SANDFIRE RESOURCES LIMITED — Capital/Financing Update 2015

Aug 5, 2015

CORPORATE DIRECTORY

Managing Director Simon Noon

Directors

Richard Monti (Chairman) Peter Harold (Non-exec.) Andrew Parker (Non-exec.)

Company Secretary

Amanda Wilton-Heald Joshua Ward

Registered office

Level 10, 553 Hay St Perth WA 6000

Telephone: +61 8 6266 8642

Facsimile: +61 8 9421 1008

Email: info@pacificominerals.com.au

Results Extend Stratabound and Fault Related Copper Mineralisation at Coppermine Creek

Highlights

• Results from recent drilling at Coppermine Creek confirm Pacifico may have drilled the fringe of a major copper mineralised system
• Results received from the three hole programme include:
  • o CCD03 10m @ 1.3% Cu from 68m, including 2m @ 4.0 % Cu
  • o CCR01 16m @ 0.5% Cu from 43m
  • o CCD02 23m @ 0.3% Cu from 136m
• High grades are contained in semi-massive chalcopyrite lenses, with only minor pyrite, and with textures very similar to those found at the world class Mount Isa copper deposit
• The mineralisation, alteration and key stratigraphic units intersected confirm the interpretation of the airborne EM conductivity profiles
• Planning underway to drill test the airborne EM high conductivity bullseye anomaly 2km south of the recent drilling
• Preliminary indications suggest that the metallurgy of any deposit found will be excellent, with coarse grained chalcopyrite, little pyrite, and only trace amounts of bismuth and arsenic
• Pacifico expects to meet its expenditure requirement to earn a 51% interest in the Borroloola West Project from Sandfire Resources NL once all costs for the recent program have been reconciled

------------------------------------------------------------------------------------------------------------------- Pacifico Minerals Ltd ("Pacifico") is pleased to announce very encouraging results from its recent three hole drilling program at Coppermine Creek, Borroloola West Project. Pacifico is earning up to an 80% interest in the Borroloola West Project from Sandfire Resources NL under a farm-in agreement through staged exploration expenditures.

Recently completed drilling intersected extensive zones of intense fracturing that contained disseminations and lenses of semi-massive chalcopyrite. All three drill holes intersected copper mineralisation and extend the known mineralisation along the east-west trending Gordons Fault by more than 300m west of previous drilling, for a total strike length of just over 500m.

Results from the recent drilling at Coppermine Creek indicate Pacifico may have drilled the fringe of a major copper mineralised system.

	0.1%Cu cut off				0.3% Cu cut off
Hole	From	To	Length	%	From	To	Length	%
No	(m)	(m)	(m)	Cu	(m)	(m)	(m)	Cu
CCR01	29	71	42	0.3	43	59	16	0.5	Hole
									abandoned
									at 71m
CCD02	136	159	23	0.3	147	152	5	0.8	Includes 1m
									@ 1.9%Cu
									from 150m
CCD03	38	57	19	0.3	40	56	16	0.3
	68	78	10	1.3	68	73	5	2.5	Includes 2m
									@4.0%Cu
									from 69m

A summary of assay results from the recently completed 3 hole drill program are shown in Table 1.

Table 1: Summary of drill results at Coppermine Creek

The first drillhole, CCR01, drilled reverse circulation ("RC"), intersected oxidised copper mineralisation in the hangingwall of the fault from 29m, grading 42m at 0.3% Cu (Table 1) with highest values of 5m at 0.8% Cu from 49m. Host rocks are Amelia Dolomite containing zones of intense fracturing, brecciation and dolomitisation. The hole was abandoned before entering the Gordons fault zone because of collapsing ground.

CCD02 was drilled 104m reverse circulation ("RC") and then diamond drilled to 315m. It intersected a significant interval of disseminated and veinlet chalcopyrite associated with a 10m thick bed of ex-evaporite, containing closely packed dolomitised gypsum casts, and contained 23m at 0.3% Cu from 136m, including 5m of 0.8%Cu from 147m. Minor disseminated chalcopyrite was also present throughout a zone of intense fracturing, brecciation and dolomitisation between 242m and 286m.

