QUARTERLY ACTIVITIES REPORT - Azure Minerals · Reverse Circulation drilling was terminated in early March with 36 holes (MDPC -138 to MDPC -169 & GGC - 001 to GGC-004) drilled for

21 APRIL 2020

Level 1, 34 Colin Street, West Perth, Western Australia, 6005 | T: +61 8 9481 2555 | F: +61 8 9485 1290 www.azureminerals.com.au | ABN: 46 106 346 918 | ASX: AZS

QUARTERLY ACTIVITIES REPORT FOR PERIOD ENDED 31 MARCH 2020

COVID-19 UPDATE Upon the onset of the COVID-19 pandemic, Azure acted quickly to ensure the well-being and safety of employees, contractors and local communities by implementing the following steps in early to mid-March: • Suspension of drilling and all field exploration; • Suspension of trial processing of ore from Oposura with concentrates bagged and stored in

the Company’s warehouse; • Field crews demobilised to their home bases; and • Implementation of recommended policies and procedures which included “no travel”, “no

congregating in groups”, “social distancing” and “working from home”.

On March 31st, the Mexican Federal Government declared a State of Emergency and suspension of all non-essential activities, industries and travel for the period to 30th April. This included the immediate shutting down of all mines and mining and exploration activities in Mexico, and all offices deemed non-essential were closed.

ALACRÁN PROJECT (100% Azure: gold-silver-copper) • RC drilling program suspended with 36 holes completed for 3,604m • Better gold intersections include:

MDPC-143: 126.0m @ 2.0g/t Au from 1.5m; including 34.5m @ 3.9g/t Au MDPC-160: 37.5m @ 1.8g/t Au from 1.5m; including 19.5m @2.4g/t Au MDPC-168: 21.0m @ 2.0g/t Au from 19.5m; including 15m @ 3.75g/t Au

• New greenfields copper discovery made at Gregors with first-pass drilling intersecting a blind zone of copper sulphide mineralisation, returning: GGC-002: 6.0m @ 2.30% Cu within a wider zone of 30m @ 0.68% Cu from 22.5m GGC-003: 1.5m @ 7.03% Cu within a wider zone of 18m @ 0.96% Cu from 21.0m

• Wide zone of gold mineralisation intersected beneath the old San Simon mine: MDPC-168: 21m @ 2.0g/t Au & 64g/t Ag from 19.5m; including 6.0m @ 3.35g/t Au

OPOSURA PROJECT (100% Azure: zinc-lead-silver) • Trial processing produced circa 50 tonnes of bulk zinc-lead-silver concentrate grading

approximately 35% Zn, 30% Pb & 140g/t Ag • Concentrates produced have been bagged and stored

http://www.azureminerals.com.au/

Level 1, 34 Colin Street, West Perth, Western Australia, 6005 | T: +61 8 9481 2555 | F: +61 8 9485 1290 www.azureminerals.com.au | ABN: 46 106 346 918

ALACRÁN PROJECT - (AZS 100% ownership)

Reverse Circulation drilling was terminated in early March with 36 holes (MDPC-138 to MDPC-169 & GGC-001 to GGC-004) drilled for 3,604 metres. All assay results have been received.

Drilling was undertaken at the Loma Bonita gold-silver deposit for resource infill and extension, at Mesa de Plata to collect additional samples for advanced metallurgical testwork, and at the Cerro San Simon, Mina San Simon and Gregors greenfields exploration targets.

RESOURCE INFILL AND EXPANSION DRILLING AT LOMA BONITA The Loma Bonita deposit, as defined by the current Mineral Resource Estimate (MRE), extends over 600 metres north-south, up to 200 metres east-west, and remains open for expansion. Mineralisation starts at surface and in places the true width/thickness of the mineralised zone exceeds 100 metres.

Resource expansion drilling comprised stepping out from the southern and eastern resource boundaries to increase the resource size while resource infill drilling was undertaken to improve definition of internal high-grade zones, confirm internal continuity and obtain samples for additional metallurgical testwork.

