ABN 79 124 990 405

and

Controlled Entities

Annual Report

For the year ended 30 June 2016

Annual Report 2016 Tyranna Resources Limited

Contents

Corporate Directory 1

Managing Director's Letter 2

Project Overview 3

Directors' Report 12

Corporate Governance Statement 23

Consolidated Statement of Profit or Loss and Other Comprehensive Income 25

Consolidated Statement of Financial Position 26

Consolidated Statement of Changes in Equity 27

Consolidated Statement of Cash Flows 28

Notes to the Financial Statements 29

Directors' Declaration 64

Independent Auditor's Report 65

Additional Information for Listed Public Companies 67

Schedule of Mineral Tenements 69

Annual Report 2016 Tyranna Resources Limited

Corporate Directory

CHAIRMAN

Joseph S. Pinto

MANAGING DIRECTOR

Bruno Seneque

TECHNICAL DIRECTOR

Nick Revell

NON-EXECUTIVE DIRECTOR

Frank Lesko

COMPANY SECRETARY

Yugi Gouw

REGISTERED OFFICE

Level 2, 679 Murray Street West Perth WA 6005 Telephone: + 61 (08) 9485 1040

Facsimile: + 61 (08) 9485 1050

AUDITORS

Bentleys

Level 3, 216 St Georges Terrace

Perth, WA 6000

Telephone: +61 (08) 9226 4500

Facsimile: +61 (08) 9226 4300

SHARE REGISTRAR

Advanced Share Registry Ltd 110 Stirling Highway

Nedlands, WA 6009

Telephone: +61 (08) 9389 8033

Facsimile: +61 (08) 9389 7871

STOCK EXCHANGE LISTING

Australian Securities Exchange

(Home Exchange: Perth, Western Australia)

Code: TYX

TYXOA

BANKERS

Westpac Banking Corporation Murray Street

West Perth, WA 6005

1

Annual Report 2016 Tyranna Resources Limited

Managing Director's Letter

Dear fellow shareholder

On behalf of the Board of Directors, we are pleased to present our shareholders the annual report for Tyranna Resources Limited (Tyranna, the Company) for the financial year 2015/16.

From the outset we would like to honour the late Peter Rowe who served as a non-executive director of IronClad Mining Limited (IronClad) from February 2009 to his passing in September 2015. Peter's contribution to the board of IronClad/Tyranna and the Company was highly valued. He was a thorough professional and his firm but friendly manner will be greatly missed.

This year marked the first year that the Company operated as Tyranna Resources Ltd following the merger of IronClad and Trafford Resources Limited (Trafford). The Board then focussed the direction of the Company on to gold exploration.

The merger of IronClad with Trafford had a twofold benefit. Firstly, Trafford had a great portfolio of exploration projects with Jumbuck featuring as the lead project throughout the year and the Lynas Find project which was the subject of a profitable deal with Kairos Minerals Ltd. Secondly, IronClad had fixed assets that have since been monetised to provide funds for exploration.

Throughout the year, Tyranna has been all about the Jumbuck Gold Project, at a time when investor interest in the gold exploration sector has been on the rise. The following are some key points on the Jumbuck Gold Project:

• Jumbuck is a highly prospective and underexplored area, similar in style to the Albany/Fraser belt adjacent to the Yilgarn Craton in Western Australia which is host to the large Tropicana gold deposit;

• The Jumbuck project has numerous gold occurrences over large areas with strong potential for significant resources of shallow oxide ore and repeat Challenger style deposits.

• Tyranna controls over 8,000 km2 of ground in this area, which also hosts the Challenger gold mine (owned by WPG Resources Ltd). Challenger has produced in excess of 1 million ounces of gold to date.

• Tyranna's strategy is to target those more advanced gold prospects which are situated within 50 km's of the Challenger gold processing operations.

Our exploration efforts were rewarded towards the end of the financial year as we announced the first major discovery in the area in 15 years - the Greenewood discovery. The Greenewood discovery was very significant as the gold intersections from drilling occur beneath a surface where no calcrete has been developed and therefore no geochemical signature exists as a guide to drilling. The technical team, headed up by fellow director Nick Revell, made further breakthroughs in their knowledge of the geology and geochemistry in this area that we believe will greatly assist us in future exploration campaigns.

We then had further success at the Campfire Bore prospect which came on the back of new geochemical techniques to explore for gold in an area which has been previously explored with little or no success. Tyranna has proven this ground to be highly prospective and has become a high priority target area for exploration work in 2016/17.

We have planned an exciting exploration program for both the Greenewood and Campfire Bore prospects. We are also planning to drill the southern prospects such as Typhoon and Monsoon which are yet to be drilled and have some very attractive targets just as prospective as Greenewood and Campfire Bore.

Finally, on behalf of the Board of Directors, I would like to thank the founders of the Company - Mr Ian Finch and Mr Neil McKay, who subsequent to year end have resigned as directors. Ian and Neil's contribution has laid a foundation for Tyranna to build upon, which is the envy of other junior explorers. The Board also is very grateful for current and past employees who have all had a part to play in the success of what is now Tyranna Resources.

Bruno Seneque Managing Director

2