Aeris Resources : UPDATED ORE RESERVE ESTIMATE - TRITTON DEPOSIT

3 AUGUST 2016 ASX/MEDIA RELEASE AERIS RESOURCES LIMITED (ASX: AIS) UPDATED ORE RESERVE ESTIMATE FOR THE TRITTON DEPOSIT - CONTAINED COPPER INCREASES BY 32%

Aeris Resources Limited (ASX: AIS) (Aeris or Company) is pleased to announce an update of the Mineral Resource and Ore Reserve Estimates, as at 30 June 2016, for its Tritton deposit at the Company's Tritton Copper Operations in New South Wales.

The updated Proved and Probable Ore Reserve Estimates for the Tritton deposit is 6.4Mt at 1.6% copper for 100k tonne of contained copper metal. This represents a 32% increase, (by contained metal), on the previous public reported Ore Reserve estimate (as at 30 June 2015) of 4.4Mt at 1.7% coper for 76k tonne of contained copper and is after depletion by mining in the year of 28k tonne contained copper metal.

The increase results from a resource drilling program completed in early 2016 that extended knowledge of the Tritton deposit to approximately 1,250 below surface. An update of the Mineral Resource estimate has also been completed, based on this drilling program. The Tritton deposit remains open at depth and further resource drilling is planned for the future when suitable underground drill locations become available.

Aeris' Executive Chairman, Andre Labuschagne said "The updated Mineral Resource and Ore Reserve estimates for the Tritton deposit underpin an extension of the mine life at the Tritton Operations to 2023."

The revised estimates for these deposits are reported in accordance with the JORC Code 2012 standards. The supporting JORC Code 2012 documentation for the updated Mineral Resource and Ore Reserve estimate is attached to this release and posted on the company's web site.

ENDS

For further information, please contact:

Mr. Andre Labuschagne Executive Chairman

Tel: [phone], or visit our website at www.aerisresources.com.au

Media:

Michael Cairnduff Cannings Purple Tel: [phone]

[e-mail]

About Aeris

Aeris Resources Limited (ASX: AIS) is an established, top 10 independent Australian copper producer and explorer.

The Company's core asset is its Tritton operations in New South Wales, which produced 30,425 tonnes of copper in FY2016. The existing operations incorporate multiple mines and a 1.8 million tonne per annum processing plant.

Aeris also has an exciting portfolio of highly prospective near mine and regional exploration projects creating a pipeline for future growth and a clear opportunity to leverage the Company's established infrastructure at Tritton.

Aeris has a highly experienced Board and management team, and is actively reviewing suitable merger and acquisition opportunities.

MINERAL RESOURCE ESTIMATE

RESULTS

The Mineral Resource estimate reference date is 30th June 2016. The Tritton deposit has been mined and the Mineral Resource depleted since the previous public report.

Table 1 Classified Mineral Resource for the Tritton deposit as at 30th June 2016

Resource Category	Tonne (kt)	Copper (%)	Contained Copper (kt)
Measured	3,850	1.9	73
Indicated	5,430	1.4	73
Total M&I	9,270	1.6	146
Inferred	1,960	1.2	24
Total	11,240	1.5	169

1. Mineral Resources are quoted as INCLUSIVE of Ore Reserve.

2. Mineral Resource is reported at a 0.6% Cu cutoff grade.

3. Discrepancy in summation may occur due to rounding.

4. Estimate is constrained by the survey stope and development positions for Tritton as at end June 2016.

5. Indicated estimate includes 490k tonne at 2.6% Cu for 12.7 k tonne of copper metal contained in the upper Tritton Pillars between the 4655m RL and 4565m RL that have been down-graded from Measured Resource due to risk.

CHANGE FROM PREVIOUS PUBLIC REPORT

Material changes to the Tritton Mineral Resource from the previous reporting period include mine depletion, additional drilling data resulting in spatial changes to the mineralised system and a revised geological interpretation. Mine production in the period reported between each model from June 2015 to June 2016 was 1,412 thousand tonne at 2.0% copper for 27.6 thousand tonne contained copper. This production depleted the Mineral Resource. Net depletion of the Mineral Resource is different from mine production due to the combined impact of dilution and ore loss during mining as well as variation between estimated and actual Mineral Resource.

The updated resource model has changed noticeably in comparison to the previously reported Mineral Resource which was created in 2012. The differences relate to an increase in drill density and spatial changes to the mineralised system through the previous Indicated and Inferred regions. Additions to the mineralised system are associated with the increased thickness and geometry changes at depth below 4200mRL and extensions to the known mineralised system below 4000mRL.

Table 2 Change in the reported Tritton Mineral Resource since previous public report

Estimate	Resource Category	Tonne (kt)	Copper (%)	Contained Copper (kt)
June 2016	Measured	3,850	1.9	73
	Indicated	5,430	1.4	73
	Total M&I	9,270	1.6	146
	Inferred	1,960	1.2	24
	Total	11,240	1.5	169
June 2015	Measured	2,750	2.1	59
	Indicated	4,620	1.7	79
	Total M&I	7,380	1.9	138
	Inferred	3,140	1.4	45
	Total	10,520	1.7	182
difference	Measured	1,100	‐0.2	14
	Indicated	810	‐0.4	‐6
	Total M&I	1,890	‐0.3	8
	Inferred	‐1,180	‐0.2	‐21
	Total	720	‐0.2	‐13

ORE RESERVE ESTIMATE

RESULTS

The Tritton mine Ore Reserve Estimate as at 30th June 2016 is reported in Table 3. It is reported according to JORC 2012.

Table 3 Ore Reserve Estimate for Tritton deposit as at 30 June 2016

Category	Tonne (k tonne)	Copper %	Contained Copper (k tonne)
Proved Probable Total	3,580 2,790	1.7 1.4	61 39
	6,370	1.6	100

1. Ore Reserves are reported as INCLUSIVE of the supporting Mineral Resource estimate.

2. Discrepancies in summation will occur due to rounding.

CHANGES FROM PREVIOUS ESTIMATE

The Ore Reserve estimate presented in this report is an update that accounts for changes to the Mineral Resource estimate including depletion due to mining in the year since last report. An increase in the Mineral Resource, net of depletion, resulted from a resource drilling program and subsequent geology modelling of the deposit. Measured and Indicated Mineral Resource has been extended to 4000mRL.

The Ore Reserve has been extended to the depth of 4050mRL consistent with the extension of the Indicated Mineral Resource to 4000mRL.

All of the Measured and Indicated Mineral Resource has been assessed for inclusion in the Ore Reserve. All resource that can be converted has been reported as Ore Reserve. Conversion rates of resource to reserve are 80% for that material above 4080mRL and 5% for that material below 4080mRL, (this level is the last of sublevels where high rates of conversion is possible with current mining methods).

Modifying factors applied for dilution and ore loss have been slightly altered from the prior estimate where the estimate now includes some larger stopes. The modifying factors are selected following review of production reconciliation against the Ore Reserve estimate. The reconciliation indicates that the Ore Reserve estimate is within 2% of the actual ore processed for the stopes mined in the year 2015.

The previous Ore Reserve estimate was made as at June 30th 2015.

Table 4 Change in Ore Reserve from previous estimate

Estimate	Category	Tonne (k tonne)	Copper %	Contained Copper (k tonne)
June 2016	Proved Probable Total	3,580 2,790	1.7 1.4	61 39
		6,370	1.6	100
June 2015	Proved Probable Total	2,359 2,040	1.8 1.7	42 34
		4,399	1.7	76
Difference	Proved Probable Total	+1220	-0.1	+19
		+750	-0.3	+5
		+1970	-0.1	+24