PREDICTIVE DISCOVERY LIMITED — Interim / Quarterly Report 2016

Oct 30, 2016

31[st] October 2016

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ASX

Quarterly Report for the Period Ending 30[th]

Announcement

September 2016

EXPLORATION

Côte d’Ivoire - Toro Gold Joint Venture

□ Boundiali Permit RC drilling :

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

• Drill results from the Nyangboue Prospect reported during the Quarter included:

• 20m at 10.5 g/t Au from 38m, including 1m at 144.5g/t Au

• 9m at 7.9g/t Au from 99m, including 1m at 44.7g/t Au

• 10m at 3.3g/t Au from 1m, including 1m at 27.4g/t Au

• 7m at 3.8g/t Au from 33m, including 1m at 11.3g/t Au

• 4m at 5.4g/t Au from 4m, including 1m at 15.2g/t Au

• Gold mineralisation is now known to extend over at least 1.2km strike in multiple mineralised zones.

ASX: PDI

□ Beriaboukro Permit Surface Sampling :

Issued Capital: 1.63B shares

• Three new areas of gold-in-soil anomalies were revealed with maximum soil values of 0.9g/t Au and 0.8g/t Au and a highest grade rock chip sample of 721g/t Au (23oz/t gold) . Follow-up soil sampling is planned.

Share Price: 1.1 cents

Market Capitalisation: $17.9M

Côte d’Ivoire – Bobosso Project

• Gravity metallurgical testwork obtained 62% Au recovery from colluvial samples.

Burkina Faso

• Ongoing discussions with potential funding partners.

Directors

Planned June Quarter Exploration Program

Phillip Jackson Non-Exec Chairman

Côte d’Ivoire

• Toro JV:

Paul Roberts Managing Director

• Boundiali – induced polarisation and ground magnetics, followed by design of diamond drilling program

David Kelly Non-Executive Director

• Ferkessedougou North – awaiting results of large soil sampling program, to be followed up by infill soil sampling

• Bobosso – plan work program including drilling.

Burkina Faso

• Ongoing discussions with potential JV partners.

Victoria, Australia

• Cape Clear – agree next phase of work program.

CORPORATE

• $0.9M cash at 30[th] September 2016 and no debt.

• Capital raising (placement and SPP) in September and October raised $3.0M before costs.

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INTRODUCTION

PDI’s principal focus is in the countries of Cote D’Ivoire and Burkina Faso in West Africa.

In Cote D’Ivoire, the Company has interests in six granted exploration permits and two permit applications, totalling 2,936km[2] (Figure 1), which are being actively explored under the terms of a joint venture with Toro Gold Limited. PDI is also conducting exploration under an agreement on the Bobosso Project, which covers a further 1,200km[2] (Figure 1).

In Burkina Faso, the Company has an effective Burkina-based team and a large regional tenement package in the north-east of the country covering 1,222km[2] (Figure 6). PDI’s exploration focus is on the high-grade Bongou gold discovery and the surrounding area. A formal Mineral Resource Estimate on Bongou resulted in 184,000oz of gold in the Inferred and Indicated Mineral Resource categories with an average grade of 2.6g/t Au, including 136,000oz at 3.8g/t Au (ASX release dated 4/9/14).

PDI also holds an Exploration Licence in Victoria (Figure 7) which was drilled in the December and March Quarters by joint venture partner, Cape Clear Minerals Pty Ltd.

Predictive’s current strategy is to maintain a high level of exploration activity on all of its projects through project-level funding – either via joint ventures or direct cash investments into private companies which hold the Company’s ground. The Toro and Cape Clear Joint Ventures are operating well and generating significant newsflow. The Company’s focus in 2016 is to obtain project-level funding on the Bonsiega Project in Burkina Faso and the Bobosso Project in Cote D’Ivoire.

PROJECTS

CÔTE D’IVOIRE

CÔTE D’IVOIRE BACKGROUND

Predictive has been increasingly focused on Cote D’Ivoire in recent years. The country covers over a third of the highly prospective Birimian gold belt, more than any other country in West Africa. Cote D’Ivoire is highly underexplored for gold because the exploration investment boom in the last decade largely bypassed the country because of political instability. Since the accession of President Alassane Ouattara in 2011 and his comfortable re-election last year, and with investment certainty provided by an updated Mining Act and a forward-looking Mines Administration, Cote D’Ivoire has become a highly attractive exploration investment destination.

Predictive is in joint venture with Toro Gold Limited ( Toro ), a UK-based company, on six granted permits and two permit applications in Cote D’Ivoire and with XMI SARL, an Ivoirian company, on two additional permits and one permit application covering the Bobosso Project (Figure 1). The Toro Joint Venture operates through Predictive Discovery Limited’s subsidiary, Predictive Cote

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D’Ivoire SARL ( Predictive CI ). Predictive now has interests in exploration ground in Cote D’Ivoire covering 4,136 km[2] .

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Figure 1: Locality map showing the initial Toro Joint Venture permits (brown), location of the recently acquired GIV Joint Venture permits and permit applications (blue – ASX release dated 29/3/16), and the permits covered by PDI’s agreement with XMI SARL over the Bobosso Project (red). Note location of XMI’s recent Dabakala permit application.

TORO GOLD JV

Boundiali Exploration Permit

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 (Figure 1). The southern part of this belt has had little exploration to date and represents a first class opportunity to make new large gold discoveries.

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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 strong stream sediment anomalies, the best of which, a 24ppb Au anomaly, lies downstream of the new gold mineralised zone discovered in the recent drilling.

Boundiali Drilling Program (Nyangboue Prospect)

The RC drilling program on the Boundiali permit consisted of 92 RC holes totalling 5,496m. The program was designed to test a 2km long zone of strong and coherent gold-in-soil anomalies (Figure 2). These lie at the southern end of the Nyangboue Prospect, a 6km long gold-in-soil anomaly (Figure 4) first reported to the ASX on 20/10/15.

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Figure 2: RC drill hole collar locations on a gold-in-soil geochemical contour plan, highlighting key drill results, in the southern 2km portion of the Nyangboue Prospect (announced to the ASX on 23/6/16, 25/7/16, 8/8/16, 12/9/16 and 13/10/16). Gold geochemical contours are superimposed on satellite imagery.

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The RC holes were drilled:

• on eight east-west oriented lines, of which six are spaced 320m apart. The northernmost and southernmost lines are 160m from their neighbours (Figure 2). Hole collars are approximately 40m apart,

• mostly to depths of 50-60m, with the exceptions of holes BRC003-007 which were extended or re-drilled to between 117m and 130m depth,

• towards the west and angled at 50 degrees.

