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ASX and MEDIA RELEASE 22 July 2021 ALKANE RESOURCES LTD ABN 35 000 689 216 Quarterly Activities Report to 30 June 2021 Tomingley Gold Operations ( Tomingley ) Gold production above forecast for the quarter at 13,500oz , with site operating cash costs at A $ 1,199 / oz and AISC of A $ 1,669 / oz . Gold sales of 11,526 ounces for the quarter for revenue of A $ 27.7M at an average price of A $ 2,401 / oz . FY2021 gold production was 56,958oz ( guidance 50,000oz to 55,000oz ) at an AISC of $ 1,320 / oz ( guidance $ 1,400 / oz to $ 1,550 / oz ) . FY2022 production guidance for Tomingley is 55,000oz to 60,000oz at an AISC of $ A1,450 / oz to $ 1,600 / oz . Tomingley Gold Extension Project ( TGEP ) Roswell and San Antonio resources to be mined as part of an expanded Tomingley Gold Operations that extends the mine's life to at least 2031 ( see ASX Announcement 3 June 2021 ) . The life of mine ( LOM ) plan shows the production of approximately 745,000oz for the period , with processing ramping to a 1.5 million tonne per annum feed rate . The planned production profile ( averaged for each period ) is : • 50,000 60,000oz per year for FY22 & FY23 ; • Production escalating from 60,000oz per year through FY24 ; to • 100,000 - 115,000oz for FY25 to FY27 ; and , 55,000-65,000oz for FY28 to FY31 . Substantial upside potential to extend the Roswell underground and maintain production over the FY28 to FY31 period at or near FY25 to FY27 levels , and beyond . The expected AISC over the LOM period is A $ 1,350 to A $ 1,450 per oz . Development of the Roswell and San Antonio deposits requires the diversion of the Newell Highway onto land which Alkane has purchased . This diversion , together with plant upgrades and other capital gives rise to a capital cost of ~ $ 87M , predominantly expended in FY23 . The capital cost is expected to be funded from operating cashflow and debt , and preliminary discussions are commencing with potential debt providers . With detailed plans and initial consultation now complete , the Environmental Impact Statement is being prepared for submission in the coming quarter . The expected timing of Project Approval is mid - 2022 . CONTACT INVESTORS MEDIA : NIC EARNER , MANAGING DIRECTOR , ALKANE RESOURCES LTD , TEL +61 8 9227 5677 : NATALIE CHAPMAN , CORPORATE COMMUNICATIONS MANAGER , TEL +61 418 642 556 : JOHN GARDNER , CITADEL MAGNUS , TEL +61 413 355 997 Ground Floor , 89 Burswood Road , Burswood WA 6100 , AUSTRALIA ( PO Box 4384 , Victoria Park WA 6979 , AUSTRALIA ) Telephone : +61 89227 5677 Facsimile : +61 8 9227 8178 www.alkane.com.au mail@alkane.com.au