Alvo Minerals Limited announce new assay results from its ongoing extensional diamond drill program at the C3 prospect, within the Palma Project ("Palma" or "the project") located in Central Brazil. The Company has completed a total of 16,790m of diamond drilling from listing in October 2021 and has now resumed drilling after a short break over the festive season. Phase 2 drilling at C3 is aiming to expand the existing Palma Project MRE of 4.6Mt @ 1.0% Cu, 3.9% Zn, 0.4% Pb & 20g/t Ag.

Phase 2 drilling follows an exceptional Phase 1 drill program that delivered high-grade Copper and Zinc in thick VMS intercepts. Phase 1 and initial Phase 2 drill results continue to exceed expectations on grade and thickness when compared to the existing JORC 2012 MRE that used historical drilling only. Phase 2 diamond drilling has resumed following a brief breakover the festive period and is focused initially in and around the C3 cluster, testing extensions to the high-grade VMS mineralisation defined at the C3 deposit and several new prospects including Mafico, Ema, Pelicano and Pombo.

Phase 2 drilling is currently targeting extensions to the high-grade VMS mineralisation, predominately focusing on the down-dip extensions emerging on the south-westerly plunge orientation from the known mineralisation. The Company believes this is the most prospective orientation extension defined to date. Down-Hole Electromagnetic surveys (DHEM) at C3 have highlighted conductive plates associated with the mineralisation and demonstrate the potential to significantly expand C3 mineralisation.

The interpretation of the DHEM is proving to be a valuable tool and is assisting with the extensional drilling. Existing EM plates extend several hundred metres below the existing resource and the Company believes the extensions of these EM plates at depth are related to the mineralisation. Broad and high-grade mineralisation intersected and reported in this release include intersections approximately 50m down-dip of the existing limits of the MRE.

Significant results include: PD3-059: · 14.2m @ 3.0% CuEq (1.1% Cu, 6.1% Zn, 0.2% Pb, 12g/t Ag & 0.04g/t Au) from 228m · Inc. 4.8m @ 7.3% CuEq (1.8% Cu, 16.8% Zn, 0.4% Pb, 24g/t Ag & 0.1g/t Au) from 237m PD3-065: · 13.0m @ 1.5% CuEq, (1.0% Cu, 1.8% Zn, 0.1% Pb, 8g/t Ag & 0.02g/t Au) from 333m · Inc. 4.7m @ 3.1% CuEq (1.9% Cu, 4.6% Zn, 0.31% Pb, 21g/t Ag & 0.05g/t Au) from 340m · 14m @ 1.7% CuEq, (0.7% Cu, 3.3% Zn, 0.2% Pb, 10g/t Ag & 0.03g/t Au) from 376m · Inc. 5.3m @ 3.6% CuEq (1% Cu, 8% Zn, 0.5% Pb, 25g/t Ag & 0.05g/t Au) from 379m. Holes PD3-062 and PD3-063 were targeting the down-dip extension of the main zone and returned only unmineralised iron sulphides within a broad alteration zone. The alteration included many of the minerals associated with the known mineralisation which is encouraging for DHEM to identify extensions to high-grade VMS mineralisation.

Once DHEM is completed, more drilling undertaken to test further extensions. These first results reported from the Phase 2 exploration program follow the exceptional Phase 1 drill results that both confirmed, enhanced and extended mineralisation defined by historic results. Some of the most significant results from Phase 1 drill program include1: PD3-001: · 25.0m @ 6.3% CuEq (1.8% Cu, 14.1% Zn, 0.2% Pb, 17g/t Ag & 0.11g/t Au) from 187m · Inc. 9.0m @ 8.2% CuEq (2.9% Cu, 17.2% Zn, 0.3% Pb, 20g/t Ag & 0.09g/t Au) from 198m PD3-007: · 23.2m @ 5.5% CuEq (3.3% Cu, 8.1% Zn, 0.3% Pb, 31g/t Ag & 0.12g/t Au) from 259m · Inc. 10.6m @ 10.1% CuEq (6.3% Cu, 14.8% Zn, 0.2% Pb, 40g/t Ag & 0.23g/t Au) from 267m PD3-012: · 36.0m @ 4.2% CuEq (1.5% Cu, 8.6% Zn, 0.3% Pb, 19g/t Ag & 0.04g/t Au from 285m · Inc. 14.1m @ 6.5% CuEq (1.7% Cu, 14.8% Zn, 0.4% Pb, 27g/t Ag & 0.04g/t Au) from 306m PD3-014: · 16.0m @ 6.4% CuEq (1.8% Cu, 14.2% Zn, 0.4% Pb, 21g/t Ag & 0.04g/t Au from 252m · Inc. 7.4m @ 9.8% CuEq (2.2% Cu, 23.1% Zn, 0.6% Pb, 30g/t Ag & 0.06g/t Au) from 259m.

The Phase 2 diamond drill program at C3 is scheduled to be completed during the first half of CY2023, when the Company will consider the preparing an updated JORC 2012 MRE for the Palma Project. Results have been received from initial holes at the recently identified Mafico and Ema prospects, which form part of the cluster of VMS prospects in proximity to C3. At Mafico, 3 holes (PDF-0572, 058, 060, 061) targeted multiple conductors located to the east of C3.

Drilling confirmed semi-massive and disseminated unmineralised iron sulphides near the target zones which were defined by the FLEM surveys and geological mapping. Additional DHEM surveys of these holes was carried out to look for potential off-hole conductors, but the Company is satisfied the drilling adequately tested these targets. Also at Mafico, the long, N-S oriented conductor located closer to C3 has yet to be adequately tested- drillhole PDF-072, completed in late 2022, targeted a combined IP and FLEM anomaly in this location.

The drillhole did not reach the targeted FLEM conductive plate and additional drilling is planned to test this high priority target. Drilling will commence once the DHEM survey has been completed and interpreted along with the assay results which are keenly awaited. The Ema prospect located to the west of C3 was targeted with several holes, only one of which (PDE-070) has received any assay results received to date.

The hole targeted the strong EM conductor historically named C3 west. Unmineralised semi-massive iron sulphides were intercepted in PDE-070. Additional holes have been completed at Ema following DHEM which indicated an off-hole EM conductor, results are pending.