Exterra Resources : Further Gold Exploration Success at Linden

60a01fcb-57b0-4adb-ab3d-40e74430c12e.pdf

FURTHER LINDEN DRILLING RESULTS CONTINUE TO CONFIRM WIDESPREAD GOLD MINERALISATION AT HILL EAST AND GOLDEN ORB AND INCLUDE VALUES UP TO 57.8 g/t Au AT THE ALAWA PROSPECT

Exterra Resources Limited

ACN 138 222 705

ASX Code: EXC

www.exterraresources.com.au Issued Capital:

Ordinary Shares: 274.96m Options: 46.4m

Directors and Management: John Davis

Managing Director

Justin Brown

Non-Executive Director

Peter Cole

Non-Executive Director

Dennis Wilkins

Company Secretary

19 July 2016

HIGHLIGHTS HILL EAST PROSPECT

• Widespread economic grade gold mineralisation further confirmed over at least 1km including 7m at 2.66 g/t from 32m.
• Historic and current drilling is less than 70m deep.
• Significant gold mineralisation occurs in a granite porphyry unit supporting large size potential based on geological analogues. GOLDEN ORB PROSPECT
• Further significant gold intersected at Golden Orb including 5m @ 2.86 g/t Au from 30m with associated silver grades of up to 22.60 g/t Ag. ALAWA PROSPECT
• High grade narrow vein style gold intersected including 1m @ 57.8 g/t confirms potential for a Second Fortune style deposit.
• Intercept is along strike from previous work and remains open along strike and at depth.

  Exterra Resources Limited (ASX:EXC) ("Exterra") is pleased to advise that assay results from the second batch of samples from portions of the first 57 holes from the 76 hole drilling programme at Linden have been received and confirm the presence of multiple mineralised zones at the Hill East, Golden Orb and Alawa prospects.

  Assays reported are from selectively sampled portions of the drillholes only, with full assays still pending. Importantly a number of the mineralized intercepts received to date represent incomplete intervals with significant grade at the end of the sampled intervals in several cases.

  So far drilling at Hill East has identified multiple zones of ore grade gold intercepts over at least 1km of strike, with significant widths in the oxidized zone, and with primary mineralisation associated with quartz stringers in a sequence of mafic volcanics, sediments and porphyry.

  Significantly results at Hill East and Golden Orb confirm gold mineralization hosted within mafic and porphyry lithologies with highly anomalous silver to

  22.60 g/t at Golden Orb and arsenic to 1.35% at Hill East.

  *Note: All intercepts are downhole widths.

  The results confirm the need for further follow-up drilling at Hill East, Golden Orb and Alawa.

  Further assay results from drilling completed at Cuckoo Hawk, Pipeline, Second Fortune Extended, Marloo and Mt Linden are expected shortly.

  Better results from the latest batch of assays reported include:

  • EXAC100 - Hill East: 7 m at 2.66 g/t Au from 32 m, including; 5 m at 3.37 g/t Au from 33 m
  • EXRC006 - Golden Orb: 5 m at 2.86 g/t Au from 30 m, including; 3 m at 3.96 g/t Au from 32 m
  • EXRC012 - Golden Orb: 2 metres at 3.68 g/t Au from 33 metres
  • EXRC030 - Golden Orb: 2 m at 5.22 g/t Au from 11 m, including; 1 m @ 9.31 g/t Au from 11 m
  • EXRC049 - Alawa: 2 m at 29.47 g/t Au from 66 m, including; 1 m @ 57.80 g/t Au from 66 m
  • EXRC051 - Alawa: 1 m at 8.19 g/t Au from 58 m

These results at Hill East further confirm significant gold mineralisation with associated highly anomalous arsenic over at least 1 km of strike and near surface.

The fact that the mineralisation is associated with porphyry intrusives and with significant quantities of gold being intersected in the oxide and transitional zones highlights the potential for open pittable gold deposits at the Linden Project, in addition to the already identified high grade narrow vein style previously discovered at the Second Fortune Gold Mine and as reported in the current drilling at Alawa.

The Hill East area is covered by lake sediments, soil and calcrete. Mineralisation appears to be related to NE trending quartz veins cross-cutting layering in a sequence of mafic volcanics, sediments and porphyry within a broader north west striking corridor. A major quartz blow to the west and extensive felsic porphyry intrusives indicate a major NW-SE trending fault zone.

The strong gold/arsenic and association and with a porphyry intrusive event is supports the potential for a large scale system with a number of geological analogues in the Laverton Tectonic Zone. Further field work is underway to determine the significance of the gold/arsenic/porphyry association and follow up drilling currently being planned.

