Further Re: Option Agreement on Suva Ruda

Further Re: Option Agreement on Suva Ruda

28th February 2017

Further Re: Option Agreement on Suva Ruda

Tethyan Resources PLC (“Tethyan” or the “Company”) (AIM:TETH) confirms that it has today made the first Milestone Payment of €100,000 to Deep Research d.o.o. in order to retain its option to purchase 100% of the Suva Ruda Project (the “Option”).

As announced on 27 September 2016, Tethyan holds the Option to acquire 100% of the Suva Ruda permit from local Serbian company Deep Research d.o.o. In order to retain the Option, the Company is required to make certain milestone payments, consisting of €100,000 payable on or before 1 March 2017, and thereafter further payments of €100,000 due on each anniversary of signing the Option Agreement until the third year, making a total of four payments (the ‘Milestone Payments’); the first of which the Company has made today.

Peter Mullens, CEO of Tethyan, commented: “we are very pleased with our initial results from the Suva Ruda Project. We have intersected consistent, good grade mineralisation over large intervals, including 567 meters at 0.28 % copper and 0.45 g/t gold in drill hole RDD-001. This, our first drill programme, highlights that the project has the potential to be a major copper-gold discovery. Currently Tethyan’s technical team is planning a significant field program for the 2017 season. This will include a 2,000 meter drill program commencing approximately the third week of April to follow-up on the results of the 2016 drilling, and a major deep penetrating IP geophysical program to explore for extensions to the known mineralisation and additional targets. Tethyan is currently in discussion with several drilling and geophysical contractors regarding our planned work program.

Following the initial 2,000 meter drill program and the IP geophysical program this spring, Tethyan is looking to complete a larger drill program in August to November of 2017. Depending upon funding and results this is expected to be a minimum of 5,000 meters of drilling that will test new targets generated within the overall alteration package, which extends for 1,500 meters in a north to south direction and over 500 meters in width.

In addition, work programmes are being planned for Tethyan’s Joint Venture Gokcanica Project area and a review of other exploration target projects within the Balkan region is being carried out. Tethyan plans to build a pipeline of projects for exploration and potential development.”

For further enquires please contact:

Tethyan Resources Plc

Peter Mullens, Chief Executive

+44 1534 881 885

Cairn Financial Advisers LLP

James Caithie

+44 (0)20 7213 0880

Sandy Jamieson