Maximus Discovers High Grade Lithium in WA

ASX Announcement

23rd May 2016

Maiden High Grade Lithium Discovery at Spargoville Project in WA

HIGHLIGHTS

First exploration program discovers High Grade Lithium bearing pegmatite at Lefroy Prospect
Exceptional grades of Lithium up to 4.97% Li20 returned from preliminary rock chip sampling
Results average 3.55% Li20 over 200m of strike length
Further targets currently being investigated

Maximus Resources Limited ("Maximus" or "the Company") is pleased to advise that it has discovered a significant Lithium bearing Pegmatite at Target 1 on the Lefroy Prospect. The discovery was made during the Company's first dedicated Lithium exploration field program designed to test a series of targets generated from auger drill results by previous explorers, detailed aerial photography interpretations and geophysical imaging. The discovery at Target 1 (See Figure 1) shows Lithium bearing mica (lepidolite) over a strike length of 200m with results averaging 3.55% Li20, and a peak value of 4.97% Li20.

The Lithium bearing pegmatite is hosted within a mafic-ultramafic complex, remains open in all directions and has not previously been drill tested.

Further east of Target 1, high Lithium values of up to 1.74% Li20 have been returned from re-sampling of historical RC holes where pegmatite was intersected and logged during nickel and gold exploration programs.

X-Ray diffraction analysis will be undertaken on selected samples to determine the presence, and range of lithium bearing minerals present such as lepidolite, petalite and spodumene)

Maximus' exploration crew is currently in the field investigating several additional targets generated from the initial MXR review.

The Spargoville Lithium Project lies on the northern portion of the Southern Yilgarn Tantalum-Tin- Lithium Province, in the vicinity of two major Lithium Projects; Mt Marion (Neometals), and Lepidolite Hill (Lithium Australia) (see Figure 1). Neometals recently reported the Mt Marion total Indicated and Inferred Mineral Resources at 23.24Mt @ 1.39% Li20 (NMT ASX release 29/01/2016) and is currently undergoing mine construction, with commissioning due mid-year. The Mt Marion project is situated approximately 20km north of the Company's Lefroy and Landor Lithium prospects.

Figure 1:.Location of Lefroy and Landor Lithium prospects of which Maximus holds 100% interest

Plate 1: Rock chip sample of outcropping pegmatite (LFR014) containing Lithium bearing mica. This sample returned assay results of 3.14% Li20, and 34 ppm Ta2O5SN (see Note)
- Plate 2: Pegmatite sample (LFR015) containing Lithium bearing mica that returned assay grades of 3.55% Li20, and 62 ppm Ta2O5. (see Note)

Note: In LCT pegmatite, Ta usually occurs as the mineral tantalite, which is highly resistant to a four acid attack used to assays these rock chips. It is likely the actual concentration of Ta in these samples is higher when assayed by a more appropriate fusion method.

Results of the recent rock chip sampling from Lefroy prospect are presented in Table 1;

Sample Number	Description	Easting	Northing	Li2O (%)	Cs (ppm)	Ta2O5 (ppm)	Rb (%)
1	massive lepidolite	354648	6537728	2.91	1442	38	1.57
2	massive lepidolite	354608	6537733	3.19	2213	54	1.85
3	massive lepidolite	354588	6537741	3.40	2300	54	1.96
4	massive lepidolite	354548	6537751	3.57	3314	89	1.99
5	microcline feldspar	355061	6537554	0.04	179	2	0.58
6	WRC0022 116-118m from chip trays	355095	6537402	1.74	1988	48	0.88
7	HRC054 120m - 127m mica peg	355180	6537220	0.47	494	27	0.39
8	albite feldspar	354552	6537751	0.06	1344	1	1.35
9	albite feldspar	354552	6537751	0.08	62	4	0.05
10	albite feldspar	354552	6537751	0.03	25	20	0.02
11	albite feldspar	354552	6537751	0.07	1159	1	1.39
12	feldspar with spotted muscovite books.	354552	6537751	0.23	128	4	0.15
13	albite feldspar and beryl	354552	6537751	0.02	20	4	0.01
14	qtz-albite- cg lepidolite rock	354555	6537755	3.14	1509	34	1.54
15	qtz-albite- fg lepidolite rock float	354589	6537752	3.55	2366	62	1.91
16	qtz-musc-tormaline-gt pegmatite	354740	6537741	0.13	218	9	0.22
17	albite	354738	6537744	0.05	213	1	0.10
18	qtz-lepidolite rock, float	354747	6537732	4.97	6858	178	1.72

Table 1: Recent rock chip sampling results from Lefroy prospect.

