CENTAURUS METALS LIMITED — Interim / Quarterly Report 2017

Oct 25, 2017

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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SEPTEMBER 2017 QUARTERLY ACTIVITIES REPORT

Outstanding copper‐gold and iron ore prospects identified at Salobo West as maiden exploration program commences; newly identified copper project at Pebas offers walk‐up drill targets

26 October 2017

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SEPTEMBER QUARTER HIGHLIGHTS

SALOBO WEST IOCG PROJECT

• Key non‐ground disturbing environmental licence granted for initial exploration activities.

• Three high quality copper‐gold prospect areas identified in a prospective geological and structural setting:

• SW1‐A – Distinct 3.5km magnetic anomaly coincident with a Cu‐Au‐Fe geochemical signature;

• SW1‐B – Distinct 4.5km long Cu‐Au‐Fe‐(Co‐Ag) geochemical signature that is locally over 600m wide and coincident with the strong E‐W magnetic feature that truncates SW1‐A Prospect; and

• Serendipidade – A 5km long and up to 700m wide Cu‐Au‐Ag‐Mo‐(U‐Fe‐Mn‐Co‐As) geochemical signature which is similar to the signature of the nearby massive Salobo Copper‐Gold Mine.

• High‐grade outcropping iron ore discovered at the Canga Prospect during first reconnaissance field visit to the Salobo West Project. The Prospect is >900m long and up to 150m wide with multiple high‐grade rock chip assays in the range of 62‐69% Fe with low impurities .

• The canga outcrop is located within a regional magnetic anomaly that runs east‐west across the tenement area over a continuous strike length of some 7km and discontinuously for up to 10km.

PEBAS COPPER‐GOLD PROJECT

• Significant new exploration opportunity identified at the Pebas Copper‐Gold Project, part of the Pará Exploration Package, with historical exploration by a TSX‐listed entity identifying:

• 2km long, +500ppm copper‐in‐soils anomaly which is up to 400m wide;

• Gossanous rock chip sample grades of up to 27.6% Cu, 4.6g/t Au, and 73.1g/t Ag ; and

• Reconnaissance diamond drilling intersections of up to 146.9m at 0.21% Cu and 0.08g/t Au .

CORPORATE

• Earn‐In obligation of R$2.5M (~A$1M) met in relation to the Pará Exploration Package, allowing the Company to acquire 100% of the entire tenement package that forms part of the Package.

• Successful completion of 5‐for‐9 Rights Issue.

Australian Office Brazilian Office ASX: CTM Centaurus Metals Limited Centaurus Brasil Mineração Ltda ACN 009 468 099 Level 3, 10 Outram St Avenida Barão Homem de Melo, 4391 office@centaurus.com.au WEST PERTH WA 6005 Salas 606 e 607 ‐ Estoril Telephone: +61 8 9420 4000 Belo Horizonte ‐ MG ‐ CEP: 30.494.275 BRAZIL

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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Figure 1: Location of Salobo West, Pebas and Serra Misteriosa Projects and the broader Pará Exploration Package

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EXPLORATION

The Carajás Mineral Province

Centaurus’ Salobo West Copper‐Gold and Pebas Copper‐Gold Projects are located in the Carajás Mineral Province (“Carajás”), which is considered one of the world’s premier mining addresses. A total of 15 world‐class mineral deposits lie within an area of just 150 x 100km, including nine IOCG deposits with resources of +100 million tonnes of copper‐gold ore.

These IOCG deposits – in addition to several other IOCG prospects that are under exploration – collectively contain resources of more than 4.0 billion tonnes of copper‐gold ore (see Figure 2 below).

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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Figure 2 – The Carajás Mineral Province with Schematic of Reserve Estimates (dark green) and Resource Estimates (light green) of the Nine Largest IOCG Deposits.

