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1 ASX Media Release 4 Octber 2017 Springfield Explratin Update Drill testing f new target areas during December Quarter Highlights Springfield Jint Venture explratin budget apprved fr the three-mnth perid t the end f December Budgeted explratin t include: Bard f Directrs Jeremy Kirkwd Nn-Executive Chairman Dan Madden Managing Directr Alan Senir Nn-Executive Directr Brian Dawes Nn-Executive Directr Karen Gadsby Nn-Executive Directr Reverse circulatin (RC) drilling t further test Mnty Nrth East (Mnty NE) air-cre anmaly f 5.0m at 4.11% Cu 1 (including test f recently identified IP anmaly); RC drilling t test Mnty East interpreted hst psitin; RC drilling f selected gechemical anmalies in the Suthern Vlcanics; and Air-cre drilling t test Hmer Suth hst psitin. Wrk cmpleted under Springfield Jint Venture explratin budget fr the three-mnth perid t the end f September 2017 included: RC drilling t test the interpreted Mnty hst psitin t the west f the Matar Fault and reinterpretatin f the Matar Fault rientatin; Cntact Details Telephne: inf@talismanmining.cm.au Website: Capital Structure Shares n Issue: 185,699,879 (TLM) Optins n Issue: 9,675,000 (Unlisted) Assessment f recently identified explratin pprtunities and interpretatins including Mnty NE, Mnty East and Hmer Suth Trend; RC drilling targeting gechemical anmalies at Mnty NE, Mnty Suth and the Suthern Vlcanics Trend; DHEM surveys f all RC drill hles; and Cmpletin f interpretatin f results frm the Induced Plarisatin (IP) gephysical survey ver the Mnty depsit and Mnty NE anmaly. 1 See ASX annuncement Springfield Cpper Prject Explratin Update dated 13 September 2016 fr details

2 Talisman Mining Limited (ASX: TLM, Talisman) advises that the Springfield Jint Venture (Springfield) (Talisman 30% and Sandfire Resurces NL 70% (ASX: SFR, Sandfire)), has apprved a $1.2 millin budget (100% basis) fr the quarter ending December 2017 with wrk scheduled t cmmence in the cming weeks. This budget is separate t expenditure n the nging develpment f the Mnty Cpper-Gld Mine (Mnty). The December quarter explratin budget fcuses predminantly n testing varius new gelgical interpretatins at Mnty NE, Mnty East and Hmer Suth, alng with gechemical anmalies identified within the Suthern Vlcanics. This planned wrk cntinues frm the previus quarter which was primarily fcused n detailed gelgical reviews, and the interpretatin and assessment f Induced Plarisatin (IP) gephysical data cllected ver the Mnty and Mnty NE areas. Jint Venture explratin effrts cntinue t re-evaluate and reinterpret gelgical, gechemical and gephysical data n an nging and iterative basis t maximise discvery pprtunities within the Springfield area. Springfield explratin during budget perid 1 July t 30 September 2017 Wrk cmpleted at Springfield ver the three-mnth budget perid ending 30 September 2017 was primarily fcused n an internal data review, and evaluatin f the gelgical interpretatins prvided by Talisman t the Jint Venture late in the June 2017 quarter. On-grund explratin was limited t five RC drill hles fr a ttal f 2,096 metres as depicted in Figure 1. Mnty Cu-Au Depsit Figure 1: Springfield drill cllar lcatin plan fr the three-mnth budget perid ending 30 September 2017.

