GBM Resources : Drilling Commences at Malmsbury Project

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ASX Announcement	ABN 91 124 752 745

17 December 2021

Drilling Commences at Highly

Prospective Malmsbury Project

KEY

• Phase 1 diamond core drilling program commenced at the highly prospective
  Malmsbury JV in the central Victoria Goldfields, 50 km SSW of the high-gradeFosterville gold mine testing a series of structural/lode and intrusion related gold (IRG) style targets.
• The Malmsbury Project is under-exploredand highly structurally complex, with multiple orientations of high-grademineralisation and in excess of 1,500 historic workings and old trenches.
• Key drilling program objectives; intersection of high-grade lode-stylemineralisation on previously untested reefs, testing of IRG potential at depth below Belltopper Hill, resource expansion and core for metallurgical testwork on the Leven Star deposit.
• Current JORC (2012) Mineral Resource estimate at Leven Star is 820 kt at 4.0 g/t Au for 104,000 ounces gold.
• Approximately 1,670 metres of drilling is planned on Belltopper Hill and 1,000 metres on the Drummond North goldfield.

GBM Managing Director and CEO, Peter Rohner, commented: "We are excited to finally be back drilling at the highly prospective Malmsbury Project with our JV partner Novo Resources Corp. and looking forward to completing a safe and environmentally sound program with assays flowing in early 2022"

GBM Resources Limited (ASX: GBZ) (GBM or the Company) advises that it has commenced Phase 1 of the diamond core drilling program at the Malmsbury Project JV in central Victoria Goldfields. The Malmsbury is subject to a Farm In and Joint Venture agreement with Novo Resources Corporation (GBM 50%, Novo 50%)

The Phase 1 program is designed to drill a series of gold targets on Belltopper Hill including high-grade shoot extensions on the Leven Star resource, previously untested historically mined gold lodes, high- grade soil and rock-chip anomalous zones, and the newly discovered auriferous intrusive unit ("Missing Link Monzogranite").

In total, 1,670 metres of diamond drilling is planned for Belltopper targets. Another ~1,000 metres is proposed for drilling to test below the main centres of production on the Drummond North goldfield located south of Belltopper Hill. These holes are in the planning stage and will follow immediately after the Belltopper program.

Drilling has commenced at the south west end of the Leven Star lode. Five holes will test significant up- dip continuation in the resource (up to 100 m untested below surface) and down dip below high grade intersections on the main lode for resource extension and metallurgical testwork purposes. The current JORC (2012) Mineral Resource estimate for Leven Star is 820 kt at 4.0 g/t Au for 104,000 ounces gold

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which incorporated a number of high-grade intersections including 4.1 m @ 13.1 g/t Au from 66.3 m in historical drill hole LSDDH8.1

The Belltopper program will also test for the first time beneath the cluster of Never Despair workings on the north side of the hill and the northern extension of the Missing Link lode (see collar location plan below). GBM and Novo mapped and sampled the Never Despair system in detail, defining a complex and broad 'horsetail' zone of multiple mineralised structures, and returning consistent high-grade gold in dump samples with associated Sb-As.

The final hole of the Phase 1 component on Belltopper will test the Missing Link Monzogranite IRG target, identified for the first time by GBM/Novo geologists during the mapping and sampling program. The greisen-altered unit has been traced for more than 400 m and displays intense greisen-style alteration and disseminated sulphide mineralisation with gossanous textures locally. Intense UST segregation textures indicate the top of the system is exposed at surface and a sheet quartz vein network is well developed in the granite (cross-cutting the UST fabric) and the surrounding host sedimentary rocks. Assaying of core previously unsampled from a historical hole that intersected the monzogranite near surface returned 23 m @ 0.46 g/t Au from 18 m (including 6 m @ 0.78 g/t Au from 31 m).1 The average gold grade of 0.5 g/t Au for the core interval is similar to the average of all surface rock samples (23) collected from the granite outcrop area indicating the unit is consistently mineralised throughout.

Additional work planned for early 2022 will include completion of an extensive gold and multi-element soil program covering most of the Retention Licence area (currently underway), further mapping and rock/dump sampling and the completion of a detailed 2D/3D IP survey. The IP will be designed to detect disseminated mineralisation in quartz lode wall rocks and blind mineralisation/alteration associated with the IRG system.

Figure 1: Regional geological and tectonic setting and location of the Malmsbury Gold Project.

1 GBM ASX Announcement, 15 January 2021, Malmsbury Gold Project Update

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Figure 2: Planned Holes at Belltopper Hill - Malmsbury
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Figure 3: First hole of the 2021 drilling program at Malmsbury (Belltopper Hill)

Figure 4: Section 9970N (local grid) at Leven Star - planned (green) and existing drill holes.

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This ASX announcement was approved and authorised for release by:

Peter Rohner, Managing Director

For further information please contact:

Investor enquiries	Media enquiries
Peter Rohner	Michael Vaughan
Managing Director	Fivemark Partners
[phone]	[phone]
[e-mail]	[e-mail]

About GBM Resources

GBM Resources Limited is a mineral exploration and development company focused on the discovery of world-class gold and copper deposits in Eastern Australia. The company has a high calibre project portfolio, hosting district scale mineral systems, located in a number of premier metallogenic terrains including the Drummond Basin, Mt Morgan district and the Mt Isa Inlier in Queensland, and the Malmsbury Project in the prolific Victorian Goldfields. This is complemented by the recent acquisition of the White Dam Gold-Copper Project in South Australia in which GBM now holds a 100% interest.

COMPETENT PERSON STATEMENT

The information in the market announcement provided is an accurate representation of the available data and studies for the material mining project. The information was compiled by Neil Norris, who is a Member of The Australasian Institute of Mining and Metallurgy. Mr Norris is a holder of shares in the company and is an employee of the company. Mr Norris has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr Norris consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

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