Paterson Resources Limited provided an update on the results of the Company's RC drilling program. RC drill during the 2022 program was designed to target dip and strike extensions of the Grace-Bemm deposit, extend known mineralisation at the Genoa prospect, along with testing the highly prospective Parralel Range Fault . Major rock types intercepted were the sediments of the Malu and Isdell formations.

These sediments are highly mineralized with quartz, carbonate and albite veining with some quartz intercepts up to 20m thick. Trace sulphides, mostly pyrite, is common in the shales and siltstones associated with silicification of the country rock. Goethite and haematite alteration, a common association with gold mineralisation in the oxide zone, is also common as replacement of the original rock or as a bedded unit.

The Parallel Range Fault sits just over 380m south of the Grace-Bemm shear zone and strikes in roughly the same orientation. The regional structure remains largely untested by historical drilling. A total of eight drill holes were designed to test the structure at depth with six of the eight holes hitting significant gold mineralisation over a trend of nearly 750m.

PRC0002 and PRC0003 intercepted a diorite/syenite/dolerite intrusion which exhibits background gold values between 0.01 and 0.1 g/t Au for almost the entire unit with two samples reaching over 0.1 g/t Au. Goethite alteration in the last 10 metres of PRC0003 was weakly mineralised with gold. This trend presents a high priority target for future drilling.

Genoa A single hole was designed to test significant wide, shallow gold mineralisation, including 26m at 1.28g/t Au (GPB2205), along strike at the Genoa prospect. Mineralisation intercepted in PRC0010 has extended the mineralised trend to about 200 metres, with mineralisation remaining open both along strike and at depth. Anomalous shallow gold mineralisation forms in the siltstones and sandstones of the Malu formation associated with quartz veining.

The gold appears to be concentrated on the boundaries of these veins in highly weathered zones. PRC0010 returned 19m at 1.4 g/t Au within sandstones of the Malu formation with a peak grade of 15.9g/t Au. The geometry of the mineralised bodies is not well defined at this stage.

Early interpretations indicate gold mineralisation is located in zones of intense veining and brecciation, with associated weak sulphidation, which are trending NNW-SSE. Grace-Bemm Deposit A total of 17 RC holes were designed to infill known gold mineralisation at the Grace-Bemm deposit, along with extending the known mineralised envelope down dip and along strike. Assay results have been received from four holes to date with all holes intersecting significant gold mineralisation.

Gold mineralisation intercepted in PRC0011 has extended the known trend along the SSW extension of the Grace- Bemm shear by 200 metres, with the trend remaining open along strike. Additionally, intercepts returned in PRC0012, PRC0015 and PRC0016 have extended mineralisation both up dip and down dip. As additional results come in, the geometry of the mineralised envelope will become more evident.

Further comment will be made up receival of the remaining assay results.