3 Reverse Circulatin Drilling Drilling cmpleted at Mnty NE, Mnty Suth and within the Suthern Vlcanics trend targeted bttmf-hle (BOH) lithgechemical anmalies identified in previus air-cre drilling. The three hles cmpleted at these targets (TLRC0070, TLRC0071 and TLRC0073) did nt return any significant Cu mineralisatin. The tw RC drill hles cmpleted at Mnty West (TLRC0069 and TLRC0072) were designed t cnfirm the psitin f the Mnty hst stratigraphy t the west f the Matar Fault which is interpreted t truncate the Mnty mineralisatin. The hst hrizn was successfully intersected in bth hles, cnfirming the interpreted psitin f hst stratigraphy t the nrth f previus interpretatins (Figure 2). Figure 2: Mnty ffset gelgical interpretatin shwing updated gelgical interpretatin tested during the budget perid. With the additin f this new gelgical infrmatin, Sandfire cmpleted a reinterpretatin f this area including a review f the rientatin f the Matar Fault structure. This wrk included detailed relgging f RC and diamnd drill cre in the area, including TLDD0114 which was drilled t prvide a deep dwnhle electrmagnetic (DHEM) survey platfrm belw the existing Mnty Cu-Au mineralisatin. The review resulted in a significant steepening f the interpreted dip f the Matar Fault as illustrated in Figure 3. As a cnsequence, the deep diamnd drill hle TLDD0114 is nw interpreted t intersect the hst stratigraphy t the west f the Matar Fault structure. The DHEM survey f TLDD0114 is nw interpreted t have prvided gephysical cverage ff-hle f TLDD0114 and immediately t the west f the Matar Fault. There were n gechemical r gephysical indicatrs bserved in the existing RC r deep diamnd drilling cmpleted t date. Given that the purpse f the prpsed third deep diamnd hle in this area was designed t test the western side f the Matar Fault and this utcme is interpreted t have been achieved by TLDD0114 (Figure 3), the third prpsed deep diamnd hle is suspended at this time.

4 Figure 3: Mnty depsit prjected lng sectin with diamnd hles, interpreted DHEM cverage and new interpreted rientatin f the Matar Fault, shwing TLDD0114 pierce pint t the west f the Matar Fault. Other Activities In additin t the recent drilling activities, ther explratin was fcused n the cmpletin f a detailed review f the grund-based IP rientatin survey ver the Mnty depsit and Mnty NE air-cre anmaly. The survey cnsisted f a limited rientatin survey, cmprising tw lines acrss Mnty NE fr 1.8km f data, and fur lines acrss the Mnty depsit fr 7.8km f data. The trial IP survey ver the Mnty depsit cnfirmed that massive sulphides at Mnty are sufficiently plarisable t prduce a measurable signal frm surface. Hwever, frm a targeting perspective, the presence f secndary anmalies significantly reduces the reliability f subsequent targets and therefre any targets frm an IP survey are likely t require additinal justificatin fr fllw-up drilling. The survey f the Mnty NE air-cre anmaly (5m interval at 4.11% Cu in hle TLAC ), returned a clear, althugh weak anmalus chargeable respnse with a crrbrating lw resistivity (Figure 4). The limited amunt f data (tw survey lines), alng with the limited deeper drilling in the area makes interpretatin f the gemetry f the respnse difficult. Previus DHEM surveys in adjacent RC drill traverses apprximately m away frm the IP anmaly have nt identified any ff-hle respnses in this area. In the absence f additinal infrmatin, Sandfire currently interpret this anmaly t be ptentially assciated with an interpreted east-west striking fault structure. Imprtantly, the budgeted RC drill hle fr the frthcming quarter is expected t prvide an apprpriate test f the identified anmaly. 2 See ASX annuncement Springfield Cpper Prject Explratin Update dated 13 September 2016 fr full details

5 IP/ Resistivity Anmaly TLAC2694 Figure 4: Mnty NE gechem anmaly IP survey, ismetric prjectin f 2d inverted sectins with TLAC2694 (circled). Budgeted explratin fr quarter ending 31 December 2017 As nted earlier, budgeted explratin fr the frthcming quarter will predminantly fcus n testing newly interpreted target hrizns at Mnty NE, Mnty East, Hmer Suth (Figure 5 and Figure 6), and gechemical anmalies identified within the Suthern Vlcanics package. Figure 5: Springfield Prject simplified gelgy plan, shwing prspect lcatins, and the Mnth East & Mnty NE areas recently reinterpreted by Talisman (area indicated by the white bx).