Better gold intersections from drilling outside of the current resource boundaries (ASX: 5 February, 4 March & 23 March 2020) include:

MDPC-141: 36.0m @ 1.0g/t Au from 12.0m MDPC-153: 58.5m @ 0.7g/t Au from 15.0m • MDPC-154: 73.5m @ 0.7g/t Au from 0m • MDPC-155: 31.5m @ 1.7g/t Au from 0m (entire hole) • MDPC-159: 75.0m @ 0.5g/t Au from 0m • MDPC-160: 37.5m @ 1.8g/t Au from 1.5m • MDPC-165: 7.5m @ 2.3g/t Au from 22.5m

Based upon these mineralised intersections, which occur up to 150 metres outside of the current resource boundaries, the Company expects that a revised MRE for the Loma Bonita deposit would result in increased contained gold ounces.

The current mineral resources estimate for Loma Bonita is: 150,000oz gold & 4.8Moz silver in 5.4Mt @ 0.9g/t Au & 28g/t Ag (refer Table 1).

Table 1: Loma Bonita Mineral Resource Estimate (in accordance with the JORC Code 2012)

Cut-Off Grade (g/t Au) JORC Code Classification Tonnes

(Mt) Gold Silver

(g/t) (kOz) (g/t) (Moz) ≥ 0.21 Indicated Mineral Resource 4.2 0.95 128 30.1 4.1

Inferred Mineral Resource 1.2 0.6 22 18.0 0.7 Total 5.4 0.9 150 28.0 4.8

Note: for details refer to ASX announcement dated 21 December, 2016



Holes were also drilled inside the current resource to confirm internal continuity of high-grade zones and potentially upgrade some resources from Inferred category to Indicated resources. Better gold intersections (ASX: 5 February, 4 March & 23 March 2020) from these holes include:

MDPC-143: 126.0m @ 2.0g/t Au from 1.5m MDPC-161: 28.5m @ 1.3g/t Au from 0m • MDPC-162: 34.5m @ 1.2g/t Au from 87.0m

METALLURGICAL DRILLING AT MESA DE PLATA Azure’s drilled three holes (MDPC-150 to 152) into the Mesa de Plata silver deposit to collect bulk samples for advanced metallurgical testwork, with each hole intersecting wide intervals of high-grade silver mineralisation. Intersections from these holes include (ASX: 4 March 2020):

MDPC-150: 10.5m @ 805g/t Ag from 12m; including 6.0m @ 1,284g/t Ag MDPC-151: 24.0m @ 474g/t Ag from 36m; including 15.0m @ 677g/t Ag MDPC-152: 40.5m @ 344g/t Ag from 0m; including 10.5m @ 774g/t Ag

Selected samples from these holes will be used for advanced stage metallurgical testwork for the purpose of optimising the process flowsheet for a Mesa de Plata mining and processing operation.

The Mesa de Plata Mineral Resource Estimate (refer Table 2) is: 27.4Moz silver in 10.5Mt @ 82g/t Ag which includes an at-surface high-grade resource of 15.5Moz silver in 1.8Mt @ 275g/t Ag.

Table 2: Mesa de Plata Mineral Resource Estimate (in accordance with the JORC Code 2012)

Zone

Measured Mineral Resource Indicated Mineral Resource Total Mineral Resource

Tonnes (Mt)

Silver Tonnes (Mt)

Silver Tonnes (Mt)

Silver (g/t Ag) (Moz) (g/t Ag) (Moz) (g/t Ag) (Moz)

High-Grade 1.21 307.4 12.0 0.54 201.7 3.5 1.75 274.7 15.5 Mid-Grade 8.43 43.0 11.7 0.28 36.2 0.3 8.71 42.8 12.0

Total 9.64 76.2 23.6 0.82 145.4 3.8 10.46 81.6 27.4 Note: for details refer to ASX announcement dated 1 December, 2016

EXPLORATION DRILLING

Gregors Copper Sulphide Prospect The Gregors prospect was originally recognised by Azure’s geologists in early 2016 when mapping identified breccia and gossan outcropping over an area of approximately 100m x 100m. The strongly iron-rich breccia and boxwork texture within the gossan suggested a sulphide-rich source, potentially representing base metal mineralisation. However, geochemical sampling of the outcrop returned only low grades of precious and base metals, downgrading the priority of the prospect at that time.

