ASX/Media Announcement 12 November 2018 High Grade Gold Unearthed at Kouri Highlights: Trenching Trenching in the Mineral Resource area has exposed significant new gold mineralisation located immediately outside the current Mineral Resource in areas have not yet been tested by drilling. Channel rock chip sampling of this gold mineralisation along the trenches has outlined additional gold lodes. New intercepts include: o o o RC Drilling 3.3m at 3.2g/t gold, including 1m at 9.3g/t gold in TR01; 23m at 2.5g/t gold, including 1m at 38.8g/t gold in TR01; and 2m at 32.4g/t gold, including 1m at 64.1g/t gold in TR02. 3,000m RC drilling program remains on schedule to commence in late November 2018. RC program will target the significant new gold zones identified in the trenching, auger bedrock gold anomalies, the river channel to the west of the Mineral Resource and other targets identified by the Structural Study currently underway. Emerging West African gold developer, Golden Rim Resources Ltd (ASX: GMR) (Golden Rim or the Company), is pleased to provide assay results from channel rock chip sampling conducted along trenches recently excavated in the 1Moz gold Mineral Resource area at its 100% owned Kouri Gold Project (Kouri) in Burkina Faso. Two trenches (TR01 and TR02), for a cumulative length of approximately 1.3km, have been completed over the Guitorga Lodes in the Mineral Resource area to expose the gold mineralisation, which lies under shallow soil cover. The trenching was undertaken for geological mapping as part of a Structural Study currently being conducted by SRK Consulting (Figure 3). Trench location details are provided in Table 1 and depicted in Figure 1. Both trenches confirmed the location of the gold lodes comprising the Mineral Resource that had been tested by previous Reverse Circulation (RC) drilling. In addition, both trenches exposed new zones of mineralisation that lie outside the Mineral Resource and outside of any area that has been previously drilled. Channel rock chip sampling was conducted on 1m intervals, horizontally, from north to south along the trenches to test these new zones of mineralisation. A total of 247 samples were collected and analysed for gold with a number of significant new gold lodes identified. The results of the sampling are discussed below and detailed in Table 2. Areas of the trenches exposing the gold lodes included in the Mineral Resource and which have been subjected to previous RC drilling were not sampled and therefore all of the new assay results are from outside of the Mineral Resource. Many of these lodes had been subjected to shallow artisanal mining with portions of the gold mineralisation Golden Rim Resources Ltd I ABN 39 006 710 774 I Level 2, 609 Canterbury Road, Surrey HillsVIC3127, Australia I PO Box 124, Surrey Hills VIC 3127, Australia www.goldenrim.com.au I info@goldenrim.com.au I T + 61 3 9836 4146
removed. Portions of the trenching through these gold lodes often collapsed soon after excavation due to the intense shearing and wall instability as a result of artisanal mining. Channel Rock Chip Results TR01 is located across the northeast portion of the Mineral Resource and has a length of 600m. It extends along drill section line 11,350mN. The trench intersected a broad zone of shearing over at least 300m. Mineralisation appears strongest in areas of more intense shearing, where quartz veins and sulphides are more abundant. A more intensely sheared and mineralised area that is approximately 150m wide and comprises the core of the Guitorga Lodes was exposed in the central portion of TR01. A new, broad zone of intense mineralisation was located in the northwest portion of TR01, outside the current limit of the Mineral Resource drilling (Figures 1 and 2). It represented some of the strongest mineralisation exposed in TR01. The channel rock chip sampling across the mineralised zone returned two parallel intercepts of 3.3m at 3.2g/t gold, including 1m at 9.3g/t gold; and 23m at 2.5g/t gold, including 1m at 38.8g/t gold. This mineralised zone is interpreted to be a northeast extension of the Diabouga Lodes with the closest drilling on the Diabouga Lodes being 700m to the southwest. The new mineralised zone is also open along strike to the