TUNGSTEN MINING NL — Interim / Quarterly Report 2020

Jan 28, 2021

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Quarterly Report

December 2020

Quarterly Report – December 2020

Highlights

• Pre-Feasibility Study (PFS) confirms technical and financial viability of a 6Mtpa mining and processing operation at Mt Mulgine Tungsten Project.

• Declaration of maiden Ore Reserve Estimate of 140 million tonnes @ 0.10% tungsten (WO3), 288ppm molybdenum (Mo), 0.12g/t gold (Au), 5.9g/t silver (Ag) and 0.03% copper (Cu).

• PFS supports long life operation with 23.5 years of processing activities.

• Average annual production of approximately 460,000 MTU’s of WO3 in concentrate over the Life of Mine (LOM). Production of by-product concentrates of molybdenum and copper/gold/silver with contained metal of approximately 1,070t of molybdenum 1,265t of copper, 9,400 oz of gold and 525,000 oz of silver per annum .

• PFS financial model reports a Net Present Value (before tax) of $422M over the life of the Project.

• Low-cost tungsten concentrate production with LOM operating costs (net of by-product credits) of US$92 per MTU WO3 and all-in sustaining costs of US$111 per MTU WO3.

• Cash position – The Company’s cash position as at 31 December 2020 was $20.5m.

Commentary

Tungsten Mining continues to implement its strategy directed at building a tungsten business of scale, with a current resource inventory of 41 million MTU’s (metric tonne units) of WO3 (tungsten trioxide) and 71,000 tonnes of Mo (molybdenum), 1 million ounces of Au (gold), 44 million ounces of Ag (silver) and 92,000 tonnes of Cu (copper) (refer accompanying Mineral Resource Statements).

This provides the platform for the Company to become a globally significant player within the primary tungsten market through the development of low-cost tungsten concentrate production.

Tungsten Mining’s CEO Craig Ferrier commented, “The delivery of the maiden Ore Reserve and the completion of the Pre-Feasibility Study are major milestones for Tungsten Mining, underpinning the case for establishing large scale, long life and low-cost mining and processing operations at the Mt Mulgine Tungsten Project.

Tungsten is recognised as a critical mineral by the US, the European Commission, Japan, China and Australia, a key driver of industrialisation with high economic importance. The substantial scale of the Mt Mulgine Tungsten Project, its long life, low production costs and its location in a safe mining jurisdiction justifies the commitment of resources to support its development. Our focus now is on engaging with offtake and development partners to ensure Mt Mulgine fulfills its potential as a major tungsten producer for many years.”

Tungsten Mining

Tungsten Mining NL (“the Company”) is focussed on the discovery and development of tungsten deposits in Australia. The Company’s key projects are Mt Mulgine, Big Hill and Kilba in Western Australia, Watershed in north east Queensland and Hatches Creek in the Northern Territory (Figure 1).

Figure 1. Projects location map

Mt Mulgine Project, Murchison WA

The Mt Mulgine Project remains the highest priority development project for the Company, responsible for the majority of activity during the quarter.

It is located within the Murchison Region of Western Australia, approximately 350km north northeast of Perth. The Company has 100% of the tungsten and molybdenum rights on a contiguous group of tenements that have been the subject of significant previous exploration for tungsten and molybdenum. The Company also has the rights to all byproducts from the mining of tungsten and molybdenum, which include gold, silver and copper.

Two near surface Mineral Resources have been delineated at the Mulgine Trench and Mulgine Hill deposits. Currently, there is a combined Mineral Resource Estimate of 259Mt at 0.11% WO3, 270ppm Mo, 0.12g/t Au, 5g/t Ag and 0.03% Cu (at 0.05% WO3 cut-off). This is comprised of Indicated Resources of 183Mt @ 0.11% WO3, 290ppm Mo, 0.13g/t Au, 5g/t Ag, 0.04% Cu and Inferred Resources of 76Mt @ 0.11% WO3, 240ppm Mo, 0.09g/t Au, 5g/t Ag and 0.03% Cu (refer accompanying Mineral Resource Statement).

Figure 2. Location of Mulgine Hill & Mulgine Trench Mineral Resources.

Mt Mulgine Development

All study work required to finalise the PFS was completed in the December quarter.

A summary of the findings of the PFS was announced to the market in January 2021 (refer ASX announcement. “Tungsten Mining’s Mt Mulgine PFS confirms large scale, long life, low cost tungsten concentrate production”, 29 January 2021).

Work related to formalising the maiden Mt Mulgine Ore Reserve Estimate was completed in the December quarter and reported to the market in January 2021 (refer ASX announcement “Maiden Ore Reserve Estimate – Mt Mulgine Project”, 29 January 2021).

The Native Vegetation Clearing Permit (NVCP) and Mining Proposal for the Mulgine Hill deposit submitted in the March 2020 quarter remains subject to regulatory review and approval processes.

