PREDICTIVE DISCOVERY LIMITED — Interim / Quarterly Report 2017

Jul 30, 2017

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31[st] July 2017 Quarterly Report for the Period Ending 30[th]

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ASX

Announcement

June 2017

EXPLORATION

Côte d’Ivoire - Toro Gold Joint Venture

• Boundiali Project, Nyangboue Prospect diamond drilling results including:

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

• 90m at 3.2g/t Au from 13.5m including 30m at 8.3g/t Au.

• 4.5m at 6.6g/t Au from 75m.

• 4,274m RC drilling program on Boundiali permit, Nyangboue South and Gbemou prospects, completed. Results awaited.

• Toro achieves 65% equity, PDI starts contributing 35% of expenditure.

Côte D’Ivoire – Bobosso Project

• 17 hole, 1,657 diamond drilling program, funded by Progress Minerals Inc, completed.

ASX: PDI

Issued Capital: 163 million shares

• Diamond drilling results included:

• 8.7m at 3.3g/t Au from 39.6m including 1.2m at 14.3g/t Au.

Share Price: 7.5 cents

• 17m at 1.47g/t Au from 41m including 2m at 6.95g/t Au.

• 28m at 1.00 g/t Au from 0m including 16m at 1.32g/t Au.

Market Capitalisation: $12.2m

• Hole to hole continuity of gold mineralisation demonstrated.

Burkina Faso

• Invitation to pay fees received on replacement exploration permits covering most of Predictive’s key prospects, including Bongou, Dave, Prospect 71, Tambiri and Solna.

Directors

Phillip Jackson Non-Exec Chairman

Planned September Quarter Exploration Program

Paul Roberts Managing Director

Field work is limited during the rainy season.

Côte d’Ivoire

David Kelly Non-Executive Director

• Toro JV

• Receipt of assays from RC drilling at Nyangboue South, Gbemou prospects (Boundiali) and soil sampling on Beriaboukro and Kokoumbo permits.

• Screen fire assay program on Boundiali drill samples.

• Progress-XMI JV (Bobosso) – ground magnetics program and receipt of BLEG stream geochemical results on Wendene and Bassawa permits.

Burkina Faso

• Aim to conclude agreement with incoming joint venture partners.

CORPORATE

□ $1.6M cash at 30[th] June 2017 and no debt.

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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 (Figure 1), the Company has interests in six granted exploration permits and two permit applications, totalling 2,749km[2] , which are being actively explored under the terms of a joint venture with Toro Gold Limited ( Toro ). PDI is also conducting exploration under an agreement with Progress Minerals Inc ( Progress ) and Ivoirian Company, West African Venture Investments SARL ( WAVI ), on the Bobosso Project, which covers 1,200km[2] . A further six permit applications covering 2,320km[2] were announced on 6 February 2017.

In Burkina Faso, the Company has an effective Ouagadougou-based team and a large regional tenement package in the north-east of the country covering 949km[2] (Figure 8). 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 9) which was drilled in 2016 by joint venture partner, Cape Clear Minerals Pty Ltd ( Cape Clear ).

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, Progress and Cape Clear Joint Ventures are operating well and generating significant newsflow. At the same time, the Company contunues to seek new ground on which it can undertake early stage exploration in its own right.

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 re-election in 2015, 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.

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Figure 1: Locality map showing the initial Toro JV permits (in brown), the GIV JV permits/permit applications (in blue), permits/applications covered by PDI’s agreement with XMI SARL over the Bobosso Project (red), the new wholly owned Ivoirian Resources SARL permit applications (in green) and the new, optioned Sika Resources SARL permit applications (in magenta).

TORO GOLD JV

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 (Figure 1). The Toro Joint Venture operates through Predictive Discovery Limited’s subsidiary, Predictive Cote D’Ivoire SARL ( Predictive CI ) of which Predictive now holds 35%. Toro has earned a 65% equity by spending US$3.5 million on exploration of six permits. Predictive has now commenced contributing 35% of ongoing exploration costs.

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

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

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 Nyangboue gold mineralised zone intersected in the 2016 RC drilling program.

Nyangboue Prospect

Widely spaced RC drilling on the Nyangboue Prospect in 2016 obtained a series of highly encouraging intercepts (announced to the ASX on 23/6/16, 25/7/16, 8/8/16, 12/9/16 and 13/10/16) including:

• 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

Diamond Drilling

A 1,658m diamond drilling program was completed during the March Quarter. Ten holes were drilled, most of which were designed to test the central section of the gold mineralised zone encountered in the 2016 RC drill program (Figure 2). The objectives of the program were to:

• obtain orientated core within the mineralised zone to understand the geological controls on gold mineralisation encountered in the earlier RC drill program, and

• test several geophysical and geochemical targets.

The diamond drilling was carried out by Energold and the core samples were assayed by ALS at Loughreagh in Ireland. Additional details about the program are provided in Table 1.

Cross sections through some of the holes drilled in this program are provided as Figures 3 and 4. The diamond drill hole assay results were received and reported in the June Quarter, and are provided in Table 1.

