised area and granodiorite contact, showing the historic drill holes, assayed holes and holes with assays pending (all hole numbers have a MFRC prefix).

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About Duke Exploration

Duke is an Australian exploration company with majority interests in five granted exploration tenements for copper, gold and silver exploration areas located in Queensland and New South Wales, Australia.

Duke’s key assets comprise:

• § EPM26499, EPM27474 and EPM 27609 – Bundarra Project (100% owned copper exploration project near Mackay, Queensland),

• § EPM 26852 – Prairie Creek Project (91% owned (9% Capgold) gold exploration project near Rockhampton, Queensland), and

• § EL 8568 – Red Hill Project (100% owned copper exploration project near Red Hill, New South Wales).

In addition, Duke also has an interest in four New South Wales Cu-Au porphyry tenements currently operated by Lachlan Resources Pty Ltd, a wholly owned subsidiary of ASX listed Emmerson Resources (ASX:ERM). Duke currently holds a 5% interest in two of these tenements and a 10% interest in the other two tenements that is free carried to BFS.

The highest priority target for the Company is the Mt Flora Prospect in the Bundarra Project, one of the numerous Bundarra Project’s prospects, which has resource development potential for copper, silver and gold. All historic data from the mine at the Mt Flora Prospect has been checked in the field by diamond drilling and ground geophysics, which have confirmed the tenor and scale of copper, silver and gold mineralisation mined previously. There are five other areas with similar development potential on the Bundarra Project as defined by historic mining, geology and geophysics.

Our aim in the next two years is to develop an Indicated Mineral Resource at the Mt Flora Prospect to allow feasibility studies to be undertaken and o delineate additional Inferred Mineral Resources from the current known exploration target areas. The Company also intends to drill the more conceptual exploration targets on the Prairie Creek Project and Red Hill Project (see www.duke-exploration.com.au for more project details).

Competent person statement

The information in the ASX announcement is based on information compiled by Dr Gregor Partington, who is a Member of The Australasian Institute of Mining and Metallurgy and a Member of the Australian Institute of Geoscientists. Dr Gregor Partington has sufficient experience which 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’ (the JORC Code).

Dr Gregor Partington is engaged by Duke Exploration as Operations Manager and consents to the inclusion of the information in the ASX announcement in the form and context in which it appears.

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GLOSSARY

GLOSSARY
Term	Explanation
Chargeability	One of several units of induced polarization in the time domain, which is the fractional change in resistance measured on a decay curve, as a function of time.
Conductivity	The ability of a material to conduct electrical current. Conductivity =1/Resistivity.
Pole-dipole array, gradient array	In resistivity and IP surveying an array is the arrangement of electrodes. Several array types are commonly used. The gradient array is an arrangement in which a pair of potential electrodes measure the voltage between points of a rectangular grid between two distant, fixed current electrodes. The pole-dipole array is an arrangement in which a voltage measuring pair of grounded potential electrodes are separated successively from one current electrode [pole] while traversing a survey line. The second current electrode is so far away that its location has negligible effect on the measurements.
FLEM	Fixed Loop Electromagnetic survey, in which the transmitting loop is fixed in place and the receiver moves around along survey lines or a regular grid.
Electrical geophysical surveying	Measurementsat or near the earth’s surface of natural or induced electrical fields; the objective being to map mineral concentrations or for geologic or basement mapping.
EM	The electromagnetic (EM) method is a method in which the magnetic and/or electric fields associated with artificially generating subsurface currents are measured. The technique is particularly useful for mapping massive sulphide mineralisation.
EM plate anomaly	Most EM surveys conducted for mineral exploration are focused on locating discrete anomalies that might be indicative for zones of economic mineralisation. In order to derive information from these anomalies about the location, geometry and conductance of the corresponding conductors, EM anomalies are commonly modelled with a plate-shaped conductor in free-space from the generated EM data.
Inversion (software)	Geophysical inversion refers to the mathematical and statistical techniques for recovering information on subsurface physical properties (magnetic susceptibility, density, electrical conductivity etc) from measured geophysical data. In IP, it is used to calculate the resistivity of different formations in the ground from a set of readings taken at the surface or between boreholes. In

