Exploration Update for the Fyre Lake and Coober Pedy Projects

Fyre Lake Project (Yukon Territory, Canada)

• Estimation of a new Mineral Resource for the Kona Volcanogenic Massive Sulphide (VMS) deposit will be completed by the end of January 2015;

• The total Kona Mineral Resource is currently defined as 8.93 Mt @ 1.52% Cu, 0.09% Co and 0.56g/t Au, classified as Indicated and Inferred in accordance with guidelines of the 2012 JORC Code;

• The new Mineral Resource will incorporate the recently released re-assay results, which confirmed that high-grade copper-cobalt-gold mineralisation occurs along the strike length of the Kona Mineral Resource;

• The re-assay results included: o 17.74m @ 2.1 % Cu, 0.15 % Co, 0.48 g/t Au o 7.00m @ 3.2 % Cu, 0.10% Co, 0.46 g/t Au o 31.3m @ 2.3% Cu, 0.07% Co, 0.51g/t Au o 19.46m @ 2.1% Cu, 0.15% Co, 0.52g/t Au

• The width and grade of the re-assayed intersections suggest that there is the potential to increase the size and grade of the Kona Mineral Resource.

Coober Pedy Project (South Australia)

• All required approvals have now been obtained to allow drill testing of the Cyclops Iron Oxide Copper Gold (IOCG) target, to the west of Coober Pedy;

• Drilling will commence as soon as possible after the Woomera Protected Area re-opens for activities after a “Closed Period” concludes on 15 March, 2015.

Highlights

17 December 2014

DIRECTORS David Deloub Chairman Jeremy Read Managing Director Paul Niardone Non-Executive Director Adam Davey Non-Executive Director Kim Clark Company Secretary

SHARE INFORMATION ASX Code: MNQ Issued Capital: 75,535,244 Fully Paid Shares 7.0M Unlisted Options

CONTACT INFORMATION Registered Office: 96 Stephens Road South Brisbane, QLD 4101 T: +61 7 3844 0372 F: +61 7 3844 0154 www.minquest.com.au

MinQuest Limited ACN: 146 035 127

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Introduction

MinQuest Limited (“MinQuest” or “The Company”) (ASX: MNQ) is pleased to provide an update on the exploration activities, to commence early in 2015, for the Fyre Lake Project in the Yukon Territory in Canada and the Coober Pedy Project in South Australia. MinQuest is planning for a very active first quarter in 2015, with significant milestones to be achieved on both the Fyre Lake and Coober Pedy Projects.

Fyre Lake Project (Yukon Territory, Canada)

On 21 November 2014, MinQuest announced to the Australian Stock Exchange (ASX) the results of a series of check assays completed on the Fyre Lake Project (Figure 1). The samples for assay were collected as ¼ core from the original drill core, which is currently stored at the field camp on the shores of Fyre Lake, adjacent to the Kona Mineral Resource. The drill holes, from which the check assay samples were collected, were completed in either 1996 or 1997.

The Kona deposit is currently estimated to be 8.93 Mt @ 1.52% Cu, 0.09% Co and 0.56 g/t Au, utilizing a 1.0% Cu cut-off, has been classified under the JORC code (2012). Metallurgical studies indicate metal recoveries of 90% for copper and 70% for gold and cobalt.

The check assays confirmed that high-grade copper-cobalt-gold mineralization occurs along the strike length of the currently defined Mineral Resource at Kona (Figure 2, Table 1). Furthermore, the historical assays were of sufficient quality to allow the commencement of a re-estimation of the Mineral Resource at Kona. Construction of the geological framework for the re-estimation of the Kona Mineral Resource has been completed. Geo-statistical analysis of the Mineral Resource is currently in progress.

It was initially anticipated that the upgraded Mineral Resource estimation for the Kona deposit would be completed before the end of December 2014. Due to a revision of the geological model taking longer than originally scheduled, the finalisation of the Kona Mineral Resource will now be completed in January 2015.

The copper-cobalt-gold mineralisation at Kona remains open down plunge and down dip to the east and west with indications that the grade increases with depth.

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Table 1 – Assay results from the historical drill programs completed in 1996 and 1997, compared to the results from the check assays (highlighted in yellow) completed in

October/November 2014

Despite the Kona Mineral Resource being open and exploration targets remaining untested, no drilling has been conducted on the Fyre Lake project since 1997. Following completion of the re-estimation of the Kona Mineral Resource, MinQuest aims to attempt to increase the size of the Kona Mineral Resource via infill and extensional drilling to be undertaken in the northern hemisphere spring and summer. The recent VTEM Airborne Survey completed over the Fyre Lake project area shows that the potential to expand the resources through the identification of both electromagnetic (‘EM’) and magnetic anomalies along strike and east and west from the defined Kona Mineral Resource (See announcement to the ASX on 16 October 2014).

