Artemis Resources Limited — Capital/Financing Update 2012

Feb 22, 2012

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ASX Announcement 23 February 2011

About Artemis Resources

Artemis Resources is an ASX-listed mineral exploration company with a focus on gold:

Key Gold Projects

Yandal (WA) Mt Clement (WA)

ARTEMIS FIELD WORK IDENTIFIES MAJOR GOLD TARGETS AT YANDAL

Highlights

• IP survey highlights large anomaly below and adjacent to shallow oxide gold mineralisation at Lowlands.

• Mineralised structures at Lowlands open to the north, south and at depth.

• Strong IP basement anomalies detected beneath palaeo‐channels north and south of Slav Well.

• Drilling program to commence in Q2 2012.

Artemis’ corporate strategy is to maximise shareholder returns through a combination of exploration success and quality project acquisition.

The Company's focus on gold is viewed as an important growth strategy for the company.

Australian Securities Exchange

Code: ARV

Artemis Contact Guy Robertson Executive Director Tel: +61 2 9078 7670

Tony Dawe Investor Relations Tel: +61 8 9388 0944 Mob: 0405 989 743

www.artemisresources.com.au

Artemis Resources Ltd (ASX: ARV) is pleased to announce the results of 33 km of Induced Polarisation (IP) surveys completed over a two month period at its Yandal Gold Project located on the Yandal Greenstone Belt in the Western Australian Goldfields region.

The IP surveys have successfully defined anomalies within favourable greenstone host rocks and/or structures. The anomalies identified by the Artemis exploration team are interpreted to be quite large bodies of disseminated sulphide, with potential to host deposits of +1Moz gold, similar to the Bronzewing and Jundee gold projects, which lie on the Yandal Greenstone Belt.

At Lowlands, the IP anomalism coincides with the location of steep north‐south high grade structures interpreted from shallow drilling and recent mapping. The IP indicates these structures are open to the north, south, and at depth.

IP anomalism has also been detected coincident with a linear north‐south striking magnetic feature, immediately east of Lowlands, which is interpreted to be an Archaean dolerite sill.

Several IP anomalies were also detected below the palaeo‐ channels north of Forked Stick and Slav Well prospects. These may reflect structurally controlled sulphide mineralisation associated with gold, below areas of deep weathering. The areas covered by palaeo‐channels have received no effective drilling to date. RC drill testing of all of the above targets is planned to commence in Q2 2012.

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Artemis Resources Limited ABN: 80 107 051 749 Telephone: +61 2 9078 7670 | Facsimile: +61 2 9078 7661 | Email: info@artemisresources.com.au Level 10, 1 Margaret Street, SYDNEY NSW 2000 | PO Box R933 Royal Exchange, NSW 1225 Australia

www.artemisresources.com.au

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Executive Director Guy Robertson said,

“The IP surveys completed between December and February have successfully defined major anomalies within favourable host rocks and/or structures. These anomalies are interpreted to be quite large bodies of disseminated sulphide, with potential to host world class gold deposits.

To date, limited shallow drilling has not tested any of these exciting targets. Great Central Mines discovered Bronzewing (3.4moz) south of Lowlands in similar settings. Artemis now intends to undertake detailed modelling and target definition with a view to commencing a comprehensive RC drilling programme in Quarter 2 of 2012 to test these primary gold targets ”.

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Figure 1. Artemis Yandal Project, Location Plan

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BACKGROUND

Artemis’ Yandal Project overlies a narrow 3‐5km wide, northerly striking sequence of Archaean greenstones flanked on either side by granitoid rocks. A number of major regional linear features pass through the area. Outcrop is poor over much of the area but limited exposures and examination of drill cuttings suggest the dominant lithologies from west to east across the belt are: granite, talc‐chlorite–carbonate schist (after ultramafic), ultramafics, felsic volcanics and metasediments with some basalt flows and dolerite intrusives. Much of the area is covered by shallow Quaternary colluvial to alluvial material, typically around 20‐40m thick, with palaeo‐channels to 80‐120m deep.

Between December 2011 and February 2012, Perth‐based Fugro Ground Geophysics Pty Ltd undertook 33 line kilometres of dipole‐dipole Induced Polarisation (IP) surveys within the Yandal Project area. The locations of the IP lines are shown in Figure 2 below, over a grey scale magnetic image.

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Slav Well
Palaeo-channels
Forked Stick
Dan's Find
International
Eric
Lowlands
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Figure 2. Location of IP Lines over Magnetic Image – Yandal Gold Project

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IP SUMMARY RESULTS

The IP survey has highlighted two very promising potentially mineralised corridors. The western corridor, Lowlands Corridor Target A and the central Dolerite Corridor Target B (See Figure 3) . The Lowlands Corridor Target A coincides with a northerly trending magnetic signature and hosts the Lowlands Au mineralisation. The Dolerite Corridor Target B coincides with a northerly trending magnetic unit. The strongest basement IP anomalies are located on these two corridors and these IP anomalies are associated with preferential weathering.