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	IP, the inversion process is used to calculate the true resistivity distribution under the electrodes as accurately as possible.
IP (2DIP and 3D IP)	Induced polarization (IP) is a geophysical imaging technique used to identify the electrical resistivity and chargeability of subsurface materials, such as ore. IP [conductivity] is galvanic, meaning a current is forced to flow through conductive rocks by direct contact through the ground. An electric current is transmitted into the subsurface through two electrodes, and voltage is monitored through two other electrodes. IP surveys provide additional information about the spatial variation in lithology and grain- surface chemistry. The IP survey can be made in time-domain and frequency- domain mode and is particularly useful for mapping disseminated sulphide mineralisation. The IP method is one of the most widely used techniques in mineral exploration and mining industry. IP surveys until recently have been carried out on 2D sections using linear arrays along single sections but recently the development of 3D resistivity and IP survey techniques and inversion software has revolutionised the way surveys are carried out and interpreted.
Loop	The coil that is used in EM surveys to generate and induce electrical current in the ground to map conductors and conductive material.
Resistivity	Resistivity is fundamentally related to Ohm's Law measuring Resistance. Resistance is defined as the voltage divided by the current (R = V/I) and the value of a material's resistance depends on the resistivity of that material. Resistivity is the value of resisting power of a certain material to the flow of a moving current.
Time-domain	Time-domain geophysical electrical methods represent an alternative approach to detecting weak electrical fields that works by simply switching the primary field off and measuring the decay of secondary electrical fields. This method is often referred to as transient electromagnetic exploration (TEM) or time-domain electromagnetic (TDEM) exploration. In the time- domain induced polarization method, the voltage response is observed as a function of time after the injected current is switched off or on. In the frequency-domain induced polarization mode, an alternating current is injected into the ground with variable frequencies. Voltage phase-shifts are measured to evaluate the impedance spectrum at different injection frequencies.
VTEM	VTEM is a Versatile Time Domain Electromagnetic system related to EM, which is often used for regional airborne surveys. VTEM™ generates currents that diffuse into the earth and, similar to water, always take the path of least resistance. Conductive material absorbs the currents and releases a secondary field that the VTEM™ system measures. A strong conductor absorbs and releases more or all of the VTEM™ signal. A weak conductor

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Appendix 1 - JORC Code, 2012 Edition, Checklist of Assessment and Reporting Criteria

Section 1 Reporting of Exploration Results

Criteria	JORC Code explanation	JORC Code explanation	Commentary	Commentary
Mineral	•	Type, reference name/number, location and	•	EPM 26499 ‘Bundarra’ is located south of Nebo, QLD,
tenement and		ownership including agreements or material issues		and is held 100% by Duke Exploration Ltd. Parts of
land tenure		with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical		the tenement have native title interests with the Barada Barna people.
status		sites, wilderness or national park and environmental	•	No known impediments.
		settings.
	•	The security of the tenure held at the time of
		reporting along with any known impediments to
		obtaining a licence to operate in the area.
Exploration	•	Acknowledgment and appraisal of exploration by	•	Production at Mt Flora began in the 1880s.
done by other		other parties.		Numerous shafts, to a maximum depth of 38 m, adits
parties				and surface workings were developed. Mining continued during the 1970s. Exploration since the
				1960s included geological mapping (Endeavour Oil
				1974-75) soil surveys (CRA Exploration 1962,
				Endeavour Oil 1974-75, Regency Resources 2005),
				rock chip sampling (Endeavour Oil 1974-75,
				Chesterfield Mining and Exploration 1983, Elliot
				Exploration 1987, Dominion Gold Operations 1991,
				Queensland Metals Corporation 1994), Geophysics
				(magnetics by Planet Metals in 1967 and Elliot
				Exploration 1987, gravity by Carpentaria Gold in
				1984, IP by Endeavour Oil in 1975, and VTEM by
				Regency in 2014). Endeavour Oil drilled six diamond
				drillholes in 1975, and Queensland Metals
				Corporation drilled two percussion holes in 1994.
				Endeavour Oil 1974-75 carried out trial underground
				mining, metallurgical test work and resource
				estimation. Endeavour Oil did extensive work at Mt
				Flora from 1974-76, including detailed 1:500 scale
				mapping, rock chip sampling, geophysics, drilling and
				extending adits and shaft sinking. Petrology was done
				on ore material taken from the base of a shaft sunk
				on the Flora lode in 1972 (Endeavour Oil, 1974). Near
				surface narrow lode mineralisation was detected in
				the Mt Flora area using IP geophysics, and Endeavour
				Oil considered IP to be a useful reconnaissance tool.
				Six diamond holes were drilled to successfully test IP
				anomalies at depth. In 1974-75 Endeavour Oil
				undertook a mining exploration programme and used
				this work to complete a resource estimate for the Mt
				Flora lodes.
			•	Elliot Exploration re-assayed the Endeavour Oil core
				for gold in 1987. In 1994 Normandy drilled two holes:
				MFP 01 and MFP 02 near the top of Mt Flora, and
				Regency Mines 2001-2013 did mapping and soil
				sampling, and apparently drilled RC holes in 2001,
				although no data were reported.
Geology	•	Deposit type, geological setting and style of	•	Copper, gold, silver and molybdenum mineralisation
		mineralisation.		at Mt Flora is located within 300 m of the contact
				zone between the Bundarra Granodiorite and Back
				Creek Group sediments. In the Mt Flora area, shale,
				siltstone and sandstone has been contact
				metamorphosed to an andalusite hornfels.
				Mineralisation at Mt Flora occurs in structurally
				controlled lodes, which crosscut the granodiorite-
				sediment contact, with mineralisation occurring on
				both sides of the contact. Mineralisation is hosted by
				faults and fractures, associated with sheeted quartz
				veins,hematite,limonite andpyrite. The lodes have