In late 2016, Azure flew an airborne VTEM geophysical survey over the entire Alacrán project area, and a small and discrete, reasonably intense electromagnetic (EM) response was detected coincident with the gossan outcrop. Modelling indicated the presence of a steep east-dipping EM conductor plate located beneath the gossan outcrop.

No further exploration was undertaken over this anomaly until late in 2019, when Azure regained full ownership and control of the Alacrán project from former partner Teck Resources. Detailed mapping, surface geochemical sampling and a ground EM survey were carried out over the gossan and the area of



the VTEM anomaly in early 2020. This identified faults and shearing and strong alteration within and around the gossan, and sampling returned weakly anomalous copper grades.

Four angled RC drill holes were drilled to test the EM anomaly and beneath the gossan with two holes (GGC-002 & GGC-003) being drilled from the same collar position at different dip angles.

Both holes intersected wide zones of breccia and strongly altered volcanic rocks containing significant visual quantities of disseminated chalcopyrite (copper sulphide) mineralisation. These holes returned the following copper intersections (ASX: 23 March 2020):

GGC-002: 30m @ 0.68% Cu from 22.5m; including 6.0m @ 2.30% Cu GGC-003: 18m @ 0.96% Cu from 21.0m; including 1.5m @ 7.03% Cu

The other two holes (GGC-001 & GGC-004) intersected altered and brecciated rocks containing disseminated pyrite, pyrite in veins and minor amounts of disseminated chalcopyrite that returned anomalous copper grades.

The Company’s current interpretation is that GGC-002 & GGC-003 intersected a higher-grade, copper-rich core potentially representing a mineralised breccia pipe and GGC-001 & GGC-004 drilled a lower-grade halo.

The presence of strong copper mineralisation hosted by iron-rich breccia is very promising as numerous high-grade, copper-rich breccia pipes associated with nearby copper porphyry bodies have been discovered and mined in the Cananea mining district. For example, the La Colorada breccia pipe (approximately 5Mt @ 7% Cu) was mined up to the 1930s, and the Maria breccia pipe (ore reserves of 1.6Mt @ 6% Cu) was discovered in 1979 and mined up to the 1990s. At the top of these breccia pipes the cross-sectional area is usually less than 100m x 100m and the mineralised bodies often extend to very significant depths (in the hundreds of metres).

Azure is undertaking a detailed data review and interpretation plus initial mineralogical and metallurgical studies to assess potential and assist with planning a follow-up drill program.

Mina San Simon One RC hole (MDPC-168) was drilled to test at the historical Mina San Simon mine located about 700m southeast of the southern Loma Bonita resource boundary. The area between Loma Bonita and Mina San Simon and in the vicinity of Mina San Simon is mostly untested by drilling.

The old workings comprise two horizontal tunnels and a 30m deep vertical shaft which exploited a zone of vuggy silica hosting gold and silver mineralisation. A hole drilled by Azure in 2015 (LM-02) intersected a void created by the old mine workings that had extracted the mineralised zone.

Hole MDPC-168 drilled below these old mine workings and returned a well-mineralised gold and silver intersection (ASX: 23 March 2020), hosted in vuggy and massive silica, of:

MDPC-168: 21.0m @ 2.00g/t Au & 64g/t Ag from 19.5m

Further drilling to test the vuggy silica mineralised zone, which is interpreted to extend further to the east and south beneath the Cerro San Simon hill, will be undertaken in the next drill program.



