ALTAMIN LIMITED — Capital/Financing Update 2017

Mar 7, 2017

ASX Announcement

8 March 2017

Energia on track for significant Indicated Resource upgrade at Gorno Zinc Project

Latest drilling includes impressive 17.3m intersection grading 7.7% Zn+Pb in GDD134 as DFS drilling wraps up ahead of revised resource estimation due for completion by early April 2017

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ASX Code EMX

ABN 63 078 510 988 PO Box 1785 West Perth WA 6872

Level 2, 20 Kings Park Road West Perth WA 6005

T: + 61 8 9321 5000 F: + 61 8 9321 7177 E: info@energiaminerals.com W: www.energiaminerals.com

Board of Directors Alexander Burns Executive Chairman Kim Robinson Managing Director Marcello Cardaci Non-Executive Director

Company Secretary Jamie Armes

Figure 1: Part of GDD134 intersection located outside of current resource including 2.3m grading 17.5% Zn+Pb from 51.5m

• Latest assays from ongoing resource drilling of the Colonna Zorzone zinc deposit include:

• 78.6m grading 2.8% Zn+Pb including 17.3m grading 7.7% Zn+Pb, 28g/tAg in GDD134;

• 10.1m grading 6.5% Zn+Pb, 22g/tAg in GDD130; and

• 4.9m grading 9.9% Zn+Pb, 103g/tAg in GDD132

• 15m intersection of zinc oxide in GDD147 confirms that zinc oxide ore will provide a significant component (~15%) of feed into Gorno processing facility.

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• New resource estimate based on drilling completed to date to be finalised by early April 2017, with the Gorno Definitive Feasibility Study (DFS) on track for completion by the end of April 2017.

• Plant design being undertaken by GBM Minerals Engineering Consultants close to completion and awaiting final metallurgical results.

• Discussions continuing with potential financiers and off-take partners.

Energia Minerals Ltd (ASX: EMX; “Energia” or Company) is pleased to report further strong results from ongoing resource drilling and feasibility work at its flagship 100%-owned Gorno Zinc Project in northern Italy where latest drilling has further defined the flagship Colonna Zorzone deposit, which still remains open in several directions, ahead of a new resource estimate which remains on track for completion by early April 2017.

The updated resource will be based on the drilling completed to date and will underpin the Definitive Feasibility Study (DFS) due for completion by the end of April.

In the upper levels of the Colonna Zorzone Deposit, recent drilling has produced some impressive intersections outside of the currently defined resource.

Hole GDD134 intersected 78.6m grading 2.8% Zn+Pb, 10 g/t Ag , including 17.3m grading 7.7% Zn+Pb, 28 g/t Ag while GDD130 intersected 20.1m grading 3.9% Zn+Pb, 16g/t Ag including 10.1m grading 6.5% Zn+Pb, 22g/t Ag .

These two holes, together with a third (GDD146), for which assays are not yet available, are expected to increase the resource in this area. However, it should be noted that these intersections were drilled at a very low angle to the mineralisation and the true widths are therefore likely to be less than 10 metres.

The latest assay results from the Exploration Decline drilling program include intersections of 3.1m grading 8.5% Zn+Pb and 61 g/t Ag in GDD122, 2.9m grading 7.9% Zn+Pb and 33 g/t Ag in GDD127, 3.4m grading 6.1% Zn +Pb and 19 g/t Ag in GDD131, 4.9m grading 9.9% Zn+Pb and 103 g/t Ag in GDD132 and 10.2m grading 3.4% Zn+Pb and 21 g/t Ag in GDD135.

The 4.9m intersection in GDD132 was followed by an additional 6.0m with less than 5% core recovery which assayed 6.8% Zn+Pb and 142g/t Ag, followed by another 0.7m with excellent core recovery assaying 13.1% Zn+Pb and 216g/t Ag. As there are significant concerns regarding the reliability of data within this 6.7m section, only the first 4.9m grading 9.9% Zn+Pb and 103g/t Ag is being considered for resource modelling. A replacement hole, GDD132A for which assays are awaited, was drilled 15m to the north east of GDD132 and encountered approximately 6m of visually similar mineralisation to that intersected in GDD132 with no core loss.

Assay results from a further eleven holes (including GDD132A) are awaited and will be included in the new resource statement.

Although drilling to be included in the DFS has now been completed, the deposit remains open in a number of directions and drilling is continuing with the number of drilling rigs reduced to two.