December Quarter Activities

For the December quarter, work focussed on completing the PFS, with major activities being:

• Completion of metallurgical test work to confirm the deportment and recovery of by-products;

• Progressing the work required to formalise the maiden Mt Mulgine Ore Reserve Estimate;

• Completion of the financial model;

• Completion of a PFS peer review

• Completion of PFS chapters;

Next Steps

As outlined in the PFS announcement dated 29 January 2021, the Company will engage with potential off-take partners for tungsten concentrate, government and other industry participants to identify government support and financing opportunities supportive of project development and for partnering opportunities in conjunction with offtake engagement.

The Project focus will now be on critical path activities, in particular increasing the level of metallurgical and process definition and securing a long term water supply. Environmental surveys will continue to ensure the time required to meet the regulatory approval requirements is within the project development timeframe.

Geology and Resources

Mulgine Trench

Tungsten-molybdenum mineralisation at Mt Mulgine is associated with the Mulgine Granite - a high-level leucogranite forming a 2km stock that intrudes the Mulgine anticline (Figure 2). The granite intrudes a greenstone sequence composed of micaceous schists, amphibolite and talc-chlorite schist which were formerly metasediments, mafic and ultramafic rocks respectively.

Tungsten-molybdenum mineralisation at Mulgine Trench is associated with altered and quartz veined mafic and ultramafic units that form a 160 metre to 260 metre thick zone over 1.4 kilometres of strike and dips shallowly towards the northwest (Figure 3). Drilling has intersected stronger molybdenum-gold-silver-copper mineralisation associated with a 50m to 120m wide Lower Tungsten-Molybdenum Domain within the larger tungsten envelope (Figure 4).

Mulgine Trench Mineral Resource

From the period July 2019 to February 2020, the Company completed resource definition drilling at Mulgine Trench consisting of 280 holes for 47,983 metres. Optiro was engaged to update the Mulgine Trench Mineral Resource Estimate at the completion of the drill program, completing this exercise in May 2020.

This resulted in 70% of the mineralisation classified as Indicated and a 244% increase in tonnes, a 131% increase in contained tungsten and a 283% increase in contained molybdenum compared to the November 2014 Mineral Resource Estimate. In addition, a maiden resource was defined for associated minerals with approximately 1 million ounces of gold, 44 million ounces of silver and 92,000 tonnes of copper associated with the tungsten mineralisation.

Refer to ASX announcements dated 19 December 2019 and 4 May 2020 for updated Mineral Resource Estimates the for Mulgine Trench deposit and to the accompanying Mineral Resource Statement.

Mulgine Hill

At Mulgine Hill, mineralisation is associated with the sub-horizontal upper contact of a mafic schist unit and overlying quartz-muscovite greisen. Tungsten occurs as scheelite in coarse disseminations within the greisen or within numerous quartz and greisen veins in both the mafic schists and the quartz-muscovite greisen. The Mineral Resource Estimate for Mulgine Hill as of 21 March 2019 is 12.3 Mt at 0.16% WO3 and 125 ppm Mo (Refer to ASX announcement dated 12 April 2019).

Mining

All work associated with the PFS was completed to allow the declaration of the maiden Ore Reserve Estimate for the Mt Mulgine Tungsten Project. This included the finalisation of the mining operating costs, mining capital costs and the mine closure costs. The Mt Mulgine Ore Reserve Estimate is set out in Table 1 below:

Table 1: Mt Mulgine Ore Reserve

Deposit	Reserve Category	Tonnes (Mt)	Grade WO3 (%)	Grade Mo (ppm)	Grade Au (g/t)	Grade Ag (g/t)	Grade Cu (%)
Mulgine Trench
	Proved	-	-	-	-	-	-
	Probable	135	0.10	293	0.12	6.1	0.04
	Total	135	0.10	293	0.12	6.1	0.04
Mulgine Hill
	Proved	-	-	-	-	-	-
	Probable	5	0.21	134	-	-	-
	Total	5	0.21	134	-	-	-
Mt Mulgine Project
	Proved	-	-	-	-	-	-
	Probable	140	0.10	288	0.12	5.9	0.03
	Total	140	0.10	288	0.12	5.9	0.03

Estimate for Mt Mulgine Project using:

• A 0.074% WO3 equivalent cut-off grade

• Mining factors of 5% dilution at zero grade and 5% ore loss applied

• All tonnes quoted are dry tonnes

• Data is reported using significant figures to reflect appropriate precision and may not sum precisely due to rounding

Refer ASX Announcement 29 January 2021, “Maiden Ore Reserve Estimate – Mt Mulgine Project”.

