Azure Minerals- Quarterly Activities Report for Period Ended 30 June 2016

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Mesa De Plata • Multi-million ounce JORC resource estimate completed for Mesa de Plata silver deposit: Total Indicated Mineral Resource:  25.9 million ounces of silver in 9.6 million tonnes @ 84g/t Ag Includes High Grade Resource of:  15.3 million ounces of silver in 2.2 million tonnes @ 219g/t Ag • Core drilling for geotechnical logging and advanced metallurgical testwork nearing completion • Infill RC drilling to upgrade deposit to Measured Resource category commenced • Development studies underway for metallurgy, mineral processing, mining, environmental and permitting Loma Bonita • Drilling at Loma Bonita intersects gold mineralisation within the oxide zone over 300m strike, including:  48.0m @ 2.68g/t Au & 32g/t Ag from 23.1m in MDPD-012 • Gold mineralised zone remains open in all directions and drilling continues in order to extend the footprint • Testwork on oxide mineralisation shows gold is amenable to cyanide leaching with gold recoveries averaging:  94% on ground samples (simulating conventional milling)  71% on crushed samples (simulating heap leach processing)

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