'Emmerson's high-grade gold inventory is rapidly growing: The completion of the Golden Forty Mineral Resource Estimate is a very substantial step forward for the Tennant Creek Project as a whole, as it adds over 75% more high-grade gold ounces to the Company's inventory, which now stands at over 300,000oz of gold at 5.2 g/t gold with the Indicated portion of the Mineral Resource now standing at over 256,000oz of gold at 6.0g/t.

The Golden Forty Resource has exceeded all expectations, with the recent drilling identifying a very high-grade domain which contains 77,000oz of gold at 9.3g/t and is mainly Indicated, leading to an increase to the previous JORC 2004 resource by around 300% to 133,900oz of gold. Importantly the Golden Forty resource is very robust with approximately 85% of the global resource classified as Indicated, which, given the high-grade, should allow a substantial amount of the resource to convert to an Ore Reserve, once additional development studies are completed. These studies, which are already underway, by our Joint Venture partner, Tennant Consolidated Mining Group (TCMG), are expected to lead to a substantial increase in the Probable Ore Reserves from the current base of 524Kt @ 4.7 g/t gold for 79,140oz. It is expected that once the additional studies are completed, the Golden Forty deposit will be transferred into our 'small mines joint venture' (SMJV), where Emmerson receives a 6% gross royalty on gold produced from the project. 'We expect that the addition of the Golden Forty Deposit into the SMJV, will have a material impact on TCMG's plans to revitalise gold mining and processing in the high-grade Tennant Creek Mineral Field and benefit the Northern Territory.'

Estimation of Mineral Resource for the High-Grade Golden Forty Gold Deposit Emmerson Resources Limited (Emmerson or Company ASX: ERM) is pleased to advise the completion of an initial Mineral Resource Estimate (MRE) for the Golden Forty Gold deposit within the Tennant Creek Mineral Field (TCMF), Northern Territory. The MRE is an important step forward in the evaluation of the deposit and will form the basis for development studies which are being undertaken by our joint venture partner Tennant Consolidated Mining Group (TCMG) as part of their plans to revitalise mining in the Tennant Creek Mineral Field. The Golden Forty MRE includes 935,000t @ 4.5 g/t gold for 133,900oz of contained gold using a 0.5g/t gold cutoff grade with approximately 85% of the ounces classified as Indicated. The historical mining voids have been modelled and excluded from the resource. Importantly, the deposit is insensitive to cutoff grade with the global resource ounces only decreasing by approximately 5%, to 652,000t @ 6.1 g/t gold for 127,200oz when the cutoff grade is doubled to 1.0g/t gold and contains 370,700t @ 9.6g/t gold for 114,300oz using a 2.0g/t gold cutoff. Included within the resource is a high-grade domain that contains 77,000oz of gold (257,000t @ 9.3 g/t), with 73,000oz classified as Indicated (211,200t @ 10.7 g/t gold) and 4,000oz of Inferred Resource (45,800t @ 2.7 g/t gold). This highlights the very highgrade and consistent nature of the mineralisation and the potential for the high-grade mineralisation to be mined using underground mining methods. With the Golden Forty MRE completed, the Emmerson's Tennant Creek Project now contains high-grade resources of over 300,000oz @ 5.2g/t gold with 84% of the ounces (256,400oz @ 6.0g/t) classified as Indicated.

Geology and Geological Information

Golden Forty is located four kilometres north-east of the Nobles Nob mine. The historical Golden Forty Mine (historical Inferred JORC 2004 Resource of approximately 48koz of gold) produced gold at a head grade of approximately 12g/t gold until production ceased in 1983 due to adverse ground conditions. Golden Forty is situated in the Paleoproterozoic Tennant Creek Block comprising a series of structurally controlled ironstone-hosted gold deposits within the Warramunga Formation. The mineralisation is west-plunging, steeply north-dipping and is interpreted to be situated on the south limb of the Peko syncline, considered to be an F2 fold, with later folding on N-S axes. Faulting is common in the Golden Forty area and localises mineralisation within structural flexures, near the hinge zones of the fold axes and in narrow lenses within sheared ironstone. The surface expression of Golden Forty occurs as several hilly ironstone outcrops close to the historical glory hole, and lateriticlimonitic clays at Golden Forty East. Outcrop geology mapped in the area shows pods of hematite-magnetite outcropping along EW trends (parallel to fold hinges) and an associated, fault controlled WNW trend. The Golden Forty deposit lies between 30m and 200m vertical depth below surface and in plan has a strike extent of approximately 350m and width of 100 metres. Oxidation extends up to 120 metres below the surface and, within the ironstones, results in a hematite-goethite-quartz-clay assemblages. The copper mineralisation is typically leached and depleted while the gold mineralisation can be spectacularly upgraded, as is the case for the adjacent historic workings associated with the old Golden Forty Mine. Golden Forty's mineralisation is interpreted to be zoned as follows: outer and upper quartz-magnetite; deeper chlorite -magnetite zone; inner chlorite-magnetite and quartz magnetite. The central core of the orebody consists of chlorite-magnetite and corresponds to the highest grades. An outer shell of quartz-magnetite contains economic gold grades and rims the higher-grade core. The geological interpretation of the deposit is based on detailed logging and sampling combined with a 3D model of the lithology domains. The high-density Reverse Circulation (RC) and Diamond drilling throughout the deposit has supported the development of this geological model plus a robust understanding of the distribution of mineralisation.

