PTR MINERALS LTD — Capital/Financing Update 2019

Jul 1, 2019

ASX RELEASE ASX: PTR

2 July 2019

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Large Ground Position Secured over Prospective Olympic Dam Style, Copper-Gold Areas

HIGHLIGHTS

• Exploration licence applications covering 1373 km[2] , increases land holding over the eastern Mabel Creek Inlier to 2,852 km[2]

• Historical exploration demonstrates the region is fertile for Iron Oxide-Copper-Gold (IOCG) and related Copper – Rare Earth mineralisation.

• Ground gravity surveys to start mid-July ahead of planned drill testing later in the year

Petratherm Limited (“Petratherm” or “the Company”) (ASX: PTR) is pleased to announce that it has secured two licence applications (ELA 2019/069 & ELA 2019/072) over the Mabel Creek Ridge, increasing the Company’s land holdings to 2,852km[2] (Figure 1). The Mabel Creek Ridge is an ENE trending zone of shallow covered basement rock which display high magnetic and gravity relief along the eastern margin of the Gawler Craton. It’s prospective for large Olympic Dam Style Copper-Gold (IOCG) mineralised systems but is also considered highly prospective for related, magnetite skarn copper and high value rare-earths.

The new areas acquired cover a number of semi-coincident gravity and magnetic anomalies spatially associated with major crustal faults/weaknesses that may control localisation of IOCG style mineralised accumulations. No detailed ground exploration has occurred in these new tenement areas and the first step will be to undertake infill gravity surveying to define initial drill targets once the licences have been granted.

The Mabel Creek Inlier has only been lightly explored for IOCG style mineralisation, however at the Cadi Prospect (Figure 1) which is adjacent to Petratherm’s tenements, historical drilling intersected mineralised magnetiteamphibole-pyroxene rock containing significant concentrations of copper and rare earths.

Drill hole NC9202 (BHP,1992, SA Govt. Records ENV08647) contained broad zones (not true widths) of anomalous copper and the rare earths lanthanum and cerium.

44m @ 0.10% Cu, 0.5 % Ce+ La from 148m.

Goldstream Mining subsequently drilled a line of five overlapping RC holes perpendicular to the strike of the magnetic anomaly in the 1999-2000 period. Four holes intersected skarn alternation with a peak result in drill hole 99WS003 (not true width) of:

16m @ 0.57% Cu and 0.17% Ce+La from 184 m.

These results are characteristic of magnetite skarn alteration/mineralisation found in areas around Prominent Hill and other IOCG systems further to the south and provides evidence that IOCG style alteration/mineralisation continues through the region of Petrathem’s new tenement areas.

Importantly, depth of the overlying cover sediments is minimal with historical drilling, recording the top of the prospective basement, between 80 metres and 150 metres over the majority of the tenement areas, with only the eastern edge of the new holdings recording basement depths greater than 250m.

The Company has been working with Native Title Holders to complete Mining Access Agreements to allow geophysical surveying and drilling activities. This work is advanced, and access has now been granted to perform the initial gravity survey work over our eastern tenement, EL 6333, with access to western area, EL 6332, likely to granted by the end of July. Atlas Geophysics have been contracted to undertake ground gravity surveying to define and rank drill targets and this work will start mid-July. More will be reported once final survey details have been confirmed.

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----- Start of picture text ----- ELA 2019/072ELA 2019/069ELA 2019/069EL 6333ELAEL 6332 2019/069ELA 2019/072ELA 2019/072Cadi ProspectCu-REE’sCairn Hill MineFe-CuProminent HillMine Cu-Au----- End of picture text -----

Figure 1 - Location map of major IOCG related mines, and outline of the new tenement application areas overlying a regional reduced to pole aeromagnetic image (compiled from Sth. Aust. Government data).

For further information, please contact:

Peter Reid Exploration Manager Tel: (08) 8133 5000

Competent Persons Statement: The information in this report that relates to Exploration Targets and Exploration Results is based on information compiled by Mr Peter Reid, who is a Competent Person, and a Member of the Australian Institute of Geoscientists. Mr Reid is not aware of any new information or data that materially affects the historical exploration results included in this report. Mr Reid is an employee of Petratherm Ltd. Mr Reid has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Reid consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.