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Three of the top five known IOCG deposits in the Carajás (all with resources +300Mt Cu‐Au ore), as well as multiple exploration targets, are located along the Cinzento Shear Zone (see Figure 3). These deposits are structurally controlled by regional‐scale W‐NW striking, brittle‐ductile shear zones hosted within the highly prospective volcanic and sedimentary rocks of the Itacaiúnas Supergroup.

Figure 3 – Tier‐1 IOCG deposits in the Cinzento Shear Zone over the Regional Magnetics (AS).

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Vale’s giant Salobo Copper‐Gold Mine is one of these deposits, and is arguably the second‐biggest IOCG in the world behind BHP’s Olympic Dam Mine. Salobo has Reserves of 1.2 billion tonnes at 0.63% Cu and 0.4g/t Au and produced approximately 176kt of copper and 317koz of gold in calendar year 2016[1] .

1 Vale Data sourced from “Vale Production in 4Q16” Report, its 20‐F Annual Report for 2016 and other public reports

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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Centaurus’ Salobo West Cu‐Au Project includes multiple distinct targets that display similar geochemical and geophysical characteristics and are located in the same geological context as the Salobo mine, just 12km along strike.

Centaurus is now only one of two companies that have significant tenement holdings within the main Cinzento Shear Zone – the other being leading global miner Vale.

SALOBO WEST IOCG PROJECT

Environmental Licence

Following the receipt of a crucial initial environmental licence for the Salobo West project during the Quarter, Centaurus was able to commence non‐ground disturbing exploration activities on site. This licence was received much earlier than expected, enabling site fieldwork including mapping, stream sediment sampling, soil sampling and ground‐based geophysics to commence.

Exploration Programs

The Salobo West Copper‐Gold Project consists of two tenements, SW1 (granted) and SW2 (in application), covering a combined total area of 120km[2] of highly prospective ground only 12km along strike from Vale’s giant Salobo Copper‐Gold Mine.

Centaurus is working with leading Australian geophysical consultancy firm Southern Geoscience and Mr Alan King, former Chief Geophysicist for Global Exploration at Vale and Inco, to analyse the regional CPRM data and generate preferred targets which will assist in planning the Company’s exploration efforts. To date, Centaurus has identified three priority copper‐gold prospects within the SW1 tenement: SW1‐A, SW1‐B and Serendipidade, see Figure 4 below.

Figure 4 – Salobo West Prospect locations, with Itacaiúnas Supergroup (green) Overlaying the Regional Magnetics (AS).

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Field exploration activities are now underway. The focus of initial field work will be geological mapping, soil sampling and stream sediment sampling over the aforementioned priority prospect areas.

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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SW1‐A Copper‐Gold Prospect

The SW1‐A Prospect is a distinct 3.5km long magnetic anomaly coincident with a Cu‐Au‐Fe soil geochemistry signature identified from a historical Anglo American Mines Department report.

All known IOCG deposits in the Carajás are located in the metavolcanic‐sedimentary units of the Itacaiúnas Supergroup and associated with shear zones and intersections of major W to NW and SW‐trending lineaments. This bodes well for a number of the Salobo West IOCG Prospects, especially SW1‐A and SW1‐B.

The SW1‐A Prospect is located along the north‐western extension of the Itacaiúnas Supergroup, the same stratigraphic sequence as the Salobo Mine (see Figure 4 above). As mentioned, structural control is very important with IOCG exploration in the Carajás and the SW1‐A Prospect sits along one of these favourable structural orientations. Further, the prospectivity of SW1‐A is enhanced as a result of the fact that the north‐ west extent of the prospect is truncated by the E‐W trending BIF unit of the SW1‐B Prospect.

SW1‐B Copper‐Gold Prospect

SW1‐B is a distinct 4.5km long Cu‐Au‐Fe‐(Co‐Ag) geochemical anomaly that is locally over 600m wide and coincident with the strong E‐W magnetic feature (see Figure 4 above).

