c3d2a6e8-cd81-4d20-b1f5-09f8686e94d5.pdf ASX Announcement

1 June 2016

Very High Grade Diamond Drilling Results Support Potential for Further Upgrades at Nicolsons

Pantoro Limited (ASX:PNR) (Pantoro) is pleased to advise that it has received high grade drilling results from the Anderson (Northern Zone) and Johnston (Southern Zone) Lodes at Nicolsons Mine near Halls Creek.

Diamond drilling continues to overcall

New results have been received from the ongoing underground drilling program at Nicolsons. Best Results include:

  • NUD16010 - 2.2 m @ 39.8 g/t from 107.3 m including 0.7 m @ 95.2 g/t from 107.3 m (Anderson Lode).

  • NUD16015 - 1.3 m @ 41.8 g/t from 147.4 m including 0.7 m @ 60.8 g/t from 148 m (Johnston Lode).

  • NUD16017 - 1.5 m @ 29.6 g/t from 161 m (Johnston Lode).

All three of the high grade results represent significant overcalls to the current Mineral Resource and Ore Reserve model estimates in the locations drilled. NUD16010 and NUD16017 were testing the extremities of the current Ore Reserve, while NUD16015 is well outside of the current Ore Reserve. The holes demonstrate the potential for continued Mineral Resource and Ore Reserve growth outside of the recently re-modelled Hall and Mother Lodes, and provide upside to the current mine plan.

200 mRL

NUD16017 1.5m @ 29.58 g/t Au

NUD16015 1.3m @ 41.83 g/t Au

NUD16010 2.2m @ 39.84 g/t Au

Mineralisation

Current Drill program

0 mRL

Host Sequence Mining Reserve

19200 mN

Plus 10g x m Intervals Sub 10g x m Intervals

0 M 50 M 100 M 150 M 200 M

20000 mN

19800 mN

19600 mN

19400 mN

19000 mN

South North

Figure 1 - Schematic Long section

Pantoro Limited

ABN 30 003 207 467

t: 08 9215 6005 | f: 08 9220 5757 | e: admin@pantoro.com.au | w: www.pantoro.com.au PO Box 1353 West Perth WA 6872 | Level 3, 18-32 Parliament Place West Perth WA 6005

Hole NUD16015 was drilled outside of the Ore Reserve in the zone between the upper and lower sections of the Johnston Lode at the southern end of the mine. The result of 1.3 m @ 41.8 g/t demonstrates that the area between the upper and lower sections of the defined Johnston Lode is mineralised. The area had not been previoulsy drilled from surface due to the drilling shadow created by the location of the Nicolsons Mine open pit. Pantoro plans to fully drill the largely untested zone to enable estimation of a revised Mineral Resource for the Johnston Lode in the near term. True width of the ore is approximately 0.8 m.

Hole NUD0017 was drilled at the Northern end of the Johnston Lode where the Ore Reserve blocks were economically marginal. The new result of 1.5 m @ 29.6 g/t compares favourably with the current Ore Reserve estimate grade which is only 4.2 g/t at the intersection point. True with of the ore is approximately 0.9 m.

Hole NUD16010 was designed to twin an existing RC hole to test grade comparison between diamond and RC drilling at the Northern extent of the current Anderson Lode Ore Reserve boundary. Results of 2.2 m @ 39.8 g/t compared favourably with RC twin results of 3 m @ 15 g/t and reserve grade of 13.3 g/t. True width of the ore is approximately 1.2 m.

Figure 2 - Drill core from hole NUD16010

Commenting on the results, Managing Director Paul Cmrlec said:

"Results at Nicolsons continue to impress, with the latest drill returns again revealing very high grades in areas that were either outside of the current Ore Reserves or in lower grades right on the margins or the modelled Ore Reserve. We look forward to developing these areas to reveal their true potential, and will update the market as further results become available."