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Mulgine Trench Long Section - Tungsten
A B
400RL 400RL
300RL 300RL
200RL 200RL
DASHED LINE:
Inferred - Indicated resource boundary
0 100 200m (Inferred Resource NOT included
Cross section C - D Cross section E - F in Ore Reserve statement)
100RL 100RL
~ 1.4 km strike length
----- End of picture text -----

Cross section C - D

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Cross section C - D Cross section E - F
C D E F
Bobby McGee Pit
400RL 400RL Black Dog Pit
300RL 300RL
200RL 200RL
MULGINE TRENCH - MAIDEN ORE RESERVE
135Mt @ 0.10% tungsten (WO�),
Long section A - B 293 ppm molybdenum (Mo)
0 100 200m 0 100 200m 0.12 g/t gold, 5.9 g/t silver, 0.03% copper
100RL Long section A - B 100RL
MAIDEN ORE RESERVE:140 Mt @ 0.10% tungsten (WO�), Mulgine Hill & Mulgine Trench Op�mised Pit Shell OXIDE MATERIAL Grey hatch = Mulgine Trench 2020 Block Model Indicated & Inferred Resource < 0.05% WO�WO� 2020 Block Model (Indicated)0.10 - 0.15% WO� WO� 2020 Block Model (Inferred)< 0.05% 0.10 - 0.15%
288 ppm molybdenum (Mo), Base of oxida�on NOT included in 247Mt @ 0.11% WO�, 280 ppm Mo 0.05 - 0.075% WO� 0.15 - 0.20% WO� 0.05 - 0.075% 0.15 - 0.20%
0.12 g/t gold, 5.9 g/t silver, 0.03% copper Maiden Ore Reserve (at 0.05% WO� cutoff) 0.075 - 0.10% WO� >0.20% WO� 0.075 - 0.10% >0.20%
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Figure 3. Long section (top) and cross sections (bottom) through Mulgine Trench showing the optimised pit shell for the 2020 Maiden Ore Reserve. Indicated Resources from the oxidised material are not included in the Ore Reserve. Inferred resources (semi-transparent) are also not included and highlight the potential of increasing Ore Reserves.

Tungsten Mining NL Quarterly Activities Report December 2020

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Mulgine Trench Long Section - Molybdenum
A B
400RL 400RL
300RL 300RL
200RL 200RL
DASHED LINE:
0 100 200m Inferred - Indicated resource boundary
(Inferred Resource NOT included
in Ore Reserve statement)
Cross section C - D
Cross section E - F
100RL 100RL
~ 1.4 km strike length
----- End of picture text -----

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----- Start of picture text -----

Cross section C - D Cross section E - F
C D E F
Bobby McGee Pit
Black Dog Pit
400RL 400RL 400RL 400RL
300RL 300RL 300RL 300RL
200RL 200RL 200RL 200RL
MULGINE TRENCH - MAIDEN ORE RESERVE
135Mt @ 0.10% tungsten (WO�),
Long section A - B Long section A - B 293 ppm molybdenum (Mo)
0 100 200m 0 100 200m 0.12 g/t gold, 5.9 g/t silver, 0.03% copper
100RL 100RL 100RL 100RL
MAIDEN ORE RESERVE: Mulgine Hill & Mulgine Trench Mulgine Trench 2020 Block Model Moly 2020 Block Model (Indicated) Moly 2020 Block Model (Inferred)
0.12 g/t gold, 5.9 g/t silver, 0.03% copper140 Mt @ 0.10% tungsten (WO�), 288 ppm molybdenum (Mo), Op�mised Pit ShellBase of oxida�on (interpreted) NOT included in Grey hatch = OXIDE MATERIAL Maiden Ore Reserve 247Mt @ 0.11% WO�, 280 ppm Mo Indicated & Inferred Resource (at 0.05% WO� cutoff) 350 - 500 ppm Mo100 - 200 ppm Mo200 - 350 ppm Mo< 100 ppm Mo > 1000 ppm Mo800 - 1000 ppm Mo500 - 800 ppm Mo 100 - 200 ppm Mo< 100 ppm Mo350 - 500 ppm Mo200 - 350 ppm Mo 800 - 1000 ppm Mo500 - 800 ppm Mo> 1000 ppm Mo
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Figure 4. Long section (top) and cross sections (bottom) through Mulgine Trench showing the optimised pit shell for the 2020 Maiden Ore Reserve. Indicated Resources from the oxidised material are not included in the Ore Reserve. Inferred resources (semi-transparent) are also not included and highlight the potential of increasing Ore Reserves.

Tungsten Mining NL Quarterly Activities Report December 2020

Metallurgy

Geo-metallurgy

The Company, together with its consultants, completed the PFS phase of the geo-metallurgical model of the Mulgine Trench deposit. This has enabled a functional geological model to be produced, identifying the major lithologies and weathering profiles. It is anticipated that further investment in the geo-metallurgical program will continue to de-risk the project moving forward.

Testwork

Bulk testwork to confirm gold and silver deportment to the copper concentrate was completed in the December quarter. The next phase of testwork has been planned to include variability testwork and further understand the metallurgical performance of each lithology and weathered horizons.

