RTG Mining Inc. — Capital/Financing Update 2016

Mar 17, 2016

Level 2, 338 Barker Road Subiaco WA 6008 Phone: +61 8 6489 2900 www.rtgmining.com

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ABN: 70 164 362 850

RTG ANNOUNCES COMPLETION OF FEASIBILITY STUDY FOR THE MABILO COPPER‐GOLD PROJECT

Supports Robust New Development Project even at current lower Commodity Prices 33% IRR After Tax

Lowest quartile costs with US$0.42/lb Cu Eq and US$224/oz Au Eq for DSO and US$0.80/lb Cu Eq and US$425/oz Au Eq for Concentrate Production

33% Increase in NPV approx. with only 10% Lift in Commodity Prices

Probable Reserves at

5.26 g/t Au Equivalent Grade (before recoveries) or

4.1% Cu Equivalent Grade (before recoveries)

18 March 2016

RTG Mining Inc. (“RTG”, the “Company”) (TSX Code: RTG, ASX Code: RTG) is pleased to announce the results from an independent Feasibility Study (“FS”) for 100% of the high grade Mabilo Copper/Gold Project (the “Project”) in southeast Luzon, Philippines. The Feasibility Study demonstrates the potential for Mabilo to outperform, specifically reinforcing the resilience of the Project despite current commodity prices. The Project is both high grade and low cost underpinning the robust economics presented in the FS including a 33% IRR after tax (43.6% with only a 10% lift in commodity prices) and an equivalent operating cost of US$0.80/lb copper equivalent or US$425/oz gold equivalent for concentrate production.

“RTG targets high grade, low operating cost gold projects with low technical and project risk,” said Justine Magee, CEO, RTG Mining. “Since investing in the Mabilo Project in June 2014, the Company has added significant value through rapid and successful exploration to delineate a substantial resource (see November 11, 2015 press release), and again in maintaining this accelerated pace through to a full FS in less than 15 months from the maiden resource.

The high quality resource at Mabilo presents RTG with an excellent near term development opportunity that is financially robust, attractive to potential debt providers, and with additional drilling the resource is expected to grow further, which will only enhance the already strong financials. We look forward to first production and to bringing continued value to our shareholders.”

The Mabilo Project is a joint venture between Mt. Labo Exploration and Development Corporation (“Mt. Labo”) and Galeo Equipment Corporation in the Philippines.

MABILO 1.35 Mtpa CASE HIGHLIGHTS*

A Robust New Development Opportunity

Probable Mineral Reserves:	7.792Mt @ 2.04 g/t Au, 1.95% Cu, 8.79 g/t Ag, 45.5% Fe
	Containing 1.3Moz Au equivalent at 5.26 g/t (before recoveries)
	Containing 316Kt Cu equivalent at 4.1% (before recoveries)
IRR (after tax):	33.4% (US$5000/t Cu, US$1200/oz Au and US$50/t Fe)
Payback for Plant:	2.5 years
DSO Capex:	US$17.4M
DSO Opex	US$0.42/lb Cu equivalent
	US$224/oz Au equivalent
DSO Production	25,000t of Cu and 39,000oz Au
	34,700t of Cu equivalent
	144,000oz of Au equivalent
Plant Capex	US$161.4M (includes US$14.8M of recoverable VAT)
Plant Pre‐strip	US$24.4M (includes US$2.6M of recoverable VAT)
Plant Opex:	$0.80/lb Cu equivalent
	$425/oz Au equivalent
Plant Annual Production	38,300t Cu equivalent
Contained Metal:	160,000oz Au equivalent

*The FS is based on a treatment rate of 1Mtpa. A treatment rate of 1.35Mtpa was also considered in an upside case. Factored indicative capital and operating cost estimates were developed for a planned throughput of 1.35 Mtpa.

DEVELOPMENT SCHEDULE

Optimized Approach to Maximize Returns at Mabilo

Project implementation is planned to be executed in two key stages. Stage 1 is intended to minimize initial capital requirements through a Direct Shipping Ore (“DSO”) Operation of an exceptionally high grade, near surface oxide portion of the Mabilo Resource. By utilization of existing infrastructure within easy transport of the Project, the joint venture is able to defer the more capital intensive components of primary production. The early cash flow generated by the DSO should then also minimize any possible equity dilution in the financing of the Stage 2 Primary Production Plant.

Stage 1 will mine the oxide ore down to 30 Relative Level (95m below surface). Three main products will be produced from this oxide mining stage.

• Gold cap ore will be crushed on site and trucked to a nearby existing CIL processing plant. The plant is planned to be upgraded to 300,000tpa throughput and will likely be operated by the Mabilo Joint Venture personnel.

• Both oxide skarn and high‐grade supergene chalcocite will be crushed on site with a plan to truck to the existing Larup Port, within 40km, for direct shipping.

Stage 2 of the operation involves processing of primary ore through a purpose‐built plant on site. The Mabilo process plant is planned to be built in parallel with the oxide mining phase and Stage 2 permitting process. The processing plant will be a simple crush, grind, float plant with low technical risk, producing three concentrates for sale and is estimated to require approximately 15 months for construction.

Both mining stages are financially robust with the DSO enabling start up and early generation of cash flow within 4‐5 months of finalizing the DSO operating permits . The capital expenditure required for the DSO is relatively nominal at approximately US$18M and is capable of generating net operating cash flow after tax in the order of US$ 68M (based on US$5,000/t Cu, US$1,200/oz Au and US$50/t Fe).

Mt. Labo is currently in the final stages of obtaining the necessary operating permits for the first stage of production with timing ultimately dependent on the regulatory processes in the Philippines. The Company is also in discussions with potential debt financiers for the project development.

MABILO FEASIBILITY ECONOMICS (AFTER‐TAX)

Highly Sensitive to Both a Growth in Commodity Prices and Resources

The robust feasibility results provide the foundation to grow the Project while generating early cashflows. Mabilo is highly sensitive to both a growth in commodity prices and resources. The 1.35Mtpa case project IRR escalates from 33% to 43.5%* with only a 10% increase in commodity price assumptions. The FS, compiled by Lycopodium Minerals Pty Ltd (“Lycopodium”), is based on the inputs from a number of consultants and the Mabilo

Joint Venture (“MJV”) including Lycopodium, CSA Global Pty Ltd, Orelogy Consultants Pty Ltd, Orway Mineral Consultants Pty Ltd, Knight Piesold Pty Ltd and Conrad Partners Limited.

	1 Mtpa Case	1.35Mtpa Case	10% Increase in Commodity Prices to 1.35 Mtpa	20% Increase in Commodity Prices to 1.35 Mtpa
Financial Analysis*
IRR	26.09%	33.45%	43.62%	56.29%
NPV 0% 5% 8%	US$197M US$126M US$96M	US$223M US$156M US$125M	US$285M 28% Increase US$207M 33% Increase US$171M 37% Increase	US$361M 63% Increase US$269M 72% Increase US$226M 81% Increase
Payback for Plant(Years)	2.5	2.5	2.42	2.25

*All the economics, including calculations of equivalent estimates referred to in this announcement are based on the following commodity price assumptions: US$5000/t Cu, US$1200/oz Au and US$50/t 62% Fe. The FS is based on a 1 Mtpa plant base case. Factored indicative capital and operating cost estimates were developed for a planned throughput of 1.35 Mtpa.

Separately, there remains significant upside in the Project from both extensions to the North Mineralised Zone and Inferred Resources contained within the pit. 41% of the 3.91Mt Inferred Resource falls within the final design of the pit, representing 1.61Mt at 1.22% Cu and 1.21g/t Au that could provide near term potential to significantly grow the resource. The pit optimization study shows that an increase in shell size by 19% results in a 24% increase in undiscounted cashflows.

OVERVIEW OF PLANNED OPERATIONS

Producing 3 High Quality Concentrates Through the Plant

The FS on the construction and operation of the plant forms the basis for the life of mine plan, which incorporates both the Stage 1 mining and DSO on the oxide ore and the Stage 2 development of a processing plant for the primary ore. The primary plant will include a simple crush, grind, float facility with thickening and filtration to produce 3 high quality concentrates. The plant produces the following three (3) high‐grade products:

• 27% Cu and 21g/t Au concentrate

• 3g/t Au pyrite concentrate

• 65% magnetite concentrate

The FS is based on a treatment rate of 1 Mtpa. A factored case at a treatment rate of 1.35 Mtpa was also considered by applying a factor of 7.3% to the capital costs. Given the planned operating throughput is likely based on the 1.35Mtpa case, sensitivity modeling for the 1.35 Mtpa case is shown below indicating strong operating and economic results:

	1.35Mtpa Case*	10% Increase in Commodity Prices*	20% Increase in Commodity Prices*
Oxide/DSO
Capex	US$17.4M
Cu Produced	25,000 t
Au Produced	39,000 oz
CuEq Produced**	34,700 t
AuEq Produced**	144,000 oz
Net Operating Cashflow before Tax	US$95M	US$110M	US$125M
Net Operating Cashflow after Tax	US$68M	US$78M	US$88M
Average Costs
Per Tonne	US$62
Per CuEq	US$0.42/lb
Per AuEq	US$224/oz
	Primary/Plant Operation
Capex	US$161.37M
	(includes US$14.8M of recoverable VAT)
Pre‐ strip for Stage 2	US$24.37
	(includes US$2.6M of recoverable VAT)
Contained Metal in Average Annual Production
Cu	18,300 t
Au	67,000 oz
Fe	347,000 t
CuEq**	38,300 t
AuEq**	160,000 oz
Ave Annual Net Operating Cashflow before Tax	US$72.9M	US$84M	US$97M
Ave Annual Net Operating Cashflow after Tax	US$51.8M	US$58M	US$67M
Average Costs
Per Tonne	US$54/t
Per CuEq	US$0.80/lb
Per Au Eq	US$425/oz

Production Metrics for Stage 2	Production Metrics for Stage 2	Production Metrics for Stage 2
Mining
Pre‐strip	Mt	18
Average MiningRate	Tpd	28,400
Average Mine Production	Mtpa	10.4
Total Material Mined	Mt	80.4
Overall StripRatio	W:O	10
Processing
DailyMill Throughput	Tpd	3,700
Annual Mill Throughput	Tpa	1,350,000
Production
Average Annual Cu/Au Con Produced	Tpa	64,900
Average Annual Pyrite Con Produced	Tpa	219,000
Average Annual Magnetite Con Produced	Tpa	534,000
Recoveries
Gold Recoveries in Cu/Au Con	%	55.1
Gold Recoveries in Pyrite Con	%	29.8
Copper Recoveries	%	83.7
Silver Recoveries	%	60.7
Iron Recoveries	%	60.7
Payables/NSR ‐ DSO
Gold CapOre	%	100
Copper in Oxide Skarn	%	30
Gold in Chalcocite	%	75
Copper in Chalcocite	%	74
Payables/NSR ‐ Plant
Copper in Cu/Au Concentrate	%	87
Gold in Cu/Au Concentrate	%	91
Gold in Pyrite Concentrate	%	50
Silver in Cu/Au Concentrate	%	83
Iron in Magnetite Concentrate	%	100

*All the economics, including calculations of equivalent estimates referred to in this announcement are based on the following commodity price assumptions: US$5000/t Cu, US$1200/oz Au and US$50/t 62% Fe. The FS is based on a 1 Mtpa plant base case. Factored indicative capital and operating cost estimates were developed for a planned throughput of 1.35 Mtpa.

** The Copper equivalent tonnes and gold equivalent ounces are based on the following formulas – CuEq = (Cu produced/contained$5000) + (Au produced/contained$1200+ (Any Contained Fe metal produced $50))/$5000 AuEq = (Cu produced/contained$5000) + (Au produced/contained$1200+ (Any Contained Fe metal produced $50))/$1200

MINERAL RESERVES

March 2016 Mineral Reserve Estimate

The Probable Reserve represents an equivalent gold grade for the reserves of 5.26 g/t (before recoveries) containing 1.32 Moz of equivalent gold or an equivalent copper grade of 4.1% (before recoveries) containing 316Kt of equivalent copper** .

