SOUTHERN HEMISPHERE MINING LIMITED — Capital/Financing Update 2017

Oct 11, 2017

Southern Hemisphere Mining Limited

ARBN: 17 140 494 784

Suite 12 11 Ventnor Ave WEST PERTH WA 6005

Phone: +61 (0) 8 6245 2050

Website: shmining.com.au

Directors:

Chairman David Lenigas

Directors

Trevor Tennant Keith Coughlan

Company Secretary: Jessamyn Lyons

Issued Capital: 78,136,137

Corporate Information: ASX Code: SUH

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ASX / Media Announcement 12 October 2017

SUH Increases Lower Fortescue Group Prospective Conglomerate Gold Tenements to 1,504 Km[2] -Pilbara Basin-

HIGHLIGHTS

• Two Exploration Licenses totalling 782km[2] for conglomerate gold applied for at Newman, 400 km southeast of Karratha.

• Conceptual interpretation of the important Lower Fortescue Group basal sediments.

• Increases SUH’s Exploration tenements on the southern edge of the Pilbara Basin to 1,504km[2] .

Keith Coughlan, SUH’s Director, commented; “Unlike most other explorers in the area looking for conglomerate hosted gold mineralisation associated with the Lower Fortescue Group in the Pilbara Basin, SUH is totally focused on the southern boundaries of the basin. There is no reason why this exciting play does not exist in the southern part of the Basin, as there is extensive historic evidence of gold occurrences associated with the Lower Fortescue in this area.”

Southern Hemisphere Mining Limited ( “SUH” of “ the Company ”) ( ASX:SUH ) is pleased to announce that it has applied for two Exploration Licences, E52/3579 (82 Blocks, 257km[2] ) and E52/3580 (167 Blocks, 525km[2] ), covering a total area of 782km[2] located 400km southeast of Karratha and immediately south of Newman in the Pilbara, Western Australia (Figure 1). The new tenement applications have no competing tenement applications and the company expects that the grant of the tenements will occur in a timely fashion.

This new Exploration Licence applications combined with the 722km[2] the Company has recently applied for near Paraburdoo[1] brings SUH’s total tenements in the area to 1504km[2] .

The two Exploration Licence applications are prospective for conglomerate gold mineralisation associated with the Lower Fortescue Group on the southern boundary of the Fortescue Basin. The geological setting is considered analogous in a basinal context to the Artemis Resources owned Purdy’s Reward Project located on the northern boundary of the Fortescue Basin.

1 Southern Hemisphere Mining ASX news release date 27 September 2017. http://www.shmining.com.au/images/announcements/20170927_Tenement_Applications_Paraburdoo.pdf

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Approximately 400km southeast of Karratha, Geological Survey of Western Australia (GSWA) mapping shows the presence of Lower Fortescue Group sediments along the margin of the Hamersley Basin north of the Archean Sylvania Dome and arcing around the Sylvania dome to the south.

The Sylvania Dome has numerous gold occurrences (Figure 3) associated around its margins mostly in the Jimblebar Archean Inlier To the east. More significant is the Deadman Flat dry blowing and metal detecting area on the southwest side of the Sylvania Dome. Located in the headwaters of “Goldfields Creek” the area is within extensive colluvium but correlates with Lower Fortescue Group sediments.

Figure 1: Location of Exploration tenement applications near Newman with known gold occurrences and generalized geology.

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The Department of Mines, Industry, Regulation and Safety (DMIRS) has released historical sampling data as shown in Figure 3. The extensive sampling data set and other remote sensing and historical exploration data will be further investigated, interrogated and validated. The results of this work will be used to plan further exploration.

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Figure 2: SUH Tenement applications overlaid on Regional Map from

Large Igneous Provinces: Chapter 6 Archean LIP: R. Ernest 2014. (Cambridge University Press). The tenements are on the southern margin of the Fortescue Basin within geology mapped as analogous to Purdy’s Reward.

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Figure 3: Exploration tenement application E52/3579 (Blue) and E52/3580 (Green) with open file geochemistry sampling locations on grey scale regional magnetic data.

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CONTACTS:

For further information on this update or the Company generally, please visit our website at www.shmining.com.au or contact:

Investors / Shareholders Keith Coughlan Trevor Tennant Director Director Telephone: +61 (0) 419 996 333 Telephone: +61 (0) 414 895 605 Email: keith@europeanmet.com Email: ttennant@shmining.com.au

COMPETENT PERSON / QUALIFIED PERSON STATEMENT:

The information in this document that relates to Exploration Results and Exploration Targets is based on information compiled or reviewed by Allan Younger, who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Younger is a consultant to the Company, and is employed by Indigo

Geochemistry Pty Ltd. Mr Younger 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 Younger consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

BACKGROUND INFORMATION ON SOUTHERN HEMISPHERE MINING:

Southern Hemisphere Mining Limited (ASX Code “SUH”) is an experienced copper-gold explorer and developer in Chile, the world’s leading copper producing country and one of the most prospective regions of the world for major new copper discoveries. In Chile, the primary areas of focus are on the Llahuin Porphyry Copper-Gold Project where the Company has drilled up a significant Copper Gold resource, and the Los Pumas Manganese Project. In addition, the Company is exploring for gold in the Pilbara Region of Western Australia.

FORWARD LOOKING STATEMENTS AND IMPORTANT NOTICE:

This report contains forecasts, projections and forward looking information. Such forecasts, projections and information are not a guarantee of future performance and involve unknown risks and uncertainties, many of which are out of the Company’s control. Actual results and developments will almost certainly differ materially from those expressed or implied. The Company has not audited or investigated the accuracy or completeness of the information, statements and opinions contained in this report. To the maximum extent permitted by applicable laws, the Company makes no representation and can give no assurance, guarantee or warranty, express or implied, as to, and takes no responsibility and assumes no liability for (1) the authenticity, validity, accuracy, suitability or completeness of, or any errors in or omission from, any information, statement or opinion contained in this report and (2) without prejudice to the generality of the foregoing, the achievement or accuracy of any forecasts, projections or other forward looking information contained or referred to in this report.

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