EMERALD RESOURCES NL — Interim / Quarterly Report 2019

Jan 30, 2019

ASX Announcement & Media Release

31 January 2019

Fast Facts

ASX Code: EMR Shares on issue: 3,042 million Market Cap: ~$110 million

Cash: A$24.5 million (31 Dec 2018) Listed Investments: A$0.2 million (31 Dec 2018)

Board & Management

Simon Lee AO, Non-Executive Chairman Morgan Hart, Managing Director Mick Evans, Executive Director Ross Stanley, Non- Executive Director Ross Williams, Non-Executive Director Mark Clements, Company Secretary Brett Dunnachie, Chief Financial Officer

Company Highlights

• First mover in an emerging gold province in Cambodia

• Industrial Mining Licence granted over the Okvau Gold Project (100% owned) allowing for the development of the Okvau Deposit

• Okvau Deposit: Indicated and Inferred Mineral Resource Estimate of 1.14Moz at 2.0g/t Au (refer Table One)

• DFS completed and demonstrates high grade, low cost, compelling development economics:

• Ore Reserve of 14.3Mt & 2.0g/t Au for 0.9Mozs (refer Table One) in a single open pit with waste:ore ratio of 5.8:1

• LOM average annual production of 106,000ozs pa

• AISC US$731/oz over LOM

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Quarterly Report for the period ended 31 December 2018

Highlights

Cambodian Activities

Okvau Gold Project

• Completion of the second phase of the grade control drilling program with both phases totalling 368 holes for 10,166m. Interpreted results to date strongly supporting the DFS Ore Reserve estimate in the area tested, particularly in respect to gold grade;

• Power line to supply grid power to the Okvau Gold Project significantly advanced;

• Road access and bridge construction negotiations nearing completion;

• MoU signed with MACA Ltd to provide earthmoving works and equipment;

• Resettlement successfully completed with 62 local families relocated from the Okvau Mining Licence area.

Exploration, Joint Venture Agreement and other tenure

• Auger soil samples at the Phnom Khtong Project confirm and extend historical gold geochemical soil anomalies on the Oh Tron Prospect;

• Planning has commenced for Emerald’s maiden reconnaissance drill testing at both the Koan Nheak and Snoul projects, with drilling to commence when preliminary environmental approvals have been received.

Corporate

     - Emerald successfully completed a placement raising a total of A$28 million allowing development activities to commence at the Okvau Gold Project;

• Using US$1.250/oz Au gold price:

  • NPV(5%) US$223M pre-tax and US$160M post-tax

  • IRR 48% pa pre-tax and 40% post-tax

• Payback ~2.2 years pre-tax and 2.5 years post-tax

• Highly credentialed gold project development team

• Mr Mick Evans joins the Board as an Executive Director bringing over 20 years experience in various mining and processing industries throughout Australia and Africa to the Board of Emerald;

• Emerald currently in discussions with a number of potential financiers for funding for the Okvau Gold Project.

• Significant resource growth potential

Registered Office 1110 Hay Street West Perth WA 6005

T: +61 8 9286 6300 F: +61 8 6243 0032

W: www.emeraldresources.com.au

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Cambodian Gold Project

Background

Emerald’s main focus is the exploration and development of its Cambodian Gold Projects which comprise of a combination of ² 100% owned granted licences, applications and earn-in & joint venture agreements covering a combined area of 1,442 km . The 100% owned Okvau Gold Project (‘Okvau Gold Project’) is the Company’s most advanced project which is located approximately 275 kilometres north-east of Cambodia’s capital city of Phnom Penh in the province of Mondulkiri (refer Figures 1 and 2). The town of Kratie is located on the Mekong River approximately 90 kilometres to the west and the capital of Mondulkiri, Saen Monorom is located approximately 60 kilometres to the south-east. In May 2017, Emerald completed a Definitive Feasibility Study (‘DFS’) on the development of the Okvau Gold Project which demonstrated a robust project producing approximately 106,000 ounces of gold per annum on average over 7 years from a single open pit.

In July 2018 the Company was granted the Industrial Mining Licence covering 11.5 km² which allows for the development of the Okvau Gold Project. The Mining Licence has an initial 15-year period with the right to two renewals of up to 10-years for each renewal in accordance with Cambodian laws. The grant of the Mining Licence followed approval of the Okvau Gold Project by the Office of Council Ministers for both the rezoning of the project area to ‘Sustainable Use’ within the Phnom Prich Wildlife Sanctuary (‘PPWS’) and the granting of the Mining Licence. The rezoning of the Mining Licence area to ‘Sustainable Use’ lawfully permits commercial development under Cambodian law and follows the successful negotiation and approval by the Minister of Environment (‘MoE’) of the environmental contract (the ‘Environmental Contract’) and environmental licence (‘Environmental Licence’) in December 2017.

