Axiom Mining : Isabel Nickel Project - San Jorge drill program complete

Axiom Mining Limited

ARBN 119 698 770

Mendana Ave, Honiara Solomon Islands

Level 6, 15 Astor Terrace

Brisbane QLD 4000

Australia

T + 61 7 3319 4100

www.axiom-mining.com

ASX Announcement

Isabel Nickel Project - San Jorge Phase 1 drilling now complete

20 March 2017

• The Phase 1 drill program at San Jorge is now complete with assay results for all 154 holes received
• Drilling has continued to intersect encouraging grades of nickel mineralisation
• Key highlights from the latest drilling results include:

- 23.2 m @ 1.36% Ni from 0.9 m including 10.6 m @ 1.80% Ni from 7.5 m - 21.0 m @ 1.14% Ni from 3.0 m including 2.6 m @ 1.73% Ni from 9.0 m - 22.0 m @ 1.07% Ni from 1.0 m including 5.0 m @ 1.40% Ni from 16.0 m

Axiom Mining Limited ('Axiom' or 'the Company') is pleased to announce the results of the remainder of the initial drill program on San Jorge Island in the Solomon Islands.

Axiom has targeted an area within the San Jorge tenement that presents optimal logistical characteristics of an initial mining DSO operation.

Phase 1 of the program at San Jorge, over a limited portion of the tenement, has been successfully concluded with the 50m by 50m drill pattern complete across the initial area of focus. The drill program included selected 25m infill holes as well as sterilisation holes on the edge of the known mineralised zone to assist in determining initial mining boundaries to facilitate efficient stockpiling and mining.

With the completion of Phase 1 of the program, the Company is currently focused on government approval for its mining lease application. Further to this Axiom is now assessing the additional areas defined by historical exploration over other areas of the tenement. This includes significant potential for saprolite mineralisation that requires modern testing - this will likely occur in parallel to mining operations.

Phase 1 of the drill program was designed to establish an initial area for mining and to support development of an initial JORC Mineral Resource. Drilling activities will now pause while awaiting the grant of a mining license at San Jorge although other exploration and development activities will continue. Phase 2 of the exploration drilling program is planned to commence in tandem with start-up mining activities upon grant of a mining lease.

Axiom CEO Ryan Mount said, "These encouraging drill results provide us the confidence for the next stage of planning and development of San Jorge."

Figure 1 San Jorge exploration camp Table 1 New assay results from San Jorge drilling

Hole ID	Entire intersection^	Limonite intersection#	Saprolite intersection~	Easting*	Northing*	RL (m)	EOH (m)
SJ-145	23.2m @ 1.36% Ni from 0.9m	10.6m @ 1.8% Ni from 7.5m	572257	9059802	217	25.0
SJ-146	9.8m @ 0.82% Ni from 1m	572254	9059747	213	23.2
SJ-147	5.4m @ 0.9% Ni from 2m	572301	9059697	214	11.8
SJ-148	5.1m @ 0.81% Ni from 2m	572299	9059724	216	16.6
SJ-149	8m @ 1.01% Ni from 1m	1m @ 1.44% Ni from 6m	572301	9059774	210	9.3
SJ-150	10.8m @ 0.81% Ni from 1m	572253	9059700	216	11.8
SJ-151	21m @ 1.14% Ni from 3m	4m @ 1.42% Ni from 5m	2.6m @ 1.73% Ni from 9m	572303	9059824	214	27.0
SJ-152	2m @ 1.14% Ni from surface	572248	9059724	218	3.3
SJ-153	22m @ 1.07% Ni from 1m	5m @ 1.4% Ni from 16m	572251	9059775	219	24.7
SJ-154	5m @ 1.01% Ni from 4m	572352	9059724	213	16.8

^0.6% Ni cut-off for entire intersection

#1.2% Ni cut-off and >2m thickness for limonite intersection

~1.2% Ni cut-off and >1m thickness for saprolite intersection

*Zone WGS84 UTM 57S, GPS coordinates subject to final survey

Figure 2 San Jorge drilling operations Figure 3 Drilling highlights

Section 1: Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code explanation	Commentary
Sampling techniques	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 representation 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 30 g 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.	Currently utilising NQ single tube core in sampled intervals. Handheld XRF analysers were used in field for initial analysis to guide site geologist or field assistants in deciding to end the hole. Samples were collected generally at 1.0m interval. In changes in geology a range of intervals from 0.3 m minimum to 1.25 m maximum. Whole core samples were sent to the laboratory in mineralised saprolite zones; half core samples were sent for mineralised limonite zones, overburden (minus top 2m), and bedrock intervals.
Drilling techniques	Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc.).	NQ single tube drilling by tungsten carbide and PCD bits employing light weight skid mounted drilling rigs commonly used in laterite drilling. Holes were drilled vertically through the limonite and saprolite zones into underlying basement.
Drill sample recovery	Method of recording and assessing core and chip sample recoveries and results assessed. Measures taken to maximise sample recovery and ensure representative nature of the samples. Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.	NQ coring was by single tube to maximise core recovery using PVC splits to improve sample quality. Average sample recovery can exceed 100% due to soft rock drilling with no water circulation where the "cuttings" can also report tot eh core barrel. Axiom has implemented a dry drilling technique in the top limonite zone and a low water technique in lower saprolite zone-bringing average recoveries to more than 99%.