		Probable Mineral Reserve Estimate
		Ore					Waste	Strip Ratio
Class	Type	Mt	Fe %	Au g/t	Cu %	Ag **g/t **	Mt
Probable	Gold Cap Supergene Oxide Skarn Fresh	0.351 40.1 3.11 0.38 3.26 0.104 36.5 2.20 20.7 11.9 0.182 43.6 2.52 4.17 19.9 7.155 45.9 1.97 1.70 8.73					77.713	10.0
Total Probable Ore		7.792 45.5 2.04 1.95 8.79

The gold equivalent grade is based on the following formula – _AuEq=((((AuOz$1,200)+(CuMetal$5,000)+(FeMetal$50)+ (AgOz$14)) / $1,200)/Total ore tonnes)_ The copper equivalent grade is based on the following formula – _CuEq=((((AuOz$1,200)+(CuMetal$5,000)+(FeMetal$50)+ (AgOz*$14)) / $5,000)/Total ore tonnes)_

The November 2015 resource estimation provided by CSA Global Pty Ltd classified the resource for the Mabilo Project as Indicated and Inferred. Only Indicated Mineral Resources as defined in NI 43‐101 were used to establish the Probable Mineral Reserves. No reserves were categorized as Proven.

Application of edge dilution and ore loss to the resource model resulted in a 4% increase in the mining model tonnages and a 5% decrease in gold, copper and silver grades. This mining model was used in all mine planning activities, including pit optimization, mine design and mine scheduling.

Mineral Reserves are quoted within specific pit designs based on indicated resources only and take into consideration the mining, processing, metallurgical, economic and infrastructure modifying factors.

MINERAL RESOURCE ESTIMATE

CSA Global has completed two resource estimates for the Mabilo Project, the first in November 2014 and the second in November 2015. The November 2015 resource was an update of the November 2014 estimate based on infill drilling and formed the basis of the DFS. All resource estimation technical reports were completed in compliance with NI 43‐ 101, JORC and CIM standards. There has been no additional drilling on the deposit since the release of the last resource.

Mineral Resource Estimate as at November 2015 for the Mabilo Project	Mineral Resource Estimate as at November 2015 for the Mabilo Project	Mineral Resource Estimate as at November 2015 for the Mabilo Project	Mineral Resource Estimate as at November 2015 for the Mabilo Project	Mineral Resource Estimate as at November 2015 for the Mabilo Project	Mineral Resource Estimate as at November 2015 for the Mabilo Project	Mineral Resource Estimate as at November 2015 for the Mabilo Project	Mineral Resource Estimate as at November 2015 for the Mabilo Project	Mineral Resource Estimate as at November 2015 for the Mabilo Project	Mineral Resource Estimate as at November 2015 for the Mabilo Project
Weathering State	Classification	Million Tonnes	Cu %	Au g/t	Ag g/t	Fe %	Cu Metal (Kt)	Au Oz ('000s)	Fe Metal (Kt)
Oxide + Supergene	Indicated	0.78	4.1	2.7	9.7	41.2	32.1	67.1	320.8
	Inferred	0.05	7.8	2.3	9.6	26	3.7	3.5	12.3
Fresh	Indicated	8.08	1.7	2	9.8	46	137.7	510.5	3,713.70
	Inferred	3.86	1.4	1.5	9.1	29.1	53.3	181.5	1,121.80
Combined	Indicated (Total)	8.86	1.9	2	9.8	45.6	169.8	577.6	4,034.50
Combined	Inferred (Total)	3.91	1.5	1.5	9.1	29	57	184.9	1,134.10
Note: Differences may occur due to rounding. All elements reported as total estimated in‐situ for blocks above 0.3 g/t Au lower cut‐off, no recovery factors have been considered. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.

CAPITAL COSTS

2‐Stage Development: Overall Low Capital Costs

The capital cost estimates were derived from first principles for the 1 Mtpa process plant to an accuracy of +/‐ 15% and then the capital cost estimates were factored with an accuracy of +/‐ 25% for the 1.35 Mtpa process plant.

The capital costs for the Project will be required in two tranches. The first tranche will be prior to oxide mining commencing. The second tranche is planned to coincide with the development and construction schedule associated with Stage 2 of the Project.

Cost Area	**Stage 1 ‐DSO US$M **
Direct
Pre‐Strip	3.30
Mobilisation	0.66
Site Preparation,Roads and Environment	3.65
Port	0.30
Buildings and Equipment	0.55
MiningFacilities	1.40
Upgrade Apex CIL Plant	0.71
Direct Works Subtotal	10.57
Indirect
Land Acquisition	5.62
Contingency	1.16
Indirect Subtotal	6.78
TOTAL OXIDE MINING CAPITAL COSTS	17.35

Cost Area	Stage 2 – Primary Plant **US$M **
Direct
Treatment Plant	57.41
Infrastructure,Roads and Port	31.86
Pit DewateringBores	1.28
Management Costs	12.67
Direct Works Subtotal	103.22
Indirect
Project Indirects	11.49
Owners Costs	13.21
Land Acquisition	4.60
Contingency	14.02
Value Added Tax	14.83
Indirect Subtotal	58.16
TOTAL PRIMARY PLANT CAPITAL COSTS	161.37

OPERATING COSTS

Mabilo is Open Pit, High Grade & Low Cost

The operating cost estimates were derived from first principles for the 1Mtpa process plant and then plant costs were factored with an accuracy of +/‐ 25% for the 1.35Mtpa operating scenario. All costs are in 2015 US dollars. The mining costs were derived from IMC’s Mabilo Mine Operating Cost Estimate Report, which were then reviewed by Orelogy Consulting. The costs are based on a contract mining operation with bench rates ($/bcm), ore rehandle rates ($/t), grade control and dump rehabilitation plus annual fixed mining overheads.

Process plant operating costs for the 1.0Mtpa FS base case were compiled from information sourced by Lycopodium and the MJV:

• Manning levels and pay rates advised by MJV to suit the proposed process plant unit operations and plant throughput.

• Consumable prices from supplier budget quotations and the Lycopodium database.

• Flotation reagent consumption and metal / concentrate recoveries based on laboratory test work results and the mining schedule.

• Modelling by Orway Mineral Consultants for crushing and grinding energy and consumables, based on ore characteristics derived from relevant test work.

• First principle estimates, where required, based on typical operating experience or standard industry practice.

• Benchmarking within the Philippines and comparison with costs at other similar operations.

Processing costs for the 1.35Mtpa upside case were then factored from the FS base case.

The process plant availability has been nominated as 91.3% for milling and downstream operations and 80% for the crushing plant including scheduled and unscheduled maintenance. The product filters will operate in a semi batch mode and a lower operating availability of 75%.

G&A costs were based on current operations in the Philippines and amended to account for the size of the operation and people employed.

	Stage 1 ‐ DSO	Stage 2 – Primary Plant
Average Operating Costs
Mining US$/t mined(includespre‐strip costs)	1.57	1.49
MiningUS$/t ore(excludespre‐stripcosts)	7.49	14.09
ProcessingUS$/t ore	41.26	32.14
G&A US$/t ore	6.89	7.65
Total Operating Cost US$/t ore	61.91	53.89

MINING

Mining is planned to be conducted using open pit methods. The ore is to be accessed in a series of stages. The stage designs were generated in order to enhance the scheduling process aiming to defer waste mining as much as practically possible and to bring forward higher‐grade ores. Five (5) meter high benches have been used, given the scale of the operation and the equipment planned for the mining operation. A bench height of 5m mined in two 2½m flitches results in acceptable dilution and ore loss projections. A mining contractor is assumed for both pre‐production and the ongoing development of the mine.

There are three distinct different loading and hauling situations that require different fleets:

• Pioneering and Pit Development ‐ Pioneering and pit development will be undertaken by 100t excavators (Komatsu PC 1250) and 40t articulated 6WD trucks (Caterpillar 745).

• Ore and Waste Mining ‐ The main fleet for the ore and waste mining activities consists of 100t excavators and 55t rigid haul trucks (Caterpillar 773).

• Bulk Waste Mining ‐ A 200t excavator (Komatsu PC 2000) and a fleet of 90t haul trucks (Caterpillar 777) will be used to undertake waste stripping of the last two cutbacks.

Free digging is expected in all oxide materials while fresh rock materials are broken and loosened with drilling and blasting.

METALLURGY AND PROCESSING

The proposed process plant design for the Mabilo Project is based on a robust metallurgical flowsheet designed for optimum recovery with minimum operating costs, based on an initial 1Mtpa throughput, and then upgraded and optimized for a planned 1.35Mtpa

throughput. The flowsheet is constructed from unit operations that are well proven in industry.

The treatment plant design incorporates the following unit process operations:

• Single stage open circuit primary crushing to produce a crushed product size of 80% passing (P80) 120 mm.

• A crushed ore surge bin with a nominal capacity of 120t. Surge bin overflow will be conveyed to a dead stockpile of 20,000 tonnes. Ore from the dead stockpile will be reclaimed by front‐end loader (“FEL”) to feed the mill during periods when the crushing circuit is off‐line.

• Grinding of ore in a SAG mill circuit in closed circuit with hydrocyclones to produce a P80 grind size of 90 µm.

• Bulk sulphide flotation to recover copper sulphides and gold bearing pyrite.

• Two‐stage cleaner flotation to recover copper sulphides into a copper concentrate and pyrite into a product for sale.

• Concentrate thickening and pressure filtration to produce a copper concentrate filter cake.

• Pyrite thickening and pressure filtration to produce a pyrite concentrate filter cake.

• Magnetic separation of the bulk sulphide tails to recover magnetite into concentrate.

• Concentrate thickening and pressure filtration to produce a magnetite concentrate filter cake.

• Combined tailings pumping to the tailings storage facility (“TSF”).

• A planned flowsheet for the process is shown below.

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Ultimately, the ability to develop and progress the plans as considered in the FS are dependent upon many factors including the ability to secure the necessary permits, working successfully with local communities and governments, securing all necessary surface rights and the support of the Philippine regulatory bodies and our partners.

MARKETING AGREEMENT & DEBT FINANCING

Underway with Positive Progress to Date

Mt. Labo has appointed Conrad Partners, based in Hong Kong, as its agent for the marketing of offtake for both Stage 1, the planned DSO and Stage 2, namely the production of three high grade concentrate products. Conrad Partners has completed a full marketing report for the FS, based on discussions with potential offtake parties and has provided the underlying assumptions used in the compilation of the Life of Mine Financial Model based on the FS results.

RTG is in discussions with a number of potential debt financiers for the Project including both traditional bank debt, derivative instruments and notes and offtake linked facilities. The feedback and progress on the financing has been very positive to date and with the completion of the Feasibility Study, the Company will be able to further advance those discussions with a view to finalizing a mandate with a preferred provider.

ABOUT RTG MINING INC

RTG Mining Inc. is a mining and exploration company listed on the main board of the Toronto Stock Exchange and Australian Securities Exchange Limited. RTG is focused on developing the high‐grade copper/gold/magnetite Mabilo Project and advancing exploration on the highly prospective Bunawan Project, both in the Philippines, while also identifying major new projects which will allow the Company to move quickly and safely to production.

RTG has an experienced management team (previously responsible for the development of the Masbate Gold Mine in the Philippines through CGA Mining Limited), and has B2Gold as one of its major shareholders in the Company. B2Gold is a member of both the S&P/TSX Global Gold and Global Mining Indices.

ENQUIRIES

Australian Contact US Contact President & CEO – Justine Magee Investor Relations – Jaime Wells Tel: +61 8 6489 2900 Mobile: +1 970 640 0611 Fax: +61 8 6489 2920 Email: jmagee@rtgmining.com jwells@rtgmining.com

CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS

This announcement includes certain “forward‐looking statements” within the meaning of Canadian securities legislation. Statement regarding interpretation of exploration results, plans for further exploration and accuracy of mineral resource and mineral reserve estimates and related assumptions and inherent operating risks, are forward‐looking statements. Forward‐looking statements involve various risks and uncertainties and are based on certain factors and assumptions. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from RTG’s expectations include uncertainties related to fluctuations in gold and other commodity prices and currency exchange rates; uncertainties relating to interpretation of drill results and the geology, continuity and grade of mineral deposits; uncertainty of estimates of capital and operating costs, recovery rates, production estimates and estimated economic return; the need for cooperation of government agencies in the development of RTG’s mineral projects; the need to obtain additional financing to develop RTG’s mineral projects; the possibility of delay in development programs or in construction projects and uncertainty of meeting anticipated program milestones for RTG’s mineral projects and other risks and uncertainties disclosed under the heading “Risk Factors” in RTG’s Annual Information Form for the year ended 31 December 2014 filed with the Canadian securities regulatory authorities on the SEDAR website at sedar.com.

