West African gold explorer, Golden Rim Resources Ltd (ASX: GMR; Golden Rim or Company) is pleased to announce it has executed a Letter Agreement to acquire an interest in two additional gold permits in Guinea.

Highlights

Agreement to acquire up to a 75% interest in the Damissa Koura and Kankan West exploration permits in the highly prospective Siguiri Basin in northeast Guinea.

Acquisition of the Damissa Koura permit (Damissa Koura) expands Golden Rim's advanced Kada Gold Project (Kada) area, where Golden Rim is earning up to 75% interest, to 300km2 .

As with Kada, Newmont conducted RC and air core drilling at Damissa Koura, discovering additional broad zones of deep oxide gold mineralisation.

Best previous gold intersections at Damissa Koura included: o 4m at 8.0g/t gold from 38m & 16m at 3.0g/t gold from 54m (DKAC064) o 10m at 1.9g/t gold from 10m & 38m at 1.9g/t gold from 30m (DKAC067)

8m at 4.5g/t gold from 48m (DKRC001)

36m at 1.2g/t gold from 8m (DKRC016)

32m at 1.7g/t gold from 24m (DKRC019)

28m at 2.0g/t gold from 34m (DKRC034)

17m at 2.0g/t gold from 53m (DKRC035)

Interpreted mineralised zones extend for 500m and remain open along strike and at depth.

Artisanal miners discovered significant gold in laterite 1km north-northwest of Newmont drilling, suggesting potential for a major mineralised corridor in the western portion of Damissa Koura.

Golden Rim expects to deliver a maiden JORC Mineral Resource for Kada during the September Quarter 2021 and it is likely the gold mineralisation at Damissa Koura can be incorporated.

Kankan West permit (Kankan West), 60km south of Kada, is directly west of Predictive Discovery's (ASX:PDI) Kankan permit1 where a gold-in-soil anomaly over 7km has been outlined.

Acquisition of the Damissa Koura and Kankan West permits subject to the execution of a joint venture agreement and Guinean government approval, after which time Golden Rim plans to commence its field exploration.

Comment from the Managing Director

Golden Rim's Managing Director, Craig Mackay, said: 'We are very excited to have secured an opportunity to significantly increase the footprint of our Kada Gold Project in Guinea. Previous drilling by Newmont in the new Damissa Koura permit outlined multiple, broad, zones of deep oxide gold mineralisation which can be incorporated in the maiden Mineral Resource planned for Kada. Previous exploration within Damissa Koura is very limited and the potential for extensions to the existing gold mineralisation or the discovery of new zones of gold mineralisation is considered excellent.'

Damissa Koura

The Damissa Koura permit covers an area of 98.5km2 and adjoins the eastern boundary of the Kada permit. With the inclusion of Damissa Koura, the Kada project area increases to approximately 300km2 . As with the Kada permit, Newmont conducted reverse circulation (RC) and air core (AC) drilling at Damissa Koura. This drilling was completed between 2009 - 2011 and comprised 1,100m of RC (11 holes) and 4,400m of AC (70 holes). The drilling was focussed on testing several artisanal mining sites (Damissa Koura and Niandankoro prospects).

Best previous gold intersections at the Damissa Koura prospect included:

4m at 8.0g/t gold from 38m & 16m at 3.0g/t gold from 54m (DKAC064)

10m at 1.9g/t gold from 10m & 38m at 1.9g/t gold from 30m (DKAC067)

8m at 4.5g/t gold from 48m (DKRC001)

36m at 1.2g/t gold from 8m (DKRC016)

32m at 1.7g/t gold from 24m (DKRC019)

28m at 2.0g/t gold from 34m (DKRC034)

17m at 2.0g/t gold from 53m (DKRC035)

The interpreted mineralised zones extend for 500m and remain open at depth. Approximately 300m along strike to the south-southeast anomalous rock chip samples up to 6.2g/t gold were obtained by Golden Rim from several zones of intense bedrock quartz vein mineralisation located in artisanal workings. To date, Golden Rim has collected 62 rock chip samples from the Damissa Koura prospect. Mineralisation is strongest in quartz vein breccias containing carbonates and iron oxides.