Cerro San Simon Two RC holes (MDPC-148 & 149) were drilled at the Cerro San Simon prospect to follow up previous drill holes which intersected encouraging gold mineralisation, which included:

MDPD-025: 29.6m @ 0.56g/t Au (ASX: 21 December 2016) MDPD-035: 12.6m @ 0.37g/t Au (ASX: 21 December 2016) ALA-17-004: 63.0m @ 0.47g/t Au (ASX: 10 May 2018)

Both new holes intersected gold mineralisation (ASX: 4 March 2020) at the expected depths, including:

MDPC-148: 31.5m @ 0.40g/t Au from 12.0m MDPC-149: 16.5m @ 0.80g/t Au from 61.5m

The gold mineralisation encountered at both Cerro San Simon and Mina San Simon is hosted in a unit of strongly silicified volcanics and in some places in vuggy silica. This shallow-dipping unit outcrops extensively around the San Simon hill and north to the old Mina San Simon mine. In addition to the gold intersections from the drilling, it returned strongly anomalous gold assays from extensive surface sampling and detailed channel sampling from inside the old mine workings. This suggests the potential for a bulk-tonnage style gold deposit and further drilling is warranted for this prospect.

Figure 1: Plan of the Alacrán Project with drill holes



Figure 2: Mesa de Plata and Loma Bonita mineral resources and nearby drill holes

Figure 3: Drill holes at Gregors copper sulphide prospect



Figure 4: Drone photo of outcropping gossan at Gregors, looking northwest

Figure 5: Drone photo of drilling at Gregors, looking southeast



Figure 6: Photos of RC drill cuttings from Gregors with mineralised copper intersections Drill hole GGC-002 on the left and GGC-003 on the right

OPOSURA PROJECT - (AZS 100% ownership)

ORE PROCESSING, CONCENTRATE PRODUCTION AND OFF-TAKE OPTIONS

Due to the onset of the COVID-19 pandemic, Azure has suspended trial processing of Oposura ore and production of bulk zinc-lead-silver concentrates.

Separate parcels of high-grade ore (grading approximately 23.8% Zn & 17.9% Pb), mid-grade ore (grading approximately 9.8% Zn & 8.2% Pb), and low-grade ore (grading approximately 4.6% Zn & 4.6% Pb) were processed through the Tecoripa sulphide flotation plant on a batch basis.

Processing produced approximately 50 tonnes of high-quality, bulk zinc-lead-silver concentrate grading approximately 35% Zn, 30% Pb and 140g/t Ag with very low levels of contaminant metals and minerals. This bulk concentrate is potentially a marketable product, having a high value and low transport cost on a per tonne basis. Azure received one indicative tender from an international metals trading company for the purchase of this product and other companies expressed interest however discussions for concentrate sales have been suspended until the COVID-19 situation has stabilised or is resolved.



CORPORATE

During the quarter the company expensed some $1,138,000 on the exploration activities and $102,000 on the production activities reported above.

Payments to related parties of the entity and their associates totalled $194,000 and consisted of $37,000 Director fees and $157,000 Executive Service fees.

No mining concessions were acquired or relinquished during the quarter.

-ENDS-

Authorised for release by Brett Dickson, Company Secretary

For enquiries, please contact: Tony Rovira Managing Director Azure Minerals Limited Ph: +61 8 9481 2555

or visit www.azureminerals.com.au

Competent Person Statements:

Information in this report that relates to previously reported Exploration Results has been crossed-referenced in this report to the date that it was reported to ASX. Azure Minerals Limited confirms that it is not aware of any new information or data that materially affects information included in the relevant market announcements.

Information in this report that relates to Mineral Resources for the Alacrán Project is extracted from the reports “Silver Resource Upgraded at Mesa de Plata” created and released to the ASX on 1 December 2016 and “Initial Mineral Resource Estimate for Loma Bonita” created and released to the ASX on 21 December 2016 and are available to view on www.asx.com.au. Azure Minerals Limited confirms that it is not aware of any new information or data that materially affects information included in the relevant market announcement, and that all material assumptions and technical parameters underpinning the estimates in the announcement continue to apply and have not materially changed.