Coober Pedy Project (South Australia)

The Coober Pedy Project is currently 100% owned by Teck Australia Pty Ltd (Teck) and comprises three exploration licenses, located at the north-western end of the highly endowed Proterozoic Olympic Dam Iron Oxide Copper-Gold (IOCG) Province in the Gawler Craton, South Australia (Figure 3). Under the terms of a joint venture agreement with Teck, MinQuest has the ability to earn up to a 100% interest in the Coober Pedy Project.

Previous work by Teck defined a strong, discrete magnetic and gravity anomaly, the “Cyclops prospect”, to the west of Coober Pedy. The Cyclops prospect contains an untested ‘walk-up’ Prominent Hill Type IOCG drill target in close proximity to the Karari Shear Zone. The gravity and magnetic data have been forward modelled and indicate the potential source is a

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magnetite-rich body of approximately 800m x 250m, starting at a depth of approximately 100m.

Planning and permitting for a 1,200m drill program to test the magnetic and gravity anomalies at Cyclops, have now been completed. It is anticipated that the drill program will commence at Cyclops immediately following the conclusion of a ‘Closed Period’, initiated by the Department of Defence, for the Woomera Protected Area, on 15 March, 2015. The Cyclops drill program will take approximately a month to complete and MinQuest will update the market on any significant outcomes from the drill program during March and early April, 2015.

Competent Person Statement - Mineral Resource

The information in this ASX Announcement relating to the Mineral Resource estimate for the Kona Deposit is extracted from the ASX Release entitled “Merah Resources to Acquire Copper Project in the Yukon, Canada” announced on 18 July 2014 and is available to view on the ASX website (ASX:MNQ), and the Company's website. The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and, that all material assumptions and technical parameters underpinning the resource estimates in the relevant market announcement continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcement.

The information in this report that relates to exploration results is based upon information reviewed by Mr Jeremy Read BSc (Hons) who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Read is a full time employee of MinQuest Limited 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 a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Read consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. Mr Read is the Managing Director of MinQuest and currently owns 2,525,253 Fully Paid Ordinary Shares and has the entitlement to a further 2,525,253 deferred consideration shares subject to relevant milestone events being achieved.

Forward Looking Statements

This announcement contains “forward-looking statements”. Such forward-looking statements include, without limitation: estimates of future earnings, the sensitivity of earnings to commodity prices and foreign exchange rate movements; estimates of future production and sales; estimates of future cash flows, the sensitivity of cash flows to commodity prices and foreign exchange rate movements; statements regarding future debt repayments; estimates of future capital expenditures; estimates of resources and statements regarding future exploration results; and where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, forward looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to commodity price volatility, currency fluctuations, increased production costs and variances in resource or reserve rates from those assumed in the company’s plans, as well as political and operational risks in the countries and states in which we operate or sell product to, and governmental regulation and judicial outcomes. For a more detailed discussion of such risks and other factors, see the Company’s Annual Reports, as well as the Company’s other filings. The Company does not undertake any obligation to release publicly any revisions to any “forward looking statement” to reflect events or circumstances after the date of this release, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.

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0 5 10 15 20 km

UTM Projection. Zone 9. NAD83 Datum.

Wolverine Mine*

GP4F *1.5 Mt grading 6.4% Zn, 3.1% Pb,0.1% Cu, 89.7 g/t Ag, 2.0 g/t Au(inferred)

Kudz Ze Kayah*13.0 Mt @ 5.55% Zn, 1.00% Cu,

1.30% Pb, 125.0 g/t Ag, 1.2 g/t Au(inferred)

FYRE LAKEFire Lake

Wolverine Lake

Finlayson Lake

ROBERT

CAMPBELL

HIGHWAY

North Lakes

Grass Lakes

North

River

Frances Lake

East ArmFR

ANC

ES R

IVE

R

P E L L Y MO

U NT A

I NS

CA

MP

BE

LL

RA

NG

E

to Ross River

to Watson Lake

4.51 Mt grading 12.04% Zn, 1.15% Cu,1.57% Pb, 351.5 g/t Ag, 1.68 g/t Au

(measured & inferred)and 1.69 Mt grading 12.16% Zn, 1.23% Cu,

1.74% Pb, 385.1 g/t Ag, 1.71 g/t Au(inferred)

Kona Deposit8.93 Mt @ 1.52% Cu, 0.09% Co,0.56 g/t Au, 2.15% Cu Eq (indicated & inferred)

