Mr. James Bruchs reports

TSODILO RESOURCES LIMITED THE RULE OF LAW PREVAILS IN BOTSWANA HIGH COURT OF BOTSWANA RENDERS JUDGEMENT WITH RESPECT TO GCWIHABA'S PROSPECTING LICENSES

Tsodilo Resources Ltd. has noted that the High Court, Republic of Botswana, has rendered its judgement re: Gcwihaba Resources Pty. Ltd. versus Minister of Minerals and Energy, and the Attorney General of Botswana, MAHMN-000075-22, and ordered:

• The decision of the first respondent rejecting the application for the renewal of the applicant's prospecting licence (020/ 2018) is illegal, unreasonable and or irrational;
• The decision of the first respondent rejecting the application for the renewal of the applicant's prospecting licence (020/ 2018) is hereby set aside;
• The first respondent is ordered and directed to renew, within 14 days of this order, the applicant's licence (020/ 2018) subject only to justifiable safeguards necessary for the protection of the heritage area. Such safeguards are not to include any further demand for reduction or shifting of the licence area or its co-ordinates;
• Following renewal, the first respondent is ordered to align the effective dates of contiguous licences PL 021-026/ 2018 with that of the renewed licence;
• The respondents shall pay the costs of these proceedings.

James M. Bruchs, Tsodilo's chairman and chief executive officer, commented: "This is a very important decision for Botswana as it reinforces those values and systems that establish Botswana as one of the best democracies in the world. Its respect for the rule of law, judicial independence, separation of powers, and regular, free and fair elections are among the tenets of democracy which have earned Botswana this international acclaim. The High Court decision reaffirms the basic tenant that the rule of law does indeed prevail. Since 2014, the Botswana government has publicly expressed its support for the Xaudum iron formation (XIF) project, and we look forward to working with the Ministry of Minerals and Energy, and the Ministry of Environment and Tourism as we continue our work to bring the XIF into production. Tsodilo adopted the International Finance Corp.'s (IFC) environmental, health and safety guidelines for mining when IFC became a shareholder more than a decade ago, and we have worked diligently to advance the XIF project within those guidelines. Further to this, Tsodilo became a member of the ResponsibleSteel organization (www.responsiblesteel.org) as building a sustainable steel industry requires co-operation and mutual commitment from companies at all levels of the steel supply chain, representatives of civil society and other stakeholders, and ResponsibleSteel provides the forum for this multistakeholder approach. Their members include some of the leading players in the industry working together to minimize the impact of steel manufacturing on people and the planet. Working closely with government's ministries and ResponsibleSteel furthers our goal of becoming the supplier of an ultrahigh-grade plus-67 per cent Fe [iron] product to the industry, and doing what we can to reduce greenhouse gas emissions (GHG) by becoming part of the green steel movement.

"Our licence renewal applications that make up the XIF project area were filed 2.5 years ago and, on behalf of our board of directors, I would like to thank our shareholders for their strong support over that difficult time, and also our employees for their commitment and dedication throughout this process," commented Mr. Bruchs.

The court's decision is available on the company's litigation landing page(s).

Xaudum iron formation (XIF)

About the XIF project:

• The project is located in the Northwest district of Botswana and extends for a known length of approximately 40 kilometres.
• The XIF is proximate to the Namibian border and lies 22 miles from the town of Divundu in Namibia. The Walvis Bay-Ndola-Lubumbashi development corridor (previously known as the Trans-Caprivi line) linking Zambia and Namibia is planned to pass through Divundu, providing access to Walvis Bay, Namibia's deep-sea port. The project is also located within 43 miles of the proposed Mucusso line to Angola's Namibe Port.
• Preliminary work on the XIF project has defined a CIM ((Canadian Institute of Mining, Metallurgy and Petroleum))-compliant inferred mineral resource estimate of 441 million tonnes (Mt) with an average grade of 29.4 per cent Fe, 41 per cent SiO2 (silicon dioxide), 6.1 per cent Al2O3 (aluminum oxide) and 0.3 per cent P (phosphorus) for the Block 1 magnetite XIF.
• Block 1 is a fraction of the potential XIF magnetite resource. An extrapolated exploration target has defined the XIF to be in the order of five billion tonnes (Bt) to seven billion tonnes at 15 per cent to 40 per cent Fe. This exploration target was generated by inversion modelling of ground magnetic geophysical data, which was compared and moderated with volumes from drilling data within Block 1, and its potential quantity and grade is conceptual in nature. To date, there has been insufficient exploration to define a mineral resource other than in Block 1, and it is uncertain if further exploration will result in the target being delineated as a mineral resource. See the press release dated June 2, 2014, on the company's website for further details.
• Metallurgical magnetic separation results (Davis Tube recovery) show that an average concentrate of 67.2 per cent Fe, 4.2 per cent SiO2, 0.5 per cent Al2O3 and 0.07 per cent P is obtained at P80 grind size of 80 microns, although higher grades are possible at finer P80s. See the press release dated Dec. 17, 2013, on the company's website.
• Further exploration will be focused on Block 2a, where the company expects an increase in the resource.
• Additional informational of the project can be found on the company's website and further technical information can be found in a report prepared by SRK Consulting (U.K.) Ltd. for Gcwihaba Resources, titled "Mineral Resource Estimate for the Xaudum Iron Project (Block 1), Republic of Botswana," with an effective date of Aug. 29, 2014, and filed on SEDAR+ under the company's profile.

About Tsodilo Resources Ltd.

Tsodilo Resources is an international resource exploration company engaged in the search for economic metal and diamond deposits at its Gcwihaba Resources Pty. Ltd. and Bosoto Pty. Ltd. projects in Botswana. The company has a 100-per-cent stake in its Gcwihaba project area consisting of five metal (base, precious, platinum group and rare earth) prospecting licences all located in the Northwest district of Botswana. The company has a 100-per-cent stake in Bosoto which holds the BK16 kimberlite project in the Orapa kimberlite field (OKF) in Botswana. Tsodilo manages the exploration of the Gcwihaba and Bosoto projects. Overall supervision of the company's exploration program is the responsibility of McDonald Kahari (PrSciNat), a qualified person as such term is defined in National Instrument 43-101. This press release has been reviewed and approved by Mr. Kahari.

We seek Safe Harbor.