DELTA LITHIUM LIMITED — Capital/Financing Update 2018

Dec 20, 2018

TNTMINES LIMITED ABN 67 107 244 039

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1202 Hay Street WEST PERTH WA 6005

P: +61 8 6319 1900 W: tntmines.com.au

21 December 2018

ASX Code: TIN

EXCLUSIVITY AGREEMENT TO ACQUIRE 100% OF NORTH AMERICAN ZINC PROJECT

Highlights

• TIN has entered into an exclusive 4‐month Binding Exclusivity Agreement to potentially acquire 100% of issued capital in Metals of Americas, LLC (MOA), which has mineral leases over the surface and mineral rights to the Pelley Ridge Zinc Project in Montana, USA

• Agreement provides TIN with a exclusivity until 30[th] April 2019 – to complete legal and technical due diligence on Pelley Ridge and MOA, and to finalise a binding acquisition agreement

• MOA is a US company founded by well‐known geologist and successful mining project generator Cherie Leeden

• TIN has agreed to immediately appoint Ms Leeden as a Technical Advisor on minerals assets including Pelley Ridge, and lead the project generation strategy for TIN targeting North America for significant undervalued, advanced mining assets

• Pelley Ridge Zinc Project:

• Drill Ready – high grade zinc target

• Similar tectonic and time‐stratigraphic setting to the world‐class Sullivan zinc deposit (>160Mt of ore grading at 12% Pb+Zn)

• Significant historical intercepts encountered 14.9m @ 5.43% Zn from 71m (including 10.8m @ 7.21% Zn) ‐ highest known grade hits outside Sullivan deposit in the same massive depositional basin (Purcell Supergroup/Belt Supergroup)

• Lies on freehold pastoral ground (typically allowing for rapid permit times)

• Excellent land/permitting setting (private surface and mineral ownership)

TNT Mines Ltd (ASX: TIN) (“TNT Mines”, “TIN” or “Company”) is pleased to confirm the Company has entered into an exclusive four‐month Binding Exclusivity Agreement (the “Binding Exclusivity Agreement”) to potentially acquire 100% of the issued capital in Metals of Americas, LLC (“MOA”), which holds mineral leases over the surface and mineral rights to the Pelley Ridge Zinc Project in Montana, USA (Figure 1) which is a highly prospective advanced zinc exploration asset.

Pelley Ridge was secured by Nevada‐based Limited Liability Company, Metals of Americas, LLC which is owned by Nedeel LLC and Ms Cherie Leeden – former Battery Minerals (ASX:BAT) managing director and founder who has over 16 years’ global corporate experience with a focus on ethical mineral development and proven track record of being a ‘mine finder’.

frontdesk@tntmines.com.au |www.tntmines.com.au

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Commenting on the Binding Exclusivity Agreement, TNT Mines Chairman Brett Mitchell said:

“W hile we will still retain our Tasmanian tin projects, our board is of the view that securing and developing base metals, precious or strategic metal projects in tier‐1 mining jurisdictions will complement the current project portfolio and add significant value to our shareholders. The Pelley Ridge zinc project, in the board’s view, fits this profile as it already contains a significant ore grade intercept. Also securing the services of Cherie Leeden is a significant coup for the Company, for not only the Pelley Ridge asset but also for project generation for other advanced mining assets in North America. As per our exclusive Binding Exclusivity Agreement, TIN will now complete its extensive due diligence processes on Pelley Ridge over the next four months and I look forward to updating shareholders on our progress.”

PELLEY RIDGE PROJECT OVERVIEW

The Pelley Ridge zinc project encompasses two contiguous leases (the Pelly Ridge mineral lease and the Bromley mineral lease) which cover approximately 2,000 hectares (Figure 2). The project lies ~12km southeast of the town of Hot Springs in the Belt Purcell Basin, Montana and has excellent infrastructure in place with a government‐maintained road within the tenue and year‐round access. The land is not vegetated and has no apparent environmental sensitivities.

The project is a drill‐ready, high‐grade zinc target located on freehold ground. As such, permits to conduct exploration are generally rapid, and typically take around 4 – 6 weeks to obtain.

Pelley Ridge is interpreted to lie in a similar tectonic and time‐stratigraphic setting to the world‐class Sullivan zinc deposit (Sullivan contained >160MT of 12% combined Pb+Zn and 2 ounces pt Ag).

