KINGSTON RESOURCES LIMITED — Capital/Financing Update 2019

May 26, 2019

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Advancing drilling campaigns at Misima and Livingstone

ASX Announcement

27 May 2019

ASX Code: KSN

Share Price: A$0.016

Shares Outstanding: 1,508,760,883 Market Capitalisation: A$24.1m Cash: A$6.2m (31 Mar 2019, proforma post $4.3m placement)

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Board and Management

Anthony Wehby Chairman

Andrew Corbett

Managing Directo r

• 11 holes drilled at Ewatinona, core sent to lab for assay

• Drilling now underway at new Quartz Mountain targets

• Misima North targets upgraded and drilling planned for next Quarter

• Livingstone heritage agreement complete, drilling to follow

Kingston Resources Limited ( Kingston or the Company ) is pleased to provide an update on current exploration activity at its flagship 2.8Moz Misima Gold Project in PNG.

Quartz Mountain Drilling – Ewatinona and Waipuna

11 holes for 1,476m have been completed at the Ewatinona prospect in the Quartz Mountain area. The drilling was designed to provide infill and validation data in an area east of the historic Ewatinona pit previously drilled by Placer during the 1990’s. Each hole also provides important structural data confirming the position and orientation of mineralised breccia zones. Assays are pending on this 11-hole program.

Managing Director Andrew Corbett said “This is a small program of validation drilling. Now we’re having a fresh look at new target areas nearby which have been highlighted by recent studies and field work”.

Mick Wilkes

Non-Executive Director

Stuart Rechner

Drilling has now moved to a second target in the Quartz Mountain area, Waipuna prospect, which was recently identified by a modern reinterpretation of historic geochemical data combined with geophysics and LiDAR information.

Non-Executive Director

Drilling continues to progress well, with April setting a new monthly record for metres drilled.

Chris Drew

Chief Financial Officer

Contact Details

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

info@kingstonresources.com.au www.kingstonresources.com.au www.twitter.com/KSNresources @KSNResources ABN 44 009 148 529

Misima North – Ara Creek

Kingston is very excited by the potential at Misima North. Trenching and mapping programs are currently underway ahead of drilling which is planned to commence in the September quarter. Geochemical work in the area has delivered very encouraging high-grade results in a previously under-explored area in the vicinity of the pre-World War II Misima North gold mines. The structural position of Misima North suggests it has potential to be a northern extension of the main Umuna shear zone from which Placer mined 3.7Moz Au and which still hosts 2.6Moz Au of the Misima Resource. There are numerous historic underground workings in the area with records indicating elevated grade. Placer drilled a number of holes in the Misima North area in the early 1990’s, however the Umuna Shear itself has not yet been drilled.

Umuna East

Umuna East has been identified as a potential drill target following a detailed review of LiDAR data and structural analysis by Kingston geologists. Like Misima North, Umuna East hosts an extensive network of geochemical anomalies and is also host to historic underground workings as well as an historic stamp mill. The area has long been the focus of artisanal mining, with local Misimans winning coarse supergene wire gold from mineralised structures at surface.

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ASX Announcement – 27 May 2019

Exploration Strategy

The existing 2.8Moz Misima resource may already be of sufficient scale to support a potential long life mining operation. Current exploration targets are prioritised with a view towards delivering new near-surface mineralisation. Such targets are likely to have the largest impact on project economics as access to near surface ounces can boost early years’ cash flow while access to the main Misima resource is developed. Please note, no feasibility or pre-feasibility studies have yet been completed to confirm this hypothesis, and investors should be aware that there is currently no certainty of future mine development.

Kingston anticipates drilling each of these regional targets over the balance of 2019 to enable the information to be incorporated in resource updates and subsequently captured into mining studies.

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Figure1: Misima prospect map showing the location of current prospects.

Livingstone Gold Project (Western Australia): Aboriginal heritage survey

Heritage clearance has been granted for further drilling at Livingstone. This follows the conclusion of an Aboriginal Heritage Survey at Livingstone conducted with traditional owners from the Wajarri Yamatji group. Kingston will now progress to infill RC drilling on the Kingsley discovery, moving the prospect towards a maiden mineral resource. The timeline for drilling will be announced once preparations are finalised.

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

ASX Announcement – 27 May 2019

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Misima Mineral Resource

The Misima mineral resource estimate shown in Table A1 below was released in an ASX announcement on 27 November 2017. The resource estimate was compiled by Mr Scott McManus, who is an independent consultant to the Company. Further information relating to the resource is included within the original announcement.

Deposit	Material	Resource
			Cutoff	Tonnes	Gold	Silver	Au Moz	Ag Moz
		Category	(g/t Au)	(Mt)	(g/t Au)	(g/t Ag)
Umuna	Oxide	Indicated	0.5	3.2	0.9	11.7	0.1	1.2
		Inferred	0.5	5.7	1.0	13.6	0.2	2.5
	Primary	Indicated	0.5	34.0	1.1	4.2	1.2	4.6
		Inferred	0.5	32.7	1.1	4.7	1.1	5.0
	Sub-total	Indicated Inferred		37.2	1.1	4.9	1.3	5.8
				38.4	1.0	6.1	1.3	7.5
	Total	Combined		75.7	1.1	5.5	2.6	13.3
Ewatinona (Qtz Mtn)	Oxide Primary	Inferred	0.5	1.0	0.9	3.4	0.03	0.1
		Inferred	0.5	5.6	1.0	3.1	0.2	0.6
	Sub-total	Inferred		6.6	1.0	3.2	0.22	0.7
Misima Total		Indicated Inferred		37.2 45.0	1.1 1.0	4.9 5.6	1.3 1.5	5.8 8.1
Total Mineral Resource				82.3	1.1	5.3	2.8	13.9

Table A1. Misima JORC2012 mineral resource estimate summary table.

Competent Persons Statement and Disclaimer

The information in this report that relates to Exploration Targets, Exploration Results, Mineral Resources or Reserves is based on information compiled by Mr Andrew Paterson, who is a member of the Australian Institute of Geoscientists. Mr Paterson is a full-time employee of the Company and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity he is undertaking to qualify as a competent person as defined in the 2012 Edition of the “Australasian Code for reporting of Exploration Results, Mineral Resources and Ore Reserves” (JORC Code). Mr Paterson consents to the inclusion in this report of the matters based upon the information in the form and context in which it appears.

Kingston confirms that it is not aware of any new information or data that materially affects the information included in all ASX announcements referenced in this release, and that all material assumptions and technical parameters underpinning the estimates in these announcements continue to apply and have not materially changed.

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

ASX Announcement – 27 May 2019

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About Kingston Resources

Kingston Resources 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 70% of the Misima Gold Project.

In addition, Kingston owns 75% of the Livingstone Gold Project in Western Australia.

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KSN project locations.

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