Musgrave Minerals Ltd: Further High Grade Gold Intersected at Big Sky

Perth, Australia - Musgrave Minerals Ltd. (ASX:MGV) (FRA:6MU) (OTCMKTS:MGVMF) is pleased to report further strong assay results from reverse circulation ("RC") drilling at the Big Sky deposit south-west of Lena and Break of Day, on its 100% owned ground at its flagship Cue Gold Project in Western Australia's Murchison district (Figure 1*). The results are from a combination of infill and extensional drilling and highlight the high-grade and variable grade within the near-surface mineralisation along the Big Sky deposit. This drilling is the first phase of a larger program aimed at infilling and upgrading key sections of the Big Sky deposit for future resource updates and conversion from Inferred to Indicated Resource categorisation.

Musgrave Managing Director Rob Waugh said: "The latest assay results from infill and extensional resource drilling at Big Sky confirm the potential of the system to host higher grade zones and improves the confidence in the geological continuity of the deposit. A significant number of these new drill holes host mineralised intervals well above the current resource grade of the deposit. This is the first phase of a larger program at Big Sky with further drilling due to commence following completion of the current program at White Heat-Mosaic. This drilling will continue to focus on the top 120m of the Big Sky deposit with the aim to convert a significant portion of the near-surface mineralisation to the greater confidence Indicated Resource category."

Big Sky Deposit

Infill and extensional RC drilling at Big Sky, 2km south-west of Lena-Break of Day (Figure 1*) on MGV's 100% ground continues to intersect significant gold mineralisation below thin transported hardpan cover (~1-6m thick).

The Cue Project hosts a total Mineral Resource Estimate of 12.3kt @ 2.3g/t Au for 927koz contained gold with 47% of this in the higher confidence Indicated Resource category. The Big Sky deposit is a subset of this resource and hosts 4.65Mt @ 1.2g/t Au for 173koz contained gold. The Big Sky deposit is currently modelled to a maximum depth of 150m and remains open (see MGV ASX announcement dated 31 May 2022, "Cue Mineral Resource Increases to 927,000oz).

This recent drilling (55 holes for 4,981m) confirms and enhances the near-surface gold endowment along the Big Sky trend with a significant number of infill holes recording assay values above the resource grade and significant mineralisation identified outside the current Mineral Resource boundary (this drilling is not yet incorporated into the resource estimate). The current drilling was undertaken at Big Sky to infill and extend the gold mineralisation (Figures 2 to 5*) and convert Inferred resources into the higher confidence Indicated category to de-risk the open cut potential of the deposit.

Drill hole and assay details are presented in Tables 1a and 1b* with all new samples assaying above 1g/t reported in the tables.

Significant new RC drill hole assay results outside the current Mineral Resource Estimate boundary include:

- 4m @ 20.9g/t Au from 19m (22MORC159)
- 18m @ 1.6g/t Au from 9m (22MORC161)
- 3m @ 10.1g/t Au from 95m (22MORC168)
- 1m @ 17.7g/t Au from 37m (22MORC169)
- 8m @ 1.0g/t Au from 81m (22MORC174)
- 13m @ 1.3g/t Au from 49m (22MORC191)
- 6m @ 1.6g/t Au from 45m (22MORC195)
- 7m @ 2.8g/t Au from 34m (22MORC198)
- 3m @ 3.3g/t Au from 76m (22MORC199)
- 1m @ 20.3g/t Au from 52m (22MORC201)

Significant new RC drill hole assay results inside the current Mineral Resource Estimate boundary include:

