Kendrick Resources Regulatory News (KEN)

30 November 2022

Kendrick Resources Plc("Kendrick" or the "Company")

Exploration Update

Kendrick Resources Plc (LSE: KEN), the mineral exploration and development company with nickel, vanadium and copper projects in Norway, Sweden and Finland is pleased to provide an update on its activities in Scandinavia where its broad focus is on nickel, vanadium and copper across the region.

Highlights

Espedalen Nickel

· Drill contractors have been invited to tender for drilling of the Espedalen nickel Project in Central southern Norway

· Both an independent evaluation of Espedalen geophysics data and a mineralogical study have been completed and reports are pending

Airijoki Vanadium - Copper

· Soil and rock chip samples collected on 4 of the Airijoki Vanadium - Copper project licences have been submitted for analysis

· Three styles of copper mineralisation have been recognised at Airijoki and potential for additional vanadium mineralisation has been observed

· Approval of the Scope of Work provided by the external metallurgical consultant for Airijoki vanadium metallurgical test work has been granted by the Company

· The results of exploration at Airijoki warrant a drill programme. Applications will be made to the relevant local and regional authorities for permission to drill.

· Review of geophysical data for the Sumåssjön Vanadium Project in Sweden has been authorised along with the purchase of historic geophysical data

Colin Bird, Executive Chairman commented "I am particularly pleased by the investigations ongoing for nickel and feel there is much more potential than previously reported. We will be targeting drilling to extend the existing resource and to test new targets at Espedalen and elsewhere. I also remain convinced that vanadium will play a significant role in static energy storage in the near future and as a result we are pursuing our vanadium projects vigorously. We are analysing and working on the combination of historic and in-house generated raw data, executing further metallurgical test work and scheduling more drilling of known extensions to Airijoki all with a view to increasing our existing mineral resource."

Espedalen Nickel

The Company engaged an independent consultant to re-log the drill core from the advanced stage Stormyra deposit (55 shallow holes;

Meetings have been held with interested and affected parties in the area around Espedalen where drilling is planned and the Company has provided information relating to future exploration plans.

In addition to Stormyra, the Company has identified the Megrund prospect as a priority target for follow up with potential to host massive sulphides based on the Ni tenor being on par with Stormyra, together with the prospect having the highest PGE grades recorded at Espedalen.

The review also noted that several other prospects within the Espedalen Project area that had been tested with only 1 to 3 drillholes, all intersected nickel sulphide mineralisation. No follow-up was undertaken on these prospects and the Company intends to review the original geophysics results over these targets before deciding on further evaluation.

The process of selection of a drilling contractor is underway and the relevant local authority will be provided with documentation including a request to undertake drilling. Subject to drill rig availability, the proposal remains to drill in late January 2023 when ground conditions are considered optimal to limit damage to the local environment. The drill plan has been submitted to the Director of Mines, off road permits are being processed and meetings with the local landowners have been scheduled.

Airijoki Vanadium - Copper

At the time of acquisition, the Airijoki Project in N Sweden comprised 4 exploration licences focused on vanadium mineralisation in the Vittangi greenstones. An Inferred mineral resource estimate has been calculated totalling 44.3 Mt at an in situ grade of 0.4% V2O5, containing 5.9 Mt of magnetite averaging 1.7% V2O5 (in magnetite concentrate) for 100,800 t of contained V2O5 based on a 13.3% mass recovery of magnetite concentrate and a 0.7% V2O5 cut-off grade.

A significant amount of historic geophysical survey data had been obtained that has been reinterpreted by Kendrick based on more recent assessment of the local geology.

Consistent with this reinterpretation, the Company identified the potential for copper mineralisation in the same general geological setting as the vanadium resource and acquired two additional exploration licences deemed to be prospective based on available historic geochemistry and have embarked on a wide-ranging programme of soil sampling and detailed mapping across the 5 licences that make up the Project.

It is important to note that the abovementioned mineral resource estimate of 44.3Mt is confined to Licence Nr 100 and that the remaining 5 licences held by Kendrick host similar geochemical and geophysical signatures to that found on Licence Nr 100. Kendrick considers the 5 licences where no drilling or resource estimation has been undertaken to be highly prospective for vanadium mineralisation and, subject to the results of the recently completed soil survey, also copper.

The Airijoki Project is located in a region of Sweden with significant mining activity including some of the largest mines in Europe. A progressive mining legislation and a long history of production offers an environment conducive to future mine development.

Kendrick is working closely with a well-established Swedish geological consulting group with specialist expertise in permitting and liaison with central and local government and, the community.

Airijoki Metallurgical Test Work

Kendrick has appointed Wardell Armstrong International ("WAI") to undertake metallurgical test work on drill core from historic diamond drilling at Airijoki. The core was generated during the programme to define the initial mineral resource estimate for vanadium on licence Nr 100.

WAI will complete the following test work:

Phase 1: Sample Preparation & Rougher Low Intensity Magnetic Separation ("LIMS") Testwork

Phase 2: Cleaner LIMS Optimisation test work at 3 Grind Sizes

Phase 3: Cleaner LIMS at Optimum Grind Size determined from Phase 2 programme

Low Intensity Magnetic Separation ("LIMS") is a physical process whereby magnetic material is separated from non-magnetic material. Strong magnetic minerals such as the magnetite associated with vanadium can be recovered using LIMS.

Vanadium-bearing magnetite whilst carrying relatively low concentrations of vanadium remains the main raw material for vanadium extraction.

Sumåssjön Vanadium

The Sumåssjön project area contains two major mafic units, an eastern and a western one, both containing vanadium mineral occurrences and areas of historic mining activity. A programme has been put in place to get a better understanding of the known vanadium mineralisation in this license and acquire further field data.

Further information on the Company's projects can be found on the Company's website at: https://www.kendrickresources.com/

This announcement contains information which, prior to its disclosure, was inside information as stipulated under Regulation 11 of the Market Abuse (Amendment) (EU Exit) Regulations 2019/310 (as amended).

Qualified Person:

The technical information contained in this announcement has been reviewed, verified, and approved by Colin Bird, CC.ENG, FIMMM, South African and UK Certified Mine Manager and Director of African Pioneer plc, with more than 40 years' experience mainly in hard rock mining.

About Kendrick Resources Plc

Kendrick Resources Plc is a mineral exploration and development company with projects primarily based across Scandinavia. The principal of its business is to explore the opportunities within the natural resources sector with a focus on battery, base, and precious metals including but not limited to nickel, vanadium and copper. In doing so, the Company is looking to build a long-term energy metals business in Scandinavia which delivers energy metals to Europe to help enable its renewable energy transformation by building a top tier energy metals production business.