Xtract Regulatory News (XTR)

For immediate release

7 July 2022

Xtract Resources Plc

("Xtract" or the "Company")

Bushranger Project Assay Results and Drilling Update

The Board of Xtract Resources Plc ("Xtract" or the "Company") is pleased to advise that independent laboratory assays have been received for drill holes BRDD-22-040, BRDD-21-041 & BRDD-22-042 from the Phase 2 diamond drilling programme at the Bushranger copper-gold exploration project.

Highlights

· Assay results for holes drilled between the Racecourse and Ascot deposits have defined the southern limit of the Racecourse Mineral Resource and the northern margin of Ascot

· Hole BRDD-22-042 cut a lengthy interval of low-grade copper mineralisation to the south of the Racecourse deposit which is considered to be below viable mining grade and will thus be valuable in defining the southern limit of the conceptual open pit

· At Ascot, mineralisation in hole BRDD-22-040 returned modest assay grades over a wide interval at relatively shallow depths to the northwest of previous drilling; this latest Ascot hole again shows relative gold enhancement compared to Racecourse

· Drilling is continuing for now at Ascot to test copper and gold distribution at depth beneath previous drill intersections

· Two exploratory drillholes completed at the Footrot prospect 7km to the southeast of Racecourse (FTDD-22-001 and FTDD-22-002) encountered weak copper mineralisation along with much disseminated to semi-massive pyrite and pyrrhotite within porphyritic intrusives, providing encouragement that the Bushranger project area contains potential for multiple porphyry copper-gold targets

Colin Bird, Executive Chairman said: "Hole BRDD-22-042 is the most southern hole we've drilled in the Racecourse resource area and, while considerable lengths of mineralisation are present, it is evident that we've reached the southern end of the Racecourse mineral deposit. We will now advance planning to define the conceptual open pit on the back of the drilling results, updated resource modelling and metallurgical test work completed."

Phase Two Bushranger Prospect Assay Results

Table 1

Assay Results from Drill Hole BRDD-21-040

Table 2

Assay Results from Drill Hole BRDD-21-041

Table 3

Assay Results from Drill Hole BRDD-22-042

*Assays undertaken by Bureau Veritas Minerals Pty. Ltd. Laboratory, Adelaide, Australia

**CuEq Formula: CuEq = Cu% + 0.5884xAu (g/t) + 0.0078xAg (g/t)

Racecourse

Drill hole BRDD-22-042 was drilled towards the west at an inclination of -55 degrees, completing at a final depth of 653.6m. The hole is located beyond the southern limit of the Racecourse Inferred Mineral Resource and represents the most southerly hole drilled into the Racecourse deposit. Assay results include a wide 152m interval averaging 0.18% CuEq from 147m downhole depth, with multiple sub-intervals of higher-grade mineralisation assaying up to 4m at 0.69% CuEq from 295m downhole depth. Several mineralised intervals were also intersected above the main mineralised zone at shallow depths, including an 8m interval averaging 0.26% CuEq from a downhole depth of just 49m.

These results help to define the southern limit of the Racecourse Inferred Mineral Resource, with the assay results of adjacent drill hole BRDD-22-043 still awaited.

Drill hole BRDD-21-041 was drilled at a shallower angle from the same pad as drill hole BRDD-21-032, in the area between Racecourse and Ascot. The hole aimed to test for potential mineralisation above drill hole 32, which intersected significant lengths of porphyritic alteration (see announcement dated 17th December 2021). The new hole was drilled at -55 degrees to the WSW, and completed at a depth of 691.9m, having intersected a 30m interval of copper mineralisation averaging 0.17% CuEq from 399m downhole depth. This hole confirms that the area between Racecourse and Ascot is mineralised, but copper-gold intercepts are relatively thinner and low grade.

Ascot

Drill hole BRDD-21-040 was drilled at an inclination of -50 degrees from the same drill pad as the Ascot discovery hole (BRDD-21-035) but angled further to the northwest. The hole completed at a depth of 777.2m, having intersected a wide copper interval of 218m at 0.15% CuEq from a downhole depth of 143m, which included enhanced gold intersections up to 12m at 0.3g/t Au (0.32% CuEq) from 183m downhole depth. The aim of this drillhole was to test for shallower, possibly open-pittable mineralisation at Ascot and, while it confirmed the continuation of mineralisation at shallower depths 100m to the north of drillhole BRDD-21-035, it appears to lie on the northern margin of the Ascot deposit.

Drilling of what is expected to be the final Phase 2 deep drillhole has commenced at the Ascot prospect and results will be delivered in due course.

Footrot

Two exploratory holes were drilled at the Footrot prospect 7km to the southeast of Racecourse to test for copper-gold related porphyry mineralisation in an area with coincident surface geochemical and geophysical anomalies. Both holes (FTDD-22-001 and FTDD-22-002) drilled into porphyritic intrusives with weak copper mineralisation along with much disseminated to semi-massive pyrite and pyrrhotite, and completed at depths of 468m and 336m respectively. These holes provide encouragement that the Bushranger project area contains potential for multiple porphyry copper-gold targets. Core samples from the Footrot holes will now be dispatched for laboratory analysis.

Bushranger Prospect Drill Hole Location Plan

http://www.rns-pdf.londonstockexchange.com/rns/7011R_1-2022-7-7.pdf

Bushranger Cross-Section Drill Hole BRDD-22-040

http://www.rns-pdf.londonstockexchange.com/rns/7011R_2-2022-7-7.pdf

Bushranger Cross-Section Drill Hole BRDD-22-041

http://www.rns-pdf.londonstockexchange.com/rns/7011R_3-2022-7-7.pdf

Bushranger Cross-Section Drill Hole BRDD-22-042

http://www.rns-pdf.londonstockexchange.com/rns/7011R_4-2022-7-7.pdf

Bushranger Prospect Assay Summary

http://www.rns-pdf.londonstockexchange.com/rns/7011R_5-2022-7-7.pdf

Further information is available from the Company's website which details the company's project portfolio as well as a copy of this announcement: www.xtractresources.com

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018 ("UK MAR").

The person who arranged for the release of this announcement on behalf of the Company was Colin Bird, Director.

Enquiries:

Qualified Person:

Information in this announcement relating to the exploration works has been reviewed by Edward (Ed) Slowey, BSc, PGeo, a consultant to Xtract. Mr Slowey is a graduate geologist with more than 40 years' relevant experience in mineral exploration and mining, a founder member of the Institute of Geologists of Ireland and is a Qualified Person under the AIM rules. Mr Slowey has reviewed and approved the geological content of this announcement.

Qualified Person:

In accordance with AIM Note for Mining and Oil & Gas Companies, June 2009 ("Guidance Note"), Colin Bird, CC.ENG, FIMMM, South African and UK Certified Mine Manager and Director of Xtract Resources plc, with more than 40 years' experience mainly in hard rock mining, is the qualified person as defined in the Guidance Note of the London Stock Exchange, who has reviewed the technical information contained in this press release.

TECHNICAL GLOSSARY

The following is a summary of technical terms:

ENDS