Immediate priority for ongoing drilling will be to define the limit of the Colonna Zorzone deposit to the east of GDD098 and GDD100 and to the west of holes GDD135, GDD037 and GDD147 given that all of these holes contain significant mineralisation. It is also intended that additional in-fill drilling will be undertaken to the south of GDD145 down to the high-grade historical drilling on the 600 level.

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The GDD135 intersection is entirely oxidised and appears to form a coherent zone of oxidised mineralisation encompassing the previously announced hole GDD118 (4.7m at 20.0% Zn+Pb) and recently drilled hole GDD147 (see Figure 2 below), which encountered approximately 15 metres of oxidised mineralisation of visually similar material to the intersection in GDD118.

This is the third area where significant quantities of zinc oxides (predominantly Hydrozincite and Smithsonite containing between 50% and 60% zinc) have been located within the Colonna Zorzone orebody. It is likely that this higher grade, completely oxidised material will bypass the Ore Sorters and be fed directly to the flotation plant, which will increase overall zinc oxide and lead oxide recovery.

In order to accommodate this scenario, a dedicated oxide ore pass to the proposed underground crushing facility has now been factored into the mine design.

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Figure 2: GDD147 intersection containing the zinc and lead oxide minerals (the more friable white, yellow-brown sections) interlayered with grey Breno limestone

Metallurgical testwork has continued to focus on increasing the zinc and lead recoveries from the 15% oxidised ore present within the Colonna Zorzone orebody. The results to date from this work, although not as impressive as the 95% recoveries for zinc achieved for the

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sulphide ore, have been very encouraging and will be incorporated into the DFS once finalised.

As previously announced, the DFS will incorporate the proposed sale of three separate products; 1. A blend of lead oxide concentrate and lead sulphide concentrate; 2. A zinc oxide concentrate; and 3. A zinc sulphide concentrate.

Because of the small quantities of both lead and zinc oxides anticipated being produced from the Project, the possibility of blending a lower grade zinc oxide concentrate delivering higher recoveries with the zinc sulphide concentrate will also be investigated during discussions with off-take partners following completion of the DFS.

Energia’s Managing Director, Mr Kim Robinson, said the latest drilling continued to demonstrate the significant potential of the Gorno Zinc Project ahead of the completion of an updated resource estimate and Definitive Feasibility Study next month.

“We are now well and truly getting down to the business end of the Project, with work now underway on an upgraded Indicated Resource based on the drilling completed to date. This new resource, which is on track for completion by the end of March, will underpin the DFS due by the end of April,” he said.

“However, two rigs will continue operating focusing on areas where there is significant upside potential to the resource. One of these areas is where we have encountered significant thick zones of zinc oxide mineralisation, which we now know will play an important role in the future production profile of the Gorno Project.”

“Investors can look forward to strong news-flow over the coming weeks, with further assay results awaited ahead of the finalisation of the new resource estimate by early April.”

“That will, in turn, set the stage for the release of the DFS, which is progressing on schedule with the plant design component now in its final stages.”

“We are also experiencing a very high level of interest in the Gorno Project from potential off-take partners and financiers as well as from community stakeholders and both regional and provincial government authorities who are all working to bring forward the approval process. With the structural deficit in the zinc market now starting to bite and the outlook for zinc remaining extremely buoyant, we are very excited about the opportunity to bring this high-quality zinc project into production in the near future.”

For and on behalf of Energia Minerals Limited.

For media enquiries contact: Kim Robinson Nicholas Read Managing Director Read Corporate +61 8 9321 5000 +61 8 9388 1474 info@energiaminerals.com info@readcorporate.com.au

Competent Person Statement

Information in this release that relates to Exploration Results is based on information prepared by Mr Kim Robinson, a Competent Person who is a Member of the Australian Institute of Geoscientists. Mr Robinson is a full-time employee of Energia Minerals Limited. Mr Robinson has sufficient experience which is relevant to the styles of mineralisation and types of deposits under consideration and to the activities being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Robinson consents to the inclusion in this release of the matters based on their information in the form and context in which it appears.

