ARIKA RESOURCES LIMITED — Capital/Financing Update 2017

Oct 29, 2017

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ASX RELEASE 30 October 2017

Tawana increases Cowan Lithium Project area

ASX:TAW

CORPORATE DIRECTORY

Non-Executive Chairman Robert Benussi

Managing Director Mark Calderwood

Executive Director, CFO & Co. Sec. Michael Naylor

Non-Executive Director Bob Vassie

Non-Executive Director Mark Turner

Joint Company Secretary Craig Hasson

Tawana Resources NL (ASX: TAW) ( Tawana ) is pleased to announce that Mt Belches Pty Ltd, a 100% owned subsidiary of Tawana, has entered into a binding agreement with Metalicity Energy Pty Ltd ( Metalicity ), a 100% subsidiary of Metalicity Limited (ASX: MCT) to acquire its Lake Cowan Project bordering to the south of Tawana’s 100% owned Cowan Lithium Project and 50% owned Bald Hill Lithium & Tantalum Project in the Eastern Goldfields, Western Australia.

The Lake Cowan Project comprises two approved Exploration Licences (ELs) totalling 410km[2 ] and one application comprising 152km[2.]

Tawana considers the acquisition to be highly strategic as the Mt BelchesBald Hill pegmatite belt may extend into the tenements.

Purchase consideration for the tenements will be the issue of $50,000 and 769,230 Tawana shares to shareholders of Metalicity, none of whom are related parties of the Company. The shares will be issued upon the transfer of each tenement.

The addition of the three tenements to Tawana’s Cowan Lithium Project will increase the total area from 159km[2] to 721km[2] while the adjoining Bald Hill Project totals 774km[2] . Together, the Bald Hill and Cowan projects represent 1,495km[2] .

Managing Director Mark Calderwood said: “Whilst we are currently focussed on commencing production at the Bald Hill Mine in early 2018, the enlarged Cowan Lithium Project, which includes a significant portion of the same rare metal pegmatite belt, offers exciting targets for future exploration drilling.

Exploration to the north of these newly acquired tenements continues to expand the known limits of rare metal pegmatites southwards.

Over time, I expect the pegmatite belt to prove one of the most important producers of lithium and tantalum in Western Australia.”

CONTACT DETAILS

Level 3 20 Parkland Rd Osborne Park WA 6017 Email | admin@tawana.com.au Website | www.tawana.com.au Phone | +61 8 9489 2600

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Figure 1. Cowan and Bald Hill Projects

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Level 3, 20 Parkland Rd, Osborne Park, WA 6009 www.tawana.com.au