JAMESON RESOURCES LIMITED — Capital/Financing Update 2013

Sep 22, 2013

==> picture [160 x 182] intentionally omitted <==

----- Start of picture text -----

|||
|---|---|
|23 September 2013|
|Fast Facts|ASX: JAL|
|Share Price Range (6mths)|$0.21 ‐ $0.36|
|Shares on issue|171,361,453|
|Options ($0.15 ‐$0.35)|11,080,556|
|Market Capitalisation|~$45M|
|Cash Position (August 16, 2013)|$5.2M|
|Major Shareholders|
|(as at September 16, 2013 )|
|Macquarie Bank|8.7%|
|Pershing Aus Nom P/L|5.6%|

----- End of picture text -----

Crown Mountain Coking Coal Project Initial Coal Quality Results Positive

Highlights

• Lab results for the first of seven large diameter core holes have been received.

• Washability results are better than expected, averaging 71 percent.

• FSI, averaging 6.7 across all seams, is in line with typical Elk Valley coking coal products.

• Additional tests being performed and remaining core is being processed.

Directors & Management

• Actions to facilitate feasibility and EA execution are now underway.

David Fawcett (Chairman) Art Palm (Executive Director & CEO) John Holmes (Executive Director) David Prentice (Non Executive Director) Jeff Bennett (Non Executive Director)

Key Projects

Crown Mountain Coal Project Elk Valley Coalfields, Canada Dunlevy Coal Project Peace River Coal Fields, Canada

Investment Highlights

• Positioned in world class metallurgical coalfields

• Significant development expertise on board with successful track record

• Modern rail and port facilities

As previously announced, the 2013 Crown Mountain drilling program has been a resounding success: adequate samples were collected and transported to the Birtley Coal & Minerals Laboratory in Calgary for processing.

Initial results are now available for CM11‐11‐CH the first of seven LDC holes. CM11‐11‐CH is located in what has been identified in the Preliminary Economic Assessment (PEA) as the North Pit. It intersected the Upper 9 Seam, Lower 9 Seam, 9 Rider, Upper 10 Seam, Middle 10 Seam, and Lower 10 Seam.

Washability numbers, which directly correlate to plant yield once adjustments are made for out‐of‐seam dilution and pit loss, are higher than expected. Importantly, recoveries of the ultra‐fine material via froth flotation are, in nearly all cases, exceptional. This is critical to project viability, as the Elk Valley coals are quite friable and produce a large amount of fines.

• Strong financial position

Newsflow / Catalysts

Crown coal quality analyses Q4 2013 Crown PFS commences Q4 2013 Overview Dunlevy regulatory approvals Q4 2013 Dunlevy exploration commences Q4 2013

Contact Details

Australia

Overview L2, 79 Hay Street, Subiaco WA, 6008 P +61 (8) 9200 4473 F +61 (8) 9200 4463 E admin@jamesonresources.com .au

Canada

S8, 1199 West Hastings, Vancouver P +1 (604) 629‐8605

The lab results are summarized in the attached Table 1. Specifically regarding washability, the weighted average (by seam thickness) recovery for a 8.5 to 9.5 % ash product is 71.1 % (range 21‐94 %), the average FSI is 6.7 (range 2‐9), at an average ash of 8.57 % . Note that this weighted average is for simplification purposes only: the true averages for the project can only be determined once size consist is estimated by the engineers and weighted averages based on individual seam thicknesses and size consist are calculated. It is notable that the largest member in the sequence, a 6.42 meter thick portion of the upper 10 seam, averages 70 % recovery, 8.4 % ash, and a 7.3 FSI across the three tested size fractions.

Work has now commenced on additional activities required to keep Crown Mountain on a fast‐track to development.

==> picture [591 x 17] intentionally omitted <==

www.jamesonresources.com.au

Discussion of Results

The Crown Mountain drilling program was focused on the key North and South Blocks of the project area (Figure 1). These two blocks, which together contain a total of 66 million tonnes of Measured and Indicated Resources (of Crown Mountain’s 90 million tonne resource), were determined by the recent Preliminary Economic Assessment to show robust economics.

