Heidelberg. Australian Hammer Metals Limited ("HMX"), in which Deutsche Rohstoff owns 16,37%, announced today that it has signed a joint venture agreement with Newmont Mining. Newmont (www.newmont.com) is one of the world's leading gold producers headquartered in Denver, Colorado. The two companies will be an area of ​​250km² Exploring together in the Mount Isa region. The goal of the collaboration is the identification of IOCG copper-gold deposits such as the nearby Ernest Henry Mine.

The earn-in joint venture agreement contains the following key points:

• Affected are the properties "Overlander", "Even Steven" and "Dronfield", the total 250km² and thus about 12,5% of the 2.000km² Cover licensed areas of Hammer Metals. All other licenses remain in the 100% ownership of Hammer Metals.
• Newmont has the opportunity to earn 75% of the joint venture in three phases, providing a total of USD 10,5 million for exploration and project development:
  • Phase I: Newmont acquires 35% of the joint venture by investing $ 1,45 million over a two year period. Spend of $ 500.000 must be made within the first nine months.
  • Phase II: Newmont can increase its stake by providing another $ 3,05 million to 65%.
  • Phase III: By completing a feasibility study or investing another $ 6,0 million, Newmont can increase its stake to 75%.
  • Up to and including Phase II, the exploration of the joint venture will be exclusively at the expense of Newmont and Hammer will act as the manager of the joint venture.
  • Before the start of Phase III, Hammer has the opportunity to prevent dilution below 35% through pro-rata participation in the additional costs. If it does not exercise this right, Newmont will incur all costs of the joint venture up to a total amount of USD 10,5 million, thereby increasing its share to 75%.

• Upon completion of Phase III, Hammer may participate pro rata in the project development costs. In this case, an 25% stake in the mining joint venture remains with Hammer Metals. Alternatively, Newmont will cover all costs up to and including the commissioning of the mine and, in return, will receive an 80% stake in the joint venture. In addition, Hammer must repay the costs assumed by Newmont, including interest, from the cash flow from production.
• Excluded from the agreement are the already defined resources of Overlander North and Overlander South in the joint venture area. For these Newmont has a right of first refusal after completion of Phase I.
• Throughout all phases, Newmont provides both technical resources and geological expertise to the joint venture.

Alex Hewlett, CEO of Hammer Metals, said: "We have worked long and hard to finalize this deal. Newont's engagement significantly increases our financial clout. We can now significantly accelerate our exploration activities both on the properties of the joint venture and in the other licensed areas. Existing geological structures and identified anomalies in our exploration areas are a strong indication of the potential presence of a significant mineral resource. "

Jörg Reichert, CTO of Deutsche Rohstoff, comments: "We very much welcome the conclusion of a joint venture with Newmont. In the current market situation, only a very few exploration companies can make such a long-term agreement. It underscores the quality of Hammer's portfolio, which was already crucial to our entry. "

A detailed version of the message can be found at www.hammermetals.com.au.

Heidelberg, 15. December 2015

Deutsche Rohstoff identifies, develops and sells attractive raw material deposits in North America, Australia and Europe. The focus is on the development of oil and gas reserves in the USA. Metals such as gold, copper, rare earths, tungsten and tin complete the portfolio. More information at www.rohstoff.de

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