Rift Valley Resources Africa Pty : Drilling defines extension and confirms resource at Kitongo

Collar Location and Orientation (local grid)

Intersection > 0.5ppm Au

Hole ID Type East North RL Depth Dip Az

Length

From (m) To (m) Au ppm

(m)

KTRC247 RC 10,123 4,593 1,217 75 ‐60 270

Hole abandoned

KTRC248 RC 10,124 4,607 1,220 96 ‐60 271

No assays > 0.5g/t

KTRC249 RC 10,145 4,646 1,216 75 ‐60 274

Hole abandoned

KTRC250 RC 10,099 4,650 1,219 52 ‐60 272

Hole abandoned

KTRC251 RC 10,098 4,647 1,217 60 ‐60 270

Hole abandoned

KTRC252 RC 10,050 4,642 1,219 80 ‐60 270

No assays > 0.5g/t

KTRC253 RC 10,199 4,607 1,212 132 ‐60 270

No assays > 0.5g/t

KTRC254 RC 10,232 4,559 1,215 102 ‐60 270

No assays > 0.5g/t

KTRC255 RC 10,376 4,447 1,214 150 ‐59 272 including

117 138 21 2.43

135 138 3 9.74

KTRC256 RC 10,440 4,328 1,215 124 ‐59 268

69 81 12 1.67

KTRC257 RC 10,535 4,254 1,211 82 ‐60 270 including

75 82 (EOH) 7 0.54

81 82(EOH) 1 1.34

KTRC258 RC 10,305 4,050 1,211 120 ‐61 181

48 75 27 0.29

KTRC259 RC 10,254 4,044 1,216 60 ‐60 180 including

12 33 21 2.68

12 24 12 4.14

KTRC260 RC 10,247 4,099 1,218 108 ‐60 180

51 69 18 1.55

Type

1.0g/t Au Cut‐off

Mt g/t Moz

0.5g/t Au Cut‐off

Mt g/t Moz

Laterite Highly Ox Moderately Ox Fresh

0.4 2.1 0.03

2.4 2.2 0.17

0.4 2.0 0.03

1.2 1.7 0.07

0.8 1.3 0.04

3.8 1.7 0.21

0.7 1.5 0.04

2.5 1.2 0.09

Total

4.4 2.0 0.29

7.8 1.5 0.37

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.

 Rift Valley completed 14 RC holes at the deposit for 1,316m of drilling;

 Holes were angled towards grid west or grid south to optimally intersect the mineralised zones;

 Samples were collected from a rig mounted cone splitter in one metre intervals. Composite samples were also collected from the cone splitter at 3m intervals. Wet samples were also collected via a rig mounted cyclone, drained and a sample collected by spear sampling;

 The majority of samples were dry and below the water table (generally 50m), holes were blown dry after each rod change to prevent down hole contamination;

 A small number of wet samples were collected but holes were typically stopped once the hole could not be kept dry.

Drilling techniques

 Drill type (eg core, reverse circulation, open‐ hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (eg 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).

 RC drilling used a face sampling bit;

 A booster compressor was used.

Drill sample

recovery

 Method of recording and assessing core and chip sample recoveries and results assessed.

 Measures taken to maximise sample recovery and ensure representative nature of the samples.

 Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.

 Bags of RC chips were visually assessed to ensure consistency of recovery.

 It is unknown if sample recovery and grades are related but sample recovery appeared to be very good.

Criteria

JORC Code explanation

Commentary

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.

 Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc) photography.

 The total length and percentage of the relevant intersections logged.

 The entire holes were logged in detail.

Sub‐sampling

techniques and sample preparation

 If core, whether cut or sawn and whether quarter, half or all core taken.

 If non‐core, whether riffled, tube sampled, rotary split, etc and whether sampled wet or dry.

 For all sample types, the nature, quality and appropriateness of the sample preparation technique.

 Quality control procedures adopted for all sub‐ sampling stages to maximise representivity of samples.

 Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second‐half sampling.

 Whether sample sizes are appropriate to the grain size of the material being sampled.

 Samples were collected from a rig mounted cone splitter in one metre intervals;

 3m composite samples were also collected from the cone splitter;

 A small number of wet samples were also collected from the cone splitter.

 Below the water table (generally 50m), holes were blown dry after each rod change to prevent down hole contamination;

 The 3m composite samples were submitted to ALS Laboratories in Mwanza for sample preparation.

 Samples were dried, crushed to minus 2mm with a jaw crusher then pulverized to 85% passing 75 microns;

 QAQC programs included field duplicates at

1 in 20 to confirm consistency of sub‐

sampling.

 Sample sizes are considered appropriate to correctly represent the gold mineralisation based on: the style of mineralisation, the thickness and consistency of the intersections, the sampling methodology and expected assay value ranges for Au.

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.

 For geophysical tools, spectrometers, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.

 Nature of quality control procedures adopted (eg standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (ie lack of bias) and precision have been established.

 Prepared samples were sent to ALS Laboratories in Johannesburg;

 Samples were assayed using a 50g fire assay method.

 The analytical techniques used approach total dissolution of gold in most circumstances.

 Certified standards were submitted at 1 in 20 to check assay reliability.

 Blanks were submitted at 1 in 20 to ensure no contamination of samples in the preparation or assay process.

