Auteco Minerals : Exceptional drill hits pave way for February Resource update

KEY POINTS

ASX: AUT

18 January 2022

ASX ANNOUNCEMENT

Pickle Crow Gold Project, Canada

only Exceptional hits of up to 35g/t pave way for February Resource Update

Results continue to point to significant increase in 1.7Moz Resource with extensions to known mineralisation in high-gradeveins as well as in areas potentially amenable to bulk mining

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• Drilling of high-grade veins outside the Resource in the Shaft 1 and Shaft 3 areas continues to deliver significant intersections, including1:

• 1. 7.3m @ 33.3 g/t gold from 9.4m in AUDD0246
  1. 1.5m @ 35.2 g/t gold from 541.5m in AUDD0227
  1. 4.0m @ 11.0 g/t gold from 205.8m in AUDD0240
  1. 4.0m @ 6.5 g/t gold from 333.0m in AUDD0218
  1. 3.2m @ 3.4 g/t gold from 103.2m in AUDD0223
  1. 0.8m @ 13.9 g/t gold from 529.7m in AUDD0227
• Ongoing exploration targeting of Banded Iron Formation-hosted (BIF) mineralisation near Shaft 1 continues to return strong intersections, including:
• 1. 6.0m @ 5.8 g/t gold from 423m in AUDD0205
• Exploration drilling targeting BIF mineralisation ~500m south-west of Shaft 1 at the F Zone target demonstrates the significant strike potential, with the first holes drilled returning intersections of:
• 1. 25.2m @ 1.3 g/t gold from 166m in hole AUDD0228

• 1. 11.8m @ 1.6 g/t gold from 130.3m in hole AUDD0225
• All these intersections are outside of the current Inferred Resource of 1.7 Moz at 8.1 g/t gold2, and will contribute to an updated Resource estimate, which remains on track for release in February 2022
• Five diamond rigs currently drilling at Pickle Crow
• Drilling has commenced on regional targets outside the main historic mine area, with first results expected early in the June quarter

1. All drillhole intersections are downhole widths
2. For details on the Pickle Crow Resource estimate, and all future references, please refer to ASX release dated 15 July 2021

ASX: AUT	ACN: 110 336 733	Ray Shorrocks - Executive Chairman
T: [phone]	Principal and Registered Office:	Michael Naylor - Non-Executive Director
Ground Floor	Stephen Parsons - Non-Executive Director
E: [e-mail]
W: www.autecominerals.com	24 Outram Street	Nicholas Katris - Company Secretary
	West Perth WA 6005	Darren Cooke - Chief Operating Officer	Page | 1

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AuTECO Minerals Ltd (AUT.ASX) is pleased to report more outstanding drilling results which will help underpin a Resource update set for release next month.

The latest intersections from the 50,000m drilling program underway at the Pickle Crow project in Ontario, Canada continue to extend the known mineralisation outside the 1.7 Moz Resource at 8.1 g/t gold.

AuTECO has five diamond drill rigs operating as part of its strategy to continue growing the Resource. The inventory comprises the high-grade vein Resource of 1.47 Moz at 10.1 g/t and the alteration-hosted (BIF) Resource of 240,000oz at 3.7 g/t.

In the high-grade veins, Resource expansion drilling in the Shaft 1 and Shaft 3 areas continued to return significant drill intersections that increase the known extent of mineralised structures. Results reported in this release, including 7.3m @ 33.3 g/t from just 9.4m down the hole, point to a significant increase in the Resource update scheduled for completion and release in February 2022.

Near-mine exploration for alteration-hosted mineralisation with bulk mining potential continues in the Shaft 1 area. A follow-up hole to the intersection reported in the ASX release dated 2 December 2021 (19.5m @ 3.3 g/t gold from 340.7m) returned an assay of 6.0m @ 5.8 g/t gold from 423m, demonstrating continuity of mineralisation. Furthermore, exploration holes drilled ~500m southwest of the Shaft 1 BIF holes intersected broad zones of mineralisation (25.2m @ 1.3 g/t gold, 11.8m @ 1.6 g/t gold) in a target area called the F Zone.