Additional details of the drill and assay methodologies employed in this program are reported in Table 1.

Assay highlights of results reported during the September Quarter (reported at a 0.5g/t Au cut-off grade) are as follows:

Hole No.	Depth from(m)	Down-hole interval(m)	Au (g/t)	Comments
BRC004BIS (re- drill of BRC004)	38	20	10.45	Including1m at 145.50/t Auand1m at 21.70g/t Au
BRC006 (deepened hole on first cross- section)	99	9	7.90	Incl.1m at 44.70g/t Auand1m at 18.70g/t Au
BRC010	4	4	5.38	Including1m at15.15g/t Au
BRC014	30	9	1.21
BRC015	1	1	8.16
BRC020	38	8	1.51
BRC023	33	7	3.84	Including1m at11.25g/t Au
BRC048	1	10	3.26	Bulked intercept of28m at 1.55g/t Au from 1m. Including1m at 27.4/t Au
BRC048	21	8	1.26
BRC050	31	3	4.47
BRC056	14	6	1.51	Bulked intercept of30m at 0.92g/t Au from 14m
BRC056	42	2	7.78
BRC085	37	1	10.65

A cross section through one these drill sections is provided as Figure 3.

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Figure 3: Cross-section through the first drilled cross section. Assay results from the BRC004 redrill are

shown.

Initial observations from logging these drill holes and mapping the limited rock exposures at surface are as follows:

• The mineralised zone appears to lie within a large and complex ductile shear zone containing:

• Quartz-sericite schists which are interpreted to be derived from volcanosedimentary rocks,

• granitic intrusives,

• sediments,

• felsic volcanics with quartz phenocrysts,

• possible mylonites (extremely strongly sheared rocks) and

• possible mafic volcanics.

• Sparse rock outcrops indicate that shearing dips steeply to the east, which is why holes were drilled towards the west.

• Gold values are generally associated with zones of quartz veining (1-2cm veinlets - both smoky grey quartz and white quartz.

• Visible gold has been panned from some of the RC drill chips and fines. Follow-up screen fire assays on intervals with high gold grades and/or visible gold are therefore planned.

• The dip and dip direction of the mineralisation is not yet fully understood.

• The sheared rock sequence contains minor sulphides, including pyrite, pyrrhotite and arsenopyrite.

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Figure 4: Toro Gold soil sampling grid covering the entire Boundiali exploration permit (results reported to the ASX on 20/10/15 and 23/3/16). Results in grade intervals are shown for all of Toro soil results to date. The large Nyangboue Prospect gold anomaly and two other coherent gold anomalies are highlighted on this map. Rock chip sample locations are shown as small black triangles.

Kokoumbo Exploration Permit

Predictive CI is earning a 90% interest in the Kokumbo exploration permit in southern Cote D’Ivoire from an Ivoirian company, Ivoir Negoce. The Kokumbo permit covers an area of historic artisanal and French colonial era mining located in a highly prospective belt of rocks which also includes the Bonikro gold mine, currently in production by Newcrest, and Agbaou gold mine, where Endeavour Mining commenced commercial production in January 2014 (Figure 1).

Work commenced on re-processing historic aeromagnetic data during the Quarter.

Ferkessedougou South

Toro geologists undertook geological mapping during the Quarter.

Kounahiri Exploration Permits

No active work on this permit during the Quarter.

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GIV Agreement Projects

Beriaboukro Geochemical Sampling Program

Toro Gold carried out a soil sampling program covering most of Beriaboukro permit on 800m spaced lines. Samples were collected 100m apart on each line but only every other sample was submitted for analysis, resulting in a reported station spacing of 800m x 200m. Nine rock chip samples were also collected.

1,787 soil samples were analysed for gold by fire assay at the ALS laboratory at Loughrea in Ireland. Additional details of the sampling methods are provided in Table 2.

Anomalous gold values (>20ppb Au) were found in numerous locations throughout the grid (Figure 5). Three clusters of anomalous gold-in-soil results are highlighted on Figure 5. Peak goldin-soil values of 879ppb Au (0.9g/t) and 811 ppb Au (0.8g/t Au) were recorded from the Western and SE gold anomalous zones (Figure 5) respectively. Given the 800 x 200m assayed sample spacing, these are very encouraging soil results. A 1 km long gold ore deposit could be represented by a single value anomaly on such a wide spaced grid.

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Figure 5: Location of soil samples and gold-in-soil anomalous values, Beriaboukro permit

Rock chip sampling at the Ndinguinan artisanal gold mining site obtained a cluster of encouraging values including an exceptionally high 726g/t gold assay (Figure 1). Other high grade rock chip values from the same location included 13.15g/t Au and 6.40g/t Au. A tabulation of all the results is as follows and further details are provided in Table 2.

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Sample Number	UTM East (WGS 84 30N)	UTM North (WGS 84 30N)	Sampling Notes	Aug/t
15040	245,644	717,602	Sheared Felsic rock with 1% oxidized sulphides and quartz veinlets from Agbahanougold artisanal mine site.	0.09
15041	245,641	717,601	Fresh granodiorite? With 1% coarse cubic pyrite from Agbahanougold artisanal mine site.	0.05
15042	242,632	717,614	Float. More than 10 cm of a block of quartz tourmaline vein from Agbahanougold artisanal mine site.	3.45
15044	245,645	717,601	Strongly sheared metasedimentary rock with sheared and broken quartz tourmaline veins along the shear N140 from Agbahanougold artisanal mine site.	0.01
15045	245,698	717,552	Felsic rock with quartx tourmaline veins and disseminated tourmaline in the groundmass from Agbahanou gold artisanal mine site	0.02
15046	245,695	717,560	Strongly sheared metasedimentary rock from Agbahanou gold artisanal mine site	0.00
15074	247,156	713,161	Outcrop, more than 1 m of quartz vein with 2 fine visible gold grains, quartz tourmaline centimetric injections in the host rock, from Ndinguinangold artisanal mine site.	726
15075	247,156	713,180	About 1m of quartz tourmaline vein? N010/50 E Within a sheared metasedimentary rock with trace pyrite, the quartz tourmaline vein is concordant with the host rock, smokyin colour and fractured.	6.40
15076	247,156	713,180	Brown metasedimentary rock shear with 1% of disseminated oxidisedpyrite	13.15

This Ndinguinan locality lies 500m west of the peak soil value on the grid of 879ppb Au. These two high gold values may relate to one another.

Ferkessedougou North Permit

Extensive soil sampling and geological mapping programs were carried out during the September Quarter. Results are awaited.

