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1 Fr persnal use nly Bannerman Resurces Limited (ASX:BMN, NSX:BMN) ( Bannerman r the Cmpany ) is pleased t reprt n a prductive September quarter. HIGHLIGHTS Etang s lng term tenure secured by Retentin Licence Granted 5 year extendable retentin licence Tenure secured ver entire future Etang mine site and tw satellite depsits Ideal tenure fr flexibility and mving t mining licence when uranium price recvers DFS Update prgressing well Targeting substantial capital and perating cst imprvements Prcessing Optimisatin Study near cmpletin Bannerman s Chief Executive Officer, Mr Brandn Munr, said, The Bannerman team achieved a key tenure milestne at Etang during the September quarter, with the award f a Retentin Licence ver the Etang Prject. We als added meaningful value t the Etang Prject thrugh cst-effective prgressin f the DFS Update. Bannerman cntinues t cnservatively manage its capital and remains exceptinally well psitined fr the expected crrectin in current, depressed uranium prices. Figure 1 - The Etang Prject shwing MDRL 3345, the Retentin Licence granted during the September quarter. BANNERMAN RESOURCES LIMITED ABN Crprate Office Unit 1 2 Centr Avenue Subiac Western Australia 6008 Pst PO Bx 1973 Subiac Western Australia 6904 T F Page 1 f 5

2 ETANGO PROJECT (Bannerman 100%) Fr persnal use nly Mineral Depsit Retentin Licence On 2 Octber 2017, Bannerman annunced that the Namibian Ministry f Mines and Energy had granted a Mineral Depsit Retentin Licence with a five year extendable term (Retentin Licence) ver Bannerman s 95%-wned Etang Uranium Prject. The Retentin Licence cvers an area f 7,295 hectares, which includes the Etang re bdy, tw satellite depsits at Hyena and Ondjamba and all planned mine infrastructure (see Figure 2 belw). Accrdingly, 100% f the prject s uranium resurces are nw secured under lng term tenure. The Retentin Licence prvides strng and exclusive rights t tenure and the right (withut bligatin) t cntinue with explratin r develpment wrk, enabling the DFS Update wrk prgram t cntinue. Under the Namibian Minerals (Prspecting and Mining) Act 1992, a Mineral Depsit Retentin Licence may be granted t a prject where all feasibility and ther wrk has been cmpleted t enable mining, hwever the cmmdity price des nt currently supprt the prfitable develpment f the prject. The applicant must demnstrate that the relevant cmmdity price is expected t imprve sufficiently t enable prfitable mining. Figure 2 - MDRL 3345 (utline shwn in black) cvers an area f 7,295 hectares and, as can be seen abve, the Licence area includes all planned mine infrastructure. There were n ther interests in ther mining tenements r any beneficial interests in farm-in r farm-ut agreements which were acquired r dispsed f during the quarter. Page 2

3 Fr persnal use nly DFS Update Prgressed Bannerman cmpleted a Definitive Feasibility Study (DFS) n the Etang Prject in 2012, in cnjunctin with an Envirnmental and Scial Impact Assessment. During 2015 Bannerman undertk a DFS Optimisatin Study, which predminantly fcussed n prject enhancements generated by ptimised mining methds and design, but did nt cnsider changes t the prcessing flwsheet. These results substantially imprved the prjected ecnmics f the Etang prject, as annunced t the market n 11 Nvember Bannerman cmmissined the Heap Leach Demnstratin Plant in 2015 and cnducted large scale metallurgical test wrk in 2015 and This prved the rbustness f the metallurgical parameters used in the DFS and als resulted in imprvements in key metallurgical parameters, such as uranium recvery and acid cnsumptin. Fllwing cmpletin f the Demnstratin Plant prgram, the Cmpany identified further value ptential that culd be unlcked by re-visiting the nn-mining aspects f the prject, in particular the metallurgical plant design. It was decided t investigate this further by cnducting an update f the DFS with the purpse f: Incrprating the results frm the Demnstratin Plant trials int the DFS. Capturing deflatin that has ccurred in the mining industry since the peak f the mining bm. Incrprating the latest technlgy develpments. Evaluating new ideas and alternative appraches t prject develpment and peratin. Revising external csts such as pwer, water, labur, exchange rates. The initial fcus f the wrk has been t cnduct a Prcessing Optimisatin Study, in cnjunctin with ur key cnsultants, AMEC Fster Wheeler. This prcess is targeting substantial capital and perating cst imprvements thrugh incrprating the results frm the Etang Demnstratin Plant and evaluating ther value accretive pprtunities in cmminutin and prcessing, develped thrugh internal engineering undertaken by the Bannerman team. The Prcessing Optimisatin Study is nearing cmpletin and the results are expected in the December quarter. CORPORATE Directr Resignatin Mr David Tucker has advised f his intentin t step dwn as a Nn-Executive Directr at the Cmpany s Annual General Meeting in Nvember Mr Tucker has served Bannerman in this rle since March Over this time his cmbined 40 years f experience as an explratin gelgist and in senir crprate affairs rles has prvided critical insights fr the Cmpany t the benefit f all stakehlders. Mr Tucker was als instrumental in laying a strng fundatin fr the Cmpany in Namibia by prviding hands-n assistance with cmmunity relatins and instilling the pen and transparent apprach t cmmunity engagement fr which Bannerman remains well regarded. Mr Tucker expects t cntinue dedicating a substantial amunt f his time t Bicycles fr Humanity, f which he is the Western Australian (WA) Chapter Chairman. This is set t maintain his cnnectin with Namibia where the WA Chapter has spnsred several Bicycles fr Humanity cmmunity centres. Bannerman remains cmmitted t strng crprate gvernance principles and an enduring prcess f bard renewal. Mr Tucker s resignatin, and the fairly recent appintment f Mr Mike Leech as a Nn- Executive Directr f Bannerman and Chairman f the Cmpany s Namibian subsidiary, are in-line with this cmmitment. Page 3