QUALIFIED PERSON AND COMPETENT PERSON STATEMENT

The information in this release that relates to exploration results at the Mabilo Project is based upon information prepared by or under the supervision of Robert Ayres BSc (Hons), who is a Qualified Person and a Competent Person. Mr Ayres is a member of the Australian Institute of Geoscientists and a full‐time employee of Mt Labo Exploration and Development Company, a Philippine mining company, an associate company of RTG Mining Limited. Mr Ayres 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” and to qualify as a “Qualified Person” under National Instrument 43‐101 – Standards of Disclosure for Mineral Projects (“NI 43‐101”). Mr. Ayres has verified the data disclosed in this release, including sampling, analytical and test data underlying the information contained in the release. Mr. Ayres consents to the inclusion in the release of the matters based on his information in the form and the context in which it appears.

The information in this release that relates to Mineral Resources is based on information prepared by or under the supervision of Mr Aaron Green, who is a Qualified Person and Competent Person. Mr Green is a Member of the Australian Institute of Geoscientists and is employed by CSA Global Pty Ltd, an independent consulting company. Mr Green has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking 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” and to qualify as a “Qualified Person” under National Instrument 43‐101 – Standards of Disclosure for Mineral Projects (“NI 43‐101”). Mr. Green has verified the data disclosed in this release, including sampling, analytical and test data underlying the information contained in the release. Mr Green consents to the inclusion in the release of the matters based on his information in the form and context in which it appears.

The information in this release that relates to Mineral Reserves and Mining is based on information prepared by or under the supervision of Mr Carel Moormann, who is a Qualified Person and Competent Person. Mr Moormann is a Fellow of the AusIMM and is employed by Orelogy, an independent consulting company. Mr Moormann has sufficient experience that is relevant to the type of deposit under consideration and to the activity which he is undertaking 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” and to qualify as a “Qualified Person” under National Instrument 43‐101 – Standards of Disclosure for Mineral Projects (“NI 43‐101”). Mr Moormann has verified the data disclosed in this release, including sampling, analytical and test data underlying the information contained in the release. Mr Moormann consents to the inclusion in the release of the matters based on his information in the form and context in which it appears.

The information in this release that relates to Metallurgy and Processing is based on information prepared by or under the supervision of David Gordon, who is a Qualified Person and Competent Person. David Gordon is a Member of the Australasian Institute of Mining and Metallurgy and is employed by Lycopodium Minerals Pty Ltd, an independent consulting company. David Gordon has sufficient experience that is relevant to the type of process under consideration and to the activity which he is undertaking 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” and to qualify as a “Qualified Person” under National Instrument 43‐101 – Standards of Disclosure for Mineral Projects (“NI 43‐101”). David Gordon has verified the data disclosed in this release, including sampling, analytical and test data underlying the information contained in the release. David Gordon consents to the inclusion in the release of the matters based on his information in the form and context in which it appears.

The information in this release that relates to areas outside of exploration results, Mineral Resources, Mineral Reserves and Metallurgy and Processing is based on information prepared by or under the supervision of Mark Turner, who is a Qualified Person and Competent Person. Mark Turner is a Fellow of the Australasian Institute of Mining and Metallurgy and is employed by RTG Mining Inc, the Company. Mark Turner has sufficient experience that is relevant to the information under consideration and to the activity which he is undertaking 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” and to qualify as a “Qualified Person” under National Instrument 43‐101 – Standards of Disclosure for Mineral Projects (“NI 43‐101”). Mark Turner has verified the data disclosed in this release. Mark Turner consents to the inclusion in the release of the matters based on his information in the form and context in which it appears.

Section 1 Sampling Techniques and Data

Criteria	JORC Code explanation	Commentary	Commentary
Sampling	Nature and quality of sampling (e.g. cut		The assay data reported herein is based on sampling of diamond drill core of PQ, HQ and
techniques	channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma		NQ diameter which was cut with a diamond core saw. Samples are generally of 1 m length, although occasionally slightly longer or shorter where changes in lithology, core size or core recovery required adjustments. Samples are not more than 2 m length.
	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		The length of each drill run is recorded and the recovery for each run calculated on site
	sample representivity and the appropriate		and checked again at the core shed. Certified reference standards and blank samples were
	calibration of any measurement tools or		submitted to assess the accuracy and precision of the results and every 20thsample was
	systems used.		sawn into two and the two quarter core samples submitted for analysis separately as a
			duplicate sample.
	Aspects of the determination of mineralisation		Half core samples were cut and sent for analysis by an independent ISO-certified
	that are Material to the Public Report.		laboratory (Intertek McPhar Laboratory) in Manila. Samples were crushed and pulverised
			(95% <75 μm). Gold was analysed by 50 g Fire Assay and the other elements including
			copper and iron by ICP-MS (Inductively Coupled Plasma Mass Spectrometry) or ICP-OES
			(InductivelyCoupled Plasma Optical Emission Spectrometry)followinga four-acid digest.
Drilling	Drill type (e.g. core, reverse circulation, open-		Drilling was by PQ, HQ and NQ diameter using triple tube diamond coring. The core was
techniques	hole hammer, rotary air blast, auger, Bangka,		not orientated.
	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).
Drill sample	Method of recording and assessing core and		Core recovery is initially measured on site by trained technicians and by the supervising
recovery	chip sample recoveries and results assessed.		geologist. Any core loss is measured, the percentage is calculated and both are recorded
			in the geotechnical log for reference when assessing assay results.
	Measures taken to maximise sample recovery		All care is taken to ensure maximum recovery of diamond core and drillers are informed of
	and ensure representative nature of the samples.		the importance of core recovery. Any areas of poor core recovery are sampled separately thus, assay results can be directly related to core recovery.
			The majority of the mineralisation is in fresh rock where recoveries are greater than 90%.
			Most mineralisation occurs in wide intersections of massive magnetite skarn with relatively
			uniform copper andgoldgrades. Core loss occurs in fracture zones but is usuallynot a

Criteria	JORC Code explanation			Commentary	Commentary
					significant problem. In the weathered hematitic oxidised zones some core loss is
					unavoidable, but overall recovery is generally >90% and the core loss is volumetrically
					minor in the mineralised zones. In areas of poor recovery, the sample intervals are
					arranged to coincide with drill runs, thus areas of different core loss percentage are specific
					to individual samples, which can be assessed when interpreting analytical results, and
					modelled in future resource estimation studies. Where an area of 100% core loss is
					identified the sample intervals are marked to each side of the zone and the zone is
					designated “No core” and assigned zero value in the various log sheets and geochemical
					database.
	Whether a relationship exists between sample				There is no discernible relationship between core recovery and grade. The skarn bodies
	recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.				are relatively uniform over significant lengths and the copper and gold grades are not related to clay and fracture zones, which are the main causes of core loss.
Logging	Whether core and chip samples have been				Diamond drill core for each entire drill hole was logged in significant detail in a number of
	geologically and geotechnically logged to a level				logging sheets including a geological log, a structural log, a geotechnical log and a
	of detail to support appropriate	Mineral			magnetic susceptibility log for the entire drill hole. Mineralised and sampled intervals are
	Resource estimation, mining studies and				logged individually in a separate semi-quantitative mineral log with percentages of the
	metallurgical studies.				different copper minerals being recorded. The logging is appropriate for Mineral Resource
					estimates and mining studies.
	Whether logging is qualitative or quantitative		in		Most of the geological logging is a mixture of qualitative (descriptions of the various
	nature. Core (or costean, channel, etc.)				geological features) and quantitative (numbers and angles of veins and fracture zones,
	photography.				mineral percentages etc.).
	The total length and percentage of the	relevant			Photographs are taken of all core (both wet and dry) prior to the core being cut.
	intersections logged.
					All core, including barren overburden is logged in the various logging sheets noted above
					apart from the semi-quantitative mineralisation log in which only the mineralised intervals
					sent forgeochemical analysis are logged in detail.
Sub-	If core, whether cut or sawn and	whether			All sampling data is from diamond drill core. Samples are of sawn as half core except for
sampling	quarter, half or all core taken.				duplicate samples which are quarter core. Half core is bagged and sent to an ISO-certified
techniques					independent laboratory for analysis. The other half retained for reference and/or further
and sample					test work.
preparation
	If non-core, whether riffled, tube sampled, rotary				Not applicable for diamond core drilling
	split,etc and whether sampled wet or dry.

Criteria	JORC Code explanation		Commentary	Commentary
	For all sample types, the nature, quality and			All core samples were dried, crushed to 95% <10 mm and a 1.5 kg sub-sample is
	appropriateness of the sample preparation			separated using a riffle splitter and pulverised to 95% <75 μm. A 50 g sub-sample is
	technique.			utilised as a Fire Assay charge for gold analysis. The sample preparation technique and
				sub-sampling is appropriate for the mineralisation.
	Quality control procedures adopted for all sub-			Blank samples and duplicate samples are submitted routinely to monitor the sampling and
	sampling stages to maximise representivity of			analytical process and to ensure that samples are representative of in situ material. One
	samples.			in every 20 samples of half core is sawn again to produce two quarter core duplicate
				samples which are submitted to the laboratory separately with different sample numbers.
				A blank sample was inserted into sample batches at every 20thsample.
	Measures taken to ensure that the sampling	is		The magnetite skarn mineralisation occurs in extensive zones of magnetite skarn with
	representative of the in situ material collected,			disseminated chalcopyrite, containing gold. The sample size of approximately 1 m core
	including for instance results for field			length is suitable in respect to the grain size of the mineralisation.
	duplicate/second-half sampling.
	Whether sample sizes are appropriate to the			The sample size is considered appropriate for the material sampled. It is believed that
	grain size of the material beingsampled.			grain size has no bearingon thegrade of the sampled material.
Quality of	The nature, quality and appropriateness of the			All core samples were analysed at an ISO-certified independent laboratory. Gold was
assay data	assaying and laboratory procedures used and			analysed by 50 g Fire Assay and the other elements including copper and iron were
and	whether the technique is considered partial or			analysed by ICP-MS or ICP-OES following a four acid digest. The sample preparation and
laboratory	total			assay techniques are of international industry standard and can be considered total.
tests
	For geophysical tools, spectrometers,			No geophysical tools were used for any analysis reported herein. Magnetic susceptibility
	handheld XRF instruments, etc, the			readings are used in magnetic modelling but are not used to estimate magnetite or Fe
	parameters used in determining the analysis			content.
	including instrument make and model, reading
	times, calibrations factors applied and their
	derivation, etc.
	Nature of quality control procedures adopted			Quality control included analysis of standards, blanks, and duplicates. Commercial
	(e.g. standards, blanks, duplicates, external			Certified Reference Materials (CRMs) were inserted into sample batches every 40th
	laboratory checks) and whether acceptable			sample. A blank sample was inserted every 20thsample; the blank sample material has
	levels of accuracy (ie lack of bias) and			been sourced and prepared from a local quarry. One in every 20 core samples is cut into
	precision have been established.			2 quarter core samples which were submitted independently with their own sample
				numbers. In addition, Intertek conducted their own extensive check sampling as part of
				their own internal QA/QC processes, which is reported in the assay sheets. A record of
				results from all duplicates,blanks and standards is maintained for ongoing QA/QC