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Slav Well
Dolerite Corridor ‐Target B
Lowlands Corridor ‐Target A
Lowlands
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Figure 3. Palaeo‐channel Areas, Stacked Inversion Resistivity Sections – Yandal Gold Project

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The resistivity data clearly shows that nearly all the drilling within the Yandal Project area has not reached basement and therefore all prospect areas need to be re‐evaluated.

A. Lowlands Area

The four east‐west IP lines at Lowlands were designed to test below and to the east of the known oxide gold mineralisation, to test a linear magnetic feature to the east of Lowlands, and to test the sheared contacts between the greenstone sequence and the bounding granites.

At Lowlands itself, the IP anomalism coincides with the location of steep north‐south high grade structures interpreted from shallow drilling and recent mapping. The IP indicates these structures are open to the north, south, and at depth. The IP responses are also coincident with a weak linear magnetic unit interpreted to be comprised of ultramafic rock now altered to talc‐chlorite–carbonate schist. All four IP lines show a conductive cover of variable depth (25‐125m). There appears to be deeper weathering associated with the known oxide gold mineralisation.

East of Lowlands, two parallel basement IP responses suggest additional parallel mineralised structures, one of which is associated with a linear magnetic anomaly (possible a dolerite). The second IP response has no magnetic signature. The eastern portion of the project area has received little to no drilling to date.

Figure 4 below shows the location of the 4 Lowlands IP lines in plan over a magnetic image. The red, green and blue stars represent strong, moderate and weaker IP anomalies respectively. The yellow area marked “Lowlands” shows the location of the shallow oxide gold resource already defined by Artemis.

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High
Moderate
Low
Lowlands
Dolerite Target
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Figure 4. Lowlands IP Lines over Magnetic Image

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Stacked Inversion Chargeability Sections for Lowlands are shown below in Figure 5, and an enlargement of the Chargeability anomaly “A” at below the oxide gold mineralisation is shown in Figure 6.

In 2011, Artemis drilling intersected gold mineralisation at or near the anomaly “A” (Figure 6) intercepting 2m @ 3.64 g/t. Planned drilling will target the “A” area for gold.

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Figure 6
Line 7007,650mN
Primary Au Targets
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Figure 5. Lowlands Stacked Inversion Chargeability Sections

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Lowlands Oxide Au
ARYARC003
Untested Basement IP Anomaly
2m @3.64g/t from 225m
50 m
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Figure 6. Lowlands Cross Section ‐ Line 7007,650mN – IP Target

The top left hand corner of Figure 6 shows the extent of Artemis’ previous shallow drilling identifying Oxide Au. Figure 6 shows the extent of IP at stepped bottom and previous ARV hole which hit 3.64 g/t (ARYARC003) and just skirted the untested basement IP Anomaly “A”.

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B. Palaeochannel Areas

At two locations, north of Forked Stick and north of Slav Well, five orientation IP lines were completed to test beneath palaeo‐channels which are considered to have developed over intersecting basement structures. Several IP anomalies were detected below the palaeo‐channels, and these may reflect structurally controlled sulphide mineralisation associated with gold. The areas covered by palaeo‐channels have received little to no drilling to date.

The pale blue, green and red areas on the IP Cross Sections in Figure 7 represent increasing zones of chargeability, and therefore are targets for sulphide associated gold mineralisation.

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Slav Well
Forked Stick
Dan's Find
International
Lowlands
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Figure 7. Palaeo‐channel Areas, with Stacked Inversion Chargeability Sections

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For and On Behalf of the Board

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Guy Robertson Chief Operating Officer

ABOUT ARTEMIS RESOURCES

Artemis Resources Limited is a resources exploration company with a focus on gold and base metals. Artemis’ Yandal and Mount Clement gold projects in Western Australia have significant exploration potential and close proximity to existing world class deposits and mines. Artemis aims to develop a significant gold inventory through exploration and acquisitions which have the potential to become mines and create shareholder value.

For further information, please contact:

Guy Robertson Artemis Resources Ltd Tony Dawe Office: +612 9078 7670 Professional Public Relations Email: info@artemisresources.com.au +61 8 9388 0944 Web Site: www.artemisresources.com.au Email: tony.dawe@ppr.com.a

The information in this document that relates to Exploration Results is based on information compiled by Mr Frans Voermans, who is a Fellow of The Australasian Institute of Mining and Metallurgy. Mr Voermans has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Voermans, who is a non‐executive Director of the Company, consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

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