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Figure 3: Colonna Zorzone showing completed drilling

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Table 1: Drilling location details and assay results for holes GDD117 to GDD148A

HOLE ID	Easting (m)	Northing (m)	Collar RL	Dip	Azimuth	Depth	From	Zn %	Pb %	Ag g/t	Thickness
	WGS84Z32N	WGSZ32N	(m ASL)			(m)	(m)				(m)
GDD117	559512.7	5084436	875.494	-40	101	144.6	125	2.3	1.2	13	1.3
							131.8	2.4	0.8	18	1.3
GDD120	559914.1	5084865	944.014	51	250	82.5	47.9	2.0	0.4	3	7.3
							66.4	2.5	0.9	7	9.2
GDD122	559513	5084435	876	-60	262	93.2	79.9	7.1	1.4	61	3.1
GDD123	559513	5084435	876	-51	126	134.6		No Significant Intercept
GDD124	559935	5084797	940	33	266	99.4	36.6	1.9	1.0	7	1
							39.6	1.4	0.8	6	1
							47.3	1.0	0.6	4	10
							64.3	8.4	0.6	4	1.7
							88	2.1	1.5	31	1.4
GDD125	559541	5084493	885	-16	297	110.6		No Significant Intercept
GDD126	559513	5084435	876	-36	266	132.9	114.2	3.2	1.1	83	3.6
Including							117	7.8	1.3	144	0.8
GDD127	559541	5084493	885	-25	28	84	63.7	6.3	1.6	33	2.9
Including							65.9	10.4	2.9	40	0.7
GDD128	559505	508415	946	34	243	32.6	15.3	2.8	0.6	24	9.0
Including							16.9	5.4	1.4	46	2.4
GDD129	559440	5084375	861	-36	196	256.4		No Significant Intercept
GDD130	559450	5084360	861	-11	121	103.7	37.9	2.5	0.6	17	2.5
							63.3	3.1	0.8	16	20.0
Including							69.2	5.3	1.2	22	10.1
And							89.3	1.5	0.8	18	5.5
GDD131	559493	5084383	868	-61	190	136.4	119.1	4.5	1.6	19	3.4
Including							121.8	11.9	4.1	25	0.7
GDD132*	559481	5084366	866	-49	213	156	139.1	8.1	1.8	103	4.9
Including							141.7	16.3	4.3	184	1.2
GDD132A	559483	5084365	866	-49	213	140.8		Assays Pending
GDD133	559531	5084752	944.3	-6	269	57.9	30.8	1.2	0.5	85	3.7
							39.4	1.2	0.5	43	3.2
							48	0.8	0.6	37	0.8
GDD134	559500	5084687	944.5	8	85	123.1	40.3	2.2	0.6	10	78.6
Including							40.3	6.2	1.5	28	17.3
And							51.5	12.7	3.0	50	3.6
And							77	0.6	0.4	11	3
And							92	2.5	0.6	10	17.5
Including							104.5	11.5	3.4	53	1
And							114	3.5	0.5	10	4.9
Including							118.2	11.9	1.3	28	0.7

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Table 1 Continued

GDD135	559482.7	5084365	865.56	-42	267	137.1	120	2.5	0.9	21	10.2
							132.3	2.2	0.7	14	1.2
		Including					128.2	11.4	3.8	54	1
GDD136	559493	5084383	867.5	-52	237	120.9	No Significant Intercept
GDD137	559482.7	5084366	865.6	-34	218	259.6	Assays Pending
GDD138	559538	5084791	944	42	57	78.1	No Significant Intercept
GDD139	559493	5084383	867.5	-78	255	94.8	No Significant Intercept
GDD140	559498	5084360	865.3	-44	202	228.8	Assays Pending
GDD141	559538	5084791	944	37	31	122.9	Assays Pending
GDD142	559493	5084383	867.5	-63	125	138.3	Assays Pending
GDD143	559501.5	5084630	945	-55	83	73.7	Assays Pending
GDD144	559493	5084383	867.5	-38	215	206.5	Assays Pending
GDD145	559498	5084360	865.3	-35	206	N/A	Assays Pending
GDD146	559500	5084667	944.5	-19	47	59.8	Assays Pending
GDD147	559493	5084383	867.5	-36	228	221.8	Assays Pending
GDD148A	559498	5084360	865.3	-26	218	295.5	Assays Pending

• Intersection continued in mineralisation with less than 5% recovery for next 6 metres which assayed 6.0% Zn, 0.8% Pb and 142g/t Ag, followed by a 0.7m interval assaying 11.3% Zn, 1.8% Pb and 216g/t Ag with good recovery with results not considered to be sufficiently reliable to be included in intersection

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Figure 4: GDD117 Cross Section

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Figure 5: GDD120 Cross Section

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Figure 6: GDD122 and GDD126 Cross Section

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Figure 7: GDD123 Cross Section

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Figure 8: GDD124 Cross Section

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Figure 9: GDD125 Cross Section

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Figure 10: GDD127 Cross Section

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Figure 11: GDD128 Cross Section

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Figure 12: GDD130 Cross Section

