Bougainville Copper Limited Opposed Strongly BY Landowners at Warden’S Hearing Announcement to the Toronto Stock Exchange and Australian Stock Exchange

NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR

DISSEMINATION IN THE UNITED STATES

BOUGAINVILLE COPPER LIMITED OPPOSED STRONGLY BY LANDOWNERS AT

WARDEN’S HEARING

ANNOUNCEMENT TO THE TORONTO STOCK EXCHANGE

AND AUSTRALIAN STOCK EXCHANGE

12 DECEMBER 2017

Update on Warden’s Hearing

The Board of RTG Mining Inc. (“RTG”, “the Company”) (TSX Code: RTG, ASX Code:

RTG) is pleased to p rovide an update on the Warden’s Hearing for Bougainville

Copper Limited (“BCL”) held in Panguna yesterday. Despite BCL not having been to

Panguna in over 28 years (given landowners had refused to even allow them access),

to ensure a full and fair hearing amongst the Special Mining Lease Osikaiyang

Landowners Association members, Autonomous Bougainville Government (“ABG”)

representatives, including the Warden and BCL, the landowners in a show of good

faith allowed BCL acce ss on this special occasion (despite BCL not having fol lowed

custom).

At the outset, it is important to acknowledge the Autonomous Bougainville

Government (“ABG”) representatives on the day being the Warden and Mining

Registrar conducted an orderly forum, ensuring both the opposition to BCL and its

supporters were given an opportunity to express their views.

BCL has stated it l odged a compliant extension application for Exploration Licence

(“EL”) 1 in July 2016, which legal advice to the SMLOLA states was not validly

lodged. Based on this legal advice, the SMLOLA filed an objection to the extension

application with the Warden stating it is invalid because it was submitted out of time

and was incomplete which means that the EL expired 15 months ago. This w as also

consistent with statements to the SMLOLA members on several occasions by the

ABG confirming they had not received an extens ion application from BCL, as early as

8 September 2016 . Interestingly BCL’s position only yesterday changed, within just

four days, suggesting now that it was not processed on time, blaming the ABG.

Despite the right to do so, the SM LOLA chose not to stop the Warden’s Hearing

yesterday as it was keen to give its members the opportunity to speak their mind,

given the depth of emotion behind their views. The purpose of the Warden’ s Hearing

was to determine whether the purported extension a pplication by BCL has the

necessary support of the SMLOLA members, being the owne rs of the minerals and

customary land within the EL boundary.

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SMLOLA’s objection is only one of in excess of 100 formal written substantive

objections lodged in respect of the Extension Application. Other objections call on the

ABG to cancel BCL’s EL pursuant to the ABG's own Notice to Show Cause dated 21

July 2016, based on a blatant breach (admitted by BCL) of section 112(1) of the

Mining Act because RioTinto transferred more than the statutory maximum 25%

shareholding without seeking the ABG’s approval. Another objector lodged a Petition

with 2,000 supporters expre ssing opposition to BCL. Another objector points out that

BCL’s EL was granted without consent or compensation to the customary landowners

and therefore constitutes the unfair (and unconstitutional) deprivation of their lawful

property. Other objections ma ke the point that BCL was granted a 2 year EL, but was

unable to gain landowner consent and access before its expiry on 7 September 2016,

having made no progress on the redevelopment during the full 2 year term.

The Warden’s Hearing was held yesterday, with a strong majority held message from

the SMLOLA members, they will never grant BCL access to their la nds and do not

support an extension of BCL’s previous EL1 or the grant of a new EL to them.

This position was also supported by a Petition, signed and supported by around 2,000

members of the SMLOLA stating “No to BCL Forever” which demonstrates the

position of many of the landowners.

All those who supported BCL, for the most part, were calling on BCL to compensate

them for the past atrocities which th ey hold BCL accountable for, which to date BCL

have neither accepted nor compensated them.

