Artemis Resources Limited — Capital/Financing Update 2017

Nov 5, 2017

ASX / Media Announcement 6 November 2017

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Artemis Resources Limited

ARBN: 80 107 051 749

Level 3, IBM Building, 1060 Hay Street, West Perth, WA Australia, 6006

Fortescue Sediments above Munni Munni PGE Deposit -Karratha, Western Australia-

• Significant Fortescue Group sediments identified overlying Munni Munni PGE deposit.

• 20km south-west of Purdy’s Reward and along trend.

• Munni Munni has approved Mining and Exploration Licences.

PO Box R933 Royal Exchange NSW Australia, 1225

Phone: +61 2 9078 7670 Facsimile: +61 2 9078 7661 Email: info@artemisresources.com.au Website: artemisresources.com.au

Directors:

Executive Chairman: David Lenigas

Executive Directors: Ed Mead Alex Duncan-Kemp

Non-Executive Director: Sheikh Maktoum Hasher al Maktoum

Company Secretary: Guy Robertson

Corporate Information ASX Code: ARV

• Heritage agreements, Heritage surveys and POWs are already in place.

• 2,218m of previously drilled Fortescue sediments identified in diamond core which has been stored at Munni Munni.

• 12,437m of RC drilling through the Fortescue sediments to be evaluated.

• 70:30 JV between Artemis and Platina Resources Limited (ASX:PGM)

David Lenigas, Artemis’s Executive Chairman, commented;

“It is extraordinary that we have found so much Fortescue sediments overlying our Munni Munni PGE deposit, Australia’s largest Platinum Group Element resource. We now have nearly 15,000 metres of diamond drill core and RC drilling to work our way through to determine the gold potential in these Fortescue sediments. It’s these Fortescue Group rocks that we believe is the host of the gold at our nearby Purdy’s Reward conglomerate gold discovery. Munni Munni has the added advantage of not only having fully approved Mining and Exploration Licences, but it also has all of its Heritage agreements in place which is a big bonus in actually being able to do meaningful work in the Pilbara. This work also raising the possibility of conglomerate gold targets on our Whundo Mining Leases.”

Artemis Resources Limited (“ Artemis ” or “ the Company ”) ( ASX: ARV ) is pleased to announce it has identified significant Fortescue Group sediments over 16km of prospective contact with the Mt Roe Basalts, overlying Artemis’s Munni Munni Platinum Group Element (“PGE”) deposit. Munni Munni (Figures 1,2,3,4) is the largest PGE resource in Australia and is located south of Karratha in the Western Pilbara and the possibility of gold bearing sediments above the platinum/palladium deposit has never been previously considered.

The Company has now determined that significant Fortescue Group sediments sit over major portions of the Munni Munni intrusive complex (MMIC) that hosts the Munni Munni PGE resource. The MMIC is the largest intrusion in the West Pilbara and hosts a JORC 2004 compliant Resource of:[1] 24 Mt @ 2.9 g/t Platinum Group Element (PGE) + gold (1.4Mt Inferred, 9.8Mt indicated and 12.4Mt Measured) (0.83Moz platinum. 1.14Moz palladium, 152Koz gold and 76Koz rhodium).

1 ASX announcement dated 5 August 2015 “ Artemis to earn majority interest in Australia’s largest Platinum project.” In accordance with Listing Rule 5.23.2, Artemis confirms that it is not aware of any new information or data that materially affects the information included in the relevant market announcement ¹ referred to above, and that in the case of mineral resources that all material assumptions and technical parameters underpinning the estimates in the announcement referred to continue to apply and have not materially changed.

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This revelation is significant, as the Fortescue Group sediments are considered to be the host to the gold bearing conglomerates currently being explored at Purdy’s Reward, which is located along trend and only 20km to the north-east of Munni Munni.

Figure 1: Showing the close proximity of Purdy’s Reward, Munni Munni, Whundo and the Radio Hill Treatment Facility.