The SW1‐B Prospect is also located in a favourable structural orientation and is truncated by the north‐west trending BIF unit of the SW1‐A Prospect, which is interpreted to be part of the north‐western extension of the Itacaiúnas Supergroup that hosts the Salobo Mine. The intersection zone of these two regionally significant structures is an additional priority area within both Prospects.

Interestingly, the geochemical signature of the SW1‐B Prospect is continuous to the western limit of the SW1‐B magnetic signature. This low magnetic response area may be caused by the demagnetisation of the BIF host, either due to formation of hematite or sulphides, and this presents another interesting target within the SW1‐ B Prospect area.

Serendipidade Copper‐Gold Prospect

A review of the DNPM (Brazilian Mines Department) archives identified the large‐scale Serendipidade Copper‐ Gold Prospect. The review work uncovered archived documents from early‐stage exploration work undertaken on the SW1 tenement area in 2005‐2009 by leading global mining company Anglo American (Anglo). The data represents an unexpected but significant boost to the Company’s upcoming copper‐gold exploration program.

The Serendipidade copper‐in‐soils anomaly (+250ppm Cu) is more than 2.5km long and up to 700m wide and has the highest copper (861 ppm) and gold (145ppb) soil anomalies collected by Anglo. The anomaly is parallel to the regional strike and is controlled locally by both structural features and hydrothermal altered zones.

Figure 5 below shows a comparison of the geochemical signatures of the Serendipidade and SW1‐B prospects compared to that of the world‐class Salobo Copper‐Gold Mine. It is evident that both the Serendipidade Prospect and Salobo Mine have very clear Cu‐Au‐Ag‐Mo‐(U‐Fe‐Mn‐Co‐As) geochemical signatures. All of these elements are excellent pathfinder elements for copper‐gold mineralisation.

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Figure 5 – Geochemical comparison of SW1 Project and the Salobo Cu‐Au Mine (from DNPM Report)

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Given the quality of the Serendipidade Prospect signature, Centaurus plans to carry out in‐fill and quality control (twin) soil sample lines to validate the historical data and then open new survey lines on 200m spacings to enhance the definition of drill targets over the prospect area.

Canga DSO Iron Ore Prospect

During an initial reconnaissance site visit to Salobo West, Centaurus identified a significant outcrop of lateratized iron ore (known in Brazil as “Canga”). The outcrop is more than 900m long, is up to 150m wide and has returned multiple high‐grade rock chip assays in the range of 62‐69% Fe with low impurities . Assays were completed by SGS Geosol and are detailed in full in the Company’s ASX Announcement dated 12 October 2017.

Figure 6 – Canga DSO Iron Ore Prospect; Centaurus Senior Geologist inspects the canga outcrop; small fold shows original bedding in high grade hematite BIF.

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AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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The canga material is a quality Direct Ship Ore (DSO) in its own right but, more importantly, is a consistent strong marker in the Carajás for high grade, enriched hematite ore. Canga can be up to 20m thick and generally overlies the +66% Fe hematite ore that is mined to depths of +300m at Vale’s massive Serra Norte and Serra Sul (S11D) iron ore mines. The canga seen at Salobo West has the same chemical and physical characteristics as the canga that sits over these known iron ore deposits in the Carajás.

Figure 7 – Salobo West Project, Location of the Canga Prospect over Regional Magnetics (AS).

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Importantly, the canga outcrop at Salobo West is located within a regional magnetic anomaly that runs east‐west across the tenement area for a continuous strike length of some 7km (see Figure 7 above). The total strike length of the anomaly is 10km but it is cut by a valley towards the western portion of the anomaly.

Centaurus has engaged Southern Geoscience to carry out detailed processing work on the CPBM (Brazilian Geological Survey) airborne magnetic and gravity data to compare the magnetic and gravitational responses over known deposits (both Fe and IOCG) in the Carajás to the Canga and other prospects at Salobo West.

Results from this study are due in the December Quarter and will assist in determining an initial DSO Iron Ore Exploration Target estimate for the Canga Prospect and help lock down the priority copper‐gold prospects for future drilling.

