Bastion Minerals : Financial Statements for the year ended 31 December 2021

ASX ANNOUNCEMENT

31 March 2022

Financial Statements for the year ended 31 December 2021

31 March 2022

ASX Markets Announcement Office Exchange Centre

20 Bridge Street Sydney NSW 2000

BY ELECTRONIC LODGEMENT

Financial Statements for the year ended 31 December 2021

Please see attached for release to the market, Bastion Mineral Limited's (ASX:BMO) Financial Statements for the year ended 31 December 2021.

ENDS

This announcement was approved for release by the Executive Chairman of the Board of Bastion Minerals.

For more information contact

Ross Landles

Executive Chairman

E:[e-mail] M: [phone]

Bastion Minerals Limited ABN: 19 147 948 883

Level 6, 22 Pitt Street, Sydney NSW 2000

ASX:BMO bastionminerals.com

Bastion Mineral Limited

ABN 19 147 948 883

Financial Report for the Year Ended 31 December 2021

Bastion Minerals Limited Corporate directory

31 December 2021

Directors

Company secretary

Registered officeAlan Ross Landles David Joseph Nolan Andrew Lachlan Stewart Sam El-Rahim

Philip John Mackey

C/O Company Matters Pty Limited Level 12, 680 George Street Sydney NSW 2000

Principal place of business

Level 6, 22 Pitt Street, Sydney, NSW 2000

AuditorSolicitorsStock exchange listing

Website

Corporate Governance StatementErnst and Young 200 George Street Sydney NSW 2000

Addisons

Level 12, 60 Carrington Street Sydney NSW 2000

Bastion Minerals Limited shares are listed on the Australian Securities Exchange (ASX code: BMO)

www.bastionminerals.com

The directors and management are committed to conducting the business of Bastion Minerals Limited in an ethical manner and in accordance with the highest standards of corporate governance. Bastion Minerals Limited has adopted and has substantially complied with the ASX Corporate Governance Principles and Recommendations (Fourth Edition) (Recommendations) to the extent appropriate to the size and nature of its operations.

The Group's Corporate Governance Statement, which sets out the corporate governance practices that were in operation since the Company listed on ASX on 16 March 2021 (ASX Listing) and identifies and explains any recommendations that have not been followed and ASX Appendix 4G are released to the ASX on the same day the Annual Report is released. The Corporate Governance Statement along with information about the Company's Corporate Governance practices is set out on the Company's website athttps://www.bastionminerals.com/corporate-governance/.

For the year ended 31 December 2021

The directors present their report, together with the financial statements, on the consolidated entity (referred to hereafter as the consolidated entity) consisting of Bastion Minerals Limited (referred to hereafter as the Company or parent entity or Bastion Minerals) and the entities it controlled at the end of, or during, the year ended 31 December 2021.

Directors

The following persons were directors of Bastion Minerals Limited during the whole of the financial year and up to the date of this report, unless otherwise stated:

Alan Ross Landles

David Joseph Nolan Andrew Lachlan Stewart Sam El-Rahim

Ralph Nicholas Stagg (resigned 2 September 2021)

Principal activities

The principal activity of the consolidated entity is mining exploration and evaluation in Chile.

Dividends

There were no dividends paid, recommended, or declared during the current or previous financial year.

Review of operations

The loss for the consolidated entity after providing for income tax amounted to $3,078,815 (31 December 2020: $1,058,784).

The following is a summary of the activities of Bastion Minerals during the financial year to 31 December 2021. In March, the company completed an IPO on the ASX raising $5 million to fund Chilean gold, copper, and silver projects. During the year, the Company's primary focus was advancing exploration programs at its Capote Gold Project, Cometa Silver Project and Garin Silver Project located within the mineral-rich Atacama Region of Chile. During the year, the Company issued 37,000,000 shares.

COMPANY PROJECTS - CHILE

Capote Gold Project

The Capote Project consists of a historical high-grade gold deposit (San Juan) and surrounding tenements. Bastion Mineral's objective at Capote is to define a low tonnage, high-grade gold deposit and assess the potential for high-grade copper gold deposits.

During the year, the Company entered into a Binding Framework Agreement for the execution of a Mining Purchase Option Contract with Sociedad Minera del Norte (SMDN) to enter into an Option to acquire 100% of the San Juan Gold Project and surrounding licences within the Capote Mining District in the Mineral-rich Atacama Region of Chile (Figure 1).

The San Juan Gold Project comprises a package of 18 Mining Licences, comprising approximately 11.5km2. All newly acquired tenements are strategically located in within the Company's Capote Mining District and includes the high-grade San Juan, Resurgemento and Yayito veins systems.

For the year ended 31 December 2021

Figure 1 - Capote Mining District

Work completed at Capote during the year consisted of foundational geological, geochemical, and geophysical data collection aimed at ensuring effective and efficient drill targeting.

Detailed geological mapping and rock chip sampling were undertaken in numerous campaigns. At total of 720 rock-chips and channel samples were collected throughout the year. These rock-chips highlighted extensive high-grade gold mineralisation throughout the lease and provided an insight into potential iron oxide copper-cold (IOCG) style mineralisation. The average gold grade of these 720 rock-chips was 1.47g/t Au with a maximum grade of 33.6g/t Au (Figure 2). The average copper grade of these 720 rock-chips was 0.12% Cu with a maximum of 5.53% Cu.

To support this geological and geochemical data, detailed geophysical surveys have been completed during the reporting period. High resolution airborne and ground-based magnetics have been acquired. This data has been inverted into 3D models which allow the surface expression of mineralisation to be projected to depth. Induced polarisation and AMT data has also been collected over the San Juan, Resurgimiento and Yayito prospects. This data images the distribution of chargeable minerals such as sulphides, which often corelate with mineralisation. These datasets have been combined into detailed 3D geophysical models which assist in accurate drill targeting.

A drill program of approximately 5000m of diamond drilling has been planned for Capote, targeting extensions to existing high-grade gold vein and new unmined targets throughout the lease. Environmental approval processes are underway, and drilling is slated to commence in Q2, 2022.