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Figure 2: RC and diamond 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, 13/10/16, 17/5/17 and 29/5/17). Gold geochemical contours are superimposed on satellite imagery.

Holes NDC007-010 were drilled in an east-south-east direction and were designed to cross cut north-west dipping gold mineralised veins observed in the first core holes at approximately right angles. In so doing, they also tested the (steeply east dipping) mineralised shear zone at an acute angle (see Figure 3). As reported previously, there is visible gold in the mineralised quartz veins and drilling in this direction may have exacerbated the grade variability (“nugget effect” – see below) that results from having relatively coarse gold. Thus, in the case of hole NDC007, an exceptional result was obtained. The three diamond drill holes to the south, however, produced results lower in grade than the earlier nearby RC holes, which may reflect the same “nugget effect” grade variability but on the down-side.

Other geological observations made in the diamond drilling program are as follows:

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• The gold mineralisation appears to be concentrated on or near a regional contact between a more massive deformed conglomerate to the west and interbedded shales, siltstones and sandstones to the east.

• Oriented core shows that the mineralised rocks are sheared with the foliation (or shear) orientation being NNE (strike) with a steep dip to the east. The gold in soil geochemical anomaly is also orientated NNE which suggests that the primary control on gold mineralisation is the shearing, especially in the area near the regional sheared contact between coarser and finer grained sediments.

• Visible gold (Figure 5) is present within or on the contact of thin quartz veins, a few of which are folded, and which generally dip moderately to the west i.e. cross cutting the shear orientation. The veins in which gold is observed are typically quite thin, up to a few centimetres wide.

• As with most mineralised systems containing visible gold, standard fire assay gold methods have generated quite variable results, a phenomenon known as the “nugget effect”. Check analyses with different methods (e.g. screen fire assays) are required and planned.

• The mineralised zones also contain disseminated sulphides (pyrite, pyrrhotite and arsenopyrite) oriented parallel to the shear orientation and some of the gold may be associated with them.

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Figure 3: Cross-section 1 showing three new diamond drill holes (NDC001-003) and including several of the better intercepts from the diamond drilling program. An interpretation of the principal mineralised zone is shown in pink shading. The cross section also shows RC drill results reported to the ASX on 23/6/16 and

15/8/16.

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Figure 4: Cross-section 2 through drill hole NDC007, showing inferred dip of gold mineralised zone based on drill core and nearest cross section to the south (see ASX release dated17/5/17).

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Figure 5: Visible gold in quartz vein in diamond drill core from Nyangboue Prospect.

Reverse Circulation Drilling Program

A reconnaissance RC drilling program, totalling 4,274m, testing the Nyangboue South and Gbemou soil geochemical anomalies (Figure 6) was completed in the June Quarter. RC samples are in the process of being prepared at Toro Gold’s sample preparation laboratory in Senegal and assayed at ALS’s laboratory in Loughrea in Ireland. Assays are awaited.

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Figure 6: Toro Gold soil sampling grid covering the Boundiali exploration permit, including the 200 x 50m infill sampling over the Gbemou and Nyangboue South gold-in-soil anomalies. The soil results on this map were reported to the ASX on 20/10/15, 23/3/16 and 2/2/17. The 6km long Nyangboue Prospect gold anomaly is also highlighted on this map. Rock chip sample locations are shown as small black triangles.

Ferkessedougou North Permit

Ferkessedougou North is located directly in northern Cote D’Ivoire directly adjacent to Burkina Faso’s southern border (Figure 1). It is the subject of an agreement between Predictive Discovery CI and local Ivoirian company, Gold Ivoire Minerals SARL. A 17km long gold-in-soil anomaly (Figure 7) has been identified on the permit (ASX releases dated 14/12/16, 2/2/17 and 28/4/17).

Additional soil sampling was carried out on the permit during the June Quarter.

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Figure 7: Location of soil samples and gold-in-soil anomalous values on satellite imagery background, Ferkessedougou North permit (reported to the ASX on 14/12/16, 2/2/17 and 28/4/17).

Kokoumbo and Beriaboukro Permits

Predictive CI is earning a 90% interest in the Kokoumbo exploration permit in southern Cote D’Ivoire (Figure 1) from an Ivoirian company, Ivoir Negoce SARL. 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.

The Beriaboukro permit is located directly south of Kokoumbo (Figure 1) and is the subject of an agreement between Predictive CI and local Ivoirian company, Gold Ivoire Minerals SARL.

Additional soil sampling was carried out on the permit during the June Quarter.

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Planned September Quarter Work Program

Field activities will be limited during the September Quarter because of the rainy season. The next drilling program is expected to commence in the December Quarter. Work during the September Quarter is expected to include:

• Re-analysis of Boundiali drill samples using screen fire assay,

• Soil sampling on the Kounahiri exploration permit,

• Planning for the December Quarter exploration program which will include aeromagnetic surveys on the Ferkessedougou North, Ferkessedougou South and Boundiali exploration permits and RC drilling on several permits.

BOBOSSO PROJECT, COTE D’IVOIRE

INTRODUCTION

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] ).

