SABRE RESOURCES LIMITED — Capital/Financing Update 2017

Mar 27, 2017

ASX ANNOUNCEMENT

28 March 2017

ASX code: SBR

RENEWAL OF EPL 3542

BORDER/TOGGENBURG/KASKARA

HIGHLIGHTS

• Border-Toggenburg-Kaskara Tenement EPL 3542 Finally Renewed.
• EPL 3542 Contains
  • Border Zinc-Lead Deposit (16MT AT 1.55% Zn, 0.59% Pb, 4.76G/T Ag)
  • Toggenburg / Southridge Zn/Pb Prospects
  • Driehoek Deposits
  • Auros Zn Pb Ag Prospect
  • Kaskara Cu V Zn Ag Prospect

Sabre Looks To Recommence Exploration For Zinc Lead and Silver At Border And Toggenburg Now that the Tenement Has Been Renewed

The Company is pleased to announce that it has received confirmation from the Namibian Ministry of Mines and Energy of the renewal of exploration licence EPL 3542. The licence has been renewed for two years from 30 October 2016 to 29 October 2018. The application for the renewal was lodged in the September quarter of 2015 ahead of the due date and renewal has only just been received.

The lack of security of tenure has been of great concern to the Company, its management, auditors and shareholders, and it has impacted on the ability of the Company to progress its exploration and access the capital Markets. The Company is pleased that, now it has security of tenure, it can proceed with its proposed exploration and drilling programs.

EPL 3542 is located in the Otavi Mountainland ("OML") of Namibia, and covers approximately 237 square kilometres. Sabre has defined two major trends with stratabound zinc-lead sulphide mineralisation within the tenement. This is a key tenement in Sabre's Namibian holdings and contains the following resources and projects:

• The Border Zn-Pb deposit (16Mt @1.53%Zn, 0.59% Pb and 4.76 Ag); $\bullet$
• The Driehoek Zn-Pb deposit;
• The Toggenburg and Southridge Zn-Pb prospect;
• The Kaskara Cu-V and Ag prospect:
• The Auros Zn-Pb-Ag prospect;

together with a number of other prospects.

The Company continues to await the renewal of EPL 3540 which contains the Kombat copper trend and its Guchab project. Sabre is not aware of any issues that would preclude the renewal of this licence in a similar way to the renewal of EPL 3542. The Company is hopeful that the Namibian Ministry of mines will renew this tenement in the near future. Once this licence is renewed Sabre will recommence its copper exploration.

Figure 1: The Otavi Mountain Land Project, Namibia, showing Sabre's main zinc prospects and deposits (black crosses) amid the main deposits of the region (white crosses). The dashed red line is the Pavian Trend of zinc-lead deposits and geochemical anomalism.

BORDER ZINC-LEAD-SILVER DEPOSIT

The Border Zn-Pb-Ag Deposit is one of a series of zinc-lead deposits located on Sabre's 30 kilometres Iong Border-Toggenburg Trend in northern Namibia (Figure 1).

Figure 2: Border is a stratabound, epigenetic Zn-Pb-Ag deposit, extending along 1.7km along strike to a depth of $390m$ .

The Border Resource is a key component of the Company's strategy of identifying and developing high-tonnage, moderate-grade Zn-Pb-Ag open cut mines, feeding a centrally located processing plant on the Border-Toggenburg trend.

Sabre has reported a JORC 2012 Mineral Resource at the Border Deposit of:

16.0 Mt @ 1.53% Zn, 0.59% Pb and 4.76 g/t Ag,

when reported at a 1.25% Zn+Pb cut-off grade. The mineral resource estimate increases to 31.2 Mt @ 1.10% Zn and 0.40% Pb and 3.37 g/t Ag when reported at 0.5% Zn+Pb cut-off grade.

	Resources			Metal Grade			Contained Metal
Category	Cut off%)	Tonnage(Mt)	Zinc(%)	Lead(%)	Silver(g/t)	Zinc(t)	Lead(t)	Silver(Moz)
Inferred	0.5	31.2	1.10	0.40	3.37	343.000	126.000	3.4
Inferred	1.25	16.0	1.53	0.59	4.76	246,000	95,000	2.5
Inferred	2.0	7.5	1.93	0.80	5.96	144.000	59,000	1.4

Table 1 - Border 2014 Mineral Resource Estimate

Border is considered to be an epigenetic zinc-lead-silver deposit that consists of sphalerite (zinc sulphide) and galena (lead sulphide) mineralisation within dolomitic host rocks. No pyrite or any other sulphides are present in significant amounts, and weathering is minor and shallow so as to be immaterial. The deposit dips at 60° to the north-northwest, stretches along strike for 2,430m, extends for up to 390m beneath surface (with the bulk of the tonnage and grade within 150m of surface), and varies between 10m and 85m thick (25m average thickness). A plan of the holle collars and grademetre distributions of the mineralisation is shown in Figure 3.

BORDER - METALLURGICAL TESTWORK

Sabre has completed detailed metallurgical test work on the Border Deposit to test the response of the mineralisation to dense media separation (DMS). DMS is a cheap and efficient process that becomes more efficient with higher density contrasts, providing greatly reduced mineral processing costs. The results are summarised in Table 2.

Table 2 – Summary of the results of beneficiation testing of Border mineralisation on bulk composite sample
(60kg, crushed and screened all passing 12.5mm)

Process	Lead	Zinc
1 - Original sample (head assay)	0.77%	1.66%
$2$ – Dense media separation sinks $($ + fines fromcrushing)
Product grade:	6.3%	12.5%
Enrichment factor (from 1):	8.2 times	7.5 times
Metal Recovery (from 1):	92.5%	86.0%
3 - Grind and float
Product grade:	63-69%	$61 - 62%$
Enrichment factor (from 2):	$~10$ times	$~5$ times
Recovery (from 2):	$94 - 95 %$	$-95%$
Process Summary
Overall enrichment (from original):	$~1$ -82 times	$~1$ -37 times
Overall recovery (from original):	87.8%	81.7%

The beneficiation tests on the bulk sample show exceptional upgrading of the mineralisation, in the DMS step with 92.5% of the lead and 86% of the zinc recovered to only 17% of the feed mass with a resulting product grade of 12.5% zinc and 6.3% lead. This greatly reduces the amount of material requiring grinding prior to flotation. Grind and float test work demonstrated excellent liberation at a relatively coarse grind size of 150 microns. Final flotation concentrate grades were around 65 % lead and 62 % zinc (from mineralisation grading 0.77% Pb and 1.66% Zn), with final recoveries of around 87% for lead and 82% for zinc.

The optimised test results are as follows:

• At a coarse 12.5 mm (half inch) crush size approximately 87% of the waste mass can be reiected by DMS
• At a relatively coarse optimum grind size of 150 microns, good separation is achieved to produce lead and zinc cleaner concentrates
• After flotation, a lead cleaner concentrate grade of 65% Pb was achieved, recovering 94.5% of the lead in the flotation feed
• After flotation, a zinc cleaner concentrate grade of 61.5% Zn was achieved, recovering 95% of the zinc in the flotation feed

A major factor in the success of the DMS technique at Border is the lack of waste sulphides, such as the iron sulphides pyrite and pyrrhotite. Such minerals would typically concentrate with the galena and sphalerite and would thereby result in a lower concentrate grade, possibly requiring further processing such as flotation to separate waste sulphides from ore sulphides. However, the near absence of these waste sulphides at Border means that the simple DMS process is highly efficient, resulting in very low processing costs to produce a marketable concentrate. This indicates that lower grades of zinc and lead mineralisation can be processed profitably.

