ASX and Media Release

R&D refund received for Tarcoola testwork

WPG Resources Ltd (ASX: WPG) is pleased to announce that it has received

$282,000 from the Federal Government's Research and Development Tax Concession Scheme.

The Scheme, administered jointly by AusIndustry and the Australian Taxation Office, allows the Company to claim a tax credit and receive a cash refund for up to 45 cents of each dollar spent on eligible research and development. The refundable tax offset relates to costs incurred by WPG during the 2014-2015 financial year on its Tarcoola tenement.

Previous conventional heap leach testwork had indicated that ore at Tarcoola was amenable to extraction by heap leach methodologies. Due to the specific characteristics of the Tarcoola ore types and hypersaline process water available at Tarcoola a research program was developed to test a number of hypotheses around leaching responses under a range of conditions.

The research program was conducted at SGS laboratories in Perth under the direction of the world's pre-eminent heap leach experts Kappes, Cassiday & Associates.

The results of this study enabled the Company to develop and optimise heap leach metallurgical and process design flow sheets for the project. The work led to detailed design of crushing, conveying and stacking options, design of leach pads and ponds as well as feasibility level capital and operating cost estimates for detailed evaluation of the project's economics used in the Tarcoola Feasibility Study.

Further Information

For further information please contact WPG's Managing Director & CEO, Martin Jacobsen on (02) 9251 1044.

20 January 2016