KINGSTON RESOURCES LIMITED — Capital/Financing Update 2017

Dec 12, 2017

KINGSTON RESOURCES LIMITED

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ASX Announcement

13 December 2017

ASX Code: KSN

Share Price: A$0.019 Shares Outstanding: 1,009,370,132 Market Capitalisation: A$19.2 Cash: A$3.1m (30 September, 2017)

ACN 009 148 529

Exploration update

Highlights

Exploration work has commenced on Misima

• Misima field team mobilised on November 25

• Trench sampling has commenced with initial focus on Umuna East

• Drilling contractors shortlisted for tender, award anticipated early 2018

• Newly appointed Exploration Manager, Michael Woodbury has commenced

Board and Management

Anthony Wehby Chairman

Andrew Corbett Managing Directo r

Andrew Paterson Chief Geological Officer

Stuart Rechner Non-Executive Director

Chris Drew

Business and Commercial Manager

Contact Details

205/283 Alfred Street North, North Sydney, NSW 2060 +61 2 8021 7492

Kingston Resources Limited (Kingston or the Company) is pleased to update the market on the progress of exploration work at the 2.8Moz Misima Gold Project.

Under the direction of KSN’s site-based geologists, a team of local field assistants are now digging trenches across mineralised trends at the southern end of the Umuna East target area. Kingston believes this is an under-explored area and has excellent potential for gold discovery. The trenches expose the in-situ soil profile for channel sampling and structural mapping, with the aim of defining controls on mineralisation between the Kulumalia and Padakol fault structures for a drilling campaign commencing in 2018 (Figure 2).

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Figure 1 - Misima Gold project – A current resource of 2.8 Moz[1]

info@kingstonresources.com.au www.kingstonresources.com.au

1 KSN.ASX, announcement 27 November 2017

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ASX Announcement – 13 December 2017

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“The Kingston geology team, led by Andrew Paterson, has done an outstanding job to mobilise a field team on Misima within three weeks of completing the transaction,” commented Andrew Corbett. “Our number one priority is to commence drilling as early as possible next year, with a clear focus on adding ounces at the under-explored Umuna East prospect to complement the current 2.8Moz JORC resource.”

During the first quarter of CY18 the exploration work on Misima will include:

• Re-establishing an operational base and logistics capabilities in preparation for 2018 drilling

• Geochemical field work, surface trenching and mapping on the Umuna East splays

• Structural mapping and interpretation of the Umuna East splays to build an improved understanding on the controls on higher-grade gold mineralisation

• Completing a drilling tender with the aim of mobilising the drill rig as early as possible in 2018

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Figure 2 – Umuna East: Current channel sampling is concentrating on mineralisation between the Kulumalia and Padakol Faults. Historic channel sampling shown on map.

205/283 Alfred Street North, North Sydney, NSW 2060

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+61 2 8021 7492 info@kingstonresources.com.au

ASX Announcement – 13 December 2017

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Figure 3 & 4 – Kingston Chief Geologist Andrew Paterson, Kulumalia trenching; Kingston’s Project Geologist mapping recent trench. December 2017

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Figure 5 – Mapping crew, Kulumalia December 2017, pink flags show sample locations demonstrating how close potential mineralisation is to surface

205/283 Alfred Street North, North Sydney, NSW 2060 +61 2 8021 7492 info@kingstonresources.com.au

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ASX Announcement – 13 December 2017

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Livingstone Gold Project

Kingston is pleased to report that the Livingstone project in Western Australia has received Exploration Incentive Scheme funding under the State Government’s co-funded drilling program. Under this scheme Kingston has been awarded co-funding of $75,500 towards its planned drilling next year.

Following the successful exploration program conducted during the 12-month option period, KSN is also pleased to confirm the exercise of its option to acquire 75% of the project.

Livingstone is a highly prospective project which we plan to enhance with a drilling program on the priority targets in the coming months. The primary drill target is a high-tenor gold anomaly centred on Livingstone’s Find which was defined by Kingston’s auger drilling in mid-2017 over an area of approximately 5km by 4km. Anomalies resulting from this program include the Stanley prospect, extending over more than 4.5km along a sheared stratigraphic contact, and a series of anomalies coincident with three lines of historic underground workings. Grab samples taken from the old workings by KSN in late 2016 returned assays as high as 75g/t Au[2] .

Kingston has an approved program of work (PoW) in place for Livingstone’s Find.

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Figure 6: Livingstone’s Find geochemical target area 4 km x 5km

2 ASX announcement 21 December 2016. 205/283 Alfred Street North, North Sydney, NSW 2060 +61 2 8021 7492 info@kingstonresources.com.au

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ASX Announcement – 13 December 2017

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About Kingston Resources

KSN is a metals exploration company. Currently the Company’s priority is the world-class Misima Gold Project in PNG, which contains a JORC resource of 2.8Moz Au, a production history of over 3.7Moz and outstanding potential for additional resource growth through exploration success. Kingston currently owns 49% of the Misima Gold Project and is earning in to 70%.

The Company also holds an attractive portfolio of lithium exploration tenements covering four key project areas in the Northern Territory, where the Bynoe Project is home to some exciting new discoveries and the Arunta Project lies within a significant pegmatite field. In addition, the Livingstone Gold Project holds a 50koz resource and is the site of a number of high grade historic intersections.

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Figure 7: KSN project locations.

205/283 Alfred Street North, North Sydney, NSW 2060 +61 2 8021 7492 info@kingstonresources.com.au

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