6 These recent interpretatins, are based n Talisman s assessment f gelgical, gechemical and gephysical data cllected bth recently by the Jint Venture and previusly by Talisman prir t the discvery f the Mnty depsit and the frmatin f the Springfield Jint Venture. Talisman incrprated all the relevant datasets, and generated first principles gelgical interpretatins fr areas shwing quantitative gechemical anmalism. Based n this, a detailed review f all surrunding drilling data was cmpleted t highlight subtle alteratin and/r lith-facies changes that may indicate ptential prspective hst stratigraphic sequences. A review f the effectiveness f the existing drill testing in these areas was the final stage f the Talisman review. These new interpretatins were presented t the Jint Venture late in the June 2017 quarter. Figure 6: Mnty East & Mnty NE Talisman interpretatin shwing new gelgical interpretatin f the prspective hst hrizn. Sandfire cmpleted a detailed review f these new prpsed explratin pprtunities during the September 2017 quarter. RC drill testing f Mnty NE, Mnty East and the Suthern Vlcanics, and an infill air-cre prgram ver Hmer Suth, are planned as part f the frthcming December 2017 quarter budget activities. Drilling at Hmer Suth is aimed at infilling in an area with nly wide spaced histrical vertical RAB drill cverage (Figure 7). A cmplete gelgical review and reinterpretatin based n detailed gravity data is currently underway, with air-cre drilling infrmatin t be integrated int this new gelgical interpretatin as it becmes available. A target generatin prcess will fllw nce the air-cre drilling is cmplete.

7 Prpsed area f Air-cre drilling Figure 7: Hmer Prspect, shwing updated SFR Gelgical Interpretatin, with the new target hrizn and area f air-cre drilling. Talisman is encuraged by the prpsed n-grund explratin activities fr the December 2017 quarter, and will cntinue t wrk tgether with Sandfire t ensure that maximum value is extracted frm the available data. Talisman expects mre wrk t fllw-n as the Jint Venture cntinues t build its gelgical understanding f this highly prspective, cmplex prject area. ENDS Fr further infrmatin, please cntact: Fr media inquiries, please cntact: Dan Madden Managing Directr Michael Vaughan - Fivemark n n

8 Abut Talisman Mining: Talisman Mining Limited (ASX:TLM, Talisman) is an Australian mineral develpment and explratin cmpany. The Cmpany s aim is t maximise sharehlder value thrugh explratin, discvery and develpment f cmplementary pprtunities in base and precius metals. Talisman hlds a 30% interest in the Springfield Jint Venture (Springfield) with Sandfire Resurces NL (70% and JV Manager). Springfield is lcated in a prven VMS prvince in Western Australia s Bryah Basin and cntains multiple prspective crridrs and active explratin activities. Springfield hsts the high-grade Mnty cppergld depsit which is lcated 10 kilmetres frm Sandfire s DeGrussa peratins. Mnty is ne f the highestgrade cpper-gld discveries made glbally in recent decades and a Feasibility Study n its develpment was cmpleted in March The Feasibility Study highlighted the strng technical and financial viability f Mnty. Talisman als hlds 100% f the Sinclair Nickel Prject lcated in the wrld-class Agnew-Wiluna greenstne belt in WA s nrth-eastern Gldfields. The Sinclair nickel depsit, develped and cmmissined in 2008 and perated successfully befre being placed n care and maintenance in August 2013, prduced apprximately 38,500 tnnes f nickel at an average life-f-mine head grade f 2.44% nickel. Sinclair has extensive infrastructure and includes a substantial 290km 2 tenement package cvering mre than 80km f strike in prspective ultramafic cntact within a 35km radius f existing prcessing plant and infrastructure. Cmpetent Persn s Statement Infrmatin in this ASX release that relates t Explratin Results and Explratin Targets is based n infrmatin cmpleted by Mr Anthny Greenaway, wh is a member f the Australasian Institute f Mining and Metallurgy. Mr Greenaway is a full time emplyee f Talisman Mining Ltd and has sufficient experience which is relevant t the style f mineralisatin and types f depsits under cnsideratin and t the activities undertaken t qualify as a Cmpetent Persn as defined