Previous exploration by Equigold, Lihir and Newcrest including a series of large drilling programs totalling 569 RC holes and 11 diamond drill holes. This obtained many gold mineralised intercepts beneath a 7km[2] gold-in-soil geochemical anomaly (ASX release dated 28/10/15) indicating the presence of a large gold mineralised system.

Geological mapping and re-logging of historical diamond drill core by Predictive staff has demonstrated that the gold mineralisation is hosted in a sequence of mafic volcanics, with lesser felsic to intermediate volcanics and minor metasediments. Gold mineralisation is found in both broad, moderate grade alteration zones (silica-sericite-carbonate-pyrite) and narrower, higher grade quartz veins.

PDI has earned a 37% equity in the Bobosso project through an agreement which was signed in October 2015 with the owner of XMI, West Africa Venture Investment ( WAVI ). More recently, Predictive and WAVI have entered into a funding agreement with Progress Minerals Inc ( Progress ) by which Progress is funding US$1 million of expenditure to earn a 30% equity in the project (ASX release dated 16/3/17). The reported diamond drilling program forms a major part of that commitment.

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

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DIAMOND DRILLING PROGRAM

A diamond drilling program, totalling 17 holes and 1657m, was completed in May 2017. It was designed to explore four small areas within the large Bobosso gold mineralised system by:

• testing for mineralisation continuity along east-west to north-east trends identified from geological mapping and geophysical surveys (see Figure 8), and

• following up several historical, high-grade gold intercepts.

The historical drilling was mostly drilled from west to east on an ESE (105⁰) azimuth. This assumed that the target mineralisation was orientated NNE. A subsequent aeromagnetic survey indicated that the mineralisation distribution was probably controlled by ENE orientated structures (Figure 2). This drill program was designed to test the validity of that concept. The bulk of drill holes in this program were therefore drilled on an azimuth of 160⁰ to test ENE striking zones dipping towards the north.

The diamond drilling was carried out by PPI and the core samples were assayed by ALS in Ghana. Additional details about the program and assay results are provided in Table 2.

Four target areas were drill tested (Figure 8):

Target Area 1

Drilling here was designed to follow-up a high-grade quartz vein mineralisation style as well as lower grade disseminated mineralisation.

Figure 9 illustrates the distribution of gold mineralised intercepts from this drill program in relation to historical drill intercepts (reported to the ASX on 28/10/15). It shows several gold mineralised zones, the most important one of which can be traced over at least 150m of strike, is open to both the west and east and dips towards the north. The figure also shows the location of two highergrade intercepts in historical holes BDD001 and BRC083 which intersected a higher-grade quartz vein style of mineralisation including 6m at 17.3g/t Au . The distribution of the latter relative to the lower grade disseminated gold mineralisation style is illustrated in Figure 10.

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Figure 8: Diamond drill target locations plotted on a map showing east-west to east-north-east structures defined by aeromagnetic data, gold mineralised historical drill holes (containing at least 2 gxm) as red dots and unmineralised holes as white dots. Note the scale of the gold mineralised system with drilling extending over 4km of strike length on multiple structures.

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Figure 9: Target 1 plan view showing results of recent diamond drilling program (in red) along with historical results in black (reported to the ASX on 28/10/15). Black dots show the centre point of each gold intercept (reported at a 0.25g/t Au cut-off grade). Holes BOBDD016 and BOBDD017 were designed to test the along strike extension of the shallow gold mineralised zone encountered in holes BOBDD001 and

BOBDD004.

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Figure 10: Cross-sectional view through Target 1 illustrating the spatial relationship between the lower grade disseminated gold mineralised style and the higher-grade quartz vein type. Results of holes BDD001 and BRC083 were reported to the ASX on 28/10/15. Note that the apparent widening of the gold mineralised zone in the near-surface is interpreted as supergene lateral re-distribution of the gold.

Target Area 2

Drilling here was designed to follow-up an area containing several high-grade quartz vein intercepts and some known artisanal workings which are also known to contain high-grade vein style mineralisation.

Figure 11 shows that one of the diamond drill holes, BOBDD007, intersected two zones of highgrade quartz vein-hosted gold mineralisation: 2.2m at 8.77g/t Au including 1.2m at 14.25g/t Au and 1.45m at 6.16g/t Au including 0.5m at 11.8g/t Au .

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Figure 11: Target 2 plan view showing results of recent diamond drilling program (in red) along with historical results in black (reported to the ASX on 28/10/15). Black dots show the centre point of each gold intercept (reported at a 0.25g/t Au cut-off grade).

Target Area 3

Drilling here was designed to confirm an apparently east-west striking and north-dipping zone of gold mineralisation. The close spaced drilling confirmed the east-west strike and north dip of a modest grade zone over a strike length of approximately 200m (Figure 12).

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Figure 12: Target 3 plan view showing results of recent diamond drilling program (in red) along with historical results in black (reported to the ASX on 28/10/15). Black dots show the centre point of each gold intercept (reported at a 0.25g/t Au cut-off grade).

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Target zone 4

Drilling here was designed to test several mineralised zones with uncertain strike orientations (either E-W or NE).

Figure 13 shows that the principal disseminated gold mineralisation zone here strikes WNW, consistent with foliation trends observed in the core, and is open to the west.

