ASKARI METALS LIMITED — Capital/Financing Update 2024

Nov 19, 2024

ASX: AS2

HIGHLIGHTS

• Firm commitments of $1.377 million received from existing and new sophisticated investors including Directors and related party participation

• Askari seeking to raise a further $1.075 million through a combination of Placement and Entitlement Offer at an issue price of 1.6 cents per share with a 1-for-1 free attaching option

• Entitlement Offer to be undertaken to provide existing shareholders the opportunity to participate on the same terms as the Placement

• GBA Capital and Peak Asset Management acted as Joint Lead Managers to the Placement with ongoing support from key broker BW Equities

• Funding will go towards continued exploration and development of the Uis Lithium Project in Namibia and the Company’s progressive expansion into in-demand uranium exploration in Tanzania

• Completion of the Placement will enable the Company to restore its balance sheet and provide sufficient working capital for ongoing operational activities

• Mr Gino D’Anna and Mr Robert Downey intend to subscribe for 100% of their entitlement issue respectively

Askari Metals Limited (ASX: AS2) (“ Askari ” or “ Company ”) is pleased to announce the Company has received firm commitments from new and existing sophisticated investors to raise $1.377 million (before costs) at an issue price of A$0.016 per share (“ Placement ”).

Participants in the Placement will receive a 1-for-1 free attaching option exercisable at 2.2 cents expiring on 31 December 2028 (“ Placement Options ”). The issue of the Placement Options will be subject to shareholder approval.

Upon completion of the Placement, the Company will conduct a 1 for 3 Entitlement Offer on the same terms as the Placement Offer to raise up to $1.075 million (“ Entitlement Offer ”). Mr Gino D’Anna and Mr Robert Downey intend to subscribe for 100% of their rights in the Entitlement Offer.

ACN 646 034 460 I askarimetals.com

ASX: AS2

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The funds raised from the Placement and the Entitlement Offer will be allocated towards the repayment of outstanding debts, continued exploration and development of the Uis Lithium Project in Namibia as well as the Company’s progressive expansion into in-demand uranium in Tanzania. Completion of the Placement will enable the Company to restore its balance sheet and provide sufficient working capital for ongoing operational activities.

Askari is actively exploring and developing its Uis Lithium Project in Namibia located along the CapeCross – Uis Pegmatite Belt of Central Western Namibia. The Uis project is located within 2.5 km from the operating Uis Tin-Tantalum-Lithium Mine (Andrada Mining Ltd) and is favourably located with the deep water port of Walvis Bay being less than 230 km away from the Uis project, serviced by all-weather sealed roads. In March 2023, the Company welcomed Lithium industry giant Huayou Cobalt onto the register who remains supportive of the Company’s ongoing exploration initiatives.

The Company has also recently acquired the Matemanga Uranium Project in Southern Tanzania and the Eyasi Uranium Project in Northern Tanzania, through direct application. The Matemanga project is strategically located less than 70km south of the world-class Nyota Uranium Mine. The Matemanga project exhibits a significant radiometric anomaly spanning 10km x 6km, initially identified in a 2006 survey conducted by Uranex. While this survey underscored substantial potential for uranium mineralisation, limited ground-based exploration was undertaken at the time, as Uranex prioritised other areas. Re-processing of airborne geophysical data at the Eyasi project has revealed two discrete, linear radiometric anomalies approximately 1km in width and totalling 30km of strike. Radiometric anomalies are interpreted to be defining fluvial channel systems which are draining from primary basement granites.

Askari Metals is actively engaged in due diligence to acquire further uranium projects in this emerging tier-1 uranium province and is building a district scale uranium portfolio in southern Tanzania.

The Company is also working to develop an appropriate divestment strategy for its Australian exploration portfolio, which contains prospective gold, copper, REE and lithium projects.

Commenting on the Placement, Managing Director Mr Gino D’Anna stated:

“I thank our existing shareholders for their ongoing support for Askari’s vision for exploration in Africa, and welcome new investors to our register.

“Funds raised from this Placement will allow the Company to continue exploring the prospective Uis Lithium Project in Namibia as well as expand our footprint for in-demand uranium in Southern Tanzania. The Company will also be able to re-build its balance sheet moving into the future with greater certainty and a stronger financial position.

“The next few months will be a busy period for Askari and this funding will allow the Company to continue its strong momentum and further the advancement of our exploration and acquisition strategy.

“Accelerating exploration efforts at Uis supports our goal to deliver a maiden resource during 2025 whilst also conducting low-cost and high-impact exploration campaigns at our Matemanga and Eyasi Uranium Projects.

“I look forward to keeping our loyal shareholders updated as we enter an exciting time of growth for Askari.”

ASX: AS2

ACN 646 034 460 I askarimetals.com

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Placement Details

The Placement will be issued in a single tranche through the issue of 81,300,000 Shares pursuant to the pre-approval received from shareholders at the General Meeting held on 25 October 2024. The Placement is expected to be settled on or about 28 November 2024 and will rank equally with existing fully paid ordinary shares.

The issue of 81,300,000 free attaching Placement Options will be subject to shareholder approval. Subject to meeting ASX Listing Rule requirements, the Company intends to list the Placement Options and Advisor Options.

Directors and a related party will be participating in the Placement for a total of $76,000 and will be subject to shareholder approval. This will result in the issue of 4,750,000 Shares and 4,750,000 free attaching Placement Options, subject to shareholder approval.