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Criteria	JORC Code explanation	JORC Code explanation	Commentary	Commentary
				massive sulphides with high copper percentages
				(>10%). Silver and zinc are present, as well as
				molybdenum and gold.
Drill hole	•	A summary of all information material to the	•	Not applicable.
Information		understanding of the exploration results including a
		tabulation of the following information 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	•	Not applicable.
aggregation		techniques, maximum and/or minimum grade
methods		truncations (e.g., cutting of high grades) and cut-off grades are usually Material and should be stated.
	•	Where aggregate intercepts incorporate short lengths
		of high grade results and longer lengths of low grade
		results, the procedure used for such aggregation
		should be stated and some typical examples of such
		aggregations should be shown in detail.
	•	The assumptions used for any reporting of metal
		equivalent values should be clearly stated.
Relationship	•	These relationships are particularly important in the	•	Not applicable.
between		reporting of Exploration Results.
mineralisation	•	If the geometry of the mineralisation with respect to
widths and		the drill hole angle is known, its nature should be reported.
intercept	•	If it is not known and only the down hole lengths are
lengths		reported, there should be a clear statement to this
		effect (e.g., ‘down hole length, true width not
		_known’). _
Diagrams	•	Appropriate maps and sections (with scales) and	•	See Figure 4 and Figure 5 in the main text.
		tabulations of intercepts should be included for any
		significant discovery being reported These should
		include, but not be limited to a plan view of drill hole
		collar locations and
	•	appropriate sectional views.
Balanced	•	Where comprehensive reporting of all Exploration	•	All drill holes assays returned to date from the
reporting		Results is not practicable, representative reporting of		current drill programme have been reported.
		both low and high grades and/or widths should be
		practiced to avoid misleading reporting of Exploration
		Results.
Other	•	Other exploration data, if meaningful and material,	•	A desktop study was completed by Core Metallurgy
substantive		should be reported including (but not limited to):		Pty Ltd, using the most recent drill data and
exploration data		geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock		flotation test work results to perform an order-of magnitude assessment of processing and operating options for a mine at Mt Flora. The goal of the study
		characteristics; potential deleterious or contaminating		was to produce indicative flowsheets and the
		substances.		associated capital and operating costs to
				subsequently evaluate the feasibility and economic
				viability of producing a copper concentrate via
				conventional open pit mining and processing
				methods from deposits in the Bundarra project
				area.
			•	The cost estimates provided within the review are
				of a preliminary nature and should have an
				expected accuracy range of 25% to 45%. Scoping
				test work to assess metallurgical processing options

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18

Criteria	JORC Code explanation	JORC Code explanation	Commentary	Commentary
				was conducted by Core in May and June 2019 and
				these data were used to constrain the review.
			•	Key assumptions include all mining will be from an
				open-pit, throughput rate will be 500,000 tonnes
				per annum of sulphide ore, a concentrate grade for
				copper of 24% and silver of 398 g/t Ag, concentrate
				filter cake delivered to Mt Isa by road transport and
				a locally based drive in/out workforce is available at
				Mackay or in the surrounding area.
			•	The study considered twelve processing options
				with the Base Case capital cost estimate for the
				supply and construction of a concentrator with a
				nominal capacity of 500,000 dry tonnes per annum
				to produce a saleable rougher copper concentrate is
				estimated at approximately A$56.3 million.
			•	Order of magnitude operating costs for a greenfield
				EPCM and second-hand process plant, at A$31-34
				per tonne, were significantly lower compared to
				Builder Owner Operator (A$47-51 per tonne) and
				Contract Crushing / Direct Shipped Ore (A$65-89 per
				tonne) options.
			•	A copper cut-off grade of 0.2% Cu represents the
				economic cut-off grade for the project using the
				current copper price and cost estimates above.
			•	Based on the results of regional magnetic and VTEM
				airborne surveys eight electrical geophysical surveys
				have been completed over three prospect areas
				around the Bundarra Pluton, including Mt Flora,
				Quorn and Absolon and Isens. 3D IP, GAIP and FLEM
				surveys have been completed over Mt Flora to
				successfully map the known resource area and have
				mapped several new targets for mineralisation.
				Quorn and Absolon in the south eastern area of the
				Bundarra Pluton have had GAIP, pole-dipole and
				3DIP surveys completed over previous the areas of
				historic mineralisation. The copper, silver and gold
				mineralisation in the historic drilling has a positive
				spatial correlation with conductive anomalies in all
				the electrical surveys. GAIP was completed over
				Isens and has several strong conductive anomalies
				correlating with large historic workings, soil
				anomalies and chargeability anomalies.
Further work	•	The nature and scale of planned further work (e.g.,	•	Further work will include drilling other prospects
		tests for lateral extensions or depth extensions or		(Quorn) around the Bundarra Pluton to test results
		large-scale step-out drilling).		returned from GAIP, MLEM and 3D IP geophysical
	•	Diagrams clearly highlighting the areas of possible		surveys and pXRF soil surveys.
		extensions, including the main geological
		interpretations and future drilling areas, provided this
		information is not commercially sensitive.

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