Brockman Mining Limited — Capital/Financing Update 2017

Dec 7, 2017

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

BROCKMAN MINING LIMITED

布萊克萬礦業有限公司 *

(incorporated in Bermuda with limited liability)

(SEHK Stock Code: 159)

(ASX Stock Code: BCK)

PROPOSED GRANT OF SHARE OPTIONS

This announcement is made pursuant to Rule 17.06A of the Rules Governing the Listing of Securities on the Stock Exchange of Hong Kong Limited.

The board of Directors (the “Board”) of Brockman Mining Limited (the “Company”) has today proposed to grant a total of 210,500,000 share options to eligible persons including its Directors and employees of the Company and its subsidiaries, to subscribe for a total of 210,500,000 ordinary shares (the “Shares”) of HK$0.10 each of the Company (the “Share Options”). The options to the eligible persons other than Directors of the Company are granted immediately. As a requirement of the listing rules in the Australian Securities Exchange, any grant of share options to the Directors of the Company shall be subject to the approval of the shareholders of the Company. The Company will issue a circular containing the details of options to be granted to the Directors and convene a special general meeting as soon as practicable. All options are to be granted pursuant to the Share Option Schemes (inclusive of both the Hong Kong Scheme and the Australian Scheme) adopted by the Company on 13 November 2012.

Among the 210,500,000 Share Options to be granted, 16,500,000 options will be granted to Australian Directors and employees according to the Australian Scheme, with an exercise price of HK$0.162. The rest of the 194,000,000 options will be granted to Hong Kong Directors and employees according to the Hong Kong Scheme, with an exercise price of HK$0.124. Other than such, same vesting conditions and terms shall apply to all options, whereas options to be granted to Directors are subject to shareholders’ approval.

— 1 —

A summary of the terms of the proposed options is set out below:

Exercise price:

HK$0.124 for Hong Kong Scheme Options HK$0.162 for Australian Scheme Options

The exercise price is determined with reference to the highest of (i) the closing price of HK$0.124 per share as quoted in the Stock Exchanges daily quotation sheet on the date of grant; (ii) the average closing price of approximately HK$0.119 per share as quoted in the Stock Exchanges’ daily quotation sheets for the five business days immediately preceding the date of grant; and (iii) the nominal value of HK$0.10 per Share.

Closing price of the Shares on 7 December 2017:

HK$0.124

Expiry date of the Share Options:

31 December 2020

Exercise period:

Between 1 January 2019, to 3 years after the date of grant, subject to the vesting condition

Vesting Condition:

50% from 1 January 2019; 100% from 1 January 2020;

The options will be immediately vest and exercisable in full when there is any party (with its concert parties) acquires 30% or more of the then outstanding issued share capital of the Company

Among the 210,500,000 Share Options, a total of 145,500,000 options are proposed to be granted to the following Directors of the Company.

Name of Director	Number of Options	Exercise Price
Kwai Sze Hoi	80,000,000	HK$0.124
Liu Zhengui	2,500,000	HK$0.124
Ross Stewart Norgard	1,500,000	HK$0.162
Kwai Kwun Lawrence	35,000,000	HK$0.124
Chan Kam Kwan Jason	10,000,000	HK$0.124
Colin Paterson	12,000,000	HK$0.162
Uwe Henke Von Parpart	1,500,000	HK$0.124
Yap Fat Suan Henry	1,500,000	HK$0.124
Choi Yue Chun Eugene	1,500,000	HK$0.124
Other Employees
Hong Kong employees	62,000,000	HK$0.124
Australian employees	3,000,000	HK$0.162

210,500,000

Total

— 2 —

The Company will issue a circular as soon as practicable setting out details of the proposed grant of options to Directors of the Company.

By order of the board of Directors of Brockman Mining Limited Chan Kam Kwan, Jason Company Secretary

Hong Kong, 7 December 2017

As at the date of this announcement, the board of Directors of the Company comprises Mr. Kwai Sze Hoi (Chairman), Mr. Liu Zhengui (Vice Chairman) and Mr. Ross Stewart Norgard as non-executive Directors; Mr. Chan Kam Kwan, Jason (Company Secretary), Mr. Kwai Kwun Lawrence and Mr. Colin Paterson as executive Directors; Mr. Yap Fat Suan, Henry, Mr. Uwe Henke Von Parpart, and Mr. Choi Yu Chun, Eugene as independent non-executive Directors.

• For identification purpose only

— 3 —