• Transformational opportunity to enter precious metals sector
• Significant 1.6Moz gold Mineral Resource with growth potential
• Attractive entry price of $50M representing $61/oz

Mount Gibson Iron Limited has announced an agreement to acquire a 50% interest in the Central Tanami Gold Project Joint Venture (CTPJV) from Northern Star Resources Ltd. The Central Tanami Gold Project is one of Australia's largest undeveloped, high-grade gold projects, with a JORC 2012 Mineral Resource of 1.6Moz of gold. The acquisition cost of $50 million represents an attractive entry price of $61 per ounce, compared to the average comparable transaction multiple of $174 per ounce. The project has significant growth potential, with the majority of the Mineral Resources located on granted mining leases and the high-grade Groundrush deposit having produced over 600koz at 4g/t Au between 2001-2005. Mount Gibson intends to work closely with the other CTPJV partner, Tanami Gold NL, to position for a potential development decision within the next 12-18 months. The transaction complements Mount Gibson's strategy to become a diversified multi-commodity producer, with this being the initial step towards building a precious metals production base.

Mount Gibson intends to work closely with the other CTPJV partner to position for a potential development decision within the next 12-18 months.