Tonnes

Measured

GoldOunces (g/t)

Indicated

Tonnes Gold(g/t)

Ounces

Tonnes

Inferred Gold (g/t)

Ounces

Tonnes

Total Gold (g/t)

Ounces

Above 350mRL - Reported on a dry in-situ basis at a 1.5 g/t gold cut-off

-

-

-

3,500,000

2.9

325,000

800,000

2.5

67,000

4,300,000

2.8

392,000

Below 350mRL - Reported on a dry in-situ basis at a 2.9 g/t gold cut-off

-

-

-

400,000

4.1

47,000

2,300,000

4.1

304,000

2,600,000

4.1

351,000

Tot

al

-

-

-

3,800,000

3.0

372,000

3,100,000

3.7

370,000

6,900,000

3.3

743,000

Competent Persons Statement

The information in this report that relates to Mineral Resources is based on information compiled or supervised by Mr. Jeremy Clark who is a full-time employee of RungePincockMinarco Limited and a Registered Member of the Australasian Institute of Mining and Metallurgy. Mr. Clark has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity that being undertaken to qualify as a Competent Person as defined in the JORC Code 2012 Edition.. Mr Clark consents to the inclusion in the Report of the matters on his information in the form and context in which it appears.

Reporting of the Mineral Resources estimate complies with the recommended guidelines of the JORC Code and is therefore suitable for public reporting.

The information in this report that relates to Exploration Results has previously been released to the ASX on the 29 July 2015 - High Grade Results Received from the Fäboliden Gold Project and 15 September 2015 - Robust Results Highlight Potential at Fäboliden. These announcements can be found at www.asx.com.au (Code:DRA). The releases fairly represent information and supporting documentation that was compiled by Mr. Neale Edwards BSc (Hons), a Fellow of the Australian Institute of Geoscientists, who is a full time employee of the company and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as Competent Persons as defined in the 2012 Edition of the Australasian Code of Reporting for Exploration Results, Mineral Resources and Ore Reserves. Written consent was previously provided by Mr. Neale Edwards for the releases dated the 29 July 2015 and 15 September 2015.

Mr. Neale Edwards BSc (Hons), a Fellow of the Australian Institute of Geoscientists, confirms that the form and context in which the Exploration Results are presented in this report have not been materially modified from the releases dated 29 July 2015 and 15 September 2015. Mr. Neale Edwards has provided written consent approving the inclusion of the Exploration Results in the report in the form and context in which they appear.

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.

• Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.

• 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.

The Fäboliden deposit has been sampled by a series of Diamond core and reverse circulation drill holes completed from surface, as well as test mining and processing.

A total of 322 Diamond core drill holes and 11 reverse circulation holes have been completed by the previous owners. A total of 98 blast holes were also drilled to carry out the test mining.

Dragon has completed 34 WL-66 Diamond core drill holes for a total advance of 2,941.50 metres.

Historical drilling has been completed on a nominal grid spacing of 50m by 50m for the near surface material, increasing to 100m by 100m and greater for the depth extensions.

The drilling completed by Dragon has improved the drill density to a nominal 25m by 25m and 25m by 50m basis for the near surface material, over a strike length of 400m.

The previous owners completed a program of test mining in 2005, targeting a zone of near surface higher grade mineralisation immediately north of Dragon's drilling area, with the excavation of three trenches.

Historic drill hole collars have been surveyed to the Swedish National Grid system - RT90 2.5 gon väst (standard). Details of the survey process, equipment used, who performed the surveys or the level of accuracy of the survey has not been documented. A program of resurveying by independent survey consultants Tyrens AB, on behalf of Dragon has verified the historical coordinates.

New drill holes have been surveyed using a Trimble R8 GNSS device by independent survey consultants Tyrens AB.

Down hole dip and azimuth deviations of historic holes were recorded using a Reflex Maxibor II tool on all holes completed since 2006, approximately 50% of all holes drilled.