CCD03 (diamond drilling only) also intersected copper mineralisation associated with this same ex-evaporite bed with an intersection of 16m at 0.3% Cu from 40m, including 3m of 0.8% Cu from 40m. It then passed through the Gordons Fault zone which was intensely brecciated and dolomitised on the hangingwall, with lenses of semimassive chalcopyrite, as well as chalcopyrite fracture fill and disseminations and contained 5m of 2.5% Cu from 68m, including 2m at 4.0% Cu from 71m.

The mineralisation and alteration, which contains disseminated sulphide comprising dominantly chalcopyrite, is reflected in AEM ("Airborne Electromagnetic") conductivity profiles that indicate a broad zone of alteration and disseminated mineralisation extending for 3km x 1km, south from the Gordons Fault. It is interpreted from Pacifico's drilling that the stratabound copper mineralisation near the Gordons Fault outcrops because it has been pushed to the surface by a post-mineralisation reverse fault that rides over younger Roper Group sediments. Bedding dips are steeper close to this reverse fault and gently flatten away to the south.

The 1km x 300m bullseye of relatively high AEM conductivity that lies 2km south of Pacifico's recent drill holes is now a compelling target. This may reflect intense chalcopyrite stockwork veining and lenses at depths from 250m to over 600m. Gossanous material overlying the western part of the bullseye AEM anomaly contained 0.3% Cu (from qualitative portable X-Ray Fluorescence instrument ("pXRF") determinations) and confirms the presence of copper mineralisation. It is possible that supergene copper mineralisation may be developed in the oxide zone below the level of leaching.

Supporting the opportunity for the presence of a major copper mineralised system of the Mount Isa Copper (approximately 250Mt of 3%Cu) or Nifty (approximately 100Mt of 2%Cu) style are the following key geological factors:

• Distinctive ex-evaporite beds in the overlying Amelia Dolomite contain disseminated copper mineralisation.
• The mineralisation is close to the redox contact between hematitic siltstones (oxidised) of the Mallapunyah Formation, and the overlying Amelia Dolomite.
• Reverse faulting at Coppermine Creek indicates that copper mineralisation could be related to a compressive regional event.
• The copper mineralisation appears to be spatially related to a major north-south trending regional fault system that may provide access to copper-bearing basin fluids.
• Intense fracturing, brecciation and dolomite (– silica) alteration is widespread and related to the copper mineralisation.
• Coppermine Creek lies within the McArthur Basin, where there are known large base metal mineralised systems, in an area that has only been patchily explored previously.

Pacifico's Managing Director, Simon Noon, comments "these are highly encouraging results. To date drilling has only tested the northernmost margins of a system that appears from the airborne EM to extend for at least 3km to the south, parallel to a major regional fault system, and where a gossan has been recently discovered containing anomalous copper. The bullseye of the EM anomaly is now a compelling target for drilling".

Pacifico expects to meet its expenditure requirement to earn a 51% interest in the Borroloola West Project from Sandfire Resources NL once all costs for the recent program have been reconciled. Under the terms of the farmin agreement Pacifico can earn up to 80% interest in the project.

Figure 1: Coppermine Creek, drilling completed by Pacifico, and AEM conductivity anomaly

Figure 2: Drill section and main copper intersections 556,300mE, CCD02 projected 100m west

Figure 3: AEM conductivity, composite profile, geological interpretation, along direction 330deg (location on figure 1)

Pacifico has now completed its two-hole drill program at the Bing Bong prospect where 50% of the direct drilling costs were covered by the NT government. Minor pyrite was observed in places within a thick sediment package to depths up to 400m. However, preliminary visual inspection of the core failed to explain the source of the magnetic and AEM anomalies targeted. Final assay results are still pending.

For further information or to be added to our electronic mailing list please contact:

Simon Noon (Managing Director) Phone: +61 (0)8 6266 8642 Email: info@pacificominerals.com.au

About Pacifico Minerals Ltd

Pacifico Minerals Ltd ("Pacifico") is a Western Australian based exploration company focussed on advancing the Berrio Gold Project ("Berrio") located in Colombia. Berrio is situated in the southern part of the prolific Segovia Gold Belt and is characterised by a number of operational, artisanal-scale adits, tunnels, and declines. The project is 35km from the Magdalena River which is navigable to the Caribbean Sea and has excellent infrastructure in place including hydro power, sealed roads, an abundant water supply and telecommunications coverage. Pacifico also has an interest in two other projects in Colombia (Natagaima application and Urrao) and one project in the Northern Territory (Borroloola West Project).