September Quarter Work Program

The December Quarter program will include the following:

• Induced polarisation and ground magnetic surveys over the Nyangboue Prospect.

• Re-interpretation of the Boundiali mineralised system based on the results of re-logging all the RC holes, the new ground geophysical data and Toro’s geological mapping, all in anticipation of a planned diamond drilling program.

• Re-interpretation of the Kokoumbo permit geology based on re-processed historic airborne magnetic data, possibly followed by ground geophysical surveys.

• Infill soil sampling on the Ferkessedougou North and Beriaboukro permits.

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Results from the Ferkessedougou North soil sampling program will also be reported during the Quarter.

BOBOSSO PROJECT, COTE D’IVOIRE

The Bobosso Project consists of two granted exploration permits, Bassawa and Wendene in northern Cote D’Ivoire (Figure 1), which are held by an Ivoirian company, XMI SARl ( XMI ). Bassawa and Wendene are located in the southern extension of the well mineralised Hounde Belt in Burkina Faso, which includes Semafo’s Mana Mine (5 Moz in ore resources and reserves[1] ).

The Company is earning equity in the project through a joint venture with local licence holder, XMI SARL. Predictive currently holds approximately 35% equity in the project.

Previous exploration by Equigold, Lihir and Newcrest including a series of large drilling programs totalling 569 RC holes and 11 diamond drill holes has revealed a large gold mineralised system at the Bobosso project.

Metallurgical Testwork

The Company undertook preliminary gravity metallurgical testwork of colluvial material derived from pitting in a small area within the 7km[2] gold-in-soil anomaly which overlies the known Bobosso gold mineralised system. This work was carried out to determine if there is potential for recovering gold from this large area of gold-bearing colluvium as a first stage in a mining development that would also extract gold from the underlying gold mineralisation.

The testwork was carried out by Mineral Project Consultants (MPC) at ALS laboratories in Perth and demonstrated the potential for recovery of free gold from three composite samples. A single pass test through a Falcon centrifugal concentrator upgraded the samples from an average grade of 0.41g/t Au to 6.24g/t Au with a recovery of 63% and a mass pull of 8%. MPC advises that, if higher grade material is available, recoveries might be improved through an optimised two stage Gravity Recoverable Gold (GRG) program as a majority of the gold (75%) reported to the coarser (plus 75 micron) fraction during the screened fire assay. The gold-bearing gravity concentrate showed good leach kinetics, recovering 93% of the gold into cyanide solution.

BURKINA FASO

The Company’s tenement holding covers 1,222km[2] including approximately 100km of strike length in the Samira Hill greenstone belt in eastern Burkina Faso (the Bonsiega permit group, Figure 6). This belt hosts the 2.5 million ounce Samira Hill gold deposit across the border in Niger and contains numerous active artisanal gold mine sites along its length. PDI owns 100%, or has the rights to earn 95% to 100% of all its permits in Burkina Faso.

1 See http://www.semafo.com/English/operations-and-exploration/reserves-and-resources/default.aspx

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PDI has discovered gold mineralisation on multiple prospects in Eastern Burkina Faso during the past four years including the Bongou gold deposit. A formal Mineral Resource Estimate on Bongou resulted in 184,000oz of gold in the Inferred and Indicated Mineral Resource categories with an average grade of 2.6g/t Au, including 136,000oz at 3.8g/t Au (ASX release dated 4 September, 2014).

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Figure 6: Locality map of PDI permits in eastern Burkina Faso, showing location of Bongou and other key prospects.

No work was carried out in Burkina Faso during the June Quarter apart from field visits to the project areas with potential joint venture partners. Costs are being restricted to the maximum extent possible.

The Company conducted is currently engaged in discussions about a possible joint venture on the Bonsiega Project.

AUSTRALIA

CAPE CLEAR JOINT VENTURE (EL5434)

Introduction

Exploration Licence 5434 is located west of Ballarat in Victoria (Figure 10). It was granted to PDI in July 2013. The area is highly prospective for shallowly concealed Stawell-style gold mineralisation. PDI previously carried out geological mapping and a gravity survey over part of the EL area.

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Execution of a binding farm-in agreement with Cape Clear Minerals Pty Ltd (CCM) on this EL was announced to the ASX on 22[nd] September 2014. Under that agreement, CCM could earn 75% equity in the licence by spending $500,000 on exploration, including at least 1,000m of drilling. CCM has complied with those conditions and has therefore achieved a 75% equity in the project.

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Figure 7: Cape Clear Exploration Licence Locality Plan

Exploration on EL5434 is targeted at discovery of Stawell-style and/or Ballarat-style gold mineralisation on the margins of a concealed Cambrian basalt ridge located on the west side of the major north-south striking Avoca Fault. The Stawell gold deposit is located in a comparable geological position on the western side of a basalt ridge, which is, in turn, west of the major Coongee Fault.

No fieldwork was undertaken during the Quarter.

Predictive and CCM commenced a revision of the joint venture arrangements such that Predictive would participate in exploration of the northern portion of EL5434, which PDI regards as being more prospective, and CCM would explore the southern portion in its own right. Discussions regarding the terms of the revised joint venture agreement are ongoing.

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CORPORATE

Cash Position

The Company held $886,000 in cash at the end of the September Quarter with no debt.

A combination of several placements and an SPP raised $3,049,450 before costs towards the end of the September Quarter and at the beginning of the December Quarter. Of this, $665,000 was raised prior to the end of September and a further $2,384,000 was raised in October.

TABLE 1 – DRILL RESULTS – TORO BOUNDIALI RC DRILL PROGRAM (NYANGBOUE PROSPECT)

Hole No.	UTM 29N Easting	UTM 29N Northing	RL (m)	Hole depth (m)	Hole dip (°)	Azimu th (°)	Depth from (m)	Down- hole interval (m)1	Au (g/t) at 0.5g/t Au cut-off grade2	Comments
BRC002	784688	1034904	421	124	-50	270	No significant result			Results from 0-53m reported on 23/6/16
BRC003	784731	1034901	417	130	-50	270	56	4	0.74	Results from 56 to 130m (0-56m reported 23/6/16).
BRC003	784731	1034901	417	130	-50	270	67	2	3.25
BRC003	784731	1034901	417	130	-50	270	78	2	0.7
BRC003	784731	1034901	417	130	-50	270	85	9	0.55
BRC004BIS	784777	1034889	421	130	-50	270	0	2	0.56	BRC004 was re-drilled as BRC004BIS (6m south of the original hole) because the original hole could not be re- entered.
BRC004BIS	784777	1034889	421	130	-50	270	38	20	10.46
BRC004BIS	784777	1034889	421	130	-50	270	64	1	1.44
BRC004BIS	784777	1034889	421	130	-50	270	104	2	0.59
BRC004BIS	784777	1034889	421	130	-50	270	128	1	1
BRC005	784810	1034887	418	130	-50	270	66	2	2.85	Results from 66 to 130m (0-66m reported 23/6/16).
BRC005	784810	1034887	418	130	-50	270	90	6	0.92
BRC005	784810	1034887	418	130	-50	270	114	1	2.66
BRC005	784810	1034887	418	130	-50	270	123	1	1.14

