Fosterville South Reports Multiple Gold Intercepts from Initial Shallow Scout Drill Holes at Lauriston

VANCOUVER, March 10, 2021 - Fosterville South Exploration Ltd. ("Fosterville South") or (the "Company") (TSXV: FSX) (OTC: FSXLF) (Germany: 4TU) is pleased to report new gold assay results from the ongoing drill program at its Energetic Reefs prospect located within the Lauriston Project in Victoria, Australia and final assays from 2020 drilling at Golden Mountain.

Highlights:

• Shallow drilling at Energetic Reefs (Lauriston) intersects gold mineralisation over an initial 350m strike length
• results include 1m at 9.50 g/t Au from 44m, 1m at 8.35 g/t Au from 43m and 1m at 5.35 g/t Au from 39m in various shallow scout holes drilled
• drill permit received at Moormbool Project with drilling to commence within 15 days
• Merton Project exploration licence of 498km2 granted
• drilling to re-commence at Golden Mountain within 30 days after summer break

Lauriston

Multiple shallow holes being reported today intersected lengthy zones of gold mineralisation, such as EN007 which returned 13 metres at 1.02 g/t Au, including 1 metre at 9.50g/t Au from 44 to 57 metres. The drilling has provided key information into the complexity of the mineralization of the breached saddle reef structure and its associated strong halo of mineralization that forms the Energetic Reefs prospect.

Fosterville South continues to drill for extensions of the established mineralisation at Energetic Reefs, which is open along strike and open at depth, as well as within parallel structures at Energetic Reefs.

Rex Motton, Chief Operating Officer and Director, states, "Drilling at Energetic Reefs intersected gold mineralisation for the entire 350m strike length drilled, with low grade haloes surrounding high grade gold present throughout the system. Regular intercepts of mined out sections were also encountered from where the previous high grade shallow gold mining had occurred. Our results also indicate that there is a new parallel zone target at Energetic Reefs, masked by a thin veneer of flood basalt cover, which will be drill tested."

Fosterville South is very active in its exploration of a host of its highest value targets in the largest prospective package in Victoria and has now moved into an expanded operations headquarters in Bendigo, Australia. Expanded field teams, drill rigs and geologists are accelerating the activity throughout the tenements. With close to $30 million in cash on hand, the Fosterville South is in excellent shape to continue this ramp up and expects to report consistent news flow on its activities.

Projects Update

Drill Permit at Moormbool Project

Fosterville South is pleased to announce that it has received a drill permit for its Moormbool Project, where the Company expects to start drilling within the next 15 days. The initial drill program plans to focus on the Staffordshire Flat Fault Zone, which is a regional structure masked by 20m of alluvial cover and with anomalous gold-arsenic in soil cover. It is a high priority magnetic and geochemical target. Further northwest along the same valley/structure were extensive alluvial workings overlying gold mineralised diorite dykes.

Golden Mountain, Tallangallook Project

The Company will also re-commence drilling at its Golden Mountain Project within the month, with the onset of cooler weather during Autumn. Due to potential fire risk typically present during the summer in this area, Fosterville South paused drilling at Golden Mountain. The upcoming drill program will focus on deeper drilling of the Golden Mountain main N-S zone as well as following up on satellite prospects and extensions as has already been permitted late last year.

A new access track is being completed at Star of the Glen Prospect to re-commence drilling in the southern section of the Tallangallook Project. This new access track is important as last years drilling at Star of the Glen was restricted by difficult access.

A table of all notable drill results (including previously released results) received to date from drilling at Golden Mountain, Tallangallook Project can be found in Table 2.0 below.

Enoch's Point

The Enoch's Point project covers 290km2 of highly prospective the Woods Point - Walhalla Gold Belt, with numerous gold prospects including the Luck's All gold prospect. Recent exploration has taken three forms with regional ridge and spur sampling, plus geochemical sampling of various former gold mines and also a Work Plan submission for drilling at Luck's All gold prospect awaiting approval.