End

Enquiries

Paul Cmrlec - Managing Director I Ph: +61 8 9215 6005 I Email: admin@pantoro.com.au

Halls Creek Tenements - Mineral Reporting

The information in this report that relates to exploration and Mineral Resources is based on information compiled by Mr. Scott Huffadine (B.Sc. (Hons)) MAusIMM who is a full time employee of Pantoro Limited. Mr. Huffadine 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 described by the 2012 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr. Huffadine consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

Halls Creek Tenements - Reserve Reporting

The information in this report that relates to Ore Reserves is based on information compiled by Mr. Paul Cmrlec (B. Eng (Mining) (Hons)), MAusIMM who is the Managing Director of Pacific Niugini Limited. Mr. Cmrlec 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 described by the 2012 Edition of the"Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr. Cmrlec consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

Page 2

Appendix 1 - TABLE OF DRILL RESULTS

Target

Hole No

Easting (Local)

Northing (Local)

RL (Local)

Dip (°)

Azimuth (°)

End of Hole Depth (m)

From (m)

Downhole Intersection (m)

Au g/t (uncut)

True Width (m)

Anderson

NUD16010

10046.5

19693

2185

-26

037

138

107.3

2.2

39.84

1.2

Johnston

NUD16015

10091.5

19421

2220

-41

208

173.4

147.4

1.3

41.83

0.8

Johnston

NUD16017

10091.5

19421

2220

-21

212.5

169.5

161

1.5

29.58

0.9

Potential HW Structurres

NUD16005

10138

19654

2187

0

159

68.6

64

0.2

0.82

0.2

Page 3

APPENDIX 2 - JORC 2012 - TABLE 1 - HALLS CREEK SECTION 1: SAMPLING TECHNIQUES AND DATA - HALLS CREEK

Criteria

JORC Code explanation

Commentary

Sampling techniques

  • Nature and quality of sampling (eg 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.

  • Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.

  • Aspects of the determination of mineralisation that are Material to the Public Report.

  • In cases where 'industry standard' work has been done this would be relatively simple (eg'reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay'). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (eg submarine nodules) may warrant disclosure of detailed information.

  • The Nicolson's deposit has been sampled predominantly by RC and minor historical RAB about the Nicolson's open pit area. The Wagtails and Rowdies deposits were sampled mainly by RC with follow-up aircore. Holes were sampled on 1 m increments, or 3 m increments above theknownmineralisation. Anomalous intercepts from the 3 m increments were re-split into 3 1 m increments.

  • Samples from the 2014 drill program are RC collars with diamond drill tails. Face chip samples were taken in accordance with observed geological features and are considered representative of the development face.

  • For RC drilling, measures taken to ensure sample representivity include the presence of a geologist at the rig whilst drilling, cleaning of the splitter at the end of every 3 m drill string, confirmation that drill depths match the accompanying sample interval with the drilling crew and the use of duplicate and lab/blank standards in the drilling programme.

  • Face Sampling,, each development face / round is chip sampled perpendicular to mineralisation. The sampling intervals are domained by geological constraints (e.g. rock type, veining and alteration / sulphidation etc.). The majority of exposures within the orebody are sampled

  • For diamond drilling, measures taken include regular survey of drill holes, cutting of core along the orientation line where possible, and half core is submitted to an accredited laboratory. Industry standard blanks and standards are also submitted and reported by the laboratory. Drilling is completed in HQ3. HQ3 core is logged and sampled according to geology, with only selected samples assayed. Core is halved, with one side assayed, and the other half retained in core trays on site for further analysis. Samples are a maximum of 1m, with shorter intervals utilised according to geology.

  • Rock chip samples are collected by hand using a rock hammer with multiple pieces of rock collected at one location for each sample.

  • Rock chip sample locations are recorded using a handheld GPS. Sample rock types were recorded where the rock was identifiable.

  • Rock chip samples are collected directly from the rock. Samples taken were dry.

  • Rock chip and float chip samples are inherently variable and do not accurately represent the average grade of the surrounding rock. Rock chip and float samples are used as a non-quantitative guide for assessing prospectivity hence are regarded as suitable for this purpose.

  • Float rock samples are taken from the surface and not from in-situ outcrop.

Page i

Pacific Niugini Limited published this content on 01 June 2016 and is solely responsible for the information contained herein.
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