Topography of the tenure area is relatively flat with low relief of 80 metres to 200 metres above sea level. There are isolated scattered hills rising to around 400 metres. The area is sparsely populated with some limited historical small-scale mining activity. All-weather gravel haulage roads in the area provide good access to within 25 kilometres of the Okvau exploration camp site. A new 18 kilometre access road will be constructed as part of development of the Okvau Gold Project.

The Okvau Deposit and other gold occurrences within the tenure are directly associated with diorite and granodiorite intrusions and are best classed as Intrusive Related Gold mineralisation. Exploration to date has demonstrated the potential for large scale gold deposits with the geology and geochemistry analogous to other world class Intrusive Related Gold districts, in particular the Tintina Gold Belt in Alaska (Donlin Creek 38Moz, Pogo 6Moz, Fort Knox 10Moz, Livengood 20Moz).

Figure 1| Cambodian Gold Project | Location

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Figure 2| Cambodian Gold Project | Exploration Licence Areas

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Okvau Gold Project | Definitive Feasibility Study

The DFS was completed in May 2017 on the development of a 2.0Mtpa operation at the Okvau Gold Project and was completed to[+/-] 15% level of accuracy (refer Table Three). The completion of the DFS fulfilled a milestone set by Emerald since becoming involved in the project in March 2016.

The DFS confirms an initial operating LOM of over 7 years, producing approximately 106,000 ounces of gold per annum on average, with ore processed through a plant utilising a single stage crushing circuit and SAG mill, sulphide flotation, regrind mill followed by conventional cyanide leaching.

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The estimated operating costs highlight a financially robust project with an average LOM AISC of US$731/oz. The estimated development costs are US$91M with a further US$7M in mining contractor establishment costs and pre-production mining costs. The development costs include a US$4.4M allowance for spare parts and first fills.

At a gold price of US$1,250/oz, the Okvau Gold Project generates a NPV(5%) of US$223M (A$298M) pre-tax and US$160M (A$213M) post-tax with an Internal Rate of Return (IRR) of 48% pa pre-tax and 40% post-tax. The payback of the total capital funding requirement is expected to be 26 months pre-tax and 30 months post-tax, from first gold pour.

An updated independent JORC Indicated and Inferred Mineral Resource estimate for the Okvau Deposit of 17.7Mt grading 2.01g/t gold containing 1.141Moz (at 0.70g/t gold cut-off) was updated by independent resource consultant EGRM Consulting Pty Ltd as part of the DFS (refer Table One).

Table 1 | Okvau Mineral Resource Estimate

					Okvau Mineral Resource Estimate	Okvau Mineral Resource Estimate
			Indicated Resource			Inferred Resource		Total Resource
	Cut-off	Tonnage	Grade	Contained	Tonnage	Grade (g/t Contained	Tonnage	Grade (g/t	Contained
	(Au g/t)	(Mt)	(g/t Au)	Au (Koz)	(Mt)	Au) Au (Koz)	(Mt)	Au)	Au (Koz)
	0.70	15.11	2.08	1,008	2.57	1.61 133	17.68	2.01	1,141

The Project has a JORC Ore Reserve (Probable) estimate of 14.26Mt @ 1.98g/t Au for 907,000 ounces gold (refer Table 2).

Table 2| Okvau Ore Reserve Estimate

		Okvau	Ore Reserve Estimate
		Tonnage	Grade	Contained
		(Mt)	(g/t Au)	Au (Koz)
	Probable Ore Reserve	14.26Mt	1.98g/t Au	907koz

Key operating and financial outcomes of the DFS, prepared in accordance with the requirements of the JORC Code (2012 Edition), are presented in Table 3.

