ARUMA RESOURCES LIMITED — Capital/Financing Update 2016

Oct 10, 2016

Aruma Resources Limited

ABN 77 141 335 364 ASX: AAJ

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11 October 2016

Dear Optionholder,

PRO-RATA NON-RENOUNCEABLE RIGHTS OFFER

As announced on 11 October 2016, Aruma Resources Limited (" Company ") is seeking to raise up to approximately $562,912 by a pro-rata non-renounceable rights offer (" Offer ") of up to approximately 70,364,063 shares on the basis of 1 new share (" New Share ") for every 4 shares held at an issue price of 0.8 cents per New Share. The Company will lodge an offer document for the Offer (" Offer Document ") with the ASX on 20 October 2016.

The funds raised under the Offer will be used to explore existing resource projects, identify and evaluate new resource projects , for working capital and to meet Offer expenses.

The Offer is fully underwritten by DJ Carmichael Pty Limited to the sum of $562,912. Minimum Subscription under the Offer is $562,912.

The timetable for the Offer is as follows:

Pro-rata Offer announced 11 October 2016 New Shares quoted on an "ex" basis 14 October 2016 (date from which the New Shares commence trading without the entitlement to participate in the Offer). Record Date 17 October 2016 (date for identifying Shareholders entitled to participate in the Offer). Offer Document with Entitlement Form sent to Eligible Shareholders 20 October 2016 Offer opens 20 October 2016 Closing Date 7 November 2016 (last date for lodgement of Entitlement Forms and Application Money) Trading of New Shares commence on a deferred settlement basis 8 November 2016 Company to notify ASX notified of the Shortfall (if any) 10 November 2016 Issue of New Shares and end of deferred settlement trading 14 November 2016 Normal trading of New Shares on ASX 15 November 2016

Subject to the Listing Rules, the above dates may be changed without notice.

Aruma Resources Limited

ABN 77 141 335 364 ASX: AAJ Level 1, 6 Thelma Street, West Perth WA 6005 Locked Bag 2000, Nedlands WA 6909, Australia T +61 8 6389 1799 I F +61 8 9226 3764 I W www.arumaresources.com

The Offer will be made to the Company's shareholders with a registered address in Australia or New Zealand on the Record Date (" Eligible Shareholders ").

Assuming that no Options are exercised before the Record Date, the effect of the Offer on the Company’s issued share capital at Full Subscription is shown in the following table:

Shares	Full Subscription
Existing Shares	281,456,254
New Shares issued under Rights Issue	70,364,063
Total Shares on issue after completion of the Rights Issue	351,820,317

It is anticipated that the Offer Document offering New Shares for subscription will be mailed to Eligible Shareholders on 20 October 2016. The Offer Document may be viewed on the ASX's website at www.asx.com.au or alternatively on the Company's website at www.arumaresources.com.

Application will be made to ASX for official quotation of the New Shares. No shareholder approval is required to the Offer.

Optionholders

Optionholders are not entitled to participate in the Offer. Should optionholders with a registered address in Australia or New Zealand wish to participate in the Offer they should exercise their options in accordance with the terms and conditions of the options in a timely manner and in any event to ensure the exercise of the options and the issue of the shares is completed by the Record Date of 17 October 2016.

If you have any questions please do not hesitate to contact the Company.

Yours faithfully

Paul Boyatzis Chairman Aruma Resources Limited

Aruma Resources Limited ABN 77 141 335 364 ASX: AAJ Level 1, 6 Thelma Street, West Perth WA 6005 Locked Bag 2000, Nedlands WA 6909, Australia T +61 8 6389 1799 I F +61 8 9226 3764 I W www.arumaresources.com