In Canada, the prospective rock type which hosts the Sullivan deposit is referred to as the ‘Purcell Supergroup’ and in the USA the same rock type is referred to as the ‘Belt Supergroup’ (Figure 1). The rock type is exposed over a massive surface area of more than 200,000 km2 and is present in western Montana, northern Idaho, northwestern Washington and western Wyoming. It extends into Canada where the equivalent rocks are exposed in southeastern British Columbia and southwestern Alberta. Over this vast surface area, the Pelley Ridge project boasts the best drill intersection outside of the Sullivan deposit area.

According to historical exploration conducted at the project, mineralisation shows affinities to a strata‐bound Pb‐Zn‐Ag SEDEX‐type target.

Despite some globally significant intercepts in historical drilling including 14.9m @ 5.43% Zn from 71m (including 10.8m @ 7.21% Zn ) only limited work has been conducted at the project.

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Figure 1: Location of the Pelley Ridge project and outline of ‘Belt Supergroup’ sedimentary basin.

Within the Bromley lease lies a conspicuous gossan outcrop, called Gossan Knob, which covers some 30m x 150m in diameter with exposure to the north obscured by shallow transported gravels.

Cominco drilled 8 holes at Gossan Knob with PR‐02 returning high‐grade intercepts of including 14.9m @ 5.43% Zn from 71.3m (including 10.8m @ 7.21% Zn ), below a wider zone of 25.3m @ 3.26% Zn from 24.4m. Nearby and subsequent drill holes supported the presence of a strong zinc‐rich alteration event, with widespread >0.25% Zn anomalism and mineralised intercepts to 25m @ 3.09% Zn from 25m in PPR‐95‐09, 16.77m @ 3.11% Zn from 56.5m in PR‐01, and 29m @ 2.70% Zn from 41.1m in PR‐04. The Company views the width of historic zinc and supporting lead/silver and copper mineralisation and surrounding >0.20% Zn anomalism as being indicative of strong mineralising system.

All historical drill holes and significant zinc results are shown in Table 1 and detailed in Appendix 1.

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Figure 2 left: Pelley Ridge Project with historical drill holes over geology

Right: Ground magnetic image

BINDING EXCLUSIVITY AGREEMENT

Under the terms of the Binding Exclusivity Agreement, TIN will pay US$100,000 by way of a cost reimbursement for direct project related costs incurred to date by the vendor group on securing the minerals rights over the Pelley Ridge project.

The term of the Binding Exclusivity agreement is for four (4) months, expiring on 30th April 2019 or such later date as the parties may agree in writing.

During this time, TIN will have exclusivity over the Pelley Ridge Zinc project during which it intends to complete its technical and commercial due diligence on the project and (subject to it being satisfied with its due diligence) finalise the terms of a binding acquisition agreement with the vendors, Nedeel LLC and Ms Leeden.

