Mr. Sam Spring reports

EARTH AI COMMENCES FIELD WORK AT CUNDUMBUL PROJECT

Kincora Copper Ltd.'s exploration alliance partner Earth AI Pty. Ltd. has commenced reconnaissance fieldwork at the Cundumbul project.

Sam Spring, president and chief executive officer, commented:

"As Kincora focuses on drill testing our existing 13 copper-gold discovery opportunities within our NSW project pipeline it is pleasing to see Earth AI in the field at the Cundumbul project. Earth AI has applied its proprietary cloud-based AI and machine learning technology to generate targets which are now being field checked by their senior geological team. This reconnaissance work program will assist, confirm and refine target assessment ahead of a planned drilling program utilizing their in-house diamond drill rig that is based in Young, NSW. We are keen to see these targets advance and benefit from Earth AI's proprietary exploration approach which seeks to improve the success rate and lead time to make the discovery of new deposits needed to support the electric vehicle and renewable energy revolutions."

Cundumbul project

The Cundumbul project is located in the central Molong volcanic belt of the Macquarie arc within the Lachlan fold belt in central-west New South Wales. The project is approximately 30 kilometres south of Alkane's Northern Molong porphyry project (maiden Boda resource of approximately 10.1 million ounces gold equivalent and maiden Kaiser resource of approximately 4.7 Moz AuEq), 25 km north of Copper Hill (greater than three Moz AuEq resource) and 70 km north of the Cadia mine (greater than 90 Moz AuEq endowment). Newmont holds the adjacent western and southern licence while recent exploration by Sultan Resources immediately east of the licence boundary, at multiple common prospect mineral systems, has returned extensive hydrothermal alteration, anomalous copper and gold, and further supported the porphyry potential of the project.

Previous exploration at Cundumbul has included mapping, soil sampling, rock chip sampling, induced polarization (IP), gravity and magnetic geophysical surveying, with more limited follow-up auger, reverse circulation and diamond drilling.

Mineralized monzonitic intrusions have been identified at both the Bell and Andrews prospects, in the north and south, respectively, of the project, located over 10 km apart.

Exploration efforts were last lead by Mitsubishi Materials Corp. during an earn-in period (concluded 2015). The most advanced of the prospects, Bell, was drilled with RC and diamond methods and intersected high-grade molybdenum mineralization in multiple holes with the best intersection of four metres at 0.17 per cent molybdenum from 168 m (hole CNRC010) in a heavily faulted area with extensive alteration and quartz pyrite veining, phyllic alteration, and widespread elevated molybdenum. It is well accepted that porphyry deposits are zoned, and the classic porphyry model had this assemblage setting above the copper-bearing source.

Earth AI's exploration at the Cundumbul project is in addition to Kincora's continuing drilling program seeking to drill test a total of 13 copper-gold discovery opportunities across five projects (Trundle, Condobolin, Nyngan, Nevertire and Fairholme).

Key terms of the exploration alliance

The exploration alliance allows for a 50/50 co-financing model and joint technical committee, whereby Earth AI will have day-to-day management and control of exploration activities, and contribute up to $4.5-million of total exploration expenditure across the project over a two-year period with an option to extend for a further year.

Subject to a minimum of 1,500 metres of diamond drilling and a qualifying drilling intersection resulting in a new discovery (as defined within the exploration alliance agreement), Earth AI is entitled to a net smelter return royalty of up to 3 per cent in connection with a to-be-agreed-upon area surrounding the discovery (area of interest, size dependent on the extent of the newly discovered mineral system).

For further details refer to the press release of Oct. 6, 2022.

Results are expected to confirm and refine proprietary artificial intelligence and machine learning generated drill targets at the Cundumbul project.

Cundumbul project background

The Cundumbul project includes one single licence covering 34.6 square kilometres and was secured by Kincora in the March, 2020, agreement with RareX Ltd. Kincora holds a 65-per-cent interest in the Trundle project until a positive scoping study is delivered at which time a fund or dilute joint venture will be formed.

Further details on the Cundumbul project are available from the independent technical report included in the company's Australian Securities Exchange initial public offering prospectus (March 1, 2021), with additional information on Kincora's portfolio in New South Wales and exploration strategy also available on the company's website.

Qualified person

The scientific and technical information in this news release was prepared in accordance with the standards of the Canadian Institute of Mining, Metallurgy and Petroleum and National Instrument 43-101 -- Standards of Disclosure for Mineral Projects, and was reviewed, verified and compiled by Kincora's geological staff under the supervision of Paul Cromie (BSc, honours, MSc, economic geology, PhD, member of the Australian Institute of Mining and Metallurgy and Society of Economic Geologists), exploration manager, Australia, who is the qualified person for the purpose of NI 43-101.

The review and verification process for the information disclosed herein for the Trundle, Fairholme and Nyngan projects have included the receipt of all material exploration data, results and sampling procedures of previous operators and review of such information by Kincora's geological staff using standard verification procedures.

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