Taruga Gold : Update on due diligence progress

ASX RELEASE

11 January 2018

UPDATE ON DUE DILIGENCE PROGRESS MANONO LITHIUM PROJECT,

DEMOCRATIC REPUBLIC OF CONGO

Taruga Gold Limited (ASX: TAR) (Taruga) is pleased to provide an update of due diligence activities in respect to the option to acquire a 65% interest in permit ZRG0705 (the Project), which is highly prospective for lithium, tin and tantalite. As announced on 5 October 2017, Taruga had negotiated an exclusive option period over the Project, held by a local DRC company TIEX SA. The Parties have agreed an extension to the due diligence period for final assays and legal reporting to be concluded.

Key Highlights:

•  Taruga geological representatives have undertaken a site due diligence visit at the Project in late 2017, collecting soil samples from trenches, geological outcrops and artisanal workings

•  The site visit allowed the team to inspect outcropping lithium mineralisation

•  Assay testing of the samples are underway, with results expected in the coming weeks

•  Taruga is continuing with legal due diligence

•  Permit processing is continuing

DRC Project Review

Taruga and its strategic consultants are continuing to identify additional opportunities in the DRC and have had discussions with several parties regarding highly prospective copper and cobalt exploration ground in the DRC Copper Belt.

Bernard Aylward

Director

Taruga Gold Limited [phone]