Alligator Energy : Quarterly Activities Report and 5B Cashflow - March 2022

QUARTERLY REPORT

FOR THE PERIOD ENDING

3131DeMcaermchbe2r020221

Quarter Highlights

Alligator Energy Limited ("Alligator", "AGE" or the "Company") is pleased to release the 31 March 2022

Quarterly Activities Report.

Uranium

• • Assay results from Phase 1 sonic core drilling program confirm high-grade uranium over anticipated intervals within the Blackbush resource (Samphire Uranium Project).

• • Phase 2 drilling (39 rotary-mud holes) was completed within the Blackbush resource with 88% of holes returning Prompt Fission Neutron (PFN) estimated U3O8 grades exceeding a cut-off grade of 250 ppm in 5-20m thick permeable sand-dominated horizons.

• • Consistent high-grade zones identified at Blackbush trending to the north and west where historical drilling is relatively sparse which provides the opportunity to extend the existing resource.

• • PFN was specifically utilised in Phase 2 drilling to increase confidence in the re-estimation of the JORC compliant resource at Blackbush and tie in resource data from historical drilling.

• • AGE has secured the services of Daishat Geodetic Surveyors to undertake a ground gravity survey at the Nabarlek North project.

• • Preliminary 2D seismic interpretations at Big Lake yield vastly improved definition and broaden the exploration range to much deeper than initially envisaged.

Energy Minerals

• • Planning for a ground EM and Drone Magnetics survey over key Piedmont project licences continues to progress with newly identified experienced contractors.

Corporate

• • As of 7 February 2022, Alligator Energy's addition to the Solactive Global Uranium and Nuclear Components Total Return Index (SOLURANT Index) became effective.

• • A total of 272.4M Bonus Options were issued to eligible Shareholders, with 182.8M of these Bonus Options exercised. These Bonus Options raised $8.2M in additional funds.

• • Cash balance at quarter end of $27.7M.

Plans for the forthcoming quarter

• • Recruitment for a Principal Geologist has commenced to lift focus and work effort on enhancing the Blackbush resource.

• • AMC consultants secured to undertake the JORC compliant re-estimation of the Blackbush resource in late May-June, targeting a higher cut-off grade in the ISR amenable core of the previous global Blackbush resource, and including improving a portion of the resource confidence level from inferred to indicated.

• • Australian Nuclear Science and Technology Organisation (ANSTO) to commence uranium leach and ion exchange (IX) extraction test work on ISR amenable Blackbush mineralisation.

• • Scoping study to follow once resource re-estimation and ANSTO test work is completed.

• • Commencement of State/Federal Government approvals for a Retention Lease to allow for a future Field Leach Trial at Blackbush.

• • Heritage Survey to enable access to areas outside of the current Blackbush resource area for further drilling.

• • Continued planning for Nabarlek North (Alligator Rivers) work program targeted for mid-2022 including program meeting with indigenous groups planned for June.

• • Continue Piedmont Project potential strategic investors discussions whilst at the same time finalising plans for the proposed geophysics surveys in the European summer.

• • Piedmont field trip using in-country team to map and sample recently accessible lower altitude sites at the Isola prospect (currently in application).

• • Preparation of a detailed 3D model of the near-surface geology at Big Lake Project to enable effective future drill targeting.

• • Continue to pursue future uranium opportunities and projects in AGE target regions

Uranium Market

• • Spot uranium price ends the quarter at US$58 per lb, with the long term price reported at between US$48 and 50 per lb

• • The threat of US / Russian sanctions on uranium and enriched uranium product has driven the spot price of uranium to new highs. However there has yet to be any legislative forcing of this, with US nuclear utilities seeming to voluntarily reduce their deliveries from Russia wherever possible.

• • The UK has announced plans to construct a number of new nuclear reactors, as well as supporting the Rolls Royce SMR development.

• • South Korea has submitted a bid for the construction of six new nuclear plants in Poland.

