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HILLGROVE RESOURCES QUARTERLY REPORT PERIOD ENDING 30 JUNE 2021 Hillgrove Resources Limited ( ASX : HGO ) report for the quarter ended 30 June 2021 D SUMMARY Underground Exploration and Development Diamond drilling continued at Kanmantoo across the Kavanagh and Spitfire Lodes . Outstanding drill intersections realised during the Quarter¹ include : 1. 170.65m @ 1.01 % Cu , 0.11 g / t Au in KTDD205 from 339m downhole , 2. 19.53m @ 1.93 % Cu , 0.36 g / t Au in KTDD198_W4 from 463m downhole , 3. 19.5m @ 1.64 % Cu , 0.07 g / t Au in KTDD202 from 539.5m downhole , 4. 20.0m @ 1.53 % Cu , 0.36 g / t Au in KTDD202_W3 from 624m downhole , and 5. 14.2m @ 2.16 % Cu , 0.5 g / t Au in KTDD204_W1 from 377m downhole . The drilling results to date have affirmed : 1. The continuation of the mineralisation to ~ 500m below the open pit ( previously ~ 200m ) and still open to depth , 2. Expanded the lateral footprint of the mineralisation to the south by ~ 150m , confirming the Spitfire and South West Kavanagh zones extend at depth , and 3. Confirmed the tenor of the key Kavanagh Cu - Au lodes . The drilling of the Spitfire , South West and West Kavanagh zones is continuing and the Nugent Cu - Au zone to be drilled thereafter . Stella and South East The Company received $ 303,800 in grants under the South Australian Government's Accelerated Discovery Initiative ( ADI ) to drill test the Stella conductivity anomaly and undertake geochemical analysis in the South East Delamerian² . These works will commence in the next quarter . MANAGING DIRECTOR'S STATEMENT Drilling continues to expand the mineralised copper / gold footprint for the Kanmantoo Underground Project ( " Underground " ) in the main Kavanagh lode , as well as multiple other lodes which could be mined from the same decline . The excellent drill results during the quarter , including 170m averaging over 1 % Cu , further increases the scale of the potential Underground development . Drilling over the next quarter will focus on expanding the resource by following up on the successful first hole into the Spitfire and SW Kavanagh lodes which demonstrates that these high - grade lodes also continue to depth and provide an opportunity to significantly increase the mineable inventory from the Kavanagh portal and decline infrastructure for low incremental cost . This is an exciting period for Hillgrove as the Company continues to grow the mine life and annual production potential ahead of recommencement of production in 2022 . 1 ASX releases of 3 May 2021 , 6 May 2021 , and 24 June 2021 2 ASX release 24 May 2021 HILLGROVE RESOURCES LIMITED ACN 004 297 116