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Hole ID	UTM Easting	UTM Northing	Depth (m)	RL (m)	RL (ft)	Azi	Dip	Year	Significant* Zn	From (m)
PR‐01 684268 5267744 92.0 1192 3910 200 ‐45 1984 16.8m @ 3.11% Zn 56.5 PR‐02 684231 5267759 123.0 1198 3930 205 ‐45 1984 23.8m @ 1.15% Zn 70.1 4.4m @ 2.55% Zn 16.8 25.3m @ 3.26% Zn 24.4 1.82m @ 5.65% Zn 64 14.9m @ 5.43% Zn 71.3 incl. 10.8m @ 7.21% Zn 76.2 PR‐03 684207 5267873 165.7 1175 3855 210 ‐45 1984 NSI PR‐04 684275 5267838 162.9 1169 3835 204 ‐45 1984 29m @ 2.70% Zn 41.1 9.1m @ 1.68% Zn 86.9 PR‐05 684361 5267890 277.2 1146 3760 204 ‐45 1985 NSI PR‐06 684340 5267605 261.2 1155 3790 270 ‐45 1985 NSI PR‐07 684419 5266872 239.4 1119 3670 199 ‐45 1985 NSI PR‐08 684479 5267714 290.6 1129 3705 270 ‐45 1985 NSI
PPR‐94‐01 684379 5267735 240.5 1155 3790 270 ‐45 1994 12.6m @ 1.19% Zn 158.1 PPR‐94‐02 684750 5266427 219.5 1027 3370 270 ‐45 1994 NSI PPR‐94‐03 684471 5265627 152.4 1125 3690 260 ‐45 1994 NSI PPR‐94‐04 684354 5265972 169.9 1049 3440 270 ‐60 1994 NSI PPR‐95‐05 684926 5266811 232.1 1036 3400 270 ‐60 1995 NSI PPR‐95‐06 684576 5265588 185.9 1122 3680 270 ‐56 1995 NSI PPR‐95‐07 270 ‐60 1995 NSI PPR‐95‐08 270 ‐75 1995 NSI PPR‐95‐09 684241 5267773 242.6 1193 3915 245 ‐70 1995 2.1m @ 2.26% Zn 22.5 25.0m @ 3.09% Zn 25.6 2.7m @ 3.55% Zn 55.2 PPR‐95‐10 684576 5261359 219.5 1143 3750 270 ‐60 1995 NSI PPR‐96‐11 684196 5267023 240.2 1134 3720 90 ‐45 1996 NSI PPR‐96‐12 684780 5266067 182.9 1042 3420 270 ‐60 1996 NSI
PB‐01 684255 5267845 95.7 1183 3880 250 ‐45 2013 NSI PB‐02 684246 5267805 106.1 1170 3840 252 ‐45 2013 NSI
PLR16‐01 684394 5268159 459.6 1109 3638 270 ‐50 2016 NSI PLR16‐02 684494 5268158 409.5 1140 3740 270 ‐50 2016 NSI

• NSI = no intercepts >2m @ >1.00% Zn, intercepts calculated allowing for up to 2m internal dilution at <1% Zn.

Table 1: All historical drilling and significant Zn intercepts Pelley Ridge Project

TECHNICAL ADVISOR AND PROJECT GENERATOR APPOINTMENT

In conjunction with signing the Binding Exclusivity Agreement, TIN has executed a consulting services agreement with Cherie Leeden – a highly experienced mining executive – to the role Technical Advisor and Project Generator for the Company. Ms Leeden’s appointment as Technical Advisor and Project Generator for TIN is effective from 1[st] December 2018 and will be on a part‐time basis. Following the completion of a transaction to acquire Pelley Ridge and/or other material mining assets in North America or other Tier‐1 jurisdictions, the parties will look to increase the services and responsibilities of the role Ms Leeden undertakes with the Company.

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Ms Leeden – who is based in Nevada ‐ is the former Managing Director and founder of Battery Minerals (ASX: BAT) and has extensive global corporate experience with a focus on natural resource development in Africa, Australia and the US.

She has developed strong relationships with North American end‐users and has a proven track record of being a ‘mine finder’. She has a Bachelor of Science in Applied Geology degree with Honours from the Western Australian School of Mines and is a member of the Australian Institute of Geoscientists and Australian Institute of Company Directors.

In her role, Ms Leeden will be responsible for:

• the geological and exploration operations of the Company in executing the business plans approved by the Company for the core activities on the Pelley Ridge Project (comprising the Bromley and Pelley Ridge mineral leases) and other advanced mining projects and opportunities identified in the United States of America, and other Tier‐1 jurisdictions, from time to time; and

• leading new resource project identification and generation for the Company in North America. The agreed scope is to identify large scale, advanced mineral deposits in North America that have potential for near term production and revenue generation, targeting base metals, gold and battery metals deposits, which could be acquired by the Company (through MOA or otherwise).

If and when the transaction to acquire MOA is completed, the parties have agreed that Ms Leeden’s role will be expanded to include the position of Chief Executive Officer (CEO) and Technical Director of MOA.

The information in this announcement that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Ms Cherie Leeden, who is consulting Technical Adviser to the Company. Ms Leeden is a Member of the Institute of Geoscientists and has sufficient experience of relevance to the styles of mineralisation and the types of deposits under consideration, and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Ms Leeden consents to the inclusion in this report of the matters based on their information in the form and context in which it appears.

Ms Cherie Leeden has reviewed the historical exploration results that are contained in this announcement and has validated the source of the historical information. Ms Cherie Leeden is satisfied with its inclusion in the form and context in which it appears in this announcement.