in the 2012 Editin f the Australian Cde fr Reprting f Mineral Resurces and Ore Reserves. Mr Greenaway cnsents t the inclusin in this reprt f the matters based n infrmatin in the frm and cntext in which it appears. Frward-Lking Statements This ASX release may include frward-lking statements. These frward-lking statements are nt histrical facts but rather are based n Talisman Mining Ltd. s current expectatins, estimates and assumptins abut the industry in which Talisman Mining Ltd perates, and beliefs and assumptins regarding Talisman Mining Ltd. s future perfrmance. Wrds such as anticipates, expects, intends, plans, believes, seeks, estimates, ptential and similar expressins are intended t identify frward-lking statements. Frward-lking statements are nly predictins and are nt guaranteed, and they are subject t knwn and unknwn risks, uncertainties and assumptins, sme f which are utside the cntrl f Talisman Mining Ltd. Past perfrmance is nt necessarily a guide t future perfrmance and n representatin r warranty is made as t the likelihd f achievement r reasnableness f any frward-lking statements r ther frecast. Actual values, results r events may be materially different t thse expressed r implied in this presentatin. Given these uncertainties, recipients are cautined nt t place reliance n frward lking statements. Any frward lking statements in this annuncement speak nly at the date f issue f this annuncement. Subject t any cntinuing bligatins under applicable law and the ASX Listing Rules, Talisman Mining Ltd des nt undertake any bligatin t update r revise any infrmatin r any f the frward lking statements in this annuncement r any changes in events, cnditins r circumstances n which any such frward lking statement is based.

9 Table 1 Drill-hle Infrmatin Summary, Springfield Cu-Au Prject Details and c-rdinates f recently cmpleted RC drill-hle cllars: Hle ID Grid ID Dip Azimuth East Nrth RL Hle (m) (m) (m) Type Max Depth Hle Status TLRC0069 MGA94_Z ,920 7,170, RC 448 Cmplete TLRC0070 MGA94_Z ,700 7,170, RC 448 Cmplete TLRC0071 MGA94_Z ,628 7,173, RC 436 Cmplete TLRC0072 MGA94_Z ,826 7,171, RC 316 Cmplete TLRC0073 MGA94_Z ,948 7,164, RC 448 Cmplete Table 2: Drill-hle Assay Intersectins fr the Springfield Cu-Au Prject Details f relevant intersectins received by Talisman f recently cmpleted RC drill-hle cllars are prvided belw. Calculatin f RC intersectins fr inclusin int this table are based n a 0.5% Cu cut-ff, n mre than 3m f internal dilutin and a minimum cmpsite grade f 1%Cu. Intersectin length, Cu (%), Au (ppm), Ag (ppm) and Zn (%) are runded t 1 decimal pint. Hle ID Depth Frm Depth T Interval Cu Au Zn (m) (m) (m) (%) (ppm) (%) TLRC0069 N Significant Results TLRC0070 N Significant Results TLRC0071 N Significant Results TLRC0072 N Significant Results TLRC0073 N Significant Results

10 Sectin 1 Sampling Techniques and Data (Criteria in this sectin apply t all succeeding sectins) Criteria JORC Cde explanatin Cmmentary Sampling techniques Nature and quality f sampling (e.g. cut channels, randm chips, r specific specialised industry standard measurement tls apprpriate t the minerals under investigatin, such as dwn-hle gamma sndes, r handheld XRF instruments, etc.). These examples shuld nt be taken as limiting the brad meaning f sampling. Include reference t measures taken t ensure sample representivity and the apprpriate calibratin f any measurement tls r systems used. Aspects f the determinatin f mineralisatin that are Material t the Public Reprt. In cases where industry standard wrk has been dne this wuld be relatively simple (e.g. reverse circulatin drilling was used t btain 1 m samples frm which 3kg was pulverised t prduce a 30 g charge fr fire assay ). In ther cases mre explanatin may be required, such as where there is carse gld that has inherent sampling prblems. Unusual cmmdities r mineralisatin types (e.g. submarine ndules) may warrant disclsure f detailed infrmatin. Sampling techniques emplyed by Sandfire n the Dlgunna Prject include half cre sampling f NQ2 Diamnd Drill (DD) cre, Reverse Circulatin (RC) drilling samples cllected by a cne splitter fr single metre samples r sampling spear fr cmpsite samples, and air-cre (AC) sample cllected using spear techniques fr bth