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Figure 13: Target 4 plan view showing results of recent diamond drilling program (in red) along with historical results in black (reported to the ASX on 28/10/15). Black dots show the centre point of each gold intercept (reported at a 0.25g/t Au cut-off grade).

CONCLUSIONS

This drill program has shown that:

• The predominant, disseminated gold mineralisation style can be traced from hole to hole over distances of more than 100m and, in the areas tested, strikes between NE through E- W to ESE. Foliation and occasional bedding orientations vary through the same range of strike orientations as the disseminated mineralisation, suggesting that mineralisation distribution is controlled by the structures seen in the aeromagnetic map (Figure 8).

• The mineralisation continuity demonstrated in this program will be helpful in planning future resource drill-outs over the Bobosso mineralised system.

• Given that the previous drilling is oriented very obliquely to the mineralisation strikes observed in this program, there is significant potential to find more such mineralisation, potentially in multiple parallel zones in the large gaps between the earlier drill lines. Most of the mineralisation drilled in this program is open along strike on both directions.

• The higher-grade quartz vein style appears to be less persistent along strike and will require more detailed drilling to define resources.

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NEXT STEPS

Predictive and Progress are currently reviewing the results of this drill program with a view to planning the next field program commencing after the rainy season in October. While the details of that program have not yet been decided, it is expected to include a significant RC drilling program on the Bobosso prospect along with a regional geochemical exploration program.

BURKINA FASO

The Company’s tenement holding covers 949km[2] including approximately 100km of strike length in the Samira Hill greenstone belt in eastern Burkina Faso (Figure 14). 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.

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 14: Locality map of PDI permits in eastern Burkina Faso, showing location of Bongou and other key prospects. The red polygons cover new permits for which the grant fees have been paid, and which will replace the oldest permits in the ground package. The blue polygon (formerly Fouli) is in the process of being replaced by the new Kalinga permit. The grey polygons are existing exploration permits. The background colours are geology – pale green is “greenstone” (principally mafic volcanics and sedimentary rocks), the pink is granite.

No field work was carried out in Burkina Faso during the June Quarter.

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Predictive has been working with the Burkina Faso Mines Department to renew and/or replace some of the older permits in the tenement package for the past 12 months. This has involved payment of some substantial permit renewal fees. In July, formal invitations to pay fees were received from the Minister for three of the four permits in question - Madyabari (replaced by Bongou), Sirba (replaced by Tambifwanou), Bangaba (replaced by Tambiri). The fees have now been paid; in Burkina, issue of the permit grant documents after fee payment is regarded as a formality. The fourth older permit, Fouli, is in the process of being replaced by a new permit, Kalinga.

These four permits cover the Company’s most important prospects (see Figure 14). The new permits will each have a life of nine years, giving the company ample time to advance the prospects through to feasibility and, hopefully, development.

PDI has been in active discussions with a suitable joint venture partner for over 12 months while this process of permit replacement has been going on. Now that this process is nearly complete, the Company hopes to finalise the proposed joint venture arrangements soon.

AUSTRALIA

CAPE CLEAR JOINT VENTURE (EL5434)

Introduction

Exploration Licence 5434 is located west of Ballarat in Victoria (Figure 9). 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. 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 15: 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 field work was undertaken during the Quarter.

Predictive and CCM have now revised the joint venture arrangements such that Predictive will participate in exploration of the northern portion of EL5434, which PDI regards as being more prospective, and CCM will explore the southern portion in its own right. In return for ceding its rights over the southern portion of the EL, PDI has rights to a 1% net smelter return royalty on any production from that area.

CORPORATE

Cash Position

The Company held $1,621,000 in cash at the end of the June Quarter with no debt.

The Company has commenced payments for the Toro Joint Venture including back payments for expenditure incurred by Toro above the earn-in amount of US$3.5 million in the period from midFebruary to end June. Foreshadowed expenditure in the September Quarter is therefore higher than normal.