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BRC006	784,842	1,034,880	420	123	-50	270	68	3	3	1.13	1.13	New results from deepened section of BRC006 from 59 to 123m
BRC006	784,842	1,034,880	420	123	-50	270	99	9		7.9
BRC007	784889	1034887	420	117	-50	270	No significant result					Results from 56-117m (0-56m reported 23/6/16).
BRC008	784929	1034897	425	53	-50	270	No significant result
BRC008	784929	1034897	425	53	-50	270	No significant result
BRC010	784571	1034879	419	50	-50	270	4	4		5.38		Includes 1m at 15.15g/t Au
BRC011	784532	1034926	430	57	-50	270	no significant result
BRC012	784491	1034902	430	57	-50	270	no significant result
BRC013	784450	1034901	430	54	-50	270	no significant result
BRC014	784,630	1,035,219	416	52	-50	270	20		9		1.21
BRC015	784,670	1,035,226	416	124	-50	270	1		1		8.16
BRC016	784,709	1,035,216	422	53	-50	270	no significant result
BRC017	784,740	1,035,225	424	67	-50	270	22		1		1.25
BRC017	784,740	1,035,225	424	67	-50	270	30		2		2.45
BRC018	784,790	1,035,222	421	65	-50	270	no significant result
BRC019	784,829	1,035,218	419	62	-50	270	no significant result
BRC020	784,870	1,035,216	417	53	-50	270	25		1		2.4
BRC020	784,870	1,035,216	417	53	-50	270	38		8		1.51
BRC021	784,914	1,035,213	425	57	-50	270	12		2		1.01
BRC022	784,950	1,035,219	418	52	-50	270	no significant result
BRC023	784,586	1,035,223	415	51	-50	270	19		1		1.98
BRC023	784,586	1,035,223	415	51	-50	270	33		7		3.84
BRC024	784,547	1,035,217	419	52	-50	270	no significant result
BRC025	784,510	1,035,222	412	53	-50	270	no significant result
BRC026	784,475	1,035,212	416	50	-50	270	no significant result
BRC027	784,432	1,035,214	415	50	-50	270	no significant result
BRC028	784,391	1,035,219	418	55	-50	270	27		1		1.96
BRC029	784352	1035223	416	53	-50	270	no significant result
BRC030	784629	1035528	411	50	-50	270	No significant result
BRC031	784670	1035539	415	56	-50	270	No significant result
BRC032	784710	1035548	418	50	-50	270	No significant result
BRC033	784748	1035541	414	52	-50	270	No significant result
BRC034	784791	1035539	417	60	-50	270	No significant result
BRC035	784828	1035538	412	46	-50	270	No significant result
BRC036	784871	1035540	410	51	-50	270	No significant result
BRC037	784910	1035551	412	94	-50	270	No significant result
BRC038	784950	1035540	416	56	-50	270	No significant result

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BRC039	784990	1035547	410	57	-50	270	No significant result	No significant result	No significant result	No significant result
BRC040	784590	1035545	410	50	-50	270	24	1		1.04
BRC041	784550	1035542	409	50	-50	270	No significant result
BRC042	784510	1035547	406	50	-50	270	17		1 1 . 5 2
BRC043	784470	1035537	403	50	-50	270	No significant result
BRC044	784430	1035538	410	50	-50	270	No significant result
BRC045	784390	1035540	407	55	-50	270	9	1		1.28
BRC046	784350	1035537	402	50	-50	270	No significant result
BRC047	784630	1034584	408	50	-50	270	12	1		1.1
BRC048	784670	1034580	410	50	-50	270	1	10		3.26	Bulked interval consists of 28m at 1.55g/t Au
BRC048	784670	1034580	410	50	-50	270	21	8		1.26
BRC048	784670	1034580	410	50	-50	270	39	4		0.77
BRC049	784710	1034582	409	50	-50	270	No significant result
BRC050	784750	1034580	410	55	-50	270	0	2		1.06
BRC050	784750	1034580	410	55	-50	270	6	1		1.64
BRC050	784750	1034580	410	55	-50	270	31	3		4.47
BRC051	784790	1034586	411	108	-50	270	No significant result
BRC052	784830	1034577	409	50	-50	270	No significant result
BRC053	784470	1034249	400	50	-50	270	34	1		1.01
BRC054	784510	1034266	403	50	-50	270	No significant result
BRC055	784550	1034258	402	50	-50	270	23	1		1.02
BRC056	784590	1034260	405	50	-50	270	1	1		1.57
BRC056	784590	1034260	405	50	-50	270	14	6		1.51	These two intercepts constitute a 30m long low grade mineralised zone averaging 0.92g/t Au from 14m
BRC056	784590	1034260	405	50	-50	270	42	2		7.68
BRC057	784630	1034256	404	80	-50	270	43	1		3.42
BRC057	784630	1034256	404	80	-50	270	56	3		1.06
BRC058	784670	1034264	403	70	-50	270	18	3		1.12
BRC058	784670	1034264	403	70	-50	270	36	1		1.85
BRC058	784670	1034264	403	70	-50	270	46	1		1.04
BRC059	784710	1034260	402	55	-50	270	47	1		1.38
BRC060	784510	1034580	408	50	-50	270	6	3		0.57
BRC061	784550	1034568	404	50	-50	270	29	1		5.94