Exploration of the Canga Prospect and its potential extensions will be undertaken in parallel with the surface exploration work over the Company’s copper‐gold prospect areas on the SW1 tenement at Salobo West. The Company expects that detailed mapping and sampling of the key prospects at SW1, including the Canga Prospect, will be underway before the end of October with first results expected in November.

The reconnaissance visit was also successful in other important respects in that the Company’s exploration team was able to identify a number of camp site options for the remote exploration camp site as well as some existing access tracks around the project area that may be utilised to gain access to the key target areas.

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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PEBAS COPPER‐GOLD PROJECT

Centaurus has identified a new high‐quality copper‐gold exploration opportunity from within its 100%‐owned Pará Exploration Package in Northern Brazil, which continues to demonstrate the value of the deal completed in late 2016 with its Strategic Alliance Partner, Terrativa Minerais SA.

The Pebas Copper‐Gold Project, which is located in the world‐class Carajás Mineral Province in northern Brazil, was historically explored by TSX‐listed exploration company INV Metals Inc. (“INV”) in 2010[2] . As outlined in their March 2012 NI 43‐101 Report, INV delineated a 2km long, +500ppm copper‐in‐soils anomaly which is up to 400m wide (see Figure 8).

Figure 8 – The Pebas Copper‐Gold Project – copper‐in‐soils over geology and drill‐hole locations (from INV), with section A‐B shown at Figure 9.

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A peak soils value of 1,644ppm Cu and 314ppb Au was collected 100m east of gossanous outcrop which returned sample grades of 27.6% Cu, 4.6g/t Au and 73.1g/t Ag . Additionally, a nine hole reconnaissance diamond drilling program returned intersections of:

• 146.9m at 0.21% Cu and 0.08g/t Au in drill hole PRN‐DD‐37 from surface, including

• 2.1m at 0.96 % Cu from 53.7m,

• 1.0m at 1.73% Cu from 91.6m; and

• 2.3m at 1.15% Cu from 115.9m.

• 105.0m at 0.23% Cu Au in drill hole PRN‐DD‐36 from surface, including

• 31.3m at 0.33% Cu from 18.2m

2 Historical exploration information reported in this release was sourced from the INV NI 43‐101 Technical Report of March 2012 (www.sedar.com).

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Figure 9 – The Pebas Copper‐Gold Project – Drill Section (from INV NI 43‐101 Technical Report of March 2012). A‐B Section location can be seen on Figure 8

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Copper mineralisation appears to be controlled by the E‐W fault contact between the siliceous quartzite to the north and the altered schists to the south. Centaurus’ early interpretation of the drilling, which is further supported by the soils, indicates that the mineralisation appears to thin and become lower grade with increasing distance from this fault contact (compare holes 36 and 35 in Figure 9 above). As the section shows, there is a distance of more than 300m between holes PRN‐DD‐36 and 40. The faulted contact between the siliceous quartzite and the altered schists is located in this untested area. This fault may have served as a feeder structure for the mineralising fluids and is an initial key target for future exploration by Centaurus.

Planning is underway for a focused, low‐cost ground EM survey to be undertaken in the coming months. The target is located in a similar geological and structural setting as the Antas Norte Copper‐Gold Mine, operated by ASX listed Avanco Resources.

The high‐grade copper mineralisation at Avanco’s Antas Norte mine is roughly 60m thick, has a strike of 700m and is one of the highest grade copper mines in the world with a mine head grade of circa 2.6% Cu[3] . Historically, Avanco has used ground EM combined with soil geochemistry to successfully identify the Antas Norte and other high‐grade copper sulphide targets in the Carajás region.

Once the ground EM survey is completed, a drill program is likely to be carried out to test the fault controlled target, as well as any new targets generated by the survey. Given the favourable location and ease of access to the Pebas Project from the regional centre of Parauapebas, any drill program is likely to be undertaken during the regional wet season, when work at the Salobo West Project and other Pará EP tenements may be restricted.

