Gold Mountain : Mt Wipi Drilling Update and Expansion of Mineralised Zone

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ASX: GMN

ASX RELEASE

22 December 2021

Mt Wipi Drilling Update and Expansion of

Mineralised Zone

Gold Mountain Limited (ASX:GMN) ("Gold Mountain" or the "Company") is pleased to provide its shareholders with an update on the company's drilling and regional exploration program at its Wabag Project.

Phil Jones, Gold Mountain's porphyry expert, stated that "In the past 6 months, the Mt Wipi Project has gone from a number of anomalous copper-molybdenum soil assays, associated with skarns and intrusives1, to a larger and growing porphyry and skarn 'corridor' of mineralised magmatic intrusives with the current area of interest having dimensions of 6.5 km x 2.5 km. Initial soil, rock chip and trenching program identified the current drill targets and drilling has shown good correlation between surface and drill results. More recent soil geochemistry has further defined the structural corridor, with the presence of high tenor intrusives and the presence of pathfinder elements giving a strong indication of multiple mineralizing events including deeper magmatic intrusives and potentially mineralised porphyries".

Highlights

• GMN initiated a drilling program at the Mt Wipi project which commenced in August 2021 to test targets identified from high grade rock chip samples (up to 9.64% copper, 1.96g/t gold and 100g/t silver2), channel samples (including 5m @ 2.57% copper, 0.53g/t gold and 33.56g/t silver3) and trenching, including MWTR0034, which intersected:

1. 37m @ 0.25% Cu, 0.24g/t Au, and 5.4g/t Ag from 6m, which includes a 22m zone from 9m which assayed 0.32% Cu, 0.38g/t Au, and 7.7g/t Ag

1. 62m @ 0.18% Cu, 0.20g/t Au, and 4.65g/t Ag from 145m, which includes a 26m zone from 145m which assays 0.29g/t Au, 0.28% Cu and 6.7g/t Ag

1. Skarns are high temperature silica, carbonate, iron altered sediments and intrusives are magmatic rocks including diorites and potential mineralised porphyry
2. First reported in ASX Announcement of 22nd September 2020, 'Outcrop Samples from the Recently Granted Mt Wipi Tenement highlight the Prospectivity of the Area". Competent Person: Mr Patrick Smith
3. First reported in ASX Announcement of 20th January 2021: 'Significant Results at Mt Wipi affirm Gold Mountain's multiple target strategy, Competent Person: Mr Patrick Smith
   4First reported in ASX Announcement of 9th September 2020, 'Successful Trenching at Mt Wipi Highlights Porphyry Prospectivity," Competent Person: Mr Patrick Smith

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• 1. These zones are being tested by MWD005, which is currently being drilled
• As of the 17th of December, four holes (MWD001 to 004 totalling 1,110m) have been completed at the Mt Wipi Prospect with a fifth hole, (MWD005) currently being drilled and is at a depth of 244m
• Assay results from MWD001 and 002 both show evidence of strong alteration with associated elevated copper mineralisation to 0.33% Cu in MWD001 over a 1m interval, and gold to 0.31g/t Au, silver to 30g/t Ag and molybdenum to 151ppm intersected in MWD002, again over 1m intervals
• All the holes that GMN have drilled to date have encountered alteration associated with sulphides, predominantly in the form of pyrite with trace to 1.0% chalcopyrite intersected in all the holes
• Holes MWD001, MWD002 and MWD004 intersected skarn style alteration within highly hornfelsed sediments containing, garnet, diopside, silica, epidote and carbonates associated with pyrite
• Hole MWD003 intersected an altered diorite with fracture controlled and micro quartz sulphide veined mineralisation, with chalcopyrite and molybdenum observed
• Hole MWD005 exhibits strong alteration and fracturing with pyrite sulphides disseminated in the skarn matrix and in small veins and fractures
• Further exploration undertaken concurrently with the drilling has continued to grow the prospective footprint at Mt Wipi with additional skarns and potential porphyry intrusives being defined along strike and to the north of the current drilling
• Continued exploration work at the Mt Wipi prospect has extended the mineralised corridor to approximately 6.5km by 2.5km (previously reported as 3 km by 1.0km5) and has yet to be closed off
• GMN has identified two new prospects in this corridor identified as the Kandum Prospect and the Anwan Prospect
• The Kandum prospect is located on the eastern flank of Mt Wipi and is a strong aeromagnetic high with coincident skarns, magnetite alteration and patchy veined hornblende diorite which has been observed in outcrops
• The Anwan Prospect is located 400m NW of the Mt Wipi Main Exploration Camp where skarn mineralization has been sampled over a 7m channel, containing individual channel samples assaying up to 8.66% Cu, 1.46g/t Au and 34.9g/t Ag
• Ridge and Spur sampling has commenced in the area and strongly oxidized skarns have been identified to the immediate SW of Kandum at the Pully prospect on the southern flank of Mt Wipi