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Figure 13: GDD131 Cross Section

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Figure 14: GDD132 Cross Section

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Figure 15: GDD133 Cross Section

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Figure 16: GDD134 Cross Section

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Figure 17: GDD135 Cross Section

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JORC Code, 2012 Edition – Table 4 Gorno Historical Exploration Drilling Results

Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code explanation	Commentary
Sampling	 Nature and quality of sampling (eg cut channels, random	 Drill core was cored using NQ core bits. NQ/T2-66 measurements ID of
techniques	chips, or specific specialised industry standard	47.6/51.7mm and an OD of 75.7/66.5mm (T2-66 is roughly equivalent to NQ)
	measurement tools appropriate to the minerals under	Core samples were half core cut using a diamond saw with half the core being
	investigation, such as down hole gamma sondes, or	dispatched to the laboratory, and half retained. Individual samples were taken
	handheld XRF instruments, etc). These examples should	on geological intervals with lengths ranging between 0.7m and 1.3m, and an ideal
	not be taken as limiting the broad meaning of sampling.	length of 1m. Core received to date is largely very competent and cuts well with
	 Include reference to measures taken to ensure sample	little material loss or contamination. Cut core samples were dispatched using a
	representivity and the appropriate calibration of any	reputable contract courier from site to the laboratory where half core is dried,
	measurement tools or systems used.	then crushed and pulverised to allow 85% to pass -75µm. A 0.15g-0.25g aliquot
	 Aspects of the determination of mineralisation that are	subsample of the pulverised sample was then dissolved in a four acid digest, and
	Material to the Public Report.	then analysed using an ICP-AES or ICP-AAS technique to determine grades of the
	 In cases where ‘industry standard’ work has been done	following elements Pb, Zn, As, Ag, Bi, Co, Cu, Fe, Mg, Mn, Ni. Further testworks
	this would be relatively simple (eg ‘reverse circulation	may be carried out in the future for other analytes.
	drilling was used to obtain 1 m samples from which 3 kg	 Duplicates, blanks and certified reference materials were inserted into sample
	was pulverised to produce a 30 g charge for fire assay’).	series at a rate of better than 3 in 20. In addition two sample batches have been
	In other cases more explanation may be required, such	dispatched to an independent laboratory for umpire analysis, results obtained
	as where there is coarse gold that has inherent sampling	support the original results received.
	problems. Unusual commodities or mineralisation types	 Mineralisation can be both contained in oxides and sulphide material. Historical
	(eg submarine nodules) may warrant disclosure of	studies and recent observations show very low levels of deleterious elements in
	detailed information.	both material types, however further studies must be completed to quantify this.
		 Energia has exhaustive procedures and protocols in place to ensure that ‘Industry
		Standard’ is met as a minimum.
Drilling	 Drill type (eg core, reverse circulation, open-hole	 Diamond Core holes description:
techniques	hammer, rotary air blast, auger, Bangka, sonic, etc) and	o T2-66 and NQ diamond core
	details (eg core diameter, triple or standard tube, depth	o NQ core oriented, T2-66 core not oriented.
	of diamond tails, face-sampling bit or other type,	o Coring bit used
	whether core is oriented and if so, by what method, etc).	o T2-66 Diamec 252 Atlas Copco rig NQ Sandvik 130, and Diamec 262.

