Announcement PDF Thursday, 23 May 2024 UNDERGROUND DRILLING EXTENDS KANMANTOO MINERALISATION HIGHLIGHTS • Underground (UG) diamond drilling has continued to extend the continuity of the Spitfire and South West (SW) Kavanagh mineral systems returning outstanding results. • The results include: o 40.0m @ 1.38% Cu (uncut) from 74m downhole in Spitfire (23KVUG0238) o 36.0m @ 1.78% Cu, 0.15g/t Au (uncut) from 175m downhole in Spitfire (23KVUG0101) o 20.1m @ 1.38% Cu from 87m downhole from SW Kavanagh (24KVUG0315) o 16.0m @ 1.05% Cu (uncut) from 90m downhole from SW Kavanagh (24KVUG0319) • The infill UG diamond drilling follows the previously reported 45m @ 1.19%Cu intersection in Spitfire that was over 100m away from any previously reported hole1. The results indicate the Spitfire mineral zone extends well beyond the current geological model and remains open at depth. • 72 UG drill holes have been drilled into Spitfire to date (of which 42 have been previously reported2) and 15 UG drill holes have been drilled into SW Kavanagh (of which 3 have been previously reported2). From the 42 recently completed drill holes 62 mineral intersections are reported, demonstrating the predictability of the mineralisation down dip. • The drilling intersected a number of previously unidentified higher-grade Cu breccias in both Spitfire and SW Kavanagh. • The drilling results reported herein are limited by drilling locations that have been accessible by the current underground development. Drilling is continuing as new platform locations become available. For the location of the 2022 and 20232 drilling see Figure 1, and for the list of all drill results in this release see Table 1. 1 ASX Announcement 28 August 2023 2 Note that the 2022 UG drilling has been previously reported (8 August 2022) and UG drilling to November 2023 has been reported (13 November 2023) and is included here for completeness. Intercepts tabulated in the Highlights table are amalgamated over a minimum down hole length of 3m > 0.3% Cu with a maximum of 2m internal dilution < 0.3% Cu. No assays were cut before amalgamating the intercept calculation. Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au Hillgrove Resources Limited (Hillgrove, the Company) (ASX:HGO) is pleased to provide the following drilling update at its Kanmantoo Mine located at Kanmantoo, 55kms southeast of Adelaide in South Australia. Since the UG Drilling update provided in November 2023 a further 42 holes have been drilled; 30 in Spitfire, and 12 in SW Kavanagh, for an additional 6,885m. Figure 1 shows the locations of the UG drill holes into the Spitfire and SW Kavanagh Cu-Au lodes, both of which remain open at depth. Drilling is continuing as part of the stope definition drilling providing input into stope planning and development designs. Figure 1 Cross section showing all UG drill holes through SW Kavanagh and Spitfire with All Surface DDH Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au Locally, the infill UG drilling demonstrates continuity of mineralisation and has provided some exceptional Cu intersections including: • 40m @ 1.38% Cu (uncut) from 74m downhole (23KVUG0238) (Figure 2), and • 36m @ 1.78% Cu + 0.15g/t Au (uncut) from 175m downhole in Spitfire (23KVUG0101) Figure 2 Cu-Au mineralisation in 23KVUG0238 through the Spitfire Lode Commenting on the drilling results, Hillgrove CEO and Managing Director, Lachlan Wallace said: “Spitfire was initially considered to be a modest mineral zone which extended over approximately 50m vertically, however the