Molaoi Drilling Update

• Drilling of hole HMO-008 has now been completed. This is the first drill hole of the recently commenced resource upgrade to Indicated status.
• A 2.5m wide zone of visible zinc mineralisation was encountered high in the hole.
• Within this 2.5m interval, five (5) portable XRF spot samples have been taken, which average 6.7% Zn, 2.5% Pb and 42g/t Ag. The highest individual spot sample for zinc is 18.7% Zn. This zone has been cut, sampled and sent to the laboratory for analysis. The pXRF equipment does not measure germanium values, but germanium will be analysed at the laboratory.
• In addition to testing these upper lodes, hole HMO-008 also aimed to test mineralisation at much greater depths. The hole is dominated by extensive fault zones, shears, brecciation and fracturing, which resulted in very slow and difficult drilling conditions.
• The entire drill core from surface to 289.00m depth is extremely altered with epidote, silica, carbonate, chlorite and clay. It is interpreted that this hole unintentionally drilled directly down one of the growth faults which are responsible for the thickening of mineralised sedimentary units.
• The position of this hole, and the presence of the growth fault provides the team with valuable geological and mineralisation knowledge, particularly of the growth fault characteristics and orientation. This is the first time that a hole has drilled directly down one of these faults, so the hole was pushed to greater depths, resulting in a very slow rate of drilling.
• The drill rig has moved to the second hole site. Drilling of future holes is expected to be faster as the position of the rig moves away from the growth fault.
• A second drill rig is being sought to increase the rate of drilling productivity.

Examples of the intensely altered rocks within the fault zone in drill hole HMO-008.

The yellow/green colour is epidote alteration, the pink is iron staining

and the white is clay/carbonate alteration.

David Price, Chief Executive Officer of Rockfire, commented:

"This drill hole has proved extremely difficult to drill and is without question, the most fractured, broken and brecciated hole drilled at Molaoi so far. It is thought that hole HMO-008 has drilled directly down one of the growth faults. These faults have provided the geological setting for thicker mineralised lodes at depth. It was hoped that, by drilling deeper, the hole might exit the fault into strong mineralisation, however the hole remained in the fault for its entire length."

"The upper lodes were intersected in the anticipated position, and these lodes are currently being analysed. The rig has moved to the south to start the second hole, and we expect the rate of drilling to be faster. A second drill rig is also being sought to increase the company's rate of drilling."

"Shareholders can take comfort that not all our drill holes are expected to take this length of time and hole HMO-008 is extremely unusual. The intensity of alteration, and the extremely broken ground made for difficult and slow drilling conditions. The decision to push deeper to get through the fault zone was taken, however the fault proved far more extensive than first thought. This hole has provided excellent geological information within the fault which will enable us to model the fault into our updated Indicated resource."

"We look forward to providing more updates as our drilling continues."