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BRC062	784590	1034579	406	50	-50	270	24	24	3	3	2.57
BRC062	784590	1034579	406	50	-50	270	40		2		1.01
BRC063	784868	1034589	408	50	-50	270	No significant result
BRC064	784910	1034584	422	50	-50	270	30		1		1.96
BRC065	784949	1034581	413	50	-50	270	No significant result
BRC066	784600	1035862	416	50	-50	270	no significant result
BRC067	784640	1035862	418	50	-50	270	no significant result
BRC068	784680	1035857	416	50	-50	270	no significant result
BRC069	784720	1035863	419	50	-50	270	no significant result
BRC070	784760	1035867	417	55	-50	270	48	2		1.55
BRC071	784310	1034585	404	50	-50	270	No significant result
BRC072	784350	1034579	404	50	-50	270	No significant result
BRC073	784390	1034572	405	50	-50	270	no significant result
BRC074	784430	1034585	406	50	-50	270	no significant result
BRC075	784470	1034583	406	50	-50	270	no significant result					Includes gold anomalous zone of 13m at 0.24g/t Au from 3m
BRC076	784310	1034259	397	50	-50	270	No significant result
BRC077	784350	1034260	397	50	-50	270	No significant result
BRC078	784390	1034253	398	50	-50	270	No significant result
BRC079	784430	1034260	398	50	-50	270	No significant result
BRC080	784600	1034099	402	50	-50	270	No significant result
BRC081	784640	1034101	401	50	-50	270	23	2		0.62
BRC082	784680	1034109	401	50	-50	270	11	1		2.26
BRC083	784720	1034109	401	50	-50	270	No significant result
BRC084	784520	1034107	402	50	-50	270	No significant result
BRC085	784560	1034106	402	55	-50	270	37	1		10.65
BRC086	784800	1035886	417	50	-50	270	no significant result
BRC087	784530	1036019	409	50	-50	270	no significant result
BRC088	784570	1036021	410	50	-50	270	no significant result
BRC089	784610	1036024	410	50	-50	270	no significant result
BRC090	784650	1036019	411	50	-50	270	no significant result					Includes gold anomalous zone of 18m at 0.21g/t Au from 14m
BRC091	784690	1036023	412	50	-50	270	no significant result
BRC092	784730	1036017	413	50	-50	270	no significant result
1 No true widths reported because the orientation of the gold mineralisation is not yet properly understood. 2 Minimum grade x width interval reported of 1 g/t x m. Maximum down-hole internal waste of 4m. All assayed in 1m intervals.

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Section 1: Sampling Techniques and Data

Section 1: Sampling Techniques and Data	Section 1: Sampling Techniques and Data	Section 1: Sampling Techniques and Data
Criteria	JORC Code Explanation	Commentary
Sampling Technique	Nature and quality of sampling (eg cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as downhole gamma sondes, or handheld XRF instruments, etc). These examples should not be taken as limiting the broad meaning of sampling Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used. Aspects of the determination of mineralisation that are Material to the Public Report. In cases where ‘industry standard’ work has been done this would be relatively simple (eg ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (eg submarine nodules) may warrant disclosure of detailedinformation.	All of the sampling described in Table 1 refers to RC drill holes. A representative subsample of the RC drill chips was obtained using an on- rig riffle splitter. A second reference sample was obtained using a spear. The assayed drill samples are judged to be representative of the rock being drilled because representative sub-sampling of the RC drill samples was achieved.
Drilling	Drill type (eg core, reverse circulation, open- hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (eg core diameter, triple or standard tube, depth of diamond tails, face- sampling bit or other type, whether core is oriented and if so, bywhatmethod, etc).	The drilling was largely carried out by reverse circulation with a face sampling hammer. The holes were collared using a blade bit, which was used to refusal (towards base of saprolite/saprock).
Drill Sample Recovery	Method of recording and assessing core and chip sample recoveries and results assessed. Measures taken to maximise sample recovery and ensure representative nature of the samples. Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	RC recovery was assessed by weighing the sample bags and calculating recoveries using an estimate of rock density. The Toro site geologists report that recoveries are consistently good.

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Logging	Whether core and chip samples have been geologically and geotechnical logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies. Whether logging is qualitative or quantitative in nature. Core (or costean/Trench, channel, etc) photography. The total length and percentage of the relevant intersections logged.	Logging of RC holes records lithology, mineralogy, mineralisation, alteration, structure, weathering and other features of the samples. Logging of sulphide mineralization and veining is quantitative. All holes were logged in full. No judgement has yet been made by independent qualified consultants on whether the geological and geotechnical logging has been sufficient to support Mineral Resource estimation, mining and metallurgical studies.
Sub-Sampling Technique and Sample Preparation	If core, whether cut or sawn and whether quarter, half or all core taken. If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled wet or dry. For all sample types, the nature, quality and appropriateness of the sample preparation technique. Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples. Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling. Whether sample sizes are appropriate to the grain size of the material being sampled.	The RC samples submitted for assay were all sub-sampled by an on-rig 3- tier/multi stage riffle splitter (producing a 1/8thsplit). The sampled material is considered to be representative of the samples as a whole.
Quality of Assay Data and Laboratory Tests	The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total. For geophysical tools, spectrometers, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc. Nature of quality control procedures adopted (eg standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (ie lack of bias) and precision have been established.	All samples reported in this release were assayed for gold by 50g fire assay at the ALS laboratory in Loughrea. High grade samples were checked at the laboratory by gravimetric means. At the lab, regular assay repeats, lab standards, checks and blanks were inserted and analysed. Unlabelled standards (Certified Reference Materials), blanks and duplicate samples were also inserted by Toro personnel on site at Boundiali. Samples are prepared at Toro’s sample preparation laboratory at Mako in Senegal.

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Verification of Sampling and Assaying	The verification of significant intersections by either independent or alternative company personnel. The use of twinned holes The verification of significant intersections by either independent or alternative company personnel. Discuss any adjustment to assay data	One hole has been twinned (BRC004) but the results of the repeat hole are not yet available. Field data collection was undertaken by Toro Gold geologists and supervised by Toro Gold management.
Location of Data points	Accuracy and quality of surveysused tolocate drill holes (collar and down- hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation. Specification of the grid system used Quality and adequacy of topographic control	Collar positions were located using a hand held GPS with a location error of +/- 3m. Collar coordinates listed in the table are for the WGS84 datum, Zone 29 North. The collar RL of BRC004 was adjusted downwards by approximately 6m on the cross-section only (i.e. not in Table 1 above) based on a GPS reading on the BRC004 re-drill collar RL and the fact that the section line in this area is, by observation, flat.
Data Spacing and Distribution	Data spacing for reporting of Exploration Results Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied. Whether sample compositing has beenapplied	The holes reported here were drilled on one line with hole collars approximately 40m apart. No judgement has yet been made by an independent qualified consultant on whether the drill density is sufficient to calculate a Mineral Resource. The samples were not composited.
Orientation of Data in Relation to Geological Structure	Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type. If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.	All drill holes reported here were drilled approximately at right angles to the anticipated strike of the target geochemical anomaly (Figure 2).
Sample Security	The measures taken to ensure sample security	The drill samples are currently stored securely at Toro Gold’s compound in the town of Boundiali.
Audits or Reviews	The results of any audits or reviews of sampling techniques and data	No audits or reviews of sampling techniques and data have been carried out given the reconnaissance nature of this drill program.
	Section 2 Reporting of Exploration Results
Mineral Tenement and Land Tenure Status	Type, reference name/number, location and ownership including agreements or material issues with third partiessuch asjoint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings. The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.	The Boundiali exploration permit was granted to PDI Cote D’Ivoire SARL in January 2014.Toro Gold Limited may earn a 51% interest in PDI Cote D’Ivoire SARL by spending US$1 million.