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TABLE 1 – DRILL RESULTS – TORO BOUNDIALI DIAMOND 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
NDC001	1034885	784820	420	250.4	-60	270	75	4.5	6.59	Broader mineralised zones including some of these intervals are21m at 1.69g/t Aufrom 75m and 118.5m at 0.53g/t Au, also from 75m
NDC001	1034885	784820	420	250.4	-60	270	85.5	1.5	0.73
NDC001	1034885	784820	420	250.4	-60	270	93	3.0	1.15
NDC001	1034885	784820	420	250.4	-60	270	136.5	1.5	1.42
NDC001	1034885	784820	420	250.4	-60	270	166.5	3.0	0.72
NDC001	1034885	784820	420	250.4	-60	270	175.5	3.0	4.09
NDC001	1034885	784820	420	250.4	-60	270	192	3.0	1.64
NDC001	1034885	784820	420	250.4	-60	270	225.5	3.0	0.94
NDC002	1034885	784606	448	227.6	-60	90	19.5	1.5	2.35
NDC002	1034885	784606	448	227.6	-60	90	36	4.5	0.91	A broader mineralised interval covering some of these zones averages 87m at 0.39g/t Au from 120m.
NDC002	1034885	784606	448	227.6	-60	90	120	3.0	0.82
NDC002	1034885	784606	448	227.6	-60	90	141	1.5	2.61
NDC002	1034885	784606	448	227.6	-60	90	147	4.5	0.62
NDC002	1034885	784606	448	227.6	-60	90	168	1.5	0.88
NDC002	1034885	784606	448	227.6	-60	90	186	1.5	3.33
NDC002	1034885	784606	448	227.6	-60	90	192	3.0	0.60
NDC002	1034885	784606	448	227.6	-60	90	204	3.0	1.01
NDC003	1034901	784729	419	145.8	-60	90	19.5	1.5	1.69	A broader mineralised interval covering some of these zones averages54m at 0.69g/t from 19.5m.
NDC003	1034901	784729	419	145.8	-60	90	31.5	4.5	0.51
NDC003	1034901	784729	419	145.8	-60	90	43.5	4.5	2.91
NDC003	1034901	784729	419	145.8	-60	90	72	1.5	10.0
NDC004	1035144	784807	418	160.0	-60	135	48	1.5	0.67	"Scissor" holes testing NE oriented structure in ground magnetic data
NDC004	1035144	784807	418	160.0	-60	135	66	1.5	1.61
NDC005	1035057	784913	421	153.8	-60	315	30	3.0	1.25
NDC006	784495	1035045	421	107.65	-60	225	33	6	2.36
NDC007	784748	1035004	435	160.3	-50	110	13.5	3	1.96	All forming a broad mineralised zone of 90m at 3.16g/t Au from 13.5m. Based on the cross-sectional interpretation, the 30m intercept has a true width of 13.3m and the 90m intercept of 40m. Weathering extends to 70m down-hole, deeper than in nearby holes.
NDC007	784748	1035004	435	160.3	-50	110	22.5	1.5	4.69
NDC007	784748	1035004	435	160.3	-50	110	39	30	8.30
NDC007	784748	1035004	435	160.3	-50	110	85.5	1.5	4.25
NDC007	784748	1035004	435	160.3	-50	110	93	3	0.67
NDC007	784748	1035004	435	160.3	-50	110	102	1.5	5.11
NDC008	784676	1034782	418	145.95	-50	110	0	1.5	1.17
NDC008	784676	1034782	418	145.95	-50	110	12	1.5	4.22
NDC008	784676	1034782	418	145.95	-50	110	28.5	1.5	0.84
NDC008	784676	1034782	418	145.95	-50	110	46.5	1.5	3.40
NDC008	784676	1034782	418	145.95	-50	110	64.5	1.5	1.22
NDC009	784638	1034586	412	158.4	-50	110	0	1.5	0.85
NDC009	784638	1034586	412	158.4	-50	110	57	1.5	1.88

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NDC010	784540	1034264	406	148.3	-50	110	19.5	4.5	0.58
NDC010	784540	1034264	406	148.3	-50	110	51	1.5	0.68
NDC010	784540	1034264	406	148.3	-50	110	60	1.5	0.90
NDC010	784540	1034264	406	148.3	-50	110	64.5	1.5	0.94
NDC010	784540	1034264	406	148.3	-50	110	79.5	1.5	0.67
NDC010	784540	1034264	406	148.3	-50	110	108	1.5	1.76
NDC010	784540	1034264	406	148.3	-50	110	127.5	1.5	1.11
1True widths generally not reported because the orientation of the gold mineralisation is not yet properly understood (gold values are controlled both by the east-dipping shearing and west-dipping quartz veins. An estimate based on the interpretative cross section is given for Hole NDC007). 2Minimum grade x width interval reported of 1 g/t x m. Maximum down-hole internal waste of 3.0m apart from the broader mineralised interval reported in Comments column. All assayed in 1.5m intervals.

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 detailed information.	All of the sampling described in Table 1 refers to diamond drill holes. A representative subsample of the core was obtained by splitting or cutting the core lengthways. The assayed drill samples are judged to be representative of the rock being drilled because representative sub-sampling of the diamond core samples was achieved.
Drilling	Drill type (eg core, reverse circulation, open- hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (eg core	The drilling was carried out by diamond drilling.

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	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).
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.	Core recovery was assessed by measurement of recovered core. The Toro site geologists report that recoveries are consistently good.
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 diamond drill 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 core was cut in half. The sampled material is considered to be representative of the samples as a whole.

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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 in Ireland. 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 were prepared at Toro’s sample preparation laboratory at Mako in Senegal.
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 RC hole was twinned (BRC004) previously but no twinning was undertaken in this program. 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.
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 holes reported here are located as shown on the included locality plan. 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	Whether the orientation of sampling achieves unbiased sampling of possible structures and	All drill holes reported here were drilled approximately at right angles to the anticipated strike of the gold mineralisation.

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Geological Structure	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.
Sample Security	The measures taken to ensure sample security	The core 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 parties such 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 65%% interest in PDI Cote D’Ivoire SARL by spending US$3.5 million. Subject to an audit, this expenditure has now been achieved.
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 government geological agency.
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	All of the required data is provided in Table 1 (above).

