Medallion Metals : Strong Results at Gem Ahead of Global Resource Upgrade

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15 March 2022

ASX:MM8

Strong Drill Results Continue at the Gem Deposit Ahead

of Global Resource Upgrade

• New drilling extends and improves confidence in mineralised zones at Gem to the southeast and southwest
• Highlights include:

1. 9m @ 5.75 g/t Au, 0.16 % Cu, 2.16 g/t Ag from 95m (RC21KP1048) including

• 1m @ 29.1 g/t Au, 0.44 % Cu, 7.8 g/t Ag from 99m

1. 6.92m @ 4.78 g/t Au, 0.16% Cu, 1.40 g/t Ag from 93.63m (DD21KP1029) o 3.01m @ 7.35 g/t Au, 0.52 % Cu, 4.19 g/t Ag from 80.32m (DD21KP1028) o 11m @ 1.49 g/t Au, 0.32 % Cu, 1.86 g/t Ag from 109m (RC21KP952)
   o 1.96m @ 8.47 g/t Au, 0.43 % Cu, 8.48 g/t Ag from 113.16m (DD21KP1028)
   o 1.56m @ 8.08 g/t Au, 0.71 % Cu, 14.99 g/t Ag from 51.34m (DD21KP1027) including
2. • 0.45m @ 27.8 g/t Au, 0.32 % Cu, 25.3 g/t Ag from 51.85m

• 1. 0.3m @ 44.9 g/t Au, 0.34 % Cu, 11.6 g/t Ag from 75.45m (DD21KP1028) o 7m @ 1.15 g/t Au, 0.11 % Cu, 1.23 g/t Ag from 113m (RC21KP1048)
• Mineralisation remains open along strike to the east, down-dip to the south and down- plunge to the southwest
• Mineral Resource Estimate (MRE) update targeted in April with approximately 30,000m of new drilling to be incorporated in the upgrade

Managing Director, Paul Bennett, commented:

"These are further strong results from the two key areas at Gem that we view as having the greatest upside potential in terms of extending mineralisation. The results bolster the imminent resource upgrade and importantly provide confidence to follow up with an aggressive extensional programme before the middle of the year. Gem represents half of the current resource in terms of ounces. Seeing the mineralisation open in multiple directions gives the team confidence Gem can continue to underwrite our growth toward achieving critical mass of 1.5 million ounces and beyond."

Medallion Metals Limited

S1/11 Ventnor Ave, West Perth WA 6005

www.medallionmetals.com.au

ABN 89 609 225 023

Medallion Metals Limited

ASX Announcement

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Overview

Medallion Metals Limited (ASX:MM8, the Company or Medallion) is pleased to report additional results from drilling at the Gem deposit (Gem). Gem is part of the Kundip Mining Centre (KMC) which hosts the Company's current JORC 2012 MRE of 674,000 oz1 at 2.4 g/t Au. The Gem deposit is located at the northern end of KMC within the greater Ravensthorpe Gold Project (RGP) (Figure 1). Drilling resumed at KMC in early January 2022. Medallion will continue to target the KMC deposits in the first half of 2022, in conjunction with the regional programme which includes follow up drilling at Meridian and Ariel. A global MRE update is expected to be announced in April 2022.

Figure 1: Location of Ravensthorpe Gold Project showing Gem deposit location within the Kundip Mining Centre

Gem deposit overview

An extensive line of historical small open pit and underground workings can be observed at Kaolin in the northeast then moving southwest through the Two Boys, Beryl, Western Gem and Hillsborough prospects (Figure 2) at the southwestern end of the broader Gem deposit (as it is currently defined by drilling). The 2020 Feasibility Study (FS)2 demonstrated a substantial pit would optimise at Gem (1,017m long, 526m wide and 150m deep). The Company views potential strike and depth extensions of the deposit as a compelling opportunity to add high margin ounces to the mine plan. All ongoing drilling in 2022 is targeting areas outside the current MRE with particular focus on down-plunge extensions to the southwest of Hillsborough and down- dip extensions to the south of Two Boys to delineate the high-grade structural controls to mineralisation in these areas (Figure 3).

1. Total Mineral Resources of 8.8 Mt @ 2.4 g/t Au (7.0 Mt @ 2.3 g/t Au Indicated and 1.8 Mt @ 2.6 g/t Au Inferred), Probable Ore Reserves of 4.1Mt @ 2.1 g/t Au. Refer to the Company's Prospectus announced on the ASX on 18 March 2021 for further details regarding the MRE, Ore Reserves and Competent Person's Statement.
2. Refer to the Company's Prospectus announced on the ASX on 18 March 2021 for further details regarding the FS.

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Figure 2: Plan view of Gem showing reported drillhole collar positions relative to FS Gem open pit outline.

Figure 3: Long section of the Gem deposit looking north with drill intercepts highlighted in gram x metres (greater than 0.5g/t cut-off) with reported drill hole intercepts annotated in yellow.

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Southern and easterly extensions (Section Line 'C-D')

Three diamond holes and one RC hole were completed at the eastern end of the Gem deposit to test the eastern and down-dip extensions of mineralisation. Both DD21KP1028 and DD21KP1029 targeted the lodes directly south of an historical open pit. Quartz-sulphide veins with associated disseminated sulphides, stringer veinlets and chlorite alteration, typical of KMC, were encountered hosted within both the Annabelle Volcanics and the underlying tonalite intrusive.

At the eastern extremity of Gem, DD21KP1027 also intercepted mineralisation which remains open to the east. This mineralisation was intersected within the oxidised profile with quartz veining, strong iron oxides derived from pyrite and native copper observed.

High-grade intervals include;

1. 0.3m @ 44.9 g/t Au, 0.34 % Cu, 11.6 g/t Ag from 75.45m (DD21KP1028) (Figure 6) o 0.7m @ 24.06 g/t Au, 1.31 % Cu, 10.80 g/t Ag from 80.32m (DD21KP1028) (Figure 7) o 0.33m @ 14.6 g/t Au, 1.02 % Cu, 7.8 g/t Ag from 83m (DD21KP1028)
   o 0.34m @ 11 g/t Au, 1.96 % Cu, 46.7 g/t Ag from 111.57m (DD21KP1028) (Figure 8) o 0.44m @ 34.7 g/t Au, 1.58 % Cu, 32.7 g/t Ag from 113.16m (DD21KP1028) (Figure 8) o 0.45m @ 27.8 g/t Au, 0.32 % Cu, 25.3 g/t Ag from 51.85m (DD21KP1027) (Figure 9) o 0.3m @ 11.3 g/t Au, 0.30 % Cu, 1.5 g/t Ag from 99.25m (DD21KP1029)

Figure 4: Cross section C-D looking east at Two Boys area. DD21KP1028 is shown down-dip of historical drilling. Intercepts highlighted are greater than 0.5g/t cut-off.

RC21KP976 was targeting shallow lodes further to the east and did not intersect any mineralisation.

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Figure 5: 0.3m interval grading 44.9 g/t Au from 75.45m within DD21KP1028. Geology of the interval consists of a thin 0.12m quartz vein (±5% pyrite-chalcopyrite) hosted in tonalite

Figure 6: 0.7m interval grading 24.06 g/t Au from 80.32m within DD21KP1028. Geology of the interval consists of a sulphide rich 0.22m vein (50% pyrite-chalcopyrite) hosted in andesitic volcanics.

Figure 7: Twin massive sulphide (85% pyrite,15% chalcopyrite) veins in DD21KP1028 from 111.57m and 113.16m respectively with blebby ~5% sulphides between. Veins are hosted in the tonalite.

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