- 12m @ 1.2g/t Au from 80m (22MORC151)
- 3m @ 3.5g/t Au from 27m (22MORC166)
- 2m @ 6.7g/t Au from 60m (22MORC169), and
- 5m @ 2.9g/t Au from 6m (22MORC169)
- 10m @ 1.9g/t Au from 63m (22MORC172)
- 18m @ 4.4g/t Au from 20m (22MORC173), including;
o 5m @ 14.0g/t Au from 33m
- 13m @ 1.7g/t Au from 102m (22MORC174)
- 8m @ 1.9g/t Au from 6m (22MORC175)
- 12m @ 1.0g/t Au from 133m (22MORC176)
- 4m @ 6.9g/t Au from 53m (22MORC177), and
- 13m @ 1.3g/t Au from 80m
- 8m @ 7.8g/t Au from 18m (22MORC178), including;
o 1m @ 32.2g/t Au from 18m
- 7m @ 2.5g/t Au from 32m (22MORC180)
- 13m @ 1.5g/t Au from 43m (22MORC182), and
- 17m @ 1.2g/t Au from 66m (22MORC182)
- 6m @ 3.3g/t Au from 32m to EOH (22MORC184)
- 5m @ 6.7g/t Au from 44m (22MORC185), and
- 10m @ 2.2g/t Au from 72m (22MORC185)
- 8m @ 2.0g/t Au from 26m (22MORC186)
- 3m @ 3.8g/t Au from 53m (22MORC188)
- 1m @ 11.8g/t Au from 45m (22MORC193)
- 13m @ 1.4g/t Au from 65m (22MORC195)
- 2m @ 4.0g/t Au from 140m (22MORC196)
- 10m @ 1.5g/t Au from 79m (22MORC197), and
- 6m @ 1.9g/t Au from 122m
- 7m @ 2.8g/t Au from 34m (22MORC198)
- 18m @ 5.4g/t Au from 31m (22MORC204), including;
o 1m @ 70.2g/t Au from 33m

Feasibility and Development update

Development works are progressing well with preliminary optimised resource shells aiding in our resource conversion and follow-up drill planning as we continue to de-risk the project and move forward on the development pathway. Metallurgical sampling (guided by the optimised resource shells) at Big Sky and White Heat-Mosaic has commenced with preliminary gold recovery results expected in November. Environmental analysis is underway with the recent completion of a Project Approvals GAP analysis providing focus on required test works and surveys for the remainder of the year. Time critical baseline surveys are being planned for the coming months for the new deposit areas of Big Sky and White Heat-Mosaic.

The conversion of an Exploration Licence to a Mining Lease at Big Sky (Break of Day, Lena and White Heat-Mosaic are already on a granted Mining Lease) and the submission of permit applications and prescribed licence requests are being progressed. Initial contractor and service provider discussions have commenced regarding a standalone capital profile for the Cue Gold Project which will subsequently feed into the Prefeasibility Study.

Cue Project

The Cue Gold Project is located approximately 30km south of the township of Cue in the Murchison district of Western Australia. The southern area gold deposits are only 5km from the Great Northern Highway, approximately 600km north of Perth.

The current resource estimate for the Cue Gold Project totals 12.3Mt @ 2.3g/t Au for 927koz including the Break of Day High-Grade Trend (982kt @ 10.4g/t Au for 327koz contained gold) and the Moyagee Western Trend (9.8Mt @ 1.7g/t Au for 541koz contained gold) both in the southern area of the project (see MGV ASX announcement dated 31 May 2022, "Cue Mineral Resource Increases to 927,000oz).

The new gold discoveries at Amarillo and along the Waratah trend are all outside the existing resource areas.

*To view tables and figures, please visit:
https://abnnewswire.net/lnk/V4ZDSA70

About Musgrave Minerals Ltd:

Musgrave Minerals Ltd. (ASX:MGV) is an active Australian gold and base metals explorer. The Cue Project in the Murchison region of Western Australia is an advanced gold and copper project. Musgrave has had significant exploration success at Cue with the ongoing focus on increasing the gold and copper resources through discovery and extensional drilling to underpin studies that will demonstrate a viable path to development in the near term. Musgrave also holds a large exploration tenement package in the Ni-Cu-Co prospective Musgrave Province in South Australia.

Source:
Musgrave Minerals Ltd.

Contact:

Rob Waugh Managing Director Musgrave Minerals Ltd. +61 8 9324 1061 Angela East Associate Director Media and Capital Partners +61 428 432 025