Catalyst Metals : Earn-in agreement for Golden Camel Gold Project (1.32 Mb)

ASX ANNOUNCEMENT

23 JULY 2018

CATALYST SIGNS EARN-IN AGREEMENT FOR NEW AREA EAST OF

FOSTERVILLE IN VICTORIA

• • Earn-in agreement and purchase option signed over known gold trend at Golden Camel and Toolleen east of the Fosterville Gold Mine

• • 25 kilometre strike length of prospective horizons with known gold mineralisation

• • RAB drilling to commence in August 2018

• • Potential share of production from small gold deposit at Golden Camel ____________________________________________________________________________________

Catalyst Metals Limited (Catalyst or the Company) (ASX: CYL) is pleased to announce that it has signed an agreement with privately owned Golden Camel Mining Pty Ltd (GCM) to earn a 50.1% interest in two exploration licences (EL5449 and EL5490) surrounding the Toolleen and Golden Camel gold deposits. In addition, Catalyst will have the option to purchase a 50.1% interest in the area where GCM has been mining at the Golden Camel Mine (MIN5548 and MIN5570). This agreement provides Catalyst with further exploration upside as well as a potential pathway to gold mining in the district.

This new area will add to the significant interests held by Catalyst in the Whitelaw Gold Belt and adjacent belts to the east and west. The Company controls seven exploration licences (EL's) and one Retention Licence covering the whole of the known Whitelaw Gold Belt - an area of approximately 75 km long, and 5-10 km wide commencing immediately north of the outcropping Bendigo Goldfield (Figure 1). The Company has built up considerable exploration knowledge in the Victorian Goldfield in the past seven years and will draw on this experience to explore these new areas.

GOLDEN CAMEL FARM-IN AGREEMENT (EL5449, EL5490, MIN5548, MIN5570)

The Golden Camel Gold Project is situated approximately fifteen (15) kilometres east of the Fosterville Gold Mine in the Heathcote Greenstone Belt which contains Cambrian sediments and volcanic rocks of marine origin (Figure 1). Gold mineralisation occurs in two parallel zones about two kilometres apart and extends for about 25 kilometres along strike in the farm-in tenements (Figure 2). Known gold mineralisation was mined at Toolleen in the western horizon within Cambrian sedimentary rocks and is currently being mined at the Golden Camel gold deposit which lies within the eastern basaltic sequence in association with cherts. To date trial mining has produced 7,000t of ore of which 6,000t at 3.5 Au g/t of ore has been successfully treated offsite. GCM is currently developing options for processing the remainder of its inventory. Several other gold prospects occur along the eastern trend and will require further exploration. Much of the prospective sequence is covered by shallow alluvium (less than ten metres).

The Managing Director of Golden Camel Pty Ltd, Dean Pontin commented "GCM has entered into this agreement to access Catalyst's successfully demonstrated skill sets, to explore the other gold prospects within the tenements. This will allow GCM to focuses its efforts on continued production at the Golden Camel gold deposit. If Catalyst elects to earn in, then the skill sets of both companies can be used to develop currently identified prospects within the tenements into future producing assets."

44 Kings Park Road West Perth WA 6005	PO Box 778, Claremont WA 6910
Telephone: [phone]	Facsimile: (61-8) 9284 5426
www.catalystmetals.com.au	ABN 54 118 912 495

Catalyst has the right to earn a 50.1% interest in the exploration licences by spending $650,000 on exploration over the next five years and will also have an option to purchase a 50.1% interest in the mining licences for $1.0 million after expenditure of $350,000 and the completion of 1,200 metres of diamond/RC precollar at the Toolleen and Golden Camel Mines. Subject to GCM contribution, Catalyst can potentially acquire a 100% interest by dilution.

Catalyst must spend a minimum of $55,000 (Phase 1) on exploration before 30 September 2018 on the exploration licences and has planned a shallow RAB drilling programme which is expected to commence in August 2018. Catalyst will then make a decision whether to proceed to the main Phase 2 earn-in period.

For further information contact:

Steve Boston	Bruce Kay
Chairman	Technical Director
Telephone: [phone]	[phone]
Competent person's statement

The information in this report that relates to exploration results is based on information compiled by Mr Bruce Kay, a Competent Person, who is a Fellow of the Australasian Institute of Mining and Metallurgy.

Mr Kay is a non-executive director of the Company and has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code). Mr Kay consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Figure 1: Whitelaw Gold Belt Tenement Holdings showing major Catalyst managed projects

Figure 2: Golden Camel Area showing location of Exploration Licences and Mining Licences and prospective trends.