5 First reported in ASX Announcement of 20th January 2021: 'Significant Results at Mt Wipi affirm Gold Mountain's multiple target strategy, Competent Person: Mr Patrick Smith

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Mt Wipi Drilling Program

Drilling commenced at Mt Wipi in August 2021, and as of 29 November, four holes (MWD001 to MWD004) have been completed for a total of approximately 1,110m. The drill rig is currently drilling a fifth hole (MWD005) which should be completed in early 2022.

The drill hole parameters for the Mt Wipi program are detailed in Table 1 and the drill hole locations are shown in Figure 1.

Figure 1. Mt Wipi Prospect Drill Hole location map

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Table 1. EL2632 - Mt Wipi, drill hole parameters

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	Hole No.			Easting			Northing			RL			Dip			Azim			Depth
	MWD001	799,154		9,734,487		1,616		-60		90		203.4
	MWD002	799,358		9,434,786		1,434		-60		131		235.8
	MWD003	799,312		9,433,717		1,501		-60		350		348.0
	MWD004	799,312		9,435,087		1,245		-60		315		324.0
	MWD005*	799,189		9,434,583		1,569		-55		105		244.5*

*Drilling still in progress

MWD001 to MWD003 were drilled to test the Northwest copper - molybdenum and gold anomaly where a distinct copper + molybdenum and gold in soil anomaly was identified by a -80 mesh soil program6 followed up by anomalous results in trench MWTR003. The copper in soil anomaly has dimensions of 1000m x 500m and contains values up to 0.29% Cu, 0.5g/t Au and 37ppm Mo.

Hole MWD001 intersected an oxidised skarn, intruded by various diorites and intermediate dykes and a number of structures. Assay results from this hole returned an 8m section which averaged 0.20% Cu from 69m7, Figure 2. Gold assays were above detection limits in the top 110m of the hole, ranging from 0.05 to 0.086g/t Au indicating the system has been subjected to mineralising fluids.

1. First reported in ASX Announcement of 19th May 2021, 'Drill Targets Identified at Mt Wipi". Competent Person: Mr
   Patrick Smith
2. Intercept calculated using a 0.10% Cu cut-off grade with 1m of internal dilution

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Figure 2. MWD03 zone from 72m to 77m assays 5m @ 0.22% Cu

MWD002 intersected a variably altered feldspar diorite which has intruded into strongly altered calc-silicate sediments which contain evidence of skarn mineralisation with the hole intersecting anomalous copper ranging up to 407ppm Cu, with the entire hole averaging 142ppm, copper. Gold to 0.30g/t was recorded in a 1m interval from 74m, and moderately anomalous silver recorded over 14m @ 6.14g/t from 2m in MWD002,with the silver interval coincident with an interpreted NE cross cutting structure. Anomalous molybdenum was also recorded in the hole, with the highest result returned being 151ppm Mo from 77m. MWD002 is mineralised, and it is evident that the area has been subjected to fluids from an intrusive which have resulted in pervasive alteration and localised mineralisation.

Significant assay results for MWD001 and 002 are included as Tables 1 and 2 in Appendix 1.

MWD003 intersected a micro-diorite which is strongly altered and fractured. Chalcopyrite to 1% and associated molybdenum have been observed on fracture surfaces and micro quartz sulphide veinlets, Figures 3, 4 and 5. The fracture density seen in MWD003 increased downhole with

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