Rimfire Pacific Mining (ASX: RIM, 'Rimfire' or 'the Company') is pleased to advise that assays received for the first of four diamond holes drilled at the Melrose prospect has intersected high-grade scandium (Sc) mineralisation with associated nickel (Ni) and cobalt (Co) at shallow depths within weathered ultramafic rocks, i.e.

21m @ 0.11% Ni, 0.07% Co, and 529ppm Sc, from 3 metres in FI2397 including 9m @ 0.17% Ni, 0.15% Co and 688ppm Sc from 14 metres Melrose is a prospect within the Company's Avondale JV and is located 70 kilometres northwest of Parkes within the highly prospective Lachlan Orogen of central New South Wales

Commenting on the announcement, Rimfire's Managing Director Mr David Hutton said: 'Rimfire's field team remains focussed on discovering high-value critical minerals such as nickel, cobalt, scandium, and PGEs at our projects in NSW. The latest high-grade drill result highlights the rapidly emerging opportunity at Melrose and strategically positions the Company to take advantage of the growing demand for critical minerals such as nickel, cobalt, and scandium.'

Four diamond holes (FI2397 to FI2400 - 639.6 metres, Table 1 and Table 3) were drilled at Melrose (June - July 2022) to further test a 'bullseye' magnetic anomaly that Rimfire's previous reconnaissance aircore drilling (January 2022) had shown to be coincident with ultramafic rock types overlain by a flat-lying ferruginous (laterite) zone anomalous in nickel, cobalt, and scandium (see Rimfire's ASX Announcement dated 4 April 2022). Intercepts from the aircore drilling included;

Significantly the laterite zone also contains anomalous levels of platinum (Pt) + palladium (Pd) (PGEs) up to 0.31 g/t Pt + Pd (see Rimfire's ASX Announcement dated 27 June 2022). All four diamond drillholes passed through the laterite zone before intersecting an east-dipping sequence of ultramafic rock types (pyroxenite, wehrlite, and dunite) that is fault bounded against a gabbro to east and volcaniclastic sediments to the west. The ultramafic is strongly altered (haematite - magnetite - silica) and locally serpentinised. Diamond drill hole FI2397 was specifically drilled to test the western ultramafic contact and intersected the laterite zone before passing through a strongly sheared contact between weathered pyroxenite and a mixed sequence of volcaniclastic sediments and conglomerates. High-grade scandium mineralisation together with associated nickel and cobalt was intersected within the laterite zone (see Figure 4).

Market Significance

The nickel-cobalt-scandium zone at Melrose remains open to the west and along strike both to the north and south with magnetic data suggesting that there is considerable potential to significantly increase the area of nickel-cobalt-scandium mineralisation. Given the relative lack of drilling throughout the area, Melrose is rapidly emerging as a significant critical minerals opportunity for the Company. Rimfire's drill results to date compare favorably to (with scandium grades exceeding) recent drill results announced by Sunrise Energy Metals Limited (ASX: SRL) at their adjacent Sunrise East prospect. (i.e., diamond drillhole SDD029 intersected 5.8m @ 0.31% Ni, 0.11% Co and 174 ppm rimfire@rimfire.com.au | www. rimfire.com.au | +61 3 9620 5866 Sc from 7 metres within a lateritised ultramafic) and their Sunrise Cobalt - Nickel - Scandium Deposit which has a Measured and Indicated Scandium Resource of 162.70Mt @ 76ppm scandium plus an Inferred Scandium Resource of 20.62Mt @ 283ppm scandium (Sunrise Deposit NI 43-101 Technical Report dated 25 June 2018 and Sunrise's ASX Announcement dated 20 January 2022). The scandium grade of the FI2397 drill intercept is ~7 to 9 times the scandium grade of the Sunrise Deposit's Measured and Indicated Scandium Resource and ~2 to 3 times the deposit's Inferred Scandium Resource. Scandium together with nickel and cobalt are included in the United States Geological Survey's (USGS) 2022 List of 50 mineral commodities critical to the U.S. economy and national security (USGS 2022 List of Critical Minerals) and it's important to note that the US is totally dependent on imports of scandium primarily from Europe, China, Japan, and Russia to meet its domestic needs (USGS Scandium Fact Sheet 2022). With rising geopolitical risk associated with a number of these jurisdictions, Rimfire believes that its NSW critical minerals projects are ideally positioned to take advantage of the growing demand for critical minerals such as nickel, cobalt and scandium.

This announcement is authorised for release to the market by the Board of Directors of Rimfire Pacific Mining Limited

Contact:

Investor

David Hutton

Managing Director

P: +61 417 974 843

Greg Keane

CEO CFO

Alternate Director

Ian McCubbing

P: +61 497 805 918

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