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Criteria	JORC Code explanation	Commentary
Drill sample	 Method of recording and assessing core and chip sample	 To date 146 holes have been completed, recovery on these holes has been
recovery	recoveries and results assessed.	acceptable, in excess of 98%. Most recovery loss in mineralised zones is most
	 Measures taken to maximize sample recovery and	likely the result of fine friable material being washed out from the core sample by
	ensure representative nature of the samples.	the drilling fluid. Observations to date suggest that this fine friable fraction is
	 Whether a relationship exists between sample recovery	weathered oxidized lead and zinc sulphides, resulting in a loss of mineralized
	and grade and whether sample bias may have occurred	material from the core sample. GDD132 suffered significant core loss (95%) over
	due to preferential loss/gain of fine/coarse material.	a 6m interval, GDD117 suffered minor core loss (10%) between 131 and 134m.
		 Core blocks are inserted by the drillers at the end of each drilling run, noting the
		run length, and total depth. This data is then compared to the measured
		recovered core length and recoveries for each run and the entire hole are
		calculated. Given the nature of the drilling, and the type of mineralisation
		encountered to date the sample is judged as being representative.
		 Given the nature of the drilling (diamond coring), and the generally competent
		nature of the mineralisation and host rock observed to date it is deemed very
		unlikely that a bias exists due to preferential loss/gain of fine/coarse material.
Logging	 Whether core and chip samples have been geologically	 All holes have been geologically logged on geological intervals with recording of
	and geotechnically logged to a level of detail to support	lithology, grain size and distribution, sorting, roundness, alteration,
	appropriate Mineral Resource estimation, mining studies	mineralisation, veining, structure, oxidation state, colour and geotechnical data
	and metallurgical studies.	noted and stored in the database. All holes were logged to a level of detail
	 Whether logging is qualitative or quantitative in nature.	sufficient to support future mineral resource estimation, scoping studies, and
	Core (or costean, channel, etc) photography.	metallurgical investigations.
	 The total length and percentage of the relevant	 Oxidation, colour, alteration, roundness, sorting, sphericity, alteration and
	intersections logged.	mineralisation are logged qualitatively. All other values are logged quantitatively.
		All holes have been photographed both wet and dry, and these photos stored in
		a database.
		 All holes have been logged over their entire length (100%) including any
		mineralised intersections. To date core loss is less than 2% and is noted in the
		logging.
Sub-sampling	 If core, whether cut or sawn and whether quarter, half or	 All core was half cut using a Diamonte table diamond saw.
techniques	all core taken.	 Not applicable.
and sample	 If non-core, whether riffled, tube sampled, rotary split,	 Mineralised core is visually identified, and then sampled in geological intervals
preparation	etc and whether sampled wet or dry.	using 0.7-1.3m intervals, the core is then half cut and half the core is wholly

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Criteria	JORC Code explanation	Commentary
	 For all sample types, the nature, quality and	sampled for that interval then inserted into pre numbered calico bags along with
Sub-sampling techniques and sample preparation (continued)	appropriateness of the sample preparation technique.  Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.  Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half	QA/QC samples. The sample preparation technique is deemed appropriate.  Quality control procedures include following EMX standard procedures when sampling, sampling on geological intervals, and reviews of sampling techniques in the field.  Field Duplicate samples are taken in the field at a rate of 1 in 20, and consist of ¼ core taken from the reserved ½ core.
	sampling.	 The expected sample weight for 1m of half core T2-66 is approximately 2.7kg,
	 Whether sample sizes are appropriate to the grain size	and NQ is 2.4kg. This sample weight should be sufficient to appropriately
	of the material being sampled.	describe base metal mineralisation grades from mineral particle sizes up to 5mm.
Quality of	 The nature, quality and appropriateness of the assaying	 The digest method and analysis techniques are deemed appropriate for the
assay data	and laboratory procedures used and whether the	samples. Four acid digestions are able to dissolve most minerals; however,
and	technique is considered partial or total.	although the term “near-total” is used, depending on the sample matrix, all
laboratory	 For geophysical tools, spectrometers, handheld XRF	elements may not be quantitatively extracted. The intended analysis techniques
tests	instruments, etc, the parameters used in determining the	are ICP-AES (Atomic Emission Spectroscopy) and ICP-AAS (Atomic Absorption
	analysis including instrument make and model, reading	Spectroscopy typically used to quantify higher grade base metal mineralisation.
	times, calibrations factors applied and their derivation,	 No geophysical tools, spectrometers or XRF instruments have been used.
	etc.	 QA/QC samples (duplicates, blanks and standards) are inserted in the sample
	 Nature of quality control procedures adopted (eg	series at a rate of better than 3 in 20. These check samples are tracked and
	standards, blanks, duplicates, external laboratory	reported on for each batch. When issues are noted the laboratory is informed
	checks) and whether acceptable levels of accuracy (ie	and an investigation begins defining the nature of the discrepancy, a suitable
	lack of bias) and precision have been established.	explanation, and whether further check assays are required. The laboratory
		completes its own QA/QC procedures and these are also tracked and reported on
		by EMX. No bias has been established to date.
Verification	 The verification of significant intersections by either	 Significant intersections, drill hole locations, and mineralisation in view have
of sampling	independent or alternative company personnel.	been checked by Energia Minerals personnel and consultants in June 2015, June
and assaying	 The use of twinned holes.	2012, and March 2010.
	 Documentation of primary data, data entry procedures,	 To date 7 historical holes have been twinned, and 8 EMX holes have been
	data verification, data storage (physical and electronic)	twinned for metallurgical purposes.
	protocols.	 All geological, sampling, and spatial data that is generated and captured in the
	 Discuss any adjustment to assay data.	field is immediately entered into a field notebook on standard Excel templates.
		These templates are then validated each night in Micromine. This information is