Information in this report that relates to Mineral Resources for the Oposura Project is extracted from the report “Azure Delivers Robust Initial Mineral Resource at Oposura” created and released to the ASX on 4 July 2018 and is available to view on www.asx.com.au. Azure Minerals Limited confirms that it is not aware of any new information or data that materially affects information included in the relevant market announcement, and that all material assumptions and technical parameters underpinning the estimates in the announcement continue to apply and have not materially changed.

Information in this report that relates to the Scoping Study for the Oposura Project is extracted from the report “Oposura Scoping Study Delivers Outstanding Economics” created and released to the ASX on 15 October 2018 and is available to view on www.asx.com.au. Azure Minerals Limited confirms that it is not aware of any new information or data that materially affects information included in the relevant market announcement, and that all material assumptions and technical parameters underpinning the estimates in the announcement continue to apply and have not materially changed.



http://www.asx.com.au/



Rule 5.5

Name of entityAzure Minerals Limited

ABN Quarter ended ("current quarter")46 106 346 918 31-Mar-20

Current Year to datequarter (9 months)$A’000 $A’000

1 Cash flows from operating activities1.1 Receipts from customers - - 1.2 Payments for - -

(a) exploration & evaluation (if expensed) (1,138) (2,544)

(b) development - -

(c) production (102) (899)

(d) staff costs (460) (951)

(e) administration and corporate costs (203) (1,135)

1.3 Dividends received (see note 3) - -

1.4 Interest received 6 11

1.5 Interest and other costs of finance paid - -

1.6 Income taxes paid - -

1.7 Government grants and tax incentives - -

1.8 5 1,073

1.9 Net cash from / (used in) operating activities (1,892) (4,445)

2 Cash flows from investing activities

2.1 Payments to acquire:

(a) entities - -

(b) tenements 18 (178)

(c) property, plant and equipment (4) (31)

(d) exploration & evaluation (if capitalised) - -

(e) investments - -

(f) other non-current assets - -

Appendix 5B

Consolidated statement of cash flows

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Other - (prior year IVA recovered - Mexican GST)

ASX Listing Rules Appendix 5B (01/12/19) + See chapter 19 of the ASX Listing Rules for defined terms.

1


2.2 Proceeds from the disposal of:

(a) entities - -

(b) tenements - 37

(c) property, plant and equipment - -

(d) investments - -

(e) other non-current assets

2.3 Cash flows from loans to other entities - -

2.4 Dividends received (see note 3) - -

2.5 Other (provide details if material) - -

2.6 Net cash from / (used in) investing activities 14 (172)

3 Cash flows from financing activities

3.1 - 3,719

3.2 Proceeds from issue of convertible debt securities - 2,000

3.3 Proceeds from exercise of options - - 3.4 ......

- -

3.5 Proceeds from borrowings - -

3.6 Repayment of borrowings - -

3.7 Transaction costs related to loans and borrowings - -

3.8 Dividends paid - -

3.9 Other - convertible note interest paid (125) (125)

3.10 Net cash from / (used in) financing activities (125) 5,594

4 ........

4.1 .... 3,588 650 4.2 ......

(1,892) (4,445)

4.3 ......

14 (172)

4.4 ......

(125) 5,594

4.5 ... (89) (131)

4.6 Cash and cash equivalents at end of period 1,496 1,496


Transaction costs related to issues of equity securities or convertible debt securities

Net increase / (decrease) in cash and cash equivalents for the period

Proceeds from issues of equity securities (excluding convertible debt securities)

Cash and cash equivalents at beginning of period

Effect of movement in exchange rates on cash held

Net cash from / (used in) operating activities (item 1.9 above)Net cash from / (used in) investing activities (item 2.6 above)Net cash from / (used in) financing activities (item 3.10 above)


2


5

5.1 1,438 3,530

5.2 58 58

5.3 - -

5.4 - - 5.5 ......

1,496 3,588

6Current quarter

$A'0006.1 ......

194

6.2 ......

-

7Total facility

amount at quarter end $A'000

Current quarter $A'000

7.1 - -

7.2 - -

7.3 2,000 2,000

7.4 2,000 2,000

7.5 -

7.6


Financing facilitiesNote: the term “facility’ includes all forms of financing arrangements available to the entity.Add notes as necessary for an understanding of the sources of finance available to the entity.

