ST GEORGE MINING LIMITED — Capital/Financing Update 2017

May 3, 2017

ASX / MEDIA RELEASE

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4 May 2017

ST GEORGE SHAREHOLDERS TO RECEIVE TAX CREDIT

HIGHLIGHTS:

• St George granted Federal Government approval to distribute tax credits under the Exploration Development Incentive Scheme (“EDI”)

• Tax credits may be utilised by St George shareholders in the 2016/2017 tax year

• Record date for shareholder eligibility is 31 May 2017

EDI TAX CREDITS TO BENEFIT ST GEORGE SHAREHOLDERS

St George Mining Limited (ASX: SGQ ) (‘St George Mining’ or ‘the Company’) is pleased to confirm that it will be participating in the Exploration Development Incentive (EDI) for the tax year ending 30 June 2017.

The EDI is a Federal Government initiative that allows Australian junior exploration companies undertaking greenfield exploration and that do not derive any taxable income to distribute a refundable tax offset to Australian resident shareholders.

RECORD DATE FOR ELIGIBLE SHAREHOLDERS

For St George shareholders to receive an EDI tax credit, they must be registered as holding ordinary shares in the Company as at 6pm (WST) on Wednesday, 31 May 2017 .

Eligible shareholders will be notified of the EDI tax credit applicable to them by Computershare, which operates the St George share register. The tax credit will be available for use by Australian resident shareholders in the 2016/2017 tax year.

The Company currently has 250,359,725 shares on issue, equating to an EDI tax credit of $0.003 per share based on the total EDI tax credits of $768,164.

Any shares issued upon exercise of options prior to the Record Date will be eligible for the EDI tax credit, and will impact on the final amount of the EDI tax credit distributed per share.

St George Mining Executive Chairman, John Prineas said:

“We are pleased to again provide our shareholders with an EDI tax credit.

“The continued support by the Federal Government for junior exploration companies through the EDI scheme is appreciated.”

For further information, please contact:

John Prineas

Executive Chairman St George Mining Limited (+61) 411 421 253 John.prineas@stgm.com.au

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