Annual Mineral Resources Statement as at 30 June 2017

Review of Material Changes

Material changes have been made to the Company’s Gold Mineral Resource Inventory. Between June 2016 and June 2017, the total inventory increased from 6.7Mt at 1.6g/t for 345koz to 18.8Mt at 1.7g/t for 1,002koz. Increases are due to the option to acquire the Indee Gold Project which was announced in January 2017. Mineral Resource estimates for the various Indee deposits were subsequently updated and reported to comply with JORC 2012 reporting guidelines. The total Indee Mineral Resource inventory at June 2017 comprised 9.15Mt at 1.8g/t Au for 538koz, none of which was reported at June 2016.

Governance and Internal Control

The Company’s procedures for the sample techniques and sample preparation are regularly reviewed and audited by independent experts.

Assays are performed by independent internationally accredited laboratories with a QAQC program showing acceptable levels of accuracy and precision.

The exploration assay results database is maintained and appropriate backed-up internally.

All De Grey Mineral Resource estimates have been undertaken independently by Payne Geological Services Pty Ltd.

Competent Person Statement

The information in this Annual Mineral Resources Statement is based on, and fairly represents information and supporting documentation prepared by Mr Paul Payne, a Competent Person who is a Fellow of the Australasian Institute of Mining and Metallurgy.  Mr Payne is a full-time employee of Payne Geological Services.  Mr Payne has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken 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 Payne consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.