TIDMAAU 
 
   17 May 2016 
 
   AIM: AAU 
 
   LITHIUM PROJECT TRANSACTION 
 
   Ariana Resources plc ("Ariana" or "the Company"), the exploration and 
development company, announces that Asgard Metals Pty. Ltd. ("Asgard"), 
its 86%-owned Australian subsidiary, has completed a joint agreement to 
vend a package of tenements in Western Australia and the Northern 
Territory to Kingston Resources Limited (ASX:KSN) ("Kingston") as part 
of a broader deal involving Slipstream Resources Group ("Slipstream"). 
This package of tenements contains potential for lithium-tantalum 
bearing pegmatitic mineralisation in four areas in Western Australia and 
the Northern Territory. 
 
   Highlights: 
 
 
   -- Asgard completes joint agreement with Slipstream to vend a total package 
      of twenty tenements across four areas within Western Australia and the 
      Northern Territory, to Kingston. 
 
 
   -- Aggregate consideration payable to Asgard for the deal involves a cash 
      payment of A$20,000 and 6,600,000 fully paid ordinary shares in Kingston. 
 
 
   -- Asgard will also benefit from up to 7,200,000 performance shares in 
      Kingston which will be issued on the achievement of certain project 
      milestones. 
 
 
   -- Kingston to complete a fundraising of up to A$6.85 million in two 
      tranches, with Bell Potter Securities Limited, to fund an aggressive 
      exploration programme on the tenements. 
 
 
   -- Completion of the transaction is subject to various conditions, including 
      due diligence, the acquisition of control of the twenty tenements, 
      Kingston shareholder approval for the transaction, regulatory approvals 
      capital raising. 
 
 
   Dr. Kerim Sener, Managing Director, commented: 
 
   "This is a very pleasing result for our technology-metals subsidiary 
which was able to act swiftly to secure the rights to some of the 
tenement applications that form part of this deal with Kingston.  We are 
again pleased to have been able to cooperate productively with 
Slipstream on this deal, and to have been able to apply again a 
successful formula to vend the complete licence package to Kingston.  We 
now look forward to seeing the formal completion of this deal and 
towards Kingston undertaking new exploration on this licence package." 
 
   Ariana's Strategy 
 
   Asgard has been pursuing a strategy of commodity diversification on 
behalf of Ariana, with a special focus on technology-commodities, 
particularly those that may be used in renewable energy applications. 
Commodities of particular interest to Asgard currently include lithium, 
antimony and silver, which are found in association with certain gold 
mineralisation systems in both Turkey and Western Australia, among other 
gold-provinces worldwide.  Asgard is also interested in the potential 
for lithium and antimony mineralisation in Turkey and has undertaken 
initial work to confirm this view.  Asgard has developed an exploration 
model specifically for lithium, which it is applying to other regions 
with the aim of identifying new exploration areas for future licence 
acquisition. 
 
   Summary of Agreement 
 
   Asgard and Slipstream have jointly vended their interests in twenty 
tenements in Western Australia and the Northern Territory to Kingston 
Resources Limited (ASX:KSN) via the sale of a jointly owned company, 
Slipstream WANT Pty. Ltd., of which Asgard owns 4%.  In consideration 
for this, Asgard will receive a payment of A$20,000.  Of this, A$8,000 
will be paid to Asgard within 5 business days of completion of the first 
tranche of the Kingston share placement and A$12,000 to be paid at 
completion.  Asgard will also be issued with 6,600,000 in fully-paid 
ordinary shares, half of which will be subject to a voluntary escrow 
period of 12 months.  Asgard will also benefit from the following 
performance share payments, as follows: 
 
 
   -- 3,600,000 shares in Kignston upon an Inferred Mineral Resource of 5 Mt at 
      no less than 1% Li2O being identified on any or all of the tenements and 
      announced to the ASX by Kingston in accordance with the requirements of 
      the JORC Code; and 
 
 
   -- 3,600,000 shares in Kingston upon an Inferred Mineral Resource of a 
      further 10 Mt at no less than 1% Li2O being identified on any or all of 
      the tenements and announced to the ASX by Kingston in accordance with the 
      requirements of the JORC Code. 
 