Criteria	JORC Code explanation	Commentary	Commentary
			assessment. Examination of all the QC sample data indicates satisfactory performance of
			field sampling protocols and the assay laboratory. A total of 341 pulp split samples were
			submitted for external laboratory checks, divided up approximately equally between three
			umpire laboratories. A small upward bias in the primary assay was indicated from the
			external assay results; however, the CRMs submitted to these external laboratories did
			not perform well. Analysis of umpire laboratory internal check assays for gold showed an
			upward bias for the repeat assays. This lead to the conclusion that based on the
			acceptable performance of all other quality assurance and quality control measures the
			primaryassayresults are suitable for use in Mineral Resource estimation
Verification	The verification of significant intersections by		Significant mineralisation intersections were verified by alternative company personnel
of sampling	either independent or alternative company		and by CSA Global personnel.
and	personnel.
assaying
	The use of twinned holes.		No twinned holes have been drilled.
	Documentation of primary data, data entry		Data documentation, verification and storage is conducted in accordance with RTG’s
	procedures, data verification, data storage		Standard Operating Procedures Manual for the Mabilo Project. The diamond drill core is
	(physical and electronic) protocols.		manually logged in significant detail in a number of separate Excel template logging
			sheets. Logging is recorded manually on logging sheets and transcribed into protected
			Excel spreadsheet templates or entered directly into the Excel templates. The data are
			validated by both the Project Geologist and the company Database Manager and uploaded
			to the dedicated project database where they are merged with assay results reported
			digitally by the laboratory. Hard copies of all logging sheets are kept at the Project office
			in Daet.
	Discuss any adjustment to assay data.		No adjustments have been made to assay data.
Location of	Accuracy and quality of surveys used to		Drill-hole collars are initially surveyed with a hand-held GPS with an accuracy of
data points	locate drill holes (collar and down-hole		approximately +/- 5 m. Completed holes are surveyed by an independent qualified
	surveys), trenches, mine workings and other		surveyor on a periodic basis using standard differential GPS (DGPS) equipment achieving
	locations used in Mineral Resource		sub-decimetre accuracy in horizontal and vertical position.
	estimation.
	Specification of the grid system used.		Drill collars are surveyed in Universal Transverse Mercator (UTM) WGS84 Zone 51N
			grid.
	Quality and adequacy of topographic control.		The Mabilo project area is relatively flat with total variation in topography less than 15 m.
			Topographic control isprovided byDGPS surveying.

Criteria	Criteria		JORC Code explanation		Commentary	Commentary
Data spacing			Data spacing for reporting of Exploration			Drill holes are planned on a nominal grid with 20 m between drill holes on 40 m spaced
and			Results.			lines.
distribution
			Whether the data spacing and distribution is			The drill hole spacing was designed to determine the continuity and extent of the
			sufficient to establish the degree of geological			mineralised skarn zones. Based on statistical assessment of drill results to date, the
			and grade continuity appropriate for the			nominal 40 x 20 m drill hole spacing is sufficient to support Mineral Resource estimation.
			Mineral Resource and Ore Reserve
			estimation procedure(s) and classifications
			applied.
			Whether sample compositing has been			No compositing of intervals in the field was undertaken.
			applied.
Orientation			Whether the orientation of sampling achieves			No bias attributable to orientation of sampling upgrading of results has been identified.
of	data	in	unbiased sampling of possible structures and
relation		to	the extent to which this is known, considering
geological			the deposit type.
structure
			If the relationship between the	drilling		No bias attributable to orientation of sampling upgrading of results has been identified.
			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			The measures taken to ensure sample			Chain of custody is managed by RTG employees. Samples were stored in secure storage
security or			security.			from the time of drilling, through gathering and splitting. Remaining core is kept in a secure
Audits						compound at the Company regional office in Daet town and guarded at night. Samples
reviews						are sent directly from the core shed to the laboratory packed in secured and sealed plastic
						drums using either Company vehicles or a local transport company. A standard Chain of
						custody form is signed by the driver responsible for transporting the samples upon receipt
						of samples at the core yard and is signed by an employee of the laboratory on receipt of
						the samples at the laboratory. Completed forms are returned to the Company for filing.
			The results of any audits or reviews of			The sampling techniques and QA/QC data are reviewed on an ongoing basis by Company
			samplingtechniques and data.			management and independent consultants.

Section 2 Reporting of Exploration Results

Criteria	JORC Code explanation	Commentary	Commentary
Mineral	Type, reference name/number,		The Mabilo Project is covered by Exploration Permit EP-014-2013-V and Exploration Permit
tenement and	location and ownership including		Application EXPA-000188-V and EXPA 0000 209-V. EP-014-2013-V was issued to Mt Labo
land tenure	agreements or material issues with		Exploration and Development Corporation (“Mt Labo”), an associated entity of RTG Mining Inc.
status	third parties such as joint ventures,		There is a 1% royalty payable on net mining revenue received by Mt Labo in relation to EP-014-
	partnerships, overriding royalties,		2013-V.
	native title interests, historical sites,
	wilderness or national park and		Mt Labo has entered into a joint venture agreement with Galeo Equipment and Mining Company,
	environmental settings.		Inc. (“Galeo”) to partner in exploring and developing the Mabilo and Nalesbitan Projects. To date,
			Galeo has earned a 36% interest in the Projects.
			Sierra Mining Limited (“Sierra”), a wholly owned subsidiary of RTG, has entered into a MOU with
			Galeo whereby Galeo can earn an additional 6% interest in the joint venture by mining the initial
			1.5 Mt of waste at Mabilo or Nalesbitan.The MOU is subject to a number of conditions precedent,
			including Sierra shareholder approval.
	The security of the tenure held at the		The tenure over the area currently being explored at Mabilo is a granted Exploration Permit, which
	time of reporting along with any known		is currently being renewed. All documents are in good standing and the renewal process is
	impediments to obtaining a license to		ongoing. There is no native title or Indigenous ancestral domains claims at Mabilo.
	operate in the area.
Exploration	Acknowledgment and appraisal of		The only significant previous exploration over the Mabilo project area was a drilling program at
done by other	exploration by other parties.		another site within the tenement and a ground magnetic survey. RTG (or its predecessor Sierra)
parties			has reported this data in previous reports to the ASX and used the ground magnetic survey as a
			basis for initial drill siting. Subsequently RTG conducted its own ground magnetic survey with
			closer spaced survey lines and reading intervals, which supersedes the historical program. There
			was no known previous exploration in the area of the reported Mineral Resource.
Geology	Deposit type, geological setting and		Mineralisation at Mabilo can be defined as a magnetite-copper-gold skarn, which developed
	style of mineralisation.		where the magnetite-copper-gold mineralisation replaced calcareous horizons in the Eocene age
			Tumbaga Formation in the contact zone of a Miocene diorite intrusion.
Drill hole	A summary of all information material		All relevant drill hole information has been previously reported to the ASX. No material changes
Information	to the understanding of the exploration		have occurred to this information since it was originally reported.
	results including a tabulation of the
	following information for all Material
	drill holes:

Criteria	JORC Code explanation	Commentary	Commentary
	oeasting and northing of the drill
	hole collar
	oelevation or RL (Reduced Level
	– elevation above sea level in
	metres) of the drill hole collar
	odip and azimuth of the hole
	odown hole length and
	interception depth
	ohole length.
	If the exclusion of this information is		All relevant data has been reported.
	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.
Data	In reporting Exploration Results,		Not reporting exploration results.
aggregation	weighting averaging techniques,
methods	maximum and/or minimum grade
	truncations (e.g. cutting of high
	grades) and cut-off grades are usually
	Material and should be stated.
	Where aggregate intercepts		Not reporting exploration results.
	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		Based on metallurgical testwork undertaken , including flotation and magnetic separation, the
	reporting of metal equivalent values		following assumptions for gold equivalents are:-
	should be clearly stated.		Gold Price US$1200/oz Gold recovery – 84.9%
			Copper Price US$5,000t Copper recovery– 83.7%

Criteria	JORC Code explanation	Commentary	Commentary
			Silver Price US$14/oz Silver recovery – 60.7%
			Iron Price US$50/t Iron recovery – 60.7%
			The calculation for gold equivalent values was based on the following formula:
			AuEq=(((0.849AuOz$1,200)+(0.837CuMetal$5,000)+(0.607FeMetal$50)+
			(0.607AgOz$14)) / $1,200)/Total ore tonnes
Relationship	These relationships are particularly		The Mabilo drill holes have been drilled both vertically and inclined. The orientation of the
between	important in the reporting of		mineralised bodies is based on interpretation of geology from drill holes supported by magnetic
mineralisation	Exploration Results.		modelling which indicates that much of the mineralisation is dipping to the southwest.
widths and
intercept
lengths
	If the geometry of the mineralisation		The interpreted orientation of the mineralised bodies is based on drill-hole data. The fact that the
	with respect to the drill hole angle is		intersections are in a dipping body and therefore not true widths has been reported.
	known, its nature should be reported.
	If it is not known and only the down		No intervals reported can be assumed to be a true width of the mineralisation.
	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		Refer to figures within the main body of this report.
	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.
Balanced	Where comprehensive reporting of all		Not applicable.
reporting	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.
Other	Other exploration data, if meaningful		All meaningful exploration data concerning the Mabilo Project has been reported in previous
substantive	and material,should be reported		reports to the ASX.

Criteria	JORC Code explanation	Commentary	Commentary
exploration	including (but not limited to):
data	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 planned		Drilling is planned at the Mabilo Project, which will systematically test magnetic bodies and step-
	further work (e.g. tests for lateral		out targets along strike and between the North Mineralised Zone and the South Mineralised Zone
	extensions or depth extensions or		as well as down-dip from these zones.
	large-scale step-out drilling).
	Diagrams clearly highlighting the		Not applicable to this report.
	areas of possible extensions,
	including the main geological
	interpretations and future drilling
	areas, provided this information is not
	commercially sensitive.

Section 3 Estimation and Reporting of Mineral Resources

Criteria	JORC Code explanation	Commentary	Commentary
Database	Measures taken to ensure that data has		Data used in the Mineral Resource estimate is sourced from a data base export. Relevant tables
integrity	not been corrupted by, for example,		from the data base are exported to MS Excel format and converted to csv format for import into
	transcription or keying errors, between		Datamine Studio 3 software.
	its initial collection and its use for
	Mineral Resource estimation purposes.
	Data validation procedures used.		Validation of the data import include checks for overlapping intervals, missing survey data, missing
			assay data, missing lithological data, and missing collars.
Site visits	Comment on any site visits undertaken		A representative of the Competent Person (CP) has visited the project on several occasions, most
	by the Competent Person and the		recently in October 2015. Diamond drilling programs were underway at Mabilo during the previous
	outcome of those visits.		site visit. The CP’s representative was able to review drillingand sampling procedures,as well as

Criteria	JORC Code explanation	JORC Code explanation	JORC Code explanation		Commentary	Commentary
						examine the mineralisation occurrence and associated geological features. Sample storage
						facilities and the analytical laboratory in Manila have also been inspected. There were no negative
						outcomes from any of the above inspections, and all samples and geological data were deemed fit
						for use in the Mineral Resource estimate.
	If no site visits have been undertaken					Not applicable.
	indicate why this is the case.
Geological	Confidence in (or		conversely, the			The geology and mineral distribution of the system is reasonably complex, and is being constantly
interpretation	uncertainty	of)	the	geological		refined as more drilling is undertaken. As such the CP has taken a conservative approach to Mineral
	interpretation of the mineral deposit.					Resource classification.
	Nature of the	data	used and of any			Drill hole intercept logging, assay results and structural interpretations from drill core, and the results
	assumptions made.					of geophysical modelling of magnetic anomalies have formed the basis for the geological
						interpretation. For the South Mineralised Zone (SMZ) strike and depth extents have been
						reasonably well constrained through drilling, except for the south eastern end where the deposit is
						still open along strike and at depth and assumptions have been made on the depth and strike extent
						of the mineralisation. In the North Mineralised Zone (NMZ) the strike and depth extents of the
						mineralisation are not fully constrained by drilling and assumptions have been made on the depth
						and strike extents of the mineralisation based on the available information including the geophysical
						modelling and bounding structure interpretations. Some drill collars had not yet been surveyed by
						DGPS at the time of modelling. The collars had been surveyed by hand held GPS with an estimated
						horizontal accuracy (based on historical comparisons) of roughly 3m. The elevation of the collar
						has been corrected to the topographic surface. Mineralisation intercepts from these drill holes were
						found to correspond well with previously interpreted mineralisation zone extents. Any differences
						from the true position is not expected to have any material impact on the volumes and grades of
						the interpreted mineralisation zones
	The effect,	if any, of		alternative		The extent of the modelled zones are generally reasonably well constrained by the geological model
	interpretations	on Mineral		Resource		interpretation, which is based on the drill logging and geophysical data. Subsequent to the previous
	estimation.					mineral resource estimate the NMZ has been significantly re-interpreted based on new drilling data.
						The results from the re-interpretation show a minor increase in tonnage with grades virtually
						unchanged. Where geological interpretation has a higher degree of uncertainty it is classified as
						Inferred regardless of modelling parameters.
	The use of geology in guiding and					Geology has been the primary influence in controlling the Mineral Resource estimation. Wireframes
	controlling	Mineral		Resource		have been constructed for the various lithological zones based on style of mineralisation, host rock
	estimation.					and oxidation state as determined bythe core loggingand assaying. Wireframes have been