Update on Recent Media Comments

Following on from the announcement on 5 December 2017 confirming the resolution

of the Leadership dispute over the SMLOLA in favour of Mr Philip Miriori, we can now

advise that the discontinuance papers have also been lodged with the Court, bringing

the dispute to a formal end.

Since that announcement, media publicity has demonstrated a lack of understanding

of the new Bougainv ille Mining Act (“Mining Act”) introduced in 2015, which is

understandable given this is the first time many of the provisions are being applied and

considered.

RTG has taken extensive legal advice and wishes to provide its understanding of how

the Mining Act applies to the Panguna Mine area and to provide an update on matters

related to the previous BCL exploration licence (BCL’s EL) over that area and the

application for an exploration licence by the joint venture company with the SMLOLA

(“SMLOLA’s ELA”) over the same area.

The Mining Act is both new and unique, with significant changes from the PNG Mining

Act (which formerly applied to mining on Bougainville). Understandably, all

stakeholders, including both the landowners and the ABG are still in t he process of

working through the implications of the key changes. As a result, it is therefore

understandable in this learning process that there may be different interpretations and

views expressed prior to determining what is allowed for under the new Mining Act.

What is absolutely clear however is that the Mining Act has expunged the State

ownership of mineral rights in Bougainville (which applied under the PNG Mining Act)

and conferred ownership of them, not on the ABG but on customary landowners. All

minerals are owned by the customary landowners whose land contains the minerals.

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In the case of the old 1.5bt 1 Copper-Gold Panguna Mine, the SMLOLA members are

the customary landowners.

However, the role of the ABG is also important. It is the administr ator of the Mining

Act and the regulator - an independent umpire that is responsible for issuing mineral

exploration licenses and mining leases, in accordance with that Act, in a manner which

is both fair and impartial, to assist the landowners to ensure b oth their interests, and

the interests of all Bougainvilleans, are properly protected in the process.

SMLOLA’s ELA embodies the very rights conferred on the customary landowners

under the new Mining Act, allowing them to take control of their property (being the

minerals at the old Panguna Mine) and their destiny (being the conditions on which

access is permitted to their land for exploration and mining).

SMLOLA and RTG respect the ABG's role as the independent regulator to fairly and

impartially gran t and administer exploration licenses. Contrary to recent false

allegations published in the media, t he SMLOLA plan for the Panguna Mine has been

developed over the last 5 years, in full consultation with the ABG. This included full

and comprehensive brief ings to President Momis (over 20 meetings) and the two

previous Mining Ministers of the ABG, to ensure the plan had the ABG's support.

Following a suggestion of the ABG, it also included flying a number of ABG Ministers

to the Masbate Mine in the Philippin es (being the last mine developed by the RTG

Management) in late January this year.

The ABG was fully supportive of the SMLOLA plan until a sudden change in March

this year, with the appointment of the new Mining Minister who then expressed support

for BCL, the previous operator of the Panguna Mine.

The consortium of the customary landowners was only established after 30 years of

inactivity at Panguna without resolution or compensation by BCL for any of the major

environmental and social damage and hum an misery resulting from it. SMLOLA’s

ELA is the only application that has the required support of the customary landowners.

SMLOLA has confirmed they remain committed to working co -operatively with the

ABG, fully respecting their role in the process, ens uring all Bougainvilleans and the

ABG also benefit from the redevelopment.

RTG accepts that, in representing the owners of the land and the minerals contained

within it, the SMLOLA executive are charged with the responsibility of seeking to

commercialise their mineral ownership interests in a manner that protects the

members, a role which RTG can see they take very seriously. This has been a full

time job for the executive, which has also required the employment of a team of

landowners to assist in negoti ations, awareness campaigns and protecting the

members’ rights. For this Central has ensured these persons have been fairly

compensated on arms’ length terms in an honest and transparent manner and at

normal commercial rates. The ABG were in fact advised of that plan long ago (before

the current Mining Minister’s appointment, which may explain the confusion) and

expressed no concerns.