Environmental

The Native Vegetation Clearing Permit (NVCP) for the Mulgine Hill deposit submitted in the March 2020 quarter remains subject to regulatory review and approval processes. The Company continues to engage with the regulatory bodies in order to finalise the review and approval process.

Other major activities during the December quarter were;

• completion of the waste characterisation analysis;

• completion of the fauna and flora assessment reports;

• completion of seed collection of flora species onsite;

• completion of rehabilitation on historic exploration programs;

• completion of environmental exploration management plan and associated documentation, and

• updating of the legal compliance register and environmental commitments.

Other Projects

Hatches Creek Polymetallic Project, Davenport Province, NT

The Hatches Creek Project consists of two granted exploration licences covering 31.4 km[2] (EL22912 and EL23463), which cover the entire historic Hatches Creek tungsten mining centre. Hatches Creek is a large historical high-grade tungsten mining centre where mining was undertaken between 1915 and 1957. Previous recorded production is approximately 2,840 tonnes of 65% WO3. Bismuth concentrate and copper ore have also been produced.

On 3 June 2019 the Company announced that it had executed an agreement with GWR Group Limited (ASX: GWR) (“GWR”) to farm-in to the Hatches Creek Project. The Farm-in Agreement provides for Tungsten Mining to direct and manage exploration and development activities at Hatches Creek where past drilling by GWR confirmed multiple high-grade polymetallic tungsten prospects and demonstrated potential for a large high-grade polymetallic tungsten deposit (refer GWR announcements dated 17 July 2018 and 22 May 2019).

The Project is located 375 km north east of Alice Springs in the Northern Territory of Australia (Figure 5).

Figure 5. Hatches Creek Project location map

Pursuant to the terms of the Farm-in Agreement, summarised in the announcement dated 3 June 2019, the Company acquired an initial 20% interest in the Project by reimbursing GWR for past exploration expenditure. Tungsten Mining can increase its interest to 51% by the expenditure of $3,000,000 on exploration, development and mining activities within 5 years of the commencement date. Should a decision to mine be made by the Company whilst in the sole fund stage, the Company has an option to acquire GWR’s remaining interest for $6.96m (indexed for CPI).

A desktop review of historical geological reports to assist in targeting areas for potential resource development opportunities was completed during the December quarter. This has identified several opportunities that could be undertaken to progress the Project.

Further details on the results of recent and past drilling programs, Mineral Resource Estimate for surface dumps and the Exploration Target Estimate for the Hatches Creek Project are set out in GWR’s ASX announcements dated 17 July 2018 and 22 May 2019.

Watershed Project, Far North, Queensland

Watershed is located 130km north of Cairns in a mining friendly jurisdiction, with granted Mining Leases and an Environmental Authority for an open-pit development. Former project owner, Vital Metals Limited (Vital Metals) completed a Definitive Feasibility Study (DFS) for the project in 2014.

The Watershed Project substantially adds to Tungsten Mining’s global resource inventory and boasts a JORC 2012 Mineral Resource Estimate of 49.3Mt grading 0.14% WO3 comprising Measured Resources of 9.5Mt at 0.16% WO3, Indicated Resources of 28.4Mt at 0.14% WO3 and Inferred Resources of 11.5Mt at 0.15% WO3 at a cut-off grade of 0.05% WO3 (refer Vital Metals (VML) ASX announcement dated 4 July 2018 – Watershed Mineral Resources Restatement JORC Code 2012).

Figure 6. Watershed Project location map

As reported in previous quarters, Tungsten Mining has progressed activities directed at rationalising the tenement holdings of North Queensland Tungsten Pty Ltd, a wholly owned subsidiary of Tungsten Mining, focusing on the exploration permits (EPM’s) outside of the Watershed Project area of interest. During the quarter the agreement for the sale of EPM 19809, EPM25139 and EPM 18171 completed and the relevant tenements were transferred to the purchaser.

Big Hill Project, Eastern Pilbara, WA

The Big Hill Project area is located approximately 30km northeast of the Nullagine township in the Eastern Pilbara of Western Australia. The Project contains the Big Hill deposit where 22,871 metres of diamond and RC drilling have defined a JORC-2012 Mineral Resource Estimate totalling 38.5Mt at 0.09% WO3 (0.05% WO3 cut-off) comprising an Indicated Resource of 15.8Mt at 0.11% WO3 and an Inferred Resource of 22.7Mt at 0.09% WO3.

Metallurgical test work conducted on samples from Big Hill at bench and pilot scale has produced high quality tungsten concentrates at acceptable scheelite recoveries. This work has identified a simple and potentially low cost processing route.

In April 2020, DMIRS approved a 3 year extension to Retention License R46/3. There are no planned activities for the Big Hill Project in the next quarter.

