CANNINDAH RESOURCES LIMITED — Capital/Financing Update 2018

Jun 18, 2018

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ASX RELEASE 19 June 2018 ASX Code: CAE

Section 708A Cleansing Statement

Cannindah Resources Limited ( Company ) hereby provides notice to the ASX for the purposes of section 708A(5)(e) of the Corporations Act that it has issued 1,500,000 fully paid ordinary shares for a total consideration of $43,500. The issue was made without disclosure to investors under Part 6D.2 of the Corporations Act.

The Company also states, that as at the date of this notice:

• it has complied with the relevant provisions of Chapter 2M of the Corporations Act as they apply to the Company and Section 674 of the Corporations Act ; and

• it is not aware of any excluded information within the meaning of Sections 708A(7) and 708A(8) of the Corporations Act, other than as set out below:

Cannindah Resources Limited’s financial statements for the half year ended 31 December 2017, noted that the Company was continuing to hold discussions with interested parties from both domestic and international entities regarding the Mt Borium Project and the Mt Cannindah Project. At the date of this notice no agreements have been signed in regard to either of these matters.

The financial statements also noted that the Company is in constant communications with the Lender. The parties continue to investigate a number of options with respect to the repayment of its loan facility including potential asset sales, capital raisings and further loan extensions. At the date of this notice these discussions are on-going.

In its announcements to the ASX of 1 June and 11 June 2018, the Company noted in relation to its financial position: “The Company has been able to raise capital in the past as required to support its activities and in this regard the Board is continuing discussions with sophisticated and professional investors. In addition, the Company also has the ability to raise additional funds to meet its needs through a variety of means including rights issues and asset sales.” At the date of this notice, other than the share issues referred to above, no formal agreements to raise further capital have been finalised.

In the ordinary course of its business, the Company is continuing exploration activity at its Piccadilly Project. At the date of this notice, the Company is awaiting the results of assays of samples sent for testing.

For further information, please contact:

Tom Pickett Executive Chairman Ph: +61 7 3357 3988