Competent Person Statement

The information in this announcement that relates to the Borroloola West Project is based on information compiled by Mr David Pascoe, who is a Member of the Australian Institute of Geoscientists. Mr Pascoe is contracted exclusively to Pacifico Minerals Limited. Mr Pascoe has sufficient experience which 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". Mr Pascoe consents to the inclusion in this announcement of the matters based on information in the form and context in which it appears.

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Appendix 1 – JORC Code, 2012 Edition, Table 1

Section 1 Sampling Techniques and Data

Criteria	JORC Code explanation	Commentary
Samplingtechniques	Nature and quality of sampling (e.g. cutchannels, random chips,or specific specialisedindustrystandardmeasurementtoolsappropriatetothemineralsunderinvestigation, such as down hole gamma sondes,or handheld XRFinstruments, etc). Theseexamples should not be taken as limiting thebroad meaning of sampling.Include reference to measures taken to ensuresample representivity and the appropriatecalibrationofanymeasurementtoolsorsystems used.Aspects of the determination of mineralisationthat are Material to the Public Report.In cases where 'industry standard' work hasbeen done this would be relatively simple (e.g.'reverse circulation drilling was used to obtain1 m 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)may warrant disclosure of detailed information.	RC samples were taken at 1m intervalsfrom which about 1.5kg was crushed andpulverised for analysis.Diamond drill core was halved with a coresaw diamond core samples were takenover1mintervals.About3.5kgwascrushed and pulverised for analysis.SamplesweresubmittedtoALSLaboratoriesin Townsville.Sample were analysed using an aquaregiadigestionandICP‐MSmulti‐elementanalysis.Samplescontaining+1%Cuwereautomatically re‐analysed with an aquaregiadigestion and an ore grade analysisusinganICP‐AES finish to more accuratelydeterminethe high grade Cuassays.pXRFresultsindicatedinthisannouncement are clearly described asqualitative.
Drilling	Drill type (eg core, reverse circulation, open	1 x RC hole, 1 x Diamond hole, 1 x 100m RC
techniques	hole hammer, rotary air blast, auger, Bangka,sonic, etc) and details (eg core diameter, tripleor standard tube, depth of diamond tails, facesampling bit or other type, whether core isoriented and if so, by what method, etc).	pre-collar and 215m diamond tailRC face sampling bit, HQ and NQ core.Core orientated using ACT Mk 2 HQ and NQcore orientation instruments
Drillsamplerecovery	Method of recording and assessing core andchip sample recoveries and results assessed.Measures taken to maximise sample recoveryandensurerepresentativenatureofthesamples.Whether a relationship exists between samplerecovery and grade and whether sample biasmay have occurred due to preferential loss/gainof fine/coarse material.	RC recoveries assessed visually per meter.Drillers use high air compression to maintainsamplesdry,maximiserecoveriesandminimise contamination.Diamond core recoveries were measuredbetween drill runs (less than or equal to 6m).No significant core losses in mineralisedground.Sufficient analyses not received to assessrecovery related sample result bias.
Logging	Whether core and chip samples have beengeologically and geotechnically logged to alevel of detail to support appropriate MineralResourceestimation,miningstudiesandmetallurgical studies.Whether logging is qualitative or quantitativein nature. Core (or costean, channel, etc)photography.The total length and percentage of the relevantintersections logged.	Firstdrillholestodiscoveranddefinemineralisation only. Only geological logging.All chips and core are geologically logged. Alllogging is descriptive and qualitative