Kilba Project, Ashburton Region, WA

The Kilba Project is located within the Ashburton Region of Western Australia, 250km southwest of Karratha. To date, Tungsten Mining has focused on the historic Zones 8, 11 and 12 that Union Carbide discovered in the 1970s. Drilling has targeted high-grade tungsten mineralisation associated with skarns and calc-silicate units situated close to the Kilba granite.

This work has defined a JORC-2012 compliant Mineral Resource Estimate totalling 7.2Mt at 0.19% WO3 (0.05% WO3 cut-off) comprising an Indicated Resource of 5.7Mt at 0.20% WO3 and an Inferred Resource of 1.5Mt at 0.15% WO3.

Metallurgical test work shows that the tungsten is present as coarse-grained scheelite that will respond well to conventional gravity separation. Test work completed in 2015 has demonstrated the ability to produce an extremely high grade tungsten concentrate.

In May 2017, DMIRS approved a 5 year exemption from expenditure for M08/314 pursuant to the Mining Act. There are no planned activities for the Kilba Project in the next quarter.

Corporate

Tungsten Pricing

Global tungsten prices (by reference to price quotations for European ammonium paratungstate – APT) increased by approximately 3% over the December quarter, and have continued to make gains in January.

Critical Minerals

Tungsten remains a commodity of critical importance to global industry, a fact recognised by countries including USA, Japan, UK and the EU classifying tungsten as a “critical mineral”. In January 2020, the Australian Commonwealth government announced the opening of the Critical Minerals Facilitation Office (CMFO). The role of the CMFO is to position Australia globally as a secure and reliable supplier of critical minerals with tungsten classified as one of the top 10 critical minerals.

Tungsten Mining continues to engage with the CMFO and other relevant Commonwealth and State government departments to assist the development of the Company’s projects.

Other

In accordance with the reporting requirements of ASX Listing Rule 5.3 the Company incurred expenditure of approximately $920K on exploration and evaluation related activities during the quarter. This expenditure included staff salaries & oncosts, metallurgical testwork, consultants and field & support activities that predominantly related to the Mt Mulgine Pre-Feasibility Study and Maiden Ore Reserve Estimate.

There was no mining development or production activities conducted during the quarter.

In addition, during the quarter, payments to related parties amounted to $143,113, comprising Directors’ fees and Director related consulting fees.

The Company’s cash position as at 31 December 2020 was $20.5m.

This Cash position does not include $704,000 of monies received from Directors before 31 December 2020 for the exercise of unlisted options pending allotment of new shares at period end. On the allotment of the shares, these funds will form part of Cash.

This ASX announcement was authorised for release by Craig Ferrier, Chief Executive Officer of Tungsten Mining NL.

For further information:

Craig Ferrier

Chief Executive Officer

Ph: +61 8 9486 8492

E: craig.ferrier@tungstenmining.com

Mark Pitts

Company Secretary Ph: +61 8 9316 9100

E: mark.pitts@tungstenmining.com

Competent Person’s Statement

The information in this report that relates to Exploration Targets and Exploration Results is based on, and fairly represents, information and supporting documentation prepared by Peter Bleakley, who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Bleakley is a full-time employee of the company. Mr Bleakley 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 Resources and Ore Reserves’. Mr Bleakley consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

The information is this report that relates to Mt Mulgine Project Ore Reserves is based on information compiled by Ms Nicole Player, who is a Competent Person and a Member of the Australasian Institute of Mining and Metallurgy (AusIMM). Ms Player is a full time employee of the resource industry consultancy MineGeoTech Pty Ltd and has sufficient experience that is relevant to this 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 Resources and Ore Reserves’. Ms Player consents to the inclusion in the report of the matters based on her information in the form and context in which it appears.

The information in this report that relates to Mineral Resources at Mulgine Hill, Big Hill and Kilba are extracted from the reports titled ‘Update on Activities at Mount Mulgine’ released to the Australian Securities Exchange (ASX) on 12 April 2019, ‘Big Hill June 2016 Mineral Resource Update’ released to the ASX on 23 June 2016, and ‘Kilba Mineral Resource Update’ released to the ASX on 30 January 2015, all are available to view at www.tungstenmining.com . The information in this report that relates to Mineral Resource at Watershed is extracted from the report titled ‘Watershed Mineral Resources Restatement JORC Code (2012)’ released to the ASX on 4 July 2018 by Vital Metals Limited. The information in this report that relates to Mineral Resources at Mulgine Trench is extracted from the report titled ‘Update of Mineral Resource Estimate for Mulgine Trench Deposit’ released to the ASX on 4 May 2020 and available to view at www.tungstenmining.com . The Company confirms that it is not aware of any new information or data that materially affects the information included in the ASX announcement and that all material assumptions and technical parameters underpinning the estimates in original ASX announcements continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person's findings are presented have not been materially modified from the original ASX announcements.