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Criteria	JORC Code explanation	Commentary
		then sent to Energia’s in house database manager for further validation. If
Verification of sampling and assaying (continued)		corrections need to be made they are corrected the following day by the person responsible for generating the data. Once complete and validated the data is then compiled into a SQL database server.  No adjustment of assay data is required
Location of	 Accuracy and quality of surveys used to locate drill holes	 Collar locations are designed using data acquired from surveying existing
data points	(collar and down-hole surveys), trenches, mine workings	infrastructure using a total station. Once drilled drill holes are surveyed using a
	and other locations used in Mineral Resource estimation.	total station, and logged with a EZ -TRAC system to define azimuth and
	 Specification of the grid system used.	inclination of the drill hole.
	 Quality and adequacy of topographic control.	 The grid system used at Gorno is WGS_1984_UTM_Zone_32N. Easting and
		Northing are stated in metres.
		 Topographic control for surveyed infrastructure is from a total station
		measurements tied into multiple Italian Survey Control Points, and for
		unsurveyed infrastructure from control points noted on both hand drawn maps,
		and from RL’s noted on geological logs.
Data spacing	 Data spacing for reporting of Exploration Results.	 Drill hole orientation and spacing is non-uniform with multiple holes often being
and	 Whether the data spacing and distribution is sufficient to	proposed to be drilled from a single exploration drive.
distribution	establish the degree of geological and grade continuity	 A Mineral Resource has been established in the area of drilling, and the new
	appropriate for the Mineral Resource and Ore Reserve	drilling data has been obtained to increase the level of geological confidence in
	estimation procedure(s) and classifications applied.	the existing resource model.
	 Whether sample compositing has been applied.	 No sample compositing has been applied.
Orientation of	 Whether the orientation of sampling achieves unbiased	 The attitude of the mineralisation is thought to be generally dipping to the south
data in	sampling of possible structures and the extent to which	at approximately 30 degrees. However the level of confidence in this is low, and
relation to	this is known, considering the deposit type.	the multiple orientations of drilling suggest that some intersections may be
geological	 If the relationship between the drilling orientation and	biased. True width for these intersections will be confirmed once collar surveys,
structure	the orientation of key mineralised structures is	hole deviation surveys, and geological modelling is finalized. Sections provided in
	considered to have introduced a sampling bias, this	the text show fairly accurate depictions of the attitude of the mineralised
	should be assessed and reported if material.	horizons, and angle of intersections of the drill holes.
		 Sampling bias due to drilling orientation and mineralised structure orientation is
		probable and with information currently at hand is hard to precisely quantify. An
		orientation tool is now beingused to orient core and this alongwith a more

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Criteria	JORC Code explanation	Commentary
		refined geological model should allow this to be better defined.
Sample	 The measures taken to ensure sample security.	 Samples were dispatched from the Exploration Site using a single reputable
security		contracted courier service to deliver samples directly to the assay laboratory
		where further sample preparation and assay occurs.
Audits or	 The results of any audits or reviews of sampling	 Reviews of sampling techniques and material sampled are undertaken regularly
reviews	techniques and data.	to ensure any change in geological conditions is adequately accounted for in
		sample preparation. Reviews of assay results and QA/QC results occur for each
		batch. 1 in 10 checks on all compiled and entered data are completed by Energia
		Minerals.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code explanation	Commentary
Mineral	 Type, reference name/number, location and ownership	 The Gorno Lead Zinc deposit is located in the north of Italy, in the Lombardia
tenement and	including agreements or material issues with third	Province. The Gorno Project is made up of ten (10) granted tenements: Decrees
land tenure	parties such as joint ventures, partnerships, overriding	1571, 1629, 1630, 1632, 1633, 3276, 3277, 3278, 3279, 3280; and six
status	royalties, native title interests, historical sites, wilderness	applications. These leases are 100% owned and operated by Energia Italia, a
	or national park and environmental settings.	100% owned subsidiary of Energia Minerals. 1633, 1571, 1629, 1632, and 1630
	 The security of the tenure held at the time of reporting	have expired at the time of release of this report, however applications for
	along with any known impediments to obtaining a	extension have been lodged, and are expected to be received shortly. All other
	licence to operate in the area.	permits are valid at the time of this report.
		 All tenements are in good standing and no impediments to operating are
		currently known to exist.
Exploration	 Acknowledgment and appraisal of exploration by other	 A significant amount of work was undertaken by ENI subsidiaries in the region.
done by other	parties.	Drilling works completed in the period between 1964-1980 have been compiled
parties		and digitised. A significant amount of work has been completed on the Gorno
		deposit including the development of more than 230km of exploration drives,
		detailed mapping, and the mining and production of over 800,000 tonnes of high
		grade zinc concentrate. Large scale mining operations ceased at the Gorno
		deposit in 1978, and the project closed in 1980.