cmpsite and single metre samples. Sampling is guided by Sandfire DeGrussa prtcls and QAQC prcedures as per industry standard. RC and AC sample size reductin is cmpleted thrugh a Byd crusher t -4mm and pulverised via LM5 t nminal -75µm. Pulp size checks are cmpleted. Diamnd cre size reductin is thrugh a Jaques jaw crusher t -10mm and all samples Byd crushed t - 4mm and pulverised via LM5 t nminal 90% passing - 75µm using wet sieving technique. Samples are assayed using Mixed 4 Acid Digest (MAD) 0.3g charge and MAD Htbx 0.15g charge methds with ICPOES r ICPMS. Fire Assay is cmpleted by firing 40g prtin f the sample with ICPMS finish. Drilling techniques Drill sample recvery Drill type (e.g. cre, reverse circulatin, penhle hammer, rtary air blast, auger, Bangka, snic, etc) and details (e.g. cre diameter, triple r standard tube, depth f diamnd tails, face-sampling bit r ther type, whether cre is riented and if s, by what methd, etc). Methd f recrding and assessing cre and chip sample recveries and results assessed. Measures taken t maximise sample recvery and ensure representative nature f the samples. Whether a relatinship exists between sample recvery and grade and whether sample bias may have ccurred due t preferential lss/gain f fine/carse material. Lgging Whether cre and chip samples have been gelgically and getechnically lgged t a level f detail t supprt apprpriate Mineral Resurce estimatin, mining studies and metallurgical studies. Whether lgging is qualitative r quantitative in nature. Cre (r cstean, channel, etc.) phtgraphy. Sandfire drilling is cmpleted using industry standard practices. RC drilling is cmpleted with a face sampling hammer f nminal 140mm size, AC drilling is with a blade bit and diamnd drilling is cmpleted using NQ2 size cring equipment. All drill cllars are surveyed using RTK GPS. All cre, where pssible is riented using a Reflex ACT II RD rientatin tl. Dwnhle surveying is undertaken using a gyrscpic survey instrument. Sandfire cre is meter marked and rientated t check against the driller s blcks, ensuring that all cre lss is taken int accunt. Diamnd cre recvery is lgged and captured int the database with weighted average cre recveries f apprximately 98%. Surface RC sampling is gd with almst n wet sampling in the prject area. AC drilling recvery is gd with sample quality captured in the database. Samples are rutinely weighed and captured int a central secured database. N indicatin f sample bias with respect t recvery has been established. Sandfire gelgical lgging is cmpleted fr all hles and is representative acrss the re bdy. The lithlgy, alteratin, and structural characteristics f drill samples are lgged directly t a digital frmat fllwing standard prcedures and using Sandfire DeGrussa gelgical cdes. Data is imprted int the central database after validatin in LgChief.

11 Criteria JORC Cde explanatin Cmmentary The ttal length and percentage f the relevant intersectins lgged. Lgging is bth qualitative and quantitative depending n field being lgged. All drill-hles are lgged in full. Sub-sampling techniques and sample preparatin If cre, whether cut r sawn and whether quarter, half r all cre taken. If nn-cre, whether riffled, tube sampled, rtary split, etc. and whether sampled wet r dry. Fr all sample types, the nature, quality and apprpriateness f the sample preparatin technique. Quality cntrl prcedures adpted fr all sub-sampling stages t maximise representivity f samples. Measures taken t ensure that the sampling is representative f the in situ material cllected, including fr instance results fr field duplicate/secnd-half sampling. Whether sample sizes are apprpriate t the grain size f the material being sampled. The nature, quality and apprpriateness f the assaying and labratry prcedures used and whether the technique is cnsidered partial r ttal. Fr gephysical tls, spectrmeters, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument make and mdel, reading times, calibratins factrs applied and their derivatin, etc. Nature f quality cntrl prcedures adpted (e.g. standards, blanks, duplicates, external labratry checks) and whether acceptable levels f accuracy (i.e. lack f bias) and precisin have been established. All cres are digitally phtgraphed and