AuKing Mining Limited Prospectus

A U K ING M INING L IMITED I NDEPENDENT T ECHNICAL A SSESSMENT R EPORT – W ESTERN A USTRALIAN M INERAL A SSETS CSA Global Report Nº R278.2020 Section 3: Estimation and Reporting of Mineral Resources (Criteria listed in section 1, and where relevant in section 2, also apply to this section) Criteria Commentary Database integrity Drillhole data is captured in a relational database “ARMAIN.mdb”, prepared and maintained by AAR, which contains relevant information for drillhole collars, drill samples, assays, downhole surveys and density data. Other information also provided relates to soil sampling, termite mound sampling, structural geology, and magnetic susceptibility. No records are available regarding procedures followed by AAR in the preparation and maintenance of the database. Drillhole data tables were imported into Datamine software by CSA Global during the preparation of the Mineral Resource estimates between 2006 and 2009, with many database issues noted which were reported to AAR for resolution. All issues were resolved by AAR prior to CSA Global progressing with the Mineral Resource estimates. Coffey Mining (Coffey) updated the Mineral Resource estimate in 2010 and imported drill data from the database at the time. Coffey noted a few issues, but all were readily resolved prior to the Mineral Resource estimate. The Competent Person considers the database integrity to be appropriate to support the reporting of a Mineral Resource. Site visits The Competent Person (Mineral Resources) has not visited the Koongie Park project. Alternate personnel from CSA Global visited site during 2006 as part of managing the drilling program. The CSA Global geologists carried out daily inspections of the drilling rig and associated sampling equipment, supervised the sampling programs, geologically logged all RC chips and diamond core, including relogging of historical drill samples, and geologically mapped the project area. All work conducted was to industry standards and the Competent Person is satisfied all geological work carried out can be used to support the Mineral Resource. Geological interpretation The Competent Person regards the geological understanding of the Sandiego deposit to be of a high standard, with regards to the quantity and quality of drill sampling and geophysics supporting the geological interpretations. Surface geological mapping and geological logs of diamond drill core, and RC chips, along with sample assays were all used to assist with the geological interpretation. Alternative interpretations were not considered, with the interpretation as used considered to best represent the geological knowledge of the deposit. The geological models control the interpolation of the grades into the resource model to prevent smearing of grades into the country rock. Mineralisation is hosted within both the weathered and fresh rock profiles, and the continuity is determined by the proto-mineralogy within the supergene profile, and lithology and structural controls within the primary rock profile. Supergene mineralisation at Sandiego is well developed as the bulk of former primary mineralisation is located in the oxidised and transition zones. In particular, copper seems especially prone to supergene enrichment as reflected by the range of secondary copper minerals recorded at Sandiego. The bulk of primary mineralisation is associated with the carbonate zone. There is also a strong structural control on mineralisation, and it appears to be concentrated in the core and limbs of the fold structure with some degree of remobilisation. The geological interpretation was guided firstly by geology, and secondly by grade envelopes to constrain mineralisation. Zinc domains were based upon a lower cut-off grade of 1% Zn, and below the top of fresh rock (TOFR) interface; copper domains were based upon a lower cut-off of 0.4% Cu. Up to 2 m of internal dilution was permitted during the interpretation of the mineralisation domains. Some overlap of the zinc and copper zones occur. Six zones of copper mineralisation were modelled within the primary rock zone, and two within the supergene zone, straddling the transitional and oxide weathering zones. Five zinc domains were modelled within the primary zone. Geological interpretations were provided by AAR prior to preparation of the Mineral Resource. Dimensions The Mineral Resource extends along strike 350 m, across strike by 70 m and has a depth extent below surface of 650 m. 6. Independent Technical Report continued 134