3 Refer to Avanco Resources website information on Antas Norte deposit (www.avancoresources.com/operations/antas‐north/)

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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SERRA MISTERIOSA GOLD PROJECT

Centaurus completed an initial phase of diamond drilling at the Serra Misteriosa Gold Project in northern Brazil during the Quarter. The Company decided to suspend drilling after nine holes while it undertakes a detailed review of the results to date before moving on with any further round of drilling.

Results from the first nine holes drilled indicate the presence of a large, shear‐hosted hydrothermal system at Serra Misteriosa with drilling intersecting multiple zones of weak gold mineralisation along a strike length of +1.6km. All results from the nine holes drilled are set out in Table 1. The Company is encouraged by these initial results and is now undertaking a detailed structural geology review to determine structural controls on the mineralisation.

The suspension of diamond drilling at Serra Misteriosa follows the completion of 2,377m of drilling (see Figure 10). The majority of the drill holes were designed to test coincident geochemical and geophysical (IP/Resistivity) targets to depths of up to 300m below surface along a strike length of approximately 2.0km.

Results from the nine hole program include the following continuous intersections:

• 6.0m at 0.66g/t Au in drill hole SRM‐DD‐17‐002 from 84.0m, including 2.0m at 1.35 g/t Au from 84.0m;

• 28.5m at 0.14 g/t Au in drill hole SRM‐DD‐17‐004 from surface;

• 18.0m at 0.13g/t Au in drill hole SRM‐DD‐17‐006 from 51.0m; and

• 14.0m at 0.17g/t Au in drill hole SRM‐DD‐17‐007 from 104.0m, including 1.0m at 1.25g/t Au from 115.0m.

The target model was successful in identifying weak gold mineralisation that is associated with significant amounts of sulphides (pyrite and arsenopyrite) found within an intense hydrothermal sheared and often brecciated structural zone. This zone is consistently found at the sub‐vertical contact between the muscovite‐ sericite altered schist and a highly siliceous mylonite.

Figure 10 – Serra Misteriosa Gold Project – Drill‐hole locations

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AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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The shear zone correlates very well with the 1[st] order gold‐in‐soils anomaly (+100 ppb Au) as well as the IP anomalies (sulphides). Weak gold mineralisation is consistently present within the shear zone and correlates well down‐dip and along a strike length of at least 1.6km, demonstrating continuity of the mineralisation within the hydrothermal zone. While these intersections from the initial drill program are not economically significant, they are certainly encouraging and may represent structural indicators to more robust lodes located in favourable structural and lithological settings.

In order to further explore this potential, the Company has engaged the services of Mr Grant “Rocky” Osborne to carry out an in‐depth assessment of the geological and geochemical data and Dr Roberto Vizeu to complete a detailed structural geology review of the project in conjunction with the Company’s own geological team.

Dr Vizeu is a lecturer at Pará University and has carried out detailed structural reviews of many of the world‐class projects in the region including the 5Moz Volta Grande Gold Project and Vale’s giant Salobo Cu‐Au Mine. From this geological and structural assessment, the Company will plan the next stage of exploration.

IRON ORE PROJECTS

Figure 11 – Centaurus Project Locations in south‐east Brazil

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Conquista DSO Project

The Conquista Project comprises a portfolio of highly prospective tenements with extensive Direct Ship Ore (DSO) mineralisation located just 8km along well maintained gravel roads from the Company’s previously divested Candonga DSO Iron Ore Project (see Figure 11).

During the June 2017 Quarter, Centaurus granted a 12‐month option over the Conquista Project to R3M Mineração Ltda, a privately‐owned Brazilian mining group, paving the way for the next phase of exploration and potential future development of the Conquista Project.

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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Under the option R3M will spend R$1 million on exploration at Conquista during the option period, which is to include ~1,000m of drilling. Should R3M exercise the option they acquire title by granting Centaurus a 12% production royalty with R$3 million of the royalty to be paid up front on exercise of the option as a non‐ refundable advance of production royalty.