northeast and at depth. TR02 is located in the centre of the Mineral Resource area, along drill section 9625mN, and has a length of 700m. It also intersected a broad zone of shearing with abundant quartz veins and sulphide mineralisation that comprise the gold lodes within the Mineral Resource. The trench also exposed the high-grade quartz lode that was intersected in previous drill holes BARC279 (6m at 25.2g/t gold from 8m) and BARC278 (3m at 9.3g/t gold from 53m). This high-grade gold lode was not sampled in the channel rock chip program and is not included in the Mineral Resource. The gold lode will be incorporated in the Mineral Resource update currently being prepared by RPM Advisory and expected to be released later this month. In addition, TR02, intersected a new zone of mineralisation in a previously untested area that lies outside the Mineral Resource and only 70m northwest from the high-grade gold lode previous discovered in drill holes BARC278 and BARC279. Channel rock chip sampling across this new, parallel zone of mineralisation also returned high gold grades with 2m at 32.4g/t gold, including 1m at 64.1g/t gold (Figures 1 and 3). This additional high grade gold lode is open in all directions. Reverse Circulation Drilling A 3,000m RC drilling program is scheduled to commence in late November 2018 at Kouri. The drilling will be conducted under the drilling-for-equity agreement with Ausdrill Limited (Ausdrill). At this stage, subject to the results from the infill auger drilling, the Structural Study and the Mineral Resource update, the following areas are expected to be targeted by the RC drilling: The new gold lodes identified in the trenching; Auger bedrock anomalies at Guitorga West, Guitorga North and Red Hill; The river channel area between Guitorga West and the Mineral Resource; and Targets identified by the Structural Study, including potential high-grade gold shoot areas within and beneath the Mineral Resource. Page 2
Commenting on the trenching results from Kouri, Golden Rim Managing Director Craig Mackay said: We are very pleased with the results from the trenching program. At a low cost we have identified several exciting new gold lodes at Kouri that lie immediately outside our 1Moz Mineral Resource. These results further demonstrate the considerable exploration upside in the immediate Mineral Resource area at Kouri. The commencement of our RC drilling at Kouri remains on track for later this month which will include testing the extent of the new gold lodes identified in the trenching. Ausdrill s RC rig remains on-site since the last program, enabling drilling to commence quickly and we look forward to keeping our shareholders updated as results become available. -ENDS- For Further Information Please Contact: Golden Rim Resources Media and Broker Enquiries Craig Mackay Andrew Rowell Managing Director Director Investor Relations Golden Rim Resources Cannings Purple +61 3 9836 4146 +61 400 466 226 craig@goldenrim.com.au arowell@canningspurple.com.au About Golden Rim Resources Emerging West African gold developer, Golden Rim Resources Limited (ASX: GMR), is focused on the discovery and development of gold projects in West Africa. With a decade of experience working in Burkina Faso, the Company believes it is well placed to turn discoveries into real value for shareholders. The Kouri Gold Project, located in northeast Burkina Faso, contains over 1Moz in defined Mineral Resources, with significant upside potential to grow. Kouri is traversed by a significant NE-trending fault splay that is connected to the major Markoye Fault system. This fault system controls a number of major gold deposits in Burkina Faso, including Kiaka (5.9 Moz gold), Bomboré (5.2 Moz gold), Essakane (7 Moz gold) and Sanbrado (2.8 Moz gold). The mineralised fault system extends into western Niger where the 2.5 Moz Samira Hill is located. For more information: www.goldenrim.com.au ASX Code: GMR Market Capitalisation: A$9m Issued Shares: 449.9m Cash (as at 30 September 2018): A$2.4m Page 3
Figure 1. Location of the gold lodes (yellow lines) included in the 1Moz Mineral Resource and the new gold lodes (white dashed lines) discovered in trenching (black lines) over a ground magnetics (analytical signal) image.