stred. Sandfire DD Cre rientatin is cmpleted where pssible and cre is marked prir t sampling. Half cre samples are prduced using Almnte Cre Saw. Samples are weighed and recrded. RC samples are split using a cne r riffle splitter. A majrity f RC samples are dry. On ccasins that wet samples are encuntered they are dried prir t splitting with a riffle splitter. AC samples cnsist f 5m cmpsite spear samples prduced frm 1m. Additinal 1m sampling may be cmpleted depending n the results frm the 5m cmpsites samples. All samples are dried at 80 fr up t 24 hurs and weighed. DD Samples are then crushed thrugh Jaques crusher t nminal -10mm. Secnd stage crushing uses Byd crusher t nminal -4mm. Pulverising is cmpleted using LM5 mill t 90% passing 75µm. RC and AC samples are Byd crushed t -4mm and pulverised using LM5 mill t 90% passing 75 µm. Sample splits are weighed at a frequency f 1:20 and entered int the jb results file. 1:20 grind quality checks are cmpleted fr 90% passing 75µm criteria using wet sieving technique t ensure representativeness f sub-samples. Sampling is carried ut in accrdance with Sandfire prtcls as per industry best practice. The sample size is apprpriate fr the VHMS and Gld mineralisatin styles. Sandfire samples are assayed using Mixed 4 Acid Digest (MAD) 0.3g charge and MAD Htbx 0.15g charge methds with ICPOES r ICPMS. The samples are digested and refluxed with a mixture f acids including Hydrfluric, Nitric, Hydrchlric and Perchlric acids and cnducted fr multi elements including Cu, Pb, Zn, Ag, As, Fe, S, Sb, Bi, M, Re, Mn, C, Cd, Cr, Ni, Se, Te, Ti, Zr, V, Sn, W and Ba. The MAD Htbx methd is an extended digest methd that appraches a ttal digest fr many elements hwever sme refractry minerals are nt cmpletely attacked. The elements S, Cu, Zn, C, Fe, Ca, Mg, Mn, Ni, Cr, Ti, K, Na, V are determined by ICPOES, and Ag, Pb, As, Sb, Bi, Cd, Se, Te, M, Re, Zr, Ba, Sn, W are determined by ICPMS. Samples are analysed fr Au, Pd and Pt by firing a 40g f sample with ICP AES/MS finish. Lwer sample weights are emplyed where samples have very high S cntents. This is a classical FA prcess and results in ttal separatin f Au, Pt and Pd in the samples. N gephysical tls are used in the analysis.

12 Criteria JORC Cde explanatin Cmmentary Verificatin f sampling and assaying Lcatin f data pints Data spacing and distributin Orientatin f data in relatin t gelgical structure Sample security Audits r reviews The verificatin f significant intersectins by either independent r alternative cmpany persnnel. The use f twinned hles. Dcumentatin f primary data, data entry prcedures, data verificatin, data strage (physical and electrnic) prtcls. Discuss any adjustment t assay data. Accuracy and quality f surveys used t lcate drill-hles (cllar and dwn- hle surveys), trenches, mine wrkings and ther lcatins used in Mineral Resurce estimatin. Specificatin f the grid system used. Quality and adequacy f tpgraphic cntrl. Data spacing fr reprting f Explratin Results. Whether the data spacing and distributin is sufficient t establish the degree f gelgical and grade cntinuity apprpriate fr the Mineral Resurce and Ore Reserve estimatin prcedure(s) and classificatins applied. Whether sample cmpsiting has been applied. Whether the rientatin f sampling achieves unbiased sampling f pssible structures and the extent t which this is knwn, cnsidering the depsit type. If the relatinship between the drilling rientatin and the rientatin f key mineralised structures is cnsidered t have intrduced a sampling bias, this shuld be assessed and reprted if material. The measures taken t ensure sample security. The results f any audits r reviews f sampling techniques and data. Sandfire DeGrussa QAQC prtcl is cnsidered industry standard with standard reference material (SRM) submitted n regular basis with rutine samples. SRMs and blanks are inserted at a minimum f 5% frequency rate. Significant intersectins have been verified by alternate Talisman persnnel. Sandfire primary data is captured n field tugh bk laptps using Lgchief Sftware. The sftware has validatin rutines and data is then imprted int a secure central database. The primary data is always kept and is never replaced by adjusted r interpreted data. Sandfire DeGrussa