MATSA RESOURCES LIMITED — Capital/Financing Update 2017

Oct 2, 2017

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LIMITED ABN 48 106 732 487

ASX Announcement

3[th] October 2017

First Ore Delivered Fortitude Gold Mine

Highlights

CORPORATE SUMMARY

Executive Chairman

• The first ore from the Fortitude Gold Project trial mine has now been delivered to AngloGold Ashanti’s Sunrise Dam gold treatment plant

• Gold ore meets or exceeds budgeted ore specifications in accordance with the Ore Purchase agreement

• Delivery signals first income expected mid-October

• Deliveries will now be continuous until completion of mining resulting in a steady income stream

Paul Poli

Director

Frank Sibbel

Director & Company Secretary

Andrew Chapman

Shares on Issue

144.7 million

Unlisted Options

16.98 million @ $0.25 - $0.30

Top 20 shareholders

Hold 54.615%

Share Price on 2[nd] October 2017

22 cents

Market Capitalisation

$31.84 million

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Matsa Resources Limited (“Matsa” or “the Company” ASX: MAT) is pleased to advise that it has delivered its first ore from the Fortitude Gold Projects trial mine to the Sunrise Dam gold treatment plant owned by AngloGold Ashanti Australia Limited (“AGAA”).

In June 2017, Matsa announced that it had entered into an Ore Purchase agreement with AGAA whereby AGAA would purchase all the ore produced from the Fortitude Gold Project trial mine. Regular delivery of ore on a continuous basis will now be ongoing thereby realising a steady income stream for Matsa over the life of the trial mine. Currently some 9,000 tonnes of ore are stockpiled at the Fortitude ROM awaiting delivery to AGAA.

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Figure 1: Dumping of Ore on Fortitude Gold Project ROM pad

Matsa’s Executive Chairman Mr Paul Poli said “The delivery of first ore from the Fortitude Gold Project marks another millstone for the project and for Matsa shareholders. It is a significant achievement that first ore has occurred approximately twelve months after acquiring the project and is testament to the hard work put in by all Matsa staff and contractors to make that happen in such a timely fashion.”

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Figure 2: Ore Haulage Commencing at the Fortitude Gold Project

For further information please contact:

Paul Poli Executive Chairman

Phone +61 8 9230 3555 Fax +61 8 9227 0370 Email reception@matsa.com.au Web www.matsa.com.au

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