About Tungsten Mining

Emerging Australian tungsten developer, Tungsten Mining NL is an Australian based resources company listed on the Australian Securities Exchange. The Company’s prime focus is the exploration and development of tungsten projects in Australia.

Tungsten (chemical symbol W), occurs naturally on earth, not in its pure form but as a constituent of other minerals, only two of which support current commercial extraction and processing - wolframite ((Fe, Mn)WO4) and scheelite (CaWO4).

Tungsten has the highest melting point of all elements except carbon – around 3400°C giving it excellent high temperature mechanical properties and the lowest expansion coefficient of all metals. Tungsten is a metal of considerable strategic importance, essential to modern industrial development (across aerospace and defence, electronics, automotive, extractive and construction sectors) with uses in cemented carbides, high-speed steels and super alloys, tungsten mill products and chemicals.

Through exploration and acquisition, the Company has established a globally significant tungsten resource inventory in its portfolio of advanced mineral projects across Australia. This provides the platform for the Company to become a major player within the global primary tungsten market through the development of low-cost tungsten concentrate production.

Tenement Summary

Tenement Name	Tenement	Interest held at 30 September 2020	Interest acquired/ disposed of during quarter	Interest Held at 31 December2020
Kilba Well	E08/2139	100%	N/A	100%
Kilba Well	M08/314	100%	N/A	100%
Kilba Well	E08/2780	100%	N/A	100%
Mt Mulgine*	E59/1324-I	100% mineral rights for tungsten and molybdenum	N/A	100% mineral rights for tungsten and molybdenum
Mt Mulgine*	M59/386-I	“	N/A	“
Mt Mulgine*	M59/387-I	“	N/A	“
Mt Mulgine*	M59/425-I	“	N/A	“
Mt Mulgine	P59/2244	100%	NA	100%
Mt Mulgine	L59/161	100%	N/A	100%
Mt Mulgine	L59/162	100%	N/A	100%
Big Hill	L46/70	100%	N/A	100%
Big Hill	R46/3	100%	N/A	100%
Watershed	ML20535	100%	N/A	100%
Watershed	ML20536	100%	N/A	100%
Watershed	ML20537	100%	N/A	100%
Watershed	ML20538	100%	N/A	100%
Watershed	ML20566	100%	N/A	100%
Watershed	ML20567	100%	N/A	100%
Watershed	ML20576	100%	N/A	100%
Watershed	EPM18171	100%	N/A	0%
Watershed	EPM25940	100%	N/A	100%
Watershed	EPM19809	100%	N/A	0%
Watershed	EPM25139	100%	N/A	0%
Hatches Creek	EL22912	20%	N/A	20%
Hatches Creek	EL23463	20%	N/A	20%

• Certain Mt Mulgine tenements are registered in the name of Minjar Gold Pty Ltd with Mid-West Tungsten Pty Ltd

(MWT), a subsidiary of Tungsten Mining NL being the holder of the Tungsten and Molybdenum Mineral Rights. MWT is the registered holder of Prospecting Licence P59/2244 and Miscellaneous Licenses L59/161 and 162.

Tungsten Mining NL – Resource Inventory at 0.05% WO3 Cut-Off

Class Million WO3 WO3 Mo Mo Au Au Ag Ag	Cu	Cu
Tonnes % (Kt) (ppm) (Kt) (g/t) (Koz) (g/t) (Moz)	%	(Kt)
Mulgine Trench (May 2020)1
Measured - - - - - - - - - - -
Indicated 175 0.11 190 290 51 0.14 770 6 32 0.04 69
Inferred 72 0.11 80 250 18 0.10 230 5 12 0.03 24
Total 247 0.11 270 280 69 0.13 1,000 6 44 0.03 92
Mulgine Hill (June 2017)2
Measured - - - - - - - - -
Indicated 8.3 0.18 15 128 1.1 - - - -
Inferred 4.0 0.12 4.8 118 0.5 - - - -
Total 12.3 0.16 20 125 1.5 - - - -
Mt Mulgine (Total)
Measured - - - - - - - - -
Indicated 183 0.11 205 290 52 0.13 770 5 32 0.04 69
Inferred 76 0.11 85 240 18 0.09 230 5 12 0.03 24
Total 259 0.11 290 270 71 0.12 1,000 5 44 0.03 92
Watershed (July 2018)3
Measured 9.5 0.16 15 - - - - - -
Indicated 28.4 0.14 40 - - - - - -
Inferred 11.5 0.15 17 - - - - - -
Total 49.3 0.14 70 - - - - - -
Big Hill (June 2016)4
Measured - - - - - - - - -
Indicated 15.8 0.11 17 - - - - - -
Inferred 22.7 0.09 19 - - - - - -
Total 38.5 0.09 36 - - - - - -
Kilba (January 2015)5
Measured - - - - - - - - -
Indicated 5.7 0.20 11.5 - - - - - -
Inferred 1.5 0.15 2.2 - - - - - -
Total 7.2 0.19 13.7 - - - - - -
Total Resource Inventory
Measured 9.5 0.16 15 - - - - - -
Indicated 233 0.12 273 220 52 0.10 770 4 32 0.03 69
Inferred 111 0.11 124 160 18 0.06 230 3 12 0.02 24
Total 354 0.12 410 200 71 0.09 1,000 4 44 0.03 92

Note: Totals may differ from sum of individual numbers as numbers have been rounded in accordance with the Australian JORC code 2012 guidance on Mineral Resource reporting.

