MLN 16 Hang Gong Annual Technical Report for the period 5 March 2016 to 4 March 2017

Abstract

MLN 16 (Hang Gong) is held by LRL (Aust) Pty Ltd, a wholly owned subsidiary of Liontown Resources Limited. MLN16 was purchased from A & SF Maddalozzo Pty Ltd in March 2016, and forms part of the larger 'Bynoe Project' being explored by Liontown Resources in the Bynoe area of the Northern Territory. Due to relinquishments, MLN16 currently consists of two separate blocks. The northern block contains what was historically referred to as the 'Observation Hill' mine site (comprising the Hang Gong and Highlands pits) and the southern block contains the Golden Boulder pit. Greenbushes Ltd commenced mining for tin and tantalum on the original Observation Hill mine site of MLN16 in 1984. During the mid-1990s, Greenbushes contracted Fieldcorp Pty Ltd to conduct mining on the site, and in 1999 mining activities ceased due to a dramatic fall in the price for tin and tantalum. Work since 2000, has been predominantly rehabilitation. Fieldcorp engaged All Earth Industries to remove saleable material from the site, and in 2003 a Mining Management Act Authorisation was granted to Fieldcorp. In April 2011, the title holder Global Advanced Metals Greenbushes Pty Ltd nominated A & SF Maddalozzo Family Trust trading as All Earth Industries as the operator for the site, and activities since have consisted of care and maintenance. A renewal was lodged in March 2011 over a reduced area, and in October 2011 A & SF Maddalozzo lodged a separate title application (EMP 28651) over the old tailings dam for MLN16. In August 2012, ownership of MLN16 was transferred to A & SF Maddalozzo Pty Ltd, before being transferred to LRL (Aust) Pty Ltd in March 2016, where Liontown Resources Pty Ltd are now completing the first systematic lithium focused exploration program over many of the prospects within the 'Bynoe Project'. Exploration within MLN 16, from the 5 March 2016 to 4 March 2017 has consisted of 33 geochemical soil samples being taken, as well as the drilling, sampling and rehabilitation of 4 RC drillholes (for 408m) and the rehabilitation of 2 historical drill sites, as well as the planning, interpretation and write up of results from these samples.