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Exploration Done by Other Parties	Acknowledgment and appraisal of exploration by other parties.	PDI is not aware of any effective gold exploration over the Boundiali permit prior to PDI’s initial work, however historic records are incomplete at the Cote D’Ivoire governmentgeologicalagency.
Geology	Deposit type, geological setting and style of mineralisation.	The geology of the Boundiali permit consists of granite, metasediments, mafic volcanics and intrusives, and conglomerates.
Drill Hole Information	A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes: • easting and northing of the drill hole collar • elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar • dip and azimuth of the hole • down hole length and interception depth • hole length • If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.	All of the required data is provided in Table 1 (above).
Data Aggregation Methods	In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (eg cutting of high grades) and cut-off grades are usually Material and should be stated. Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail. The assumptions used for any reporting of metal equivalent values should be clearly stated.	All RC samples were collected and assayed in 1m intervals. No top cuts have been applied to the drill results. Up to 3m (down-hole) of internal waste is included. Mineralised intervals are reported on a weighted average basis.
Relationship Between Mineralisation Widths and Intercept Lengths	These relationships are particularly important in the reporting of Exploration Results If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported. If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (eg ‘down hole length, true width not known’).	True widths have not been estimated as the geological controls on mineralisation in these initial drill holes into the prospect are not yet well understood. The holes were drilled from east to west to test a steeply east dipping foliation in the limited rock exposures seen in the area. The mineralisation lies within what Toro interprets to be a ductile shear zone which would suggest that mineralisation should lie parallel to foliation. Nevertheless, the gold intercepts are actually suggestive of a west-dipping mineralised envelop. The most mineralised holes have been extended; assays of the deepened holes should provide some additional information on this question along with careful re-logging and XRF readings on the RC chip samples in the coming months. True widths may only be understood properly after a diamond drilling program is carried out, possibly later in 2016.
Diagrams	Appropriate maps and sections (with scales) and tabulations of intercepts should be included for anysignificant discovery	An appropriate plan and cross section showing the location of the drill holes are included in the text of this document.

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being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views. Balanced Reporting Where comprehensive All intercepts containing grades above 0.5g/t Au and at least 1g/t x m reporting of all Exploration with a maximum thickness of internal waste of 3.0m are reported in this Results is not practicable, release. representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results. Other Other exploration data, if All relevant exploration data is either reported in this release or has been Substantive meaningful and material, reported previously and is referred to in the release. should be reported including Exploration Data (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances. Further Work The nature and scale of The drill program is ongoing and most of the results have not yet been planned further work (eg tests received. Further work will be considered once the results of this drilling for lateral extensions or large program come to hand. A follow-u p drill program later in 2016 is likely. scale step out drilling. Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.

TABLE 2 – BERIABOUKRO SOIL AND ROCK CHIP SAMPLING RESULTS

Sample numbers	Northing (WGS84- 30N)	Easting (WGS84 – 30N)	RL	Hole dips	Azimuth	Hole Depth	From	Interval	Au (ppb)
Toro soil sample numbers in the ranges 32134- 32298, 32,502- 32600, 35269- 35999, 45001- 47750. Every second sample was submitted for gold analysis. Rock chip sample numbers were 15040-2, 15044-6, 15074-6.	Refer to Figure 1 for map locations of all samples	Refer to Figure 1 for map locations of all samples	See notes	Not relevant to the samples described in this report	Not relevant to the samples described in this report	Soil samples were collected from 10-50cm depth	Not relevant to the samples described in this report	Not relevant to the samples described in this report	See notes and Figure 1
Notes: Soil sampling is a reconnaissance exploration technique. In the sampling and sample preparation method used by Toro, soil samples were collected from shallow holes and then dried and sieved at 80# at a local field camp. Theprepared samples

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were then sent to the ALS laboratory in Loughrea in Ireland for fire assay analysis. RL ranges for the Beriaboukro permit are not known but range upwards from approximately 360m. Individual RLs are not reported in this announcement because they are not relevant to interpreting geochemical data of this type. The nine rock chip samples reported here were mostly collected from in the vicinity of several, gold artisanal mine sites.

Section 1: Sampling Techniques and Data	Section 1: Sampling Techniques and Data	Section 1: Sampling Techniques and Data
Criteria	JORC Code Explanation	Commentary
Sampling Technique	Nature and quality of sampling (eg cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as downhole gamma sondes, or handheld XRF instruments, etc). These examples should not be taken as limiting the broad meaning of sampling Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used. Aspects of the determination of mineralisation that are Material to the Public Report. In cases where ‘industry standard’ work has been done this would be relatively simple (eg ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (eg submarine nodules) may warrant disclosure of detailed information.	The sampling described in this report refers samples obtained from the Beriaboukro exploration permit in Cote D’Ivoire. The soil samples were collected from shallow holes with depths between 10 and 50cm. The rock samples were collected from outcrops and float material.
Drilling	Drill type (eg core, reverse circulation, open- hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (eg core diameter, triple or standard tube, depth of diamond tails, face- sampling bit or other type, whether core is oriented and if so, by what method, etc).	This is not relevant to a soil or rock sampling program.
Drill Sample Recovery	Method of recording and assessing core and chip sample recoveries and results assessed. Measures taken to maximise sample recovery and ensure representative nature of the samples. Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	This is not relevant to a soil or rock sampling program.

