GOLDEN STATE MINING LIMITED — Capital/Financing Update 2018

Dec 2, 2018

▪

▪

Golden State Mining Limited (ASX code: “GSM” or the “Company”) is pleased to announce that an application for government co-funding submitted to the Department of Mines, Industry Regulation and Safety’s Exploration Incentive Scheme (EIS) has been successful. The co-funding application was considered as part of Round 18 of the EIS for co-funding of drill programs to be completed between 1 January 2019 – 31 December 2019.

The co-funding will grant to the Company up to $150,000 to pay for 50% of the drilling costs associated with the planned program. The program will consist of four deep drillholes targeting greenstone rocks underneath the Cue Granite as interpreted from geophysical data including 2D seismic data and gravity data.

Golden State managing director, Michael Moore commented:

“This is a great result for the Company and I’d like to take this opportunity to thank the WA Government for its ongoing support for greenfields exploration through the EIS initiative. It is important for the Company to have presented a technically credible case and this grant is a real vote of confidence in the Company’s guiding concepts and strategy to unlock the value around Cue. The Company intends to submit additional applications in 2019 for further work at Cue as well as the Yule project in the Pilbara.

==> picture [594 x 79] intentionally omitted <==

==> picture [120 x 36] intentionally omitted <==

==> picture [428 x 338] intentionally omitted <==

Cue Project.

Background to Exploration Incentive Scheme

The EIS is a Western Australian State Government initiative that aims to encourage exploration in Western Australia for the long-term sustainability of the State’s resources sector. The main aim is to stimulate increased private sector resource exploration, leading to new mineral and energy discoveries, with new discoveries in these areas increasing the knowledge of the State’s geology and resources.

The ‘Innovative Drilling Promotion’, also known as the Co-funded Exploration Drilling Program, is a flagship program of the EIS. It is a competitive program, open for applications twice a year, which offers up to a 50 per cent refund for innovative exploration drilling projects. It is not available for resource definition drilling or appraisal, stimulation and development drilling.

For further information please contact Mike Moore (Managing Director) on 08 6323 2384

==> picture [595 x 89] intentionally omitted <==

==> picture [120 x 36] intentionally omitted <==

FORWARD LOOKING STATEMENTS

As a result of a variety of risks, uncertainties and other factors, actual events, trends and results may differ materially from any forward looking and other statements mentioned or implied herein not purporting to be of historical fact. In certain cases, forward-looking information may be identified by (without limitation) such terms as "anticipates", "believes", “should”, "could", "estimates", “target”, “likely”, “plan”, "expects", "may", “intend”, "shall", "will", or "would". Any statements concerning mining reserves, resources and exploration results may also be forward looking in that they involve estimates based on assumptions. Forward looking statements are based on management’s beliefs, opinions and estimates as of the respective dates they are made. The Company does not assume any obligation to update forward looking statements even where beliefs, opinions and estimates change or should do so given changed circumstances and developments.

==> picture [595 x 89] intentionally omitted <==