For further information, please contact:

TNT Mines Ltd Brett Mitchell Non-Executive Chairman +61 8 6319 1900 frontdesk@tntmines.com.au	TNT Mines Ltd Lauren Nelson Company Secretary +61 8 6319 1900 frontdesk@tntmines.com.au	Media contact: Chapter One Advisors David Tasker +61 433 112 936 dtasker@chapteroneadvisors.com.au

JORC Code, 2012 Edition – Table 1

Section 1 Sampling Techniques and Data

	Criteria	JORC Code explanation	JORC Code explanation	Commentary
	Sampling		Nature and quality of sampling (eg cut channels,	No recent drilling or sampling has been completed.
	techniques		random chips, or specific 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	Sampling conducted by Cominco in 1985 was largely reconnaissance rock and soil sampling (2217 soil samples in total). Soil lines were on ~300m and ~600m separations and ranged from 600 to 3050m long; grid soil sampling was in two
			sample representivity and the appropriate calibration of any measurement tools or systems used.	grids, containing 649 samples and 256 samples, respectively, with sample spacing of ~30m. In addition, they analysed thin sections and polished thin sections from drill core and surface
			Aspects of the determination of mineralisation	samples.
			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 completed by Phelps Dodge in the mid-1990’s consisted of orientation soil lines, and a soil grid north of the outcropping Gossan knob with 122m spaced lines and ~30m sample spacing. 933 soil samples were collected and additional rock samples were also collected.
			sampling problems. Unusual commodities or
			mineralisation types (eg submarine nodules)
			may warrant disclosure of detailed information.	Additional reconnaissance rock chip and soil sampling was
				conducted by Pelley Ridge, LLC in 2012.
				Most recently, in 2015, MMG conducted the Pelley Ridge Field
				Program, which included soil (62 samples) and rock (14
				samples) sampling, and thin section petrography (14 samples).
	Drilling		Drill type (eg core, reverse circulation, open-hole	No recent drilling has been completed.
	techniques		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).	Drilling by Cominco in 1984-1985 consisted of 1612m of drilling (8 diamond drill holes).
				Drilling by Phelps Dodge in 1994-1996 consisted of 12 holes
				drilled for a total of 2085m.
				Subsequent drilling was conducted by Pelley Ridge, LLC (2
				DDH) and MMG in 2016, which consisted of 2 DDH holes at a
				total depth of 869m.
	Drill sample		Method of recording and assessing core and	Not stated in historical reports.
	recovery		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 been	All historical drilling included qualitative and quantitative logging
			geologically and geotechnically logged to a level	as well as core photos, currently in possession of MOA.
			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)	Where recovery percentages have been documented in historical reports, they are listed as >95%.
			photography.
			The total length and percentage of the relevant
			intersections logged.
	Sub-		If core, whether cut or sawn and whether	Historical sample preparation seems to have followed industry
	sampling		quarter, half or all core taken.	best practice standards and was conducted by internationally
	techniques		If non-core, whether riffled, tube sampled, rotary	recognised laboratories at the time of analysis.
	and sample		split, etc and whether sampled wet or dry.
	preparation		For all sample types, the nature, quality and
			appropriateness of the sample preparation technique. Quality control procedures adopted for allsub-	We have limited data from historical reports; Cominco ran multi- element analyses of 1612m of drill core of each 1.5m or less

