Vector Resources : Diamond Drilling Tender Process Underway

ASX ANNOUNCEMENT

9 March 2017

ASX Market Announcements ASX Limited

20 Bridge Street

Sydney NSW 2000

DIAMOND DRILLING TENDER PROCESS UNDERWAY

• 4,000m diamond drilling program tender underway for Maniema Gold Project
• Several pre-qualified drilling contractors with established in-country experience tendering for the planned upcoming diamond drilling program
• Program focused primarily on the advanced Kabotshome Gold Prospect and to both test and confirm previous high grade intercepts
• In-fill and extensional drilling to also be completed at the Kabotshome Gold Prospect which remains open along strike and at depth
• Option to extend drilling program to the Mbutu and Mitunda Gold Prospects and Namoya West where reconnaissance work completed in February 2017 identified visible gold and where further geochemical sampling work is also planned
• Drill contract to be awarded later this month following tender evaluation
• Diamond drilling program to commence in April 2017 following contractors mobilisation to site and to be completed over a 3 month period

Vector Resources Limited ("Vector" or the "Company") is pleased to announce that the tender process for the proposed 4,000m diamond drilling program is underway at its Maniema Gold Project ("Project") located in the Maniema Province, in the Democratic Republic of Congo ("DRC").

In January and February 2017, the Company completed meetings with several drilling contractors with an established presence and with proven capabilities in conducting drilling programs on gold projects in the DRC. Following these meetings, the Company's technical management pre-qualified a number of these drilling contractors to submit tender proposals for the upcoming 4,000m diamond drilling program that is proposed to be completed at the Maniema Gold Project in the first half of 2017.

The 4,000m diamond drilling program will primarily be focused on the Company' advanced Kabotshome Gold Project, which has a JORC Inferred Resource of 6.97Mt at 1.9g/t Au for 421,000oz with a 20g/t Au top- cut (refer ASX Announcement dated 17 January 2017).

The Kabotshome Gold Project has been drilled previously, with a total of 17 diamond holes drilled, all of which intersected gold mineralisation along the Kabotshome structure, which extended for over 800m strike length of gold mineralisation and which remains open in all directions.

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Simplified geological map showing historic drill hole and trench localities at the Kabotshome Gold Prospect

Previous diamond drilling at the Kabotshome Gold Prospect identified mineralisation that was generally 15m to 25m wide with a grade range of 1.5 to 2.5g/t Au. Best grades were reported where the main shear zone identified at surface intersects the sediments as shown in KBD07 which reported 20.25m at 2.5g/t gold (from 319m) including 8m at 4.03g/t gold and 21.7m at 3.58g/t gold (from 354m) including 5.7m at 8.74g/t gold (refer ASX:ERN Announcement 18 March 2013).

Of the proposed 4,000m of diamond drilling approx. 2,750m is planned to be completed at the Kabotshome Gold Prospect. 12 holes are proposed to be completed with the deepest hole to be drilled to an approx. depth of 330m. The drilling at the Kabotshome Gold Prospect is expected to be completed over a period of approx. 2 months.

The key aims of the diamond drilling program at the Kabotshome Gold Prospect is to complete in-fill drilling towards the southern end of the existing resource and to complete extensional drilling to the north where the mineralisation remains open along strike. In addition, the drilling program has also been designed to test and confirm the previous high grade intercepts at depth. This follows the review and audit of the diamond drill core and assay results that was completed by the Company's geological team in February that identified the increased grades at depth as suggested by the assay results from diamond hole KBD07. Hole KBD07 finished in mineralisation with the last drill metre (from 375m) returning an assay of 20.3g/t. The audit and review of the KBD07 core also observed visible gold in the last drill metre.

Gold exploration licenses and main gold prospects at the Maniema Gold Project

In addition to the proposed 2,750m of diamond drilling at the Kabotshome Gold Prospect, the planned drilling program will potentially also include drilling at the Mbutu and Mitunda Gold Prospects and at Namoya West where reconnaissance work completed in February 2017 identified visible gold and where further geochemical sampling work is also planned to now be implemented.

The extent of the diamond drilling at these prospects and the priority of drilling at each prospect, will be determined based on the results of the additional work geological planned. Drilling at these prospects will extend the drilling program by a further month, with up to a further 8 holes drilled.

The Company anticipates that the diamond drilling contract will be awarded later this month following tender evaluation by the Company's technical and geological team

The diamond drilling program is scheduled to commence in April 2017 following the contractors'

mobilisation to site.

The Company will confirm the appointment of the drilling contractors and provide shareholders with regular updates on the mobilisation to site of the drilling contractor and drilling progress at the Kabotshome Gold Prospect and its other gold prospects within the Maniema Gold Project.

ENDS

Simon Youds

Chief Executive Officer

For further information:

Phone: [phone] E-mail: [e-mail]

Web: www.vectorresources.com.au Twitter: @VECResources Facebook: @VECResources

About Vector Resources Limited

Vector Resources Limited (ASX:VEC) is an Australian Securities Exchange listed gold exploration and development company focused on the Maniema Gold Project in the Democratic Republic of Congo.

The Maniema Gold Project was acquired by the Company in December 2016. The Project is located in the world renowned and under explored Twangiza-Namoya Gold corridor. The Project comprises seven granted exploitation licences: PR4792, PR4801, PR4803, PR4804, PR4805, PR4806 and PR4812 and which cover an area of over 500km2 and include five main prospects; Kabotshome, Mbutu, Mitunda, Mbala and Tubambo that have been defined within the project area from previous exploration. The Kabotshome Gold Prospect is the most advanced and where the Company announced a maiden Inferred Mineral Resource (JORC 2012) estimate of 7.0 million tonnes at 1.88g/t gold for 421,000 ounces of gold.

Competent Person Statement

The information in this release that relates to sampling techniques and data, exploration results, geological interpretation and Exploration Targets, Mineral Resources or Ore Reserves has been compiled by Mr Peter Stockman who is a full time employee of Stockman Geological Solutions Pty Ltd. Mr Stockman is a member of the Australasian Institute of Mining and Metallurgy. Stockman Geological Solutions is engaged by Vector Resources Ltd as a consultant geologist.

Mr Stockman has sufficient experience of relevance to the styles of mineralisation and the types of deposits under consideration, and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Stockman consents to the inclusion in this report of the matters based on information in the form and context in which it appears.

Forward looking statements

Information included in this release constitutes forward-looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as "may", "will", "expect", "intend", "plan", "estimate", "anticipate", "continue", and "guidance", or other similar words and may include, without limitation, statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs.

Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance and achievements to differ materially from any future results, performance or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licences and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which the company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation.

Forward looking statements are based on the Company and its management's good faith assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the Company's business and operations in the future. The Company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the Company's business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the Company or management or beyond the Company's control.

Although the Company attempts and has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in forward looking statements, there may be other factors that could cause actual results, performance, achievements or events not to be as anticipated, estimated or intended, and many events are beyond the reasonable control of the Company. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, in providing this information the company does not undertake any obligation to publicly update or revise any of the forward looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based.