recent drilling confirms that the Spitfire lode is far larger than initially anticipated and now extends more than 250m vertically and remains open at depth. SW Kavanagh is also looking positive with a number of previously unknown high grade copper breccia zones being identified in the recent 12 hole drilling program. As development extends and deeper drill platforms are established, we will continue to chase both the Spitfire and SW Kavanagh mineral system at depth. The close proximity of the Spitfire and the SW Kavanagh lodes to the current underground decline development provides an opportunity to bring the extensions of these lodes into the mine plan for modest incremental cost. The strike rate of 62 intersections of significant Cu-Au mineralisation from only 42 holes is exceptional and reflects the high degree of down dip continuity of the mineral lodes. Given there are there are nine known mineral lodes that remain open at depth on the permitted mining lease, this strike rate positions the Company for an exciting future through exploration growth.” Further details of the drilling are provided in Appendices A and B. Authorised for release by the Board of Hillgrove Resources Limited. Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au For more information contact: Mr Lachlan Wallace CEO & Managing Director Tel: +61 (0)8 7070 1698 Mr Joe Sutanto Chief Financial Officer & Company Secretary Tel: +61 (0)8 7070 1698 Competent Person's Statement The information in this release that relates to the Exploration Results is based upon information compiled by Caitlin Rowett, who is a Member of The Australasian Institute of Mining and Metallurgy. Caitlin Rowett is a fulltime employee of Hillgrove Resources Limited and has sufficient experience relevant to the styles of mineralisation and type of deposit under consideration 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 (JORC Code)’. Caitlin Rowett has consented to the inclusion in the release of the matters based on their information in the form and context in which it appears. The information in this report that relates to past Exploration and Drilling Results on the Kanmantoo project were initially reported by the Company to ASX on 26 May 2016, 10 October 2019, 3 September 2020, 3 May 2021, 6 May 2021, 24 June 2021, 26 August 2021, 1 September 2021, 21 March 2022, 6 May 2022, 27 February 2023, 3 July 2023, 28 August 2023 and 13 November 2023. The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and that all material assumptions and technical parameters underpinning the Exploration Results and the Resource Estimate in the relevant market announcement 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 market announcements. Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au APPENDIX A The objective of the ongoing underground (UG) diamond drilling program has been to infill the exploration drilling through the Kavanagh and Spitfire mineral systems within the Kanmantoo Mine Lease for the purpose of final ore development and stope planning and design. Appendix B JORC Tables 1 and 2 describe the drilling, sampling, and assaying processes. Summary descriptions are provided below. Drilling All holes are collared and drilled using conventional UG NQ diamond drilling tools. No directional drilling is required for the underground drilling. Collar co-ordinates and collar surveys of the holes reported in this release are provided in Appendix A Table 2. Drilling is undertaken by a single contractor with experienced drillers. Drilling