PREDICTIVE DISCOVERY LIMITED — Capital/Financing Update 2017

Dec 3, 2017

4[th] December 2017

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ASX

Announcement

Predictive Discovery Limited is a gold exploration company with strong technical capabilities focused on its advanced gold exploration projects in West Africa.

ASX: PDI

Issued Capital: 236 million shares

Share Price: 4.1 cents

Market Capitalisation: $9.7M

Directors

Phillip Jackson Non-Exec Chairman

Paul Roberts Managing Director

David Kelly Non-Executive Director

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5,000m Trenching Program on Toro Joint Venture, Cote D’Ivoire

Predictive Discovery Limited (ASX: PDI) is pleased to provide an update on field activities on the Toro Joint Venture gold exploration projects in Cote D’Ivoire:

• 4,000m of backhoe trenching is currently underway on the Ferkessedougou North permit, where previous soil geochemical sampling had identified a 17km long gold-in-soil anomaly (ASX releases dated 2/1/17 and 28/4/17)

• 1,000m of trenching is planned on the Ferkessedougou South permit immediately after the Ferkessedougou North trenching is completed. Sampling in 2016 identified a promising 4km long zone of gold-in-soil anomalies (ASX release dated 28/4/16).

• A contract has been signed for execution of an aeromagnetic survey, totalling 11,600 line km, and covering prospective target areas on the Ferkessedougou North, Ferkessedougou South and Boundiali exploration permits.

• Drilling programs on the Toro Joint Venture ground are expected to recommence after the trenching results are received in January.

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Figure 1: Locality map showing exploration permits/permit applications in which Predictive has an interest in Cote D’Ivoire, and highlighting the Toro JV permits where work activities are planned or underway in the December Quarter..

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Toro Gold Joint Venture - Background

Predictive is in joint venture with Toro Gold Limited, a UK-based company, on six granted permits and two permit applications in Cote D’Ivoire (Figure 1). The Toro Joint Venture operates through Predictive Discovery Limited’s former subsidiary, Predictive Cote D’Ivoire SARL (Predictive CI) of which Predictive now holds 35%. Predictive is currently contributing 35% of ongoing Joint Venture expenditure.

Ferkessedougou North - Background

The Ferkessedougou North permit is located in northern Cote D’Ivoire directly adjacent to Burkina Faso’s southern border (Figure 1). It is subject to an agreement between Predictive CI and local Ivoirian company, Gold Ivoire Minerals SARL.

Soil sampling was carried out on a tightening sample pattern during 2016 and 2017, commencing with a sample spacing of 800 x 200m sample spacing, with infill sampling to 200 x 50m (ASX releases dated 1/2/17 and 28/4/17).

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Figure 2: Location of soil samples and gold-in-soil anomalous values, Ferkessedougou North permit.

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Anomalous gold values (>20ppb Au) have been found in numerous locations throughout the grid (Figure 2). 16 samples with gold-in-soil values exceeding 0.5g/t Au have now been recorded, the highest value being 1.2g/t Au (1210ppb Au).

Geological mapping shows that foliation/shearing trends are NNE orientated. Gold mineralisation observed in artisanal workings (Figure 2) and the soil anomalies themselves are also NNE orientated suggesting that the source of the anomalies is a series of mineralised shear zones.

Ferkessedougou South - Background

Ferkessedougou South is located south of the northern permit on the same greenstone belt (Figure 1). It is one of the four original exploration permits on which the Toro Gold Joint Venture was based.

Infill soil sampling was carried out on a 200 x 50m pattern in 2016 (ASX release - 28/4/16) and identified a 4km long anomalous zone including a central, 2km long plus 50 ppb gold zone (Figure 3).

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Figure 3: Location of soil samples and gold-in-soil anomalous values, Ferkessedougou South permit.

Boundiali - Background

The Boundiali permit is located within a very well mineralised greenstone belt which contains the large, operating Tongon and Syama gold mines in Cote D’Ivoire and Mali respectively. Predictive was granted the Boundiali permit in January 2014. The Company’s first exploration program on the permit was a BLEG stream sediment survey ( ASX release dated 4/8/14 ) which discovered a series of

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strong stream sediment anomalies, the best of which, a 24ppb Au anomaly, lies downstream of the new Nyangboue gold mineralised zone intersected in the 2016 RC drilling program.

RC and diamond drilling at Nyangboue has obtained some very encouraging drill intercepts, the majority of which lie along a 1.2km long mineralised shear zone, and with best results of:

• NDC007 - 30m at 8.3g/t Au from 39m includes 1.5m at 56.9g/t Au and 4.5m at 26.5g/t Au .

• BRC003 - 28m at 4.04g/t Au from 3m, including 1m at 49.7g/t Au.

• BRC004 - 20m at 1.97g/t Au from 0m.

• BRC004 - 14m at 5.51g/t Au from 32m, including 1m at 31.6g/t Au.

• BRC004BIS (twin hole) – 20m at 10.45g/t Au from 38m including 1m at 145.5g/t Au.

• BRC006 – 9m at 7.9 g/t Au from 99m including 1m at 44.7g/t Au.

• BRC023 – 7m at 3.8g/t Au from 33m including 1m at 11.3g/t Au.

• BRC048 – 28m at 1.55g/t Au from 1m including 1m at 27.4g/t Au.

Planned Drilling

Drilling is planned to re-commence on the Toro Joint Venture permits in January 2018, following receipt of the trench program assays and results of the aeromagnetic surveys. At this stage, drilling is expected to start on the Ferkessedougou North Permit first.

Predictive Discovery Limited (PDI) was established in late 2007 and listed on the ASX in December 2010. The Company is focused on exploration for gold in West Africa. The Company operates in Burkina Faso, West Africa where it has assembled a substantial regional ground position covering 949km[2] and has been exploring for large, open-pittable gold deposits. Exploration in eastern Burkina Faso has yielded a large portfolio of exciting gold prospects, including the high grade Bongou gold deposit on which a resource estimate was calculated in September 2014. PDI also has interests in a large portfolio of permits and permit applications in Côte D’Ivoire covering a total area of over 6,000 km[2] .

Competent Persons Statement

The exploration results reported herein, insofar as they relate to mineralisation are based on information compiled by Mr Paul Roberts (Fellow of the Australian Institute of Geoscientists). Mr Roberts is a full time employee of the company and has sufficient experience relevant to the style of mineralisation and type of deposits being considered to qualify as a Competent Person as defined by the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Roberts consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

For further details please contact:

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Paul Roberts Ric Moore Managing Director Company Secretary Tel: +61 402 857 249 Tel: +61 8 6143 1840 Email: Email: paul.roberts@predictivediscovery.com rmoore@auroraminerals.com

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