ADX ENERGY LTD — Capital/Financing Update 2021

May 27, 2021

Proposed issue of securities

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Announcement Summary

Entity name

ADX ENERGY LTD

Announcement Type

New announcement

Date of this announcement

Friday May 28, 2021

The Proposed issue is:

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A placement or other type of issue

Total number of +securities proposed to be issued for a placement or other type of issue

Maximum Number of ASX +security code +Security description +securities to be issued ADX ORDINARY FULLY PAID 11,800,000

Proposed +issue date

Friday December 31, 2021

Refer to next page for full details of the announcement

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Part 1 - Entity and announcement details

1.1 Name of +Entity

ADX ENERGY LTD

We (the entity named above) give ASX the following information about a proposed issue of +securities and, if ASX agrees to +quote any of the +securities (including any rights) on a +deferred settlement basis, we agree to the matters set out in Appendix 3B of the ASX Listing Rules.

1.2 Registered Number Type

ABN

Registration Number

50009058646

1.3 ASX issuer code

ADX

1.4 The announcement is

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New announcement

1.5 Date of this announcement

Friday May 28, 2021

1.6 The Proposed issue is:

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A placement or other type of issue

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Part 7 - Details of proposed placement or other issue

Part 7A - Conditions

7A.1 - Are any of the following approvals required for the placement or other type of issue? +Security holder approval Court approval Lodgement of court order with +ASIC ACCC approval FIRB approval Another approval/condition external to the entity Yes

7A.1a Conditions

Approval/Condition	Date for determination	Is the date estimated or	** Approval
+Security holder approval	Friday May 28, 2021	actual?	received/condition met?
		Actual	Yes

Comments

Shareholder approval for up to 11,800,000 shares to be issued to directors within three years based on a cash reduction of remuneration.

Part 7B - Issue details

Is the proposed security a 'New class' (+securities in a class that is not yet quoted or recorded by ASX) or an 'Existing class' (additional securities in a class that is already quoted or recorded by ASX)? Existing class

Will the proposed issue of this +security include an offer of attaching +securities? No

Details of +securities proposed to be issued

ASX +security code and description

ADX : ORDINARY FULLY PAID

Number of +securities proposed to be issued

11,800,000

Offer price details

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Are the +securities proposed to be issued being issued for a cash consideration? No

Please describe the consideration being provided for the +securities

The maximum number of shares has been determined based on the directors' cash reduction of remuneration from 1 January 2021 to 31 December 2021, and also includes shares in lieu of consulting fees for Director, Edouard Etienvre, for the year ended 31 December 2020. Assumes a share price of $0.01.

Please provide an estimate of the AUD equivalent of the consideration being provided for the +securities 118,000.000000

Will these +securities rank equally in all respects from their issue date with the existing issued +securities in that class? Yes

Part 7C - Timetable

7C.1 Proposed +issue date

Friday December 31, 2021

Part 7D - Listing Rule requirements

7D.1 Has the entity obtained, or is it obtaining, +security holder approval for the entire issue under listing rule 7.1? Yes

7D.1a Date of meeting or proposed meeting to approve the issue under listing rule 7.1

Friday May 28, 2021

7D.2 Is a party referred to in listing rule 10.11 participating in the proposed issue? Yes

7D.3 Will any of the +securities to be issued be +restricted securities for the purposes of the listing rules? No

7D.4 Will any of the +securities to be issued be subject to +voluntary escrow? No

Part 7E - Fees and expenses

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7E.1 Will there be a lead manager or broker to the proposed issue? No 7E.2 Is the proposed issue to be underwritten? No

7E.4 Details of any other material fees or costs to be incurred by the entity in connection with the proposed issue

Part 7F - Further Information

7F.01 The purpose(s) for which the entity is issuing the securities

The maximum number of shares has been determined based on the directors' cash reduction of remuneration from 1 January 2021 to 31 December 2021, and also includes shares in lieu of consulting fees for Edouard Etienvre for the year ended 31 December 2020. 7F.1 Will the entity be changing its dividend/distribution policy if the proposed issue proceeds? No

7F.2 Any other information the entity wishes to provide about the proposed issue

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