Drilling has commenced on the regional exploration targets located away from the Pickle Crow mine, with testing of the south-west Powderhouse target in progress. AuTECO manages ~500sqkm of tenure in the Pickle Lake district. Results are expected early in the June quarter.

AuTECO Executive Chairman Ray Shorrocks said: "The more we drill, the more gold we find. This outstanding success rate reflects the world-classquality of the Pickle Crow mineralised system.

"These latest results contain mineralisation well outside the current 1.7Moz Resource, which shows the size of the geological system.

"In addition, the promising results in the alteration-hosted mineralisation continue to validate our concept of establishing higher and lower-grade areas which can be mined using different methods but would take advantage of the same access infrastructure.

"AuTECO remains fully funded to continue the exploration and growth campaign".

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ABOUT THE EXPLORATION PROGRAM

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Following the success of the previous 45,000 metre drill campaign that delivered a 71% increase in the Inferred Resource to 1.7 million ounces of gold at a grade of 8.1 g/t, the board of AuTECO approved an additional 50,000 metres of drilling in June 2021. The dual strategy of driving near- mine Resource growth combined with early-stage exploration targeting will continue to be the focus of the drilling program (Figure 1). A Resource update as at 31 December 2021 is scheduled for completion and release in February 2022.

To date 36,440m of the program has been completed for 80 drill holes. A fifth rig has recently commenced on site to take advantage of favourable drill access conditions during the Canadian winter. The additional rig also ensures that the 50,000 metre program is on track to conclude in Q1 2022 despite the delays in July-August 2021 due to wildfire risk.

Assay turn-around is variable, with the average 3 month rolling average 24 days. This is significantly ahead of industry standards for assay turnaround time in both Canada and Australia at present. Complete assays have been returned for 56 holes in the program, with partial assays received for 14 holes. Assays are yet to be received for a further 10 holes.

Figure 1: Current AuTECO strategic work plan and key objectives from July 2021 until the scheduled release of the year end Resource update in February 2022. Please note that timeframes are indicative.

EXPLORATION AND GEOLOGICAL DETAIL

Deposit Overview

Geological Setting

The Pickle Crow deposit is located in the Uchi-Birchsub-province of the Archean aged Superior Craton (Figure 2). AuTECO manages approximately 500 square kilometres of tenure in the northern Pickle Lake greenstone belt (Figure 3).

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The Pickle Crow deposit is a typical Mesothermal narrow-vein high grade Archean orogenic gold deposit, with mineralised veins present within local structures formed within a broader Riedel shear zone.

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Figure 2: Location of the Pickle Crow deposit within the Uchi sub-province of the Superior Craton, Ontario, Canada

Figure 3: Geology and mining claims managed by AuTECO in the northern Pickle Lake greenstone belt. Note all work has been conducted by AuTECO to date is within the orange box.

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Mineralisation and Historic Production

There are two main styles of mineralisation (Figure 4) at the Pickle Crow deposit:

• Quartz vein hosted mineralisation
• Alteration hosted mineralisation (BIF or Porphyry)

Mining at the Pickle Crow deposit between 1935 and 1966 produced 1.5 Moz of gold at a head grade of 16.1 g/t. The historic production was sourced entirely from the vein-style mineralisation, mined from more than 10 individual quartz reefs.

To date >30 individual veins have been identified proximal to underground shaft infrastructure (Shaft 1, Shaft 3, and Albany Shaft).

Exploration results in this report have been grouped based on proximity to the main historic shafts.

Figure 4: Summary of mineralisation styles at the Pickle Crow gold deposit

Mineral Resource

The Inferred Mineral Resource for the Pickle Crow project as at 30 June 2021 is 6.6Mt @ 8.1 g/t for 1.7Moz of gold (Table 1). The reported Resource was subdivided based on the mineralisation style.

Table 1: Inferred Mineral Resource estimate for the Pickle Crow deposit as at 30 June 2021

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