KGL RESOURCES LIMITED — Environmental & Social Information 2018

Oct 21, 2018

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22 October 2018

KGL lodges Draft Environmental Impact Statement for Jervois Project with Northern Territory EPA

• Major step in progress to project development

KGL Resources (ASX:KGL) (KGL or the Company) is pleased to advise that the Jervois Base Metal Project Draft Environmental Impact Statement (EIS) has been lodged with the Northern Territory Environmental Protection Authority (EPA).

A government and public review period has commenced and will remain open for 8 weeks until 14 December following which the Company will prepare and lodge a supplementary report early in 2019 with a view to final regulatory approval.

Stressing the importance of the EIS lodgement, the Chairman of KGL Mr Denis Wood said:

“The lodgement of the draft EIS highlights the progress that KGL has made towards the development of a significant copper and other base metals mine at Jervois.

“The Project was awarded Major Project status by the Northern Territory Government in March 2017 and the EIS is the last major regulatory approval that is outstanding.

“We are on track with the strategy we defined more than two years ago, to improve the mineral resource at Jervois, particularly the grade of copper, and establishing a substantial, high grade, high quality resource before moving with confidence to develop a robust, lowcost copper and multi-metal project.

“We are well advanced with a comprehensive work program led by intensive infill drilling which is now being completed together with mining, engineering and other studies. We expect to announce an updated Resource shortly.

“Directors are pleased with the value-adding progress that has now been achieved at Jervois, particularly through modern, cost-efficient exploration, and welcome the lodging of the EIS as an important milestone on the road to development and production.”

The Draft EIS has been prepared by Nitro Solutions in conjunction with KGL and a range of environmental and social experts.

Jervois is located approximately 380 kilometres (km) north-east of Alice Springs in the Northern Territory, off the Plenty Highway. The project contains a significant and high-grade copper resource, as well as silver, gold, lead and zinc in several deposits. The infill drilling programs now nearing completion are aimed at upgrading resources. The proposed reopening of the mine will involve mining by open pit and underground methods and processing to a concentrate on site. The concentrate would then be trucked via the Plenty and Stuart Highways to the current rail freight terminal in Alice Springs, and then on to Darwin and/or Adelaide by rail.

For further information, contact:

Ms Kylie Anderson Company Secretary Phone: 07 3071 9003