rates vary from 20m to 90m per shift and average 45m per shift including all non-drilling activities. Drill hole collars and alignments are surveyed by a qualified surveyor and downhole surveyed with Gyro. Similar to the exploration drilling, the UG drill core recovery is excellent and RQD > 95%. Logging and Sampling Geological and geotechnical logging is undertaken or supervised by Hillgrove geologists who have been involved in the exploration drilling over the past few years. Core photography and sampling is undertaken or supervised by the technician crews who have worked with Hillgrove’s exploration programs over the past few years. Assaying Selected holes (identified in Table 1) were assayed by the same process as utilised for exploration drilling. • Core saw to slab drill core in half, and 50% of sample interval despatched to ALS • Crush to 70% < 2mm whole sample • Spilt and 1kg pulverised to 85% < 75um • Spilt and 0.5 gram assay by 4-acid digest and ICP-MS analysis and Au by 30g Fire Assay and AA finish The ##KVUG UG drill holes have predominantly been assayed by an on-site XRF assay facility with several drill holes duplicate assayed by the ALS assay process as a QA/QC check of the XRF results. Where a drill hole has been assayed by both XRF and ALS, the ALS results are prioritised in the database and used for all resource interpretations and grade modelling. Table 1 shows the drill holes that have been reported with the XRF or with the ALS methods. A the XRF process does not provide useful lower limits of detection for Ag or Au these elements are not reported in the drill intersection table (NA is annotated therein). The XRF process used for copper grades of the UG drill core is the same as that successfully developed and utilised for all grade control in the Giant open pit from 2016 to 2019. During the open pit period the on-site XRF process for Cu reconciled excellently against mill reconciled copper grade. The onsite XRF process for UG drill core is • Crush whole drill core interval in Orbis OM100 crusher to 70% < 2mm (no core saw splitting) • Rotary split to 1kg • Sieve split to < 1mm and retain fine fraction • Riffle split and manual split to 20 grams and pelletised • Benchtop portable XRF of pellet Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au For both methods extensive blanks, and appropriate standards are inserted into the sample sequence. Blanks, in particular are authorised by the logging geologist for intervals following high sulphides to capture any crusher/pulveriser contamination with additional routine blanks inserted every 20 samples. QA of the veracity of the XRF copper assays has been diligently reviewed with on-going duplicate sampling and assaying. Figure 4 shows an example of the comparison of the duplicate XRF and ALS assays from drill hole 23KVUG0131. The duplicate assaying shows 1. Excellent delineation of the economic interval at 0.4% Cu and 0.6% Cu cutoff grades 2. Excellent estimates of the mean Cu grade of the economic intervals Figure 3 Comparison of XRF and ALS assays for Cu – hole 23KVUG0131 In conclusion, the XRF assaying for Cu at Kanmantoo continues to be a reliable estimate of the drill core copper values subject to on-going QA/QC of drill core ALS assaying from the different lode systems. Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au Table 1 List of drill intercepts in this release Intercepts in Table 1 are amalgamated over a minimum down hole length of 2m > 0.3% Cu with a maximum of 2m internal dilution < 0.3% Cu. No assays were cut before amalgamating the intercept calculation. Hole ID Ore Zone Target Assay Method Depth From Depth To Interval Length Cu% Au g/t Ag g/t Cu Metal 23KVUG0099 Spitfire 4-Acid/ICP-MS 178 181 3 0.74 0.12 3.52 2.22 23KVUG0099 Spitfire 4-Acid/ICP-MS 207 212 5 0.66 0.02 3.49 3.30 23KVUG0099 Spitfire 4-Acid/ICP-MS 220 234 14 0.71 0.07 2.28 9.94 23KVUG0100 Spitfire 4-Acid/ICP-MS 147 151.5 4.5 0.93 0.04 3.02 4.19 23KVUG0100 Spitfire 4-Acid/ICP-MS 153.6 157 3.4 0.56 0.10 2.00 1.90 23KVUG0101 Spitfire 4-Acid/ICP-MS 148 155.4 7.4 1.18 0.09 3.78 8.73 23KVUG0101 Spitfire 4-Acid/ICP-MS 175 211 36 1.78 0.15 5.24 64.08 23KVUG0101 Spitfire 4-Acid/ICP-MS 213 228 15 0.81 0.04 2.70 12.15 23KVUG0102 Spitfire PXRF of <1mm 169.75 172 2.25 1.02 NA NA 2.30 23KVUG0102 Spitfire PXRF of <1mm 184.3 191 6.7 1.58 NA NA 10.59 23KVUG0102 Spitfire PXRF of <1mm 214 229 15 0.49 NA NA 7.35 23KVUG0102 Spitfire PXRF of <1mm 232 262 30 0.92 NA NA 27.60 23KVUG0102 Spitfire PXRF of <1mm 265.4 275.4 10 1.44 NA NA 14.40 23KVUG0103 Spitfire PXRF of <1mm 225 233.5 8.5 0.89 NA NA 7.57 23KVUG0127 Spitfire No Sample ns NA NA 23KVUG0128 Spitfire PXRF of <1mm 102.6 107 4.4 0.72 NA NA 3.17 23KVUG0129 Spitfire PXRF of <1mm 86 100 14 0.49 NA NA 6.86 23KVUG0130 Spitfire PXRF of <1mm 90 96 6 0.98 NA NA 5.88 23KVUG0131 Spitfire 4-Acid/ICP-MS 68.9 71.3 2.4 1.18 0.28 4.20 2.83 23KVUG0131 Spitfire 4-Acid/ICP-MS 76 91 15 5.99 0.74 12.44 89.85 23KVUG0132 Spitfire No Sample ns NA NA 23KVUG0133 Spitfire PXRF of <1mm nsi NA NA 23KVUG0134 Spitfire PXRF of <1mm 82.9 96.4 13.5 1.03 NA NA 13.91 23KVUG0135 Spitfire PXRF of <1mm nsi NA NA 23KVUG0136 Spitfire PXRF of <1mm nsi NA NA 23KVUG0137 Spitfire 4-Acid/ICP-MS 80 82.25 2.25 1.55 1.80 9.24 3.49 23KVUG0137 Spitfire 4-Acid/ICP-MS 104.35 119 14.65 0.60 0.27 1.21 8.79 23KVUG0138 Spitfire PXRF of <1mm 72.05 73.85 1.8 1.07 NA NA 1.93 23KVUG0139 Spitfire PXRF of <1mm 76 78 2 1.65 NA NA 3.30 23KVUG0140 Spitfire PXRF of <1mm 47.5 58.62 11.12 0.76 NA NA 8.45 23KVUG0140 Spitfire PXRF of <1mm 79.75 86 6.25 1.49 NA NA 9.31 23KVUG0214 Spitfire PXRF of <1mm 46.69 49 2.31 1.41 NA NA 3.26 23KVUG0214 Spitfire PXRF of <1mm 52 57 5 0.43 NA NA 2.15 23KVUG0214 SW Kav 4-Acid/ICP-MS 147.15 151 3.85 0.63 0.28 1.77 2.43 23KVUG0214 SW Kav 4-Acid/ICP-MS 171 173 2 3.25 0.04 6.57 6.50 23KVUG0214 SW Kav 4-Acid/ICP-MS 176 185 9 0.96 0.07 1.51 8.64 23KVUG0215 Spitfire PXRF of <1mm 44 51 7 0.76 NA NA 5.32 23KVUG0215 SW Kav 4-Acid/ICP-MS 156.5 168 11.5 0.90 0.06 2.12 10.30 23KVUG0215 SW Kav 4-Acid/ICP-MS 171.25 183 11.75 0.85 0.07 1.65 9.99 Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au Hole ID Ore Zone Target Assay Method Depth From Depth To Interval Length Cu% Au g/t Ag g/t Cu Metal 23KVUG0228 Spitfire PXRF of <1mm nsi NA NA 23KVUG0229 Spitfire PXRF of <1mm nsi NA NA 23KVUG0232 Spitfire PXRF of <1mm nsi NA NA 23KVUG0233 Spitfire PXRF of <1mm 75 79 4 0.66 NA NA 2.64 23KVUG0234 Spitfire PXRF of <1mm 62.56 70 7.44 1.13 NA NA 8.41 23KVUG0235 Spitfire PXRF of <1mm 107 111 4 0.56 NA NA 2.24 23KVUG0236 Spitfire PXRF of <1mm 169 183 14 1.00 NA NA 14.00 23KVUG0236 Spitfire PXRF of <1mm 103 113.85 10.85 0.95 NA NA 10.31 23KVUG0237 Spitfire PXRF of <1mm 100.15 104.3 4.15 0.71 NA NA 2.95 23KVUG0238 Spitfire PXRF of <1mm 74 114 40 1.38 NA NA 55.20 23KVUG0238 Spitfire PXRF of <1mm 48.9 52.5 3.6 0.57 NA NA 2.05 23KVUG0239 Spitfire PXRF of <1mm nsi NA NA 23KVUG0240 Spitfire PXRF of <1mm 132 143.2 11.2 1.14 NA NA 12.77 23KVUG0244 Spitfire PXRF of <1mm 49.85 60 10.15 1.59 NA NA 16.14 23KVUG0244 Spitfire PXRF of <1mm 64 68 4 0.74 NA NA 