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Logging	Whether core and chip samples have been geologically and geotechnical logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies. Whether logging is qualitative or quantitative in nature. Core (or costean/Trench, channel, etc) photography. The total length and percentage of the relevant intersections logged.	Soil samples are described in terms of soil type, regolith and landscape classification and colour. Descriptions are largely qualitative. Rock sample descriptions and contextual information are provided in the text of this release.
Sub-Sampling Technique and Sample Preparation	If core, whether cut or sawn and whether quarter, half or all core taken. If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled wet or dry. For all sample types, the nature, quality and appropriateness of the sample preparation technique. Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples. Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling. Whether sample sizes are appropriate to the grain size of the material beingsampled.	The sample preparation method is appropriate and standard for soil samples of this type. All of the rock samples were submitted for analysis and were crushed, pulverised and sub-sampled in accordance with standard laboratory procedures.
Quality of Assay Data and Laboratory Tests	The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total. For geophysical tools, spectrometers, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc. Nature of quality control procedures adopted (eg standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (ie lack of bias) and precision have been established.	The analytical method used for soil sampling has a very low (1ppb Au) detection limit which is appropriate for samples of this type. A standard gold fire assay method was used for the rock chip samples.
Verification of Sampling and Assaying	The verification of significant intersections by either independent or alternative company personnel. The use of twinned holes The verification of significant intersections by either independent or alternative company personnel. Discuss any adjustment to assay data	This is not relevant to a soil or rock sampling program.
Location of Data points	Accuracy and quality of surveysused tolocate drill holes (collar and down- hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation. Specification of the grid system used Qualityand adequacyof topographic	Coordinates shown on the locality maps (Figures 1-3) are for Universal Transverse Mercator (UTM), Datum WGS 84, Zone 30 - Northern Hemisphere.

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	control
Data Spacing and Distribution	Data spacing for reporting of Exploration Results Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied. Whether sample compositing has been applied	The soil sampling grid was 800 x 200m and is considered appropriate for a reconnaissance exploration grid of this type. Rock chip samples were not taken on a regular grid but were collected in the vicinity of artisanal mine sites. No Mineral Resource can be estimated from these data.
Orientation of Data in Relation to Geological Structure	Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type. If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.	The soil samples were collected along lines which were designed to cross cut the interpreted bedding and foliation strike orientations in permit.
Sample Security	The measures taken to ensure sample security	Samples are stored securely at Toro Gold’s field office in Yamoussoukro.
Section 2 Reporting of Exploration Results
Mineral Tenement and Land Tenure Status	Type, reference name/number, location and ownership including agreements or material issues with third partiessuch asjoint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings. The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.	The Beriaboukro exploration permit was granted to GIV Minerals SARL in 2015. Predictive Discovery Cote D’Ivoire SARL may earn a 51% interest by spendingUS$1 million and 85% by completing a DFS.
Exploration Done by Other Parties	Acknowledgment and appraisal of exploration by other parties.	Gold exploration was conducted over a small part of the Beriaboukro permit by Equigold.
Geology	Deposit type, geological setting and style of mineralisation.	The geology of the Beriaboukro permit consists of granite, metasediments,mafic volcanics and intrusives.
Drill Hole Information	A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes: • easting and northing of the drill hole collar • elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar • dip and azimuth of the hole • down hole length and interception depth • hole length • If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.	This is not relevant to a soil or rock sampling program.. Sample coordinate information is provided in Table 1 and on the maps included in this release.
Data Aggregation Methods	In reporting Exploration Results, weighting averaging techniques, maximum and/or minimumgrade	This is not relevant to a soil or rock sampling program.

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	truncations (eg cutting of high grades) and cut-off grades are usually Material and should be stated. Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail. The assumptions used for any reporting of metal equivalent values should be clearly stated.
Relationship Between Mineralisation Widths and Intercept Lengths	These relationships are particularly important in the reporting of Exploration Results If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported. If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (eg ‘down hole length, true width not known’).	This is not relevant to a soil or rock sampling program.
Diagrams	Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.	An appropriate plan showing the locations of the soil and rock samples, classified by results, are shown in this release.
Balanced Reporting	Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reportingof Exploration Results.	Results from all assayed soil and rock chip samples have been reported.
Other Substantive Exploration Data	Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	All relevant, new exploration data is reported in this release.
Further Work	The nature and scale of planned further work (eg tests for lateral extensions or large scale step out drilling. Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commerciallysensitive.	Follow-up infill soil sampling is planned on the permit as outlined in this release.

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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 1,200km[2] and is 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 substantial interests in a large portfolio of tenements in Côte D’Ivoire covering a total area of 4,136 km[2] .

Competent Persons Statement

The exploration results and the Exploration Target 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:

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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TENEMENT STATUS – SEPTEMBER QUARTER, 2016

Name	Number	Location	Area (sq. km)	PDI equity	Changes in holding during March Quarter, 2016
Fouli	arrêté 2014-294 /MCE/SG/DGMGC	Burkina Faso	186.2	100%	None
Tantiabongou	arrêté 2013-168 /MCE/SG/DGMGC	Burkina Faso	93.9	100%	None
Sirba	arrêté 2014-296 /MCE/SG/DGMGC	Burkina Faso	136.9	100%	None
Madyabari	arrêté 2014-295 /MCE/SG/DGMGC	Burkina Faso	171.9	100%	None
Tamfoagou	arrêté 2015- 281/MCE/SG/DGMGC)	Burkina Faso	238	100%	None
Tangagari	arrêté 2013-37 /MCE/SG/DGMGC	Burkina Faso	127.5	Earning 95%; current equity 0% (until final cash payment is made)	Renewal in progress
Bangaba	Arrete 2015-109 /MCE/SG/DGMGC	Burkina Faso	128	Earning 95%; current equity 84%	None
Kogodou South	2015- 226/MCE/SG/DGMGC	Burkina Faso	44.6	Earning 100%; current equity 0% (until final cash payment ismade)	None
Bira	2013- 33/MCE/SG/DGMGC	Burkina Faso	21	100%	None
Basieri	2013- 16/MCE/SG/DGMGC	Burkina Faso	73.5	100%	None
Kokoumbo	Mining exploration permit No. 307	Cote D'Ivoire	300	Predictive CI earning 90%. PDI now owns 49% of Predictive CI.	Reduced by 25%
Ferkessedoug ou South	Mining exploration permit No. 310	Cote D'Ivoire	290	49%	Reduced by 25%
Boundiali	Mining exploration permit No. 414	Cote D'Ivoire	399	49%	None

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Kounahiri	Mining exploration permit No. 317	Cote D'Ivoire	347	49%	None
Bassawa	Mining exploration permit	Cote D'Ivoire	400	15% beneficial interest	PDI exploration expenditure will shortly lift PDI equity to approximately 35%
Wendene	Mining exploration permit	Cote D'Ivoire	400	15% beneficial interest	PDI exploration expenditure during the March and June Quarters will shortly lift PDI equity to approximately 35%
Dabakala	Mining exploration permit application	Cote D'Ivoire	400	15% beneficial interest	New application by XMI SARL (PDI’s partner on Bassawa and Wendene permits)
Beriaboukro (Toumodi)	Mining exploration permit	Cote D'Ivoire	400	Predictive CI can earn 85% in the permit. PDI currently owns 49% of Predictive CI.	None
Ferkessedoug ou North	Mining exploration permit	Cote D'Ivoire	400	Predictive CI can earn 85% in the permit. PDI currently owns 49% of Predictive CI.	None
Odienne North	Mining exploration permit application	Cote D'Ivoire	400	Subject to it being granted, Predictive CI can earn 85% in the permit. PDI currently owns 49% of Predictive CI.	None
Odienne South	Mining exploration permit application	Cote D'Ivoire	400	Subject to it being granted, Predictive CI can earn 85% in the permit. PDI currently owns 49% of Predictive CI.	None
Cape Clear	EL 5434	Victoria, Australia	160	25%	None

