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ASX Announcement & Media Release 29 January 2021 EMERALD RESOURCES NL Fast Facts ASX Code : EMR Shares on issue : 515,397,207 Market Cap : ~ $ 412 million Cash : A $ 77 million ( at 31 Dec 2020 ) Board & Management Simon Lee AO , Non - Executive Chairman Morgan Hart , Managing Director Mick Evans , Executive Director Ross Stanley , Non - Executive Director Mark Clements , Non - Executive Director and Company Secretary Brett Dunnachie , Chief Financial Officer Company Highlights ■ First mover in an emerging gold province in Cambodia ; ■ Mineral Investment Agreement and Industrial Mining Licence granted over the Okvau Gold Project ( 100 % Owned ) allowing for the development of the Okvau Deposit ; ■ Okvau Deposit : Indicated and Inferred Mineral Resource Estimate of 1.14Moz at 2.0g / t Au ; ■ DFS completed and demonstrates high grade , low cost , compelling development economics : О Ore Reserve of 14.3Mt & 2.0g / t Au for 0.9Mozs in a single open pit with waste : ore ratio of 5.8 : 1 ; о ○ ○ LOM average annual production of 106,000ozs pa ; AISC US $ 754 / oz over LOM ; Using US $ 1.450 / oz Au gold price : - NPV ( 5 % ) US $ 337M pre - tax and US $ 238M post - tax ; - IRR 69 % pa pre - tax and 57 % post- tax ; - Highly Payback ~ 1.4 years pre - tax and 1.7 years post - tax . credentialed gold project development team ; Significant resource growth potential . Registered Office 1110 Hay Street West Perth WA 6005 T : +61 8 9286 6300 F : +61 8 6243 0032 W : www.emeraldresources.com.au Quarterly Report for the period ended 31 December 2020 Highlights Development Activities - Okvau Gold Project Significant progress continues in the development of the Okvau Gold Project with all activities advancing in line with development timeline and budget forecast ; Okvau Gold Mine Development continues to be " On Time - On budget ” ; Emerald maintains its guidance for first production in Q2 2021 . Exploration - Near Mine and Regional licences Okvau Gold Project - High grade intersections continue to support structural feeder zone interpretation ; New drilling results include - 17m @ 6.06g / t from 258m including 6m @ 11.40g / t ( RCDD200KV424 ) ; New exploration licence granted ( Memot Project ) with extensive artisanal workings present ; Significant gold - in - soil Auger soil sample results from infill programme on the previously announced O'Kapai Prospect ( O'Kthung Licence ) including 1000 and 434 ppb Au . Funding Consolidated cash at 31 December 2020 was approximately A $ 77 million ; Emerald remains fully funded to develop the Okvau Gold Project with additional contingency . COVID - 19 The commitment and dedication of the Company's construction and operational workforce has limited the impact of the COVID - 19 pandemic to a level that to date has not delayed the project from forecast or increased costs materially ; Cambodia remains in a status of elevated work and travel restrictions related to the COVID - 19 worldwide pandemic ; ■ Travel between Australia and Cambodia continues to be restricted but is being managed through longer rosters and regional sourcing and the dedication of key employees on site at Okvau ; ■ Uncertainties around international freight pose an ongoing concern to project development but have been considered in the development timeline and have now largely been overcome with in excess of 75 % of all equipment on site , approximately 15 % in transit and 10 % remaining to be shipped . Commenting on the Quarter ended 31 December 2020 , Emerald's Managing Director , Morgan Hart , said : " During the Quarter the Company continued to advance development activities at the Okvau Gold Project with earthworks and concrete works aligning well with the equipment delivery schedule as per the project - development timeline . ” " Significantly , in pit mining commenced as we welcomed the arrival and assembly of MACA's additional five 100 tonne dump trucks ( total 12 ) and a second 125 tonne excavator . "