Kincora Copper Ltd. First phase drilling results and commencement of phase two at the Fairholme project

¹ For further details refer to the January 31^st, 2022 press release "Kincora awarded $389,500 in drilling grants"

² The gold corridor at Cowal host a 13.7Moz gold endowment and the Marsden porphyry deposit a further >0.5Mt copper and >1Moz gold resource endowment - source: bespoke Mar'20 request by Richard Schodde from MinEx Consulting for Kincora Copper. Endowment reported on a pre-mined resource basis.

² source Evolution Mining Investor Webinar, September 2020. ⁴ source Evolution Mining BMO conference presentation, February 2022.

Criteria

JORC Code explanation

Commentary

Sampling techniques

• Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling.
• Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.
• Aspects of the determination of mineralisation that are Material to the Public Report.
• In cases where 'industry standard' work has been done this would be relatively simple (e.g. 'reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay'). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information

• Kincora Copper Ltd. is the operator of the Fairholme Project, with drilling using diamond coring methods by DrillIt Consulting Pty Ltd, from which sub-samples were taken over 2 m intervals and pulverised to produce suitable aliquots for fire assay and ICP-MS.
• Diamond drilling was used to obtain orientated samples from the ground, which was then structurally, geotechnically and geologically logged.
• Sample interval selection was based on geological controls and mineralization.
• Sampling was completed to industry standards with 1?4 core for PQ and HQ diameter diamond sent to the lab for each sample interval.
• Samples were assayed via the following methods:
• - Gold: Au-AA24 (Fire assay)
• - Multiple elements: ME-ICP61 (4 acid digestion with ICP-AES analysis for 33 elements) and ME-MS61 (4 acid digestion with ICP-AES & ICP-MS analysis for 48 elements)
• Historic sampling on other projects included soils, rock chips and drilling (aircore, PCD, RC and diamond core).

Drilling techniques

• Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc.).

• Drilling by Kincora at Fairholme used diamond core drilling with PQ, and HQ diameter core depending on drilling depth.
• All Kincora core was oriented using a Reflex ACE electronic tool.
• Historic drilling on Kincora projects used a variety of methods including aircore, polycrystalline diamond, reverse circulation, and diamond core. Methods are clearly stated in the body of the previous reports with any historic exploration results.

Drill sample recovery

• Method of recording and assessing core and chip sample recoveries and results assessed.
• Measures taken to maximise sample recovery and ensure representative nature of the samples.
• Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.

• Drill Core recovery was logged.
• Diamond drill core recoveries are contained in the body of the announcement.
• Core recoveries were recorded by measuring the total length of recovered core expressed as a proportion of the drilled run length.
• Core recoveries for most of Kincora's drilling were in average over 93.6%
• Poor recovery zones are generally associated with thick cover zones and the upper oxidised parts of drill holes.
• There is no relationship between core recoveries and grades.

Logging

• Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.
• Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography.
• The total length and percentage of the relevant intersections logged.

• All Kincora holes are geologically logged for their entire length including lithology, alteration, mineralisation (sulphides and oxides), veining and structure.
• Logging is mostly qualitative in nature, with some visual estimation of mineral proportions that is semi-quantitative. Measurements are taken on structures where core is orientated.
• All core is photographed.
• Historic drilling was logged with logging mostly recorded on paper in reports lodged with the NSW Department of Mines.

Sub-
sampling techniques
and sample preparation

• If core, whether cut or sawn and whether quarter, half or all core taken.
• If non-core, whether riffled, tube sampled, rotary split, etc. and whether sampled wet or dry.
• For all sample types, the nature, quality and appropriateness of the sample preparation technique.
• Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.
• Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.
• Whether sample sizes are appropriate to the grain size of the material being sampled.

• Once all geological information was extracted from the drill core, the sample intervals were cut with an Almonte automatic core saw, bagged and delivered to the laboratory.
• This is an appropriate sampling technique for this style of mineralization and is the industry standard for sampling of diamond drill core.
• PQ and HQ sub-samples were quarter core.
• Sample sizes are considered appropriate for the disseminated, generally fine-grained nature of mineralisation being sampled.