2.96 23KVUG0245 SW Kav 4-Acid/ICP-MS 187 195 8 0.62 0.07 1.24 4.96 23KVUG0245 Spitfire PXRF of <1mm 53 59 6 4.03 NA NA 24.18 24KVUG0314 SW Kav PXRF of <1mm 70 79.3 9.3 1.30 NA NA 12.09 24KVUG0314 SW Kav PXRF of <1mm 4 11 7 0.76 NA NA 5.32 24KVUG0314 SW Kav PXRF of <1mm 51.8 56 4.2 0.82 NA NA 3.44 24KVUG0315 SW Kav PXRF of <1mm 87 107.1 20.1 1.38 NA NA 27.74 24KVUG0315 SW Kav PXRF of <1mm 68 78 10 1.26 NA NA 12.60 24KVUG0315 SW Kav PXRF of <1mm 61.4 65 3.6 1.48 NA NA 5.33 24KVUG0316 SW Kav PXRF of <1mm 87 100 13 1.14 NA NA 14.82 24KVUG0316 SW Kav PXRF of <1mm 65.7 76.4 10.7 1.34 NA NA 14.34 24KVUG0316 SW Kav PXRF of <1mm 102 109.1 7.1 0.50 NA NA 3.55 24KVUG0317 SW Kav PXRF of <1mm 68 75.8 7.8 1.31 NA NA 10.22 24KVUG0317 SW Kav PXRF of <1mm 53 60 7 1.21 NA NA 8.47 24KVUG0317 SW Kav PXRF of <1mm 111 114 3 0.47 NA NA 1.41 24KVUG0318 SW Kav PXRF of <1mm 54 65.2 11.2 0.85 NA NA 9.52 24KVUG0318 SW Kav PXRF of <1mm 6 11 5 1.18 NA NA 5.90 24KVUG0318 SW Kav PXRF of <1mm 104 108 4 0.48 NA NA 1.92 24KVUG0318 SW Kav PXRF of <1mm 95 98.1 3.1 0.73 NA NA 2.26 24KVUG0319 SW Kav PXRF of <1mm 90 106 16 1.05 NA NA 16.80 24KVUG0319 SW Kav PXRF of <1mm 79 84 5 0.61 NA NA 3.05 24KVUG0319 SW Kav PXRF of <1mm 63 66.4 3.4 2.38 NA NA 8.09 24KVUG0319 SW Kav PXRF of <1mm 56 59 3 1.30 NA NA 3.90 24KVUG0320 SW Kav PXRF of <1mm 75 79 4 0.66 NA NA 2.64 24KVUG0320 SW Kav PXRF of <1mm 52 55 3 0.43 NA NA 1.29 Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au Table 2 Hole ID 23KVUG0099 23KVUG0100 23KVUG0101 23KVUG0102 23KVUG0103 23KVUG0127 23KVUG0128 23KVUG0129 23KVUG0130 23KVUG0131 23KVUG0132 23KVUG0133 23KVUG0134 23KVUG0135 23KVUG0136 23KVUG0137 23KVUG0138 23KVUG0139 23KVUG0140 23KVUG0214 23KVUG0215 23KVUG0228 23KVUG0229 23KVUG0232 23KVUG0233 23KVUG0234 23KVUG0235 23KVUG0236 23KVUG0237 23KVUG0238 23KVUG0239 23KVUG0240 23KVUG0244 23KVUG0245 24KVUG0314 24KVUG0315 24KVUG0316 24KVUG0317 24KVUG0318 24KVUG0319 24KVUG0320 Max Depth NAT_Grid_ID 266.10 MGA94_54 239.50 MGA94_54 255.10 MGA94_54 290.40 MGA94_54 257.65 MGA94_54 146.66 MGA94_54 137.60 MGA94_54 125.54 MGA94_54 122.19 MGA94_54 125.05 MGA94_54 125.23 MGA94_54 131.49 MGA94_54 116.39 MGA94_54 107.18 MGA94_54 101.00 MGA94_54 130.04 MGA94_54 138.06 MGA94_54 112.00 MGA94_54 115.12 MGA94_54 257.60 MGA94_54 230.60 MGA94_54 239.61 MGA94_54 230.70 MGA94_54 107.60 MGA94_54 86.55 MGA94_54 91.45 MGA94_54 206.60 MGA94_54 200.48 MGA94_54 195.00 MGA94_54 197.21 MGA94_54 197.21 MGA94_54 230.66 MGA94_54 245.92 MGA94_54 245.66 MGA94_54 120.18 MGA94_54 126.15 MGA94_54 128.55 MGA94_54 140.60 MGA94_54 119.90 MGA94_54 131.16 MGA94_54 119.95 MGA94_54 Drill Hole Collars and Collar azimuth/dip NAT_EAST NAT_NORTH 318245.1246 6114865.67 318245.3156 6114866.077 318244.7833 6114865.098 318244.456 6114864.456 318245.2981 6114866.652 318245.3647 6114867.29 318245.3898 6114866.903 318245.203 6114866.303 318245.1323 6114865.149 318244.8569 6114864.766 318244.9542 6114864.259 318244.0819 6114864.394 318245.1082 6114867.749 318245.2448 6114867.402 318244.9764 6114866.831 318245.0207 6114864.943 318245.0424 6114864.889 318244.5417 6114864.068 318243.9229 6114863.946 318340.078 6114840.785 318340.081 6114840.779 318245.3276 6114868.212 318245.2727 6114867.97 318244.9429 6114867.272 318245.0083 6114866.346 318245.0552 6114864.086 318245.2638 6114867.239 318245.3653 6114866.112 318245.1559 6114865.34 318244.736 6114864.696 318244.2095 6114864.47 318245.2274 6114867.624 318339.8671 6114840.249 318339.775 6114840.186 318240.091 6114867.557 318240.091 6114867.557 318240.091 6114867.557 318240.091 6114867.557 