The company continues to test this Lithium target and others through soil and rock chip sampling, and as further results are returned from all recent programs at Lefroy, the next, more detailed exploration program will be formulated.

For further information contact

Kevin Malaxos Duncan Gordon, Adelaide Equity Partners

on (08) 7324 3172 on (08) 8232 8800 or 0404 006 444

[email protected] [email protected]

Further information relating to Maximus Resources Limited and its diversified exploration projects will be found on Maximus' website: www.maximusresources.com

The information in this report that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr Stephen Hogan who is a Member of the Australasian Institute of Mining and Metallurgy, and who has sufficient experience relevant to the style of mineralisation, the type of deposit under consideration, and the activities being undertaking, to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration results, Mineral Resources and Ore Reserves (the JORC Code). This report is issued in the form and context in which it appears with the written consent of the Competent Person.

JORC Code, 2012 Edition - Table 1 report template

Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria	JORC Code explanation	Commentary
Sampling techniques	Nature and quality of sampling (eg cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc). These examples should not be taken as limiting the broad meaning of sampling.	Rock chip samples were collected at various locations within the company's granted tenements, specifically of pegmatite. Samples of approximately 1-1.5kg were collected, as multiple small fragments, from either outcrop or subcrop.
Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.	At each rock chip location the easting and northing were recorded by a handheld GPS, and noted. A brief sample description and additional comments as necessary were recorded at each sample location. All sampling protocols remained constant throughout the program.
Aspects of the determination of mineralisation that are Material to the Public Report. In cases where 'industry standard' work has been done this would be relatively simple (eg 'reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay'). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (eg submarine nodules) may warrant disclosure of detailed information.	1-1.5kg rock chip samples were collected from either outcrop, subcrop or float and placed inside individually uniquely numbered calico bags and secured. The bags were transported to Intertek Laboratories in Kalgoorlie, WA for sample preparation. Subsequent geochemical analysis was conducted by Intertek in Perth WA. In the laboratory, samples are crushed and pulverized to produce an homogenous subsample for analysis via a 4 acid digestion/ICP-OES & ICP-MS (Intertek code 4A/OM20) for Ag,Al,As,Ba,Be,Bi,Ca,Cd,Ce,Co,Cr,Cs,Cu, Dy,Er,Eu,Fe,Ga,Gd,Ge,Hf,Ho,In,K,La,Li,Lu, Mg,Mn,Mo,Na,Nb,Nd,Ni,P,Pb,Pr,Rb,Re,S,S b,Sc,Se,Sm,Sn,Sr,Ta,Tb,Te,Th,Ti,Tl,Tm,U, V,W,Y,Yb,Zn and Zr. For Li results exceeding 5000ppm, are reanalyzed via sodium peroxide fusion and hydrochloric acid digestion in Teflon tubes and then analysed by ICP-MS

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Maximus Resources Limited

Maximus Discovers High Grade Lithium in WA

Maximus Discovers High Grade Lithium in WA

ASX Announcement

Maiden High Grade Lithium Discovery at Spargoville Project in WA

First exploration program discovers High Grade Lithium bearing pegmatite at Lefroy Prospect

Exceptional grades of Lithium up to 4.97% Li20 returned from preliminary rock chip sampling

Results average 3.55% Li20 over 200m of strike length

Further targets currently being investigated

Figure 1:.Location of Lefroy and Landor Lithium prospects of which Maximus holds 100% interest

Note: In LCT pegmatite, Ta usually occurs as the mineral tantalite, which is highly resistant to a four acid attack used to assays these rock chips. It is likely the actual concentration of Ta in these samples is higher when assayed by a more appropriate fusion method.

Table 1: Recent rock chip sampling results from Lefroy prospect.

Section 1 Sampling Techniques and Data

Maximus Resources Limited