 
   Kingston will complete a placement of up to A$6.85 million in two 
tranches with Bell Potter Securities Limited acting as Lead Manager, to 
fund an aggressive exploration programme on the tenements.  Tranche 1 
for A$840,000 before expenses will be raised without the requirement for 
shareholder approval and will commence immediately.  Tranche 2 will 
require shareholder approval and the grant of two key tenements and will 
aim to raise A$6,010,000 before expenses.  The funds raised from this 
placement will be applied in part to fund the acquisition of the 
tenements and their exploration. 
 
   Contacts: 
 
 
 
 
Ariana Resources plc             Tel: +44 (0) 20 7407 3616 
Michael de Villiers, Chairman 
Kerim Sener, Managing Director 
 
Beaumont Cornish Limited         Tel: +44 (0) 20 7628 3396 
Roland Cornish / Felicity Geidt 
 
Beaufort Securities Limited      Tel: +44 (0) 20 7382 8300 
Jon Belliss 
 
Panmure Gordon (UK) Limited      Tel: +44 (0) 20 7886 2500 
Adam James / Tom Salvesen 
 
Loeb Aron & Company Ltd.         Tel: +44 (0) 20 7628 1128 
Anthony Kluk 
 
 
   Editors' note: 
 
   About Ariana Resources: 
 
   Ariana is an exploration and development company focused on epithermal 
gold-silver and porphyry copper-gold deposits in Turkey.  The Company is 
developing a portfolio of prospective licences selected on the basis of 
its in-house geological and remote-sensing database, on its own in 
western Turkey and in Joint Venture with Eldorado Gold Corporation in 
north-eastern Turkey.  Eldorado owns 51% of this joint venture and are 
fully funding all exploration work on the JV properties, while Ariana 
owns 49%.  The total resource inventory within this JV is 1.09 million 
ounces of gold. 
 
   The Company's flagship assets are its Kiziltepe and Tavsan gold projects 
which form the Red Rabbit Gold Project.  Both contain a series of 
prospects, within two prolific mineralised districts in the Western 
Anatolian Volcanic and Extensional (WAVE) Province in western Turkey. 
This Province hosts the largest operating gold mines in Turkey and 
remains highly prospective for new porphyry and epithermal deposits. 
These core projects, which are separated by a distance of 75km, are 
presently being assessed as to their economic merits and now form part 
of a Joint Venture with Proccea Construction Co.  The total resource 
inventory at the Red Rabbit Project stands at c. 525,000 ounces of gold 
equivalent. 
 
   Beaufort Securities Limited and Panmure Gordon (UK) Limited are joint 
brokers to the Company and Beaumont Cornish Limited is the Company's 
Nominated Adviser.  Loeb Aron & Company Ltd. will continue to act as a 
market advisor to the Company until June 2016. 
 
   For further information on Ariana you are invited to visit the Company's 
website at www.arianaresources.com. 
 
   About Slipstream: 
 
   The principals of Slipstream, Geoff Stewart and Dale Ferguson, have a 
successful track record of building businesses in the resources sector. 
Slipstream has a global network developed over more than 30 years, and 
is building a strong pipeline of exploration stage investment 
opportunities. 
 
   Slipstream provides wholesale investors with access to specially 
selected exploration stage resource assets.  The assets may be located 
anywhere in the world.  A core focus is on Australasia and other regions 
are considered provided Slipstream has strong local partners in such 
regions. 
 
   For further information on Slipstream you are invited to visit the 
company's website at www.slipstreamresources.com. 
 
   About Kingston: 
 
   Kingston Resources is currently an ASX listed mineral exploration 
company which aims to discover an economic copper deposit in Australia. 
However, this transaction will aid the transformation of the company 
into a strategic metals exploration company focused on discovering and 
developing high-grade lithium deposits in Australia. 
 
   For further information on Kingston you are invited to visit the 
company's website at www.kingstonresources.com.au. 
 
   Ends 
 
   This announcement is distributed by NASDAQ OMX Corporate Solutions on 
behalf of NASDAQ OMX Corporate Solutions clients. 
 
   The issuer of this announcement warrants that they are solely 
responsible for the content, accuracy and originality of the information 
contained therein. 
 
   Source: Ariana Resources plc via Globenewswire 
 
   HUG#2013151 
 
 
  http://www.arianaresources.com/s/Home.asp 
 

(END) Dow Jones Newswires

May 17, 2016 04:46 ET (08:46 GMT)

Copyright (c) 2016 Dow Jones & Company, Inc.
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