Trafford Resources : High Grade Gold Silver Copper Project in Colombia

ASX Code: TRF

Ian Finch

Managing Director

Neil McKay

Director

Mark Le Grange

Director

Allan Trench

Director

SHARE REGISTRY

Advanced Share Registry

Services

110 Stirling Highway

Nedlands WA 6009

T: [phone]

F: [phone]

REGISTERED OFFICE

Level 2, 679 Murray Street

West Perth WA 6005

P: [phone]

F: [phone]

29th July 2014

Trafford Secures the Right to Acquire High Grade

Gold-Silver-Copper Project in Colombia

Six Kilometre Long Alteration Corridor Extensive Outcropping Zones of High Grade Gold, Silver and Copper. Historical Assays Include: El Naranjal Prospect:

- 25g/t Gold, 511g/t Silver, 9.41% Copper

- 24g/t gold, 410g/t Silver, 9.10% Copper

Daniel Prospect:

- 21g/t Gold, 7g/t Silver

Rio Negro Prospect:

- 25g/t Gold, 36g/t Silver

9 Exploration Lease Applications Lodged with Colombian Government

Trafford Resources Limited (TRF:ASX) is pleased to announce that it has entered into an option agreement to acquire the "Rancheria Project" located in the Caribbean coastal state of La Guajira in Colombia, South America. The project, which covers an area of 4,787ha, is approximately 100km, by road, east of the port city of Santa Marta. The Simon Bolivar International Airport is 20km from the Santa Marta city centre
In addition to the Rancheria Project the company, in conjunction with its local partners, has applied for 9 concessions (21,896ha) in five highly prospective regions throughout Colombia (See Figure 4) The concession areas were chosen for their prospectivity for major gold and copper deposits.
Colombia is home to multimillion ounce gold and silver deposits operated by major mining companies, including Gramalote (6Moz Gold) - AngloGold Ashanti / B2Gold, the high grade Buritica deposit (6.9Moz Gold, 21Moz Silver) currently in

development by Continental Gold and the enormous La Colosa deposit (24Moz Gold) owned by AngloGold Ashanti. In all, Colombia hosts mines that aggregate almost 100 Million ozs of gold. (See Figure 4).
The Rancheria Prospect is the culmination of 3 years work by Trafford personnel. In 2011 research into worldwide commodity opportunities led to the establishment of a small base office in the city of Medellin, west of the capital Bogota. Critical local partnerships were established during a period when projects were becoming available due to poor market conditions and lack of working capital.
Whilst Rancheria is the first Colombian Project to be secured by Trafford, the Company intends to increase its presence in the country by the acquisition of similar, high quality projects, over time.
The Rancheria Project area contains six established prospects -"Rio Negro Norte", "Rodrigo", "Daniel", "La Gloria", "Duarte" and "El Naranjal". All six prospects lie within a large northwest-southeast trending hydrothermal alteration corridor. All prospects have returned significantly elevated gold and silver assays from historical rock chip and channel sampling. Copper becomes more dominant to the South, at "Duarte" and "El Naranjal", where individual channel samples returned over 9% Copper in conjunction with Gold assays in excess of 25g/t*. Significant historical assay results from the prospects are presented in Figure 1
& Table 1

* Historical gold analyses sometimes exceeded the limit of the employed technique (25g/t Au) but were not re-assayed using the correct technique to determine the exact amount of gold in the sample.

The Option Agreement over Rancheria allows for a 90 day due diligence period. Following a successful technical, legal and financial due diligence the Company, through its 90% owned Colombian subsidiary, may exercise the Option by payment of USD$30,000 and will then have the right to earn up to 70% of the project by expenditure of USD$1.2M over 3 years and project payments of USD$100,000 per year of expenditure. Additional payments of $50,000 are due upon granting of 2 of the 5 licences and $30,000 per licence on the remaining 3. It will also retain the right to purchase the remaining 30% of the project for USD$3M at any time. Following the earn in period a Joint Venture will be formed where each party will contribute ongoing costs on a pro rata basis.