Criteria	JORC Code explanation	Commentary
Sub-samplingtechniquesandsamplepreparation	If core, whether cut or sawn and whetherquarter, half or all core taken.If non-core, whether riffled, tube sampled,rotary split, etc and whether sampled wet ordry.For all sample types, the nature, quality andappropriateness of the sample preparationtechnique.Quality control procedures adopted for all subsampling stages to maximise representivity ofsamples.Measures taken to ensure that the sampling isrepresentative of the in situ material collected,includingforinstanceresultsforfieldduplicate/second-half sampling.Whether sample sizes are appropriate to thegrain size of the material being sampled.	Mineralised diamond drill core was halvedwith a core saw. One half of every meter wassent for analysis.RC chips are rotary split and taken everymeter. Both dry and wet samples were taken.Samples are crushed, pulverised and a 250gsplit taken for analysis.Standards,duplicatesandblankswereinserted for quality controlSample sizes are correct for the style of coppermineralisation sampled, however studies andchecks are ongoing.
Qualityofassaydataandlaboratorytests	The nature, quality and appropriateness of theassaying and laboratory procedures used andwhether the technique is considered partial ortotal.For geophysical tools, spectrometers, handheldXRF instruments, etc, the parameters used indetermining the analysis including instrumentmake and model, reading times, calibrationsfactors applied and their derivation, etc.Nature of quality control procedures adopted(egstandards,blanks,duplicates,externallaboratory checks) and whether acceptablelevels of accuracy (ie lack of bias) and precisionhave been established.	Standards,duplicatesandblankswereinserted into the sample sequence beforesending to the laboratory for analyses andchecked when results were received. No biaswas detected with these small batches ofsamples, but studies are ongoing.The acid digestions are sufficient to provide atotal copper analysis. ICP-AES is used onhigher grade copper samples to give a moreaccurate analysis.pXRFresultsareclearlydescribedasqualitative in this announcement.
Verificationofsamplingand assaying	The verification of significant intersections byeither independent or alternative companypersonnel.The use of twinned holes.Documentation of primary data, data entryprocedures, data verification, data storage(physical and electronic) protocols.Discuss any adjustment to assay data.	Stillatexplorationanddiscoverystage,however visual estimates of the copper grade,assisted with a pXRF, correspond to thelaboratory results.
Locationofdata points	Accuracy and quality of surveys used to locatedrill holes (collar and down-hole surveys),trenches, mine workings and other locationsused in Mineral Resource estimation.Specification of the grid system used.Quality and adequacy of topographic control.	Holes located by handheld GPS and accurate to4 or 5m. When significant mineralisationcontinues to be intersected the collars will bepicked up using differential GPS.WGS 84 grid coordinates.
Data spacinganddistribution	Data spacing for reporting of ExplorationResults.Whether the dataspacing and distribution issufficient to establish the degree of geologicalandgrade continuity appropriate for theMineral Resource and Ore Reserve estimationprocedure(s) and classifications applied.Whether sample compositing has been applied.	Onlyexploration drilling.No sample compositing

Criteria	JORC Code explanation	Commentary
Orientationofdatainrelationtogeologicalstructure	Whether the orientation of sampling achievesunbiased sampling of possible structures andthe extent to which this is known, consideringthe deposit type.Iftherelationshipbetweenthedrillingorientationandtheorientationofkeymineralised structures is considered to haveintroduced a sampling bias, this should beassessed and reported if material.	Drillholes are approximately at right angles tothe dominant strike directions of the fault andto bedding. Once a complete understanding isachieved, corrections will be made to estimatetrue widths. Any intersections described referto down hole lengths.
Samplesecurity	The measures taken to ensure sample security.	Core removed from drill site daily to a securedrill core layout yard.
Auditsorreviews	The results of any audits or reviews of samplingtechniques and data.	None required at this preliminary stage.