In summary, after dense media separation and flotation, 81.7% of the total zinc and 87.8% of the total lead and 89% of the total silver can be expected to be recovered. Most importantly for the economics of the project, after crushing and DMS, only 17% of the original feed would require milling and flotation

This mill feed is made up of naturally upgraded <1mm fines (10%) and DMS concentrate (7%). Excellent liberation of zinc and lead sulphides in this mill feed occurs at a relatively coarse grind size of 150 microns providing a potential further cost benefit.

The Border Deposit, together with high priority exploration targets at Toggenburg, East Border and South Ridge on the Border-Toggenburg Trend, and Auros and Driehoek potentially constitute a camp of zinc-lead deposits which could be easily mined and treated through a centrally located processing plant.

TOGGENBURG

The Toggenburg prospect is located along strike about 2km west of Sabre's Border lead-zinc-silver deposit and is interpreted to be controlled by the same structures as Border. The Toggenburg prospect measures over 2.8 km long and up to 250m wide, with maximum combined zinc and lead values in excess of 2.9%. The anomalies defined at Toggenburg, which are open to the east and west, have an area more than four times the size of the equivalent anomaly at Border. where a 0.1% Zn+Pb cutoff in the near-surface approximates the footprint of zinc and lead sulphide mineralisation at depth.

Four drill sites at Toggenburg were identified for a series of 100 m deep reverse circulation drill holes which are designed to test the down-dip extent of zinc and lead mineralisation. It is expected that, like the Border Deposit 2 km to the west, mineralisation will dip moderately to steeply to the northnorthwest, parallel to the host dolomite sequence.

The drill sites and access to them have been prepared, but it was decided not to proceed with drilling until the licence was renewed. Now that the licence has been renewed the Company can again address this issue.

The potential for Toggenburg, based on the size of its footprint compared to that of Border. is for it to be more than four times the size of the Border deposit.

Figure 5: Top of bedrock maximum zinc plus lead values over the Toggenburg project area. Orange lines outline the 0.10 % (1000 ppm) Zn+Pb contour, which at the Border deposit defines the distribution of zinc and lead sulphide mineralisation at depth. Latest drilling is highlighted by white bands and shows continuity of mineralisation in the subsurface. Note that the mineralisation is open to the east and west

AUROS

To the west of Border at Auros, the Auros zinc-lead anomaly has been identified by the collection and assaying of over 5,000 surface soil samples. This large surface sampling program resulted in the identification of the Auros zinc-lead anomaly which measures over 2.5 km by 5.0 km. It covers an area of over 300 hectares.

Figure 6: The Auros Zinc-Lead anomaly

Figure 7: Outcropping disseminated galena (dark grey) and sphalerite (brown-grey) mineralisation with secondary zinc oxides (brown) in the Auros area.

The Aur percent ros anomaly range. Value y contains n es as high a numerous hig as 8.25%Zn + ghs within i + Pb (6.3%Z ts extent, w Zn and 1.95% with values c % Pb) have b commonly w been obtain within the ned.

Detailed that the along str of depos interpretatio Auros area m rike around 1 sits and occu on of high re mineralisatio 19 km to the urrences. esolution aero on has a simi e east. Auros omagnetic d ilarity to the s is, however data and field zinc-lead mi r, far larger i d work over neralisation n extent than the Auros ar at Driehoek, n the Drieho rea show , which is oek group

Sabre v zinc-lea views Auros d mineralisa s as an area ation. a of very hig gh potentia l for the dis scovery of s substantial tonnage

DRIEHO OEK

Driehoek Kaskara Driehoek Driehoek k is a zinc-le . Broad zon k is comprise k South ead deposit nes of mod ed of four di outcropping erate grade iscrete bodie g on a serie e mineralisat es: Driehoek s of promine tion enclose k North, Drie ent hills arou e numerous hoek Centra und 2.5 km high grade al, Driehoek south of s zones. East and

Drilling a exceede and channe ed grade exp l sampling a ectations. Th at Driehoek hree diamon East, North d drillholes h h and Centr have returned ral validated d excellent re d historic dri esults, includ lling and ding:

• DKDD D0008 61.8 inclu 85m @ 4.21% uding 2 m @ and 3 m @ % Pb+Zn (2.9 @ 12.09% Pb @ 13.78% Pb 96% Zn + 1. b+Zn (10.07 b+Zn (7.90% 25% Pb) & 6 % Zn + 2.03 % Zn + 5.88% 6.30g/t Ag fro % Pb) & 11. % Pb) & 27g/t om 12.4m 87g/t Ag from /t Ag from 54 m 18.9m 4m
• DKDD D0009 71m inclu m @ 3.62% P uding 4 m @ and 9 m @ Pb+Zn (2.63% @ 11.43% Pb @ 7.61% Pb+ % Zn + 1.00% b+Zn (7.26% +Zn (5.71% % Pb) and 4. % Zn + 4.17% Zn + 1.90% .75g/t Ag from % Pb) & 22.7 Pb) & 9.52g/ m 10m 5g/t Ag from /t Ag from 28 m 18m 8m
• DKDD D0010 55.7 inclu 75m @ 2.04% uding 20.75 and 5m @ % Pb+Zn (1.6 5m @ 3.03% @ 3.52% Zn f 67% Zn + 0. % Pb+Zn (2.1 from 67m 36% Pb) & 1 8% Zn + 0.8 1.32g/t Ag fro 4% Pb) & 3. om 16.25m 7g/t Ag from m 16.25m

The dep osit is open in several dir rections that t will be inves stigated at a later date.

KASKA ARA

EPL 354 potential mined fo samples specialis zinc-lead drilling o 42 also con l for a large or vanadium s and RC dr sed, diamond d-silver pote of Kaskara. ntains the Ka Tsumeb sty and has sho rilling. The ta d drilling wh ntial of this t askara copp yle deposit, c own very hig arget potenti hich is highly tenement an per-lead-zinc continues to h grades of ial is huge, y expensive. nd try to reac c-vanadium p o intrigue Sa Cu, Pb, Zn a however, its . It has bee ch productio prospect. Th bre personn and V2O5 in u s exploration n decided to on before em his prospect nel. It was h underground n involves ve o concentrat mbarking on , with its istorically d channel ery deep, te on the the deep

INFRAS STRUCTUR RE

The Ota The proj broadba execute avi Mountain ject area ha nd and mob the program Land projec as establishe bile phone m. ct area has ed communic reception) a existing wat cations infras and a highly er, power an structure (in y competent nd rail links cluding road team of ge to port withi ds, telephone eologists in in 50 km. e, mobile place to

Competent Person Declaration

The information in this report that relates to Exploration Results is based on information compiled by David Chapman who is a Director of Sabre Resources Ltd, and who is a Member of The Australian Institute of Mining and Metallurgy. Mr Chapman has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity that he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the "Australian Code for Reporting of Exploration Results, Mineral Resource and Ore Reserves". Mr Chapman consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Forward-Looking Statements

This document may include forward-looking statements. Forward-looking statements include, but are not limited to, statements concerning Sabre Resources Ltd's planned exploration programme and other statements that are not historical facts. When used in this document, the words such as "could," "plan," "estimate," "expect," "intend," "may", "potential," "should," and similar expressions are forward-looking statements. Although Sabre believes that its expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements.