Prospect	Hole ID	East	North	Nominal RL	Dip (°)	Azi (°)	Depth (m)	From (m)	To (m)	Interval (m)	Au (g/t)	Ag (g/t)	Highlights
HILL EAST GROUP	EXAC100	447323	6758858	400	-60	160	51	32	39	7	2.66	0.83	7m @ 2.66 g/t Au
	Including	33	38	5	3.37	1.08	5m @ 3.37 g/t Au
	EXAC101	447304	6758850	400	-60	160	51	32	33	1	0.55	0.55
	EXAC102	447285	6758843	400	-60	160	51	28	32	4	0.78	0.91
	EXRC001	447267	6758835	400	-60	160	35	25	26	1	1.73	0.55
	EXRC002	447254	6758814	400	-60	160	29	13	14	1	2.23	1.45
	EXRC005	447229	6758822	400	-60	160	38	25	26	1	3.63	1.00
GOLDEN ORB GROUP (Linden Bore)	EXRC006	446591	6758450	400	-60	180	59	30	35	5	2.86	8.89	5m @ 2.86 g/t Au
	Including	32	35	3	3.96	14.23
	EXRC007	446612	6758453	400	-60	180	50	34	36	2	1.47	4.35
	EXRC008	446632	6758450	400	-60	180	44	29	31	2	3.36	14.85
	Including	29	30	1	4.86	19.30	1m @ 4.86 g/t Au
	EXRC009	446661	6758446	400	-60	170	59	39	42	3	1.38	7.40
	EXRC011	446570	6758430	400	-60	180	29	5	8	3	1.40	1.27
	Including	6	7	1	2.06	1.75
	EXRC012	446570	6758449	400	-60	180	50	33	35	2	3.68	22.15	2m @ 3.68 g/t Au
	EXRC013	446550	6758430	400	-60	180	38	6	7	1	1.63	0.50
	17	18	1	6.92	17.70	1m @ 6.92 g/t Au
	28	29	1	2.66	7.20
	EXRC014	446552	6758450	400	-60	180	44	14	15	1	1.44	1.50
	33	34	1	3.83	20.40	1m @ 3.83 g/t Au
GOLDEN ORB GROUP (Linden Bore)	EXRC030	446290	6758602	400	-60	90	35	11	13	2	5.22	0.40
	Including	11	12	1	9.31	0.65	1m @ 9.31 g/t Au
	EXRC033	446362	6758558	400	-60	90	20	3	4	1	0.72	0.35
GOLDEN ORB GROUP (Linden Bore)	EXRC037	446764	6759121	400	-60	90	50	39	40	1	0.95	0.70
	EXRC038	446743	6759123	400	-60	90	68	61	62	1	6.35	22.60	1m @ 6.35 g/t Au
	EXRC039	446762	6759141	400	-60	90	32	17	21	4	0.59	0.30
	EXRC044	446539	6759141	400	-60	90	23	17	20	3	1.92	0.67	3m @ 1.92 g/t Au
	Including	18	19	1	4.03	1.30	1m @ 4.03 g/t Au
ALAWA	EXRC046	446582	6748638	400	-60	75	35	30	31	1	2.51	0.90
	EXRC048	446568	6748602	400	-60	75	83	62	63	1	0.64	0.05
	71	77	6	1.60	0.91	6m @ 1.60 g/t Au
	Including	73	74	1	4.19	0.45	1m @ 4.19 g/t Au
	EXRC049	446562	6748630	400	-60	75	92	66	68	2	29.47	1.68
	Including	66	67	1	57.80	3.20	1m @ 57.8 g/t Au
	EXRC051	446557	6748658	400	-60	75	80	58	59	1	8.19	2.85	1m @ 8.19 g/t Au
	EXRC052	446574	6748689	400	-60	75	35	18	20	2	0.93	0.55
	EXRC053	446555	6748682	400	-60	75	65	53	54	1	3.69	1.45
CUCKOO HAWK	EXRC054	446918	6748363	400	-60	295	50	28	29	1	4.41	0.05	1m @ 4.41 g/t Au
	EXRC057	446910	6748345	400	-60	295	50	21	23	2	1.61	0.15
	Including	21	22	1	2.38	0.20

Table 1: Significant results from selected 1 metre sampling at a nominal 0.50 g/t Au cut off

HILL EAST

Figure 1: Hill East prospect - collar locations and selected drilling results over Aeromagnetics