Figure 2. Drill section 11,350N with Trench TR01
Figure 3. Drill section 9,625mN with Trench TR02
Table 1. Trench location details Start Easting Start Northing Bearing Trench ID (m) (m) (degrees) Section Length (m) TR001 180,371 1,409,297 150 11,350mN 600 TR002 178,932 1,408,319 150 9,625mN 700 Notes: Coordinate projection: UTM, WGS 84 zone 31 North. Table 2. Significant intercepts from the RC drilling at Kouri Hole ID From (m) To (m) Significant Intersections ( 0.5 g/t gold) TR001 3 6.3 3.3m at 3.2g/t gold, including 1m at 9.3g/t gold from 3m TR001 14 36 23m at 2.5g/t gold, including 1m at 38.8g/t gold from 31m TR001 97 98 1m at 0.6g/t gold TR002 478 480 2m at 32.4g/t gold, including 1m at 64.1g/t gold from 478m Notes: All reported intersections are assayed at 1m intervals. Intercept cut-off grade is 0.3g/t gold. Intervals are reported with a maximum of 4m of internal dilution unless the total intercept grade falls below 0.3g/t gold. Intercept intervals (From and To) are the horizontal distances from the trench start (origin) detailed in Table 1. Sample preparation and assaying conducted by BIGS Laboratory in Ouagadougou. Assayed by 50g charge fire assay with Atomic Absorption Spectrometry (AAS) finish. Competent Persons Statements The information in this report that relates to exploration results is based on information compiled by Mr Craig Mackay, a Competent Person who is a member of The Australasian Institute of Mining and Metallurgy. Mr Mackay is a full-time employee of Golden Rim Resources Ltd. Mr Mackay has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken 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 Mackay consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. The information in this report relating to previous exploration results are extracted from the announcements: Large New Gold Anomalies Outlined at Korongou dated 15 January 2015; New High Grade Gold Lode Discovered at Kouri dated 30 April 2018; 1 Million Ounces of Gold in Maiden Mineral Resource at Kouri dated 3 May 2018; Highly Anomalous Gold Auger Results Demonstrate Regional Prospectivity at Kouri dated 6 July 2018; New Gold Discovery at Red Hill dated 16 July 2018; Strong Bedrock Gold Anomalies Indicate Potential 1.5km Extension to Mineralisation at Kouri dated 24 July 2018; Highly Anomalous Bedrock Gold Anomalies Continue to be Identified at Kouri dated 16 August 2018; and Additional Bedrock Gold Anomalies Identified at Kouri dated 27 August 2018 and has been reported in accordance with the 2012 edition of the JORC Code. These announcements are available on the Company s website (www.goldenrim.com.au). The Company confirms that it is not aware of any new information or data that materially affects the information included in these announcements. Forward Looking Statements Certain statements in this document are or maybe forward-looking statements and represent Golden Rim s intentions, projections, expectations or beliefs concerning among other things, future exploration activities. The projections, estimates and beliefs contained in such forward looking statements necessarily involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of Golden Rim, and which may cause Golden Rim s actual performance in future periods to differ materially from any express or implied estimates or projections. Nothing in this document is a promise or representation as to the future. Statements or assumptions in this document as to future matters may prove to be incorrect and differences may be material. Golden Rim does not make any representation or warranty as to the accuracy of such statements or assumptions. Page 7
Appendix 1: JORC Code (2012 Edition), Assessment and Reporting Criteria Section 1: Sampling Techniques and Data Criteria JORC Code Explanation Explanation Sampling Techniques Drilling Techniques Drill sample recovery Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling. Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used. Aspects of the determination of mineralisation that are Material to the Public Report. In cases where industry standard work has been done this would be relatively simple (e.g. reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30g charge for fire assay ). In other cases, more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information. Drill type (e.g. core, reverse circulation, openhole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, facesampling bit or other type, whether core is oriented and if so, by what method, etc.). Method of recording and assessing core and chip sample recoveries and results assessed. The sampling described in this report refers to channel sampling of trenches. The trenches were prepared with an excavator to an average depth of 3.7m to expose weathered bedrock beneath transported cover. The channel samples were taken across the face of the trench (below the transported soil cover) in 1 metre intervals. Samples were all collected by qualified geologists or under geological supervision. The samples are judged to be representative of the rock being drilled. The nature and quality of sampling is carried out under QAQC procedures as per industry standards. Sampling is guided by Golden Rim s protocols and Quality Control procedures as per industry standards. Samples were submitted to BIGS Laboratory in Ouagadougou for preparation and analysis. Trench samples are crushed through a RDS Boyd crusher to -2mm and pulverised via LM2 to a nominal 90% passing - 75μm. A 200g sub-sample is taken for analysis. A 50g charge weight is fused with litharge-based flux, cupelled and the prill dissolved in aqua regia and gold tenor is determined by AAS. Not applicable. Sample recovery is not assessed for trench sampling as it is a geochemical method. Measures taken to maximise sample recovery and ensure representative nature of the samples. Trench samples are visually checked by a technician for geology, moisture and contamination. Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain No relationship is seen to exist between sample recovery and grade. Page 8
Criteria JORC Code Explanation Explanation Logging Sub-sampling techniques and sample preparation Quality of assay data and laboratory tests of fine/coarse material. Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies. Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc) photography. The total length and percentage of the relevant intersections logged. If core, whether cut or sawn and whether quarter, half or all core taken. If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled wet or dry. For all sample types, the nature, quality and 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. The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total. No sample bias has occurred. Trench samples are not used for Mineral Resource estimation. Each sample interval was geologically logged in a qualitative fashion. The geological logging was done using a standardised logging system. This information and the sampling details were transferred into Golden Rim s drilling database. Logging is both qualitative and quantitative, depending on the field being logged. 100% of each relevant intersection is logged in detail. No drill core sampling was reported in this announcement The entire trench sample was submitted for assay, so no sub-sampling is required. Samples were dry. Samples were transported by road to BIGS Laboratory in Ouagadougou. The sample preparation for all samples follows industry best practice. At the laboratory, all samples were weighed, dried and crushed to -2mm in a jaw crusher. A split of the crushed sample was subsequently pulverised in a ping mill to achieve a nominal particle size of 90% passing 75 μm. Golden Rim has protocols that cover the sample preparation at the laboratories and the collection and assessment of data to ensure that accurate steps are used in producing representative samples. The crusher and pulveriser are flushed with barren material at the start of every batch. Sampling is carried out in accordance with Golden Rim s protocols as per industry best practice. Field QC procedures involve the use of certified reference material as assay standards and duplicates for the trench samples. The sample sizes of approximately 3kg are considered appropriate to correctly represent the style of mineralisation, the thickness and consistency of the intersections. A 200g sub-sample is taken for analysis. A 50g charge weight is fused with litharge-based flux, cupelled and the prill dissolved in aqua regia and gold tenor is determined by AAS.The analytical method is considered appropriate for this mineralisation style and is of industry standard. The quality of the assaying and laboratory procedures are Page 9
Criteria JORC Code Explanation Explanation Verification of sampling and assaying For geophysical tools, spectrometers, handheld XRF instruments, etc., the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc. Nature of quality control procedures adopted (e.g. standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (i.e. lack of bias) and precision have been established. The verification of significant intersections by either independent or alternative company personnel. The use of twinned holes. considered to be appropriate for this deposit type. No geophysical tools were used to determine any element concentrations. Sample preparation checks for fineness were carried out by the laboratory as part of their internal procedures to ensure the grind size of 90% passing 75 microns. Reported results are compiled and verified by the Company s Senior Geologist and the Managing Director. No drill holes are reported in this report. Location of data points Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols. Discuss any adjustment to assay data. Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation. Primary field data is collected by Golden Rim geologists on standardised logging sheets. This data is compiled and digitally captured. The compiled digital data is verified and validated by the Company s database geologist. The primary data is kept on file. There were no adjustments to the assay data. Start and end positions of the trenches were recorded by hand held GPS with a positional accuracy of approximately +/- 5 metres. Data spacing and distribution Orientation of data in relation to geological structure Specification of the grid system used. Location data was collected in UTM grid WGS84, zone 31 North Quality and adequacy of topographic control. Data spacing for reporting of Exploration Results. Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied. Whether sample compositing has been applied. Whether the orientation of sampling achieves unbiased sampling of 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 a sampling bias, this should be assessed and reported if material. Hand held GPS was used for topographic control Trenches were excavated at right-angles (150 degrees) to the main trend of the mineralisation Trench sampling is not appropriate for the calculation of any Mineral Resource estimate. There was no sample composting. Trenches are excavated vertically, along 150 degree orientated grid lines. The strike of mineralisation in the Kouri licence is approximately 050 degrees. No orientation-based sampling bias has been identified in the data at this point. Page 10
Criteria JORC Code Explanation Explanation Sample security Audits or reviews The measures taken to ensure sample security. The results of any audits or reviews of sampling techniques and data. Samples are stored on site prior to road transport by Company personnel to the laboratory in Ouagadougou, Burkina Faso. There has been no external audit or review of the Company s techniques or data. Section 2: Reporting of Exploration Results Criteria JORC Code explanation Explanation Mineral tenement and land tenure status Exploration done by other parties Geology Drill hole Information Data aggregation Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings. The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area. Acknowledgment and appraisal of exploration by other parties. Deposit type, geological setting and style of mineralisation. A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes: easting and northing of the drill hole collar elevation or RL (Reduced Level elevation above sea level in metres) of the drill hole collar dip and azimuth of the hole down hole length and interception depth hole length. If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case. In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum The trench sampling results are from the Kouri permit. Golden Rim owns 100% of the permit. Tenure is in good standing. The area that is presently covered by the Kouri permit has undergone some previous mineral exploration. The Kouri Project covers part of a highly prospective Lower Proterozoic Birimian, Samira Hill Greenstone belt and is traversed by a significant NE-trending fault splay which is connected to the major Markoye Fault system. This fault system controls several major gold deposits in Burkina Faso, including Kiaka (5.9 Moz), Bomboré (5.2 Moz) and Essakan (7 Moz). The mineralisation lies in a package of highly altered volcanic and volcaniclastic host rocks and is associated with a major gold-in-soil anomaly and a prominent dilational structural jog along a regional NE-trending shear zone. Trench sampling is a reconnaissance exploration technique. Typically each metre of in-situ material (below soil cover) is face sampled. Appropriate locality maps for the trenches accompanies this announcement. Drill hole intersections are not reported in this announcement. No weighting or high grade cutting techniques have been applied to the data reported. Page 11
Criteria JORC Code explanation Explanation methods grade truncations (eg cutting of high grades) and cut-off grades are usually Material and should be stated. Assay results are generally quoted rounded to 1 decimal place. Relationship between mineralisation widths and intercept lengths Diagrams Balanced reporting Other substantive exploration data Further work Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail. The assumptions used for any reporting of metal equivalent values should be clearly stated. These relationships are particularly important in the reporting of Exploration Results. If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported. If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. down hole length, true width not known ). Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views. Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results. Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances. The nature and scale of planned further work (eg tests for lateral extensions or depth extensions or large-scale step-out drilling). Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive. Not applicable in this document as no exploration results are announced. Metal equivalent values are not reported in this announcement. The reported trench results are from early stage reconnaissance exploration. Not applicable in this document as no drilling results are announced. Not applicable in this document as no drilling results are announced. Appropriate location maps and sections are provided in the main text. The accompanying document is considered to represent a balanced report. There is no other exploration data which is considered material to the results reported in the announcement. Promising results will be followed up (where practicable) with RC or DD drilling. Exploration and infill drilling will continue to target projected lateral and depth extensions of the mineralisation and to increase the confidence in the Mineral Resource. Refer to main body of this report. Page 12