App pendix 1 Dril llhole Locat tion Informa ation.

All Collar Co-ordina ates collecte ed using ha and held GP PS. Co-ordin ate system is WGS84-3 33S.

Hoole	Type	Depth(m)	Dip(°)	Azimuuth(°T)	Easting(mE)	Northing(mN)	RL((m asl)
BDDDD0007	DDD	60	-60	165	806902	7842952	1527
BDDDD0008	DDD	90	-60	165	806889	7843000	1526
BDDDD0009	DDD	120	-60	165	806879	7843048	1525
BDDDD0011	DDD	60.9	-60	165	807097	7843009	1528
BDDDD0012	DDD	68	-60	165	807086	7843053	1527
BDDDD0017	DDD	140.22	-60	165	807263	7843143	1532
BDDDD0023	DDD	160	-60	165	807439	7843263	1526
BDDDD0025	DDD	60	-60	165	807678	7843159	11526.5
BDDDD0026	DDD	90	-60	165	807661	7843209	1526
BDDDD0027	DDD	120	-60	165	807650	7843255	11525.5
BDDDD0028	DDD	150	-60	165	807633	7843305	1525
BDDDD0029	DDD	70	-60	165	807870	7843209	11525.5
BDDDD0030	DDD	100	-60	165	807858	7843260	11524.5
BDDDD0031	DDD	130	-60	165	807844	7843308	1524
BDDDD0034	DDD	90	-60	165	808048	7843310	1524
BDDDD0043	DDD	228	-60	165	807892	7843120	1535
BDDDD0044	DDD	304.89	-60	165	807714	7843021	1537
BDDDD0045	DDD	150.18	-60	165	807903	7843069	1535
BDDDD0046	DDD	500.96	-60	165	807815	7843412	1530
BDDDD0047	DDD	400	-60	165	808090	7843172	1535
BDDDD0048	DDD	150.18	-60	165	807724	7842989	1538
BDDDD0049	DDD	400	-60	165	807624	7843358	1529
BDDDD0050	DDD	31.93	-60	165	808008	7843467	1529
BDDDD0051	DDD	400.21	-60	165	807995	7843557	1528
BDDDD0052	DDD	300	-60	165	808456	7843303	1530
BDDDD0053	DDD	398	-60	165	807598	7843451	1519
BDDDD0054	DDD	250	-60	165	808023	7843461	1522
BDDDD0055	DDD	330	-60	165	807789	7843507	1521
BDDDD0056	DDD	440.09	-60	165	807576	7843550	1523
BDDDD0057	DDD	448.8	-60	165	808347	7843755	1491
BDDDD0058	DDD	320.2	-60	165	807406	7843400	1521
BDDDD0059	DDD	400	-60	165	807761	7843596	1523
BDRCC0001	RCC	90	-60	165	806323	7842796	1544
BDRCC0002	RCC	150	-60	165	806297	7842893	1548
BDRCC0005	RCC	70	-60	165	806731	7842905	1538
BDRCC0006	RCC	115	-60	165	806685	7842995	1535
BDRCC0009	RCC	50	-60	165	806876	7843048	1525
BDRCC0010D	RCDD	150	-60	165	806864	7843096	1524
BDRCC0013D	RCDD	120	-60	165	807070	7843103	1526
BDRCC0014D	RCDD	150	-60	165	807060	7843150	1525
BDRCC0018D	RCDD	182	-65	165	807248	7843210	1532
BDRCC0019D	RCC	90	-70	165	807239	7843234	1533
BDRCC0020	RCC	76	-60	165	807481	7843105	1528
BDRCC0021	RCC	110	-60	165	807466	7843165	1527
BDRCC0022	RCC	140	-60	165	807459	7843190	1527
BDRCC0023	RCC	61	-60	165	807444	7843259	1526
BDRCC0024D	RCDD	180	-60	165	807429	7843300	1525
BDRCC0028	RCC	59	-60	165	807635	7843305	1525
BDRCC0032D	RCDD	160	-60	165	807825	7843358	11523.5
BDRCC0033	RCC	60	-60	165	808062	7843261	11524.5
BDRCC0035D	RCDD	50	-65	165	808036	7843351	1523
BDRCC0036D	RCDD	151	-60	165	808024	7843410	1523
BDRCC0037	RCC	70	-60	165	808259	7843317	11522.5
BDRCC0038	RCC	115	-60	165	808232	7843397	1522
BDRCC0039	RCC	70	-60	165	808448	7843372	11520.5
BDRCC0040	RCC	77	-60	165	808428	7843446	1521
BDRCC0041	RCC	79	-60	165	806462	7843045	1534
BDRCC0042	RCC	131	-60	165	806546	7843034	1534
BDWWB02	RCC	180	-90	0	810764	7843127	1530

Appendix 2 2

Drillhole In Resource minimum Intersection estimation of 5m intern Information n. Composi nal dilution. n. All comp ites created Higher gra posited Inte d using 0. ade sub-com ersections u 5% Pb+Zn mposites are used in the % and a e shown.

Hole_ID	mFrom	mTo	Zn+Pb %Intercept	Zn %	Pb %	Ag ppm
BDDD0049	101	146	45.00m @ 2.100 %	1.48	0.62	3.81
includingg	111	121	10.00m @ 5.3%	3.16	2.14	11.22
includingg	113	115	2.00m @ 13.955%	5.7	8.26	43.31
andd	123	134	11.00m @ 2.355%	2.21	0.14	1.87
BDDD0049	169	180	11.00m @ 0.899 %	0.67	0.23	0
BDDD0049	234	235	1.00m @ 1.76%	1.74	0.01	0
BDDD0059	302	303	1.00m @ 1.00%	0.83	0.17	7
BDDD0059	309	315	6.00m @ 0.33%	0.28	0.05	0
BDDD0059	323	350	27.00m @ 2.322 %	1.75	0.57	3.75
includingg	329	333	4.00m @2.39%	2.24	0.15	2.07
andd	336	338	2.00m @ 12.055 %	6.35	5.71	30.38
andd	345	349	4.00m @ 3.11%	2.78	0.33	2.61
BDRC0021	2	22	20.00m @ 1.277 %	0.8	0.46	3.16
includingg	3	4	1.00m @ 11.933 %	5.44	6.49	37.45
BDRC0021	28	30	2.00m @ 0.52%	0.45	0.07	1.05
BDRC0021	58	60	2.00m @ 0.90%	0.58	0.31	0
BDRC0006	44	46	2.00m @ 1.22%	1.11	0.11	0.48
BDRC0006	54	62	8.00m @ 5.23%	0.38	4.86	16.5
includingg	54	58	4.00m @ 9.15%	0.47	8.68	28.09
BDRC0006	92	94	2.00m @ 0.85%	0.76	0.1	0
BDRC0006	100	102	2.00m @ 0.98%	0.63	0.35	0
BDRC0032DD	18	119	101.0m @ 2.122 %	1.45	0.67	5.68
includingg	48	52	4.00m @ 2.97%	2.75	0.22	4.9
andd	55	61	6.00m @ 3.4%	0.41	3	13.18
andd	63	66	3.00m @ 2.1%	0.98	1.12	9.99
andd	71	81	10.00m @ 4.166 %	3.35	0.82	4.6
andd	83	90	7.00m @ 3.58%	3.17	0.41	2.74
andd	92	94	2.00m @ 5.91%	5.24	0.68	7.37
andd	99	107	8.00m @ 3.39%	1.87	1.53	17.02
andd	110	115	5.00m @ 4.08%	2.73	1.35	13.42
BDRC0014DD	135	147	12.00m @ 0.755 %	0.59	0.16	0.82
BDRC0018DD	79	140	61.00m @ 1.266 %	0.86	0.4	2.22
includingg	79	81	2.00m @ 5.89%	5.18	0.71	7.04
andd	124	127	3.00m @ 2.57%	1.49	1.08	3.36
andd	130	132	2.00m @ 2.277%	1.84	0.43	1.91
BDDD0023	67	78	11.00m @ 1.199 %	0.9	0.29	1.55
includingg	73	75	2.00m @ 3.71%	2.77	0.94	6.85
BDDD0023	86	135	49.00m @ 1.100 %	0.95	0.15	1.79

