Peregrine Gold : December 2021 Quarterly Reports

For personal use only

DECEMBER 2021 QUARTERLY REPORT

Peregrine Gold Limited ("Peregrine" or "Company") is pleased to present its Quarterly Report for the period ended 31 December 2021. The Company's focus is on its projects in the Pilbara region of Western Australia, in addition to identifying and evaluating new opportunities in the resources sector.

HIGHLIGHTS DURING AND SINCE THE QUARTER END

• Successful in a ballot for prospective lithium Exploration Licence E45/5775, located adjacent and along strike from the prolific Pilgangoora Lithium operations of Pilbara Minerals Ltd (ASX: PLS);
• Increased the number of drill ready gold prospects to four with Tin Can and Perry Creek:

Tin Can Prospect

1. Coherent gold in soil anomaly approximately 200 metres long and 50 metres wide with a maximum gold grade of 328 ppb Au; and

1. Elevated cobalt, chromium and nickel soil results in association with the gold in soil anomalism suggests a spatial relationship with a possible mafic source rock.
   Perry Creek Prospect

• 1. Coherent gold in soil trend approximately 500 metres long and 40 metres to 160 metres wide and maximum gold in soil grade of 73 ppb Au.
• Signed contract for reverse circulation ("RC") drilling on four targets at the Pilbara Gold Project. The drill rig is estimated to be mobilised mid-2022;
• At quarter-end, approximately 73% of a high resolution airborne magnetic geophysical survey was completed over the Mallina Gold Project, results to be announced by the end of Q1 2022;
• Additional analysis of high-grade Au/Ag rock samples from the Peninsula Prospect returned significant Palladium (Pd) and Platinum (Pt) results including:

• 1. 2,133 ppb Pd and 738 ppb Pt from sample 21KR 9.
• Further assay results from exploration activities and prospects are pending, to be announced in due course; and
• Cash at bank of $3.25 million as of 31 December 2021 and no debt, well-funded for planned activities.

For further information, please contact:

For personal use only

EXPLORATION ACTIVITIES

Lithium Project- E45/5775

E45/5775

During the quarter, Peregrine was successful in a ballot for Exploration Licence E45/5775. The application is located adjacent and along strike from the prolific Pilgangoora Lithium operations of Pilbara Minerals Ltd (ASX: PLS) and hosts abundant mapped pegmatites. E45/5775 is situated in a favourable geological setting which hosts numerous lithium occurrences. The mineral resource at Pilgangoora for June 2021 comprised a total of 308.9 million tonnes grading 1.14% spodumene (Li2O) and 105 ppm tantalite (Ta2O5)1.

Geological data compiled by the Department of Mines, Industry Regulation and Safety ("DMIRS") on Critical Minerals reveals the significant extent of pegmatitic material in a broad corridor spanning across E45/5775 to the north (Figure 1). The pegmatites have been incorporated onto a solid geology image sourced from DMIRS.

Figure 1: Geological data from DMIRS displaying pegmatite occurrences on E45/5775.

There has been limited drilling and historical exploration conducted over E45/5775, a review of all past work is underway. The Company is seeking to rapidly process Exploration Licence E45/5775 to grant. Subject to weather, the Company will commence field activities as soon as possible and then once E45/5775 is granted, undertake a comprehensive stream sediment and rock chip sampling programme.

For personal use only

The Pilbara Gold Project

Tin Can Prospect

The Tin Can prospect (E52/3785), located approximately two kilometres south of the previously announced Birdsnest prospect was identified via reconnaissance stream sediment sampling (refer ASX announcement dated 16 November 2021). The stream sediment sampling programme returned elevated gold anomalism with significant results as follows:

Table 1: Stream sediment samples from the Tin Can prospect.

Note: Au (ppb) CN 2000 is a 2kg BLEG sample and Au (ppb) AR25 is aqua regia both with Inductively Coupled Plasma Optical Emission Spectrometry (ICP-OES) on all samples.

Figure 2: Tin Can prospect displaying anomalous stream sediment samples and soil sampling results.

A detailed soil sampling programme was also implemented at Tin Can with a total of 405 sites sampled and 810 samples submitted for analysis (including duplicates and blanks). The soil sampling programme returned elevated gold anomalism.

Interpretation of the coarse soil gold results has defined a coherent northeast trending gold in soil anomaly approximately 200 metres long and 50 metres wide. This anomaly is located south of the dominant northwest trending quartz veins with the northeastern portion of the gold soil anomaly possibly truncated at these quartz veins. The gold in soil anomaly extends in an east to west direction from the main anomaly for approximately 200 metres with low to moderate level gold anomalism.

Soil samples at the core of this soil anomaly returned 223 ppb Au (coarse fraction AR25) which repeated 113 ppb Au and 149 ppb Au in sample 21KS 1209 and 328 ppb Au (coarse fraction AR25) which repeated 153 ppb Au and 68 ppb Au in sample 21KS 1369.

Several broad, moderate level gold anomalies and spot elevated gold anomalies were returned in the northern, eastern and southern portion of the prospect. Additional and infill soil sampling was completed during the quarter with a total of 196 soil sites sampled for 392 samples (including duplicates and blanks).

For personal use only

The Pilbara Gold Project

Perry Creek Prospect

Perry Creek was identified at E52/3841 (Figure 3) through a combination of reconnaissance soil sampling performed by Peregrine and a review of a past soil sampling programme undertaken and reported by Rosane Pty Ltd ("Rosane") in 2006. Perry Creek is located within the Wyloo Group, a geological setting which has a history of gold occurrences and mines.

Figure 3: Location of Tin Can, Birdsnest, Peninsula and Perry Creek gold prospects.

Interpretation of both the coarse soil data sets has identified a coherent east to west gold in soil trend approximately 500 metres in length and 40 to 160 metres wide. To the north and south of this coherent gold trend, two northeast gold soil trends are also present. Additional infill soil sampling is proposed to further define the gold in soil anomalism at Perry Creek.

Rosane's programme comprised 70 soil sites sampled over three north-south lines which were approximately 200 metres apart with samples collected approximately every 40 metres. Rosane's sampling programme returned significant elevated gold anomalism with a maximum of 41 ppb Au (fine fraction CN) from sample 1905, 38 ppb Au (fine fraction FA25) from sample 1673 and 73 ppb Au (coarse fraction FA25) from sample 1679.

In order to better define the extent of this gold in soil anomalism, Peregrine undertook a reconnaissance and infill soil sampling programme centred around Rosane's soil sampling programme. Significant sampling results from Peregrine's sampling program include 37 ppb Au (coarse fraction) from sample 21KS 11 and 21 ppb Au (coarse fraction) from sample 21KS 143. An infill soil sampling programme was completed during the quarter to refine the soil anomaly with 69 soil sites sampled for 138 samples (including duplicates and blanks). The results are pending and expected to be announced in due course.

For personal use only

The Pilbara Gold Project

Peninsula

At Peninsula, auriferous rock samples returned maximum gold and silver grades of 55,171 ppm Au and 12,838 ppm Ag respectively (refer ASX announcement dated 27 October 2021).

Additional geochemical analysis of the rock samples was undertaken for Palladium (Pd) and Platinum (Pt) with significant results including 2133 ppb Pd and 738 ppb Pt from sample 21 KR 9. The Pd and Pt results in the Peninsula Prospect rock samples are as follows:

Table 2: Rock samples from the Peninsula prospect.

Notes:

1. "X" denotes the value was below detection.

A review of all soil and stream sediment sample results is underway at the Pilbara Gold Project to identify any Pd and Pt anomalism.

Previously selected rock samples which returned significant Pd and Pt results (see: )