RESOURCES LTD

1,065,000

RIOHACHA

Municipality

NTA MARTA Rancl}eria

•

GUAJIRA

VALLEDUPAR

>25.0g/t Au, 36.5g/t Ag

4.3g t Au 4.69g/t Ag

Ja, Exlrusive Felsic Jg, lntrusive Felsic Jka , Exlrusive Felsic Ngg, lnlrusive Felsic Ngm, Sedimentary Pgg, lntrusive Felsic

pznm, Sedimentary

Qal, ContinentaiAIIwial

Qtz, ContinentaiAIIwial

TrJp, Volcanics

Rio ,,

(,.,

>25.0g/t Au, 8.87g/t Ag

2l.Og/t Au, 7.66g/t Ag

8.2g/t Au, 12.6g/t Ag

2.7g/t Au, 40g/t Ag, 0.12% Cu

2.4g/t Au, 66.4g/t Ag, 0.12% Cu

,El Na nja/

( l

' "==""=l

o_.o.c:s==---2

km 1,065,000

>25.0g/t Au, 248g/t Ag, 0.98% Cu

0.8g/t Au, 245g/t Ag, 0.83% Cu

2.5g/t Au, 49.4g/t Ag, 0.16% Cu

5.9g/t Au, 61.9g/t Ag, 0.36% Cu

1,070,000

Figure 1: Rancheria Project showing selected past sampling results

.. ..

T [phone] Level2, 679 Murray Street

f'f'.

F [phone] WestPerthWA6005Australla www.tra 1 JJordresources.com

PO Box 1124 West Perth WA 6872

Figure 2: El Naranjal Prospect previous small scale workings

Samples taken from this location returned:

>25g/t Gold, 511g/t Silver and 9.41% Copper

Figure 3: Close-up of above image at El Naranjal Prospect

Ian Finch
Managing Director

Trafford Resources Limited

Competent person statement:

The information in this announcement that relates to Exploration Results is based on information compiled by Ian D. Finch, who is a Member of The Australasian Institute of Mining and Metallurgy and who has more than five years' experience in the field of activity being reported on. Mr. Finch is the Managing Director of the company.

Mr. Finch has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr. Finch consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Table 1: Historical sampling significant results from the Rancheria Project

Prospect Sample Easting Northing Gold

Silver

Copper

g/t g/t %

Rio Negro

Norte

Rodrigo

Daniel La Gloria Duarte

El Naranjal

RAN008A 1,063,676 1,729,799 >25.00* 36.50 0.01

RAN008B 1,063,676 1,729,799 4.30 4.69 0.06

RAN044 1,064,718 1,728,294 21.00 7.66 0.00

RAN045 1,064,911 1,728,165 >25.00* 8.87 0.00

RAN066A 1,064,665 1,728,530 8.20 12.60 0.09

RAN066B 1,064,665 1,728,530 3.30 7.18 0.02

RAN066C 1,064,665 1,728,530 3.10 5.60 0.02

RAN066D 1,064,665 1,728,530 3.00 5.37 0.01

RAN066E 1,064,665 1,728,530 3.20 4.16 0.01

RAN066F 1,064,665 1,728,530 3.80 5.87 0.02

RAN067E 1,064,973 1,728,741 2.70 40.10 0.12

RAN068 1,064,988 1,728,702 2.40 66.40 0.12

RAN072 1,065,695 1,727,654 >25.00* 248.00 0.98

RAN073 1,065,692 1,727,651 0.30 44.40 0.07

RAN077 1,065,877 1,727,612 0.80 245.00 0.83

RAN077A 1,065,877 1,727,612 0.30 49.80 0.11

RAN077B 1,065,877 1,727,612 2.50 49.40 0.16

RAN077C 1,065,877 1,727,612 5.90 61.90 0.36

RAN078A 1,067,275 1,727,528 1.30 11.45 0.24

RAN078C 1,067,275 1,727,528 0.90 7.03 0.08

RAN078F 1,067,275 1,727,528 18.50 281.00 5.98

RAN078G 1,067,275 1,727,528 21.60 284.00 6.07

RAN078H 1,067,275 1,727,528 0.50 5.39 0.62

RAN078I 1,067,275 1,727,528 24.40 410.00 9.70

RAN078J 1,067,275 1,727,528 >25.00* 511.00 9.41

RAN078K 1,067,275 1,727,528 0.60 7.06 0.51

NB: Rounding to 2 decimal places, "Significant" results are selected as those with > 0.2g/t gold

*Previous sampling analyses exceeded the limit of the employed technique but were not re-assayed using the correct technique to determine the exact amount of gold in the sample.