318240.091 6114867.557 318240.091 6114867.557 318240.091 6114867.557 NAT_RL 896.7469 896.736 896.7812 897.2453 896.9497 897.3457 897.3392 897.5076 897.1231 897.1436 897.5604 897.6967 899.7718 900.1349 900.1543 899.9555 900.0456 900.616 900.1422 892.0463 892.333 897.3615 897.3667 899.5204 899.5933 899.722 897.0524 897.0204 896.8069 896.9464 897.1753 896.8887 892.2554 891.8216 898 898 898 898 898 898 898 Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au Dip -57.52 -47.39 -60.13 -59.28 -44.52 -32.64 -36.34 -40.40 -42.16 -42.01 -39.38 -36.78 22.34 27.48 31.41 33.49 32.00 29.73 24.63 -18.25 -8.41 -30.79 -33.03 21.96 25.05 25.85 -41.74 -46.09 -46.46 -48.67 -47.83 -46.24 -10.55 -19.91 -12.90 -26.19 -39.14 -48.93 -6.84 -32.72 -17.68 NAT_AZI 71.18 65.05 82.78 105.00 57.24 71.20 81.12 93.01 108.10 124.96 140.00 152.30 67.21 77.40 92.59 111.76 132.87 149.63 162.65 255.90 255.99 62.33 66.06 78.42 101.81 131.88 82.04 96.05 108.14 120.82 133.95 73.01 247.31 247.45 242.13 242.09 242.23 242.80 229.05 229.22 232.25 APPENDIX B – JORC Table 1 Section 1 Sampling Techniques and Data Criteria Sampling techniques Commentary • The UG Diamond Drill Hole (DDH) sampling was conducted as per the Hillgrove Resources procedures and QAQC protocols. • Sample intervals from 1.25m to 0.25m as determined by geology through visibly mineralised zones. • Where samples are despatched to ALS the sample intervals are split from the drill core, with the drill core sawn in half with a diamond core saw and half-core sample crushed to 75% < 2mm by ALS’s Boyd Crusher • Where samples are assayed by the on-site XRF, the whole interval of drill core is crushed to 75% < 2m by Hillgrove’s Orbis OM100 Crusher Drilling techniques • All UG drilling is undertaken by external drilling contractor, DRC Drilling. All holes drilled with NQ. NQ Core size is 47.6mm in diameter. Drill sample recovery • Recovered drill core metres were measured and compared to length of drill hole advance to calculate core recovery for every core run. On average sample recovery is >98%. There is no correlation between sample recovery and copper grades in this DDH drill program. Logging Sub-sampling techniques and sample preparation • All drill core was logged for lithology, alteration, weathering and mineralisation by Hillgrove geologists in accordance with Hillgrove’s Core Logging Procedure. Colour and any additional qualitative comments are also recorded. • High quality photographs of all drill core before being sampled were taken under controlled light at the HGO core yard at Kanmantoo. • All geological logging is recorded into Geobank (a database product from Micromine) templates and visually validated before being imported into the Hillgrove drill hole database. Additional validation is conducted automatically on import. • In addition, a geotechnical log of all drill core is recorded utilising standard geotechnical logging indexes. RQD is 98-100%. UG drill core is not oriented. Where required, orientation of structure relative to the dominant S2 foliation is recorded. • For the intervals despatched to ALS the core is sawn in half and the half core despatched to ALS for each sample interval and the entire half-core sample then crushed and 1kg rotary split from the crushed mass and the 1kg sub-sample then pulverised to 85%< 75um. A subsplit of 200 grams of the pulverised material is then split by ALS and retained, and the reject pulverised material returned to Hillgrove. From the 200 gram sub-split a 2 gram aliquot is scooped and weighed by ALS for 