·

Quality of
assay data
and
laboratory
tests

• The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.
• For geophysical tools, spectrometers, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.
• Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (ie lack of bias) and precision have been established.

• Gold was determined by fire assay and a suite of other elements including Cu and Mo by 4-acid digest with ICP-AES finish at ALS laboratories in Orange and Brisbane.
• Techniques are considered total for all elements.
• For all holes every 20th sample was either a commercially supplied pulp standard or pulp blank.
• Results for blanks and standards are checked upon receipt of assay certificates. All standards have reported within certified limits of accuracy and precision.
• Historic assays on other projects were mostly gold by fire assay and other elements by ICP.

Verification
of sampling
and assaying

• The verification of significant intersections by either independent or alternative company personnel.
• The use of twinned holes.
• Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.
• Discuss any adjustment to assay data.

• Significant intercepts were calculated by Kincora's geological staff.
• No twinned holes have been completed.
• The intercepts have not been verified by independent personal.
• Logging data is captured digitally on electronic logging tablets and sampling data is captured on paper logs and transcribed to an electronic format into a relational database maintained at Kincora's Mongolian office. Transcribed data is verified by the logging geologist.
• Assay data is received from the laboratory in electronic format and uploaded to the master database.
• No adjustments to assay data have been made.
• Outstanding assays are outlined in the body of the announcement.

Location of
data points

• Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.
• Specification of the grid system used.
• Quality and adequacy of topographic control.

• Collar positions are set up using a hand-held GPS and later picked up with a DGPS to less than 10cm horizontal and vertical accuracy.
• Drillholes are surveyed downhole every 30m using an electronic multi-shot magnetic instrument.
• Due to the presence of magnetite in some alteration zones, azimuth readings are occasionally unreliable and magnetic intensity data from the survey tool is used to identify these readings and flag them as such in the database.
• Grid system used is the Map Grid of Australia Zone 55, GDA 94 datum.
• Topography in the area of Fairholme is near-flat and drill collar elevations provide adequate control

Data spacing and
distribution

• Data spacing for reporting of Exploration Results.
• Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.
• Whether sample compositing has been applied.

• Kincora drilling at Fairholme is at an early stage, with drill holes stepping out from previous mineralisation intercepts at various distances.
• Data spacing at this stage is insufficient to establish the continuity required for a Mineral Resource estimate.
• No sample compositing was applied to Kincora drilling.
• Historic drilling on Fairholme and other projects was completed at various drill hole spacings and no other projects have spacing sufficient to establish a mineral resource.

Orientation
of data in
relation to geological structure

• Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.
• If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.

• The orientation of Kincora drilling at Fairholme has changed as new information on the orientation of mineralisation and structures has become available.
• The angled drill holes were directed as best possible across the known lithological and interpreted mineralised structures.
• There does not appear to be a sampling bias introduced by hole orientation in that drilling not parallel to mineralised structures.

Sample
security

• The measures taken to ensure sample security.

• Kincora staff or their contractors oversaw all stages of drill core sampling. Bagged samples were placed inside polyweave sacks that were zip-tied, stored in a locked container and then transported to the laboratory by Kincora field personnel.

Audits or
reviews

• The results of any audits or reviews of sampling techniques and data.

• Mining Associates has completed an review of sampling techniques and procedures dated January 31st, 2021, as outlined in the Independent Technical Report included in the ASX listing prospectus, which is available at:
• https://www.kincoracopper.com/investors/asx-prospectus

Criteria

JORC Code explanation

Commentary

Mineral
tenement
and land
tenure
status

• Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental 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.