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The Company has already identified a total of 2,218m of previously drilled Fortescue Group sediments in diamond core stored at Munni Munni, that is currently in the process of being relocated to Artemis’s nearby Radio Hill operations base.

Accelerated exploration at Munni Munni is entirely possible as the project has the considerable advantage of sitting within 33.5 km[2] of approved Mining Leases and 42.5 km[2] of approved Exploration Licences, all with heritage agreements in place, approved heritage surveys in place and approved Programme of Works in place with the Department of Mines Industry Regulation and Safety (DMIRS).

There has previously been a grand total of over 85,000m of drilling done (diamond core and RC) at Munni Munni, and the Company has commenced a complete review of the extensive diamond core and RC drill chips that are available on site at the Munni Munni core yard.

Artemis has already identified at least 7 diamond drillholes which were cored from near surface though the Fortescue sequence to the Munni Munni Intrusive Complex. The material intersected in the holes was previously logged simply a Fortescue Group sediments and very little historic work was done on assessing its gold potential.

A substantial amount of data should also be retrievable from reverse circulation (RC) chip trays. The Company has identified that approximately 12,437m of RC drilling has been drilled through the Fortescue sequence.

The Company has started to re-map and sample the prospective unconformity contact zone between the Fortescue/Mt Roe Basalt and the underlying Pilbara Supergroup basement.

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Tenure of the Munni Munni Project:

The Munni Munni Project consists of 4 granted Mining Licences M47/123-126 for 33.5 km[2 ] and 1 granted Exploration Licence E47/3322 of 42.5 km[2] .

Artemis entered in to a binding agreement with ASX listed Platina Resources Limited (“Platina Resources”) (ASX Code: PGM) on 5 August 2015[2] , which provides for Artemis’s wholly-owned subsidiary, Karratha Metals Pty Limited, to earn a 70% interest in the Munni Munni Project by spending $750,000 over a 3 year period. During this earn in period, Karratha Metals Limited must keep the tenements in good standing. Once $750,000 has been spent a 70/30 Joint Venture will be formalised with Platina Resources.

A royalty of $400,000 is payable to Franco-Nevada Corporation on commercial mining production. Franco- Nevada Corporation is a Canadian company headquartered in Toronto with additional offices in the U.S., Australia and Barbados, all of which are used to manage Franco-Nevada’s leading goldfocused and other commodity royalty and streaming investments. Franco-Nevada shares trade on the Toronto Stock Exchange and New York Stock Exchange. Franco-Nevada, with a market capitalisation over Canadian $18 Billion, owns and continues to grow a large, diversified portfolio of royalties. Upon and subject to earning a 70% interest in the Project, Karratha Metals Limited shall assume the obligation to pay the royalty to Franco-Nevada.

Figure 2: Munni Munni area showing prospective contact between the overlying Fortescue Group and the Munni Munni Mafic Intrusive Complex.

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2 ASX announcement dated 5 August 2015 – “Artemis to earn equity interest in Australia’s largest Platinum Project.”

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Figure 3: Enlargement of the central area of Figure 1, showing rock chip and anomalous stream sediment results.

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Figure 4: Artemis Resources Projects in Karratha Area.

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CONTACTS:

For further information on this update or the Company generally, please visit our website at www.artemisresources.com.au or contact:

Investors / Shareholders

Edward Mead Executive Director Telephone: +61 407 445 351 Email: Ed.Mead@artemisresources.com.au

BACKGROUND INFORMATION ON ARTEMIS RESOURCES:

Artemis Resources Limited is a resources exploration and development company with a focus on its prospective Karratha (gold, cobalt, base metals, platinum group elements and iron ore) and the Mt Clement Paulsens (gold) project in Western Australia.

Artemis owns the fully permitted 425,000tpa Radio Hill nickel and copper operations and processing plant located 25km south of Karratha. JORC 2004 compliant resources of Gold, Nickel, Copper PGE's and Zinc, all situated within a 40km radius of the Radio Hill plant and on 1,536km[2] form the newly consolidated assets of Artemis Resources.