includingg	87	89	2.00m @ 2.533%	2.31	0.45	2.1
andd	101	103	2.00m@ 2.19%	1.64	0.55	3.33
andd	116	119	3.00m @ 5.42%	4.89	0.53	12.41
BDDD0028	53	121	68.00m @ 1.355 %	0.96	0.39	2.61
includingg	61	70	9.00m @ 2.6%	2.11	0.5	3.1
andd	72	77	5.00m @ 5.87%	3.57	1.3	7.91
andd	84	90	6.00m @ 2.133%	1.24	0.88	6.77
BDDD0054	139	140	1.00m @ 2.35%	2.3	0.04	0
BDDD0054	156	168	12.00m @ 2.811 %	1.85	0.96	10.7
includingg	164	168	4.00m @ 4.87	2.8	2.07	13.41
BDDD0054	175	201	26.00m @ 0.977 %	0.94	0.04	0.63
includingg	181	184	3.00m @ 3.61%	3.6	0.01	0
BDDD0034	82	83	1.00m @ 4.46%	4.41	0.05	10
BDDD0046	88	89	1.00m @ 4.32%	3.36	0.97	0
BDDD0046	116	152	36.00m @ 1.022 %	0.88	0.14	1.87
includingg	131	136	5.00m @ 3.51%	2.95	0.55	5.66
BDDD0046	172	177	5.00m @ 0.64%	0.57	0.07	0
BDDD0046	188	189	1.00m @ 0.52%	0.48	0.04	0
BDDD0046	246	249	3.00m @ 1.01%	1.01	0	0
BDDD0058	197	200	3.00m @ 1.17%	0.99	0.18	0
BDDD0058	208	231	23.00m @ 2.166 %	2.02	0.14	0.98
includingg	208.62	210.74	2.12m @ 3.77%	3.44	0.33	0
andd	217	224	7.00m @ 4.31%	4.22	0.08	1.24
BDDD0058	246	261	15.00m @ 0.899 %	0.72	0.18	2.24
includingg	246	249	3.00m @ 2.5%	1.98	0.52	6.14
BDRC0022	20	22	2.00m @ 0.85%	0.77	0.08	1.21
BDRC0022	32	36	4.00m @ 4.26%	1.28	2.98	16.26
BDRC0022	48	62	14.00m @ 2.099 %	1.81	0.27	3.66
BDRC0022	104	106	2.00m @ 1.40%	0.55	0.86	0
BDRC0002	40	46	6.00m @ 0.79%	0.64	0.15	0
BDRC0002	56	94	38.00m @ 0.955 %	0.87	0.07	0.95
includingg	64	66	2.00m @ 2.79%	2.56	0.23	1.94
andd	70	72	2.00m @ 3.92%	3.79	0.13	7.25
BDDD0055	219	255	36.00m @ 2.144 %	1.54	0.59	3.17
includingg	224	227	3.00m @ 2.67%	1.88	0.8	4.28
andd	236	245	9.00m @ 3.600%	2.89	0.71	3.88
andd	248	251	3.00m @ 3.87%	1.65	2.22	9.03
BDDD0031	4.22	8	3.78m @ 0.45%	0.42	0.03	0.66
BDDD0031	14	68	54.00m @ 1.488 %	1.09	0.38	3.04
includingg	28	31	3.00m @ 3.31%	1.86	1.45	0
andd	33	36	3.00m @ 3.59%	2.29	1.3	0
andd	45	49	4.00m @ 3.52%	3.33	0.19	3.63

BDRC0036DD8111433.00m @ 1.799 %1.430.36	4.43
includingg81854.00m @ 2.61%2.60.01	0.91
andd88946.00m @ 4.43%3.710.72	11.48
andd1031063.00m @ 2.32%1.131.19	7.26
BDRC0036DD1201244.00m @ 0.45%0.20.24	0
BDRC0036DD1351361.00m @ 0.55%0.550	0
BDDD0007561.00m @ 0.50%0.350.15	0
BDDD000747492.00m @ 2.60%2.50.09	0
BDDD00119189.00m @ 0.93%0.380.55	2.58
includingg17182.00m @ 2.69%0.332.36	9.99
BDDD001131332.00m @ 1.95%1.940.01	41.5
BDDD001249501.00m @ 1.25%1.130.11	0.67
BDDD0017572.00m @ 0.91%0.790.12	0
BDDD001775761.00m @ 1.49%0.840.65	0
BDDD001793941.00m @ 0.84%0.830.01	0
BDDD00171171181.00m @ 0.61%0.160.45	0
BDDD00253.24.321.12m @ 0.62%0.620	0
BDDD002610155.00m @ 0.86%0.720.15	3.24
BDDD002638402.00m @ 2.38%2.160.22	0
BDDD0026556712.00m @ 0.322 %0.230.09	0
BDDD00274.64138.36m @ 0.73%0.620.11	0.78
BDDD0027213817.00m @ 0.433 %0.310.12	0.94
BDDD0027466721.00m @ 0.833 %0.610.22	1.83
includingg65672.00m @ 3.19%3.190	0.5
BDDD002781832.00m @ 0.81%0.590.23	0
BDDD00271121175.00m @ 0.79%0.560.24	0
BDDD002933385.00m @ 1.11%1.110	0
BDDD00301.8975.11m @ 1.41%1.340.07	1.57
BDDD003015227.00m @ 0.70%0.660.04	0.51
BDDD003080833.00m @ 1.01%0.840.17	0
BDDD005321725033.00m @ 0.622 %0.40.22	1.2
BDDD00533003033.00m @ 0.64%0.230.4	2.33
BDDD00533513521.00m @ 2.01%1.990.03	0
BDDD00573543551.00m @ 1.65%0.521.13	0
BDDD005736138524.00m @ 1.011 %0.730.28	3.47
includingg3663726.00m @ 2.48%1.830.65	8.5
BDRC0001044.00m @ 0.73%0.60.13	1.04
BDRC000130322.00m @ 0.92%0.90.02	0
BDRC000182864.00m @ 0.73%0.490.24	0
BDRC000944462.00m @ 0.50%0.020.48	0