Survey team undertakes survey wrks under the guidelines f best industry practice. All surface drilling is accurately lcated using RTK-GPS. Fr the Springfield prject MGA94 Zne 50 grid crdinate system is used. Tpgraphy cntrl was established frm aerial phtgraphy using series f survey cntrl pints. Infill drilling at Mnty is based n a nminal 30m x 40m grid. Resurce definitin drill spacing and distributin f explratin results is sufficient t supprt Mineral Resurce Estimatin prcedures. Refer ASX: SFR 13/04/2016 Maiden High Grade Mineral Resurce fr Mnty VMS Depsit Explratin drill spacing utside f the Mnty Mineral Resurce is nt sufficient t estimate Mineral Resurces. N sample cmpsiting has been applied t the explratin results. At Springfield, n significant rientatin based sampling bias is knwn at this time. The drill hles may nt necessarily be perpendicular t the rientatin f the intersected mineralisatin. Apprpriate security measures are taken t dispatch samples t the labratry. Chain f custdy f samples is being managed by Sandfire Resurces NL. Samples are stred nsite and transprted t labratry by a licenced transprt cmpany in sealed bulker bags. The labratry receipts received samples against the sample dispatch dcuments and issues a recnciliatin reprt fr every sample batch. N external audits r reviews f the sampling techniques and data have been cmpleted.

13 Sectin 2 Reprting f Explratin Results (Criteria listed in the preceding sectin als apply t this sectin) Criteria JORC Cde explanatin Cmmentary Mineral tenement and land tenure status Type, reference name/number, lcatin and wnership including agreements r material issues with third parties such as jint ventures, partnerships, verriding ryalties, native title interests, histrical sites, wilderness r natinal park and envirnmental settings. The security f the tenure held at the time f reprting alng with any knwn impediments t btaining a licence t perate in the area. Sandfire Resurces NL and Talisman Mining Limited have frmed a Jint Venture which cvers Talisman s Dlgunna Prject tenements (E52/2282, E52/2313, E52/2466, E52/2275). Sandfire and Talisman hld a 70%:30% interest respectively in the Jint Venture, with the exceptin f tenement E52/2275 where interests f apprximately 81%:19% respectively are held. Bth parties are cntributing prprtinately t expenditure. Sandfire Resurces NL has been appinted as the Jint Venture Manager. All tenements are current and in gd standing. The Talisman tenements are currently subject t a Native Title Claim by the Yungunga-Nya Peple (WAD6132/98). Sandfire currently has a Land Access Agreement in place with the Yungunga-Nya Native Title Claimants and have assumed management f Heritage Agreements which were executed by Talisman. These agreements allw Sandfire t carry ut mining and explratin activities n their traditinal land. Explratin dne by ther parties Acknwledgment and appraisal f explratin by ther parties. Explratin wrk at Springfield cmpleted prir t Talisman s tenure included gechemical sil and rck chip sampling cmbined with gelgical mapping. Sme targeted RC drilling was cmpleted ver gld and diamnd targets. Gelgy Depsit type, gelgical setting and style f mineralisatin. The Dlgunna Prject lies within the Prterzic-aged Bryah rift basin enclsed between the Archaean Marymia Inlier t the nrth and the Prterzic Yerrida basin t the suth. The principal explratin targets at the Dlgunna Prjects are Vlcangenic Massive Sulphide (VMS) depsits lcated with the Prterzic Bryah Basin f Western Australia. Drill-hle Infrmatin A summary f all infrmatin material t the understanding f the explratin results including a tabulatin f the fllwing infrmatin fr all Material drill-hles: easting and nrthing f the drill-hle cllar elevatin r RL (Reduced Level elevatin abve sea level in metres) f the drill-hle cllar dip and azimuth f the hle dwn hle length and interceptin depth hle length. If the exclusin f this infrmatin is justified n the basis that the infrmatin is nt material and this exclusin des nt detract frm the understanding f the reprt, the Cmpetent Persn shuld clearly explain why this is the case. Drill hle infrmatin relating t the Springfield Prject is included in Table 1 Drill-hle Infrmatin Summary, Springfield Prject.