4 Fr persnal use nly Cash Psitin and Operating Expenditure Cash reserves at 30 September 2017 ttalled A$2.5 millin (30 June 2017: A$3.4 millin). Net perating cash utflw during the quarter ttalled A$0.9 millin. Issued Securities At the date f this reprt, the Cmpany has n issue 849,627,622 rdinary shares, 37,906,093 perfrmance and share rights and 56,608,600 unlisted share ptins. The share rights and share ptins are subject t varius perfrmance targets and cntinuus emplyment perids. URANIUM MARKET Cntinuing lack f liquidity in the uranium spt market has maintained dwnward pressure n the spt uranium price, currently at apprximately US$20/lb U 3 O 8. This pricing is bradly acknwledged by mst market cmmentatrs as being unsustainable a majrity f glbal uranium supply is unecnmic at the current spt price. Frward demand fr nuclear pwer, and therefre uranium, cntinues t strengthen. Fr example: China has dminated the news with the first pair f Russian VVEY-1000 reactrs with Phase 2 at Tianwan in Jiangsu Prvince having started up and Fuqing #4 in Fujian Prvince having nw cmmenced cmmercial peratin, delivering 1020 MWe net. Fuqing #4 is China s 37 th perating nuclear reactr, taking ttal nuclear capacity t 33.7 GWe net. The US Nuclear Regulatry Cmmissin has renewed tw perating licenses f Suth Texas 1 & 2 fr an additinal 20 years, t 2047 & 2048, after nearly seven years cnsideratin. This brings the ttal number f 60-year life extensins t 89 reactrs. Three f these have since shut dwn fr varius reasns, and applicatins are under review fr five mre life extensins beynd the initial 40 years. Brandn Munr Chief Executive Officer 17 Octber 2017 Fr further infrmatin please cntact: Brandn Munr Chief Executive Officer Tel: +61 (8) inf@bannermanresurces.cm.au Rbert Daltn Cmpany Secretary Tel: +61 (8) michael.vaughan@fivemark.cm.au Michael Vaughan (Media) Fivemark Partners Tel: michael.vaughan@fivemark.cm.au Abut Bannerman - Bannerman Resurces Limited is an ASX and NSX listed explratin and develpment cmpany with uranium interests in Namibia, a suthern African cuntry which is a premier uranium mining jurisdictin. Bannerman s principal asset is its 95%-wned Etang Prject situated near Ri Tint s Rössing uranium mine, Paladin s Langer Heinrich uranium mine and CGNPC s Husab uranium mine. A definitive feasibility study has cnfirmed the technical, envirnmental and financial (at cnsensus lng term uranium prices) viability f a large pen pit and heap leach peratin at ne f the wrld s largest undevelped uranium depsits. Frm 2015 t 2017, Bannerman cnducted a large scale heap leach demnstratin prgram t prvide further assurance t financing parties, generate prcess infrmatin fr the detailed engineering design phase and build and enhance internal capability. Mre infrmatin is available n Bannerman s website at Page 4

5 Fr persnal use nly TECHNICAL DISCLOSURES Certain disclsures in this reprt, including management's assessment f Bannerman s plans and prjects, cnstitute frward lking statements that are subject t numerus risks, uncertainties and ther factrs relating t Bannerman s peratin as a mineral develpment cmpany that may cause future results t differ materially frm thse expressed r implied in such frward-lking statements. Full descriptins f these risks can be fund in Bannerman s varius statutry reprts. Readers are cautined nt t place undue reliance n frward-lking statements. Bannerman expressly disclaims any intentin r bligatin t update r revise any frward-lking statements whether as a result f new infrmatin, future events r therwise. Mineral Resurces that are nt Ore Reserves d nt have demnstrated ecnmic viability. Bannerman Resurces Limited (Bannerman r the Cmpany) manages its drilling and assaying activities in accrdance with industry standard quality assurance/quality cntrl (QA/QC) prcedures. Samples are cllected by Bannerman persnnel and prepared in accrdance with specified prcedures at the relevant assay labratries. Drill samples were analysed fr uranium by the Bureau Veritas Labratry in Swakpmund, Namibia. Bureau Veritas is an Internatinal Labratry Grup with peratins in 140 cuntries, including Ultratrace and Amdel in Australia. Assay QA/QC invlves the use f assay standards (surced frm African Mineral Standards (AMIS) in Jhannesburg, made frm Bannerman pulp rejects and crss-checked thrugh umpire labratries fr which the rund rbin reprts are available), field duplicates, blanks and barren quartz flushes. A third party umpire labratry (Genalysis in Perth) is used t crss-check and validate apprximately 5% f the assay results in accrdance with standard prcedures. Sample carse rejects are retained and apprximately 5% f samples are re-submitted fr further assay verificatin. All sample pulps, half-cre and rck-chip samples are retained at Bannerman s Ganikntes Warehuse Facility (GWS) n site. The infrmatin in this reprt relating t the Ore Reserves f the Etang Prject is based n infrmatin cmpiled r reviewed by Mr Len Fuché. Mr Fuché is a Fellw f The Australasian Institute f Mining and Metallurgy. Mr Fuché was emplyed by Bannerman Resurces until 14 July Mr Fuché has sufficient experience relevant t the style f mineralisatin and types f depsits under cnsideratin and t the activity which is being undertaken t qualify as a Cmpetent Persn as defined in the 2012 Editin f the Australasian Cde fr Reprting f Explratin Results, Mineral Resurces and Ore Reserves, and a Qualified Persn as defined by Canadian Natinal Instrument Page 5