BDRC0010DD	77	78	1.00m @ 0.64%	0.54	0.1	0
BDRC0010DD	99	100	1.00m @ 0.79%	0.04	0.75	0
BDRC0010DD	106	111	5.00m @ 0.57%	0.29	0.28	0
BDRC0010DD	145	146	1.00m @ 0.82%	0.73	0.09	0
BDRC0013DD	32	40	8.00m @ 1.24%	0.77	0.47	2.32
BDRC0013DD	55	68	13.00m @ 0.322 %	0.24	0.08	0
BDRC0013DD	79	85	6.00m @ 1.15%	0.95	0.2	2.82
BDRC0014DD	75	76	1.00m @ 0.64%	0.05	0.59	0
BDRC0014DD	89	110	21.00m @ 0.666 %	0.54	0.12	1.29
BDRC0020	0	2	2.00m @ 1.00%	0.2	0.8	0
BDRC0020	8	10	2.00m @ 0.56%	0.26	0.31	0
BDRC0024DD	120	121	1.00m @ 0.61%	0.6	0.01	0.85
BDRC0024DD	127	133	6.00m @ 0.40%	0.27	0.12	0
BDRC0024DD	142	164	22.00m @ 0.588 %	0.39	0.19	1.65
BDRC0024DD	174	175	1.00m @ 0.63%	0.48	0.16	0
BDRC0028	50	56	6.00m @ 2.23%	1.84	0.39	0
BDRC0035DD	42	50	8.00m @ 2.47%	2.36	0.11	4.95
BDRC0040	4	6	2.00m @ 0.53%	0.27	0.25	0
BDRC0040	12	24	12.00m @ 0.866 %	0.72	0.14	0.9
BDRC0042	86	92	6.00m @ 0.49%	0.39	0.1	0
BDRC0042	102	122	20.00m @ 0.799 %	0.58	0.21	1.96

APPENDIX 3 JORC TABLE 1 - JORC CODE, 2012 EDITION - TABLE 1 BORDER LEAD ZINC

Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

		representative sample.
	• Aspects of the determination of mineralisation •that are Material to the Public Report.	Sample lengths for diamond drilling range from 0.2 to 1.2 m and average approximately 1.0m. RC samples sample were 2m in length.The identification of mineralised intervals (by inspection) and the sampling and measurementof grade were approached consistently in the available logs and reports.
	In cases where 'industry standard' work hasbeen done this would be relatively simple (eg'reverse circulation drilling was used to obtain 1m samples from which 3 kg was pulverised toproduce a 30 g charge for fire assay'). In othercases more explanation may be required, suchas where there is coarse gold that has inherentsampling problems. Unusual commodities ormineralisation types (eg submarine nodules) maywarrant disclosure of detailed information	Mineralisation is identified throughout Border is zinc as sphalerite and lead as galena hostedin dolomite. Representative samples from RC and diamond drilling were collected and sent toaccredited laboratories for analysis. Intertek Laboratories in Johannesburg crushed andpulverised the samples, and took a 50g pulp for analysis. This pulp was sent to Intertek inPerth, Western Australia for analysis. Analysis was performed using 4 acid digest and anICP-EOS multi element analysis technique.Silver and minor copper occurs in the mineralisation. These are the only other commoditiesidentified of significance.
Drillingtechniques	• Drill type (eg core, reverse circulation, open-holehammer, rotary air blast, auger, Bangka, sonic,etc) and details (eg core diameter, triple orstandard tube, depth of diamond tails, face-sampling bit or other type, whether core isoriented and if so, by what method, etc).	The resource dataset is comprised of diamond drilling samples (1906) and RC drillingsamples (1035).Diamond drilling included NQ2 diameter core.
Drill samplerecovery	• Method of recording and assessing core and chipsample recoveries and results assessed.	Core recoveries were recorded for all resource database diamond core. Handwrittengeotechnical logging sheets were kept of all drilling activities. Core recoveries are recorded

	• Measures taken to maximise sample recoveryand ensure representative nature of the samples.Whether a relationship exists between samplerecovery and grade and whether sample biasmay have occurred due to preferential loss/gainof fine/coarse material.	in the database. Diamond core recoveries averaged 95%.RC samples recoveries were not recorded.$\bullet$• No relationship exists between sample recovery and grade. Since mostly diamond core wasused. RC samples (73) report a lower average grade than core samples overall which isrelated their being drilled as RC precollars intersecting lower grades portions outside of mainbody of the mineralisation, and diamond drilling focusing on higher grade portions of theorebody.
Logging	Whether core and chip samples have been •geologically and geotechnically logged to a levelof detail to support appropriate Mineral Resourceestimation, mining studies and metallurgicalstudies.Whether logging is qualitative or quantitative inchannel,nature.Core(orcostean,etc)photography.The total length and percentage of the relevantintersections logged.	Detailed drill hole logs (all drilling), geotechnical and structural logs (core only) are availablefor the drilling.Separate sample logging sheets were kept including samples numbers for duplicates,standards and blanks taken for QA/QC purposes.The logging is of a detailed nature, and of sufficient detail to support the current Inferred$\bullet$resource estimates.A total of 40 diamond holes for 7596.56 m and 18 RC drillholes for 2122m have logs availableboth digitally and in paper original logs.
Sub-samplingtechniquesand samplepreparation	• If core, whether cut or sawn and whether quarter,half or all core taken.• If non-core, whether riffled, tube sampled, rotarysplit, etc and whether sampled wet or dry.• For all sample types, the nature, quality and	• The core was quartered before sampling• RC drilling was riffle split off the sample return from the drilling rig.Sample condition of dry or wet was recorded in the geology log of the RC holes. Dry sampleswere mostly taken according to the drilling logs.Sample preparation is considered to be appropriate for RC and diamond drilling as per$\bullet$

appropriateness of the sample preparation technique.

• Quality control procedures adopted for all subsampling stages to maximise representivity of samples.
• Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.
• Whether sample sizes are appropriate to the grain size of the material being sampled.

standard practices for managing RC samples and diamond core.

• Quality control procedures included the inclusion of field duplicates, standard samples and blank samples into the sampling stream for laboratory analysis. 431 quality samples were taken and analysed during the program.
• Host rock is mainly a massive or fine grained silicified dolomite. Samples of diamond core and RC samples produce appropriate size samples to be representative.

Criteria	JORC Code explanation	Commentary
Quality ofassay dataandlaboratorytests	For geophysical tools, spectrometers, handheld XRF instruments,etc, the parameters used in determining the analysis includinginstrument make and model, reading times, calibrations factorsapplied and their derivation, etc.	Quality control procedures included the inclusion of field duplicates,standard samples and blank samples into the sampling stream forlaboratory analysis. 431 quality samples were taken and analysed duringthe program.
	Nature of quality control procedures adopted (eg standards, blanks,duplicates, external laboratory checks) and whether acceptablelevels of accuracy (ie lack of bias) and precision have beenestablished.	One standard, blank and field duplicate were inserted into the samplestream every 20 samples. These were offset through the sampling stream.Overall, standards used reported values within 2 standard deviations of theexpected values except in a few cases. These cases can be followed up tosample mix-ups in the field and were largely able to be identified and

