CAULDRON ENERGY LIMITED — Capital/Financing Update 2021

May 5, 2021

6 May 2021

ASX Announcement

Cauldron develops local relationship further via Plant Lease agreement with Kuuwa Rentals

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ABN

22 102 912 783

Address

Highlights

• Cauldron has executed a mobile Concrete Batch Plant lease with Kuuwa, a local majority owned subsidiary of Buurabalayji Thalanyji Aboriginal Corporation

Unit 47, Level 1

1008 Wellington Street WEST PERTH WA 6005

PO BOX 1024

• Cauldron intends to further develop this relationship and secure equipment through Kuuwa to operate this plant

West Leederville WA 6007

ASX Code

• Cauldron understands that there are a number of local operations and projects in the region that require quality concrete

CXU

Securities on Issue

• A mobile concrete batching plant in this location is a valuable asset because making concrete in this hot climate that limits transport range is rare

• The Company will pursue options to increase its support to the local region, which may include a dividend sharing or royalty arrangement with Kuuwa

Cauldron Energy Limited ( Cauldron or the Company ) (ASX: CXU) is pleased to announce that it has reached an agreement with Kuuwa Rentals Pty Ltd (Kuuwa) to lease a T4 Sami Mobile Concrete Batching Plant (CBP), refer Figure 1. The CBP is in Onslow and is currently not in operation. It is capable of producing a range of high strength quality concrete products which Cauldron plans to make available to customers in the region.

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451,999,512 shares

6,833,395 Options (exercise price: $0.03; expiry 31 Dec 2021)

16,666,666 Options (exercise price: $0.03; expiry 31 Mar 2022)

10,000,0000 Unlisted Options (exercise: $0.03; expiry 16-Sep-22) 6,000,0000 Unlisted Options (exercise: $0.05; expiry 16-Sep-23) 45,354,839 Options (exercise price: $0.05; expiry 30 Nov 2023)

9,000,000 Performance Rights (expiring 10 August 2025)

Board of Directors

Simon Youds Non-Executive Chairman

Jess Oram

Executive Director & Chief Executive Officer

Qiu Derong Non-executive Director

Judy Li Non-executive Director

Chenchong Zhou Non-executive Director

Michael Fry Company Secretary

Image 1: T4 Sami Mobile Concrete Batching Plant, Lot 697 Cornish Way, Onslow

WWW.CAULDRONENERGY.COM.AU

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Kuuwa is a hire company based in Onslow having majority ownership by the Buurabalayji Thalanyji Aboriginal Corporation (BTAC). Cauldron plans to further its commercial relationship with Kuuwa by hiring mobile equipment required to operate the plant, following Shire approval. The region is expected to experience an uplift in investment activity from resource companies supporting the two significant off-shore gas projects owned by BHP and Chevron. Cauldron views these as potential markets for concrete sales once the plant has been re-commissioned.

The high summer and autumn temperatures limit effective transport distance of high-quality concrete. Many of the potential projects, currently in planning, require delivery of concrete outside the effective trucking distance from the town of Onslow. The CBP is mobile allowing the facility to be moved to any project site which is expected to commence construction.

The partnership between Kuuwa and Cauldron is a demonstration of Cauldron’s commitment to develop the economic interests of the local community. The Company’s green low carbon focus can also be explored with ‘green concrete’ where cement potentially can be partially or completely replaced with alternative commodities with similar pozzolanic properties but without its carbon footprint.

Cauldron CEO, Jess Oram stated: “ The relationship between Kuuwa and Cauldron is yet another step towards reducing the gap between Indigenous Business and the mining industry. A partnership formed on Thalanyji land makes it even more exciting. Our minds are firmly set on concurrently expanding our exciting interests in gold at Blackwood in the ‘golden triangle’ of Central Victoria, and all business opportunities that present in Onslow. We have been in the Onslow district since 2005 and are starting to build on many of the trust-based relationships we have established there. We hope to establish a similar presence in Blackwood.”

END

Authorised for release by Mr Jess Oram, Executive Director and Chief Executive Officer.

For further information please contact:

Jess Oram Michael Fry Chief Executive Officer Company Secretary Cauldron Energy Limited Cauldron Energy Limited T: (08) 6270 4693 T: (08) 6260 4693 M: +61 448 110 009 M: +61 417 996 454 jess.oram@cauldronenergy.com.au michael.fry@cauldronenergy.com.au

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• This announcement has been prepared by Cauldron Energy Limited (“Company”). The material contained in this announcement is for information purposes only. This announcement is not an offer or invitation for subscription or purchase of, or a recommendation in relation to, securities in the Company and nether this announcement nor anything contained in it shall form the basis of any contract or commitment.

• This announcement may contain forward-looking statements. Forward-looking statements include, but are not limited to, statements concerning Cauldron Energy Limited’s business plans, intentions, opportunities, expectations, capabilities and other statements that are not historical facts. Forward-looking statements include those containing such words as could-plan-target-estimate-forecast-anticipate-indicate-expect-intend-may-potential-should or similar expressions. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of the Company, and which could cause actual results to differ from those expressed in this announcement. Because actual results might differ materially to the information in this announcement, the Company does not make, and this report should not be relied upon as, any representation or warranty as to the accuracy, or reasonableness, of the underlying assumptions and uncertainties. Investors are cautioned to view all forward-looking statements with caution and to not place undue reliance on such statements.

• The announcement has been prepared by the Company based on information available to it, including information from third parties, and has not independently verified. No representation or warranty, express or implied, is made to the fairness, accuracy or completeness of the information or opinions contained in this announcement.

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