RESOURCES LTD

A ----

Kilom-eters ----

Rancheria Project Riohacha.

e Optioned Project Santa Marta.

• Application

10 N

l Porven.ir

I Magdalena l.

Cartagena• Valledupar.

Sincelejo"

Maracaibo.

1(

Panama Monteria" La Palma,_•,

l chocol·

) l ltuangof.

Cucuta. enezue/a

Segovia

1.8Moz Go/d

5'N

Buritica

6.9Moz Go/d

Titiribi

10Moz Go/d

Quinchia

3Moz Go/d

9Moz Si/ver

®

Gramalote

VY 6Moz Go/d

Marmato

l!Sl"r .14Moz Go/d

90Moz Silver

Arauca

Angostura

15Moz Go/d

90Moz Silver

'

S'N

Cali.

La Co/osa

28Moz Go/d

neio.

l .

Popayan.

Mocoa.

Neiva.

Florencia.

Colombia

San Jose Del G ® Major Projects

Cities Elevation (m) Value

High : 6074

Low : -28

75"W

Figure 4: Colombia - Trafford's Projects and major deposits

.. ..

T [phone] Level2, 679 Murray Street

F [phone] West PerthWA6005 Australia WWW.

PO Box 1124 West Perth WA 6872

Appendix 1: "Table 1" Reporting of Exploration Results, JORC 2012

Sampling Techniques and Data
Criteria	Explanation	Comment
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.	Chip sampling is carried out at selected outcrops where a site is deemed to be of geological interest.
Sampling techniques	Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.	Samples are collected using a geo pic and placed in bags.
Sampling techniques	Aspects of the determination of mineralisation that are Material to the Public Report.	The sample locations is picked up by handheld GPS and descriptions of the site and sample are recorded and information stored in a geological database following appropriate QA/QC procedures.
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.).	No drilling is reported in this announcement
Drilling techniques	Measures taken to maximise sample recovery and ensure representative nature of the samples.	No drilling is reported in this announcement
Logging	Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.	Geological logging includes recording lithology, weathering, oxidation, colour, alteration and minerals.
Logging	Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography.	Logging is qualitative in nature and sample sites are photographed with individual samples photographed later.
Sub-sampling techniques and sample preparation	If core, whether cut or sawn and whether quarter, half or all core taken.	No drilling and thus no sub-sampling is reported in this announcement
Sub-sampling techniques and sample preparation	For all sample types, the nature, quality and appropriateness of the sample preparation technique.	Sample preparation at the lab follows industry best practice
Sub-sampling techniques and sample preparation	Quality control procedures adopted for all sub- sampling stages to maximise representivity of samples. Whether sample sizes are appropriate to the grain size of the material being sampled.	It is unknown or what QC measures were taken with regard to this sampling Sample sizes are considered to be appropriate.
Quality of assay data and laboratory tests	The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.	It is unknown the procedures or laboratory that conducted the analysis of these sample
Verification of sampling and assaying	The verification of significant intersections by either independent or alternative company personnel.	Significant results have not been independently verified at this point in time
Verification of sampling and assaying	Discuss any adjustment to assay data.	No assay data has been adjusted except rounded to 2 decimal points.

Location of data points

	If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.
Data aggregation methods	In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated.	No data was aggregated in this announcement
Relationship between mineralisation widths and intercept lengths	These relationships are particularly important in the reporting of Exploration Results.	Reported rock chips are a combination single point and channel selective samples of outcropping lithologies.
Diagrams	Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.	Refer to figures in main body of text.
Balanced reporting	Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results.	This announcement is a comprehensive report of the results covered by this announcement
Other substantive exploration data	Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples - size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	Only assays for rock chips are reported in this announcement
Further Work	The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step-out drilling).	The use of geophysics as well as further on ground exploration is required to improve understanding of the project and eventually to define drill targets
Further Work	Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.	Refer to figures in main body of text.