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Artemis have signed Definitive Agreements with Novo Resources Corp. (“Novo”), whereby Novo can farm-in to 50% of gold (and other minerals necessarily mined with gold) in conglomerate and/or paleoplacer style mineralization in Artemis’ tenements within 100km of the City of Karratha, including at Purdy’s Reward (“the Gold Rights”). The Gold Rights do not include (i) gold disclosed in Artemis’ existing (at 18 May 2017) JORC compliant Resources and Reserves or (ii) gold which is not within conglomerate and/or paleoplacer style mineralization or (iii) minerals other than gold. Artemis’ Mt Oscar tenement is excluded from the Definitive Agreements.

The farm-in commitment now requires Novo to expend AUD $2 million on exploration within two years of satisfying conditions precedent in the definitive agreements.

The Definitive Agreements cover 38 tenements/tenement applications that are 100% owned by Artemis. On completion of the farm-in commitment, three 50:50 joint ventures will be formed between Novo’s subsidiary, Karratha Gold Pty Ltd (“Karratha Gold”) and three subsidiaries of Artemis. The joint ventures will be managed as one by Karratha Gold. Artemis and Novo will contribute to further exploration and mining of the Gold Rights on a 50:50 basis. Further definitive agreements covering approximately 19 Artemis tenements/tenement applications that are already subject to third party interests are expected to be signed once all necessary third-party consents have been obtained.

COMPETENT PERSONS STATEMENT:

The information in this document that relates to Exploration Results and Exploration Targets is based on information compiled or reviewed by Allan Younger, who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Younger is a consultant to the Company, and is employed by Indigo Geochemistry Pty Ltd. Mr Younger 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 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Younger consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

FORWARD LOOKING STATEMENTS AND IMPORTANT NOTICE:

This report contains forecasts, projections and forward-looking information. Although the Company believes that its expectations, estimates and forecast outcomes are based on reasonable assumptions it can give no assurance that these will be achieved. Expectations, estimates and projections and information provided by the Company are not a guarantee of future performance and involve unknown risks and uncertainties, many of which are out of Artemis’ control. Actual results and developments will almost certainly differ materially from those expressed or implied. Artemis has not audited or investigated the accuracy or completeness of the information, statements and opinions contained in this presentation. To the maximum extent permitted by applicable laws, Artemis makes no representation and can give no assurance, guarantee or warranty, express or implied, as to, and takes no responsibility and assumes no liability for (1) the authenticity, validity, accuracy, suitability or completeness of, or any errors in or omission from, any information, statement or opinion contained in this report and (2) without prejudice to the generality of the foregoing, the achievement or accuracy of any forecasts, projections or other forward looking information contained or referred to in this report.

Investors should make and rely upon their own enquiries before deciding to acquire or deal in the Company’s securities.

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JORC Code, 2012 Edition – Table 1

