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1 Update n ffer t acquire Wlverine Zinc Mine Highlights The Supreme Curt f British Clumbia has issued rders fr a restructuring prpsal by Yukn Zinc Crpratin, current wners f the Wlverine zinc mine, t be presented t its creditrs at a meeting t be held n 2 September Implementatin f the Yukn Zinc restructuring prpsal is subject t satisfactin f a number f cnditins precedent, including; apprval by 51% by number and 66.7% by value f the creditrs eligible t vte n the prpsal; and Yukn Zinc implementing a lan agreement with its parent cmpany JDC Canada t fund implementatin f the restructuring prpsal. As f the date f the curt hearing n Friday 14 August, the Mnitr reprted that funding f the Yukn Zinc restructuring prpsal had nt been finalised. The Curt appinted Mnitr f Yukn Zinc has recmmended that an Asset Purchase Agreement ( APA ) fr the Wlverine zinc mine be executed with MinQuest. The Mnitr is supprtive f a transactin with MinQuest fr Wlverine if the Yukn Zinc restructuring prpsal is nt implemented fr any reasn including: the required majrity f Yukn Zinc creditrs des nt apprve the restructuring prpsal at the creditrs meeting n 2 September; r Yukn Zinc des nt btain the funding t make the required payments t creditrs. 17 August 2015 DIRECTORS David Delub Chairman Jeremy Read Managing Directr Paul Niardne Nn-Executive Directr Adam Davey Nn-Executive Directr Stephen Kelly Cmpany Secretary SHARE INFORMATION ASX Cde: MNQ Issued Capital: 220,230,116 Fully Paid Shares 72,936,522 Unlisted Optins CONTACT INFORMATION Registered Office: Unit 1, 47 Park Rad Miltn, QLD 4064 T: F: MinQuest Limited ACN: The Mnitr s Reprt states that it is the intentin f Yukn Zinc t preserve the Wlverine mine in a temprary clsure state until, amng ther things, metal prices imprve.

2 MinQuest Limited ( MinQuest r The Cmpany ) (ASX:MNQ) advises f recent develpments in relatin t its nn-binding, cnditinal ffer t acquire the Wlverine Zinc Mine in Yukn Territry, Canada, which is currently wned by Yukn Zinc Crpratin. Yukn Zinc is currently under Curt prtectin frm its creditrs, with PriceWaterhuse Cpers (PwC) having been appinted by the Curt as Mnitr f Yukn Zinc. MinQuest has put frward a prpsal t the Mnitr t acquire Wlverine fr CAD$15 millin, with an additinal payment f CAD$3 millin t the gvernment f the Yukn Territry t supplement an existing CAD$7.7 millin f envirnmental bnds. Yukn Zinc meanwhile has prpsed a Plan f Cmprmise and Arrangement ( restructuring plan ), which was the subject f a hearing in the Supreme Curt f British Clumbia n 14 August At that hearing, the Curt granted Orders authrising Yukn Zinc t file its restructuring plan and present that plan t creditrs. Materials relating t the meeting have been psted n the Mnitr s website and can be viewed at: The meeting f creditrs t cnsider Yukn Zinc s restructuring prpsal will be held in Vancuver n 2 September The Mnitr s Ninth Reprt states that based n eligible creditr claims ttalling CAD$29 millin, creditrs will receive an average f 15% f their claim under Yukn Zinc s restructuring plan. Implementatin f Yukn Zinc s restructuring prpsal remains highly cnditinal. Key cnditins t be satisfied include: Fr the restructuring plan t be apprved 51% f eligible creditrs by number and 66.7% by value need t vte in favur f the restructuring plan. Payments t creditrs by Yukn Zinc pursuant t the restructuring prpsal are be t be funded pursuant t a Lan Agreement that is being negtiated between Yukn Zinc and Jinduicheng Canada Resurces Crpratin Limited ( JDC ), a related cmpany f Yukn Zinc. As f the date f the Mnitr s Ninth Reprt, Yukn Zinc had nt finalised a lan agreement with JDC and therefre the restructuring prpsal was unfunded at that date. The Mnitr recmmended in its Ninth Reprt t the Curt that an APA be executed with MinQuest. The APA will becme effective if the Yukn Zinc restructuring prpsal is nt implemented. MinQuest Managing Directr Jeremy Read said that MinQuest had a plan fr the Wlverine Zinc mine and that the ptential cmbinatin f the Wlverine and Fyre

