Dynasty Resources : Company Update

12 December 2016

ASX Announcement

COMPANY UPDATE

Dynasty Resources Limited (Company) was suspended from quotation on 8 December 2016 pending the Company's re-compliance with Chapters 1 and 2 of the ASX Listing Rules. The Company would like to provide an update to its shareholders in relation to the suspension and the Company's intentions in the short term with respect to its ongoing operations.

The Company announced a drilling program on its North Shaw Project on 28 November 2016. The Company has now completed stage one of the drilling program and is currently awaiting assay results, which are expected to be received in late December 2016 or early January 2017.

In addition to the Company's mineral exploration interests, the Company holds 100% of the issued capital in U.S.A. Nongbiao Puruina Group Agricultural Holding Limited (Nong Biao), which in turn holds 75% of the issued capital in Shanghai Chen Mao Finance Lease Co., Ltd (Chen Mao). Chen Mao holds a financial leasing licence granted by the relevant authorities in Shanghai, China. The Company has contributed approximately A$3,400,000 in capital to Chen Mao since it acquired Nong Biao in December 2015. Chen Mao's initial operations have been generally positive with demand for financial leases in Shanghai greater than originally anticipated by the Company.

Your Board is undertaking a review of its mineral exploration in WA and its investment in the financial leasing business in China. Following completion of this review the Board will then advise shareholders of their assessed prospects of each with a view to achieving the best returns for shareholders. Any changes will be put to shareholders in a general meeting to the extent required by the ASX Listing Rules and the Corporations Act.

ENDS

Lewis Tay Managing Director [phone]

83 Brisbane Street, Perth 6000 Western Australia

T: [phone] F: [phone] E: [e-mail] www.dynastyresources.com.au