Centaurus has already completed extensive exploration work on the Conquista Project which has allowed the Company to establish an Exploration Target of 3.5‐8Mt of high‐grade DSO grading 64‐67% Fe, with a further 20‐ 40Mt of itabirite mineralisation grading 35‐45% Fe. The conservative Exploration Target is based on detailed geological mapping and sampling, auger drill‐hole results, a detailed ground magnetic survey and Centaurus’ extensive knowledge of the local geology following the extensive feasibility study completed on the previously divested Candonga DSO Project, only 10km to the east of Conquista. The Exploration Target quantity and grade is conceptual in nature, there has been insufficient exploration to estimate a JORC Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource.

Jambreiro Project

The Company’s 100%‐owned Jambreiro Project, located in south‐east Brazil (Figure 11), is a shovel‐ready development project that is licenced for 3Mtpa of wet production and which represents a strategic asset in the Brazilian domestic iron ore and steel sector, particularly with the premium pricing that exists in the market for high grade ore (+65% Fe) like that which could be produced at Jambreiro.

Centaurus intends to pursue opportunities to extract value from the Jambreiro Project via either an outright sale or joint development proposition. The Company’s Brazilian subsidiary that holds the Jambreiro asset also holds tax losses of approximately R$160 million (A$64 million).

AURORA COPPER PROJECT

The Aurora Copper Project is located in the state of Ceará, north‐east Brazil (see Figure 12). No field activities were undertaken at the Aurora Copper Project during the Quarter with the majority of the Company’s focus being on the exploration work at the Salobo West and Serra Misteriosa projects.

Figure 12: Centaurus Copper Project Locations in north‐east Brazil

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AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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CORPORATE

Rights Issue

During the Quarter, Centaurus’ 5‐for‐9 renounceable rights issue closed significantly oversubscribed. As a result, the Company issued 624,025,798 New Shares and 624,025,798 New Options with an exercise price of $0.01 and expiry date of 31 August 2019 under the Rights Issue.

The proceeds of the Rights Issue were earmarked for exploration activities at Salobo West and Serra Misteriosa.

CPS Capital acted as Lead Manager and Underwriter to the Rights Issue.

Completion of Pará Acquisition

Centaurus completed the acquisition of the highly prospective Pará Exploration Package (EP) by exercising its right to acquire 100% of the tenements that make up the 750km[2] package and issuing a total of 30 million Ordinary Shares and 90 million Performance Rights to its strategic alliance partner, Terrativa Minerais SA (“Terrativa”), while also granting them a 2% production royalty over future production from the tenements.

The right to acquire 100% of the tenements required no vendor payments and was achieved by meeting the earn‐ in obligation of R$2.5 million (A$1.0 million), well within the earn‐in period of two years. In fact, the earn‐in was achieved in just over six months from the completion of the original deal with Terrativa given the highly prospective nature of the tenements that formed the Pará EP.

The Ordinary Shares issued to Terrativa rank equally with the existing Ordinary Shares on issue. The Performance Rights comprise three tranches of 30 million Performance Rights each, and will be converted into Ordinary Shares upon the achievement in full of the following milestones:

• Tranche A – 30,000,000 Performance Rights will be converted into Ordinary Shares if, within a period of 5 years after the date of issue of the Performance Rights (5 September 2017), a JORC‐compliant Inferred Resource of 500,000oz of gold or gold equivalent is defined on the Project tenements;

• Tranche B – 30,000,000 Performance Rights will be converted into Ordinary Shares if, within a period of 5 years after the date of issue of the Performance Rights, a JORC‐compliant Inferred Resource of 1,000,000oz of gold or gold equivalent is defined on the Project tenements;

• Tranche C – 30,000,000 Performance Rights will be converted into Ordinary Shares if, within a period of 5 years after the date of issue of the Performance Rights, a JORC‐compliant Inferred Resource of 1,500,000oz of gold or gold equivalent is defined on the Project tenements.