Criteria	JORC Code explanation	Commentary	Commentary
			constructed enclosing sulphur domains, based on the drill assay results, to reflect the widespread
			and locally intense silica-pyrite overprint of the skarn for the purpose of more accurately defining
			the sulphur grade for metallurgical purposes.
	The factors affecting continuity both of		Continuity of geology and structures can be identified and traced between drill holes by visual,
	grade and geology.		geophysical and geochemical characteristics. Breccia zones interpreted to relate to fault structures
			have been noted in the drill core and fault structures that offset the mineralised geological units
			have been modelled.
Dimensions	The extent and variability of the Mineral		The South Mineralised Zone (SMZ) is interpreted as having a 500 m strike length, is 20 to 50 m in
	Resource expressed as length (along		true width, with vertical depth up to 280 m from roughly 50 m below surface. The North Mineralised
	strike or otherwise), plan width, and		Zone (NMZ) has a strike extent of roughly 160 m, true width between 20 m and 50 m and depth
	depth below surface to the upper and		extent of 135 m from roughly 40 m below surface. True thickness variation is a function of
	lower limits of the Mineral Resource.		limestone/marble lithology, magnetite skarn is thicker at higher levels and thinner where it
			interfingers with marble-limestone.
Estimation	The nature and appropriateness of the		The mineralisation has been estimated using ordinary kriging (OK) as the primary estimation
and	estimation technique(s) applied and key		method with an inverse distance to the power 2 (IDS) check estimate in Datamine Studio 3 software.
modelling	assumptions, including treatment of		41 mineralised lenses have been interpreted and are grouped into 14 mineralised lithological
techniques	extreme grade values, domaining,		domain zones of Cu-Au-Fe mineralisation, based on lens lithology type and grade. There are 9 of
	interpolation parameters and maximum		these zones in the SMZ and 5 zones in the NMZ.
	distance of extrapolation from data
	points. If a computer assisted		The mineralised lithological domain zones were used as hard boundaries to select sample
	estimation method was chosen include		populations for data analysis and grade estimation. In the South Mineralised Zone hard boundaries
	a description of computer software and		between individual lenses were used in the grade estimation, while soft boundaries between the
	parameters used.		lenses within each domain zone were used in the North Mineralised Zone. Statistical analysis was
			completed on each zone to determine appropriate high-grade cuts to apply to outlier grades of Fe,
			Au, Cu and Ag where required.
	The availability of check estimates,		OK and IDS estimates are completed concurrently in a number of estimation runs with varying
	previous estimates and/or mine		parameters. The results are compared against each other and the drill hole results to ensure a
	production records and whether the		reasonable estimate that best honours the drill sample data as reported. Comparison with the
	Mineral Resource estimate takes		previously reported estimate shows roughly a 12% increase in tonnage and with a slight decrease
	appropriate account of such data.		in the mean reported grades. Increases of between 3% and 10% of contained metal, as detailed in
			the relevant section of the Mineral Resource estimate report, is also shown.
			No mining has yet taken place at these deposits.

Criteria	JORC Code explanation			Commentary	Commentary
	The assumptions made	regarding			Ag has been estimated and is assumed to be also recoverable as part of the Cu and Au recovery
	recovery of by-products.				processes. Fe grade estimated in the MRE is total Fe. Although dominated by magnetite Fe in the
					magnetite skarn, it does include other Fe-bearing minerals.
	Estimation of deleterious elements or				Potentially deleterious As and S have been estimated into the model to assist with future
	other non-grade variables of economic				metallurgical work and mining studies. Arsenic (As) has been estimated in the same way as the Au,
	significance (eg sulphur for acid mine				Cu and Ag. S in the weathered material has been estimated the same as Au, Cu and Ag. A in the
	drainage characterisation).				unweathered material has been separately estimated into individual mineralisation lenses based on
					the mineralisation and S domain wireframes for the purposes of assisting with metallurgical
					understanding of the deposit. Hard boundaries are used between individual mineralisation lenses
					and the S domains within them for the S grade estimation. Statistical analysis was completed on
					each S estimation domain to determine appropriate high grade cuts to apply to outlier grades where
					required.
	In the case of block model interpolation,				Interpreted domains are built into a sub-celled block model with 10 m E-W by 10 m N-S by 5 m
	the block size in relation to the		average		vertical parent block size. Parent block size is chosen based on being roughly half the average drill
	sample spacing and the		search		spacing over the majority of the deposit areas. Search ellipsoids for each estimation zone have
	employed.				been orientated based on their geometry and grade continuity. Sample numbers per block estimate
					and ellipsoid axial search ranges have been tailored to geometry and data density of each zone to
					ensure the majority of the model is estimated within the first search pass. The search ellipse is
					doubled for a second search pass and increased 20 fold for a third search pass to ensure all blocks
					were estimated. Sample numbers required per block estimate have been reduced with each search
					pass.
	Any assumptions behind modelling of				No assumptions have been made. Model minimum sub-cell size is down to 2.5m N-S by 2.5m E-W
	selective mining units.				by 2.5m vertical
	Any assumptions about	correlation			No assumptions have been made with each element separately estimated. Statistical analysis
	between variables.				shows a generally good correlation between Au and Cu grades in unweathered zones and poor
					correlation in weathered zones.
	Description of how the	geological			Hard boundaries between each individual lode have been used in the grade estimate for the SMZ.
	interpretation was used to	control the			Soft boundaries between the grouped lodes within the mineralised lithological domain zones and
	resource estimates.				hard boundaries between mineralised lithological domain zones have been used in the grade
					estimation for the NMZ.

Criteria	JORC Code explanation	Commentary	Commentary
	Discussion of basis for using or not		Statistical analysis to check grade population distributions using histograms, probability plots and
	using grade cutting or capping.		summary statistics and the co-efficient of variation, was completed on each zone for the estimated
			elements. Outlier grades were variously found for most elements in the different mineralised
			lithological domain zones and appropriate high grade cuts where applied to remove undue influence
			of these outlier grades on the grade estimation for each zone.
	The process of validation, the checking		Validation checks included statistical comparison between drill sample grades, the OK and IDS
	process used, the comparison of model		estimate results for each zone. Visual validation of grade trends for each element along the drill
	data to drill hole data, and use of		sections was completed and trend plots comparing drill sample grades and model grades for
	reconciliation data if available.		northings, eastings and elevation were completed. These checks show reasonable correlation
			between estimated block grades and drill sample grades. No reconciliation data is available, as no
			mining has taken place.
Moisture	Whether the tonnages are estimated on		Tonnages have been estimated on a dry in situ basis. No moisture values were reviewed.
	a dry basis or with natural moisture, and
	the method of determination of the
	moisture content.
Cut-off	The basis of the adopted cut-off		For some lithological units nominal lower cut-off grades of 0.3 g/t Au or 0.3 % Cu in concert with the
parameters	grade(s) or quality parameters applied.		lithological logging were used to define continuous mineralised lenses, in line with
			recommendations from RTG based on preliminary optimisation studies.
Mining	Assumptions made regarding possible		It has been assumed that these deposits will be amenable to open cut mining methods, and are
factors or	mining methods, minimum mining		economic to exploit with this methodology at the reported average model grades. No assumptions
assumptions	dimensions and internal (or, if		regarding minimum mining widths and dilution have been made to date.
	applicable, external) mining dilution. It
	is always necessary as part of the
	process of determining reasonable
	prospects for eventual economic
	extraction to consider potential mining
	methods, but the assumptions made
	regarding mining methods and
	parameters when estimating Mineral
	Resources may not always be rigorous.
	Where this is the case, this should be
	reported with an explanation of the
	basis of the mining assumptions made.

Criteria	JORC Code explanation	Commentary	Commentary
Metallurgical	The basis for assumptions or		The oxide portions of similar deposits in the region are being successfully exploited by other entities,
factors or	predictions regarding metallurgical		and it is assumed that these zones can be economically exploited at the modelled grades.
assumptions	amenability. It is always necessary as
	part of the process of determining		For the unweathered or fresh materials metallurgical testing has shown a less consistent response
	reasonable prospects for eventual		of the samples tested than was initially expected. The findings indicate a relationship with S:Cu
	economic extraction to consider		ratios involved in metallurgical response. Composite samples appear to respond better to flotation
	potential metallurgical methods, but the		than the individual components that make up the composites.
	assumptions regarding metallurgical
	treatment processes and parameters		Based on the results reported to date it is assumed that a significant majority of the modelled
	made when reporting Mineral		unweathered mineralisation can be economically exploited and will be readily upgraded where
	Resources may not always be rigorous.		necessary, using standard gravity, magnetic processes and/or froth flotation concentration
	Where this is the case, this should be		techniques as appropriate for the different product streams.
	reported with an explanation of the
	basis of the metallurgical assumptions
	made.
Environmenta	Assumptions made regarding possible		The permeability and compressibility of the in situ ground at the TSF and waste dump (WD) is not
l factors or	waste and process residue disposal		confirmed. The rate at which earthworks are constructed will need to be carefully controlled to
assumptions	options. It is always necessary as part		ensure adequate stability is maintained. During later stages of construction of the waste dump,
	of the process of determining		waste rock will be available to provide a drainage layer. A provisional sum has been allowed for in
	reasonable prospects for eventual		the cost estimate for localised ground improvement to aid consolidation of the TSF and WD during
	economic extraction to consider the		Stage 1 construction.
	potential environmental impacts of the
	mining and processing operation. While		The site is located in an area of high seismic activity. Site investigation indicates that the natural
	at this stage the determination of		ground is at risk of liquefaction under a seismic event. A preliminary liquefaction assessment
	potential environmental impacts,		indicates that a sacrificial earthworks bund will be constructed around the external perimeter of the
	particularly for a greenfields project,		structural zone of the TSF to limit deformations.
	may not always be well advanced, the
	status of early consideration of these		The TSF has been designed to accommodate the co-disposal of both the non-magnetic and pyrite
	potential environmental impacts should		tailings stream. It has been confirmed that a market for the pyrite has been identified and the pyrite
	be reported. Where these aspects have		will be transported off site.
	not been considered this should be
	reported with an explanation of the environmental assumptions made.		Geochemical assessment of the waste material is currently being undertaken. It is currently assumed that approximately 50% of waste will be potentially acid forming (PAF) or leachable. All waste rock
			that has the potential to generate acid or metal leachate will require encapsulation by non-acid
			forming material (NAF). There is considered to be sufficient NAF material to provide suitable
			encapsulation of the waste material.