1. Refer ASX (Tungsten Mining) Announcement 4 May 2020, “Mineral Resource Estimate Update for Mulgine Trench Deposit”.

2. Refer ASX (Tungsten Mining) Announcement 12 April 2019, “Update on Activities at Mt Mulgine”.

3. Refer ASX (Vital Metals) Announcement 4 July 2018, “Watershed Mineral Resources Restatement JORC Code 2012”.

4. Refer ASX (Tungsten Mining) Announcement 23 June 2016, “Big Hill June 2016 Mineral Resource Update”.

5. Refer ASX (Tungsten Mining) Announcement 30 January 2015, “Kilba Mineral Resource Update”.

6. The Resource table only includes projects where Tungsten Mining holds a 100% interest.

Rule 5.5

Appendix 5B

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Name of entity Tungsten Mining NL ABN 67 152 084 403

Quarter ended (“current quarter”) 31 December 2020

Consolidated statement of cash flows	Current quarter $A’000	Year to date (6 months) $A’000
1. Cash flows from operating activities 1.1 Receipts from customers 1.2 Payments for (a) exploration & evaluation (b) development (c) production (d) staff costs (see note 6) (e) administration and corporate costs 1.3 Dividends received (see note 3) 1.4 Interest received 1.5 Interest and other costs of finance paid 1.6 Income taxes paid 1.7 Government grants and tax incentives 1.8 Other (provide details if material) 1.9 Net cash from / (used in) operating activities	5 (501) - - (549) (476) - 33 - - 465 -	25 (1,233) - - (1,112) (812) - 80 - - 520 -
	(1,023)	(2,532)
2. Cash flows from investing activities 2.1 Payments to acquire or for: (a) entities (b) tenements (c) property, plant and equipment (d) exploration & evaluation (e) investments (f) other non-current assets	- - (3) - - -	- - (7) - - -

ASX Listing Rules Appendix 5B (17/07/20) + See chapter 19 of the ASX Listing Rules for defined terms.

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Appendix 5B

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Consolidated statement of cash flows	Current quarter $A’000	Year to date (6 months) $A’000
2.2 Proceeds from the disposal of: (a) entities (b) tenements (c) property, plant and equipment (d) investments (e) other non-current assets 2.3 Cash flows from loans to other entities 2.4 Dividends received (see note 3) 2.5 Other (security deposit) 2.6 Net cash from / (used in) investing activities	- 99 - - - - - 8	- 125 - - - - - 8
	104	126
3. Cash flows from financing activities 3.1 Proceeds from issues of equity securities (excluding convertible debt securities) 3.2 Proceeds from issue of convertible debt securities 3.3 Proceeds from exercise of options 3.4 Transaction costs related to issues of equity securities or convertible debt securities 3.5 Proceeds from borrowings 3.6 Repayment of borrowings 3.7 Transaction costs related to loans and borrowings 3.8 Dividends paid 3.9 Other (provide details if material) 3.10 Net cash from / (used in) financing activities	- - - - - - - - -	- - - - - - - - -
	-	-
4. Net increase / (decrease) in cash and cash equivalents for the period
4.1 Cash and cash equivalents at beginning of period 4.2 Net cash from / (used in) operating activities (item 1.9 above) 4.3 Net cash from / (used in) investing activities (item 2.6 above) 4.4 Net cash from / (used in) financing activities (item 3.10 above)	21,469 (1,023) 104 -	22,956 (2,532) 126 -

ASX Listing Rules Appendix 5B (17/07/20) + See chapter 19 of the ASX Listing Rules for defined terms.