Shareholder approval for the issue of both Ordinary Shares and Performance Rights to Terrativa was obtained at the Company’s 2017 AGM held on 24 May 2017, following the grant of an ASX waiver to ASX Listing Rule 7.3.2 such that the 30,000,000 Ordinary Shares and 90,000,000 Performance Rights could be issued more than three months after the date of the AGM. There are no Shares or Performance Rights that remain to be issued. No Performance Rights were converted during the period as none of the vesting conditions have yet been met.

Following the issue of the Ordinary Shares Terrativa holds 76,501,476 ordinary shares for 4.3% of the total issued capital.

Cash Position

At 30 September 2017, the Company held cash reserves of A$1.72 million.

Shareholder Information

At the end of the reporting period the Company had 1,777,272,235 shares on issue with the Top 20 holding 30.3% of the total issued capital. Directors and Senior Management held approximately 6.8% of the total issued capital.

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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The Company’s capital structure is as follows:

Quoted Securities

Security	Number
Fully paid ordinaryshares(CTM)	1,777,272,235
Listed options,exerciseprice$0.01,expirydate 30 April 2018(CTMOA)	226,233,707
Listed options,exerciseprice$0.01,expirydate 31 August 2019(CTMOB)	624,025,798

Unquoted Options

Expiry date	Exercise price	Vested	Unvested	Total number of shares under option
31/08/2018	$0.1250	2,000,000	‐	2,000,000
10/06/2018	$0.0082	5,500,000	‐	5,500,000
10/06/2019	$0.0082	8,500,000	‐	8,500,000
10/06/2020	$0.0082	‐	8,500,000	8,500,000
31/05/2020	$0.0130	18,500,000	‐	18,500,000
31/05/2021	$0.0140	‐	18,500,000	18,500,000
31/05/2022	$0.0150	‐	37,000,000	37,000,000
Total		34,500,000	64,000,000	98,500,000

Unquoted Performance Rights

The Company has issued 90,000,000 Performance Rights to Terrativa Minerais SA as outlined above. Each tranche of Performance Rights will be converted into Ordinary Shares under the terms outlined above.

ASX Waivers in regard to Issue of Shares and Performance Rights ‐ Pará Exploration Package

In February and March 2017, the Company obtained ASX waivers under Listing Rule 7.3.2 in connection with the issue of 30,000,000 Shares and 90,000,000 Performance Rights to Terrativa Minerais SA for the right to acquire 100% of the Pará Exploration Package (Pará EP) in Brazil, so as to permit the relevant securities to be issued up until 2 December 2018.

The issue of the future Shares and Performance Rights were approved by shareholders at the Company’s 2017 AGM held on 24 May 2017 and on 6 September 2017, the Company announced that it had met the earn‐in obligation of R$2.5 million in expenditure on the tenements, and issued the 30 million Shares and 90 million Performance Rights to Terrativa.

There are no Shares or Performance Rights that remain to be issued. No Performance Rights were converted during the period as the vesting conditions have yet to be met. No Performance Rights have been cancelled.

The Performance Rights comprise three tranches of 30 million Performance Rights each, and each will be converted into one Ordinary Share upon the achievement in full of the following milestones:

• Tranche A – 30,000,000 Performance Rights will be converted into Ordinary Shares if, within a period of 5 years after the date of issue of the Performance Rights (5 September 2017), a JORC‐compliant Inferred Resource of 500,000oz of gold or gold equivalent is defined on the Project tenements;

• Tranche B – 30,000,000 Performance Rights will be converted into Ordinary Shares if, within a period of 5 years after the date of issue of the Performance Rights, a JORC‐compliant Inferred Resource of 1,000,000oz of gold or gold equivalent is defined on the Project tenements;

• Tranche C – 30,000,000 Performance Rights will be converted into Ordinary Shares if, within a period of 5 years after the date of issue of the Performance Rights, a JORC‐compliant Inferred Resource of 1,500,000oz of gold or gold equivalent is defined on the Project tenements.

