Alvo Minerals Limited announced that it has recently completed a major FLEM survey at the C1 prospect of its Palma VMS Project in Brazil. The survey covered the southern half of the C1 prospect and has defined multiple high tenor conductors both along-strike and down-dip of known mineralisation, significantly expanding the prospectivity for additional VMS mineralisation outside the existing JORC Resource. FLEM Survey: Alvo engaged Triskel Geoscience Ltda to complete the FLEM survey across the southern half of the C1 deposit, a high priority area at the Palma Project.

C1 was chosen as the most suitable initial prospect for the survey as there is a VTEM conductive anomaly associated with the C1 mineralisation, however repeated attempts to invert this data was inconclusive in terms of confidence for direct drill targeting, particularly in the southern part of the interpreted conductive trend where it was suspected that deep conductive mineralization was at the limit of VTEM detection. The anomalies at C1 and JS_43 (to the NNE) are too extensive (a distance of over 2km) to cover in a single loop, therefore the southern section was chosen for the initial survey area. The survey layout extended several hundred metres to the south of the known mineralisation at C1, covering a subtle VTEM anomaly which could indicate extensions to the known mineralisation.

The survey dimensions included 9 x 800m long EW lines, with stations at 25m, and lines were spaced at 150m. The fixed loop size was 1,300m x 400m. In general, EM surveys cannot take place when there is lightning in the vicinity and Triskel had to wait until there was enough clearance in the weather to undertake the survey.

During the survey, the company consultant in Australia Dr. Jovan Silic (a specialist in the interpreting and collection of EM surveys) reviewed the data daily to ensure the quality control was met. As a result of these daily reviews, the survey was extended to the west on the four southernmost lines to cover the emerging conductor at depth and to the SW. The northern extension of C1 through to the anomaly at JS_43 will be covered in upcoming surveys.

FLEM Survey – Results: Data review and inversion by Dr. Silic has detailed nine anomalous and laterally extensive conductor plates, several of which closely match the known mineralisation. These plate conductors are part of a continuous conductive trend and outline some along-strike variation in the characteristics of the C1 conductor. The conductors extend for the entire length of the survey, a distance of ~1.3km including to the SSW where shallow historical drilling appears to have been collared too far to the west and did not intercept mineralisation.

There are five main plates associated with the known mineralisation at C1. These extend along strike from the northern limits of FLEM survey to the southern limits of the JORC resource, approximately 915m. The plates are modelled from surface and up to 300m down dip.

The potential to extend the mineralisation in this zone -especially at depth, is significant. These plate positions will be the first tested by drilling in February 2022. One plate (L2800_15) has a steep westerly dip, different to the other plates (which all dip to the east) and may indicate folding or structural complexity in this area of the C1 orebody.

There is a prominent bulge in the FLEM plan which emphasises this plate's location. Previous mapping and modelling of the geology in this region has noted tight folding, with potential thickening of the orezone around this area. Alvo intends to test this plate orientation with several holes oriented towards the east The conductive plates on the southern end of the survey have been modelled deeper and further east than the historic drilling and indicate the mineralisation may extend down plunge to the south.

The southern plates include four plates that overlap but extend for ~420m along strike and ~250m down dip- starting from approximately 170m below surface. EM Survey Equipment: Following the success of the FLEM survey, Alvo has placed an order with EMIT Geophysical of Perth for a complete EM system, capable of both FLEM and moving loop (MLEM) ground surveys as well as the DigiAtlantis downhole probe for downhole EM surveys (DHEM). Alvo expects the equipment to be ready to ship to Brazil in coming weeks, with fieldwork scheduled to start immediately the gear arrives on site.

Maiden Diamond Drill Program: Drilling is accelerating on the maiden 10,000m diamond drilling program** with a second rig now operating on site. Eight holes have been completed to date for a total of >2,100m. The ninth and tenth holes are advancing at C3.

The drilling has averaged >35m per day (single rig) and core recoveries have been excellent. The drilling to date has been progressing well, with all holes intersecting the targeted mineralisation. Alvo expects to be able to release the first batch of results from drilling at C3 in early February 2022.