Section 1 Sampling Techniques and Data

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

Criteria	JORC Code explanation	JORC Code explanation	Commentary	Commentary
Sampling	•	Nature and quality of sampling (eg cut	•	Sampling core will be commenced after
techniques		channels, random chips, or specific		logging.
		specialised industry standard
		measurement tools appropriate to the
		minerals under investigation, such as
		down hole gamma sondes, or handheld
		XRF instruments, etc.). These
		examples should not be taken as
		limiting the broad meaning of sampling.
	•	Include reference to measures taken to
		ensure sample representivity and the
		appropriate calibration of any
		measurement tools or systems used.
	•	Aspects of the determination of
		mineralisation that are Material to the
		Public Report.
	•	In cases where ‘industry standard’ work
		has been done this would be relatively
		simple (eg ‘reverse circulation drilling
		was used to obtain 1 m samples from
		which 3 kg was pulverised to produce a
		30 g charge for fire assay’). In other
		cases more explanation may be
		required, such as where there is coarse
		gold that has inherent sampling
		problems. Unusual commodities or
		mineralisation types (eg submarine
		nodules) may warrant disclosure of
		detailed information.
Drilling	•	Drill type (eg core, reverse circulation,	•	Historical diamond core and RC chips
techniques		open-hole hammer, rotary air blast,
		auger, Bangka, sonic, etc.) and details
		(eg core diameter, triple or standard
		tube, depth of diamond tails, face-
		sampling bit or other type, whether core
		is oriented and if so, by what method,
		_etc.). _
Drill sample	•	Method of recording and assessing core	•	Drilling not being hosted.
recovery		and chip sample recoveries and results
		assessed.
	•	Measures taken to maximise sample
		recovery and ensure representative
		nature of the samples.
	•	Whether a relationship exists between
		sample recovery and grade and
		whether sample bias may have
		occurred due to preferential loss/gain of
		fine/coarse material.
Logging	•	Whether core and chip samples have	•	Geological logging being undertaken
		been geologically and geotechnically
		logged to a level of detail to support
		appropriate Mineral Resource
		estimation, mining studies and
		metallurgical studies.
	•	Whether logging is qualitative or
		quantitative in nature. Core (or costean,
		channel, etc.) photography.
	•	The total length and percentage of the
		_relevant intersections logged. _
Sub-	•	If core, whether cut or sawn and	•	No sampling as yet.
sampling		whetherquarter, half or all core taken.

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Criteria	JORC Code explanation	JORC Code explanation		Commentary	Commentary
techniques	•	If non-core, whether riffled, tube
and sample		sampled, rotary split, etc. and whether
preparation		sampled wet or dry.
	•	For all sample types, the nature, quality
		and 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
		sampling.
	•	Whether sample sizes are appropriate
		to the grain size of the material being
		_sampled. _
Quality of	•	The nature, quality and appropriateness		•	No samples submitted
assay data		of the assaying and laboratory
and		procedures used and whether the
laboratory		technique is considered partial or total.
tests	•	For geophysical tools, spectrometers,
		handheld XRF instruments, etc., the
		parameters used in determining the
		analysis including instrument make and
		model, reading times, calibrations
		factors applied and their derivation, etc.
	•	Nature of quality control procedures
		adopted (eg standards, blanks,
		duplicates, external laboratory checks)
		and whether acceptable levels of
		accuracy (i.e. lack of bias) and precision
		_have been established. _
Verification	•	The verification of significant		•	No verification sampling has been undertaken.
of sampling		intersections by either independent or
and assaying		alternative company personnel.
	•	The use of twinned holes.
	•	Documentation of primary data, data
		entry procedures, data verification, data
		storage (physical and electronic)
		protocols.
	•	_Discuss any adjustment to assay data. _
Location of	•	Accuracy and quality of surveys used to		•	Grid system used for sampling is MGA 94 (Zone
data points		locate drill holes (collar and down-hole			50)
		surveys), trenches, mine workings and
		other locations used in Mineral
		Resource estimation.
	•	Specification of the grid system used.
	•	Quality and adequacy of topographic
		control.
Data spacing	•	Data spacing for reporting of		•	Sampling not commenced.
and		Exploration Results.		•	No compositing applied.
distribution	•	Whether the data spacing and
		distribution is sufficient to establish the
		degree of geological and grade
		continuity appropriate for the Mineral
		Resource and Ore Reserve estimation
		procedure(s) and classifications
		applied.
	•	Whether sample compositing has been
		applied.
Orientation	•	Whether the orientation of sampling	•		Sampling will be controlled based on geological
of data in		achieves unbiased sampling of possible			logging.
relation to		structures and the extent to which this is
geological		known, considering the deposit type.
structure	•	If the relationship between the drilling
		orientation and the orientation of key

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Criteria	JORC Code explanation	JORC Code explanation	Commentary	Commentary
		mineralised structures is considered to
		have introduced a sampling bias, this
		should be assessed and reported if
		material.
Sample	•	The measures taken to ensure sample	•	Chain of custody maintained until delivered to
security		_security. _		laboratory.
Audits or	•	The results of any audits or reviews of	•	No audit of rock sampling data has been
reviews		sampling techniques and data.		completed to date