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	should clearly explain why this is the case.
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 diamond core samples were collected and assayed in 1.5m intervals. No top cuts have been applied to the drill results. Up to 1.5m (down-hole) of internal waste is included except in the reported broader mineralised intervals were variable but sometimes large amount of internal waste were 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 gold appears to occur both in east dipping shearing and west-dipping quartz veins so it is difficult to determine at this stage, how to calculate true width. Some petrographic studies are required to help resolve this question.
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 and two cross sections showing the location of the drill holes are included in this document.
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 reporting of Exploration Results.	All intercepts containing grades above 0.5g/t Au and at least 1g/t x m with a maximum thickness of internal waste of 1.5m are reported in this release.
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	All relevant exploration data is either reported in this release or has been reported previously and is referred to in the release.

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	treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.
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 commercially sensitive.	RC drilling on nearby soil anomalies has been completed. The next phase of work will be determined after the next phase of work is completed.

TABLE 2– DRILL RESULTS – PROGRESS MINERALS JV

BOBOSSO DIAMOND DRILL PROGRAM

Hole No.	UTM 30N Easting	UTM 30N Northing	RL (m)	Hole depth (m)	Hole dip (°)	Azimuth (°)	0.25g/t Au cut-off	0.25g/t Au cut-off	0.25g/t Au cut-off	0.5g/t Au cut-off	0.5g/t Au cut-off	0.5g/t Au cut-off	Comments
							Depth from (m)	Down- hole interval (m)1	Au (g/t)2	Depth from (m)	Down- hole interval (m)1	Au (g/t)2
BOBDD001	380271	943450	279	99.1	-60	160	0	28	1.00	0	16	1.32
BOBDD001	380271	943450	279	99.1	-60	160				21	3	1.27
BOBDD001	380271	943450	279	99.1	-60	160	48	5	0.57	50	3	0.70
BOBDD001	380271	943450	279	99.1	-60	160	61	1	3.08	61	1	3.08
BOBDD002	380218	943465	283	83.0	-60	160	19	1	1.15	19	1	1.15	Hole abandoned
BOBDD002	380218	943465	283	83.0	-60	160	31	7	0.88	31	7	0.88
BOBDD002	380218	943465	283	83.0	-60	160	49	17	0.60	50	4	0.98
BOBDD002	380218	943465	283	83.0	-60	160				60	6	0.75
B0BDD003	380169	943481	281	131.2	-60	160	0	1	2.41	0	1	2.41
B0BDD003	380169	943481	281	131.2	-60	160	31	5	0.55	34	2	0.80
B0BDD003	380169	943481	281	131.2	-60	160	63	4	1.58	65	2	2.74
B0BDD003	380169	943481	281	131.2	-60	160	76	1	1.84	76	1	1.84
B0BDD003	380169	943481	281	131.2	-60	160	97	2	0.56	97	2	0.56
BOBDD004	380310	943465	278	119.0	-60	160	0	9.3	1.72	0	7.8	1.96
BOBDD004	380310	943465	278	119.0	-60	160	27	3	0.61	27	1	1.01
BOBDD004	380310	943465	278	119.0	-60	160	50	16	0.85	51.5	8.5	1.26
BOBDD004	380310	943465	278	119.0	-60	160				64	2	0.76
BOBDD005	381857	944018	302	71.0	-45	305		no	significant result
BOBDD006	381866	944022	302	62.0	-60	340	0	2.1	1.92	0	2.1	1.92
BOBDD006	381866	944022	302	62.0	-60	340	16	2	1.17	16	2	1.17
BOBDD007	381785	944015	300	107.2	-60	340	39.6	2.2	8.77	39.6	2.2	8.77	Broader intercept of 8.65m at 3.29g/t Au including 1.2m at
BOBDD007	381785	944015	300	107.2	-60	340	46.8	1.45	6.17	46.8	1.45	6.17

