ASX ANNOUNCEMENT 18 November 2016 ASX Code: AGS No. of pages: 30 - PDF document

ASX ANNOUNCEMENT 18 November 2016 ASX Code: AGS No. of pages: 30 COMPANY PRESENTATION Please find attached a copy of a presentation to be made by the Managing Director, Mr Steve Johnston at the 2016 Annual General Meeting in Melbourne, Victoria today. For and on behalf of the Board. Bob Tolliday Company Secretary About Alliance Resources Further information relating to the Company and its various exploration projects can be found on the Company’s website at www.allianceresources.com.au. Suite 3, 51-55 City Road Southbank, VIC, 3006 P +61 3 9697 9090 F +61 3 9697 9091 info@allianceresources.com.au www.allianceresources.com.au ABN 38 063 293 336

Annual General Meeting Annual General Meeting Level 26, 530 Collins Street, Melbourne Level 23, 530 Collins Street, Melbourne 18 November 2016 18 November 2016 1

Corporate Overview Board & Executive  Ian Gandel (Chairman) LLB, BEc Businessman  Steve Johnston (Managing Director) BAppSc Geologist  Tony Lethlean (Director) BAppSc Geologist / Banking  Bob Tolliday (CFO & Company Secretary) CA BBus Corporate  ASX Code AGS  Shares on Issue 417,173,773  Options Nil  Market Capitalisation ($0.044) $18.3 M  Cash Reserves (30 Sep 16) $23 M 2

FY2016 Review  AGS sells its interest in the Project for $73.975 million  Return of capital of 12 cps ($50m) returned to shareholders  Drilling at Monardes Project in Chile intersects low grade Cu. Alliance withdrew from Chile.  Exploration licence applications lodged at Nepean South and Gundockerta South in WA and at Mount Pleasant, Garema and Bogan Gate West in NSW. Tenements prospective for gold and base metals  Retirement of Mr John Dunlop as Chairman; reduction in Directors’ fees and executive salaries; appointment of Mr Ian Gandel as Chairman  Share Sale Facility for holders of unmarketable parcels of shares  Announced intention to make a capital return of 2 cps ($8.3m) to shareholders  On 23 September 2016, Alliance enters into agreement with Tyranna Resources Ltd (TYX) to:  Acquire 51% of Wilcherry Project, SA for $2 million  Subscribe and/or acquire up to 19.9% of TYX  Alliance has projects in three states for gold and base metals, including the flagship Wilcherry Project  Forecast cash reserves, post capital return, of approximately $10 million 3

Wilcherry Project JV TRANSACTION  Alliance enters into agreement with Tyranna Resources Ltd (TYX) to:  Acquire 51% of Wilcherry Project, SA for $2 million  Gives Alliance an advanced project in the mineral rich Gawler Craton  Alliance is well funded to explore the project  TYX has retained 49% equity, reflecting its view of the potential of the Project  Exploration joint venture formed  Exploration team assembled  Subscribe and/or acquire up to 19.9% of TYX  Principally to gain exposure to TYX’s Jumbuck Gold Project discovery, proximal to the +1Moz high grade Challenger Gold Mine  As at 24 October 2016, Alliance owns 17.91% of TYX 4

Wilcherry Project JV PROJECT OVERVIEW (Why Wilcherry?)  Located in the prospective Gawler Craton, northern Eyre Peninsula, South Australia  Has been explored since the 1970’s by companies including Pan Continental Mining, Asarco, Murumba Minerals, Shell (later Acacia), WMC, Aquila Resources Ltd, Trafford Resources Ltd, Ironclad Mining Ltd (later Tyranna Resources Ltd). Drilling has identified significant mineralised systems within Palaeoproterozoic calcareous and iron-rich metasediments  Presence of Hiltaba Suite granites (~1600Ma) which are responsible for widespread gold, uranium and base metal mineralisation in the Gawler Craton  The 2012 discovery of high grade tin at Zealous by Trafford indicates the presence of a reduced granite intrusions into sediments, including multiple fold-repeated horizons of dolomite (a host rock for replacement tin deposits). Potentially represents a new and significant tin province in South Australia  Transported cover obscures most of the bedrock. Regolith of kaolinised saprock to depths of 40-100m. Groundwater saline – strong geochemical depletion. This represents an opportunity for an explorer with experience is such terrains using modern geophysics  Substantial datasets of geophysics, surface geochemistry (>9,000 samples) and drilling (>3,000 holes)  28 existing exploration targets prospective for gold, tin, copper, zinc, lead, silver, iron, bismuth, tungsten and uranium in a variety of mineralisation styles  Priority prospects currently Weednanna (gold) and Zealous (tin) 5