Section 2 Reporting of Exploration Results

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

Criteria	**JORC Code explanation **	**JORC Code explanation **	Commentary	Commentary
Mineral	•	Type, reference name/number,	•	E47/3322 is in good standing and is					100%
tenement and		location and ownership including		owned by Karratha Metals Ltd.
land tenure		agreements or material issues with	•	M47/123-126 owned	by	Platina Resources Ltd.
status		third parties such as joint ventures,	•	See map elsewhere in		this report		for
		partnerships, overriding royalties,		locations.
		native title interests, historical sites,
		wilderness or national park and
		environmental settings.
	•	The security of the tenure held at the
		time of reporting along with any
		known impediments to obtaining a
		_licence to operate inthe area. _
Exploration	•	Acknowledgment and appraisal of	•	Intensive exploration of the Munni					Munni
done by other		exploration by other parties.		intrusive complex for		PGE resources has
parties				been undertaken	by Greater				Pacific
				Investments, Hunter		Resources,			Helix
				Resources and Platina Resources.
			•	They undertook		mapping,			drilling,
				geophysical surveys, geochemical surveys,
				economic studies andheritage			surveys.
Geology	•	Deposit type, geological setting and	•	The study currently	being undertaken is to
		style of mineralisation.		investigate the	potential			for	gold
				mineralisation associated			with		basal
				siliceous conglomerate lithologies.
			•	This totally independent of the defined mafic
				intrusive hosted PGE mineralisation.
Drill hole	•	A summary of all information material	•	Historical drill collars were surveyed, with
Information		to the understanding of the		downhole surveys being completed;
		exploration results including a		downhole logging was		occasionally
		tabulation of the following information		performed. .
		for all Material drill holes:
		o easting and northing of the drill
		hole collar
		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,	•	No aggregation methods being			applied.
aggregation		weighting averaging techniques,
methods		maximum and/or minimum grade
		truncations(eg cutting of high grades)

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Criteria	**JORC Code explanation **	**JORC Code explanation **	Commentary	Commentary
		and cut-off grades are usually Material
		and should be stated.
	•	Where aggregate intercepts
		incorporate short lengths of high
		grade results and longer lengths of
		low grade results, the procedure used
		for such aggregation should be stated
		and some typical examples of such
		aggregations should be shown in
		detail.
	•	The assumptions used for any
		reporting of metal equivalent values
		_should be clearly stated. _
Relationship	•	These relationships are particularly	•	No mineralisation widths are being
between		important in the reporting of		reported.
mineralisation		Exploration Results.
widths and	•	If the geometry of the mineralisation
intercept lengths		with respect to the drill hole angle is
		known, its nature should be reported.
	•	If it is not known and only the down
		hole lengths are reported, there
		should be a clear statement to this
		effect (eg ‘down hole length, true
		_width not known’). _
Diagrams	•	Appropriate maps and sections (with	•	Appropriate maps and sections are
		scales) and tabulations of intercepts		available in the body of this announcement.
		should be included for any significant	•	The geology shown is based on the GSWA
		discovery being reported These		Pinderi Hills 1:100,000 mapsheet.
		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	•	Reporting of results in this report is
reporting		Exploration Results is not practicable,		considered balanced.
		representative reporting of both low
		and high grades and/or widths should
		be practiced to avoid misleading
		_reporting of Exploration Results. _
Other	•	Other exploration data, if meaningful	•	No other significant exploration work has
substantive		and material, should be reported		been done by Artemis.
exploration data		including (but not limited to):
		geological observations; geophysical
		survey results; 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	•	Plans are to follow-up re-logging of geology
		further work (eg tests for lateral		from drilling, with sampling and assays, with
		extensions, depth extensions or large-		mapping and sampling, and with further
		scale step-out drilling).		drilling.
	•	Diagrams clearly highlighting the
		areas of possible extensions,
		including the main geological
		interpretations and future drilling
		areas, provided this information is not
		_commercially sensitive. _

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