400000

400000

420000

420000

440000

440000

460000

460000

480000

4800006780000 6780000

6800000 6800000

6820000 6820000

6840000 6840000

Drawn: RRM

Checked: C. Doornbos

Date: 06.10.2014 Revision:

Drawing No.: FL-006.mxdFigure 1

FYRE LAKE PROJECT - YUKON, CANADAREGIONAL LOCATION MAP

YUKON

U.S.A.(Alaska)

C A N A D A

FYRE LAKEPROJECT

Inuvuk

Nome

Calgary

Edmonton

Fairbanks

Anchorage

Vancouver

Whitehorse

Prince Rupert

W°021W°041W°06150°N

60°N

70°N

1,000 km

LOCALITY MAP

VMS Mine

VMS Deposit

Highway

Other road

Lake

River* Resource figures forFinlayson VMS depositsfrom J.M. Peter & Others, 2007.

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0 200 400 600 800 m

?

?

KONA EAST

KONA WEST

Outfitter

Creek

?

?

19.46m @ 1.98%, 0.13%, 0.54g/t, 2.73%

20.29m @ 1.33%, 0.11%, 0.42g/t, 1.96%

20.29m @ 1.32%, 0.12%, 0.46g/t, 2.00%

19.46m @ 2.12%, 0.15%, 0.52g/t, 2.96%

9.73m @ 3.03%, 0.10%, 0.97g/t, 3.89%

9.73m @ 2.89%, 0.12%, 0.87g/t, 3.77%

31.3m @ 2.29%, 0.07%, 0.53g/t, 2.82%

31.3m @ 2.29%, 0.07%, 0.51g/t, 2.83%

16.27m @ 1.28%, 0.11%, 0.61g/t, 2.00%

16.27m @ 1.36%, 0.13%, 0.61g/t, 2.16%

17.74m @ 1.95%, 0.13%, 0.53g/t, 2.71%

17.74m @ 2.13%, 0.15%, 0.48g/t, 2.93%

18.67m @ 2.27%, 0.11%, 0.48g/t, 2.93%

18.67m @ 2.16%, 0.10%, 0.46g/t, 2.79%

Sectio

n 1Sectio

n 297-101

96-065

96-043

97-102

96-03396-067

97-115

418000

418000

419000

419000

420000

420000

421000

421000

6788000 6788000

6789000 6789000

6790000 6790000

Drawn: RRM

Checked: C. Doornbos

Date: 11.11.2014 Revision:

Drawing No.: FL-004a.mxdFigure 2

KONA VMS DEPOSIT - YUKON, CANADADRILL HOLE LOCATIONS<0.50% Cu

0.50 - 1.49% Cu1.50 - 2.50% Cu>2.50% Cu

Volcanogenic MassiveSulphide mineralisation

UTM Projection. Zone 9. NAD83 Datum.

Diamond drill hole -weighted mean

20.29m @ 1.33% Cu, 0.11% Co, 0.42g/t Au, 1.96% Cu Eq

20.29m @ 1.32% Cu, 0.12% Co, 0.46g/t Au, 2.00% Cu Eq

Previous assay results

Nov 2014 assay resultsFor

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0 10 20 30 40 50 km

UTM Projection. MGA Zone 53. GDA94 Datum.

Cairn HillCairn Hill

Prominent HillProminent HillManxmanManxman

EL 4891EL 4891

EL 4892EL 4892

EL 4542EL 4542

DARWIN

DARWIN

AD

ELAID

EA

DELA

IDE

YA

WLI

AR

YA

WLI

AR

STUARTSTUART

HIG

HW

AY

HIG

HW

AY

CYCLOPS PROSPECT

Lake Phillipson

Dog Fence

"Ingomar"

COOBER PEDYCOOBER PEDY

"Mabel Creek"

"Mount Clarence"

"Commonwealth Hill"

350000

350000

400000

400000

450000

450000

500000

500000

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550000

6700000 6700000

6750000 6750000

6800000 6800000

6850000 6850000

Drawn: RRM

Checked: C. Doornbos

Date: 09.10.2014 Revision:

Drawing No.: FL-001.mxdFigure 3

CYCLOPS PROSPECT - COOBER PEDY PROJECTLOCATION MAP

CyclopsProspect

SOUTHAUSTRALIA

Ceduna

ADELAIDE

Oodnadatta

Coober Pedy

Port Lincoln

Port Augusta

130°E 140°E

30°S

500 km

LOCALITY MAP

Exploration Licence (Teck Australia)IOCG depositTown

Homestead

RailwayHighwaySecondary road

Minor roadTrack

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