GBA Capital and Peak Asset Management acted as Joint Lead Managers with BW Equities facilitating ongoing investment and support from existing shareholders.

The Joint Lead Managers will receive up to 60,000,000 options on the same terms and conditions as the Placement Options (“ Advisor Options ”). The issue of the Advisor Options will be subject to shareholder approval.

Non-Renounceable Entitlement Offer

The Non-Renounceable Entitlement Offer will be offered to existing shareholders and Placement participants on a pro-rata basis of one (1) new share for every three (3) ordinary fully paid shares held in the Company on 3 December 2024 (“ Record Date ”) at an issue price of 1.6 cents per share to raise up to approximately $1.075 million (before costs) (“ Rights Issue ”).

For every new share subscribed, eligible shareholders will receive one free attaching new option exercisable at 2.2 cents expiring on 31 December 2028. The Company will apply for quotation of the new options, subject to satisfying the ASX Listing Rule requirements.

Entitlements may only be exercised by eligible shareholders being persons with a registered address on the Company’s Share Register in Australia or New Zealand. The Rights Issue shares will be issued pursuant to a disclosure document issued under section 713 of the Corporations Act to be lodged with the ASIC on 29 November 2024.

Eligible shareholders will be given the opportunity to apply for additional securities in excess of their entitlement, via a shortfall facility which shall be allocated at the absolute discretion of the Askari Board.

Mr Gino D’Anna and Mr Robert Downey intend to subscribe for 100% of their rights in the Entitlement Offer.

ASX: AS2

ACN 646 034 460 I askarimetals.com

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Indicative Placement & Rights Issue Timetable

The indicative timetable below remains subject to change at the Company’s discretion, subject to compliance with applicable laws and the ASX Listing Rules.

Event	Date
Announcement of the Placement and Rights Issue, and lodgement ofAppendix 3B with ASX	20 November 2024
Settlement of new shares issued under the Placement	28 November 2024
Lodgement of Prospectus with ASIC and ASX	29 November 2024
Ex entitlement date	2 December 2024
Record Date for determining entitlements	3 December 2024
Prospectus and personalised Entitlement and Acceptance Forms sent outto Eligible Shareholders	6 December 2024
Rights Issue Offer Opens	6 December 2024
Closing Date of Entitlement Issue (5:00pm WST)*	24 December 2024
Securities quoted on a deferred settlement basis from market open	27 December 2024
Announcement of results of the Rights Issue	30 December 2024
Quotation of Securities under the Rights Issue*	3 January 2025
General Meeting to approve Placement Options, Advisor Options andDirector participation	On or around end of January2025

*The Directors may extend the Closing Date by giving at least 3 Business Days’ notice to ASX prior to the Closing Date. As such the date the Securities are expected to commence trading on ASX may vary.

This announcement is authorised for release by the Board of Askari Metals Limited.

- ENDS –

ASX: AS2

ACN 646 034 460 I askarimetals.com

FOR FURTHER INFORMATION PLEASE CONTACT

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INVESTORS

Gino D’Anna

MANAGING DIRECTOR

M. +61 400 408 878

• E. gino@askarimetals.com

MEDIA

Nathan Ryan

NWR COMMUNICATIONS

M. +61 420 582 887

• E. nathan.ryan@nwrcommunications.com.au

ABOUT ASKARI METALS

Askari Metals is a focused Southern African exploration company. The Company is actively exploring and developing its Uis Lithium Project in Namibia located along the Cape-Cross – Uis Pegmatite Belt of Central Western Namibia. The Uis project is located within 2.5 km from the operating Uis Tin-TantalumLithium Mine which is currently operated by Andrada Mining Ltd and is favourably located with the deep water port of Walvis Bay being less than 230 km away from the Uis project, serviced by all-weather sealed roads. In March 2023, the Company welcomed Lithium industry giant Huayou Cobalt onto the register who remains supportive of the Company’s ongoing exploration initiatives.

The Company has also recently acquired the Matemanga Uranium Project in Southern Tanzania which is strategically located less than 70km south of the world-class Nyota Uranium Mine. Askari Metals is actively engaged in due diligence to acquire further uranium projects in this emerging tier-1 uranium province.

The Company is currently assessing its options for a divestment strategy of the Australian projects which includes highly prospective gold, copper, lithium and REE projects.

For more information please visit: www.askarimetals.com

CAUTION REGARDING FORWARD-LOOKING INFORMATION

This document contains forward-looking statements concerning Askari Metals Limited. Forward-looking statements are not statements of historical fact and actual events and results may differ materially from those described in the forward-looking statements as a result of a variety of risks, uncertainties and other factors. Forward-looking statements are inherently subject to business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company’s actual results to differ materially from those expressed or implied in any forward-looking information provided by the Company, or on behalf of, the Company. Such factors include, among other things, risks relating to additional funding requirements, metal prices, exploration, development and operating risks, competition, production risks, regulatory restrictions, including environmental regulation and liability and potential title disputes.

Forward looking statements in this document are based on the Company’s beliefs, opinions and estimates of Askari Metals Limited as of the dates the forward-looking statements are made, and no obligation is assumed to update forward looking statements if these beliefs, opinions and estimates should change or to reflect other future developments.

ASX: AS2

ACN 646 034 460 I askarimetals.com