Lachlan Star : Reverse Circulation Gold Intersections Killaloe gold project

(ASX:LSA)

ACN 000 759 535

29 April 2022

Reverse Circulation Gold Intersections

Killaloe gold project, Eastern Goldfields of Western Australia

HIGHLIGHTS

• • Reverse Circulation ("RC") drilling program completed at Killaloe consisting of 8 drill holes for 962m

• • Drill holes (3 RC holes for 362m) targeted multiple gold trends defined by the historic Buldania workings in tenement M63/177 and returned gold intersections including:

  • o 6m at 3.74g/t gold from 54m in drillhole LSK007

  • o 9m at 1.38g/t gold from 75m & 3m at 3.03g/t gold from 90m in drillhole LSK008

• • Drilling has intersected multiple mineralised zones defined by quartz veining, sulphide mineralisation and rare coarse gold noted in panned samples. Final 1m sampling to assist in definition of high-grade nuggety mineralisation

• • Extensive historic working throughout the Buldania prospect define multiple trends to be reviewed in conjunction with historic exploration

• • Drilling with tenement E63/1018 did not intersect anomalous gold mineralisation, however geological review indicates alteration and veining indicating further geological review required

Lachlan Star Limited (ASX:LSA, Lachlan Star or the Company) is pleased to provide an update on the Killaloe gold project in the Eastern Goldfields, with the receipt of the 3m composite sampling of the maiden drilling program.

Lachlan Star Director, Bernard Aylward said: "Drilling at the Buldania workings has highlighted the vein hosted nuggety style of mineralisation similar to the 5 million ounce Norseman gold field located just 35km to the west. Geological logging of the drill holes has indicated sulphide mineralisation and coarse gold mineralisation in altered quartz veins. This first drill program completed by Lachlan Star tested across a section of the extensive historical working and highlights the potential for follow-up drilling to begin to define zones of high-grade gold shoots and demonstrate potential for increased economic significance. This program consisted of only three drill holes due to limited rig availability and further drilling will test along strike and target dip extensions of the defined zones.

"The drilling targeting the extension of the "Barrel" prospect within tenement E63/1018 intersected zones of alteration and associated low level multi-element anomalism and more work is required to evaluate this tenement. Review of historic work and geological reconnaissance continues to highlight the potential for nickel mineralisation as well as gold mineralisation where our field reconnaissance has demonstrated strike extensions of historic workings untested by previous work."

Killaloe Gold Project

The Killaloe Project, located in southeast Western Australia approximately 600km east of Perth and 35km northeast of the historic gold mining town of Norseman, comprises two, largely contiguous exploration licences (E63/1018 and E63/1017) and the separate Buldania mining licence (M63/177) covering a total combined area of 94km2 (refer Figures 1 and 2). There are no other land users and access is generally good although sometimes limited by thick bush and weather events.

Lachlan Star's maiden drilling program consisted of 8 RC drill holes for a total of 962m, made up of 3 drill holes for 362m within the Buldania workings with drill holes oriented to the south and dipping at 60 degrees to intersect the east-west striking mineralised zones (refer Figure 3). In tenement E63/1018, drilling targeted the extensions to the Barrel prosect and parallel targets with 5 drill holes for 600m drilling with holes oriented to the east and dipping 60 degrees to cross-cut the geological sequence. All holes have been sampled on an initial 3m composite basis and analysed for gold, PGE and multi-elements. Anomalous samples have been re-split to 1 metre intervals for further assay to confirm the potential for narrow high-grade gold mineralisation.

The drilling program was limited due to drill rig availability and further drilling will be planned when all results have been received and interpreted.

Buldania Gold Workings

The Gold mineralisation at the Buldania prospect within tenement M63/117 is interpreted to be controlled by a series of parallel shear zones intruded by quartz veining and associated alteration. Historic gold workings that have exploited the gold mineralised trends and the geological strike approximate an east-west orientation, and historic drilling defined multiple parallel zones that require further testing. Following on from a rock-chip sampling program, the initial drilling program tested a section across the parallel trends to confirm geological and structural interpretation on mineralisation controls.

Significant intersections for the RC drill holes calculated using a 0.5g/t gold lower cut-off, maximum 3m internal dilution are tabled below1:

Notes: Drill holes are RC drill holes. Drill holes have been sampled on a 1m basis with samples collected via a cone split system with samples for analysis consisting of 3m composite samples. Drill hole collars are surveyed using a hand-held GPS with sub 5-metre accuracy, coordinate system GDA - Zone 51S, and all holes are survey down-hole for dip and azimuth on approximately 30m intervals. All drill holes are geologically logged and recorded in database. Samples analysed by Intertek-Genalysis Laboratories for gold and PGE's by 50g Fire Assay and multi-element analysis by mixed acid digest and ICP-MS and ICP-OES finish. Intersections are reported as g/t gold (ppm) Intersections are reported using a 0.5g/t gold lower-cut-off, and allowing for a maximum of 3m (1 composite sample) internal dilution.

The initial composite sample results and the geology identified in the drill hole logging has confirmed the potential for multiple mineralised trends and for these target zones to host high-grade nuggety gold mineralisation. The next phase of exploration drilling at this prospect will consist of deeper drilling to define high-grade gold mineralised shoots similar to the high grade quart reefs within the Norseman region.

Figure 1: Killaloe Gold Project Location

For more information contact:

This announcement was approved by the Board of Lachlan Star Limited.

Competent Person's Statement - Exploration Results

The information in this report that relates to exploration results for the Killaloe Project is based on, and fairly represents information and supporting documentation prepared by Mr Bernard Aylward, a Competent Person who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Aylward is a Director of Lachlan Star Limited. Mr Aylward 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 Resource and Ore Reserves". Mr Aylward consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

1RC holes LSK001 to LSK005 contained no significant intersections within the 3m composite samples taken and are therefore not reported here.

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