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													14.3 g/t Auand 0.5m at 11.8g/t Au
BOBDD008	379289	943491	275	83.3	-60	160	42	6	0.85	43	5	0.95
BOBDD008	379289	943491	275	83.3	-60	160	8	4	0.44
BOBDD009	379248	943489	270	95.8	-60	160	36	9	1.55	36	9	1.55
BOBDD009	379248	943489	270	95.8	-60	160	83	5	0.28
BOBDD009	379248	943489	270	95.8	-60	160	91.1	1.9	1.67	91.1	1.9	1.67
BOBDD010	379207	943497	267	80.8	-60	160	0	1	1.68	0	1	1.68
BOBDD010	379207	943497	267	80.8	-60	160	17	12	0.77	18	6	1.09
BOBDD010	379207	943497	267	80.8	-60	160				28	1	1.71
BOBDD011	379168	943503	266	83.3	-60	160	22	4	0.81	24	2	1.30
BOBDD011	379168	943503	266	83.3	-60	160	45.2	0.9	2.84	45.2	0.9	2.84	Broader intercept of 10.8m at 1.16g/t Au, including 1m at 7.63g/t Au
BOBDD011	379168	943503	266	83.3	-60	160	54	2	4.64	54	2	4.64
BOBDD011	379168	943503	266	83.3	-60	160	62	3	0.39
BOBDD012	379085	943501	263	83.8	-60	160	0	1	2.10	0	1	2.10	Broader intercept of 12.5m at 1.05g/t Au
BOBDD012	379085	943501	263	83.8	-60	160	5.5	7	1.51	7.5	5	1.96
BOBDD012	379085	943501	263	83.8	-60	160	50	4	0.74	50	4	0.74
BOBDD013	378465	943318	254	101.0	-60	160	41	17	1.47	41	5	3.77	Includes 2m at 6.95g/t Au
BOBDD013	378465	943318	254	101.0	-60	160				51	2	1.25
BOBDD014	378457	943369	251	113.5	-60	160	92	19	0.63	106	5	1.09
BOBDD015	378422	943342	252	120.5	-60	160	77	13.5	1.36	77	13.5	1.36
BOBDD016	380321	943495	280	120.6	-60	160	0	2	0.59	0	2	0.59
BOBDD016	380321	943495	280	120.6	-60	160	6	2	0.91	6	2	0.91
BOBDD016	380321	943495	280	120.6	-60	160	13	1	1.19	13	1	1.19
BOBDD016	380321	943495	280	120.6	-60	160	23	11	0.96	23	11	0.96
BOBDD016	380321	943495	280	120.6	-60	160	51	1	1.68	51	1	1.68
BOBDD016	380321	943495	280	120.6	-60	160	65	1	3.66	65	1	3.66
BOBDD016	380321	943495	280	120.6	-60	160	112	4	2.42	112	4	2.42	Includes 1m at 7.33g/t Au
BOBDD017	380335	943536	278	101.5	-60	160	0	1.1	1.61	0	1.1	1.61
BOBDD017	380335	943536	278	101.5	-60	160	63	8	0.39
BOBDD017	380335	943536	278	101.5	-60	160	75	8	0.73	76	7	0.77
1True widths generally not reported because the orientation of the gold mineralisation is not yet properly understood. 2Minimum grade x width interval reported of 1 g/t x m. Maximum down-hole internal waste of 3.0m apart from the broader mineralised interval reported in Comments column.

Section 1: Sampling Techniques and Data

JORC Code Criteria Commentary Explanation Sampling All of the sampling described in Table 1 refers to diamond Technique Nature and quality of drill holes. sampling (eg cut channels, random chips, or specific A representative subsample of the core was obtained by specialised industry standard splitting or cutting the core lengthways. measurement tools appropriate to the minerals under investigation, such as

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	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 assayed drill samples are judged to be representative of the rock being drilled because representative sub- sampling of the diamond core 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, by what method, etc).	The drilling was carried out by the core drilling method.
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.	Core recovery was assessed by measurement of recovered core. The geologists on site reported that recoveries are consistently good.
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.	Logging of diamond drill 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.

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	The total length and percentage of the relevant intersections logged.
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 core was cut in half lengthways. 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 Ghana. At the lab, regular assay repeats, lab standards, checks and blanks were inserted and analysed. Unlabelled standards (Certified Reference Materials) and blanks were also inserted by team members on site at Bobosso. Samples were prepared at ALS’s sample preparation laboratory at Yamoussoukro in Cote D’Ivoire.

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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	No twinning was undertaken in this program. Field data collection was undertaken by site geologists and supervised by Predictive and Progress 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 30 North.
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 holes reported here were drilled as shown on the included locality plans. 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 gold mineralisation.
Sample Security	The measures taken to ensure sample security	The core samples are currently stored securely in a rented shed close to the Bobosso field camp site.
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 Wendene exploration permit (on which the Bobosso prospect is located) was granted to XMI SARL in December 2015. Currently, Predictive Discovery Limited holds 37% and West Africa Mine Investment (WAVI) holds 63%. Progress Minerals Inc is earning 30% by expenditure of $US1 million on exploration. Once this expenditure is complete, Progress will hold 30%, Predictive 30% and WAVI 40%.

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	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.
Exploration Done by Other Parties	Acknowledgment and appraisal of exploration by other parties.	A substantial amount of exploration was carried out by Equigold and Lihir Gold Limited. This work has been acknowledged and the historical drill results reported to the ASX on 20/1015.
Geology	Deposit type, geological setting and style of mineralisation.	The geology of the Bobosso permit consists of mafic volcanics and intrusives, metasediments, felsic volcanics and intrusives. The target deposit is type is “orogenic gold”.
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 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.	Diamond core samples were typically cut and assayed in 1m intervals, however more selective sampling was performed on more specific features of interest such as quartz veins. No top cuts have been applied to the drill results. Up to 3m (down-hole) of internal waste is included except in the reported broader mineralised intervals where variable but sometimes large amount of internal waste are 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	True widths have generally not yet been estimated as these will be guided by a 3D interpretation of the drill results which is still in progress.

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	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’).
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.	Appropriate plans and a representative cross section are included 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 reporting of Exploration Results.	Intercepts are reported at 0.25g/t Au and 0.5g/t Au cutoffs and containing at least 1g/t x m with a maximum thickness of internal waste of 3m.
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 exploration data is either reported in this release or has been reported previously and is referred to in the 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 commercially sensitive.	A program of follow-up RC drilling and regional geochemical exploration is currently under consideration.

