EMPIRE RESOURCES LIMITED — AGM Information 2019

Nov 12, 2019

Empire Resources Limited Focussed on Building Value

2019 Annual General Meeting Presentation

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13 November 2019

Disclaimer

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This presentation is for information purposes only.

This presentation has been prepared by Empire Resources Limited (“Empire” or the “Company”) and contains general background information about Empire’s activities as at the date of this presentation (“Information”). It is Information in a summary form only and does not contain all the Information necessary to fully evaluate any investment.

While the Information in this presentation has been prepared with due care, Empire:

• (i) disclaims all responsibility for the contents of this presentation to the fullest extent permitted by law, and

• (ii) is not to be held liable for any statement in, or omission from, this presentation.

Each recipient of this presentation must check the accuracy or otherwise of the materials contained in this presentation.

Forward looking statements in this presentation may involve known and unknown risks, uncertainty, or may be subject to factors outside the control of Empire that may cause the actual results, performance or achievements of Empire to differ materially from those expressed or implied by those statements. Further information on Empire can be obtained from www.resourcesempire.com.au.

This presentation is not a prospectus or a product disclosure statement under the Corporations Act 2001 (Cth) and has not been lodged with the Australian Securities and Investment Commission (“ASIC”). This presentation is neither an offer nor an invitation to subscribe for securities in Empire or representation that any securities issue will take place. Any such offer or invitation will only be made (if at all) by a disclosure document under the Corporations Act or by another document to exempt investors not requiring disclosure under the Corporations Act.

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2019 Highlights

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• 1

• • Sale of Penny’s Find Gold Mine

• ➢ $600,000 in 3 equal staged payments (1[st] payment received)

• ➢ 5% Net Smelter Royalty for first 50,000oz, 2.5% thereafter

• 2

• • Strategic investment in NTM Gold (ASX:NTM)

• ➢ $1.5M investment @ $0.0325/share

• ➢ Current investment valued at $2.8M @ $0.060/share

• Acquisition of additional Yuinmery tenements

• Completion of comprehensive geological review

• Commencement of reconnaissance drilling

• ➢ Yuinmery aircore drilling commenced November 2019

• ➢ Penny’s aircore drilling planned to commence late November

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1 Refer to ASX:ONX release “ Acquisition of High-Grade Penny’s Find Mine ” 4 March 2019

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2 Refer to ASX:ERL release “ Empire Makes Investment in NTM Gold Limited ” 11 July 2019

Investor Dashboard

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ital Structure[(Current)] Cap

Capital Structure (	Current)
Share Price	$	0.010
FPO Shares Outstanding	m	621.81
Cash & Tradeables (Unaudited)	$m	3.20
Debt & Other Liabilities*	$m	1.80
Market Capitalisation	$m	6.22

*Includes $1.5M unsecured loan refer ASX:ERL announcement 11 July 2019

Shareholder Distribution

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Share Price Performance

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Board & Management

Non-Executive Chairman Managing Director Non-Executive Director Non-Executive Director

Dr Michael Ruane Sean Richardson David Sargeant Jeremy Atkinson

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Rights Issue

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• Non-renounceable 2 for 5 rights offer

• ➢ 248,725,875 shares @ $0.008 to raise $1,989,807

• Underwritten to $712,000

• ➢ Sub-underwriter Dr Michael Ruane

• Offer opens 14 November, closes 5 December 2019

• Use of funds

• ➢ Repay in part loan facility

• ➢ Project exploration activities

• ➢ General working capital

• ➢ Rights offer costs

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Rights Issue

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Funds Available	Minimum Subscription ($757,745) Full Subscription ($1,989,807)
Cash on hand at 24 October 2019 Funds raised under the Offer Total funds available	$515,000 $515,000 $757,745 $1,989,807
	$1,272,745 $2,504,807
Use of Funds	Amount Amount
Repay part of Loan Facility Penny's Gold Project Exploration Yuinmery Copper-Gold Project Exploration General working capital Costs of the Offer Total	$300,000 $1,000,000 $300,000 $350,000 $300,000 $350,000 $324,608 $752,781 $48,137 $52,026
	$1,272,745 $2,504,807

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Project Locations

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• +220km[2] of tenements

• Penny’s (Au) – 23.9km[2]

• ➢ 45km NE of Kalgoorlie

• ➢ 26km to Kanowna Gold Mine

• Yuinmery (Cu-Au) – 84.5km[2]

• ➢ 370km NE of Perth

• ➢ 7km to Youanmi Mine Site

• Barloweerie (Zn-Pb-Ag-Au)

• ➢ 112km[2] application

• ➢ 150km West of Cue

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Penny’s Gold Project

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• 23.9km[2] tenement package within Eastern Goldfields

• Empire mined 138,272 tonnes @ 4.47g/t Au for 18,356oz

• 1

• • Mining Tenement M27/156 sold to Orminex (ASX:ONX)