Section 2 Reporting of Exploration Results

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

Criteria	JORC Code explanation	Commentary
Mineraltenement andlandtenurestatus	Type, reference name/number, location andownershipincludingagreementsormaterial issues withthird parties such asjointventures,partnerships,overridingroyalties, native title interests, historicalsites, wilderness or national park andenvironmental settings.The security of the tenure held at the time ofreportingalongwithanyknownimpediments to obtaining a licence tooperate in the area.	The Borroloola West Project consists of EL's26837, 26587, 31057, 26939, 30305, 26938,28659, 28540, 28541, 28534, 28658, 30302,28657, 28508, 24401, MLN 624 and ELA 26599.The Borroloola West Project is a joint venturewith Sandfire. Pacifico is the operator. Some ofthe licence areas are covered by the LimmenNational Park and additional conditions forexploration may be required from the Parks andWildlife Commission.No known securityof tenureissues or anticipatedimpediments to obtaining a licence to operate inthe area.
Explorationdone by otherparties	Acknowledgmentandappraisalofexploration by other parties.	Various companies have explored the area nowcovered by the Borroloola West Project. The mostimportant relevant to this announcement aredrilling and geophysical surveys conducted bySandfire Resources NL.
Geology	Deposit type, geological setting and style ofmineralisation.	TheBorroloolaWestProjectisconsideredprospectiveforsedimenthostedmassivesulphide zinc lead silver deposits and structurallycontrolled copper deposits in the Proterozoicsedimentary sequence. Manganese deposits maybe present in Cretaceous sediments. Diamondsmay occur in concealed kimberlitic pipes.
DrillholeInformation	A summary of all information material tothe understanding of the exploration resultsincluding a tabulation of the followinginformation for all Material drill holes:	Drill hole coordinates and details are provided inthe announcement to the ASX of 13th July 2015.

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Criteria	JORC Code explanation	Commentary
	oeasting and northing of the drill holecollaroelevationorRL(ReducedLevel–elevation above sea level in metres) ofthe drill hole collarodip and azimuth of the holeodown hole length and interception depthohole length.If the exclusion of this information isjustified on the basis that the information isnot Material and this exclusion does notdetract from the understanding of thereport, the Competent Person should clearlyexplain why this is the case.
Dataaggregationmethods	In reporting Exploration Results, weightingaveraging techniques, maximum and/orminimum grade truncations (eg cutting ofhigh grades) and cut-off grades are usuallyMaterial and should be stated.Where aggregate intercepts incorporateshort lengths of high grade results andlonger lengths of low grade results, theprocedure used for such aggregation shouldbe stated and some typical examples of suchaggregations should be shown in detail.The assumptions used for any reporting ofmetal equivalent values should be clearlystated.	Allanalysesweretakenover1mandnoweighting techniques have been used. No gradeshave been cut. Cut-off grades are clearly statedwhen used.Aggregationsofgradesarelistedintheintercepts, if they include short high grade zonesthey are listed in the comments column of Table1.No metal equivalent values have been used.
Relationshipbetweenmineralisationwidthsandinterceptlengths	Theserelationshipsareparticularlyimportant in the reporting of ExplorationResults.If the geometry of the mineralisation withrespect to the drill hole angle is known, itsnature should be reported.If it is not known and only the down holelengths are reported, there should be a clearstatement to this effect (e.g. 'down holelength, true width not known').	Down-hole lengths only have been reported. Thegeometry of the mineralisation is known withinsufficient certainty to estimate true widths.
Diagrams	Appropriate maps and sections (with scales)and tabulations of intercepts should beincluded for any significant discovery beingreported These should include, but not belimited to a plan view of drill hole collarlocations and appropriate sectional views.	Maps and sections are provided (figures 1 to3). Atabulation of intercepts is included (Table 1).
Balancedreporting	WherecomprehensivereportingofallExplorationResultsisnotpracticable,representative reporting of both low andhighgradesand/orwidthsshouldbepracticed to avoid misleading reporting ofExploration Results.	A summary of all results is reported.

Criteria	JORC Code explanation	Commentary
Othersubstantiveexplorationdata	Other exploration data, if meaningful andmaterial, should be reported including (butnot limited to): geological observations;geophysicalsurveyresults;geochemicalsurvey results; bulk samples –size andmethod of treatment; metallurgical testresults;bulkdensity,groundwater,geotechnicalandrockcharacteristics;potentialdeleteriousorcontaminatingsubstances.	Some additional geological and geophysicalobservations are included in the announcement
Further work	The nature and scale of planned furtherwork (eg tests for lateral extensions ordepth extensions or large-scale step-outdrilling).Diagrams clearly highlighting the areas ofpossible extensions, including the maingeologicalinterpretationsandfuturedrilling areas, provided this information isnot commercially sensitive.	Further step-out drilling targets are described.Mapshowsinterpretedextensionofmineralisation.