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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DARREN GORDON MANAGING DIRECTOR

Competent Person Statement

The information in this report that relates to Exploration Results is based on information compiled by Roger Fitzhardinge who is a Member of the Australasia Institute of Mining and Metallurgy. Roger Fitzhardinge is a permanent employee of Centaurus Metals Limited. Roger Fitzhardinge 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’. Roger Fitzhardinge consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Exploration Targets

This Report comments on and discusses Centaurus Metals Limited’s exploration in terms of target size and type. The information in relation to Exploration Targets should not be misunderstood or misconstrued as an estimate of Mineral Resources or Ore Reserves. The potential quantity and quality of material discussed as Exploration Targets is conceptual in nature since there has been insufficient work completed to define them as Mineral Resources or Ore Reserves. It is uncertain if further exploration work will result in the determination of a Mineral Resource or Ore Reserve.

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT

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Table 1 – Diamond Drill Results from Serra Misteriosa Drilling

							Significant Intersections	Significant Intersections	Significant Intersections	Significant Intersections
Drill Hole	East	North	mRL	Dip	Azi	EOH	From	To	Interval	Aug/t
SRM‐DD‐17‐001	532,537	9,429,139	345	‐60	187	309.0	241.7	262.0	20.3	0.05
SRM‐DD‐17‐002	532,531	9,429,087	360	‐55	187	297.0	8.0	11.0	3.0	0.36
							84.0	90.0	6.0	0.66
						Including	84.0	86.0	2.0	1.35
							131.0	142.0	11.0	0.08
							152.3	153.0	0.7	0.76
							223.0	225.0	2.0	0.17
							241.0	246.0	5.0	0.12
SRM‐DD‐17‐003	532,496	9,428,809	421	‐55	187	215.9	104.0	118.0	14.0	0.07
							129.8	132.0	2.2	0.09
							140.0	145.0	5.0	0.25
						Including	142.8	144.0	1.3	0.84
SRM‐DD‐17‐004	531,507	9,428,901	378	‐55	187	228.6	0.0	28.5	28.5	0.14
						Including	18.1	20.2	2.1	0.29
						and	26.3	28.5	2.2	0.44
							82.0	86.0	4.0	0.10
							135.0	139.0	4.0	0.06
SRM‐DD‐17‐005	531,683	9,428,692	387	‐55	187	211.0	36.5	58.1	21.6	0.09
						Including	36.5	38.5	2.0	0.32
							96.0	99.0	3.0	0.09
SRM‐DD‐17‐006	531,468	9,428,589	492	‐55	187	272.4	40.0	42.0	2.0	0.27
							51.0	69.0	18.0	0.13
						Including	57.0	58.0	1.0	0.54
						and	67.0	69.0	2.0	0.44
							88.0	91.0	3.0	0.11
							99.0	103.0	4.0	0.07
SRM‐DD‐17‐007	531,929	9,429,019	349	‐55	187	272.6	92.0	98.0	6.0	0.05
							104.0	118.0	14.0	0.17
						Including	109.2	110.0	0.8	0.27
						and	115.0	116.0	1.0	1.25
							123.0	125.0	2.0	0.21
							205.2	216.0	10.8	0.07
						Including	205.2	206.1	0.9	0.11
						and	214.1	215.1	1.0	0.28
							252.0	256.0	4.0	0.11
SRM‐DD‐17‐008	530,905	9,428,882	364	‐55	187	294.6	140.0	143.0	3.0	0.18
							248.0	250.0	2.0	0.26
							279.0	284.0	5.0	0.10
SRM‐DD‐17‐009	531,512	9,428,946	365	‐55	187	275.9	No significant Intersection
*Significant Intersections are down hole width,with Augreater than 0.05g/t