1 Refer to BCL’s JORC 2012 Statement released to ASX on 7 Februa ry 2013, available at

http://www.asx.com.au/asxpdf/20130207/pdf/42cx2byq5n5lkg.pdf. This historical estimate only refers to Indicated

Resources. If the SMLOLA proposal is successful, a compliant NI 43 -101 report needs to be completed by RTG to

upgrade and/ or verify the historical estimate as a current Mineral Resource.

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We fully understand that this is the first time that many of these issues are being

considered by all stakeholders and t he Mining Minister is new to his appointment,

without perhaps having the benefit of knowing the many years of work that have been

done with former Mining Ministers. Accordingly, if we can help in any manner, we

confirm again we are more than willing to assist as required.

As set out in our earlier announcement, RTG’s board is pleased to see that the

leadership challenge by Mr Daveona, who was being supported by the ABG and BCL,

has now been resolved, with Mr Miriori being confirmed as the Chairman of the

SMLOLA. The SMLOLA leadership have confirmed they now look forward to working

with President Momis and the ABG, as promised, in a collegiate manner to resolve, in

the best interests of all Bougainvilleans, any differences of interpretation of the Mining

Act and its proper application.

ABOUT RTG MINING INC

RTG Mining Inc. is a mining and exploration company listed on the main board of the

Toronto Stock Exchange and Australian Securities Exchange Limited. RTG is focused

on a proposal with a landowner lead consortium to secure an exploration licence at the

high tonnage copper -gold Panguna Project in Bougainville PNG and the high grade

copper/gold/magnetite Mabilo Project in the Philippines, while also identifying major

new projects which will allow the Company to move quickly and safely to production.

RTG has an experienced management team which has to date developed seven

mines in five different countries, including being responsible for the development of the

Masbate Gold Mine in the Philippines through CG A Mining Limited, and has B2Gold

as one of its major shareholders in the Company. B2Gold is a member of both the

S&P/TSX Global Gold and Global Mining Indices.

ENQUIRIES

Australian Contact US Contact

President & CEO – Justine Magee Investor Relations – Jaime Wells

Tel: +61 8 6489 2900 +1 970 640 0611

Fax: +61 8 6489 2920

Email: [email protected] [email protected]

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CAUTIONARY NOTE STATEMENT

This announcement includes certain “forward -looking statements” within the meaning

of Canadian and applicable securities legislation. Statement regarding interpretation of

exploration results, plans for further exploration and accuracy of mineral resource and

mineral reserve estimates and related assumptions and inherent operating risks, are

forward-looking statements. Forward -looking statements involve various risks and

uncertainties and are based on certain factors and assumptions. There can be no

assurance that such statements will prove to be accurate, and actual results and future

events could differ materially from those anticipated in such statements. Important

factors that could cause actual results to differ materially from RTG’s ex pectations

include uncertainties related to fluctuations in gold and other commodity prices and

currency exchange rates; uncertainties relating to interpretation of drill results and the

geology, continuity and grade of mineral deposits; uncertainty of est imates of capital

and operating costs, recovery rates, production estimates and estimated economic

return; the need for cooperation of government agencies in the development of RTG’s

mineral projects; the need to obtain additional financing to develop RTG’ s mineral

projects; the possibility of delay in development programs or in construction projects

and uncertainty of meeting anticipated program milestones for RTG’s mineral projects

and other risks and uncertainties disclosed under the heading “Risk Factor s” in RTG’s

Annual Information Form for the year ended 31 December 2016 filed with the

Canadian securities regulatory authorities on the SEDAR website at sedar.com. The

forward‐looking statements made in this announcement relate only to events as of the

date on which the statements are made. RTG will not release publicly any revisions or

updates to these forward ‐looking statements to reflect events, circumstances or

unanticipated events occurring after the date of this announcement except as required

by law or by any appropriate regulatory authority.