reversed in the database • Blank samples showed slightly more variation due to the supply of an unassayed sand as a control blank. The variation is ascribed to minor variability in the sand used. No geophysical methods or hand-held XRF units have been used for determination of zinc and lead grades. • The verification of significant intersections by either independent or • Intersections reported have been checked back to original logs and assay Verification of sampling alternative company personnel. data. and assaying • The use of twinned holes. • No specific twin holes have been drilled. Documentation of primary data, data entry procedures, data . Drill hole data were sourced from digital sources and original hard-copy verification, data storage (physical and electronic) protocols. sampling and assay records, and imported into a central electronic database. • Discuss any adjustment to assay data. • Assay values were not adjusted for resource estimation. Location of • Accuracy and quality of surveys used to locate drill holes (collar and • Surface topography is derived from spot heights and handheld GPS data points down-hole surveys), trenches, mine workings and other locations drillhole coordinates. used in Mineral Resource estimation. • Details of collar co-ordinates were picked up using a Garmin GPS60 handheld GPS. Collar elevations are consistent with the surface topography. A detailed topography survey was not available for the resource estimate and the surface is only considered suitable to support a classification of Inferred. • Hole collars from historical programs by Sabre and Etosha need to be picked up using DGPS survey techniques to increase the confidence in

		their position and elevation. The level of uncertainty (within the error rangeof the handheld GPS unit) is considered when classifying the resources.• A majority of the drillholes were downhole surveyed (95%) with anelectronic multishot (Reflex) tool. The remaining holes were measured witha clinometer and compass. No magnetic interference was observed.
	Specification of the grid system used.	Original surveying was undertaken in WGS84 Zone 33 South.$\bullet$
	Quality and adequacy of topographic control.	• Topographic control is adequate for the current estimates
Data spacinganddistribution	Data spacing for reporting of Exploration Results.$\bullet$	• The majority of the resource area has been drilled on a grid of 200m in anortheast direction and 50 to 100m on a southeast direction.
	Whether the data spacing and distribution is sufficient to establish .the degree of geological and grade continuity appropriate for theMineral Resource and Ore Reserve estimation procedure(s) andclassifications applied.	The drill data spacing and sampling is able to establish the geological andgrade continuity sufficiently for the current Mineral Resource Estimates.Closer spaced drilling is recommended to improve the confidence in theestimate.
	Whether sample compositing has been applied	Diamond drill hole samples were composited to a nominal 1.0 m down-holeintervals for resource modelling. RC Samples used in the estimate werecomposited to 2m intervals.
Orientationof data inrelation togeologicalstructure	Whether the orientation of sampling achieves unbiased sampling of •$\bullet$possible structures and the extent to which this is known,considering the deposit type.If the relationship between the drilling orientation and the orientation •of key mineralised structures is considered to have introduced asampling bias, this should be assessed and reported if material.	The drill line and drill hole orientation is oriented at 90 degrees to theorientation of the anticipated mineralised orientation of 073 degrees anddipping -63 degrees towards 345 orientation.The majority of the drilling intersects the mineralisation at close to 90degrees ensuring intersections are representative of true widths.

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria	JORC Code explanation	Commentary
Mineraltenement andland tenurestatus	Type, reference name/number, location and ownership includingagreements or material issues with third parties such as jointventures, partnerships, overriding royalties, native title interests,historical sites, wilderness or national park and environmentalsettings.The security of the tenure held at the time of reporting along with anyknown impediments to obtaining a licence to operate in the area.	Sabre Resource holds a 70% interest the mineral rights to EPL3542farm Toggenburg 837. The licence is validuntilon the29/10/2015. The total licence area is 474.61sq km.There are no known impediments to operate in the area.
Explorationdone by otherparties	Acknowledgment and appraisal of exploration by other parties.	• Exploration has been undertaken by previous holders specificallyEtosha Minerals (1969-1981) and TCL (Goldfields) from 1981 to2006Programs of diamond drilling were undertaken by Etosha Minerals as
		well as resource estimates and metallurgical test work. A total of 23diamond holes were completed defining a mineral resource at thetime.
		TCL conducted a shallow 21 hole percussion drilling program (10mdepth) in an attempt to define easily mineable shallow mineralisation.
Geology	Deposit type, geological setting and style of mineralisation.$\bullet$	Border was considered to be a Mississippi Valley style deposit buthas recently been reclassified as an epigenetic vein-style zinc-leaddeposit. Mineralisation occurs and blebs and disseminations of

		haleridlenindolomiicbriaTheineliziontettspaangaaaecca.mrazailfishodinheixial ofhebria.Gatsetetttrtettosmamareccangueinelogislmirelydolomiihinodlcit ettettztemrayaosnywmr quarancca/iad wihhePbZniinelisaiontetttassocmraw
		MinelisaiBodeisirelyinedihinheElandshokttttattraonarreenconsewFoionTheinelisaioislusdhefheloclTtttetttot4rmamraoncreapocadolomiilocllydininhebafheTitet,tetott5t.unnaexnngseooun
		DolomiiclasicksflaPricdoinatttetetetccrocoorozoagepremaaBodeLebudailicekladfalingt stytetotrr.sssanneousrocpesarereaudinellisaiontanmra
		MildkaicionhaldinloclisedhollowdidstterscerossresuaesanvovOxidaionflphidedheholihohlogiesisllyttttosusannsgenneraficial,lhohiveheinfttrattsuperaugsomeuncommonpeneewearngoinelisedinsisbsddloclly.mraveoervea
DrillholeInfoiotrman	Af allinfoionialhededingfhettetottatsummaryormamaerunersnolorionlincludingbulaionfhefolloinginfoionttstatttexparesusaowrma	SeApddix2-DrillingInfoiontepenrrmaNoinfoiisluded.trmaonexc
	follMaialdrillholester ar:indhingffhedrillholellttteasngannorocoaro(levionRLRedudLel –levionbotteaoruceveevaaveseao)flevlinheddrillholellartretemesoco
	dipd aimh ofheholettannzuo

o down hole length and i nterception depth h

o hole length.

Ifinthef the exclusion ofnformation is not he understanding xplain why this is f this information Material and thisof the report, the the case. is justified on th s exclusion does Competent Perso he basis that the not detract from on should clearly

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itecompossar	fff0.%ZnPbddefinehedrillto5toto+wasuseeeiA55miminldiluiond.tetetomposs.maxumrnrawasuuseinsll wighdiincludedinhet ctatetetreporonaecommposslculaionHighhedeinionihinhettetttrgrarrsecswincludedinhble.ttaee
fof mTTheiondingl eivalenlueEsimdtttat vtteassumpsuser anyrepporoeequasareesholdbelealyd.lusincdetatescrsspgraauzl eivalentamequa	includeleaddincdeAbinedLedourcesanzgraas.comaisd.NNoighingisliedZnPbdtettoreporeappp+annowlcullad.tstewereca
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	holdbeleahisffe('doholelenh,tatettottttrusuacrsmenecegwnge	ih sllydº plunimlieshainionttrutu600tttetwcrrameasuregeprsecssmay
	idh nkn').ttwwoown	behickeindrilledhicknhal.tttturessn aca
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Balandnceintreporrg	WWheheiveingfllExlorionRelistttstrecomprennsreporooapansunoficable,iveinbohlowdhighdettatttpracrepressenreporngoaangras/ofdidhsholdbeicedidisleaddingingtttotanr wsoupracavomreporo	Alldrillindinhheimionfheloptetstttttrrcepuseesaoresourceenvveef girrivededinTable3.TTheloptteespecoraarerepoorresourceenvveeffisdinginal0.5%Zndimddrilledtrutetoconsceusanomacanamaumux
	EExlorionRelttspasus.	inldiluionftett5mrnaoAlldrillholellardinApdixte2ccos arereporepen
Oheterbsivetatsusnloiotexporandata	OOheloriondaifingfuldial,holdbetttaterexpameananmaersu,dincluding(bulimid)logicalbsiontetttetotreeporgnoegeoaoervas;:hyical slheical slbulk sleststsgeopsurveyyresu;geocmmurveyresu;ampizedhdflluricallbulkttretmt;tatettssanmeooaen;megesresu;––didwhnicaldk chaisicsialtytetetettetensgrounar,geocanrocracer;pon,dleiouinaingbstettattaers or conmsncesu	MinelReimdfrodrillholedaihttetatrassourceswereesamassayw,logicalloingdidinionf minelisedtotetattatgeooggseaarpreoracooncuiiontposs.
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		Mellurical sleshabbelyddisdintagampveenanaseanaresummarsehett.repor
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		Bulkdeihabekedlyd208tytstansmeasuremenveenenananasey

