North Kimberley Diamond Project

Target 1805

Target 1805 is a 1.7 km long linear feature defined by the presence of kimberlite indicator minerals including diamonds, topographic lows as well as gravity and magnetic anomalies. 1805 was drill tested with 5 holes in three locations over approximately 700 m.

Kimberlite was intersected in all five holes with the widest intersection encountered in drill hole RC19-04 between 32 m and 43 m. RC19-04 was drilled at an inclination of -60 degrees. Kimberlite intersections from a second hole, RC19-05, drilled from the same location indicate that the body is vertical and has a true width of approximately 5 m.

The eastern end of Target 1805 is located approximately 1 km from kimberlite 1804 which is associated with a similar linear feature. Data suggests that the two features may be part of a system that is continuous over 3.1 kms.

Target 1826

Target 1826 is characterized by a well-defined KIM dispersion that exhibits a KIM cut-off in proximity to a discreet circular magnetic anomaly. This relationship is consistent with other known kimberlites. 4 holes were rc-drilled in 2019. Kimberlite was intersected over a 3 m interval between 41 m and 44 m. No kimberlite was intersected in the other three holes.

Target 1804

In 2019, one hole was drilled at kimberlite 1804 with the purpose of obtaining a better understanding of the body geometry and size, testing for additional lithologic units or phases, and gaining a better understanding of how the observed geophysical signature relates to the body.

53 m of kimberlite was intersected from a depth of 132 m to 185 m. A reinterpretation of the geophysical signature suggests the dimensions of the 1804 kimberlite are 40 m by 125 m. Geochemical testing and indicator work will be completed to determine if new kimberlitic units were intersected.

Kimberlite was initially discovered at target 1804 in 2018 during the Company’s maiden drill program on the North Kimberley Diamond Project. The target is defined by coincident magnetic and gravity anomalies as well as indicator minerals, including one diamond, recovered in historical* loam. The kimberlite breccia is characterised by xenoliths derived from the local volcanic and sedimentary sequence. Laboratory age dating analysis shows that 1804 is 600Ma younger than its nearest neighbours, the Ashmore and Seppelt kimberlite fields.

Laboratory analysis concludes that 1804 displays textures and physical properties typically associated with kimberlite pipes. Additional drilling and petrographic work will be required to definitively determine the geometry and nature of the body. The Company believes its understanding of the characteristics of target 1804 will provide guidance to further kimberlite discoveries in 2019.

Target 0702

Target 702 is defined by an occurrence of apparent (weathered) kimberlite boulders from which diamonds and indicator minerals with high-interest chemical compositions have been recovered.

Locating the source of the apparent kimberlite boulders is a high priority for Lithoquest Diamonds. Work completed at the target in 2018 included ground geophysical surveys, loam sampling as well as the collection of surface and sub-surface rock samples. All samples have been submitted for laboratory analysis and results are expected in Q4, 2018.

****

• The results are historic in nature and have not been validated, thus they are not necessarily indicative of potential results relating to any future exploration activities on the property. Mr. Bruce Counts, CEO of Lithoquest and a Qualified Person as defined by NI 43-101, has reviewed and approved all information on this page.