Wilcherry Project JV Zealous (Tin)* 20m @ 1.29% Sn (incl. 7m @ 3.28% Sn) 12.3m @ 1.1% Sn 10m @ 1.23% Sn (incl. 5m @ 2.29% Sn) 7.7 Mt @ 3.1% Zn, 2.6% Pb and 27g/t Ag 8.8 Mt @ 116 g/t Ag (33 Moz) Tenements total 1,158 km 2 Weednanna (Gold)* 22m @ 5.25 g.t Au 32m @ 3.44 g/t Au 36m @ 5.71 g/t Au (incl. 12m @ 11.37g/t Au) 9m @ 24.69g/t Au 7m @ 18.50g/t Au 6 *Refer ASX announcement 23 September 2016

Wilcherry Project JV 7

Wilcherry Project JV Regional Geophysics 8 Image courtesy of Tyranna Resources Ltd / Trafford Resources Ltd

Wilcherry Project JV Zealous Tin Prospect ZEALOUS TIN PROSPECT  Located in the central northern area of EL5299  Lies between two elongated magnetic highs but is relatively quiet geophysically when compared to other Wilcherry iron skarn targets  Iron subcrop noted on historical maps. Visited by Ironclad geologists sometime in 2007-2008 . First pass exploratory drilling for DSO hematite in 2012.  The laboratory reported several samples from this drilling indicated missing mass in the Fe suite XRF. To show that it was not a fault with the XRF, the laboratory checked the results using another analytical method and reported several other base metals including tin. The rest of the holes in the drill program were then analysed using Li-borate fusion ICPMS  Testwork indicates the tin is cassiterite  Regionally stands out as an arsenic anomaly and a weak gold anomaly in the historic calcrete data  Subsequent drilling for tin has defined two main lithologies: • High grade tin associated with a carbonate hosted goethitic iron unit • Lower grade tin associated with a weathered kaolinised unit (rhyolite or quartzite)  Ground magnetic survey in 2013 defined a magnetic response to the east of the current drilling, which is yet to be explained by drilling  The prospect also contains elevated lead, zinc, uranium and copper 9

Wilcherry Project JV Zealous Tin Prospect 10 Image courtesy of Tyranna Resources Ltd / Trafford Resources Ltd

Wilcherry Project JV Zealous Tin Prospect 11 Refer ASX announcement 16 November 2016

Wilcherry Project JV Zealous Tin Prospect 12 Refer ASX announcement 16 November 2016

Wilcherry Project JV Weednanna Gold Prospect WEEDNANNA GOLD PROSPECT  Originally a secondary base metal target to Menninnie Dam (Shell)  In 1997, Acacia identified a strong gold-in-calcrete anomaly coincident with a NNW-trending magnetic anomaly  In 2004, Aquila drilled a NW-trending target west of the main magnetic anomaly and intersected gold associated with a calc-silicate (Weednanna West)  The magnetic anomaly was the crystalline magnetite target for Ironclad Mining Ltd and the main gold target for Trafford Resources Ltd  Successive drilling campaigns identified that gold mineralisation associated with skarn (calc-silicate) alteration and brecciation in the contact aureole of a granite  Along the magnetic anomaly, gold mineralisation can be traced for over 900m  Gold is associated with pyrite & arsenopyrite and occurs within the following rock types: • Calc-silicate • Crystalline magnetite • Weathered magnetite (goethite, hematite) • Gneiss (lower grade) • Shear zones within all lithologies  Skarn system at Weednanna also contains elevated tin, uranium, lead and zinc 13

Wilcherry Project JV Weednanna Gold Prospect Gold distribution >0.5 g/t Green: 0.5-0.99 g/t Yellow: 1+ g/t Background TMI RTP (magnetics) 32m @ 3.44 g/t Au from 56m in 06WDRC002* WEEDNANNA WEST 9m @ 24.6 g/t Au from 7m in 98WDDH001* 36m @ 5.71 g/t Au from 52m in 06WDRC007* 22m @ 5.25 g/t Au from 7m @ 18.5 g/t Au from 63m in 12WDDH001* 125m in 98WDDH002* 14 *Refer ASX announcement 23 September 2016

Wilcherry Project JV Weednanna Gold Prospect Location of 2012 Weednanna dill holes. Image A on the left shows a plan image of the historic holes (yellow) and the 2012 drill holes (red) over the resistivity contours. Image B is the interpreted 3D gravity feature identified at Weednanna 15 Image courtesy of Tyranna Resources Ltd / Trafford Resources Ltd

Wilcherry Project JV Proposed Heli EM survey 16

Wilcherry Project JV Proposed Heli EM survey 17

Wilcherry Project JV Work has commenced 18

WA Projects (100%) 19

Nepean South Ni-Cu-Au Project (100%) 20 Refer ASX announcement 25 November 2015