RNI NL : Significant VMS Mineralisation Intersected at Wodger

ASX Announcement 16 January 2017

SIGNIFICANT VMS MINERALISATION INTERSECTED AT WODGER HIGHLIGHTS

• First phase drilling confirms 1km long VMS mineralized horizon at Wodger Prospect
• Significant copper intercepts include:

  o 9m @ 1.30% Cu (within a broader halo of 99m @ 0.27% Cu) o 4m @ 2.02% Cu (within a broader halo of 28m @ 0.53% Cu) o 16m @ 0.85% Cu (within a broader halo of 88m @ 0.29% Cu)

• Several intercepts of visible malachite and azurite from aircore drill chips returned maximum copper intercepts (4m @ 2.02%, 4m @ 1.50% and 2m @ 3.44%)
• Second phase drilling to further define the mineralized horizon to commence immediately RNI NL (ASX:RNI) is pleased to announce the assay results from the first phase of aircore drilling across the Forrest and Wodger prospects in the highly prospective Bryah Basin in Western Australia.

  A combined total of 85 aircore holes for 7,825 metres were completed across the Wodger and Forrest Prospects and were aimed at targeting the source of the modelled alteration at Wodger and to confirm a stratigraphic offset at Forrest.

  The observations throughout the drilling were extremely encouraging with aircore holes WRAC013 and WRAC014 (Figures 2 & 3) intersecting visible malachite and azurite (Figure 1) over several metres. The assay results from Wodger further enhance these observations and returned an extensive halo of highly anomalous VMS mineralisation ((Cu, Au, Ag, Bi, Te & Mo (Appendix 2: Table 1)) between the Ravelstone Fm sediments and the hydrothermally altered Narracoota Formation mafic volcanics. This zone is similar in style to what is seen at the Forrest Prospect and is the primary VMS horizon.

  These assay results are extremely encouraging and have further elevated each prospect in terms of hosting a significant VMS deposit. The VMS mineralisation at Wodger is over 1km in length and is open to the north and at depth. Second phase drilling is to commence immediately at the Wodger Prospect for a planned program of 50 holes for 5,000 metres. It is expected this program will take 3 weeks to complete with assay results to follow thereafter.

  RNI Executive Director, Debbie Fullarton said "These results continue to validate our exploration methods and provide a firm foundation for a potential economic VMS deposit. With second phase drilling to commence immediately, RNI is enthused by these results at this high priority exploration area within the Bryah Basin."

  RNI NL ABN 77 085 806 284

  Unit 3, 703 Muarray Street West Perth Western Australia 6005 PO Box 298 West Perth WA 6872 T [phone] E [e-mail] W rninl.com.au

  Wodger Prospect

  A total of 71 aircore holes for 6,651 metres (Appendix 1 - Table 1 & Figure 3) were completed across the Wodger gravity anomaly and were aimed at targeting the source of the modelled alteration (see ASX announcement 14 October 2016).

  The observations throughout the drilling were extremely encouraging with aircore holes WRAC013 and WRAC014 (Figures 1 & 2) intersecting visible malachite and azurite over several metres.

  The assay results from Wodger further enhance these observations and returned an extensive halo of highly anomalous VMS mineralisation ((Cu, Au, Ag, Bi, Te & Mo (Appendix 2: Table 1)) between the Ravelstone Fm sediments and the hydrothermally altered Narracoota Formation mafic volcanics. This zone is similar in style to what is seen at the Forrest Prospect and is the primary VMS horizon.

  In addition to the mineralisation, the geochemistry from the assays also delineates certain rock types and suggests that the mineralisation at Wodger sits within a regional fold. This is an important geological feature as the mineralisation belonging to the proximal Horseshoe Lights VMS deposit sits within a similar fold structure.

  The VMS oxide mineralisation at Wodger to date, defined over 1km in length (Figure 1), is open along strike and at depth and includes the significant copper intercepts below:

  • 9 m @ 1.30% Cu (within a broader halo of 99 m @ 0.27% Cu)

  • 4 m @ 2.02% Cu (within a broader halo of 28 m @ 0.53% Cu)

  • 16 m @ 0.85% Cu (within a broader halo of 88 m @ 0.29% Cu)

Further drilling will re-commence at Wodger to define the extent of the VMS horizon, with the resulting analysis forming the platform for a deeper Reverse Circulation (RC) drilling program. A subsequent high powered Down Hole Electro Magnetic (DHEM) survey is planned to hone in on the sulphide VMS source.

Figure 1: Wodger Cross-Section A-B: 7188900mN cross section showing the extensive copper mineralisation (>0.1% Cu) in relation to the prospect scale geology (refer Figure 2 for location)

Figure 2: Significant copper mineralisation (>0.1% Cu) from recent aircore drilling, historic drill copper intercepts (>0.1% Cu) and interpreted hydrothermal alteration in relation to the Wodger Prospects interpreted geology

Forrest Prospect

A total of 14 aircore holes for 1,174 metres (Figure 3 - Appendix 1) were completed across the southern Forrest Prospect region and confirm a stratigraphic offset. Assay results confirm this offset with anomalous VMS mineralisation identified from aircore holes FPAC004 & FPAC011 (Appendix 2 - Table 2). The down- plunge nature in the copper mineralisation from previous drilling in the north provides a platform for deeper RC drilling with high powered DHEM survey to hone in on the source of the VMS anomalism.

Figure 3: Aircore drilling in relation the stratigraphic offset, the historic copper intercepts from the Forrest Prospect and the recent anomalous VMS intercepts from FPAC004 and FPAC011