• Kincora holds three exploration licences in NSW and rights to a further six exploration licences through an agreement with RareX Limited (RareX, formerly known as Clancy Exploration).
• EL8222 (Trundle), EL6552 (Fairholme), EL6915 (Fairholme Manna), EL8502 (Jemalong), EL6661 (Cundumbul) and EL7748 (Condobolin) are in a JV with RareX where Kincora has a 65% interest in the respective 6 licenses and is the operator /sole funder of all further exploration until a positive scoping study or preliminary economic assessment ("PEA") on a project by project basis. Upon completion of PEA, a joint venture will be formed with standard funding/dilution and right of first refusal on transfers.
• EL8960 (Nevertire), EL8929 (Nyngan) and EL9320 (Mulla) are wholly owned by Kincora.
• All licences are in good standing and there are no known impediments to obtaining a licence to operate.

Exploration
done by
other parties

• Acknowledgment and appraisal of exploration by other parties.

· All Kincora projects have had previous exploration work undertaken.

The review and verification process for the information disclosed herein and of other parties for the Trundle project has included the receipt of all material exploration data, results and sampling procedures of previous operators and review of such information by Kincora's geological staff using standard verification procedures. Further details of exploration efforts and data of other parties are providing in the March 1^st, 2021, Independent Technical Report included in the ASX listing prospectus, which is available at:

https://www.kincoracopper.com/investors/asx-prospectus

Geology

· Deposit type, geological setting and style of mineralisation.

• All projects ex EL7748 (Condobolin) are within the Macquarie Arc, part of the Lachlan Orogen.
• Rocks comprise successions of volcano-sedimentary rocks of Ordovician age intruded by suites of subduction arc-related intermediate to felsic intrusions of late Ordovician to early Silurian age.
• Kincora is exploring for porphyry-style copper and gold mineralisation, copper-gold skarn plus related high sulphidation and epithermal gold systems.

Drill hole Information

• A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes:
• easting and northing of the drill hole collar
• elevation or RL (Reduced Level - elevation above sea level in metres) of the drill hole collar
• dip and azimuth of the hole
• down hole length and interception depth
• 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.

• Detailed information on Kincora's drilling at Fairholme is given in the body of the report.

Data
aggregation methods

• In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade 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.

• For Kincora drilling at Fairholme the following methods were used:
• Porphyry gold-copper intercepts were aggregated using a cut-off grade of 0.10 g/t Au and 0.05% Cu respectively.
• Internal dilution below cut off included was generally less than 25% of the total reported intersection length.
• Core loss was included as dilution at zero values.
• Average gold and copper grades calculated as averages weighted to sample lengths.
• Historic drilling results in other project areas are reported at different cut-off grades depending on the nature of mineralisation.

Relationship between mineralisation widths
and
intercept
lengths

• These relationships are particularly important in the reporting of Exploration Results.
• If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.
• If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (eg 'down hole length, true width not known').

·

• Due to the uncertainty of mineralisation orientation, the true width of mineralisation is not known at Fairholme.
• Intercepts from historic drilling reported at other projects are also of unknown true width.

Diagrams

• Appropriate maps and sections (with scales) and 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.

• Relevant diagrams are included in the body of the report.

Balanced reporting

• Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.

• Intercepts reported for Kincora's drilling at Fairholme are zones of higher grade within unmineralised or weakly anomalous material.

Other substantive exploration
data

• Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples - size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances

.

• No other exploration data is considered material to the reporting of results at Fairholme. Other data of interest to further exploration targeting is included in the body of the report.
• Historic exploration data coverage and results are included in the body of the report for Kincora's other projects.

Further
work

• The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step-out drilling).
• Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.

• Drilling at the Gateway targets are competed at the time of publication of this report and plans for further step-out drilling are in place at both the Gateway and Anomaly-2 prospects. Further drilling is proposed at other Fairholme project areas, including air core programs at several prospects, that have complementary but insufficiently tested geochemistry and geophysical targets with the aim to find: (a) and expand near surface copper-gold skarn mineralization overlying or adjacent to (b) underlying copper-gold porphyry systems.