3 Lake Prjects culd prvide significant scial and ecnmic benefits t the Yukn regin. "The integrated develpment f these tw prjects culd generate significant ecnmic benefits fr the regin, ptentially creating jbs and business pprtunities fr many years int the future," he said. The Mnitr s Ninth Reprt states that Yukn Zinc has spent cnsiderable time and effrt preparing the buildings and equipment at the Wlverine site fr an extended perid f inactivity as it is the intentin f Yukn Zinc t preserve the Wlverine mine in a temprary clsure state until, amng ther things, metal prices imprve.

4 Cmpetent Persn Statement The infrmatin in this reprt that relates t explratin results is based upn infrmatin reviewed by Mr Jeremy Read BSc (Hns) wh is a Member f the Australasian Institute f Mining and Metallurgy. Mr Read is a full time emplyee f MinQuest Limited and has sufficient experience which is relevant t the style f mineralisatin and type f depsit under cnsideratin and t the activity which he is undertaking 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. Mr Read cnsents t the inclusin in the reprt f the matters based n his infrmatin in the frm and cntext in which it appears. Mr Read is the Managing Directr f MinQuest and currently wns 2,525,253 Fully Paid Ordinary Shares and has the entitlement t a further 2,525,253 deferred cnsideratin shares subject t relevant milestne events being achieved. Frward Lking Statements This annuncement cntains frward-lking statements. Such frward-lking statements include, withut limitatin: estimates f future earnings, the sensitivity f earnings t cmmdity prices and freign exchange rate mvements; estimates f future prductin and sales; estimates f future cash flws, the sensitivity f cash flws t cmmdity prices and freign exchange rate mvements; statements regarding future debt repayments; estimates f future capital expenditures; estimates f resurces and statements regarding future explratin results; and where the Cmpany expresses r implies an expectatin r belief as t future events r results, such expectatin r belief is expressed in gd faith and believed t have a reasnable basis. Hwever, frward lking statements are subject t risks, uncertainties and ther factrs, which culd cause actual results t differ materially frm future results expressed, prjected r implied by such frward-lking statements. Such risks include, but are nt limited t cmmdity price vlatility, currency fluctuatins, increased prductin csts and variances in resurce r reserve rates frm thse assumed in the cmpany s plans, as well as plitical and peratinal risks in the cuntries and states in which we perate r sell prduct t, and gvernmental regulatin and judicial utcmes. Fr a mre detailed discussin f such risks and ther factrs, see the Cmpany s Annual Reprts, as well as the Cmpany s ther filings. The Cmpany des nt undertake any bligatin t release publicly any revisins t any frward lking statement t reflect events r circumstances after the date f this release, r t reflect the ccurrence f unanticipated events, except as may be required under applicable securities law.

5 t Rss River Kudz Ze Kayah Depsit Zn-Pb-Cu-Au-Ag Wlverine Lake GP4F Depsit Zn-Pb-Au-Ag-Cu ROBERT CAMPBELL Frances Nrth Lakes Wlverine Mine Zn-Ag-Cu-Pb-Au Lake P E L L Y M O U N Mney Creek C A M P B E L L R A N G E Mney Creek HIGHWAY t Watsn Lake Nrth T A I N S River FYRE LAKE Kna Depsit Cu-C-Au Fyre Lake VMS Mine VMS Depsit Highway Mine access rad Prpsed Fyre Lake access Lake River km UTM Prjectin. Zne 9. NAD83 Datum. FYRE LAKE PROJECT - YUKON, CANADA WOLVERINE ACCESS MAP Drawn: RRM Checked: C. Drnbs Date: Revisin: Drawing N.: FL-010.mxd Figure 2