The Luck's All mine at Enoch's Point has been prioritised for drilling as soon as possible. It consists of narrow sheeted auriferous quartz veins hosted by a pipe like diorite dyke. The mine operated from 3 adits and produced 17,301oz from 26,482 tons at a recovered grade of 20.32 g/t Au and worked to a maximum depth of about 100m in steep terrain. Luck's All gold prospect has a similar geological setting as a dyke 'bulge' to the Morning Star and the A1 underground gold mines in the region, which have produced 1.2M Oz and A1 488K Oz respectively. Both mines are still in production.

Egan's Reef at Merton

Fosterville South is pleased to announce that it has been granted the Merton licence of 498km2, which covers the southern area of the Tallangallook Project through to the Providence Project to the southwest. The project includes various isolated historic gold prospects that have not been drilled or explored previously including the 2km long Egan's Reef near the township of Merton. The Company is targeting the old gold prospects, initially by establishing landowner access and then carrying out geochemical surveys to scope each prospect.

Table 1.0 Lauriston's Energetic Reefs Results

RC Percussion Drill Results and Intercepts:

The composite intercepts use a 0.3 g/t Au cut-off grade and carry a maximum 2m of internal waste. Additional drilling is required to determine true widths as drilling has not been of a sufficient nature to confirm strike and dip of the various zones of mineralisation. The assays are not capped. All drilling assays are from Reverse Circulation percussion drilling.

Table 2.0 Drill Results from Golden Mountain in 2020

The following table sets forth the diamond drill core results at Golden Mountain throughout 2020:

Table 3 West extension drilling for the E-W granite contact zone.

The following table sets forth reverse circular drilling carried out in December 2020 which targeted the western extension of the E-W zone to the north west of the Golden Mountain historic open pits:

The zones of mineralisation are open to the west, southwest and at depth and further drilling is planned in March 2021.

In Table 3 the composite intercepts use a 0.3 g/t Au cut-off grade and carry a maximum 2m of internal waste. Additional drilling is required to determine true widths as drilling has not been of a sufficient nature to confirm strike and dip of the various zones of mineralisation. The assays are not capped. All drilling assays are from Reverse Circulation percussion drilling.

Quality Assurance / Quality Control

All assays were subject to quality control measures appropriate for reverse circulation percussion type drilling with duplicates, blanks and commercially available standards with the expected results from the samples submitted. All assays were conducted by Onsite Laboratory Services Ltd (ISO: 9001), located in Bendigo, Victoria, using fire assay techniques with a 50g charge and AAS finish. The quality control results are consistent.

About Fosterville South Exploration Ltd.

Fosterville South began with two, 100% owned, high-grade gold projects called the Lauriston and Golden Mountain Projects, and has since acquired a large area of granted and application tenements containing further epizonal (low-temperature) high-grade gold mineralisation called the Providence Project and a large group of recently consolidated license tenement applications called the Walhalla Belt Project, which contain a variety of epizonal and intrusion related style gold mineralisation, all in the state of Victoria, Australia. The Fosterville South land package, assembled over a multi-year period, notably includes a 600 sq. km property immediately to the south of and within the same geological framework that hosts Kirkland Lake Gold's Fosterville epizonal gold tenements. Additionally, Fosterville South has gold-focused projects called the Moormbool and Beechworth, which are also located in the state of Victoria, Australia. Moormbool project has epizonal style gold mineralisation and Beechworth has mesozonal and intrusion relation gold mineralisation.

All of Fosterville South's properties, with the possible exception of Moormbool, have had historical gold production from hard rock sources despite limited modern exploration and drilling.

Qualified Person

The technical content of this news release has been reviewed, verified and approved by Rex Motton, AusIMM (CP), COO and Director of Fosterville South, a qualified person as defined by NI 43-101.

On behalf of the Company
Rex Motton
Chief Operating Officer and Director

Forward-Looking Statements

Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. Fosterville South cautions that all forward looking statements are inherently uncertain and that actual performance may be affected by many material factors, many of which are beyond their respective control. Such factors include, among other things: risks and uncertainties relating to Fosterville South's limited operating history, its exploration and development activities on is Lauriston and Golden Mountain Properties and the need to comply with environmental and governmental regulations. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, Fosterville South does not undertake to publicly update or revise forward-looking information.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.

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SOURCE Fosterville South Exploration Ltd.