14 Criteria JORC Cde explanatin Cmmentary Data aggregatin methds Relatinship between mineralisatin widths and intercept lengths In reprting Explratin Results, weighting averaging techniques, maximum and/r minimum grade truncatins (e.g. cutting f high grades) and cut-ff grades are usually material and shuld be stated. Where aggregate intercepts incrprate shrt lengths f high grade results and lnger lengths f lw grade results, the prcedure used fr such aggregatin shuld be stated and sme typical examples f such aggregatins shuld be shwn in detail. The assumptins used fr any reprting f metal equivalent values shuld be clearly stated. These relatinships are particularly imprtant in the reprting f Explratin Results. If the gemetry f the mineralisatin with respect t the drill-hle angle is knwn, its nature shuld be reprted. If it is nt knwn and nly the dwn hle lengths are reprted, there shuld be a clear statement t this effect (e.g. dwn hle length, true width nt knwn ). Significant intersectins reprted frm the Springfield Prject are based n greater than 0.5% Cu and may include up t a maximum f 3.0m f internal dilutin, with a minimum cmpsite grade f 1.0% Cu. Cu grades used fr calculating significant intersectins are uncut. Minimum and maximum DD sample intervals used fr intersectin calculatin are 0.3m and 1.2m respectively. RC reprted intersectins are based n regular 1m sample intervals. N metal equivalents are used in the intersectin calculatin. Where cre lss ccurs; the average length-weighted grade f the tw adjacent samples are attributed t the interval fr the purpse f calculating the intersectin. The maximum interval f missing cre which can be incrprated with the reprted intersectin is 1m. Drill-hle intercepts relating t the Dlgunna Prject in this release are reprted as bth dwn-hle intersectin widths and estimated true width intersectins (refer Table 2: Drill hle assay intersectins >1% fr the Mnty Prspect). The gemetry f the mineralisatin has been interpreted using tp f mineralisatin surfaces that link mineralised znes, thught t be cntinuus, between neighburing drill-hles. Given the variable, and ften steeply dipping rientatin f the mineralisatin, the angle between mineralisatin and drill-hles is nt cnsistent. Dwnhle intercepts fr each drill-hle are cnverted t estimated true widths using a trignmetric functin that utilises the dip and dip directin f the interpreted tp f mineralisatin surface (at the intersectin pint f that drill-hle) as well as the dip and azimuth f the drill-hle at that psitin. Diagrams Apprpriate maps and sectins (with scales) and tabulatins f intercepts shuld be included fr any significant discvery being reprted These shuld include, but nt be limited t a plan view f drill-hle cllar lcatins and apprpriate sectinal views. Apprpriate maps with scale are included within the bdy f the accmpanying dcument. Balanced reprting Other substantive explratin data Where cmprehensive reprting f all Explratin Results is nt practicable, representative reprting f bth lw and high grades and/r widths shuld be practiced t avid misleading reprting f Explratin Results. Other explratin data, if meaningful and material, shuld be reprted including (but nt limited t): gelgical bservatins; gephysical survey results; gechemical survey results; bulk samples size and methd f treatment; metallurgical test results; bulk density, grundwater, getechnical and rck characteristics; The accmpanying dcument is cnsidered t represent a balanced reprt. Other explratin data cllected is nt cnsidered as material t this dcument at this stage. Other data cllectin will be reviewed and reprted when cnsidered material.

15 Criteria JORC Cde explanatin Cmmentary ptential deleterius r cntaminating substances. Further wrk The nature and scale f planned further wrk (e.g. tests fr lateral extensins r depth extensins r large-scale step-ut drilling). Diagrams clearly highlighting the areas f pssible extensins, including the main gelgical interpretatins and future drilling areas, prvided this infrmatin is nt cmmercially sensitive. Planned explratin acrss the Springfield Jint Venture Prject area includes bth surface and dwnhle gephysical techniques and recnnaissance and explratin drilling with Diamnd, Reverse Circulatin and air-cre drilling techniques.