Sabre Resources : Raises $4.9M to Accelerate Nickel Exploration

ASX ANNOUNCEMENT

14 April 2022

SABRE RAISES $4.9M TO ACCELERATE NICKEL SULPHIDE EXPLORATION

AND DEVELOPMENT PROGRAMS

➢ Sabre has completed a heavily over-subscribed placement to sophisticated and professional investors to raise $4.9M (before costs) via the issue of 754,351,205 fully paid ordinary shares (ASX:SBR) at $0.0065 (0.65c) per share with a free attaching option exercisable at $0.006 (0.6c) for each share placed (Placement).

➢ Funds will be principally used for:

• o Diamond drilling of high-grade nickel sulphide targets identifed1 at the Sherlock Bay Nickel Project - a significant nickel sulphide resource in the highly prospective Pilbara Region of Western Australia (WA). Initially up to 2,400m will test the projected intersection of the mineralised horizon with the base of the Sherlock gabbro/ultramafic intrusion, which is prospective for massive nickel sulphides.

• o Metallurgical testwork on sulphide intersections to determine flotation concentrate recoveries and generate cost inputs for updated scoping to pre-feasibility studies.

• o Further geophysical surveying including detailed electromagnetics (EM) and gravity surveys on Sherlock Bay Nickel Project and the adjoining Sherlock Pool JV Project2, prior to systematic drill testing of key targets identified.

• o Drill testing and further geophysics (EM, detailed gravity) to follow-up previous nickel-copper RAB intersections on its Nepean South Farm-in Project3, that covers a 12km corridor of ultramafic rocks south of the Nepean Nickel Mine (ASX:AOU) in WA.

• o Exploration programs including drilling at its Ninghan Gold Project4 along strike to the north of the 3Moz Mt Gibson Gold Project in the Murchison region of WA.

• o Exploration programs including geophysics, geochemistry and follow-up drilling at its:

  • - Cave Hill exploration licences3, covering an interpreted ~50km extension of the Nepean nickel sulphide belt in WA,

  • - two exploration licences prospective for uranium deposits located along strike from existing uranium resources in the highly prospective Ngalia Basin3 of the Northern Territory (NT), and,

  • - the Carrara granted EL326933, prospective for copper-gold and lead-zinc-silver deposits, located close to the junction of the Tennant Creek East Belt and the Mt Isa Province, also in the NT.

Sabre Resources Ltd ("Sabre" or "the Company") is pleased to announce that it has received a letter of firm commitments from the Lead Manager, Peak Asset Management Pty Ltd, in relation to a placement raising of $4.9 million (before costs). This will result in the issue of 754,351,205 fully paid ordinary shares (ASX:SBR) at $0.0065 (0.65c) per share and 754,351,205 options exercisable at $0.006 (0.6c) having an expiry date of 30 April 2024 (Placement Options).

The CEO of Sabre Resources Ltd, Jon Dugdale, said: "We are extremely pleased to have received such strong support from investors for this $4.9 million capital raising.

"We will soon commence our diamond drilling program testing for massive nickel sulphides at the Sherlock Bay Nickel Project and this funding will allow us to expand that drilling program to test the multiple targets along strike from the Sherlock Bay resource.

"This funding will also allow us to aggressively explore our other nickel sulphide and gold projects in

WA as well as our uranium and copper-gold projects in the Northern Territory."

Sherlock Bay Nickel Project:

As previously announced1, modelling of electromagnetic anomalies has highlighted a 1.4km strike-length Moving Loop Electromagnetic (MLEM) conductor extending west and to depth below the Sherlock Bay nickel sulphide resources at the Company's 70% owned Sherlock Bay Nickel Project ("Sherlock Bay", or "Project"), located in the Pilbara of WA (Figure 1).

Four diamond drillholes totalling up to 2,400m will initially test down plunge of both the Discovery and Symonds resources that are increasing in grade with depth towards the targeted intersection between the mineralised horizon and the Sherlock Intrusive (see longitudinal projection, Figure 2).

Massive sulphides occur in this position at analogous deposits such as the Nova-Bollinger intrusive related nickel sulphide deposit in WA (owned and operated by IGO Ltd, ASX:IGO).

A diamond drilling contractor is available to carry out this program and the Program of Work (PoW) for the drilling has been lodged with the WA Department of Mines (DMIRS). The PoW is expected to be approved shortly to allow commencement of drilling during the second Quarter (Q2).

The key objective of this diamond drilling will be to identify potential to increase high-grade nickel sulphide resources and enhance the economic viability of the Sherlock Bay Nickel-Copper-Cobalt (sulphide) Project.

Further EM (both downhole and surface programs) and detailed gravity surveys will be carried out on both the Sherlock Bay Nickel Project and adjoining Sherlock Pool JV Project3, prior to additional drill testing of key targets identified.

Sulphide intersections from the drilling program will be quarter-cored to generate a bulk-sample for sulphide flotation testwork. The results of the testwork will be used to generate an updated processing flowsheet and initial cost inputs for a pre-feasibility study. The recent Scoping Study6 demonstrated the cashflow potential of the Sherlock Bay Nickel Project at a nickel price of US$10/lb. The nickel price is now approximately US$15/lb (Kitcometals.com, 12/4/22).

The Company confirms that it is not aware of any other new information or data that materially affects the information included in the Sherlock Bay Nickel Project Scoping Study release of 27th January 2022.

Figure 2 - Sherlock Bay Longitudinal Projection showing Ni% x m contours and drilling targets

Sabre Resources Ltd is an ASX-listed company (ASX:SBR) focused on the exploration and development of key nickel sulphide and gold assets in Western Australia.