Loan facilities

Credit standby arrangements

Other (Convertible Notes listed in item 3.2)*

Total financing facilities

* 2 million Convertible Notes were issued to Deutsche Balaton Aktiengesellschaft (1 million) and Delphi Unternehmensberatung Aktiengesellschaft (1 million) each with a face value of $1. The notes are convertible into13,793,103 ordinary shares in Azure Minerals at a conversion price of $0.145 per share. The notes were issued on 19 July 2019, have a term of 2 years and accrue interest at a rate 12.5% pa paid in arreas every 6 months after issue.

at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts

Bank balances

Include in the box below a description of each facility above, including the lender, interest rate, maturity date and whether it is secured or unsecured. If any additional financing facilities have been entered into or are proposed to be entered into after quarter end, include a note providing details of those facilities as well.

Payments to related parties of the entity and their associates

Aggregate amount of payments to related parties and their associates included in item 1Aggregate amount of payments to related parties and their associates included in item 2

Unused financing facilities available at quarter end

Call deposits

Other (provide details)Cash and cash equivalents at end of quarter (should equal item 4.6 above)

Bank overdrafts

Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an explanation for, such payments.

Reconciliation of cash and cash equivalents


3

8 $A’000

8.1 (1,892)

8.2 -

8.3 (1,892)

8.4 1,496

8.5 -

8.6 1,496

8.7 0.79

8.8

1

2 This statement gives a true and fair view of the matters disclosed.

Authorised by: Brett Dickson, Company Secretary

Date: 21 April 2020

Answer: Yes, cash at the end of the quarter was $1.5 million and as set out in 8.8(1) above steps have been taken to significantly reduce expenditure.

3. Does the entity expect to be able to continue its operations and to meet its business objectives and, if so, on what basis?

Estimated cash available for future operating activities

Net cash from / (used in) operating activities (Item 1.9)

Capitalised exploration & evaluation (Item 2.1(d))

Total relevant outgoings (Item 8.1 + Item 8.2)

Cash and cash equivalents at quarter end (Item 4.6)

Unused finance facilities available at quarter end (Item 7.5)

Total available funding (Item 8.4 + Item 8.5)

Estimated quarters of funding available (Item 8.6 divided by Item 8.3)

1. Does the entity expect that it will continue to have the current level of net operating cash flows for the time being and, if not, why not?Answer: No. Expenditure will be significantly reduced as trial processing of Oposura Zinc-Lead ore ceased and an exploration and drilling program program undertaken at the Alacran project finished during March. No drilling is planned in the next two quarters due to COVID-19. In addition, all discretionary expenditure has been reviewed and signifcantly reduced, together with directors fees and executive salaries, in response to COVID-19. 2. Has the entity taken any steps, or does it propose to take any steps, to raise further cash to fund its operations and, if so, what are those steps and how likely does it believe that they will be successful?Answer: Not at this time

If Item 8.7 is less than 2 quarters, please provide answers to the following questions:

This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A

Compliance statement


4

Notes1

2

3

4

5

If this report has been authorised for release to the market by your board of directors, you can insert here: “By the board”.If it has been authorised for release to the market by a committee of your board of directors, you can insert here: “By the[name of board committee – eg Audit and Risk Committee]”. If it has been authorised for release to the market by adisclosure committee, you can insert here: “By the Disclosure Committee”.

If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out ascomplying with recommendation 4.2 of the ASX Corporate Governance Council’s Corporate Governance Principles andRecommendations, the board should have received a declaration from its CEO and CFO that, in their opinion, the financialrecords of the entity have been properly maintained, that this report complies with the appropriate accounting standardsand gives a true and fair view of the cash flows of the entity, and that their opinion has been formed on the basis of asound system of risk management and internal control which is operating effectively.

This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about theentity’s activities for the past quarter, how they have been financed and the effect this has had on its cash position. Anentity that wishes to disclose additional information over and above the minimum required under the Listing Rules isencouraged to do so.