Table 3| DFS Economics[1]

	Ore Reserve	14.3Mt @	2.0g/t gold for 907koz	contained
	LOM Strip Ratio (waste t : ore t)		5.8:1
	Throughput		2.0Mtpa
	Life of Mine		7.2 years
	Processing Recovery		84%
	Recovered Ounces		762koz
	Average Annual Production		106koz
	Pre-production Capital Costs2		US$98M
	Sustaining Capital Costs3		US$23M
	Gold Price	US$1,100/oz	US$1,250/oz	US$1,400/oz
	Gross Revenue	US$838M	US$952M	US$1,066M
	LOM Net Revenue(net of royalties4and refining)	US$801M	US$911M	US$1,020M
	Operating Cash Flow pre-tax	US$309M	US$419M	US$528M
	Project Cash Flow pre-tax	US$188M	US$298M	US$407M
	NPV(5%)pre-tax	US$133M	US$223M	US$313M
	NPV(5%)post-tax5	US$95M	US$160M	US$224M
	Payback pre-tax	3.0 years	2.2 years	1.6 years
	Payback post-tax	3.3 years	2.5 years	1.8 years
	IRR pre-tax	32%	48% pa	63%
	IRR post-tax5	27%	40% pa	54%
	LOM C1 Cash Costs6	US$650/oz	US$650/oz	US$650/oz
	LOM All-In SustainingCosts(‘AISC’)7	US$725/oz	US$731/oz	US$737/oz

1 All economics are 100% attributable to Emerald 5 Taxation is based on Cambodian tax law and does not allow for any incentives or tax relief

2 Includes US$4.4M of capital spares and first fills and US$7.0M of 6 C1 Cash Costs include site based mining, processing and admin operating mining capital and pre-production mining costs costs plus transport and refining costs

3 Includes US$14.4M of rehabilitation and closure costs 7 Includes C1 Cash Costs plus royalties, sustaining capital costs, contributions to environmental & community funds and rehabilitation & closure costs

4 Royalties include Government royalty of 2.5% gross and a thirdparty royalty of 1.5% gross (capped to A$22.5M)

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Activities during the Quarter

Okvau Gold Project | Development Activities

Following the grant of the Okvau Mining Licence in the prior Quarter, the focus for Emerald has been to put in place initial funding which would allow for development activities to commence at the Okvau Gold Project. Following the successful A$28 million Placement completed towards the end of the Quarter, Emerald continued to advance a number of other ancillary items allowing for commencement of development activities.

Grid Power

The power line to supply grid power to the Okvau Gold Project was advanced with the execution of a Memorandum of Understanding (‘MoU’) imminent to confirm power availability from December 2019. Works completed and in progress to date include:

• Route survey completed;

• Power line corridor clearing completed to site;

• Concrete foundations – 54% complete;

• Transmission towers erected - 36% complete; and

• Stringing of power lines - 12% complete.

The power line contractor continues to advise works are scheduled for completion prior to end of 2019. The provision of grid power is a critical step to production and it is an extremely positive outcome that grid power availability is expected upon commissioning of the operations.

Access Road

Negotiations for the construction of the access road continued during the Quarter and are nearing completion. The negotiations include the construction of a 35 tonne bridge across the Prek Te River. Independent to Emerald, a third party has commenced work to improve road access. Further, as part of the road access negotiations, Emerald will have the use of a temporary 20 tonne bridge to cross the Prek Te River to allow continuous access to the Okvau site throughout the May – September wet season.

Mining Contract

Discussions relating to the mining contract were advanced during the Quarter culminating in, subsequent to Quarter end, Emerald announcing that an MoU has been signed with MACA Limited (“MACA”) to supply earthmoving equipment and conduct contract mining services at the Okvau Gold Project. The MoU remains subject to a final investment decision to develop the project by the Emerald Board of Directors and commits Emerald and MACA to collectively develop the Okvau Gold Project in a traditional principal contractor relationship. The MoU acknowledges that both parties are in agreement on the terms, conditions, schedule and schedule of earthmoving rates contained in a mutually negotiated mining services contract (to be signed and actioned on a final investment decision on the project by the Emerald Board of Directors). Emerald views the signing of the MoU with MACA as a very positive step in the development of the Okvau Gold Project adding a high level of confidence in the execution of the mining schedule with the highly experienced MACA earthmoving team. The contract provides for the use of new fit for purpose earthmoving equipment with an onsite expatriate management team experienced in similar international operations. The Board and Management of Emerald have worked closely with the team at MACA over the past 20 years in a multitude of different operations and are very pleased to continue the relationship on the Okvau Gold Mine Development.

Resettlement

During the Quarter the resettlement of a total of 62 local families has been agreed and successfully compensated to relocate away from the Okvau Mining Licence area. The relocation of the families clears a path for Emerald to commence site works on the project area as the schedule requires. The relocation process was governed by a committee of relevant stakeholders, and was conducted in a manner consistent with the IFC guidelines as set out in its approved Resettlement Action Plan (RAP).

