GATEWAY MINING LIMITED — Capital/Financing Update 2018

Mar 11, 2018

ABN: 31 008 402 391 Level 11, 52 Phillips Street Sydney NSW 2000 GPO Box 225 Sydney NSW 2001 Tel: 61 2 8316 3998 Fax: 61 2 8316 3999 Website: www.gatewaymining.com.au

ASX Announcement: 12 March 2018

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GATEWAY MINING EMBARKS ON WA GOLD STRATEGY

CONSOLIDATION OF GIDGEE GOLD PROJECT TENURE PAVES THE WAY FOR PLANNED AGGRESSIVE EXPLORATION PUSH TARGETING LARGE-SCALE GOLD DISCOVERIES

Key Points:

• Gateway set to embark on recently outlined gold exploration strategy in Western Australia after all resolutions were supported at the Company’s Annual General Meeting on 9[th] March 2018, including the issue of shares to vendors of OMNI Projects Pty Ltd to facilitate the Company’s acquisition of OMNI Projects Pty Ltd.

• This acquisition will result in a significant expansion of the Company’s Gidgee Gold Project in WA through the consolidation of surrounding well-endowed tenure.

• Newly-consolidated 600km[2] ground-holding, which is located immediately adjacent to Horizon Gold’s (ASX: HRN) 1.25Moz Gum Creek Project, offers an exceptional opportunity for largescale oxide and primary gold discoveries.

• Three high-priority drilling targets already defined – Whistler, Montague and Caledonian – with outstanding historical gold intercepts below previously mined shallow oxide pits. A pipeline of additional targets will also be progressively tested.

• $3.8M capital raising underway via entitlements issue at 1.2c to fund upcoming drilling programs, scheduled to commence in late March 2018.

Gateway Mining Limited (ASX: GML) ( Gateway or Company ) is pleased to advise that it is about to embark on a strategy to aggressively explore the expanded Gidgee Gold Project in Western Australia for potential large-scale gold discoveries after securing shareholder support for the acquisition of OMNI Projects Pty Ltd ( OMNI Projects ) ( Proposed Acquisition ) and a series of resolutions relating to its recapitalisation and new strategic direction.

Shareholders supported all resolutions at the Company’s Annual General Meeting, which was held in Sydney on Friday, 9 March 2018, clearing the way for it to complete the acquisition of OMNI Projects (anticipated to be completed on 16 March 2018) and progress a $3.8 million capital raising designed to underpin upcoming exploration programs at the Gidgee Gold Project.

The successful completion of the Proposed Acquisition will enable Gateway to consolidate an expanded 600km[2] ground position at Gidgee, giving it an extensive strategic position in a well-endowed gold region which has outstanding potential to host large-scale gold systems but has had virtually no modern gold exploration.

The consolidated Gidgee Gold tenure lies immediately south of Horizon Gold’s (ASX: HRN) 1.25Moz Gum Creek Gold Project and includes multiple near-surface oxide targets which produced ~150,000oz from shallow pits in the 1980s but has had minimal systematic drill testing below a depth of 50m.

The presence of high-grade lodes at depth has been confirmed by limited historical drilling which produced a series of spectacular intercepts which have never been followed up – providing walk-up drilling targets.

Following the successful completion of the Proposed Acquisition, the highly experienced and well-credentialed geologist and project developer Peter Langworthy will join the Gateway Board of Directors to drive the Company’s exploration strategy at Gidgee.

Mr Langworthy said the reinvigorated exploration strategy to be pursued by Gateway at Gidgee was in line with the highly successful approach being adopted at many other well-known but under-explored WA gold projects, where the application of modern exploration techniques and deeper drilling was unlocking some exciting new discoveries.

“There are many examples of WA gold projects where shallow oxide pits were mined in the 1980s and 1990s, but where there has been virtually no systematic exploration at depth,” he said. “The highly prospective tenure which we have now consolidated at Gidgee presents an exceptional opportunity to outline a major high-grade gold system beneath a series of oxide deposits which have lain virtually untouched since the 1990s.

“This is a classic setting for a major new WA gold find – shear-hosted gold sitting on the margin of a granitoid intrusion, very similar to the +2Moz Granny Smith and +2.3Moz Tarmoola-King of the Hills gold deposits.

“The presence of several thick historical intercepts of high-grade gold mineralisation directly below the existing open pits at prospects such as Whistler, Montague and Caledonian is testament to the exceptional potential of this ground – and provides us with immediate, walk-up drilling targets.

“The potential for world-class gold discoveries is clearly demonstrated by the proximity of major deposits such as Mt Magnet, Big Bell, Wiluna, Sandstone and Gum Creek, immediately to the north. Our strategy will be to pursue a wide-ranging exploration effort aimed at unlocking major gold discoveries of a size and scale at Gidgee which could justify the development a substantial standalone mining and processing operation.”

For more information on the acquisition of OMNI Projects and the Company’s new strategic focus on the Gidgee Gold Project, please refer to the Company’s ASX announcements dated 22 December 2017, 1 March 2018 and the Company’s Entitlements Issue Prospectus dated 13 February 2018.

Full details on the Gidgee Project, including an overview of the key targets and an outline of the Company’s exploration strategy were provided in the Company’s ASX Announcement dated 1 March 2018, the Prospectus dated 13 February 2018 and the Investor Presentation lodged with the ASX on 1 March 2018.

Mr Langworthy will be presenting to investors on behalf of Gateway Mining at the Resources Rising Stars Investor Luncheon Series, being held this week in Brisbane, Melbourne and Sydney:

• Brisbane, Monday 12[th] March Custom’s House, 399 Queen Street, Brisbane (12.00 – 2.30pm)

• Melbourne, Tuesday 13[th] March RACV Club, 501 Bourke Street, Melbourne (12.15 – 2.30pm)  Sydney, Wednesday 14[th] March Westin Hotel, 1 Martin Place, Sydney (12.15 – 2.30pm)

These events are open to all genuine investors, however registrations are essential. For details please contact Read Corporate on (08) 9388 1484, email info@readcorporate.com.au or visit www.resourcesrisingstars.com.au.

Trent Franklin Non-Executive Chairman For and on behalf of GATEWAY MINING LIMITED

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Competent Person Statement

The information in this report that relates to Exploration Results or Mineral Resources is based on information compiled or reviewed by Mr Peter Langworthy who is a consultant to Gateway Mining Ltd and is a current Member of the Australian Institute of Mining and Metallurgy. Mr Peter Langworthy has sufficient experience, which is relevant to the style of mineralisation and types of deposit under consideration and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code of Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Langworthy consents to the inclusion in the report of the matters based on the information in the form and context in which it appears.

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