Pioneer Resources : Mineral Resource Estimate for the Sinclair Caesium Project

• Metallurgy Underway - Preliminary Indications for Caesium Formate Production
• Mine Planning Underway - Mining Lease Applied For and Design Work Commences

• January Drill Results Include 3m at 11.5% Cs2O from 49m inPDRC094

Caesium, within the mineral pollucite, is currently mined in small quantities at the Tanco Mine in Manitoba, Canada, and sporadically at the Bikita Mine in Zimbabwe. Supply is considered very constrained.

The Pioneer Dome LCT Project is well serviced by existing mining-related infrastructure with the Goldfields to Esperance Highway and Railway traversing the Project. It is situated 30km north of Norseman and 150km south of the regional centre of Kalgoorlie (Figure 1).

The Mineral Resource Estimate is 10,500t of the caesium ore 'pollucite' with a grade of 17.1% Cs2O,

as summarised by category in Table 1 below:

Note: Appropriate rounding applied

During January 2017, the Company completed 22 reverse circulation ("RC") drill holes (PDRC088- PDRC109) for 1,446 metres, drilled along strike both north and south of the Sinclair Caesium Zone to test for evidence of further caesium mineralisation.

The high-value caesium mineral pollucite was intersected at an extension to the Sinclair Zone, bringing the mineralised strike length to 70m (Figure 2 and Appendix 1). In addition, geochemical vectors for pollucite were indicated in the drill information, making the Sinclair Caesium Zone one of a number of caesium and lithium targets to be further investigated going forward.

Significant high grade caesium drill intersections from the January 2017 drilling included:

PDRC090: 1m at 12.3% Cs2O from 48m PDRC093: 2m at 10.4% Cs2O from 49m PDRC094: 3m at 11.5% Cs2O from49m

1

The results listed above are in addition to earlier reported caesium intersections including:

PDRC015: 6m at 27.7% Cs2O from 47m PDRC074: 7m at 17.12% Cs2O from 49m PDRCD068: 3.85m at 27.78% Cs2O from 44.35m PDRCD071: 6.35m at 18.60% Cs2O from 41.4m PDRC083: 12m at 15.77% Cs2O from43m

Pioneer's Managing Director, David Crook, said "The Mineral Resource Estimate is a significant step toward the Company realising the value of the Sinclair Caesium Zone, which was discovered in September 2016.

"Preliminary metallurgy is looking very positive, with a simple process identified that can produce the very high value, high density caesium formate brine for use in the Oil and Gas industry.

Strategic Metallurgy Pty Ltd has been engaged to conduct a series of tests to determine an optimal processing route, along with capital and operating cost estimates for the selected processing route. Material for the initial metallurgical testing is a 25kg composite sample from the RC and Diamond Drilling completed in 2016.

The metallurgical tests on the pollucite sample have readily resulted in the production of a very high density, clear fluid that is expected to be confirmed through chemical analysis as caesium formate brine.

The second round, testing the leaching characteristics of varying size fractions, has commenced.

The Company is also advancing negotiations with parties interested in securing pollucite or caesium product offtake.

The Mineral Resource estimate presumes a single body of pollucite (hydrated caesium alumina- silicate) approximately 40m below surface within a highly fractionated LCT pegmatite intrusive. Geologically, the pollucite occurs within the most-highly differentiated 'core' of the PEG08 pegmatite.

The deposit has been drilled on a 10 x 10m grid using Industry-standard RC and Diamond drilling techniques, allowing the Mineral Resource Estimate to be classified as a Measured Resource. There are over 70 bulk density measurements within the deposit, all holes have been downhole surveyed with a north seeking gyroscope probe and the collar coordinates have been surveyed with a RTK DGPS by a licenced surveyor.

Reverse circulation drill holes were sampled on a 1m basis downhole, and Diamond sampling was conducted on a geological unit basis, with a minimum downhole sample length of 0.3m and a maximum downhole length of 1m. All samples were submitted to Intertek Genalysis for a 48-element geochemical analysis suite that utilised a four acid digestion and an ICP-MS determination.

All ore range chemical assay results were re-assayed using fused disk preparation with a mixed acid digestion followed by an ICP-MS determination. Standards and duplicates were inserted to confirm the accuracy and quality of the assay results. All QAQC samples returned results within acceptable limits.

Figure 1. Location diagram for the Pioneer Dome Lithium Caesium project

Figure 2. Drill hole Plan and interpreted Geology of the Sinclair Caesium Deposit project

Photograph 1. From diamond core hole PDRCD071, Pioneer's geologists have logged the interval between 41.40m and 47.70m (highlighted in green) as being predominantly pollucite.

Figure 3. Cross section through the Sinclair Deposit Caesium at 6,468,680mN.

Figure 4. Cross section through the Sinclair Caesium Deposit at 6,468,660mN