 All QAQC results were satisfactory.

Criteria

JORC Code explanation

Commentary

Verification of

sampling and assaying

 The verification of significant intersections by either independent or alternative company personnel.

 The use of twinned holes.

 Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.

 Discuss any adjustment to assay data.

 No independent verification of significant intersections has been carried out.

 Primary data was collected on manual logging sheets. This has allowed RVY personnel to verify database records by comparing to original logs.

 Assay values that were below detection limit were adjusted to equal half of the detection limit value.

Location of

data points

 Accuracy and quality of surveys used to locate drill holes (collar and down‐hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.

 Specification of the grid system used.

 Quality and adequacy of topographic control.

 Collars were surveyed using hand held GPS then coordinates transformed to local grid using a known algorithm.

 Down hole surveys were recorded for some holes using a single shot electronic camera.

 Topographic control is from drill hole collar surveys and remote sensing data and is adequate due to the very low relief of the prospect area.

Data spacing

and distribution

 Data spacing for reporting of Exploration

Results.

 Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.

 Whether sample compositing has been applied.

 The RVY drilling was at 50m or 100m spacings but was located down dip or along strike from closer spaced RC holes.

 The drilling has demonstrated sufficient continuity in both geological and grade continuity to support the extension of the Mineral Resource if required, and the classifications applied under the 2012 JORC Code.

 3m composite samples were analysed and results reported for combined intervals

>0.5g/t Au.

Orientation of

data in relation to geological structure

 Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.

 If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.

 The majority of RC holes were angled to grid west, which is approximately perpendicular to the orientation of the mineralised trend of the Northern Shear.

 Holes in the Southern Limb were oriented grid south to be approximately perpendicular to the orientation of the mineralisation.

 No orientation based sampling bias has been identified in the data.

Sample

security

 The measures taken to ensure sample security.

 Samples were securely held by company personnel before being transported by company vehicle direct to the laboratory in Mwanza.

Audits or

reviews

 The results of any audits or reviews of sampling techniques and data.

 No audits and reviews have been carried out;

Criteria

JORC Code explanation

Commentary

Mineral

tenement and land tenure status

 Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings.

 The security of the tenure held at the time of reporting along with any known impediments to obtaining a license to operate in the area.

 The Kitongo project comprises a series of Prospecting Licences and applications. All main prospects are located within PL10068/2014 and PL 10069/2014;

 The defined Kitongo Mineral Resource is largely within Primary Mining Licences recently granted to Tanzanian nationals. Joint venture negotiations have commenced between Rift Valley and the PML holders, but are not concluded and it is not certain that the Company will gain an interest in the PMLs;

 All other areas of the project are owned

100% by Rift Valley.

Exploration

done by other parties

 Acknowledgment and appraisal of exploration by other parties.

 The majority of work completed at the project was carried out by East Africa Mines (subsidiary of Spinifex Gold) between 1994 and 2001;

 A small amount of work was completed by

AngloGold Ashanti under JV.

Geology

 Deposit type, geological setting and style of mineralisation.

 The Kitongo gold deposit is a shear hosted, mesothermal ore body located in the Lake Victoria Goldfields of Tanzania;

 Weathering to a depth of 40‐80m is present throughout the deposit;

 A thin but laterally extensive veneer of laterite occurs across the deposit area so no basement rock outcrop in the area.

Drill hole

information

 A summary of all information material to the under‐standing of the exploration results including a tabulation of the following information for all Material drill holes:

 easting and northing of the drill hole collar

 elevation or RL (Reduced Level - elevation above sea level in metres) of the drill hole collar

 dip and azimuth of the hole

 down hole length and interception depth

 hole length

 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.

 Drill hole locations for RVY drilling are shown in Figure 1 of this release.

 All significant intersections from historic RC and DD drilling were reported in the RVY ASX release dated 12 September 2014.

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.

 Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for

such aggregation should be stated and some

 Length weighting of assay results has been used where samples of uneven length were present;

 No grade truncations have been used when reporting significant intersections.

 Metal equivalent values are not being reported.

Criteria

JORC Code explanation

Commentary

typical examples of such aggregations should

be shown in detail.

 The assumptions used for any reporting of metal equivalent values should be clearly stated.

Relationship between mineralisation widths and intercept lengths

 These relationships are particularly important in the reporting of Exploration Results.

 If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported.

 If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g.'down hole length, true width not known').

 Drill holes are angled to grid west (Northern Shear) or grid south (Southern Limb), which is approximately perpendicular to the orientation of the mineralised trend in the each part of the deposit so down hole length is approximately equivalent to true width .

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.

 Relevant diagrams have been included within the main body of text.

Balanced

Reporting

 Accuracy and quality of surveys used to locate drill holes (collar and down‐hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.

 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.

 Drill hole collar coordinates were based on hand held GPS readings with a typical accuracy of ± 6m.

 Results from all RVY holes have been included in Table 1 of the release.

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.

 Small scale artisanal mining activities have occurred in the deposit area. This has demonstrated the presence of gold and defined the trend of the mineralisation. There is currently no active artisanal mining at Kitongo.

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).

 Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.

 Follow up drilling is planned to test for depth and strike extensions;

 Drill testing of other mineralised zones is also planned.

 Areas with potential for resource extension are shown in diagrams in the body of this release.