If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in,and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flowsapply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standardsagreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.

Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities,depending on the accounting policy of the entity.

ASX Listing Rules Appendix 5B (01/12/19)

+ See chapter 19 of the ASX Listing Rules for defined terms.5

Project Common Name Mineral TenementInitial

Percentage Final

Percentage

Oposura, Sonora - Mexico El Monstruo De Plomo All Minerals 180473 100% 100%Don Genaro All Minerals 180474 100% 100%El Crestón De Plomo All Minerals 180475 100% 100%Candelaria All Minerals 180476 100% 100%El Hueco All Minerals 180477 100% 100%Campo De Plomo All Minerals 180602 100% 100%Oposura Número 2 All Minerals 180603 100% 100%Oposura Número 4 All Minerals 180604 100% 100%Oposura Número 6 All Minerals 180605 100% 100%El Encinal All Minerals 223473 100% 100%

Sara Alicia, Sonora - Mexico Sara Alicia All Minerals 165539 100% 100%Sara Alicia II All Minerals TBA 0% 100%

El Tecolote, Sonora - Mexico El Tecolote All Minerals 243923 100% 100%El Tecolote III All Minerals 234586 100% 100%

Promontorio, Chihuahua - Mx Hidalgo All Minerals 235270 100% 100%Promontorio All Minerals 235269 100% 100%El Magistral All Minerals 218881 100% 100%Promontorio 1 All Minerals 245495 100% 100%Promontorio 2 All Minerals 245496 100% 100%Promontorio 3 All Minerals 245497 100% 100%Promontorio 4 All Minerals 245505 100% 100%Promontorio 5 All Minerals 245500 100% 100%Promontorio 6 All Minerals 245498 100% 100%Promontorio 7 All Minerals 245506 100% 100%Promontorio 8 All Minerals 245507 100% 100%Promontorio 9 All Minerals 245501 100% 100%Promontorio 10 All Minerals 245499 100% 100%Promontorio 11 All Minerals 245502 100% 100%Promontorio 12 All Minerals 245503 100% 100%Promontorio 13 All Minerals 245504 100% 100%

Oso Negro, Sonora - Mexico El Sahuaro All Minerals 243322 100% 100%Oso Negro All Minerals application 100% 100%

Panchita, Sonora - Mexico Panchita All Minerals 212767 100% 100%Dona Panchita All Minerals 192097 100% 100%

San Augustin, Sonora - Mexico San Augustin1 All Minerals 238325 100% 100%Alacran, Sonora - Mexico Kino 3 All Minerals 166312 100% 100%

Kino 2 All Minerals 166313 100% 100%Kino 4 All Minerals 166314 100% 100%Kino 8 All Minerals 166315 100% 100%Kino 9 All Minerals 166316 100% 100%Kino 10 All Minerals 166317 100% 100%Kino 11 All Minerals 166318 100% 100%Kino 15 All Minerals 166365 100% 100%Hidalgo No. 4 All Minerals 166366 100% 100%Kino 16 All Minerals 166367 100% 100%Hidalgo No. 3 All Minerals 166368 100% 100%Hidalgo No. 2 All Minerals 166369 100% 100%Hidalgo No. 5 All Minerals 166370 100% 100%Hidalgo No. 6 All Minerals 166371 100% 100%Hidalgo No. 8 All Minerals 166372 100% 100%Hidalgo No. 7 All Minerals 166373 100% 100%Hidalgo All Minerals 166374 100% 100%Hidalgo No. 9 All Minerals 166375 100% 100%San Simon All Minerals 166376 100% 100%San Simon No. 2 All Minerals 166377 100% 100%El Alacran All Minerals 201817 100% 100%

Annexure 1Schedule of Interests in Mining Tenements


6

Documents

QUARTERLY ACTIVITIES REPORT - Azure Minerals · Reverse Circulation drilling was terminated in early March with 36 holes (MDPC -138 to MDPC -169 & GGC - 001 to GGC-004) drilled for