Variscan Mines Limited announced assay results from the Phase 2 underground diamond drilling programme at its San Jose Mine, located in Cantabria, northern Spain. The Phase 2 diamond drilling programme, which has run to just under 2,000m, is achieving its primary objective of expanding the footprint of Zn-Pb mineralisation Previously un-tested 168 Trend is an area of significant high-grade mineralisation; now enhanced by the discovery of an upper level with unexploited high-grade zinc mineralisation Lower lenses now confirmed to run the whole length of known Caracoles Trend Ongoing drill results continue to be very encouraging and give Variscan further confidence of discovering additional laterally extensive, vertically stacked, mineralised lenses above and below existing mine development New assay information provides important data that will be included in the estimation of mineral resources that can potentially be exploited by a future resumption of underground operations 2022 exploration program on the Novales-Udias Project is advancing, led by the Phase 2 underground drilling which will now progress to testing step-out targets in the near-surface mine areas. Follow-on activities and deliverables include: Underground drilling of step-out targets in historic near-surface mines; Returning assay results as soon as possible for market reporting; Reporting the results of the geophysical survey of the Buenahora license area; Delivery of pending municipal approvals to undertake surface drilling covering the Buenahora license area and In support of the above activities, the delivery of associated environmental, social and governance ("ESG") initiatives.

Phase 2 drilling has expanded new zones of high-grade zinc mineralisation in the Central Zone of the San Jose Mine Discovery of upper level to 168 Trend with unexploited high-grade zinc mineralisation: DDH NOVDDT012: 4.4m @ 22.7% Zn; DDH NOVDDT011: 6.0m @ 10.2% Zn; DDH NOVDDT007: 4.0m @ 13.9% Zn and DDH NOVDDT013: 4.0m @ 6.8% Zn. Upper level vertically enlarges 168 Trend with further potential extensions above and below Future drilling expected to link-up 168 Trend with adjacent highly mineralised lenses Southerly extension of Los Caracoles Trend defined below the main gallery level: DDH NOVDD093: 11.0m @ 4.9% Zn; DDH NOVDD095: 3.0m @ 6.1% Zn and DDH NOVDD095: 5.0m @ 2.4% Zn. Lower lenses now confirmed to run the whole length of known Caracoles Trend of +300m; representing 2x enlargement since initial discovery Strong prospectivity for further extensions of stacked lenses above and below main gallery level Further assay results from underground diamond drilling are pending; encouraging zinc mineralisation observed.