Criteria	JORC Code explanation	Commentary	Commentary
			Geochemical testing of the tailings indicates that the tailing facility will need a high density
			polyethylene (HDPE) liner and compacted soil liner subgrade to reduce seepage. The tailings will
			need to be maintained at saturation to reduce acidgeneration.
Bulk density	Whether assumed or determined. If		In-situ dry bulk density values have been applied to the modelled mineralisation based on linear
	assumed, the basis for the		regression formulas for weathered and unweathered material separately. This is based on
	assumptions. If determined, the method		reasonable correlations having been found between measured bulk density results and Fe. Of the
	used, whether wet or dry, the frequency		1,009 measurements taken, 628 have assay result data, with 216 samples falling within the
	of the measurements, the nature, size		interpreted mineralised zones. 29 samples fall within the oxide mineralisation and density
	and representativeness of the samples.		measurement shows a 73% correlation with Fe grade. 188 measured density samples fall within the
			fresh mineralisation with an 80% correlation between measured density and Fe grade.
	The bulk density for bulk material must		Density measurements have been taken on drill samples using wax coated water displacement
	have been measured by methods that		methods, from all different lithological types. CSA Global has noted the amount of wax used in the
	adequately account for void spaces		coating process was excessive for some samples. Analysis showed this issue generally only affects
	(vugs, porosity, etc), moisture and		the oxide waste and overburden zones. This means that waste density assigned to the model could
	differences between rock and alteration		be over stated for the overburden and oxide zones. There is a possibility that void spaces have been
	zones within the deposit.		partially filled by wax in the mineralisation zones affected by porosity, resulting in a slightly higher
			density being calculated and assigned to some zones. Any possible effects of this are expected to
			be within the margins of error reflected by the classification.
	Discuss assumptions for bulk density		With the reasonable correlation between Fe grade and bulk density, it is assumed that use of the
	estimates used in the evaluation		regression formulas describing this relationship is an appropriate method of representing the
	process of the different materials		expected variability in bulk density for the grade estimated mineralised blocks. Analysis of the results
			of application of the regression formulas to the model by individual mineralised lithological domain
			unit shows that the mean model density compares closely to the mean of the density measurements
			from within each zone.
Classification	The basis for the classification of the		Classification of the Mineral Resource estimates was carried out taking into account the level of
	Mineral Resources into varying		geological understanding of the deposit, quality of samples, density data and drill hole spacing.
	confidence categories.
	Whether appropriate account has been		The classification reflects areas of lower and higher geological confidence in mineralised lithological
	taken of all relevant factors (ie relative		domain continuity based the intersecting drill sample data numbers, spacing and orientation. Overall
	confidence in tonnage/grade		mineralisation trends are reasonably consistent within the various lithotypes over numerous drill
	estimations, reliability of input data,		sections.
	confidence in continuity of geology and
	metal values, quality, quantity and
	distribution of the data).

Criteria	JORC Code explanation	Commentary	Commentary
	Whether the result appropriately		The Mineral Resource estimate appropriately reflects the view of the Competent Person.
	reflects the Competent Person’s view of
	the deposit.
Audits or	The results of any audits or reviews of		Internal audits were completed by CSA Global which verified the technical inputs, methodology,
reviews	Mineral Resource estimates.		parameters and results of the estimate.
			No external audits have been undertaken.
Discussion of	Where appropriate a statement of the		The relative accuracy of the Mineral Resource estimate is reflected in the reporting of the Mineral
relative	relative accuracy and confidence level		Resource as per the guidelines of the 2012 JORC Code.
accuracy/	in the Mineral Resource estimate using
confidence	an approach or procedure deemed
	appropriate by the Competent Person.
	For example, the application of
	statistical or geostatistical procedures
	to quantify the relative accuracy of the
	resource within stated confidence
	limits, or, if such an approach is not
	deemed appropriate, a qualitative
	discussion of the factors that could
	affect the relative accuracy and
	confidence of the estimate.
	The statement should specify whether it		The Mineral Resource statement relates to global estimates of in-situ tonnes and grade.
	relates to global or local estimates, and,
	if local, state the relevant tonnages,
	which should be relevant to technical
	and economic evaluation.
	Documentation should include
	assumptions made and the procedures
	used.
	These statements of relative accuracy		The deposit has not, and is not currently being mined.
	and confidence of the estimate should
	be compared with production data,
	where available.

Section 4 - Estimation and Reporting of Ore Reserves

Criteria	JORC Code explanation	JORC Code explanation	JORC Code explanation			Commentary	Commentary
Mineral	Description of the Mineral Resource						The Mineral Resource estimate used as a basis for the conversion to the Ore Reserve was
Resource	estimate	used as a	basis for the				published by RTG Mining Inc. on 5thNovember 2015 with A. Green of CSA Global Pty Ltd as the
estimate for	conversion to an Ore Reserve.						Competent Person. It reported the following using a 0.3g/t Au cut-off:
conversion to
Ore Reserves							Indicated Resource of 8.86Mt at 1.9% Cu, 2.0g/t Au, 9.8g/t Ag and 45.6% Fe
							Inferred Resource of 3.91Mt at 1.5% Cu, 1.5g/t Au, 9.1g/t Ag and 29.1% Fe
							There were no Measured materials.
	Clear statement as to			whether the			The Mineral Resources are reported inclusive of Ore Reserves.
	Mineral	Resources	are reported
	additional	to, or inclusive of, the Ore					The Mineral Resources are reported in terms of Measured, Indicated or Inferred materials.
	Reserves.
							The Ore Reserves are reported in terms of Proved or Probable ores.
Site visits	Comment	on any		site	visits		C Moormann of Orelogy Consulting Pty Ltd has visited the Mabilo project site in October 2015. The
	undertaken by the Competent Person						following observations were made:
	and the outcome of those visits.
							Mabilo has good road site access from Labo or Daet.
							Existing roads between Mabilo and the port are in good condition but are relatively narrow and busy,
							with dwellings immediately adjacent to the road. There is potential risk of road accidents using this
							route for transport of ore and concentrate.
							The site is a greenfields project on private lands mainly used for growing palm trees and pineapple.
							Negotiations with land owners and land users have commenced as have applications for initial
							Mineral Production Sharing Agreement (MPSA) approvals.
							Current power supply services near the project are insufficient and allowances for additional power
							are planned.
							Several creeks, with all year water flows, are located on the project area and there appears to be
							ample water supply all year round. Pit dewatering requirements are likely to be substantial and
							drainage is planned for the pit slopes.

Criteria	JORC Code explanation	Commentary	Commentary
			Drill core sections in barren ground showed hardly any continuous drill core sections longer than
			0.1m and that these materials quickly deteriorate over time. This is reflected in the pit slope angles
			and possibly reduced drilling & blasting.
			Ore in fresh rock is easily distinguishable from waste due to the differences in colour and density
			and this is reflected in the ore loss and dilution consideration.
Study status	The type and level of study		A Feasibility Study (Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Definition
	undertaken to enable Mineral		Standards) was undertaken as the basis for the conversion of Resources to Reserves. The study
	Resources to be converted to Ore		was compiled by Lycopodium Minerals Pty Ltd. The study is due to be published in March 2016.
	Reserves.
	The Code requires that a study to at		The Feasibility Study (FS) was underpinned by a mine plan that was based on the Mabilo Indicated
	least Pre-Feasibility Study level has		Resource materials. Mine planning included pit optimisations, pit designs, mining and processing
	been undertaken to convert Mineral		scheduling, cost estimations and economic analysis to ensure the project is technical achievable
	Resources to Ore Reserves. Such		and economically viable.
	studies will have been carried out and
	will have determined a mine plan that		Slope design criteria, mining dilution, ore loss and processing recoveries were applied in the pit
	is technically achievable and		optimisation process together with mining, processing, transport cost estimates, commodity pricing
	economically viable, and that material		estimates and royalties to generate optimised pit shells, which form the basis for pit designs and
	Modifying Factors have been		the mine plan.
	considered.
Cut-off	The basis of the adopted cut-off		Only Indicated Resource materials, modified for dilution and ore loss, were considered as potential
parameters	grade(s) or quality parameters		ore in the pit optimisation process. No predetermined cut-offs were applied to the optimisation
	applied.		model.
Mining factors	The method and assumptions used as		A Whittle 4x pit optimisation, including sensitivity analysis, was completed. Slope design criteria,
or	reported in the Pre-Feasibility or		mining dilution, ore loss and processing recoveries were applied in the pit optimisation process
assumptions	Feasibility Study to convert the		together with mining, processing, transport and sales cost estimates and revenue projections to
	Mineral Resource to an Ore Reserve		form the basis for pit designs and subsequent mining and processing schedules.
	(i.e. either by application of
	appropriate factors by optimisation or
	by preliminary or detailed design).
	The choice, nature and		A conventional open pit mine method was chosen as the basis of the FS. Previous mining studies
	appropriateness of the selected		had indicated that this method is appropriate for the deposit. Only a short pre-strip period will be
	mining method(s) and other mining		required.
	parameters including associated

Criteria	JORC Code explanation		Commentary	Commentary
	design issues such as pre-strip,			A small-scale mining fleet, utilising 100t excavators matched with 40t articulated dump trucks, was
	access, etc.			selected to accommodate initial access and development of mining areas. Larger 55t and 90t rigid
				body dump trucks are subsequently utilised to enhance mining efficiency during the initial years of
				the project.
				Mine design criteria include: minimum mining width, ramp width and gradient, pit exit location and
				slope design parameters.
	The assumptions made regarding			Geotechnical design parameter guidance was provided by George, Orr & Associates and applied
	geotechnical parameters (e.g.	pit		to pit optimisations and pit designs.
	slopes, stope sizes, etc.), grade
	control and pre-production drilling.			An allowance for grade control was included in the pit optimisation in accordance with
				recommendations and costs provided by IMC Mining Pty Ltd. The timing of grade control drilling
				was determined from the mining schedule and its cost included in the cost/cashflow estimates.
				Scheduling has identified that a pre stripping period of 4 months is required to achieve sustainable
				ore supplies at the required capacities.
	The major assumptions made and			Only Indicated Resource materials, modified for dilution and ore loss, were considered as potential
	Mineral Resource model used for	pit		ore in the pit optimisation process. No predetermined cut-offs were applied to the optimisation
	and stope optimisation	(if		model.
	appropriate).			Slope design criteria, mining dilution, ore loss and processing recoveries were applied in the pit
				optimisation process together with mining, processing, transport cost estimates, commodity pricing
				estimates and royalties to generate revenue projections based on oxide ore production levels of
				0.5Mtpa and fresh ore at a level of 1.0Mtpa and 1.35Mtpa.
	The mining dilution factors used.			Mining dilution and ore loss were determined together in a 2 step process.
				Step 1 accounted for the ore loss and dilution effects along the ore-waste boundary. Step 2
				accounted for the internal mixing of ore types due to ore boundary accuracy limitations and blasting
				movement.
				These steps increased the Indicated material tonnage by 2% while the Cu, Au, and Ag and Fe
				grades are reduced by 3%. For the style of mineralisation and selected mining method, these
				changes are considered appropriate as a combination of dilution and recovery.
	The miningrecoveryfactors used.			As described above for miningdilution.

Criteria	JORC Code explanation	Commentary	Commentary
	Any minimum mining widths used.		Designs and cutbacks have been designed to suit 100t excavators, 40t 6WD articulated dump
			trucks, 55t and 90t rigid dump trucks.
			A minimum mining width of 20m at pinch points.
			Two way ramp systems widths of 25m.
			One way ramp systems widths of 14m
			Ramp gradient of 10%.
	The manner in which Inferred Mineral		No Inferred Mineral Resources have been included in the Reserves.
	Resources are utilised in mining
	studies and the sensitivity of the		An optimisation sensitivity including Inferred materials was undertaken only to identify future
	outcome to their inclusion.		resource definition / extension opportunities and/or sterilisation requirements.
	The infrastructure requirements of the		As the operating entity, the MJ V will provide all supporting infrastructure for the planned contract
	selected mining methods.		mining operation. This includes offices, lunchroom, ablutions, workshops, stores, fuel & oil storage
			and dispensing, washbay, explosives magazines, and bulk explosive storage facility.
Metallurgical	The metallurgical process proposed		The deposit has three oxide ore types (oxide gold ore, supergene copper ore & oxide skarn ore)
factors or	and the appropriateness of that		and one fresh ore type (magnetite skarn) which constitutes the bulk of the ore tonnage. The
assumptions	process to the style of mineralisation.		magnetite skarn is characterised by a variable level of pyrite overprinting. The pyrite overprinting
			affects the ability to produce clean copper concentrate.
			Oxide gold ore is planned to be transported to a nearby existing gold treatment plant. Supergene
			copper ore is planned to be transported to port facilities and sold without processing.
			At the time of open pit optimisation, the Oxide skarn ore had no identified saleable value and was
			therefore stockpiled for potential future processing. However, subsequent marketing studies
			determined a DSO value for this material and therefore any of this material captured inside the pit
			designs above the economic cut-off grade was considered as revenue generating ore for the
			purposes of the ore reserve. This outcome increased the value of the designed pits.
			Fresh skarn ore is planned to be processed on site delivering both a copper/gold sulphide
			concentrate and a pyrite/gold concentrate from a conventional flotation circuit. The tailings steam
			from the copper flotation process will be treated to produce a magnetite concentrate using magnetic
			separation.