4-acid digestion. • For the intervals retained on-site for the onsite XRF laboratory, the core is not sawn in half. The entire core from the marked sample Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au Criteria Commentary interval is crushed in a crusher and 1kg riffle rotary split from the crushed mass. The remaining crushed material is bagged and retained. The 1kg of crushed material is then screened to < 1mm and only the fines retained. A sub-split of 10 grams of the fines material is scooped and pelletised and presented to the Olympus Vanta VMR XRF instrument. • Hillgrove have detailed sampling and QAQC procedures in place to ensure sample collection is carried out to maximise representivity of the samples, to minimise contamination, and to maintain sample numbering integrity. Quality of assay data and laboratory tests Verification of sampling and assaying • For the samples submitted to ALS for analysis. ALS code ME-MS61 using a 4-acid digest with determination by Mass Spectrometry. If the copper result was greater than 1%, the analysis was repeated using a modified acid digestion technique. • For the samples submitted to ALS, Gold is assayed by 30g Fire Assay. If > 10 g/t then repeated by fire assay with a gravimetric finish. • For the samples submitted to the Hillgrove on-site laboratory, the pelletised fines samples are presented to the Olympus XRF instrument and energised for 40 sec. The results are automatically recorded to a database. • The QAQC of sample preparation and analysis processes were via the following samples: o Certified reference materials (CRM’s) inserted by HGO into the sample sequence at a frequency of one in 20. OREAS standard 506 has been used to provide a CRM Standard grade of 0.444% Cu, and 0.365 g/t Au which are relevant for the expected cutoff grades used for resource estimates across the Kanmantoo deposit. o Results from all returned QAQC samples provide reasonable confidence as to the accuracy of the assay results used in the estimation. >90% of assays fall within 2SD of the expected CRM mean grade for Cu and Au. o Laboratory inserted QAQC samples were inserted with a minimum of two standards and one blank for every batch of 40 samples. • Quartz flushes with <60ppm Cu are introduced to the crushers and bowl pulverisers within every high sulphide interval. These are monitored and where Cu contamination of the quartz flush occurs the batch is repeated. For the holes reported there are no examples of sulphides contaminating successive samples via sample preparation processes. • Quartz washes are also utilised through the OM100 crusher where high sulphides are present and identified by the logging geologist. • Hillgrove‘s quality policy is that at a minimum of 5% of all samples are CRM’s, and 5% of samples submitted are blanks thus ensuring that as a minimum, 10% of all samples submitted for analysis are Hillgrove QAQC samples. • Sample data sheets are prepared in Geobank Field Teams and printed for technicians use. All core is marked for sampling and confirmed by the logging geologist. Sample Sheets also include the sample number sequence and the sample numbers to be assigned to the QAQC samples. Sample intervals input from the excel spreadsheet into an SQL database via Geobank. Data was visually checked by the Geologist prior to import and additional validation was carried out by the database upon import. Copper results were reported in ppm Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au Criteria Commentary units from the laboratories and