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] .

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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 – JUNE QUARTER, 2017

Name	Number	Location	Area (sq. km)	PDI equity	Changes in holding during June Quarter, 2017
Kalinga (formerly Fouli)	New permit grant awaited	Burkina Faso	186	100%	Fouli surrendered, new Kalinga permit application accepted
Tantiabongou	arrêté 2017-054 /MCE/SG/DGMGC	Burkina Faso	50	100%	Special renewal granted
Tambifwanou (formerly Sirba)	New permit grant awaited	Burkina Faso	136	100%	Invitation to pay fees for the new permit has been received and fees have been paid.
Bongou (formerly Madyabari)	New permit grant awaited	Burkina Faso	171	100%	Invitation to pay fees for the new permit has been received and fees have been paid.
Tamfoagou	arrêté 2015- 281/MCE/SG/DGMGC)	Burkina Faso	87	100%	Renewal in progress.
Tangagari	arrêté 2013-37 /MCE/SG/DGMGC	Burkina Faso	94	Earning 95%; current equity 0% (until final cash payment is made)	Renewal in progress
Tambiri (formerly Bangaba)	New permit grant awaited	Burkina Faso	127	Earning 95%; current equity 84%	Invitation to pay fees for the new permit has been received and fees have been paid.
Bira	2016- 129/MCE/SG/DGMGC	Burkina Faso	12	100%	None
Basieri	2017- 117/MCE/SG/DGMGC	Burkina Faso	86	100%	Invitation to pay fees for the renewal has been received and fees have been paid.
Kokoumbo	Mining exploration permit No. 307	Cote D'Ivoire	300	Predictive CI earning 90%. PDI now owns 35% of Predictive CI.	None
Ferkessedoug ou South	Mining exploration permit No. 310	Cote D'Ivoire	290	35%	None
Boundiali	Mining exploration permit No. 414	Cote D'Ivoire	299	35%	None

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Kounahiri	Mining exploration permit No. 317	Cote D'Ivoire	260	35%	None
Bassawa	Mining exploration permit	Cote D'Ivoire	400	37% beneficial interest	Equity increased from 15% to 37%
Wendene	Mining exploration permit	Cote D'Ivoire	400	37% beneficial interest	Equity increased from 15% to 37%
Dabakala	Mining exploration permit application	Cote D'Ivoire	400	37% beneficial interest	Equity increased from 15% to 37%
Beriaboukro (Toumodi)	Mining exploration permit	Cote D'Ivoire	400	Predictive CI can earn 85% in the permit. PDI currently owns 35% 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 35% 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 35% 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 35% of Predictive CI.	None
Cape Clear	EL 5434	Victoria, Australia	160	25%	None

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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

Quarter ended (“current quarter”)

11 127 171 877 30 JUNE 2017

Consolidated statement of cash flows	Current quarter $A’000	Year to date (12 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	- (205) (252) 13	1 (934) (956) 34
	(444)	(1,855)

*A re-allocation of $183k from exploration to admin was made to expenditure for six months to 31 December.

**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. Cash flows from investing activities 2.1 Payments to acquire: (a) property, plant and equipment (b) tenements (see item 10)	2. Cash flows from investing activities 2.1 Payments to acquire: (a) property, plant and equipment (b) tenements (see item 10)
	2.1 Payments to acquire: (a) property, plant and equipment (b) tenements (see item 10)	-	(5)

• 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

Consolidated statement of cash flows	Current quarter $A’000	Year to date (12 months) $A’000
(c) investments (d) other non-current assets 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
	-	(5)
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	- -	3,049 (194)
	-	2,855
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)	2,065 (444) - -	626 (1,855) (5) 2,855

• 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

Consolidated statement of cash flows	Current quarter $A’000	Year to date (12 months) $A’000
4.5 Effect of movement in exchange rates on cash held 4.6 Cash and cash equivalents at end of period	-	-
	1,621	1,621
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)	1,485 136	480 1,585
	1,621	2,065
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 70 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
		70
		-

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

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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

8.1 Loan facilities 8.2 Credit standby arrangements 8.3 Other (please specify)

Total facility amount at quarter end $A’000	Amount drawn at quarter end $A’000

• 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.

9. Estimated cash outflows for next quarter $A’000 9.1 Exploration and evaluation 700 9.2 Development 9.3 Production 9.4 Staff costs 9.5 Administration and corporate costs 180 9.6 Other (provide details if material) 9.7 Total estimated cash outflows 880

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
10.2 Interests in mining tenements and petroleum tenements acquired or increased	Kokoumbo, Boundiali, Ferkessedougou and Kounahiri exploration permits Beriaboukro and Ferkessedougou North permits, Cote D’Ivoire	All held by Predictive Discovery Cote D’Ivoire SARL (Predictive CI)and subject to Joint Venture with Toro Gold Limited Two granted permits subject to a new Joint Venture signed with Predictive CI in which Predictive CI has a right to earn 85%	49% 41.7%	35% 29.7%

• 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.

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Sign here: Date: 31 July 2017

(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

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