Quarterly Report for the period ending 30 September 2018

SEPTEMBER QUARTER HIGHLIGHTS

GROUP

• Safety – no lost time injuries

• Financing – $40 million project loan agreement executed, first drawdown scheduled for early November
• Processing – plant refurbishment work continuing, on schedule for commissioning in mid-November
• Revenue – on track for first concentrate shipment early in the March 2019 quarter
• Mining – mine services re-established and recommissioning of mobile plant on schedule
• Tailings Dam – work commenced on the 3m lift of the existing facility, due for completion in November
• Savannah North ventilation raise – drilling of the pilot hole commenced in August
• Recruitment – recruiting and on-boarding of site personnel well advanced
• Exploration – hand-held XRF analyses of samples from Frog Hollow drilling returned anomalous vanadium, assay results pending

• Project remains on care and maintenance with holding costs being offset by rental of accommodation village
• Project to be sold to Black Mountain Metals LLC for total cash consideration of $15.1 million, deposit of $1.51million received

• Exploration and evaluation studies ongoing
• Project and corporate management being provided by Panoramic staff on a cost recovery basis

• Further metallurgical studies underway following initial positive results on the viability of producing a PGM concentrate and a chromite by-product stream

• Discussions on exploration results and future plans for the Project ongoing

CORPORATE
Systems and procedures being updated in readiness for the Savannah Project restart