Nickel Sulphide Projects, Western Australia:

Sabre holds a 70% interest in the Sherlock Bay Nickel-Copper-Cobalt Project ("Sherlock Bay", or "the Project") - a significant nickel sulphide resource located on granted mining lease, M47/567, 40km east of Roebourne in the highly prospective Pilbara Region of Western Australia (Figure 1).

The Project is well-located 12 km off the Northwest Coastal Highway, 40km east of Roebourne in the Pilbara Region of Western Australia. The Project includes a JORC 2012 Mineral Resource of 24.6Mt @ 0.40% Ni, 0.09% Cu, 0.022% Co, containing 99,200t Ni, 21,700 tonnes Cu and 5,400 tonnes Co (including a Measured 12.48Mt @ 0.38% Ni, 0.11% Cu, 0.025% Co; Indicated 6.1Mt @ 0.59% Ni, 0.08% Cu, 0.022% Co and Inferred 6.1Mt @ 0.27% Ni, 0.06% Cu, 0.01% Co)5. The Company confirms that it is not aware of any other new information or data that materially affects the information included in the Sabre Resources Ltd announcement of 12th June 2018 titled "Resource Estimate Update for Sherlock Bay Nickel Deposit".

The Company recently completed an extensive Scoping Study on the Project6 that highlighted the cashflow potential of the project at current and projected nickel prices and upside potential for higher- grade nickel sulphides at depth, that the Company is looking to test with deeper drilling planned.

The Company is focussed on building its nickel sulphide exploration portfolio and, to that end, recently announced a binding agreement to earn an 80% interest in the Sherlock Pool tenement, E47/43453, covering immediate strike extensions to the northeast and southwest of the Sherlock Bay nickel sulphide deposit. Exploration will commence shortly, targeting previously generated VTEM anomalies that may represent massive nickel sulphide potential.

Sabre has also entered into an agreement to earn 80% of the Nepean South E15/17023, that covers a 12km corridor of ultramafic rocks south of the Nepean nickel sulphide mine, including previous nickel- copper RAB intersections.

Sabre has also acquired 80% of Chalco Resources Pty Ltd ("Chalco")3, that has three exploration licences (applications) at Cave Hill, over a >50km strike length of interpreted extensions of the Nepean and Queen Victoria Rocks nickel sulphide belts.

Youanmi Terrane Gold Projects, Western Australia

The Company has also added to its portfolio of gold exploration projects in the highly prospective Youanmi Terrane of Western Australia, with the acquisition of the Ninghan Gold Project4, E59/2402, located in the southern Murchison District. Mt Gibson Gold Mine is located less than 20km along strike to the south of the Project and has a 3.0Moz pre-mining gold endowment. Previous RAB and aircore drilling has defined two strongly anomalous zones of gold-arsenic mineralisation that will be followed up with additional aircore and deeper RC drilling.

Sabre also holds a 100% interest in the Bonanza and Beacon exploration licences, in the Youanmi Gold Mining District, close to gold projects held by Rox Resources Limited (ASX: RXL) and Venus Metals Corporation Limited (ASX: VMC) where they have reported significant exploration drilling success.

Other Projects:

The Chalco acquisition3 also includes two uranium exploration licence applications in the Northern Territory, near existing uranium resources, and granted EL32693 at the junction of the Tennant East Copper-Gold Belt and the Lawn Hill Platform/Mt Isa Province in the Northern Territory.

Details of the Placement:

The Placement comprises the issue of 754,351,205 fully paid ordinary shares (ASX: SBR) at $0.0065 (0.65c) per share with a free attaching option for each share placed resulting in the issue of 754,351,205 options exercisable at $0.006 (0.6c) with an expiry date of 30 April 2024 (Placement Options).

Under the Placement the Company will issue:

• i) 500,000,000 shares and 500,000,000 options in accordance with shareholder approval received at the Company's Annual General Meeting (AGM) held on 27 January 2022.

• ii) 50,869,841 Shares and 254,351,205 options pursuant to ASX LR 7.1, and,

• iii) 203,481,364 shares pursuant to ASX LR 7.1A.

In addition to the Placement, the Company will issue 100,000,000 options exercisable at a price of $0.006 (0.6c) with an expiry date of 30 April 2024 (Consultant Options) as approved by shareholders at the

Company's AGM held on 27 January 2022. The Consultant Options will be issued to employees, consultants and service providers in accordance with the AGM approval.

The Company will lodge a Prospectus with ASIC and seek ASX approval to have the Placement and Consultant Options quoted on the ASX.

References

• 1 Sabre Resources Ltd announcement, 11th April 2022. Drilling of High-Grade Nickel EM Targets Set to Commence.

• 2 Sabre Resources Ltd announcement, 10th March 2022. Sabre to Drill High-Grade Nickel Targets at Sherlock Bay.

• 3 Sabre Resources Ltd announcement, 13th December 2021. Agreements to Acquire Three Nickel Sulphide Projects

• 4 Sabre Resources Ltd announcement, 24th September 2021. Sabre to Complete Acquisition of Ninghan Gold Project.

• 5 Sabre Resources Ltd announcement, 12th June 2018. Resource Estimate Update for Sherlock Bay Nickel Deposit.

• 6 Sabre Resources Ltd announcement, 27th January 2022. Sherlock Bay Ni Scoping Study Delivers Positive Cashflow.

  This announcement has been authorised for release by the Board of Directors.

***ENDS***

For further information, please refer to the Company's website or contact:

Cautionary Statement regarding Forward-Looking information

This document contains forward-looking statements concerning Sabre Resources Ltd. Forward-looking statements are not statements of historical fact and actual events and results may differ materially from those described in the forward-looking statements as a result of a variety of risks, uncertainties and other factors. Forward-looking statements are inherently subject to business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company's actual results to differ materially from those expressed or

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