samples wi air/weight in mineralisatioithin the mineran water technique on samples of (Pb alised envelope . A regression lin b+Zn * 0.014825) were determinene was determine+ 2.818494 =SG.ed by ed for

de spacing and ou

utlines the continu

uity of

nd down dip.

A waste SG of 2.82 was assig gned to waste blo cks.

t drilling is at a wid on along strike an

The currentmineralisati

• Further work TeThe nature and sxtensions or dept scale of planned th extensions or lafurther work (eg arge-scale step-ou tests for lateral ut drilling).
  • Dinp Diagrams clearly ncluding the main rovided this informhighlighting the geological interp mation is not com areas of poss retations and futumercially sensitive sible extensions, ure drilling areas, e.
• Border is cand drilling 2.4km. considered a larg has defined a zoe tonnage-low gr ne of mineralisatirade zinc-lead deon shown to existeposit t over
• Drill spacin Resources short distang is currently co and to be able tnces as would be eonsidered too widto accurately pred expected in a min de to define Indidict grade trends ning operation. cated s over
• A program o core of the mof 100m x 50m sp mineralised zone.paced drilling is p roposed for the c entral
• Drilling to c shown in dspaced dril mineralisedclose off the pote diagrams in the ling to the northe body. .ential for open c report. This will east and southweut ore is planned involve 100m x est of the core od and 50m of the
• Historical dicontains onuncertain fodata is conin the curreniamond drillhole dnly Zn+Pb assays or the Etosha drilsidered significan nt resource estimdata from Etosha of unknown orig ling. No original c ntly uncertain and ation Minerals is knowin. Collar position core is preserved d has not been utn, but ns are d. The tilised

. A drilling plan be constructed to allow for suitable QAQC information, metallurgical samples as well as to provide infill drilling in areas of poor coverage.

Section 3 Estimation and Reporting of Mineral Resources

(Criteria listed in section 1, and where relevant in section 2, also apply to this section.)

Criteria	JORC Code explanation	Commentary
Databaseintegrity	Measures taken to ensure that data has not been corrupted by, for .$\bullet$example, transcription or keying errors, between its initial collectionand its use for Mineral Resource estimation purposes.Data validation procedures used.$\bullet$	The drill hole database was sourced from original hard-copy samplingand assay records.Validation measures included spot checking between database andhard copy drill logs and sections and plans in historic reports.The database is currently compiled into an Industry Standard SQLServer database using a normalised assay data model produced byDatashed Software.
Site visits	• Comment on any site visits undertaken by the Competent Person andthe outcome of those visits.• If no site visits have been undertaken indicate why this is the case.	Mr. Marshall has visited Border numerous times between 2010 and2014 and is taking responsibility for all aspects of the estimates. MrMarshall was directly involved in the final drilling program and datacompilation at Border in 2010.
Geologicalinterpretation	Confidence in (or conversely, the uncertainty of) the geologicalinterpretation of the mineral deposit.Nature of the data used and of any assumptions made.$\bullet$	The Border Deposit was discovered in the 1960's and prior to Sabre'sownership, drilling and geological interpretation were conducted onthe deposit. This information has been compiled and considered in

• The effect, if any, of alternative interpretations on Mineral Resource estimation.
• The use of geology in guiding and controlling Mineral Resource estimation.
• The factors affecting continuity both of grade and geology.

the exploration of Border by Sabre Resources.

• Historical data as well as recent mapping by Sabre Geologists were used in the design and implementation of the drilling program, and geological interpretation of the mineralisation.
• The geology and grade information was utilised in the creation of the $\bullet$ mineralised domain wireframes. A nominal 0.5% Zn+Pb cutoff was used to define the outline within geological units. The selection of this cutoff is natural and corresponds with the mineralisation boundaries.
• Wireframe boundaries were "snapped" to drilling intercepts using the sample positions, with the use of geological logging being used as a guide when considering the interpretation of the mineralised wireframe. Interpretations were prepared on 100m section spacing's cut at bearing 165 degrees azimuth in WGS84.
• The drill spacing is relatively wide and introduces sufficient uncertainty for the estimates to be classified as Inferred.
• Given the current wide drill spacing, alternative interpretation variations are possible for the mineralisation. However, these are limited by field mapping and historical drilling intercepts which confirm the NE strike of the mineralised zone and NW dip. Resource estimation with assumed dominant mineralisation controls are restricted to this orientation
• The boundaries of the broader mineralised zone are consistent, but within these zones, higher-grade zones occur. It is expected that

		additional drilling will define the orientation and nature of thesehigher-grade zones. The block model has attempted to allow for thisinterpretation of the drill data.
Dimensions	• The extent and variability of the Mineral Resource expressed as •length (along strike or otherwise), plan width, and depth belowsurface to the upper and lower limits of the Mineral Resource.	The Mineral Resources extend over a strike length of approximately2400 m. The estimates extend to 385 m depth below surface.The resource is unmined
Estimationandmodellingtechniques	• The nature and appropriateness of the estimation technique(s)applied and key assumptions, including treatment of extreme gradevalues, domaining, interpolation parameters and maximum distanceof extrapolation from data points. If a computer assisted estimationmethod was chosen include a description of computer software andparameters used.	Resources were estimated by Inverse Distance Squared estimationof 1.0 m down-hole composited lead and zinc assay grades fromdiamond holes within a mineralised domain wireframe.Continuity of lead and zinc grades was characterised by depositgeometry. The wide drill spacing meant meaningful short rangevariograms along strike could not be generated. The estimates areextrapolated an average distance of 100m from drilling and upmaximum of approximately 200 m from drilling, particularly in thedeepest eastern extremity of the wireframe model.Micromine software was used for data compilation, domain wire-framing, and coding of composite values, statistics, geostatistics andresource estimation
	• The availability of check estimates, previous estimates and/or mineproduction records and whether the Mineral Resource estimate takesappropriate account of such data.	A check model using Inverse Distance Cubed was used to check the$\bullet$primary Inverse Distance Squared estimate and gave comparableestimates within 5% of each other in tons and grade.Previous resources were calculated for Border by Etosha Minerals