Criteria	JORC Code explanation	JORC Code explanation	Commentary
		sampling stages to maximise representivity of	interval. In addition, they ran spectrographic analysis of selected
		samples.	core samples and XRD analysis of selected minerals.
		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.	As part of the 2015 Field Program conducted by MMG, they analysed soil samples by ME-MS41L, an aqua regia digestion, followed by ICP-AES and ICP-MS. 14 rock samples and 27 core samples were sent for Whole Rock Complete Characterization
			Lithogeochemical analysis.
Quality of		The nature, quality and appropriateness of the	No current assay data and laboratory tests have been
assay data		assaying and laboratory procedures used and	conducted.
and		whether the technique is considered partial or
laboratory		total.
tests		For geophysical tools, spectrometers, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument	Cominco ran a geophysical program between 1984 and 1987, during which they ran:
		make and model, reading times, calibrations factors applied and their derivation, etc.	- February 1984, CS-AMT survey (5 lines) - March 1985, IP, resistivity, and ground magnetic survey
		Nature of quality control procedures adopted (eg	- 1985
		standards, blanks, duplicates, external	- Late 1985, HLEM survey, IP, resistivity survey, downhole
		laboratory checks) and whether acceptable	IP, resistivity logging of DDH PR-1
		levels of accuracy (ie lack of bias) and precision	- January 1986, downhole IP, resistivity logging of DDH’s
		have been established.	PR-2 and 4
			- April 1986, CS-AMT survey
			- June 1986, semi-reconnaissance CS-AMT survey
			- February 1987, ZTEM survey
			Between 1994-1996, Phelps Dodge ran geophysical surveys
			including ground magnetic grids, gravity, surface EM and
			downhole EM.
			In 2015, MMG conducted geophysical work, which included:
			- 12.9 line km of ground magnetics at 100m spacing
			- One fixed loop TEM survey, 50m station spacing on lines
			spaced 100m for a total of 6.3km
Verification		The verification of significant intersections by	None undertaken.
of sampling		either independent or alternative company
and assaying		personnel.
	 	The use of twinned holes. Documentation of primary data, data entry	Not applicable.
		procedures, data verification, data storage
		(physical and electronic) protocols. Discuss any adjustment to assay data.	Historical data has been collated into historical reports, data tables, and figures that have been digitized and are in the
			Company’s possession.
Location of		Accuracy and quality of surveys used to locate	Historical drill data is summarized in Table 1 of announcement.
data points		drill holes (collar and down-hole surveys),	The grid system specified is UTNM (NAD83).
		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 Exploration	Not stated in historical reports.
and		Results.
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 of		Whether the orientation of sampling achieves	Where data is available from historical reports, it is included in
data in		unbiased sampling of possible structures and the	Table 1 of announcement.
relation to		extent to which this is known, considering the
geological		deposit type.
structure		If the relationship between the drilling orientation
		and the orientation of key 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 security.	No recent samples have been collected and no samples are
security			currently in the Company’s possession.
Audits or		The results of any audits or reviews of sampling	None completed.
reviews		techniques and data.

JORC Code, 2012 Edition – Table 1 Section 2 Reporting of Exploration Results

	Criteria	JORC Code explanation	JORC Code explanation	Commentary
	Mineral		Type, reference name/number, location and	Private surface and mineral ownership exist at Pelley
	tenement and		ownership including agreements or material issues	Ridge. Metals of Americas, LLC has entered into mineral
	land tenure		with third parties such as joint ventures,	leases over the surface and mineral rights to the Pelley
	status		partnerships, overriding royalties, native title	Ridge Zinc Project. The Company has entered into a
			interests, historical sites, wilderness or national park and environmental settings. The security of the tenure held at the time of	Binding Exclusivity Agreement to potentially to acquire 100% of issued capital in Metals of Americas, LLC.
			reporting along with any known impediments to
			obtaining a licence to operate in the area.	There are no known material issues affecting the mineral
				leases.
				All tenements have been legally validated by a land
				manager to confirm title to the relevant surface and
				mineral rights.
	Exploration		Acknowledgment and appraisal of exploration by	Cominco American Resources Incorporated initially
	done by other		other parties.	conducted exploration at Pelley Ridge. Cominco
	parties			discovered the prospect in 1983 during a grass-roots
				exploration program. They drilled 8 holes on the property,
				but terminated their lease agreements by the end of 1986.
				6 of those drill holes were collared within 250m of the
				summit of Pelley Hill, on the downdip extent of the gossan.
				Between 1994-1996, Phelps Dodge drilled an additional
				13 holes in the Pelley Ridge vicinity. This work was
				followed by exploration and minimal drilling conducted by
				Pelley Ridge, LLC (2 holes) and MMG (2 holes) between
				2013-2016.
				While only limited exploration has been conducted at
				Pelley Ridge, significant Pb, Zn, and Ag intercepts have
				resulted. Furthermore, significant mineralized drill
				intercepts confirm the sedex model at Pelley Ridge.
	Geology		Deposit type, geological setting and style of	The Pelley Ridge prospect shows similarities to the
			mineralisation.	Sullivan Deposit (> 160 Mt of ore grading 12% combined
				Pb and Zn, and +2 ounce Ag), in its tectonic and time-
				stratigraphic settings. The Sullivan deposit in British
				Columbia is hosted by Proterozoic clastic sediments of the
				Aldridge/Prichard Formation, the basal portion of the
				Belt/Purcell Supergroup.
				The gossans and stratabound Pb-Zn-Ag mineralization
				that characterizes the Pelley Ridge prospect is hosted in
				similar Proterozoic clastic sedimentary rocks, also of the
				Prichard Formation. The rocks consist of fine-grained
				argillites, siltites, and quartzites that strike approximately
				N°5-35°W and have dips ranging from 50°to 85°to the
				NE.
				Just above the lower Prichard-middle Prichard contact
				exists the approximately 975 m long and 244 m wide
				mineralization zone. Anomalous Pb, Zn, Cu, and Ag are
				found within siltite containing garnet and chlorite
				porphyroblasts. At the northern end of the mineralization
				zone, tremolite-rich rock contains <2.3% Zn in outcrop,
				and lies on a gossan containing <1.3% Zn. Upsection of
				the occurrence are gabbroic to dioritic sills/dikes that have
				NW trends and easterly dips, similar to the adjacent strata.
	Drill hole		A summary of all information material to the	Refer to Table 1 in announcement
	Information		understanding of the exploration results including a
			tabulation of the following information 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.	Drilling by Cominco in the 1980’s shows significant mineralized intercepts in a number of holes drilled at or near the gossan outcrop. PR-2 intercepted chlorite-rich rock that contains the best metal concentrations to date, and possible the best base metal intercept ever drilled in the Prichard Formation and perhaps the entire Belt system
			If the exclusion of this information is justified on the	outside of the Sullivan Mine area. This zone, at 74m depth,
			basis that the information is not Material and this	contains 13.1m of semi-massive sulphide with 6% Zn and
			exclusion does not detract from the understanding of	0.2% Pb,within with 5m of 9% Zn were intersected. At