Exploration

Samphire Project, South Australia

Sonic Core Drilling (Phase 1 drill campaign)

Drilling and geochemical sampling of 14 sonic core holes was successfully completed within the reporting period, targeting known uranium-bearing zones in the high-grade western portion of the Blackbush resource area (Figure1). Results verified high-grade uranium grades over anticipated intervals with assays returning exceptional results from 4 holes thus far (BBS21-001, 002, 003 & 004) with U3O8 and grade thickness (GT1) highlights including:

0.5m minimum thickness, >0.025% U3O8 (250ppm U3O8), internal dilution 1.0m

Hole ID: BBS21-	Metres @ U3O8 %	U3O8 ppm	Depth from (m):	GT
001	9.50m @ 0.240%	2,353 ppm	71.00	22,353
002	6.60m @ 0.204%	2,130ppm	65.00	14,058
003	4.32m @ 0.165%	1,651ppm	72.45	7,132
004	8.00m @ 0.134%	1,182ppm	62.00	9,456

Figure 1: Blackbush resource area recently completed sonic core drillholes (red), rotary mud holes (blue) and historic drillhole locations (grey).

Mineralisation is hosted in sequences of coarse to fine-grained sands, with minor clay zones directly overlying granite basement, supportive of ISR amenability. A subset of samples from these zones have been submitted to ANSTO (Sydney) who will undertake uranium leach and ion exchange (IX) extraction test work.

1

GT= grade(ppm) x thickness(m) - divide by 10,000 for m% GT

As further assay results from sonic cored holes have been received, they will be evaluated along with core logs and adjacent historical drilling and results announced to the market.

Rotary-Mud Drilling (Phase 2 drill campaign)

Hole ID: BBRM22-	Metres @ pU3O8 %	pU3O8 ppm	Depth from (m):	GT 2
021	3.44m @ 0.854%	8,540	56.68	29,068
026	4.00m @ 0.706%	7,060	63.00	28,240
020	4.24m @ 0.414%	4,140	61.23	17,554
034	4.35m @ 0.313%	3,130	69.10	13,616
025	1.45m @ 0.851%	8,510	64.50	12,340
017	1.40m @ 0.954%	9,540	54.00	13,356
and	2.35m @ 0.313%	3,130	72.50	7,335
038	5.50m @ 0.210%	2,100	59.50	11,550
003	2.40m @ 0.391%	3,910	54.00	9,384
029	1.25m @ 0.674%	6,740	68.40	8,425
039	1.70m @ 0.428%	4,280	67.80	7,276
010	1.90m @ 0.336%	3,360	69.70	6,384
and	1.65m @ 0.426%	4,260	73.25	7,029
033	5.75m @ 0.109%	1,090	69.90	6,268
008	2.05m @ 0.280%	2,800	61.10	5,740
014	2.70m @ 0.182%	1,182	55.25	4,914
011	0.95m @ 0.480%	4,800	73.25	4,560

A 39-hole infill rotary-mud drilling program commenced after completion of the sonic core drill program in the high-grade area of the Blackbush deposit (Figure 1). Holes were downhole logged with PFN, 3-arm caliper, resistivity, neutron porosity and natural gamma. Initial observations from this program combined with those from the sonic core are that 1 to 3 horizons of higher-grade mineralisation occur within permeable sand-dominated horizons at 55-80 metres depth, all of which are potentially amenable to ISR extraction. Thickness of mineralisation varies between 0.5 to 6.0 metres depending on its location within host Samphire paleochannel.

In total, 88% of completed2 rotary mud holes provided PFN U3O8 results (pU3O8) greater than the nominated cut-off grade of 250ppm which has highlighted the presence of a consistent north-south high-grade zone trending to the west where historical drilling is relatively sparse (Figure 2). Some of the outstanding results are presented in Table 1 below and in Figure 2.

Table 1 - Significant PFN results from the rotary mud drilling campaign

0.5m minimum thickness, >0.025% pU3O8 (250ppm pU3O8), internal dilution 0.25m

2 Of the 39 holes completed, 4 holes (BBRM22-009, BBRM22-028m BBRM22-032 & BBRM22-035) were abandoned due to lost circulation within the overlying cover sequence (Melton limestone).