	and later TCL (Goldfields) as follows;
	9.21 Mt @ 4.31 % Pb +Zn (Brand 1971)$\circ$
	10.92 Mt @ 3.5 % Pb +Zn (Klugman April 1970)$\circ$
	7.26 Mt @ 3.0- 4.0 % Pb +Zn (Scharrer, June 1970)O
	Estimates of the total size of the resource varied from 27 -30 Mt tothe 2000 ft level. (600m)
	In 1981, TCL estimated a shallow resource to 100m depth followingits 22 hole percussion program and historical diamond drilling byEtosha as being 3.62Mt @ 1.69 % Zn and 0.60 % Pb.
	No cutoffs are stated for the historical resources.
	TCL indicates significantly higher grades recovered from aditsampling than in diamond drilling.
The assumptions made regarding recovery of by-products.Estimation of deleterious elements or other non-grade variables of	• Processing would recover a lead and zinc concentrate. The silverpresent as a by-product mostly reports to the lead concentrate
economic significance(eg sulphur for acid mine drainagecharacterisation).	Estimates for silver varied from 4.7g/t Ag per 1% Pb to 31g/t Ag per1% Pb. The most recent is 6g/t Ag per 1% Pb.
	No deleterious elements occur in the mineralisation or waste rock, butmore work is required to estimate the effect of mining and processingthe sulphide mineralisation.
In the case of block model interpolation, the block size in relation to .$\bullet$the average sample spacing and the search employed.	Resources were estimated into 5m by 5m x 5m parent blocks (strike,vertical, cross strike) aligned on a N-S grid.

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	$\bullet$	process of validation, the checking process used, theThe	Model validation included visual comparison of model estimates and
		comparison of model data to drill hole data, and use of reconciliation	composite grades using section analysis with the raw drilling data and
		data if available.	the composite data.
			• There is no production information for valid comparison of model
			estimates with production.
			Bulk adit sampling by TCL Goldfields in the 1990s showed thatgrades were commonly higher (up to 25%) than those gradesdetermined by diamond drilling of the same rock mass.
Moisture	$\bullet$	Whether the tonnages are estimated on a dry basis or with natural •	Tonnages are estimated on a dry tonnage basis
		moisture, and the method of determination of the moisture content.
Cut-off		• The basis of the adopted cut-off grade(s) or quality parameters •	The cut off grades reflect Sabre's perception of the potential range of
parameters		applied.	operating costs and prices of zinc and lead.
			The mineralised envelope is modelled using a 0.5% Zn+Pb cutoff
			grade.

Criteria	JORC Code explanation	Commentary
Mining	Assumptions made regarding possible mining methods, minimum .	The Company has considered the open cut mining of Border as a
factors or	mining dimensions and internal (or, if applicable, external) mining	large scale low grade operation.
assumptions	dilution. It is always necessary as part of the process of determiningreasonable prospects for eventual economic extraction to consider	A scoping study on the Inferred Resource was completed at Border in2011. This included pit optimisation studies for open pit mining and

metallurgical test work. Not all of the parameters used are still considered valid and are being reviewed by the Company.

• The previous outcomes indicated a marginal operation at the prevailing 2011 metal prices and operating assumptions.
• Dependant on the cost parameters used, the deposit is amenable to a low grade open cut near surface mining.

Metallurgical The basis for assumptions or predictions regarding metallurgical factors or amenability. It is always necessary as part of the process of assumptions determining reasonable prospects for eventual economic extraction to consider potential metallurgical methods, but the assumptions regarding metallurgical treatment processes and parameters made when reporting Mineral Resources may not always be rigorous. Where this is the case, this should be reported with an explanation of the basis of the metallurgical assumptions made.

• Metallurgical test work was conducted by Etosha Minerals and Sabre Resources at Border. Both studies indicated good recoveries using simple flotation methods. Both studies identified the simple mineralisation and gangue chemistry as conducive to efficient extraction.
• Metallurgical test work was carried on two drillhole samples by Sabre
• The mineralisation is galena and sphalerite, with dolomite-ankerite constituting the gangue phase.
• The mineralisation responded well to upgrading by Dense Media Separation (DMS), at a crush size of 12.5mm, close to 90% of the original mass could be rejected while recovering 90% of the lead and 80% of the zinc.
• A relatively coarse grind size of 80% passing 150 microns was adequate for flotation.
• The mineralisation is naturally amenable to differential flotation into $\bullet$ separate lead and zinc concentrates.

		Lead concentrate can be expected to grade between 63% and 69%$\bullet$lead at a recovery of between 94% and 95%. Zinc reporting to thelead concentrate appears to be 2%-3% of zinc in the feedZinc concentrate can be expected to be 61% to 62% after cleaning,at recovery of 95%.
Environmen-tal factors orassumptions	Assumptions made regarding possible waste and process residue .disposal options. It is always necessary as part of the process ofdetermining reasonable prospects for eventual economic extractionto consider the potential environmental impacts of the mining andprocessing operation. While at this stage the determination ofpotential environmental impacts, particularly for a greenfields project,may not always be well advanced, the status of early consideration ofthese potential environmental impacts should be reported. Wherethese aspects have not been considered this should be reported withan explanation of the environmental assumptions made.	Precise details of potential waste and process residue disposaloptions are unclear reflecting the early stage of project evaluation.High carbonate content of both the mineralisation and the waste rocktogether with very low gangue sulphides content (eg pyrite) suggestthat ARD would not be a problem.
Bulk density	Whether assumed or determined. If assumed, the basis for the .assumptions. If determined, the method used, whether wet or dry, thefrequency of the measurements,thenature, sizeandrepresentativeness of the samples.• The bulk density for bulk material must have been measured by • A waste SG of 2.82 was assigned to waste blocks.methods that adequately account for void spaces (vugs, porosity,etc), moisture and differences between rock and alteration zoneswithin the deposit.Discuss assumptions for bulk density estimates used in the	Bulk density measurements have been taken and analysed. 208samples within the mineralised envelope were determined byair/weight in water technique. A regression line was determined formineralisation samples of (Pb+Zn $*$ 0.014825) + 2.818494 = SG.

		evaluation process of the different materials.
Classification •		confidence categories.	The basis for the classification of the Mineral Resources into varying • The entire estimate is classified as Inferred because of drillholespacing and accuracy of drillhole collar locations.
		Whether appropriate account has been taken of all relevant factors • The resource classification accounts for all relevant factors.(ie relative confidence in tonnage/grade estimations, reliability ofinput data, confidence in continuity of geology and metal values,quality, quantity and distribution of the data).
		view of the deposit.	Whether the result appropriately reflects the Competent Person's . Classification of the estimates as Inferred reflects the CompetentPerson's views of the deposit.
Audits orreviews		• The results of any audits or reviews of Mineral Resource estimates.	No recent reviews of the Mineral Resource estimates have beenconducted since 2011The wide drill spacing is reflected by classification of the estimates asInferred.
Discussionof relativeaccuracy/confidence	$\bullet$$\bullet$	Where appropriate a statement of the relative accuracy and •confidence level in the Mineral Resource estimate using an approachor procedure deemed appropriate by the Competent Person. Forexample, the application of statistical or geostatistical procedures toquantify the relative accuracy of the resource within statedconfidence limits, or, if such an approach is not deemed appropriate,a qualitative discussion of the factors that could affect the relativeaccuracy and confidence of the estimate.The statement should specify whether it relates to global or localestimates, and, if local, state the relevant tonnages, which should be	Confidence in the relative accuracy of the estimates is reflected bythe classification of all resources as Inferred.The estimate is considered a global estimate as current drill holespacing is considered too sparse to establish any local estimate.

relevant to technical and economic evaluation. Documentation should include assumptions made and the procedures used.

• These statements of relative accuracy and confidence of the estimate should be compared with production data, where available.