ARUMA RESOURCES LIMITED — Capital/Financing Update 2016

Sep 21, 2016

ASX ANNOUNCEMENT 22 September 2016

EXPLORATION UPDATE

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GOLD EXPLORATION UPDATE

HIGHLIGHTS

 Goddard’s Dam (Glandore South) Gold project

• Multiple targets from previous exploration

• Drill targets to be evaluated to follow up historic gold intersections

• Clinker Hill Gold project

  • Soil sampling and modelling underway

• Slate Dam Gold project

  • 26 block EL pegged north east of Glandore

  • Large gold anomalies revealed in data review

 Bulloo Copper project

• EIS diamond hole completed to 528m

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Figure 1 Aruma's Project areas in Western Australia

Aruma Resources Limited

ABN 77 141 335 364 ASX: AAJ Level 1, 6 Thelma St, West Perth WA 6005 Locked Bag 2000, Nedlands WA 6909, Australia

T +61 8 9321 0177 I F +61 8 92263764 I W www.arumaresources.com

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ASX ANNOUNCEMENT 22 September 2016

EXPLORATION UPDATE

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Goddard's Dam

Recognition of the Black Flag Group of sediments and anomalous historical gold assays in the Glandore project has renewed focus on the southern area at Goddard's Dam as shown below in Figure 2.

Historical drilling by Rubicon Resources Limited in the years up to 2009 has shown the presence of anomalous stratigraphy in similar material to the Steve's Line, where 5m at 4.3g/t gold was intersected in sediments in the western conglomerates.

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Figure 2

Rubicon’s (2009) drilling on the magnetic image and the trends to be drilled for BFG mineralisation.

A further appraisal of the southern section of the Glandore leases (Goddard’s Dam) has identified large target zones in previously untested terrain.

ASX ANNOUNCEMENT 22 September 2016

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EXPLORATION UPDATE

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Figure 3 Goddard’s Dam Project area showing the previous geological interpretation with structures and anomalous holes (yellow<1g/t and red >1g/t Au) and the proposed drilling

The requirements for the Black Flag style of gold mineralisation are sulphidic sediments in structurally prepared areas with heat sources such as granites in a gold endowed area. The Glandore area has all these attributes and the target areas will be tested with RAB/RC drilling.

Further exploration using this model will also be done on the Clinker Hill Project, which has similar attributes to Goddard’s Dam.

The recognition of this style of mineralisation and the availability of prospective leases in the Bulong area has encouraged Aruma to apply for the Slate Dam lease which is contiguous to the existing Glandore and Goddard's Dam property. The combined area is now in excess of 120km[2] in a region with a strong gold endowment.

ASX ANNOUNCEMENT 22 September 2016

EXPLORATION UPDATE

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Slate Dam Application

A new exploration licence (ELA25/553) has been applied for (26 graticular blocks over some 80km[2] ) over a large belt of covered felsic sediments to the north east of Glandore. The intention is to investigate the gold potential in sulphidic sediments with granites and mineralisation that might host economic grades. Historic work on this ground has identified an area considered anomalous for gold. This is in keeping with the development and exploration strategy underway at Glandore by the joint venture partner and Aruma.

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Figure 4 Slate Dam Application, ELA25/553 on magnetics and showing the historical drill defined Gold anomaly. Glandore is shown as the leases in black.

ASX ANNOUNCEMENT 22 September 2016

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EXPLORATION UPDATE

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Figure 5

Leases at Glandore with gold anomalies in red ellipses. Lease holders are Red=SAU JV, Tan and Pink=AAJ, Green=Anglo Gold Ashanti, Blue = Silver Lake. (From Tengraph on Google Image)

Aruma will be using a hydrothermal sediment hosted sulphidic gold model to identify gold targets, which has been used with success in the last 4 years by several companies to find major new finds in the Wiluna Norseman belt.

ASX ANNOUNCEMENT 22 September 2016

EXPLORATION UPDATE

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Bulloo Downs Copper Project

Aruma recently completed the third Exploration Incentive Scheme co-funded diamond hole of 528m on the Bulloo Downs project to test a number of emissivity anomalies. With the completion of this program the Company will endeavour to test for interest in the project by sizable corporates before considering a return of the project to the joint venture partners or relinquishing. This will significantly reduce the Company’s expenditure commitments and allow exploration to focus on gold in the Kalgoorlie area and other projects reviewed.

For further information please contact:

Peter Schwann Managing Director Aruma Resources Limited Tel: +61 8 9221 0177 Mobile: +61 417 946 370 info@arumaresources.com

Competent Person’s Statement

The information in this release that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Peter Schwann who is a Fellow of the AIG and Australasian Institute of Mining and Metallurgy. Mr Schwann is Managing Director and a full time employee of the Company. Mr Schwann has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity 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 Reserve’. Mr Schwann consents to the inclusion in the release of the matters based on his information in the form and context in which it appears.