Monty Feasibility Study

Monty Feasibility Study Results A High‐Grade Development with Outstanding Returns

Highlights

 Feasibility Study approved and decision to proceed to development of Monty made by Talisman Board.

 Talisman is in final discussions with a short list of potential financiers to debt fund up to 100% of its share of pre-production capital.

 Monty Mining Lease granted on 30 March 2017. All remaining approvals expected by mid-CY2017.

 Maiden Probable Ore Reserveii for Monty of 80kt copper (and 42koz gold) at the exceptionally high grade of 8.7% copper (100% basis). This places Monty amongst the highest grade copper mines globally.

 Total Mine Plan copper-in-ore of 74kt over an initial ore production life of 30 months (100% basis). Talisman’s 30% share equates to 22kt copper-in-ore and 20kt payable copper output.

 Low risk and low capital intensity development via utilisation of JV partner Sandfire Resources’ nearby DeGrussa facilities. Springfield Ore Sale and Purchase Agreement executed with Sandfire.

 Outstanding expected financial returns11 (Talisman 30% share) of A$64M pre-tax free cash flow, pre-tax NPV8 of A$46M and 78% pretax IRR.

 Talisman’s share of forecast pre-production capital is A$22M. Current planning targets decline development commencing 4Q CY2017 and first ore delivered in 4Q CY2018.

 Exploration programs to continue in parallel with project development to test for mineralised zones in close proximity to the Monty deposit and target further new discoveries.




.......................................................................................................................................................