Short Term Trading Week starting: 9th Oct, page-34

4CE

9 October 2017

Independent Technical Due Diligence received and confirm the presence of lithium mineralisation in pegmatite exposures at and near surface

▪ Channel and rockchip sampling of the previously reported visible spodumene in pegmatites have ALL reported significant lithium, tin and tantalum mineralisation.

▪ Assays results of up to 2.15% Li2O, with channel and rockchip assays within moderate to highly weathered spodumene pegmatite including A2311-A2316: 6m at 0.19% Li2O from surface (including 1m at 0.39% Li2O) and A2308: 0.87% Li2O, A2304: 0.35% Li2O, A2315: 0.39% Li2O, and A2319 at 0.43% Li2O

▪ The channel and rockchip samples were taken from exposed pegmatites at surface and to depths of up to 6m and extending over an initial test area of 3km x 3.5km

▪ The high grade results and extent of near surface mineralisation in predominantly weathered pegmatites, combined with the projects exceptional location within 40km of AVZ Minerals’ ‘world-class’ Manono and Kitotolo deposits, underscores the significant potential of the Company’s Kitotolo Lithium Project.

▪ Results support the potential for the underlying fresh pegmatite to host higher grades of lithium as confirmed by recent drilling in the Manono-Kitotolo Pegmatite

▪ The shallow pegmatites and assayed lithium mineralisation confirmed in artisanal workings and pits remain to be tested for depth and strike extensions, which are open in all directions and are considered to extend for several kilometres along a NE-SW trend

▪ Next phase of exploration to include further detailed mapping, test pitting and augering and small drilling program to drill test the fresh pegmatite and spodumene mineralization