then converted to a % value within the database. Location of data points • The map projection of Map Grid of Australia 1994 - Zone 54, (MGA94-54) is used for all work undertaken for this drilling. • All drill hole collars are surveyed with a Leica survey station. The accuracy of this instrument is 0.01m. All pick-ups were reported in MGA94-54 coordinate system. • The UG rigs set ups are aligned by qualified surveyors setting up the drill rigs in the UG drill access. • Downhole surveys were determined using a gyro survey instrument at 12m intervals and recorded in Grid North. distribution • See Table 2 above and Figures 2 and 3 in the body of the text for drill hole locations. • UG drilling aims to have drill holes on a 15m x 10m pattern where possible for UG design and planning Orientation of data in • Data spacing and relation to geological structure Sample security Audits or reviews All holes are angled drill holes, dipping between -53 to +25deg. Kavanagh holes are oriented towards the west from 237deg to 353deg (MGA Grid North) and Spitfire holes are oriented to the east from 073deg to 168deg. • All down hole surveys are by Reflex or Axis Gyro. There is no oriented UG drill core. • Dominant mineralisation trends as measured from in-pit mapping are strike 015deg and dip -75deg to east. • It is important to note that current drill holes are all at various strike and dip angles to section, and that the true width varies for each intersection. • A Hillgrove employee is responsible for collecting and organising the samples ready for assay. Hillgrove has a detailed sample collection/submission procedure in place to ensure sample security. • Drill core is transported from the UG drill site to Hillgrove’s core yard at Kanmantoo under the supervision of Hillgrove staff. • Transport of the half-sawn drill core samples for ALS assaying is by dedicated road transport to the Adelaide sample preparation facility. All samples are transported in sealed plastic bags and are accompanied by a detailed sample submission form. • At ALS, on receiving a batch of samples, the receiving laboratory checks received samples against a sample dispatch sheet supplied by Hillgrove personnel. On completion of this check a sample reconciliation report is provided for each batch received. • There has not been an external review of this DDH drilling program. Previous audits of the Hillgrove sampling methods were reviewed by independent consultant and were considered to be of a very high standard. Hillgrove Resources Limited ACN 004 297 116 Ground Floor, 5-7 King William Road, Unley SA 5061, Australia | T + 61 8 7070 1698 | E info@hillgroveresources.com.au Section 2 Reporting of Exploration Results Criteria Mineral tenement and land tenure status Exploration done by other parties Geology Commentary • The Kanmantoo Cu-Au mine is situated on Mining Lease ML6345 and is owned 100% by Hillgrove Resources Limited (HGO). • HGO owns the land covered by the Mining Lease. The Mine Lease is encompassed on all sides by EL6526 also owned 100% by Hillgrove Resources. All drill holes were drilled on land owned or rented by Hillgrove Resources. • Hillgrove Resources commenced exploration drilling in 2004 and since then has completed a number of exploration sampling and mapping campaigns which have resulted in defining the drill targets. • Mineralisation occurs as an epigenetic system of structurally controlled veins and disseminations of chalcopyrite, pyrrhotite, pyrite, magnetite, within a quartz + biotite + andalusite ± garnet ± chlo