Sampling and Sub-sampling techniques

While there is limited documented information for historical sampling techniques, the Company has a detailed library of hard copy historical records dating back to the 1960's which outline the drilling techniques, geological data and analytical information for the deposit. For the recent Emmerson drilling, there has been systematic insertion of QC standards, blanks and duplicates, which have been reviewed by Emmerson geologists and are considered industry standard. RC samples by Emmerson, were collected from the drill rig's fixed cone splitter with two sample chutes providing a 1m sample and a 1m bulk sample. The 1m sample is then riffle split to obtain a representative sample for each 1m interval for inclusion into a 3m composite sample, weighing approximately 3kg. Anomalous samples were then re-assayed as single 1m samples. Diamond cores are sampled based on geological boundaries to a maximum length of 1.5m, marked up prior to being cut using an automatic core saw. Samples are collected from the same side of drill core and dispatched for analysis. Diamond core samples weigh 4kg. All RC and core samples were prepared by Intertek Genalysis Laboratory in either Alice Springs or in Adelaide. Preparation involved weighing and drying the sample, crushing the sample (to 10mm) and pulverising to >85% passing at 75-microm where 200g pulp samples. Pulp samples were then transported to Intertek Genalysis Laboratory in Perth, West Australia for analysis. Samples were composited to 1m for inclusion in the resource

Mineral Resource Classification

Mineral Resource classification criteria are based on the level of data informing both the geological model and grade estimation. The Mineral Resource has been constrained to a maximum vertical depth of 140mRL, which is approximately 210m below surface. Blocks have been classified as Indicated and Inferred based on drill hole spacing, geological continuity and estimation quality parameters. The Indicated Mineral Resource is supported by drilling with nominal 20m x 8m spacing, and predominately informed by the first estimation pass. Geological continuity is demonstrated by the geological interpretation from drilling. The Inferred Mineral Resource was defined where there was a low to moderate level of geological confidence in geometry, there was still continuity of grade, and drill spacing was greater than 20m. Inferred blocks are informed by the first and second estimation pass. Geological support was defined to a lower level of confidence in terms of continuity and extent. Unclassified mineralisation has not been included in this Mineral Resource. This is the material that has no estimated grades above 0.5g/t gold and material unsupported by geology and drilling or zones that are considered to be too sparsely drill tested to confirm continuity of grade or geology. A number of these zones have potential to be included in future MRE updates if additional exploration drilling confirms the current interpretation and grade

Estimation Methodology

The alteration and ironstone lithology wireframes were modelled by intrusion and vein modelling tools using Leapfrog Software. The ironstone was used as a guide for the gold mineralisation constraining wireframes (again using Leapfrog intrusion and vein modelling tools) within the ironstone and using an approximate 0.3-0.5g/t Au cut-off. All wireframe solids were snapped to RC and diamond drillholes. Drillhole intercepts were composited downhole to 1m lengths and gold estimation was carried out using ordinary kriging (OK), with hard boundaries between the domains. The search ellipsoids to follow the vein reference plane to improve local estimation efficiency. Caps (top-cuts) were applied to the composites prior to estimation to reduce the influence of outliers, 160g/t gold to the main high-grade domain and 50g/t gold to the second high-grade grade domain. Gold variography was undertaken on both main domains and gave a nugget of approximately 30%. Maximum ranges of between 50m and 85m were applied. Three search passes were used, with increasing search distances and decreasing minimum sample numbers employed. Bulk density (SG) was assigned to the block model based on weathering type and lithology. The applied density values were derived from density undertaken on the diamond drill core using the water immersion method.

Mining and Metallurgical Methods

Parameters Given the high-grade nature of the deposit, the MRE has not been constrained by a nominal depth, there are Reasonable Prospects of Eventual Economic Extraction for JORC compliance, as the deposit is high grade, only 4km from a proposed CIL processing facility, and has historically been mined using underground methods and processed through a standard CIL processing flowsheet. An approximate metallurgical recovery of 90% has been assumed in determining Reasonable Prospects of Eventual Economic Extraction, based on the fact that portions of the deposit has previously been mined and processed through a standard CIL processing circuit with high recoveries. Additionally, two composite samples (GFRC079, 104-114m and GFRC084, 201-210m) from the assay pulps have been analysed using a cyanide leachwell (solution) and fire assay (solid) analysis, which showed high gold recoveries >95% were achievable (GFRC079: 96.2% gold recovery and GFRC084: 95.3% gold recovery). Given the relatively high copper grades in portions of the deposit, additional metallurgical sampling is recommended. This is expected to be undertaken as part of a development study for the deposit, however there is extensive data supporting that gold mineralisation similar to Golden Forty Deposit from within the typical ironstone hosted mineralisation found in the Tennant Creek Mineral Field can be extracted using conventional processes

Contact:

Michael Vaughan

Email: mdunbar@emmersonresources.com.au

Tel: +61 8 9381 7838

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