Grade Control Drilling

In order to further de-risk the development of the Okvau Gold Project, Emerald completed a 10,166m, 368 hole shallow (~25m) grade control program drilled on 10m by 10m spacing. The first phase of the program consisted of an initial 152 holes for a total of 4,672m and was completed in December 2017. The second phase commenced in July 2018 and consisted of 216 holes for 5,494m, with assays results of the program announced in October 2018. Results to date support the DFS Ore Reserve, particularly in respect to gold grade. For full results refer to ASX Announcement dated 3 and 24 October 2018. The cost of the program will represent an operating cost saving.

Mineral Investment Agreement

Emerald has continued to progress the negotiation of a Mineral Investment Agreement (‘MIA’). Emerald is currently working to schedule the next Inter-Ministerial Committee meeting to be attended by various Cambodian Ministries and bodies that are instrumental in the material components of the MIA, including the Ministry of Mines and Energy, Ministry of Economy and Finance and Council for the Development of Cambodia. The MIA is an agreement Emerald has requested and is allowed under the Cambodian Law on Mineral Resources to provide long term certainty regarding the operation of the Okvau Gold Project and the fiscal regime. The MIA is not required for the lawful development and operation of the Okvau Gold Project.

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Project Financing

Emerald continued discussions with a number of potential financiers for the development of the Okvau Gold Project. Funds that were raised under the recent Placement and Share Purchase Plan have allowed the Company to commence development activities as noted above, whilst these discussions are currently taking place. Completion of financing will be subject to lender due diligence, formal documentation and credit approval, typical for a transaction of this nature. However, significant progress was made during the Quarter on the due diligence, particularly in respect to the technical independent expert report, which was completed following the recently completed infill drilling program which added confidence to the resource model. The technical report has been provided to prospective financiers to aid in the bidding process.

Okvau Gold Project | Resource Growth

The DFS only considered an open pit mining operation. The Okvau Deposit remains open with potential to define additional ounces from shallow extensions along strike to the north-east. There is also potential at depth with high grade shoots providing longer term underground potential. High grade resources have been defined immediately below the floor of the final pit design. Subsequent to quarter end, Emerald have commenced a drill program designed to test the geological interpretation of the contact zone of the north-east extension of the Okvau Deposit.

Regional Exploration

Mekong Minerals Ltd | Joint Venture (Emerald Earning 70% Interest)

The Snoul and Phnom Khtong Projects cover 411km² of highly prospective tenure with historical drilling demonstrating significant gold discovery potential in close proximity to the Okvau Gold Project.

During the Quarter, Emerald has received results from its initial exploration program at the Phnom Khtong Project which consists of shallow and auger soil samples and rock chips which have been taken across the core of the surface geochemical anomalies previously identified by Southern Gold. The program was planned to test and confirm the anomalies defined by historical exploration which included:

• A high resolution airborne magnetic and radiometric survey over the area which assisted in identifying several probable intrusive bodies;

• A regional 100 x 800 metre shallow soil sampling program over the licence with Oh Tron being infilled down to 50 x 100 metre spacing; and

• 29 shallow RC holes (581m) have been drilled within the Oh Tron prospect (refer to ASX Announcement dated13 July 2017).

Emerald’s recent program followed up previous historical exploration with a 300 auger soil sample program which infilled the Oh Tron prospect down to a 50 x 200 metre grid. Emerald also took 30 rock chip samples coincidently with the auger program.

An additional auger soil sampling program is currently being planned to further refine anomalism prior to the commencement of a systematic drill out of the 1.3 km strike length +30ppb core zone of the central Oh Tron anomaly and the significant rock chips associated with the 1.0 km strike length +10ppb Oh Torn West soil anomaly. For full results refer to ASX Announcement dated 26 November 2018.

Emerald also commenced an Initial Environmental Impact Assessment (‘IEIA’) on both the Snoul and Phnom Khtong Projects and continued planning a follow up drilling program upon approval of the IEIAs by the MoE.

Angkor Gold Corp. | Earn-In Agreement (Emerald Earning 80% Interest)

The Koan Nheak Project is a Joint Venture with Angkor Gold Corp (‘Angkor Gold’, TSX listed) whereby Emerald may earn up to an 80% interest. Emerald has previously undertaken initial reconnaissance field work within the Koan Nheak exploration licence focusing in and around the Peacock Prospect. No drilling has ever been undertaken within the exploration licence.