All drill holes completed by Dragon were surveyed using a DeviFlex instrument for down hole dip and azimuth. The starting azimuth was resurveyed by GeoVista AB using a RTK-GPS.

All drill core has been geologically logged. Logging information was recorded in Microsoft Excel

Criteria JORC Code explanation Commentary

spreadsheets and then transferred to a Microsoft Access database.

Prior to 1999 the entire core was submitted for analysis. Since 1999 half core samples have been analysed. Samples were generally collected on metre intervals, though samples have varied from 0.1m to 4m.

Half core samples of select zones of core from the Dragon drilling program was submitted to the laboratory. Sampling was completed on a one metre basis.

Sample preparation of historic samples was conducted by ALS Chemex in Piteå, Sweden, with sample pulps sent to ALS Chemex in Vancouver, Canada for assaying for gold by 50 gram Fire Assay methods. Samples were also assayed by aqua regia digest followed by inductively coupled plasma optical emission spectroscopy for a suite of 33 elements.

Dragon samples were prepared at the ALS Minerals facility in Piteå, Sweden. Sample pulps were sent to the ALS Minerals facility in Loughrea, Ireland for assaying for gold by 30g Fire Assay methods (Au- AA25) and multi-elements by ME-ICP41. Samples with gold values greater than 5g/t Au were re- analysed using 30g Fire Assay methods with gravimetric finish (Au-GRA 21).

Drilling techniques

• Drill type (eg core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (eg core diameter, triple or standard tube, depth of Diamond tails, face- sampling bit or other type, whether core is oriented and if so, by what method, etc).

Diamond core drilling has been the primary drilling method used at Fäboliden. The majority of the historic drilling was completed using 36mm to 39mm core diameter, more recent drilling completed using 42mm to 49mm (NQ) diameter.

Historical hole depths ranged from 41.6m to 762m.

Core was collected with a standard tube. There is no record to indicate that core orientation was undertaken on all of the historical holes.

Down hole dip and azimuth deviations were recorded using a Reflex Maxibor II tool on all holes completed since 2006, approximately 50% of all holes drilled.

The recent drilling completed by Dragon was completed using WL-66, with hole depths ranging from 35 to 162m.

Core was collected with a standard tube and all holes except the first hole were fully orientated.

All drill holes completed by Dragon were surveyed using a DeviFlex instrument for down hole dip and azimuth. The starting azimuth was resurveyed by GeoVista AB using a RTK-GPS.

Drill sample recovery

• Method of recording and assessing core and chip sample recoveries and results assessed.

• Measures taken to maximise sample recovery and ensure representative nature of the samples.

• Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of

Historic Diamond core was reconstructed into continuous runs for logging and marking, with depths checked against core blocks. Core recoveries were not routinely recorded.

Dragon Diamond core was fully orientated except the first hole, and reconstructed into continuous runs for logging and marking, with depths checked against

Criteria

JORC Code explanation

Commentary

fine/coarse material.

core blocks.

Core recoveries were routinely recorded during the RQD logging process.

Core recovery has been excellent and corresponded well with expectations of drilling in unweathered crystalline bedrock.

Experienced local drilling contract groups undertook the drilling completed by the previous owners and Dragon.

No relationship has been noted between sample recovery and grade.

Logging

• Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.

• Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc) photography.

• The total length and percentage of the relevant intersections logged.

Detailed geological logging was undertaken on all drill core. The core was logged using 286 codes, made up of 77 lithology codes, 5 intensity codes, 97 structural codes, 82 mineralisation codes and 25 general codes. Logging was performed to a level that will support Mineral Resource estimation.

Drill samples were logged for lithology, mineralisation and alteration. Logging was a mix of qualitative and quantitative observations. The core was systematically photographed by hand.

All holes were logged in full.

Sub-sampling techniques and sample preparation

• If core, whether cut or sawn and whether quarter, half or all core taken.

• If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled wet or dry.

• For all sample types, the nature, quality and appropriateness of the sample preparation technique.