➢ $600,000 in 3 equal staged payments (1[st] payment received)

• ➢ 5% Net Smelter Royalty for first 50,000oz, 2.5% thereafter

• ➢ JORC Resource of 248,000t @ 7.04g/t Au for 56,000oz

• ➢ Mining commencement within 12 month of signing (March 2019)

• Empire retains 100% of surrounding exploration tenements

• Geological review complete

• Multiple targets proximal to Penny’s Find Mine

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1 Refer to ASX:ONX release “ Acquisition of High-Grade Penny’s Find Mine ” 4 March 2019

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Penny’s Gold Project

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Penny’s Central

• Targeting structurally controlled and supergene gold mineralisation

• Priority area, 2km of strike

• ➢ Gold in soil anomalism (max 180ppb Au)

• ➢ Gold anomalism coincident with N to NW trending structures, similar to Penny’s Find gold mine

• Follow up previous broad spaced drill holes with mineralised intercepts

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Refer to ASX:ERL release “ Exploration Projects Update ” 16 September 2019

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Penny’s Gold Project

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Penny’s North

• Targeting structurally controlled and supergene gold mineralisation

• Priority area, 2km of strike

• ➢ Gold in soil anomalism (max 231ppb Au)

• ➢ Gold anomalism coincident with interpreted NE structures

• Potential for paleochannel gold mineralisation

• Follow up mineralised drill intercepts

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Refer to ASX:ERL release “ Exploration Projects Update ” 16 September 2019

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Yuinmery

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• 84.5km[2] tenement package (including Evolution acquisition[1] )

• Polymetallic VMS and orogenic gold styles of mineralisation

• Just Desserts JORC Resource - 2.5Mt @ 1.3% Cu & 0.5g/t Au

• +110,000m of historical drilling and +10,000 geochemical samples compiled for the first time

• Extensive database of geophysical surveys:

• ➢ Ground IP

• ➢ Airborne EM

• ➢ Downhole EM

• Geological review complete

• ➢ Eighteen (18) prospective additional targets identified

• Aircore drilling commenced 11[th] November

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1 Refer to ASX:ERL release “ Empire Acquires Additional Yuinmery Tenements ” 11 September 2019

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Yuinmery

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Yuinmery South

• Southern Syncline

• ➢ >2km strike of high priority multi-element geochemical anomalism

• ➢ Just Desserts extensions?

• Gold Targets

• ➢ Targeting high grade quartzsulphide ore shoots within subsidiary structures linked to the Youanmi shear zone

• ➢ Geochemical anomalism

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Refer to ASX:ERL release “ Exploration Projects Update ” 16 September 2019

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Yuinmery

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Yuinmery North

• Gold

• ➢ Targeting high grade quartzsulphide ore shoots within secondary structures linked to the Yuinmery shear zone

• ➢ Coincident geochemical anomalism on granitegreenstone boundary

• Base Metals

• ➢ Multi-element geochemical anomalism within volcanics

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Refer to ASX:ERL release “ Exploration Projects Update ” 16 September 2019

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Yuinmery – Just Desserts

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Yuinmery – Just Desserts

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• JORC 2012 Compliant Resource 2.5Mt @ 1.3% Cu & 0.5g/t Au

• Initial Metallurgy Results[1]

• ➢ 95% Cu & 85% Au recovery to 8-10% Cu rougher concentrate

• ➢ 85-93% Cu recovery to ~15% Cu cleaner concentrate

• Preliminary Mining Studies[2]

• ➢ Demonstrate potential for future mining

• ➢ Pre-date 2016 Resource update

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1 Refer to ASX:ERL release “ Quarterly Report for the Period Ending 31 December 2010 ” 28 January 2011

2 Refer to ASX:ERL release “ Quarterly Report for the Period Ending 31 December 2011 ” 30 January 2012

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Barloweerie

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• 112km[2] tenement in application

• ➢ Approval pending Heritage Protection Agreement (HPA)

• VMS style mineralisation

• ➢ Multiple historical Zn-Pb-Ag-Au targets

• Historical shallow RAB drilling at Sandford prospects

• ➢ 5m @ 4.8% Zn, 1.6% Pb & 55g/t Ag from 38m

• ➢ 20m @ 69.5g/t Ag from 127m (12m true thickness)

• Historical surface rock chipping returned:

• ➢ Gold to 57.0g/t

• ➢ Copper to 2.4%

• Limited modern exploration on Sandford prospects

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Barloweerie

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• Sanford 1

• ➢ 5m @ 4.8% Zn, 1.6% Pb & 55g/t Ag

• ➢ 21m @ 82.5g/t Ag, including:

• ➢ 5m @ 1.2% Pb,

• ➢ 10m @ 0.7% Zn and 1m @ 1.8% Zn

• ➢ 9m @ 2.1% Zn & 77.0g/t Ag

• Sanford 2

• ➢ 2m @ 3.6g/t Au, 62.0g/t Ag, 1.5% Zn & 1.5% Pb

• ➢ 0.3m @ 12.1g/t Au & 100.0g/t Ag

• ➢ 57.0g/t Au & 64.0g/t Ag rock chip

• Sanford 3

• ➢ 2.4% Cu & 13.0g/t Ag rock chip

• Sanford North

• ➢ 16.7g/t Au rock chip

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Source: Open file WAMEX open file report a021129

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Barloweerie

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• Barloweerie

• ➢ 2.7g/t Au & 417ppm Cu rock chip

• ➢ 1.8g/t Au & 260ppm Cu rock chip

• ➢ 8m @ 0.4g/t Au & 262ppm Cu from 28m

• South Barloweerie

• ➢ 1m @ 1,012ppm Cu & 100ppm Pb from 84m

• ➢ 1m @ 0.5g/t Au, 172ppm Cu & 155ppm Zn from 84m

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Source: Open file WAMEX open file report a087840

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Investments

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NTM Gold Limited (ASX:NTM)

• Strategic investment

• ➢ $1.5M for 8.7%[1] post completion

• ➢ Valued at $2.8M @ $0.060/share

• Highly prospective landholding[2]

• ➢ Existing 538koz JORC Resource

• ➢ 1.38Moz to 2.24Moz Exploration Target (including Resource)

• Efficient and effective exploration

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• ➢ <$15/oz discovery cost

• ➢ 70% into the ground

• ➢ Recent high-grade Hub discovery

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1 Refer to ASX:ERL release “ Empire Makes Investment in NTM Gold Limited ” 11 July 2019

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2 Refer to ASX:NTM release “ Redcliffe Gold Project – Growth Through Exploration Presentation (Revised) ” 3 July 2019

Summary

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• Excellent package of projects

• ➢ Multi-commodity: Au, Cu-Au & Zn-Pb-Ag-Au

• ➢ Advanced exploration: Greenfields through to existing JORC Resources

• Investment approach to exploration

• ➢ Systematic approach to exploration and evaluation

• ➢ Alignment to Empire’s strategic objectives

• ➢ Generate value by de-risking projects

• Experienced team

• ➢ Demonstrated corporate success

• ➢ Strong commercial and technical skill sets

• Strong news flow from investment activity and exploration

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Appendix I

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1

Just Desserts Copper-Gold Resource April 2016

JORC Resource to depth of 170m at 0.5% Cu lower cut off

Weathering	Indicated	Indicated	Indicated	Indicated	Inferred	Inferred	Inferred	Inferred	Total	Total	Total	Total
	Tonnes	Cu%	Au g/t	Ag g/t	Tonnes	Cu%	Au g/t	Ag g/t	Tonnes	Cu%	Au g/t	Ag g/t
Partial Fresh	97,000 1.05 0.30 0.98 65,000 1.43 0.18 2.21 163,000 1.20 0.25 1.47 1,174,000 1.33 0.67 1.31 1,183,000 1.30 0.34 2.25 2,357,000 1.31 0.51 1.78
Total	1,271,000	1.31	0.64	1.28	1,249,000	1.31	0.33	2.25	2,520,000	1.31	0.49	1.76

JORC Resource to de th of 170m at 1.0% Cu lower cut off p

Weathering	Indicated	Indicated	Indicated	Indicated	Inferred	Inferred	Inferred	Inferred	Total	Total	Total	Total
	Tonnes	Cu%	Au g/t	Ag g/t	Tonnes	Cu%	Au g/t	Ag g/t	Tonnes	Cu%	Au g/t	Ag g/t
Partial Fresh	47,000 1.37 0.37 1.09 31,000 2.14 0.22 2.20 78,000 1.68 0.31 1.53 752,000 1.65 0.84 1.54 435,000 2.31 0.49 2.81 1,187,000 1.89 0.71 2.01
Total	799,000	1.63	0.82	1.51	467,000	2.30	0.47	2.76	1,266,000	1.88	0.69	1.97

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1 Refer to ASX:ERL release “ Updated copper-gold Resource Yuinmery Project ” 17 May 2016

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Appendix II

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Competent Person Statements

The information is this presentation concerning the Mineral Resources for the Just Desserts/Trajan Deposit have been estimated by Mr Peter Ball BSc who is a director of DataGeo Geological Consultants and is a member of the Australasian Institute of Mining and Metallurgy (AusIMM). Mr Ball has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and qualifies 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 Ball consents to the inclusion in this public release of the matters based on his information in the form and context in which it appears.

The information in this presentation that relates to Penny’s and Yuinmery Exploration Results is based on information compiled and/or reviewed by Mr Shane Tomlinson, who is a Member of the Australian Institute of Geoscientists. Mr Tomlinson is an independent geological consultant and has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity 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 Tomlinson consents to the inclusion in the report of the matters based on this information in the form and context in which they appear.

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