Finders Resources : Confirmation of Release - Lerokis Drilling Extends High Grade Zones

For ASX Market Release: 3 October 2017 Lerokis Drilling Extends High Grade Zones Finders Resources Limited (ASX:FND) is pleased to provide the following update on pre- development drilling activities at Lerokis within the Wetar Copper Project. Highlights

• Further high grade copper mineralisation intersected in RC holes drilled into the more complex areas of Zone 1S and Zone 5 at Lerokis, including an area that previously contained no modelled copper mineralisation.

• Closer spaced drilling has also confirmed continuity of a high grade zone previously defined by isolated high grade intercepts.

• Significant intersections include:

  o 22m at 13.33% Cu, 1.21g/t Au, 74.5g/t Ag, 1.52% Zn, 0.66% Pb from 9m in LKR533 - Zone 1S

  Incl. 13m at 21.81% Cu, 1.64g/t Au, 107.9g/t Ag, 1.27% Zn, 0.84% Pb

  from 9m

  o 25m at 7.29% Cu, 0.75g/t Au, 34.2g/t Ag, 1.14% Zn, 1.44% Pb from 5m in LKR527 - Zone 1S

  o 24m at 6.32% Cu, 2.03g/t Au, 162.0g/t Ag, 7.15% Zn, 2.01% Pb from 18m in LKR538 - Zone 1S/Zone 5

  o 22m at 5.65% Cu, 1.59g/t Au, 76.2g/t Ag, 1.81% Zn, 0.62% Pb from 28m in LKR537 - Zone 1S/Zone 5

  o 27m at 4.06% Cu, 0.96g/t Au, 47.5g/t Ag, 3.37% Zn, 0.89% Pb from 7m in LKR536 - Zone 1S

  o 24m at 3.63% Cu, 0.81g/t Au, 32.2g/t Ag, 1.48% Zn, 0.24% Pb from 16m in LKR528 - Zone 1S

  o 27m at 3.53% Cu, 0.91g/t Au, 35.6g/t Ag, 2.67% Zn, 0.49% Pb from 16m in LKR529 - Zone 1S

  Managing Director Barry Cahill commented:

  "These impressive results were from the Lerokis pre-development drilling program required to finalise the pre-mining Mineral Resource and Ore Reserve estimate for the Company's second open pit mine at Wetar. The high grade assay results indicate good potential for increasing the contained copper metal above that previously reported for the deposit. Mine development and infrastructure planning for Lerokis is now at an advanced stage."

  Contacts: Mr Gary Comb

  Non-Executive Chairman

  Mr Barry Cahill Managing Director Mr Wayne Apted

  Chief Financial Officer

  Phil Retter Investor Relations NWR Communications

  [e-mail]

  T: [phone]

  Perth Office:

  25 Colin Street West Perth WA 6005 T: [phone]

  F: [phone]

  E: [e-mail]

  ASX Code: FND

  www.findersresources.com

  Drilling Program Summary

  A 59 hole program of reverse circulation (RC) and diamond drilling (for a total of 2,931m) was recently completed into the more complex zones of the Zone 5 and Zone 1S areas at Lerokis (Figure 1) to better define pre-development mineralised envelopes for mine design purposes, obtain additional samples for metallurgical column leach testing, "sterilise" areas for infrastructure locations and to provide additional support to final open pit wall design assumptions.

  Figure 1 - Plan of Wetar Copper Project showing location of Lerokis deposit

  An RC drilling program consisting of 48 holes (for 2,412m) was designed to achieve a number of objectives:

• to extend the resource based on a revised geological interpretation,

• to reconfirm and potentially revise resource and reserve shells,

• to provide sample for further metallurgical and geotechnical modelling,

• to provide more precise geological interpretation throughout the resource.

The program has successfully achieved all of those objectives, with 26 of these holes further evaluating known areas of complex sulphide mineralisation in Zones 5 and 1S (Figure 2 and 3), 8 holes tested previously identified shallow sulphide mineralisation in Zone 1C and a further 14 sterilisation holes were drilled into previously untested areas for mine infrastructure.

Figure 2 - Plan of Lerokis deposit

Figure 3 - Enlarged plan of Lerokis (southern end), showing drill hole locations