• Quality control procedures adopted for all sub- sampling stages to maximise representivity of samples.

• Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.

• Whether sample sizes are appropriate to the grain size of the material being sampled.

Prior to 1999 the entire core was submitted for analysis. Since 1999 half core samples have been analysed. Drill core was cut by saw.

Drilling completed by the previous owners was completed primarily by Diamond core methods.

Reverse circulation drill hole samples were collected at 1m intervals. Samples were collected at the rig, representing cutting's coarse fraction. A sub-sample was collected at the drill rig for analysis. There is no information available describing the sub-sampling process or the quality of the sample.

Drilling completed by Dragon was completed by Diamond core methods.

Sampling of Diamond core samples used industry standard techniques.

Drill core is sawn in half using a core saw.

With respect to the nature of the mineralised system and the core diameter the use of half-core is considered appropriate.

Sample preparation is completed by ALS Minerals and follows industry best applicable practice. ALS Minerals procedures and facilities are organised to assure proper preparation of the sample for analysis, to prevent sample mixing, and to minimise dust contamination or sample to sample contamination.

Samples are submitted to the ALS Minerals facility in Piteå, Sweden for sample preparation.

Criteria JORC Code explanation Commentary

Half core samples are weighed, assigned a unique bar code and logged into the ALS system. The entire sample is dried and crushed to 5mm. A sub-sample of the crushed material is then pulverised to better than 85% passing 75 microns using a LM5 pulveriser. The pulverised sample is split with multiple feed in a Jones riffle splitter until a 100-200g sub-sample is obtained for dispatch to the ALS Minerals facilities at Vancouver in Canada for analysis for gold and multi- elements for the historical samples and Loughrea in Ireland for gold and multi-elements for the Dragon samples.

All sub-sampling is carried out at the ALS Minerals facility in Piteå, Sweden.

Core sample intervals are measured and clearly marked on core. Core is sawn in half longitudinally and at the start and finish of each individual sample.

ALS personnel were trained to carry out the sampling of the Dragon drill core, in accordance with Dragon protocols.

Certified reference material and blanks were routinely inserted with the sample submission, at a rate of 1 sample every 20 samples. Results have returned in accordance with expected values, apart from one sample that returned a value outside the acceptable levels. This has been fully checked by the Company and the laboratory and it has been concluded that the original results was incorrect from follow-up analysis. Additional check work has been instigated by the Company.

Certified reference materials were not routinely inserted with the sample submission by the previous owners. The small database available returned an acceptable level of bias from the laboratory. Blank samples were inserted at the rate of 1 in 20 by the previous owners, the results indicating that there is little evidence of contamination between samples.

Analysis of coarse crush duplicates has not been performed by the previous owners. Dragon has commenced a program of check analysis on coarse crush duplicates. Results from the initial batch returned values commensurate with the primary analysis. Results are pending from the second batch.

The method selected for sample preparation is considered appropriate to correctly represent the style of mineralisation, the thickness and consistency of the intersections, the sampling methodology and assay value ranges for gold.

Quality of assay data and laboratory tests

• The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.

• For geophysical tools, spectrometers, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.

• Nature of quality control procedures adopted (eg standards, blanks, duplicates, external laboratory

Historic samples were submitted to ALS Minerals in Vancouver, Canada for analysis for gold by 50g fire assay fusion with an Atomic Absorption Spectrometry (AAS) finish.

Dragon Mining samples were submitted to ALS Minerals in Loughrea, Ireland for analysis for gold by 30g fire assay fusion with an Atomic Absorption Spectrometry (AAS) finish.

Samples with gold values greater than 5g/t Au were re-analysed using 30g fire assay methods with

Criteria

JORC Code explanation

Commentary

checks) and whether acceptable levels of accuracy (ie lack of bias) and precision have been established.

gravimetric finish (Au-GRA 21).