Activities for the current Quarter related to advancing the preparation and submission of the IEIA and the planning of a maiden drill program to commence upon approval of the IEIA by the MoE.

Other Tenure | New Grants and Applications

Emerald commenced an initial broad spaced geochemical soils program on its 100% owned Svay Chras Project which covers 74.3km². The program follows the approval by the MoE of its IEIA in the prior Quarter, results to be released when available.

Emerald has submitted exploration licence applications in its own name over the Preak Khlong and O’Khtung Projects covering 392km². Emerald has completed IEIAs over these two projects and were completed to allow for the progression of the application process.

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Corporate Activities

During the Quarter, Emerald successfully completed a A$28 million Placement consisting of a two tranche Placement to existing and new institutional shareholders and a share purchase plan to existing eligible shareholders. The Placement provides funding to be used towards:-

• commence development activities at the Okvau Project;

• regional exploration program on Emerald’s 1,442km² Cambodian exploration footprint;

• repayment of unsecured loans; and

• ongoing working capital requirements and costs of the Placement.

Funds raised under the Placement has allowed for the commencement of development activities whilst the Company advances discussions with multiple parties on debt finance.

On 3 October 2018, the Company announced that Mr Mick Evans had joined the Board as an Executive Director. Mr Evans was appointed Chief Operating Officer of the Company in May 2016 and has over 20 years experience in various mining and processing industries throughout Australia and Africa. Prior to joining the Company he spent 7 years with Regis Resources Ltd (ASX:RRL) firstly as Projects Manager and in April 2014 he was appointed as Chief Development Officer and was responsible for the construction of the processing plant at the Moolart Well, Garden Well and Rosemont gold mines. Before that, Mr Evans spent 10 years with Equigold NL where he was instrumental in the construction of the Bonikro processing plant in Cote D’Ivoire.

Mr Evans has developed a very strong understanding of the Okvau Project and will take responsibility for all design, development and construction activities for the Project.

Emerald’s consolidated cash and listed investment position at 31 December 2018 was approximately A$24.7 million, comprising A$24.5 million in cash plus A$0.2 million in listed investments. Expenditure during the Quarter mainly related to costs associated with the A$28 million placement, further work for project licencing, due diligence costs for development financing and exploration programs undertaken to meet joint venture and earn-in commitments.

The Company holds 2,361,528 shares and 1,180,764 options (20 cents) in Riversgold Limited (‘Riversgold’; ASX:RGL). At the current Riversgold share price of 6.6 cents, Emerald’s holding has a value of approximately A$0.2 million.

During the prior Quarter, entities associated with certain Directors provided unsecured loan facilities totalling up to A$3 million ‘Facility’, with the Facility being drawn by A$2 million at 30 September 2018. The Facility was with an interest rate of 8.0% pa (6.5% plus RBA Cash Rate Target) capitalising quarterly. No other fees were payable on the Facility. During the Quarter the Facility to the Directors has been repaid in line with the use of funds as outlined for the A$28 million placement completed in December 2018.

About Cambodia

Cambodia is a constitutional monarchy with a constitution providing for elections every 5 years with last election recently held in July 2018. The population of Cambodia is approximately 16 million.

Cambodia has a relatively open trading regime and joined the World Trade Organisation in 2004. The government’s adherence to the global market, freedom from exchange controls and unrestricted capital movement makes Cambodia one of the most business friendly countries in the region.

The Cambodian Government has implemented a strategy to create an appropriate investment environment to attract foreign companies, particularly in the mining industry. Cambodia has a modern and transparent mining code and the government is supportive of foreign investment particularly in mining and exploration to help realise the value of its potential mineral value.

Detailed information on all aspects of Emeralds’ projects can be found on the Company’s website www.emeraldresources.com.au .

For further information please contact Emerald Resources NL Morgan Hart Managing Director

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Forward Looking Statement

This announcement contains certain forward-looking statements. These forward-looking statements are not historical facts but rather are based on the Company’s current expectations, estimates and projections about the industry in which Emerald Resources operates, and beliefs and assumptions regarding the Company’s future performance. Words such as “anticipates”, “expects”, “intends”, “plans”, “believes”, “seeks”’ “estimates”, “potential” and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to known or unknown risks, uncertainties and other factors, some of which are beyond the control of the Company, are difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements, which reflect the view of Emerald Resources only as of the date of this announcement. The forward-looking statements made in this release relate only to events as of the date on which the statements are made. Emerald Resources will not undertake any obligation to release publicly any revisions or updates to these forward-looking statements to reflect events, circumstances or unanticipated events occurring after the date of this announcement except as required by law or by any appropriate regulatory authority.

