SUMMARY

CORPORATE

• Private share placement to sophisticated Investors completed with $66,000 received

• Confirmation received from DMP of registration of MXR's 25% interest in gold rights on majority of Spargoville tenements.

• Tenement transfer documentation recording MXR's increased interest in Spargoville to 51% submitted to DMP

• Negotiations completed with Tychean Resources to secure TYK's remaining 10% interest in Spargoville tenements. Second Sale and Purchase Agreement signed.

• Transfer documentation recording MXR interest of 100% of TYK interest in Spargoville tenements completed and submitted to DMP/Office of State revenue for assessment.

• Revised Deeds of Assignment and Assumption prepared to reflect acquisition of 100% of TYK's interest in the Spargoville tenements.

• Second Sale and Purchase Agreement extinguishes MXR's future earn-in commitments and eliminates the gold royalty to TYK

• Shares issued to TYK under the Original Sale and Purchase Agreement dated 5 August 2015.

  WESTERN AUSTRALIA

  SPARGOVILLE PROJECT

• Follow-up drilling program completed on Eagles Nest tenement in March

• 14 Reverse Circulation holes completed for a total of 900 metres

• Signed 2 year Deed of Access Agreement with Prospector to conduct alluvial mining on approved areas of Spargoville tenements to provide grass roots exploration information to MXR

• Surface rock samples collected on Landor Lithium prospect return positive initial assay results

• Follow-up surface mapping and reconnaissance program planned on Landor and Lefroy Lithium prospects in April/May

  NARNDEE PROJECT

• Ground Electromagnetic survey plans finalised to test 2 priority EM targets identified on previous aerial EM survey. Results will assist in decision to drill and location of drill holes collars

• 1 of 3 Applications submitted for new tenements contiguous to existing MXR ground was granted. 2 remaining applications are currently with the Native Title group for consideration

  SOUTH AUSTRALIA

  MILLERS CREEK PROJECT

• Continue to seek expressions of interest for Joint Venture or sale/purchase of tenement package

  ADELAIDE HILLS PROJECT

• Two tenements retained in Adelaide Hills project following relinquishment of two northern tenements.

DEVELOPMENT AND EXPLORATION ACTIVITIES

WESTERN AUSTRALIA

SPARGOVILLE PROJECT GOLD PROJECT

Maximus 51% upto 100%

Maximus acquired an initial 25% interest in the Spargoville gold tenement package located 70km south of Coolgardie in the Eastern Goldfields on 5 August 2015. In November 2015, Maximus achieved the stage 1 earn-in commitment and increased its equity share in the Spargoville tenements to 51% following the investment of $200,000 in exploration activities on the tenements.

As MXR continued evaluating the wealth of data available, including historical soil sampling results, Aerial EM data, aircore drill data, RC drill data and Diamond drill data and associated assay data, several high potential targets were identified with follow-up soil sampling programs confirming the prospectivity of several targets.

Maximus commenced its maiden drilling campaign on Eagles Nest during early December 2015 with a total of 8 holes completed for 809 metres. Final assay results received in January 2016 show high grade intersections at significant widths including 24m @ 3.05g/t from 19m (including 8m @ 4.0 g/t from 35m) in hole MXENRC004, 7m @ 4.0 g/t from 33m (including 1m @ 14.7g/t from 34m) in hole MXENRC005 and 6m @ 1.98g/t from 81m (including 1m @ 5.3g/t from 81m) in hole MXENRC07 (See table 1 below).

Table 1: Drill results completed on Eagles Nest project in December 2015. NSR means no significant result (> 1g/t)

An infill drilling program commenced in mid-March to obtain further data to assist in the preparation of a resource calculation for the Eagles Nest project. Drilling was undertaken on the northern tenement boundary to test the strike extension to the mineralisation identified in the maiden drill program in December. The program also traversed the site where the significant Golden Eagle nugget was found (1135 ounces) in 1931. Final assay results were received in April but did not repeat the higher grades

recorded in the initial drilling program. This result does not diminish the area's potential for hosting a HG ore source, similar to the HG Wattle Dam orebody also associated with a "Blue lode" further to the north. This is demonstrated by the number and size of nuggets found on this tenement over the past 100 years. Nuggets continue to be found by prospectors in this area to this day.

Figure 1: Spargoville tenements - Maximus holds 51% equity in gold rights, moving to 100%

During March, rock chip samples were collected from the Landor Lithium prospect (M15/1323) to test areas identified by Geological Survey of Western Australia historic mapping as pegmatites. Elevated Lithium oxide assay results were returned from the Landor samples prompting the decision to undertake further

mapping and sample analysis on both the Landor prospect and the Lefroy lithium prospect during April / May 2016.

These tenements are situated within the Achaean greenstone belt extending from the southern Yilgarn region of WA to the Pilbara region in WA. This greenstone belt hosts the only 2 Lithium operations in Australia.

NARNDEE BASE METALS PROJECT

Maximus 100%

Preparations were finalised on the timing and scope of a ground electromagnetic (EM) survey to test two airborne EM anomalies identified during the review of previous data. The initial target, MG24 presents as a long slender feature considered similar to the Nova Bolinger anomaly in the Fraser Range area in the south-west of Western Australia. The planned ground EM survey will provide more detailed information regarding the two anomalies. MG24 and MG03 and will provide valuable data to pinpoint drill collar positions in the anticipated drilling program.

Applications were submitted in November 2015 to the Department of Mines and Petroleum (DMP) for 3 tenements contiguous with the current MXR tenements (see figure 2). One tenement was granted during the quarter. The remaining 2 applications are currently with the Native Title group for determination. A response is due by mid-May if a claim is to be lodged.

MG3

MG24

Figure 2: Narndee tenement holding including ELA's applied for to secure MG24 target.