Criteria	JORC Code explanation	JORC Code explanation	JORC Code explanation	Commentary	Commentary
					As with the Oxide Skarn, subsequent to the open pit optimisation a market for the gold bearing pyrite
					concentrate from the fresh material was identified and this product was included in the revenue
					stream for the final project financials.
					The concentrating process selection was based on metallurgical test work completed at ALS
					Metallurgy in 2014 and 2015 under the supervision of Lycopodium Minerals Pty Ltd. The process
					plant was designed and costed by Lycopodium.
	Whether	the metallurgical process is			The flotation and magnetic concentrating processes are conventional practices based on well tested
	well-tested technology or novel in				technology utilised throughout the industry.
	nature.
	The	nature,	amount and		Metallurgical test work on the gold ore was limited to grind leach testing on a single composite
	representativeness of metallurgical				sample. Gold leach extraction was 89.6% accounting for soluble loss with a cyanide consumption
	test work undertaken, the nature of				of 3.45 kg/t after 24hours.
	the metallurgical domaining applied
	and the	corresponding metallurgical			A detailed metallurgical testwork programme was conducted on a representative composite sample
	recovery	factors applied.			of the fresh skarn ore to determine comminution and physical characteristics of the ore types and
					process products and optimised processing conditions. Variability samples were tested following
					the optimised processing route and greater than expected recovery variability was encountered
					such that further testing of additional samples was recommended
					Metallurgical domains were evident based on the degree of pyrite overprinting in the skarn ore. The
					S:Cu ratio was modelled in the resource and used to define the copper recovery algorithm, but the
					additional testing recommended is required to better link the metallurgical domains with the resource
					model
					Recovery factors for the various ore type used in the optimisation process are presented below
					For the Oxide gold ore type, the recovery used was 92% Au.
					The Supergene ore type and the Oxide Skarn are Direct Shipping Ores and 100% recovery was
					used for Cu & Au.
					Regressions were used to estimate the metal recoveries to the fresh rock copper concentrate. The
					resulting global averages for the copper/gold concentrate were 83.7% Cu, 55.1% Au and 60.7% Ag.
					Theglobal average for thepyrite concentrate was 29.8%Au.

Criteria	JORC Code explanation		Commentary	Commentary
				The magnetite Fe recoveryaveraged 60.7%of total Fe.
	Any assumptions or allowances	made		Sulphur has been observed and modelled.
	for deleterious elements.
				Mercury and arsenic present in the copper concentrate will be addressed in the smelter terms
				although test work indicates these elements will generally be below penalty concentrations. Arsenic
				in the pyrite will be sold off site with the pyrite concentrate.
	The existence of any bulk sample or			No bulk sample or pilot scale testing was conducted. Lycopodium do not consider this necessary
	pilot scale test work and the degree to			for this orebody and proposed flowsheet
	which such samples are considered
	representative of the orebody	as a
	whole
	For minerals that are defined	by a		The copper and magnetite products will need to meet a specification once defined by the marketing
	specification, has the ore reserve			contract. Mineralogy and assay data has been determined to demonstrate product qualities that will
	estimation been based on	the		be achieved.
	appropriate mineralogy to	meet
	specifications?
Environmental	The status of studies of potential			Base line environmental studies along with a full environmental impact analysis was carried out by
	environmental impacts of the mining			GAIA South independent consultants.
	and processing operation. Details of
	waste rock characterisation and the			The rainfall at the site is high and sediment loads will naturally be high within the stream courses.
	consideration of potential sites, status			Environmental control dams (ECDs) are provided where surface water leaves the site and the
	of design options considered	and,		catchments include runoff from operational areas. The environmental control dams have limited
	where applicable, the status of			ability to reduce sediment loads and the primary means of sediment control will be to limit sediment
	approvals for process residue storage			runoff at source (from localised areas).
	and waste dumps should be reported.
				Climate data for the site is based on climate stations located at lower elevation and closer to the
				coast. Site specific climate data is presently of insufficient duration to use in the climatology model.
				Site rainfall may be higher than the coastal stations.
				Flow data from the site’s streams is insufficient to develop specific runoff characteristics which may
				indicate higher of lower levels of runoff than those assumed.
				The site water model currently assumes that in pit dewatering will be treated through a wetland
				system and perimeter pit dewatering discharged directly to the site streams. The quality and quantity
				ofpit water is to be confirmed.

Criteria	JORC	Code explanation		Commentary	Commentary
					Geochemical assessment of the waste material is currently being undertaken. It is currently
					assumed that approximately 50% of waste will be potentially acid forming (PAF) or leachable. All
					waste rock that has the potential to generate acid or metal leachate will require encapsulation by
					non-acid forming material (NAF). There is considered to be sufficient NAF material to provide
					suitable encapsulation.
					Geochemical testing of the tailings indicates that the tailing facility will need a high density
					polyethylene (HDPE) liner and compacted soil liner subgrade to reduce seepage. The tailings will
					need to be maintained at saturation to reduce acid generation.
Infrastructure	The	existence of	appropriate		The Mabilo Project is located in Camarines Norte Province, Eastern Luzon, Philippines; the required
	infrastructure: availability		of land for		project infrastructure is readily available.
	plant	development, power, water,
	transportation (particularly for bulk				Paved roads provide access to the Area of Interest and planned facilities. The last 2kms into the
	commodities),		labour,		project area has a gravel road.
	accommodation; or the		ease with
	which	the infrastructure can be			High-voltage power is available within 2Km of the project area. There remains questions on the
	provided, or accessed.				capacity of the line to support the project and as such a site power station has been provided for in
					the feasibility scope.
					Potable water supply for offices and bathhouse facilities is available from local potable water bores.
					A containerised water treatment plant and UV sterilisation facility will be used.
					Water needed for processing will come from surface water management. Three existing creeks run
					through the tenement.
					Larap Port site is approximately 40kms from the process plant and will be used for the shipping of
					products. The feasibility has a capital allowance to upgrade the facility. Some upgrade work to
					existing roads will be required for the supply of consumables and delivery of concentrate products.
					Allowance in the feasibility has been made for this work.
					A permanent accommodation camp for key staff has been allowed for in the feasibility.
					The Camarines Norte province of the Philippines is an established mining region. The majority of
					workers are readily available from nearby existing communities. Where special skills are required,
					they will be sourced from other areas of the Philippines or through an Expatriate workforce.

Criteria	JORC Code explanation	Commentary	Commentary
Costs	The derivation of, or assumptions		The process plant was broken down into unit operation areas with quantity take-offs benchmarked
	made, regarding projected capital		against similar facilities from previous projects to provide the additional scope and level of
	costs in the study.		confidence needed to confirm that the accuracy level of the estimate was achieved.
			The overall plant layout and equipment sizing was prepared with sufficient detail to permit an
			assessment of the engineering quantities for the majority of the facilities for earthworks, concrete,
			steelwork, and mechanical items. The layouts enabled preliminary estimates of quantities to be
			taken for all areas and for interconnecting items such as piperacks.
			Unit rates for labour and materials were derived from responses to Budget Quotation Requests
			(BQRs) sent to fabricators and contractors experienced in the scale and type of work in the region.
			Budget pricing for equipment was obtained from reputable suppliers with the exception of low value
			items which were costed from Lycopodium's database of recent project costs.
			For the accommodation camp, offices and other architectural buildings, quoted pricing was supplied
			by MJV from GXD (China).
			For the tailings storage facility and surface water management structures bills of quantities and
			pricing estimates were provided by Knight Piésold based on their preliminary designs.
			A number of items were costed by outside consultants under the control of the MJV. These included
			the port, external access roads, water transmission and environmental / social costs.
			The MJV provided costs for Owners team and other related expenses.
			Contingency has been applied to all parts of the estimate.
			Mining capital costs include expenses for mining infrastructure as outlined above. The contract
			mining operation has no mining fleet capital expenditure as these costs are incorporated in the
			contract mining costs. Pre-production mining costs have been categorised as capital expenditure.
	The methodology used to estimate		Process plant Operating costs were compiled from information sourced by Lycopodium and the
	operating costs.		MJV
			Manning levels and pay rates advised by MJV to suit the proposed process plant unit operations
			and plant throughput.
			Consumableprices from supplier budgetquotations and the Lycopodium database.

Criteria	JORC Code	explanation	explanation			Commentary	Commentary
							Flotation reagent consumption and metal / concentrate recoveries based on laboratory testwork
							results and the mining schedule.
							Modelling by Orway Mineral Consultants (OMC) for crushing and grinding energy and consumables,
							based on ore characteristics derived from relevant testwork.
							First principle estimates where required based on typical operating experience or standard industrial
							practice.
							Benchmarking within the Philippines and comparison with costs at other similar operations.
							Mining operating expenditure was estimated based on mining volumes and other physicals provided
							by the production schedule for each of the mining activities. Personnel and equipment resource
							levels to undertake the mining activities were determined based on equipment productivities,
							available equipment hours, equipment operating costs and the manpower requirements of the Joint
							Venture and contractor parties for technical support, supervision and management. 2015 prices for
							equipment, consumables (fuel, explosives, etc.) and labour were applied to derive mining operating
							costs varying with time.
							Rehabilitation and closure costs were allowed for and estimated at USD0.10/tonne mined.
	Allowances	made for the		content of			As no deleterious elements have been identified, no allowances were made.
	deleterious elements.
	The derivation of		assumptions		made		The base metal prices used for the pit optimisation study are Copper $5,200/t, Gold $1,125/oz,
	of metal or commodity price(s),				for the		Silver $15/oz and Iron $65/t, all US dollars.
	principal minerals		and co- products.				The base metal prices used in the financial model are Copper $5,000/t, Gold $1,200/oz. Silver
							$14/oz and Iron $50/t, all US Dollars.
							These prices were provided by the Joint Venture and were based on the spot prices at the time
	Derivation of transportation charges.						Ore and concentrate transport costs of $0.25 per tonne per km have been used.
							This cost was provided by the Joint Venture and is based on standard industry prices currently
							available in the Philippines.
	The basis for forecasting or source of						The refining charges for copper concentrate are:
	treatment	and	refining	charges,
	penalties	for	failure	to	meet		$0.10/lb Cu + $5/oz Au + $0.4/oz Ag.
	specification,etc.