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Criteria	JORC Code explanation	Commentary
Geology	 Deposit type, geological setting and style of	 The Gorno deposit is an Alpine Type Lead-Zinc deposit (similar to Mississippi
Geology (Continued)	mineralisation.	Valley Type Lead Zinc deposits) it is broadly stratabound with some breccia bodies and veining also occurring. It displays generally simple mineralogy of low iron sphalerite, galena, pyrite, and minor silver. Gorno lies in a part of the Italian
		Southern Alps named “Lombard Basin”, formed by a strong subsidence occurring
		in the Permian-Triassic which allowed the subsequent accumulation of a thick
		sedimentary pile. The sedimentary sequence is constrained laterally by the
		Luganese Platform to the west and by the Atesina Platform to the east. The
		lithotypes in the southern portion of the basin are predominantly Triassic in age.
		The geological sequences of importance in relation to mineralisation, from oldest
		to youngest are as follows:
		o Breno Formation: a back-reef limestone composed of light grey calcareous
		beds, 10 to 170 m thick. The facies indicate a palaeogeographical evolution
		from back reef to shelf environment, in low energy water to alternating
		peri-tidal cycles.
		o Metalliferous Limestone:composed of dark grey to black limestone
		deposited in stromatolitic tidal flats, with siliceous intercalations present in
		the upper part. The dark colour suggests a stagnant anaerobic depositional
		environment with bituminous beds generally present at the footwall of the
		Metallifero. This formation represents a transitional phase between the
		underlying shelf environment and the upper sequence typified by a peri-
		continental and detrital sedimentation. Three tuffaceous levels are present
		in the Metallifero stratigraphical column. The pyroclastic tuffs are
		submarine volcanic phases which intervened during the deposition of the
		limestones, and effectively represent a control for the mineralized horizons,
		in that they are always found at the foot wall (Tuff 1) and at the hanging
		wall (Tuff 2) of the productive mineralised horizons.
		o Val Sabbia Sandstone:present along the southern Lombard Basin border
		and is composed of alternating tuffaceous sandstone and green and\or red
		silt-mudstone. These were possibly derived from the erosion of continental
		sediments present to the south. The thickness varies between 0 and 400
		metres.
		o Gorno Formation: alternating thinly bedded, black limestone and
		laminated marl deposited inprotected lagoon environment with a

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Criteria	JORC Code explanation	Commentary
		thickness of 0-350 metres. A thin tongue, intercalated between the
Geology (Continued)		Metalliferous Limestone and the Val Sabbia Sandstone, is often mineralised and is referred to as the mineralised “black shales” of the Gorno deposits. o San Giovanni Bianco Formation: is composed of a thick alternation of marl,
		sandstone, siltstone and mudstone which transitions at the top of the unit
		to cellular limestone and evaporitic vuggy dolomite, estimated thickness of
		150 metres.
		 Structure in the basin is typified by E-W trending belts which can be subdivided in
		five sectors:
		o Orobic Anticline,in the northern part, which includes Palaeozoic
		successions;
		o Valtorta-Valcanale Line,oriented E-W and separating the Orobic Anticline
		to the north from the Pb-Zn mineralised belt in the south. The line is
		responsible for many of the allochthonous units;
		o Camuno Autochthonous,including the sedimentary cover, which is
		covered in the central-western part by various overthrusts and outcrops
		only in the east;
		o Para-autochthonous and allochthonous units,present over a large area to
		the south of the Valtorta-Valcanale Line and formed by the double or triple
		superimposition of the Triassic carbonate formations;
		o Fold and fold-fault zone,which constitutes the southern sector near the Po
		plains and includes Jurassic-Cretaceous formations.
		 Mineralisation in the Gorno district occurs within the Camuno Autochthonous
		Zone, and the para-autochthonous, and allocthounous units. The geometry of
		the mineralised bodies is mainly stratabound with common characteristics in the
		majority of the Gorno deposits. The prevailing distribution trend is N-S and the
		shape, represented by tabular “columns”, which can be longitudinally developed
		for more than 2000 metres, with widths from 50 to 100 metres and thickness
		between 3 and 20 metres.
Drill hole	 A summary of all information material to the	 Information material to the understanding of the exploration results is provided
Information	understanding of the exploration results including a	in the text of the release.
	tabulation of the following information for all Material	 No information has been excluded.
	drill holes:

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Criteria	JORC Code explanation	Commentary
	o easting and northing of the drill hole collar
Drill hole Information (continued)	o elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar o dip and azimuth of the hole o down hole length and interception depth
	o hole length.
	 If the exclusion of this information is justified on the
	basis that the information is not Material and this
	exclusion does not detract from the understanding of the
	report, the Competent Person should clearly explain why
	this is the case.
Data	 In reporting Exploration Results, weighting averaging	 A nominal low cut grade of 1% Zn+Pb has been chosen to differentiate
aggregation	techniques, maximum and/or minimum grade	mineralised material from unmineralised material, once assays are returned.
methods	truncations (eg cutting of high grades) and cut-off	 Aggregates were calculated as weighted averages using the above cut off grade
	grades are usually Material and should be stated.	typically allowing only 10m of total internal dilution to be included, with a
	 Where aggregate intercepts incorporate short lengths of	maximum individual length of waste thickness not exceeding 4m. GDD134 is
	high grade results and longer lengths of low grade	quoted as having a 78.6m intercept, of this 38.9m is waste material. This is
	results, the procedure used for such aggregation should	quoted not to indicate thickness, but due to the angle of intercept indicates a
	be stated and some typical examples of such	width or across strike length of mineralisation.
	aggregations should be shown in detail.	 No metal equivalents are used.
	 The assumptions used for any reporting of metal
	equivalent values should be clearly stated.
Relationship	 These relationships are particularly important in the	 All drill holes are variable orientated. Little confidence has been established in
between	reporting of Exploration Results.	the orientation of the mineralisation at this stage other than a general dip and
mineralisatio	 If the geometry of the mineralisation with respect to the	strike.
n widths and	drill hole angle is known, its nature should be reported.	 The mineralisation is currently thought to be roughly tabular and dipping to the
intercept	 If it is not known and only the down hole lengths are	south-south west at an angle of approximately 30 degrees.
lengths	reported, there should be a clear statement to this effect	 True widths of intercepts are not known at this stage. Diagrams in the text show
	(eg ‘down hole length, true width not known’).	the interpreted relationship between mineralisation intercepts and strata.
		GDD120, 124, 127, and 128 intersects near perpendicular to the mineralisation
		and the expected true width is expected to be similar to that which is reported,
		GDD117, 126, 130, and 131 intersect at a moderate angle, and true width would
		be expected to be approximately60-70% of what was reported. GDD129,132,

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Criteria	JORC Code explanation	Commentary
		133, 135 intersect at a high angle, and true width is expected to be 30-50% of
		what is reported. GDD134 was drilled near parallel to mineralisation and the
		intersection bears no resemblance to true width.
Diagrams	 Appropriate maps and sections (with scales) and	 Please refer to Figures 3-17 for this data.
	tabulations of intercepts should be included for any
	significant discovery being reported These should
	include, but not be limited to a plan view of drill hole
	collar locations and appropriate sectional views.
Balanced	 Where comprehensive reporting of all Exploration	 The results reported in the above text are comprehensively reported in a
reporting	Results is not practicable, representative reporting of	balanced manner.
	both low and high grades and/or widths should be
	practiced to avoid misleading reporting of Exploration
	Results.
Other	 Other exploration data, if meaningful and material,	 A significant amount of mining, exploration, survey, and environmental data has
substantive	should be reported including (but not limited to):	been recovered from the Bergamo State Archives and is currently being
exploration	geological observations; geophysical survey results;	translated and digitized.
data	geochemical survey results; bulk samples – size and
	method of treatment; metallurgical test results; bulk
	density, groundwater, geotechnical and rock
	characteristics; potential deleterious or contaminating
	substances.
Further work	 The nature and scale of planned further work (eg tests	 Future works at Gorno would include rehabilitation of exploration drives, an
	for lateral extensions or depth extensions or large-scale	exploration decline from the 940 level, and drilling diamond drill holes to test for
	step-out drilling).	continuity of the Colona Fortuna mineralisation across strike and down plunge.
	 Diagrams clearly highlighting the areas of possible	 Please refer to Figure 3 for areas that are open to extensions, these are shown as
	extensions, including the main geological interpretations	high priority exploration targets. Release of future detailed drilling plan data is
	and future drilling areas, provided this information is not	commercially sensitive, subject to change on review; and will not be detailed
	commercially sensitive.	here.

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