Criteria	JORC Code explanation	JORC Code explanation	Commentary
		the report, the Competent Person should clearly	shallower depths of 24.3m, PR-2 encountered 27.1m of
		explain why this is the case.	2.8% Zn.
			Subsequently, additional drilling from Phelps Dodge
			intercepted significant Zn and Pb mineralization in a drill
			hole collared near the Pelley Ridge gossan knob outcrop.
			Drill hole PPR-95-09 encountered 25m of 3.1% Zn at 25m
			depth within a larger, 114m zone of mineralization that
			contained narrow intervals of up to 8% Zn.
Data		In reporting Exploration Results, weighting averaging
aggregation		techniques, maximum and/or minimum grade
methods		truncations (eg cutting of high grades) 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	All historical reports are within MOA’s possession including drill hole logs and geochemical data.
		low grade results, the procedure used for such
		aggregation should be stated and some typical examples of such aggregations should be shown in	Reported historical intercepts have been calculated for Zn
		detail.	only at a 1% cut-off and allowing for up to 2m of internal
		The assumptions used for any reporting of metal	dilution of low grade material >0.3%. No new exploration
		equivalent values should be clearly stated.	results are reported here.
Relationship		These relationships are particularly important in the	Historical drilling was largely aligned to cut NE dipping
between		reporting of Exploration Results.	host rocks at right angles. Local relationships between
mineralisation		If the geometry of the mineralisation with respect to	host rocks and mineralisation are yet to be determined.
widths and		the drill hole angle is known, its nature should be
intercept		reported.
lengths		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 scales) and	Refer to body of announcement.
		tabulations of intercepts should be included for any
		significant discovery being reported These 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 Exploration	All historical reports and drill logs pertaining to Phelps
reporting		Results is not practicable, representative reporting of	Dodge Drill Hole #PPR-95-9, and Cominco Drill Hole #PR-
		both low and high grades and/or widths should be	2 are in MOA’s possession, and reported in Table 1.
		practiced to avoid misleading reporting of
		Exploration Results.
			No new exploration results are reported here.
Other		Other exploration data, if meaningful and material,	All meaningful and material data is reported.
substantive		should be reported including (but not limited to):
exploration		geological observations; geophysical survey results;
data		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 further work (eg	Detailed geochemistry to better define trends of known
		tests for lateral extensions or depth extensions or	mineralised zones.
		large-scale step-out 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.	Downhole and ground geophysical orientation surveys to determine whether ground geophysics is a useful exploration technique in this terrain. If useful, additional
			geophysics.
			Surface work to be followed by a drill program to test the
			best base metal exploration targets.