This announcement has been prepared in compliance with the current JORC Code 2012 Edition and the ASX listing Rules. All material assumptions on which the forecast financial information is based have been included in this announcement.

The Company believes that is has a reasonable basis for making the forward-looking statements in this announcement, including with respect to any production targets and financial estimates, based on the information contained in this announcement. All material assumptions underpinning the production target or the forecast financial information continue to apply and have not materially changed.

100% of the production target referred to in the 1 May 2017 announcement is based on Probable Ore Reserves.

Emerald has a highly experienced management team, undoubtedly one of the best credentialed gold development teams in Australia with a proven history of developing projects successfully, quickly and cost effectively. They are a team of highly competent mining engineers and geologists who have overseen the successful development of gold projects in developing countries such as the Bonikro Gold Project in Cote d’Ivoire for Equigold NL and more recently, Regis Resources Ltd.

The Company believes it has a reasonable basis to expect to be able to fund and develop the Okvau Gold Project for the reason set out above and in this announcement. However, there is no certainty that the Company can raise funding when required.

Competent Persons Statements

The information in this report that relates to Exploration and Grade Control Results is based on information compiled by Mr Keith King, who is an employee to the Company and who is a Member of The Australasian Institute of Mining & Metallurgy. Mr Keith King has sufficient experience which is relevant to the style of mineralisation and type of deposits 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 Keith King has reviewed the contents of this release and consents to the inclusion in this announcement of all technical statements based on his information in the form and context in which it appears.

The information in this report that relates to the Mineral Resources for the Okvau Gold Deposit was prepared by EGRM Consulting Pty Ltd, Mr Brett Gossage, who is a consultant to the Company, who is a Member of the Australasian Institute of Mining & Metallurgy (AIG), and has sufficient experience 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 by the 2012 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Gossage has reviewed the contents of this news release and consents to the inclusion in this announcement of all technical statements based on his information in the form and context in which it appears.

Information in this announcement that relates to Ore Reserves for the Okvau Gold Deposit is based on, and fairly represents, information and supporting documentation prepared by Mr Glenn Williamson, an independent specialist mining consultant. Mr Williamson is a Fellow of the Australasian Institute of Mining & Metallurgy. Mr Williamson 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 (or “CP”) as defined in the 2012 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Williamson has reviewed the contents of this news release and consents to the inclusion in this announcement of all technical statements based on his information in the form and context in which it appears.

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Appendix One| Tenements

Mining and exploration tenements held at the end of December 2018 Quarter

	Project	Location	Tenement	Interest at 31 December 2018
	Okvau	Cambodia	Okvau Industrial Mining Licence	100%
	Okvau	Cambodia	Okvau Exploration LicenceA	100%A
	O’Chhung	Cambodia	O’Chhung Exploration LicenceA	100%A
	Svay Chras	Cambodia	Svay Chras Exploration Licence	100%

A Emerald Resources NL has been granted exclusive rights to apply for exploration rights.

Mining and exploration tenements and licenses acquired and disposed during the December 2018 quarter

		Project	Location	Tenement	Interest at beginning of quarter	Interest at end of quarter
		Tenements Disposed
		Nil
		Tenements Acquired
		Nil

Beneficial percentage interests in joint venture and earn-in agreements at the end of the December 2018 quarter

	Project	Location	Tenement	Interest at end of quarter
	Koan Nheak	Cambodia	Koan Nheak Exploration Licence	0%B
	Phnom Khtong	Cambodia	Phnom Khtong Exploration Licence	0%C
	Snoul	Cambodia	Snoul Exploration Licence	0%C

B Emerald Resources NL is earning up to an 80% interest from Angkor Gold Corp.

C Emerald Resources NL is earning up to a 70% interest from Mekong Minerals.

Beneficial percentage interests in joint venture and earn-in agreements acquired or disposed of during the December 2018 quarter

		Project Location	Tenement	Interest at beginning of quarter	Interest at end of quarter
		Joint Venture Interests Disposed
		Nil
		Joint Venture Interests Acquired
		Nil

Interests in royalties

The Company has a 5% overriding royalty interest in all gas production from various oil and gas interests located in Magoffin County, Kentucky. During the Quarter, there was no product recovered and sold from the Leases and the royalty received for the period was Nil.

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