In addition, artisanal miners have discovered significant gold in laterite 1km to the north-northwest of the Newmont drilling suggesting potential for a major mineralised corridor in the western portion of Damissa Koura. The delivery of a maiden JORC Mineral Resource for Kada is expected during the September Quarter 2021 and it is likely the gold mineralisation at Damissa Koura can be incorporated in this new Mineral Resource estimate.

Most of the bedrock within Damissa Koura has shallow laterite or soil cover. Outcrop is rare. It is highly encouraging that where outcropping bedrock has been located it has generally been strongly mineralised (Photograph 1). As such, Golden Rim's initial exploration at Damissa Koura will include a systematic auger drilling program over the entire permit area to outlined areas of bedrock beneath the shallow cover with anomalous gold.

Auger drilling has been highly successful for Golden Rim in West Africa. Auger drilling was instrumental in the Company's two gold discoveries in Burkina Faso (Indicated and Inferred Mineral Resource of 50Mt at 1.3g/t gold for 2Moz gold at the Kouri deposit and an Inferred Mineral Resource of 0.9Mt at 6.8g/t gold for 0.2Moz gold at the Balogo deposit). Auger drilling was also successfully utilised by Predictive Discovery in its recent significant Bankan discovery2 within the Siguiri Basin in Guinea.

Kankan West

The Kankan West permit covers an area of 96.1km2 and lies 60km south of Kada . No previous exploration has been conducted. A site visit confirmed that the bedrock at Kankan West is covered by soil and laterite. Kankan West lies directly west of Predictive Discovery's Kankan permit3 where a gold-in-soil anomaly over 7km with a peak value of 570ppb gold has been outlined. Initially, Golden Rim intends to conduct a soil/auger drilling program to confirm if the Predictive Discovery gold anomaly extends into Kankan West.

Acquisition Terms

Golden Rim and its Kada Joint Venture partner, Elta Madencilik Ticaret Anonim STI (Elta), have executed a binding Letter Agreement to acquire up to 100% of shares in Ara Exploration SARLU (Ara Exploration) (Letter Agreement). Ara Exploration is a Guinea company and is the 100% owner of the Damissa Koura and Kankan West exploration permits.

About the Kada Gold Project

The Kada Gold Project (Kada) comprises two exploration permits (Kada and Bamfele) and covers an area of 200km2 in eastern Guinea. It is located in the central Siguiri Basin and it lies 36km along strike from and to the south of the 10Moz Siguiri Gold Mine operated by AngloGold Ashanti. Kada is an advanced project, having previously been explored by Newmont. Newmont completed 33,857m of drilling (297 holes) and outlined a non-JORC gold resource at Kada. With infill drilling, Golden Rim believes it can calculate a maiden JORC Mineral Resource in the nearterm.

There is considerable exploration upside at Kada. The gold mineralisation in the Newmont gold resource area remains open along strike and at depth. Only around 2% of the project area has been subjected to any exploration drilling and approximately 90% of the gold-in-soil anomalies remain untested at the Kada, including sample sites that have returned values up to 22,470ppb gold (22.5g/t gold). Granite contact target areas are considered a priority for exploration.

Forward Looking Statements

Certain statements in this document are or maybe 'forward-looking statements' and represent Golden Rim's intentions, projections, expectations or beliefs concerning among other things, future exploration activities. The projections, estimates and beliefs contained in such forward looking statements necessarily involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of Golden Rim, and which may cause Golden Rim's actual performance in future periods to differ materially from any express or implied estimates or projections. Nothing in this document is a promise or representation as to the future. Statements or assumptions in this document as to future matters may prove to be incorrect and differences may be material. Golden Rim does not make any representation or warranty as to the accuracy of such statements or assumptions.

Contact:

Tel: +61 3 8677 0829

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