As shown in Figure 1, CM11‐11‐CH is located in the North Pit area of the resource. This hole, as planned, intersected the Upper 9, Lower 9, 9 Rider, and Upper, Middle, and Lower 10 seams. There was no oxidation present in the core. The core was crushed to pass a 25 mm screen, and the resulting material was separated into three size fractions: 25 mm x 2 mm, 2 mm x 0.25 mm, and 0.25 mm X 0. The two larger size fractions were evaluated in the lab by a float/sink methodology over a wide range of specific gravities. The smallest size fraction was evaluated by froth flotation. Table 1 shows a summary of the complete lab results based on targeting a clean dry product ash of 8.5 to 9.5 %, typical for an Elk Valley coking coal.

The coarsest fraction, 25 mm x 2 mm, showed, not surprisingly, the lowest recovery for every seam, ranging from a low of 21.2 % to a high of 80.5 % (arithmetic average 53.2 %). The next size fraction, 2 mm x 0.25 mm, had very good recoveries ranging from 62.5 % to 94.2 % (arithmetic average 79.2 %). This result demonstrates significant potential to improve recovery of the 25 mm x 2 mm fraction by additional size reduction.

The finest fraction, 2 mm x 0, responded surprisingly well to recovery by froth flotation. Recoveries averaged 72.4 % (range 40.2 to 89.3 %).

The arithmetic average ash for the 25 mm x 2 mm is 9.43 %, 2 mm x 0.25 mm is 8.42 %, and 0.25 mm x 0 is 8.22 %. Average FSI is 5.4, 7.4, and 7.1 respectively.

To maintain the project on a fast‐track, procurement and installation of a climate monitoring station is now underway. Flora and fauna studies will be authorized shortly, and surface and groundwater monitoring activities continue.

The Company intends to advance the Crown Mountain project into prefeasibility commencing in Q4 2013, followed closely by preparation of documents required to begin the EA process.

On Behalf of the Board of Directors,

Art Palm Chief Executive Officer

==> picture [591 x 17] intentionally omitted <==

www.jamesonresources.com.au

								AVE FSI 4.83 4.00 6.17 5.83 8.17 7.33 8.83 7.83
	SEAM	THICKNES S(m)	SIZE FRACTION	GRAVITY	RECOVERY	ASH	FSI	AVE FSI
	9 Upper	1.59	25mm X 2mm	1.50	71.48	9.34	3.50
			2mm X 0.25mm	1.50	82.87	8.43	6.50	4.83
			0.25mm X 0	flotation	72.72	8.50	4.50
	9 Lower	2.45	25mm X 2mm	1.50	80.57	9.21	2.50
			2mm X 0.25mm	1.80	92.69	8.96	5.50	4.00
			0.25mm X 0	flotation	82.77	7.18	4.00
	9 Rider	1.70	25mm X 2mm	1.50	38.38	10.04	5.00
			2mm X 0.25mm	1.60	75.80	8.28	7.50	6.17
			0.25mm X 0	flotation	65.21	9.98	6.00
	10 Upper(a)	0.55	25mm X 2mm	1.50	27.20	10.53	2.00
			2mm X 0.25mm	1.60	62.49	9.23	6.50	5.83
			0.25mm X 0	flotation	40.21	7.59	9.00
	10 upper(b)	1.35	25mm X 2mm	1.60	78.30	9.19	7.50
			2mm X 0.25mm	1.80	94.17	6.43	8.00	8.17
			0.25mm X 0	flotation	89.27	5.61	9.00
	10 Upper(c)	6.42	25mm X 2mm	1.50	54.84	9.61	5.50
			2mm X 0.25mm	1.80	83.62	9.43	8.00	7.33
			0.25mm X 0	flotation	71.98	6.15	8.50
	10 Middle	1.30	25mm X 2mm	1.40	21.21	8.21	9.00
			2mm X 0.25mm	1.60	70.25	7.65	9.00	8.83
			0.25mm X 0	flotation	80.19	10.75	8.50
	10 Lower	1.20	25mm X 2mm	1.40	53.45	9.27	8.00
			2mm X 0.25mm	1.50	72.04	8.98	8.50	7.83
			0.25mm X 0	flotation	77.27	9.96	7.00
	WEIGHTED AVERAGE				71.17	8.57	6.65