ALS Minerals are a certified global laboratory group. They are monitored by an internal QAQC program and a QAQC program implemented by Dragon, both of which include the inclusion of blank material, duplicates and certified reference material.

The analytical methods used for gold are considered total.

The analytical work is undertaken at a level suitable for inclusion in Mineral Resource estimates.

No geophysical tools were used for analytical purposes on sample material from Fäboliden.

QAQC protocols were not stringently adhered to throughout the duration of all drilling programs undertaken by the previous owners.

The previous owners implemented a program of inserting certified reference materials (sourced from Ore Research and Exploration and supplied by Analytical Solutions Ltd from Toronto, Canada) representing six different standards ranging in gold grades from 0.43 g/t to 9.64g/t Au in 2005. Insertion was completed at a rate of approximately 1 for every 188 samples submitted.

Blank samples were inserted at a rate of 1 in 20 samples. The samples were submitted by the laboratory in behalf of the previous owners and are not considered blind.

There was no systematic blind repeat sampling program implemented by the previous owners, the repeat pulp samples submitted being done at a rate of 1 sample for every 49 samples.

No coarse duplicates samples were submitted by the previous owners.

QAQC protocols were stringently adhered to throughout the duration of all drilling programs undertaken by Dragon.

Dragon included a certified reference standard, blank and pulp duplicated on a 1 in 20 basis. Coarse crush duplicates are being undertaken at an umpire facility on a 1 in 10 basis.

ALS Minerals implement an internal QAQC program that includes the insertion of blanks, certified reference material and duplicates with each analytical run.

A review of the previous owners QAQC results has shown reasonable consistency between different laboratories, analytical methods and results.

The results for Dragon have yielded values as expected to date, apart from one sample that returned a value outside the acceptable levels. This has been fully checked Dragon and the laboratory and it has been concluded that the original results was incorrect from follow-up analysis. Additional check work has

Criteria JORC Code explanation Commentary

been instigated by Dragon.

Verification of sampling and assaying

• The verification of significant intersections by either independent or alternative company personnel.

• The use of twinned holes.

• Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.

• Discuss any adjustment to assay data.

Dragon has no knowledge of the procedures implemented by the previous owners to verify significant intersections.

Significant intersections are verified by Dragon geologists.

The previous owners reverse circulation program was implemented to twin some of the Diamond core drill holes.

Dragon has not twinned any holes.

Primary data was collected by the previous owners and Dragon personnel.

All measurements and observations were recorded into an Excel spreadsheet. Primary assay and QAQC data is entered into an Excel spreadsheet.

No adjustment has been made to assay data.

Location of data points

• Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.

• Specification of the grid system used.

• Quality and adequacy of topographic control.

Details of the survey process, equipment used, who performed the surveys or the level of accuracy of the survey was not been located during the due diligence process completed by Dragon.

A program of resurveying by independent survey consultants Tyrens AB, on behalf of Dragon has verified the historical coordinates.

New drill holes have been surveyed using a Trimble R8 GNSS device by independent survey consultants Tyrens AB.

Historic down hole dip and azimuth deviations were recorded using a Reflex Maxibor II tool on all holes completed since 2006, approximately 50% of all holes drilled.

All drill holes completed by Dragon were surveyed using a DeviFlex instrument for down hole dip and azimuth. The starting azimuth was resurveyed by GeoVista AB using a RTK-GPS.

The grid system used for the reporting of results is the Swedish National Grid System RT90 2.5 gon väst (standard).

Details of the topographic control over the Fäboliden deposit were not obtained by Dragon. Dragon is yet to establish specific topographic control over the Fäboliden Gold Project.

The survey methodology and equipment utilised during the collar surveys provides sufficient detail and accuracy for the topographic control as needed for inclusion in Mineral Resource estimates.

Data spacing and distribution

• Data spacing for reporting of Exploration Results.

• Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation

Historic drilling has been undertaken from surface on a nominal grid base of 50m by 50m for the near surface material and 100m by 100m and greater for the material at depth.