Criteria	JORC Code explanation	JORC Code explanation	JORC Code explanation	JORC Code explanation	Commentary	Commentary	Commentary
						This cost was provided by the Joint Venture and is based on a marketing study conducted by
						Conrad Partners.
	The allowances			made for royalties		A 2% government excise tax was applied.
	payable,		both	Government and
	private.
Revenue	The derivation of, or assumptions					Gold ore revenue factors:
factors	made	regarding revenue factors					The resource grades adjusted for dilution
	including		head	grade, metal or			The processing recoveries detailed above
	commodity price(s) exchange rates, transportation and treatment charges, penalties, net smelter returns, etc.					  	Gold price detailed above Refining charge $5/oz au Excise tax 2%
						Copper supergene ore revenue factors:
							The resource grades adjusted for dilution
							Treatment charge $130/t ore
							Refining charge $13/t ore
							Metal prices detailed above
							Pay-ability deductions: 1% cu metal, $6/oz au
							Pay-ability rates: 99% of cu, 90% of au, 0% of ag
							Refinement charge
							Excise tax
						Copper concentrate revenue factors:
							The Resource grades adjusted for dilution
							The processing recoveries detailed above
							Copper and gold prices detailed above
							Copper concentrate treatment charge:$100/t
							Refining charge on payable cu & au: $0.10/lb cu + $5/oz au
							Excise tax
						Magnetite concentrate revenue factors:
							The resource grades adjusted for dilution
							The processing recoveries detailed above
							Iron ore price detailed above
							Excise tax

Criteria	JORC Code explanation	Commentary	Commentary
			Processing costs and recoveries were provided by Lycopodium
			Transport costs were provided by the MJV.
			Concentrate treatment charges were provided by Conrad Partners who conducted a marketing
			study
			Refining charges were provided by Conrad Partners who conducted a marketing study.
			Shipping charges were provided by Conrad Partners.
			Net Smelter Returns and payabilities were provided by Conrad Partners as part of their marketing
			study.
	The derivation of assumptions made		Based on Spot Prices at the time.
	of metal or commodity price(s), for the
	principal metals, minerals and co-
	products.
Market	The demand, supply and stock		The supply and demand forecasts for copper were based on the International Copper Study
assessment	situation for the particular commodity,		Group Monthly Report, October 2015. Price forecasts for copper and magnetite were referenced
	consumption trends and factors likely		from the World Bank Commodity Price Forecast October 2015, with magnetite adjusted based on
	to affect supply and demand into the		predicted quality
	future.
			Ocean freight market terms were derived from the November 2015 outlook of Braemar ACM
			Shipbroking, and the commercial terms for the Mabilo products, including treatment and refining
			charges, were based on long term data compiled by Conrad Partners Ltd, attained from custom
			market surveys and prevailing sales agreements on comparable material.
	A customer and competitor analysis		The Mt Labo project is well positioned to ship products from the Larap Port for delivery to the large
	along with the identification of likely		Asian Pacific markets, specifically to China, Japan and Korea. The project can deliver products to
	market windows for the product.		each of these destinations using well established ocean freight routes. The combined Asian
			copper smelting capacity, not including India exceeds 7mtpa. The project can also consider the
			delivery of copper concentrates to Philippines domestic smelting capacity
	Price and volume forecasts and the		The assumed prices are: copper $5,000/t, gold $1,200/oz, silver $14/oz and iron $50/t, all US
	basis for these forecasts.		dollars.

Criteria JORC Code explanation Commentary	Criteria JORC Code explanation Commentary	Criteria JORC Code explanation Commentary	Criteria JORC Code explanation Commentary	Criteria JORC Code explanation Commentary	Criteria JORC Code explanation Commentary	Criteria JORC Code explanation Commentary
1 Mtpa forecast annual production estimated by MJV for copper is 13,600 tonnes, gold 49,900oz and iron is 257,000t. 1.35Mtpa forecast annual production estimated by MJV for copper is 18,300t, gold is 67,000oz and Iron is 347000t.
Economic The inputs to the economic analysis to produce the net present value (NPV) in the study, the source and confidence of these economic inputs including estimated inflation, discount rate, etc.  The economic analysis is based on cash flows driven by the production schedule. The cashflow projections include:  initial and sustaining capital expenditure estimates  mining, processing, transport and concentrate treatment operating cost estimates  revenue estimates based on metal prices and adjusted for fees, charges, pay-ability estimates and excise tax.  closure cost  company tax estimates
NPV ranges and sensitivity to variations in the significant assumptions and inputs.  The sensitivity shows the NPV for the 1.35 Mtpa at the 8-percent discount rate when capital costs, gold price, copper price, variable mining cost and processing costs are increased and decreased in increments of 5 percent within a +/- 10 percent range. NPV Sensitivity (US$M) -10% -5% Base 5% 10% Processing Plant Capital Cost 137.3 131.2 125.0 118.6 112.2 Gold Price 105.0 115.0 125.0 135.3 145.2 Copper Price 95.1 110.1 125.0 139.9 154.7 Variable Mining Cost 131.2 128.1 125.0 121.9 118.7 Processing Cost 137.5 131.2 125.0 118.9 112.8
			NPV Sensitivity (US$M)
		-10%	-5%	Base	5%	10%
	Processing Plant Capital Cost	137.3	131.2	125.0	118.6	112.2
	Gold Price	105.0	115.0	125.0	135.3	145.2
	Copper Price	95.1	110.1	125.0	139.9	154.7
	Variable Mining Cost	131.2	128.1	125.0	121.9	118.7
	Processing Cost	137.5	131.2	125.0	118.9	112.8
Social The status of agreements with key stakeholders and matters leading to social licence to operate.  Stakeholder support has been strong during property acquisition process.					and through the permitting

Criteria	JORC Code explanation	JORC Code explanation		Commentary	Commentary
					The Company has submitted a Social Development Management Plan (SDMP) to support the
					proposed Mabilo Mining Project and this is subject to review by the Mines and Geosciences Bureau
					(MGB) Region V. In the interim MGB Region V has approved the Community Development Plan for
					implementation.
					The application for Environmental Compliance Certificate(ECC)is well advanced.
Other	To the extent relevant, the		impact of
	the following on the project		and/or on
	the estimation and classification of the
	Ore Reserves.
	Any identified	material	naturally		The risk of large scale pit wall failure occurring is low if the pit slopes are excavated as per design
	occurring risks.				and with the pre-split drilling and blasting activities allowed for in the mine plan are adhered to. The
					consequences of such an unlikely event will result in extra mining costs and delays but won’t prevent
					extraction of the scheduled ore.
					There is a risk of large scale pit flooding impacting on the performance of the project if the project
					area is hit with cyclonic rainfall. Production and cash flow delays may be incurred.
					Geotechnical investigation for mine infrastructure comprised a broad assessment of the typical
					ground conditions present at the site. The core recovery during borehole drilling was low and the
					boreholes did not confirm the depth of rock head. No boreholes were drilled at the waste dump or
					tailings storage facility (TSF) and the ground conditions have been inferred from boreholes drilled
					elsewhere.
					The feasibility stage site investigation comprised a broad assessment of the typical ground
					conditions present at the site. In the next phase of work, ground investigation is required that is
					specifically focussed on the site layout and comprises drilling techniques that return higher quality
					core.
					The permeability and compressibility of the in situ ground at the TSF and waste dump (WD) is not
					confirmed. The rate at which earthworks are constructed will need to be carefully controlled to
					ensure adequate stability is maintained. During later stages of construction of the waste dump,
					waste rock will be available to provide a drainage layer. A provisional sum has been allowed for in
					the cost estimate for localised ground improvement to aid consolidation of the TSF and WD during
					Stage 1 construction.

Criteria	JORC Code explanation	JORC Code explanation	JORC Code explanation	JORC Code explanation			Commentary	Commentary
								The site is located in an area of high seismic activity. Site investigation indicates that the natural
								ground is at risk of liquefaction under a seismic event. A preliminary liquefaction assessment
								indicates that a sacrificial earthworks bund will be constructed around the external perimeter of the
								structural zone of the TSF to limit deformations.
								The TSF has been designed to accommodate the co-disposal of both the non-magnetic and pyrite
								tailings stream. It has been confirmed that a market for the pyrite has been identified and the pyrite
								will be transported off site.
								A water balance model indicated that the TSF has a positive water balance over the life of mine. A
								water treatment plant for the treatment of supernatant water is expected to be operating up to 6
								months of the year under average conditions to treat supernatant water and up to 12 months of the
								year under a 1 in 100 year ARI wet sequence.
								Site investigation of the plant site indicates that the ground is at risk of high settlement under static
								loading and seismically induced liquefaction. Key structures are considered to require piling which
								has been included in the capital costs. Bedrock was not encountered during the investigation and it
								is expected to be present at considerable depth.
	The status		of	material		legal		Negotiations with land owners and land occupiers are in progress in order to secure land access.
	agreements		and		marketing			However environmental approval for the project and rights to undertake mining and processing
	arrangements.							activities still need to be obtained.
								Service contracts for mining, ore and concentrate transport, port services and ship loading, security
								and operating of accommodation facilities are yet to be done.
								Preliminary marketing negotiations have taken place. More definitive agreements will be put in
								place once the project implementation schedule has been finalised.
	The status of government agreements							Exploration Permit EP-014-2013-V, covering the Mabilo Project, is currently in the renewal process.
	and approvals		critical to the viability of
	the project,	such as mineral tenement						Approval needs to be obtained via a Mineral Production Sharing Agreement (“MPSA”). This is the
	status and	government and statutory						mechanism to secure the Mabilo “Contract Area” which is a term comparable to a mining lease in
	approvals. There must be reasonable							other jurisdictions.
	grounds to	expect		that all	necessary
	Government		approvals		will	be		MPSA approval for the oxide mining phase (no processing) has been applied for but this has not
	received	within		the timeframes				been granted yet. During this phase ore and waste are mined and all ore is transported away without
	anticipated	in	the	Pre-Feasibilityor				onsite treatment.

Criteria	JORC Code explanation	Commentary	Commentary
	Feasibility study. Highlight and
	discuss the materiality of any		MPSA approval application for the phase after the oxide mining has yet to be submitted. This second
	unresolved matter that is dependent		phase includes both mining and processing activities and the scale of the operation will be bigger.
	on a third part on which extraction of
	the reserve is contingent.		During this phase mining excavations will extend beyond the “Contract Area” southern boundary
			into a block which contains a watershed. Because of the watershed this block cannot be part of a
			“Contract Area”. However because only waste (no ore) needs to be mined south of the boundary
			and because the pit design does not intersect the water shed, approval to establish this cut may be
			obtained from the Mines and Geosciences Bureau via Sections 75 and 76 of the MiningAct.
Classification	The basis for the classification of the		Probable Ore Reserves were determined from Indicated resource materials as per guidelines.
	Ore Reserves into varying confidence
	categories. Whether the result
	appropriately reflects the Competent
	Person’s view of the deposit. The
	proportion of Probable Ore Reserves
	that have been derived from
	Measured Mineral Resources(if any).
Audits or	The results of any audits or reviews of		Ore Reserve estimate has been reviewed internally by Orelogy.
reviews	Ore Reserve estimates.
			No external reviews or audits have been undertaken on the Ore Reserve estimate.
Discussion of	Where appropriate a statement of the		The Ore Reserve estimate is the outcome of the Feasibility Study with geological, metallurgical,
relative	relative accuracy and confidence level		geotechnical, engineering and mining engineering considerations. It has a nominal accuracy of ±
accuracy/	in the Ore Reserve estimate using an		15%.
confidence	approach or procedure deemed
	appropriate by the Competent		The project has a high NPV and is robust in terms of costs variations. It is sensitive to copper and
	Person. For example, the application		gold price variations and to the ability to mine waste south of the “Contract Area” boundary (in order
	of statistical or geostatistical		to access ore within that boundary.
	procedures to quantify the relative
	accuracy of the reserve within stated		There is no guarantee that the study price assumption will be achieved as commodity prices can
	confidence limits, or, if such an		vary significantly more than a ± 25% band width. This, and not having secured the required MPSA
	approach is not deemed appropriate,		with an additional approval to mine waste south of the “Contract Area” boundary, are the main
	a qualitative discussion of the factors		project uncertainties.
	which could affect the relative
	accuracy and confidence of the
	estimate.

Criteria	JORC Code explanation	Commentary	Commentary
	The statement should specify whether		Global estimates have been used.
	it relates to global or local estimates,
	and, if local, state the relevant
	tonnages, which should be relevant to
	technical and economic evaluation.
	Documentation should include
	assumptions made and the
	procedures used.
	Accuracy and confidence discussions		There are no undisclosed known areas of uncertainty.
	should extend to specific discussions
	of any applied Modifying Factors that		Not having secured an MPSA with an approval to mine waste south of the “Contract Area” boundary
	may have a material impact on Ore		is a main uncertainty for the project as outlined in this study. If these approvals cannot be obtained
	Reserve viability, or for which there		the project needs to be reviewed and the Reserves be restated.
	are remaining areas of uncertainty at
	the current study stage.		The capital cost estimates were derived from first principles for the 1 Mtpa process plant to an
			accuracy of +/- 15% and then the capital cost estimates were factored with an accuracy of +/- 25%
			for the 1.35 Mtpa process plant.
			The operating cost estimates were derived from first principles for the 1Mtpa process plant and then
			plant costs were factored with an accuracy of +/- 25% for the 1.35Mtpa operating scenario.
	It is recognised that this may not be		There has been no production to date, so no comparison to production or reconciliation data can
	possible or appropriate in all		be made.
	circumstances. These statements of
	relative accuracy and confidence of
	the estimate should be compared with
	production data, where available.