Table 1 – CM‐11‐11‐CH Lab Result Summary

==> picture [591 x 17] intentionally omitted <==

www.jamesonresources.com.au

==> picture [341 x 64] intentionally omitted <==

==> picture [341 x 63] intentionally omitted <==

==> picture [341 x 63] intentionally omitted <==

Figure 1 – Crown Mountain Drill Hole Location Plan

About Jameson Resources Limited

Jameson Resources Limited (ASX:JAL) is a junior resources company focused on the acquisition, exploration and development of strategic coal projects in western Canada. The Company has a 90% interest in the Crown Mountain coal project, and a 100% interest in the Peace River coal projects located in British Columbia. Jameson’s tenement portfolio in British Columbia is positioned in coalfields responsible for the majority of Canada’s metallurgical coal exports and are all close to railways connecting to export facilities.

To learn more, please contact the Company at +61 89200 4473, or visit: www.jamesonresources.com.au

==> picture [591 x 18] intentionally omitted <==

www.jamesonresources.com.au

Competent Person Statement

The information in this document that relates to the Mineral Resources is based on information compiled by Mr. Geoff Jordan P.Geo., who is a Member of a Recognised Overseas Professional Organisation (ROPO) included in a list promulgated by the ASX from time to time, being the Association of Professional Engineers and Geoscientists of British Columbia. Mr. Jordan is an Independent Consultant [OR/ an employee of Norwest Corporation] and 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 as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Jordan consents to the inclusion in the document of the matters based on his information in the form and context in which it appears.

The information pertaining to the ASX Announcement to which this statement is attached that relates to exploration results is based on information compiled by Mr John Holmes, who is a member of the Australian Institute of Geoscientists. Mr. Holmes is a full time employee of Jameson Resources Ltd and 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 as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr. Holmes consents to the inclusion in the ASX Announcement of the matters based on his information in the form and context in which it appears.

The information pertaining to the ASX Announcement to which this statement is attached that relates to exploration and laboratory testing results is based on information compiled by Mr. Art Palm P.Eng., who is a Member of a Recognised Overseas Professional Organisation (ROPO) included in a list promulgated by the ASX from time to time, being the Association of Professional Engineers and Geoscientists of British Columbia. Mr. Palm is a full time employee of Jameson Resources Ltd and 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 as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr. Palm consents to the inclusion in the ASX Announcement of the matters based on his information in the form and context in which it appears.

Forward Looking Statements

This announcement contains “forward‐looking statements”. Such forward‐looking statements include, without limitation: estimates of future earnings, the sensitivity of earnings to commodity prices and foreign exchange rate movements; estimates of future production and sales; estimates of future cash flows, the sensitivity of cash flows to commodity prices and foreign exchange rate movements; statements regarding future debt repayments; estimates of future capital expenditures; estimates of resources and statements regarding future exploration results; and where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, forward looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward‐looking statements. Such risks include, but are not limited to commodity price volatility, currency fluctuations, increased production costs and variances in resource or reserve rates from those assumed in the company’s plans, as well as political and operational risks in the countries and states in which we operate or sell product to, and governmental regulation and judicial outcomes. For a more detailed discussion of such risks and other factors, see the Company’s Annual Reports, as well as the Company’s other filings. The Company does not undertake any obligation to release publicly any revisions to any “forward looking statement” to reflect events or circumstances after the date of this release, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.

==> picture [591 x 18] intentionally omitted <==

www.jamesonresources.com.au