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Appendix 5B

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Consolidated statement of cash flows	Consolidated statement of cash flows	Current quarter $A’000	Year to date (6 months) $A’000
4.5 Effect of movement in exchange rates on cash held 4.6 Cash and cash equivalents at end of period (see note 7)		-	-
		20,550	20,550
5. Reconciliation of cash and cash equivalents at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts		Current quarter $A’000	Previous quarter $A’000
5.1 Bank balances 5.2 Call deposits 5.3 Bank overdrafts 5.4 Other (provide details) 5.5 Cash and cash equivalents at end of quarter (should equal item 4.6 above)		2,359 18,191 - -	2,294 19,175 - -
		20,550	21,469
6. Payments to related parties of the entity and their associates			Current quarter $A'000
6.1 Aggregate amount of payments to related parties and their associates included in item 1 6.2 Aggregate amount of payments to related parties and their associates included in item 2			143
			-
Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an explanation for, such payments.
7. 7.1 7.2 7.3 7.4 7.5 7.6	Financing facilities Note: the term “facility’ includes all forms of financing arrangements available to the entity. Add notes as necessary for an understanding of the sources of finance available to the entity. Total facility amount at quarter end $A’000 Amount drawn at quarter end $A’000 Loan facilities - - Credit standby arrangements - - Other (please specify) - - Total financing facilities - - Unused financing facilities available at quarter end - Include in the box below a description of each facility above, including the lender, interest rate, maturity date and whether it is secured or unsecured. If any additional financing facilities have been entered into or are proposed to be entered into after quarter end, include a note providing details of those facilities as well.	Total facility amount at quarter end $A’000	Amount drawn at quarter end $A’000
		-	-
		-	-
		-	-
		-	-
	N/A

Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an	Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an
explanation for, such payments.
7. Financing facilities Total facility	Amount drawn at
Note: the term “facility’ includes all forms of financing arrangements available to the entity. Add notes as necessary for an understanding of the sources of finance available to the entity. amount at quarter end $A’000	quarter end $A’000
7.1 Loan facilities -	-
7.2 Credit standby arrangements -	-
7.3 Other (please specify) -	-
7.4 Total financing facilities -	-
7.5 Unused financing facilities available at quarter end	-
7.6 Include in the box below a description of each facility above, including the lender, interest
rate, maturity date and whether it is secured or unsecured. If any additional financing
facilities have been entered into or are proposed to be entered into after quarter end,
include a note providing details of those facilities as well.
N/A

ASX Listing Rules Appendix 5B (17/07/20) + See chapter 19 of the ASX Listing Rules for defined terms.

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Appendix 5B

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

8.	Estimated cash available for future operating activities	$A’000
8.1 8.2 8.3 8.4 8.5 8.6 8.7 8.8	Net cash from / (used in) operating activities (item 1.9) (1,023) (Payments for exploration & evaluation classified as investing activities) (item 2.1(d)) - Total relevant outgoings (item 8.1 + item 8.2) (1,023) Cash and cash equivalents at quarter end (item 4.6) 20,550 Unused finance facilities available at quarter end (item 7.5) - Total available funding (item 8.4 + item 8.5) 20,550 Estimated quarters of funding available (item 8.6 divided by item 8.3) 20 Note: if the entity has reported positive relevant outgoings (ie a net cash inflow) in item 8.3, answer item 8.7 as “N/A”. Otherwise, a figure for the estimated quarters of funding available must be included in item 8.7. If item 8.7 is less than 2 quarters, please provide answers to the following questions: 8.8.1 Does the entity expect that it will continue to have the current level of net operating cash flows for the time being and, if not, why not?	(1,023) - (1,023) 20,550 -
		20,550
	Answer: N/A
	8.8.2 Has the entity taken any steps, or does it propose to take any steps, to raise further cash to fund its operations and, if so, what are those steps and how likely does it believe that they will be successful?
	Answer: N/A
	8.8.3 Does the entity expect to be able to continue its operations and to meet its business objectives and, if so, on what basis?
	Answer: N/A
	Note: where item 8.7 is less than 2 quarters, all of questions 8.8.1, 8.8.2 and 8.8.3 above must be answered.

Compliance statement

• 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.

• 2 This statement gives a true and fair view of the matters disclosed.

Date: 29 January 2021

Authorised by: ................................................................................... Craig Ferrier – Chief Executive Officer

ASX Listing Rules Appendix 5B (17/07/20) + See chapter 19 of the ASX Listing Rules for defined terms.

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Appendix 5B

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Notes

1. This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about the entity’s activities for the past quarter, how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so.

2. If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.

3. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.

4. If this report has been authorised for release to the market by your board of directors, you can insert here: “By the board”. If it has been authorised for release to the market by a committee of your board of directors, you can insert here: “By the [ name of board committee – eg Audit and Risk Committee ]”. If it has been authorised for release to the market by a disclosure committee, you can insert here: “By the Disclosure Committee”.

5. If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Council’s Corporate Governance Principles and Recommendations , the board should have received a declaration from its CEO and CFO that, in their opinion, the financial records of the entity have been properly maintained, that this report complies with the appropriate accounting standards and gives a true and fair view of the cash flows of the entity, and that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively.

6. These staff costs of $549K include exploration and evaluation related staff costs of approximately $350K for the current quarter.

7. Cash and Cash equivalents does not include $704K of monies received before 31 December 2020 for the exercise of unlisted options pending allotment of new shares at period end. On the allotment of the shares, these funds will form part of Cash and Cash equivalents.

ASX Listing Rules Appendix 5B (17/07/20) + See chapter 19 of the ASX Listing Rules for defined terms.

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