28

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

+Rule 5.5

Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

Introduced 01/07/96 Origin Appendix 8 Amended 01/07/97, 01/07/98, 30/09/01, 01/06/10, 17/12/10, 01/05/13, 01/09/16

Name of entity

PREDICTIVE DISCOVERY LIMITED

ABN

11 127 171 877

Quarter ended (“current quarter”)

30 SEPTEMBER 2016

Consolidated statement of cash flows	Current quarter $A’000	Year to date (3 months) $A’000
1. Cash flows from operating activities 1.1 Receipts from customers 1.2 Payments for (a) exploration & evaluation (b) development (c) production (d) staff costs (e) administration and corporate costs 1.3 Dividends received (see note 3) 1.4 Interest received 1.5 Interest and other costs of finance paid 1.6 Income taxes paid 1.7 Research and development refunds 1.8 Other (provide details if material) 1.9 Net cash from / (used in) operating activities*	1 (220) (154) 1	1 (220) (154) 1
	(372)	(372)

• The company’s accounting policy allocates staff costs to activities and are accordingly included in items 1.2 (a) and 1.2 (e).

2. Cash flows from investing activities

• 2.1 Payments to acquire:

• (a) property, plant and equipment

• (b) tenements (see item 10)

• (c) investments

• (d) other non-current assets

• See chapter 19 for defined terms

1 September 2016

Page 1

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

Consolidated statement of cash flows	Current quarter $A’000	Year to date (3 months) $A’000
2.2 Proceeds from the disposal of: (a) property, plant and equipment (b) tenements (see item 10) (c) investments (d) other non-current assets 2.3 Cash flows from loans to other entities 2.4 Dividends received (see note 3) 2.5 Other (provide details if material) 2.6 Net cash from / (used in) investing activities
	-	-
3. Cash flows from financing activities 3.1 Proceeds from issues of shares 3.2 Proceeds from issue of convertible notes 3.3 Proceeds from exercise of share options 3.4 Transaction costs related to issues of shares, convertible notes or options 3.5 Proceeds from borrowings 3.6 Repayment of borrowings 3.7 Transaction costs related to loans and borrowings 3.8 Dividends paid 3.9 Other (provide details if material) 3.10 Net cash from / (used in) financing activities	665 (33)	665 (33)
	632	632
4. Net increase / (decrease) in cash and cash equivalents for the period 4.1 Cash and cash equivalents at beginning of period 4.2 Net cash from / (used in) operating activities (item 1.9 above) 4.3 Net cash from / (used in) investing activities (item 2.6 above) 4.4 Net cash from / (used in) financing activities (item 3.10 above) 4.5 Effect of movement in exchange rates on cash held 4.6 Cash and cash equivalents at end of period	626 (372) - 632 -	626 (372) - 632 -
	886	886

• See chapter 19 for defined terms 1 September 2016

Page 2

Appendix 5B Mining exploration entity and oil and gas exploration entity quarterly report

5. Reconciliation of cash and cash equivalents at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts	Current quarter $A’000	Previous quarter $A’000
5.1 Bank balances 5.2 Call deposits 5.3 Bank overdrafts 5.4 Other (provide details) 5.5 Cash and cash equivalents at end of quarter (should equal item 4.6 above)	426 460	426 460
	886	886
6. Payments to directors of the entity and their associates Current quarter $A'000 6.1 Aggregate amount of payments to these parties included in item 1.2 44 6.2 Aggregate amount of cash flow from loans to these parties included in item 2.3 - 6.3 Include below any explanation necessary to understand the transactions included in items 6.1 and 6.2
		Current quarter $A'000
		44
		-

Fees paid to directors

7.	Payments to related entities of the entity and their	Current quarter
	associates	$A'000
7.1	Aggregate amount of payments to these parties included in item 1.2		-
7.2	Aggregate amount of cash flow from loans to these parties included		-
	in item 2.3
7.3	Include below any explanation necessary to understand the transactions included in
	items 7.1 and 7.2

• See chapter 19 for defined terms 1 September 2016

Page 3

Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

	8. Financing facilities available Add notes as necessary for an understanding of the position Total facility amount at quarter end $A’000 Amount drawn at quarter end $A’000 8.1 Loan facilities 8.2 Credit standby arrangements 8.3 Other (please specify) 8.4 Include below a description of each facility above, including the lender, interest rate and whether it is secured or unsecured. If any additional facilities have been entered into or are proposed to be entered into after quarter end, include details of those facilities as well.	Total facility amount at quarter end $A’000	Amount drawn at quarter end $A’000

9. Estimated cash outflows for next quarter	$A’000
9.1 Exploration and evaluation 9.2 Development 9.3 Production 9.4 Staff costs 9.5 Administration and corporate costs 9.6 Other (provide details if material) 9.7 Total estimated cash outflows	140 200
	340

10. Changes in tenements (items 2.1(b) and 2.2(b) above)	Tenement reference and location	Nature of interest	Interest at beginning of quarter	Interest at end of quarter
10.1 Interests in mining tenements and petroleum tenements lapsed, relinquished or reduced	Ferkessed ougou (South) Kokoumbo	49% ownership of permit via Toro Gold JV 0% ownership of permit. Toro Gold JV (PDI 49%) earning in for 90% of permit	400km2 permit area 400km2 permit area	300km2 permit area 300km2 permit area
10.2 Interests in mining tenements and petroleum tenements acquired or increased

• See chapter 19 for defined terms 1 September 2016

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Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

Compliance statement

• 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.

• 2 This statement gives a true and fair view of the matters disclosed.

Sign here:

==> picture [102 x 61] intentionally omitted <==

Date: 31 October 2016

(Company secretary)

Print name: Eric Moore

Notes

1. The quarterly report provides a basis for informing the market how the entity’s activities have been financed for the past quarter and the effect on its cash position. An entity that wishes to disclose additional information is encouraged to do so, in a note or notes included in or attached to this report.

2. If this quarterly report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.

3. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.

4. See chapter 19 for defined terms 1 September 2016

Page 5