CAZALY RESOURCES LIMITED — Capital/Financing Update 2019

Nov 17, 2019

Notification of reorganisation of capital - return of capital (cash)

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Notification of reorganisation of capital - return of capital (cash)

Update Summary

Entity name

CAZALY RESOURCES LIMITED

Applicable security for the return of capital

CAZ - ORDINARY FULLY PAID

Announcement Type

Update to previous announcement

Date of this announcement

Monday November 18, 2019

Reason for the Update

Change in return of capital payment date

Additional Information

If shareholders approve the return of capital, there will also be a reduction in the exercise price of various CAZ unquoted option prices:

2,500,000 options (currently exercisable at $0.216 on or before 22/8/20) - new exercise price $0.195

7,300,000 options (currently exercisable at $0.06 on or before 31/12/19) - new exercise price $0.039 8,750,000 options (currently exercisable at $0.06 on or before 26/11/20) - new exercise price $0.039 15,000,000 options (currently exercisable at $0.05 on or before 31/03/21) - new exercise price $0.029

Refer to below for full details of the announcement

Announcement Details

Part 1 - Entity and announcement details

1.1 Name of +Entity

CAZALY RESOURCES LIMITED

Registration Number

1.2 Registered Number Type

ABN 23101049334

1.3 ASX issuer code

CAZ

1.4 The announcement is

Update/amendment to previous announcement

Notification of reorganisation of capital - return of capital (cash)

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Notification of reorganisation of capital - return of capital (cash)

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1.4a Reason for update to a previous announcement

Change in return of capital payment date

1.4b Date of previous announcement(s) to this update

Monday October 21, 2019

1.5 Date of this announcement

Monday November 18, 2019

1.6 ASX +Security Code

CAZ

ASX +Security Description

ORDINARY FULLY PAID

Part 2 - Return of capital type and approvals

2.1 Are any of the below approvals required for the return of capital before business day 0 of the timetable?

• Security holder approval Court approval

• Lodgement of court order with +ASIC ACCC approval

• FIRB approval

• Another approval/condition external to the entity required to be given/met before business day 0 of the timetable for the return of capital.

Yes

2.1a Approvals

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----- Start of picture text ----- Approval/Condition Date for determination Is the date estimated Approval+Security holder Wednesday or actual? received/conditionapproval November 20, 2019 Actual met?[Select...]CommentsReturn of capital will only occur once approval from CAZ shareholders has been obtained (annual general meetingto be held at 11am WST Wednesday 20/11/19)----- End of picture text -----**

2.2 Is the return of capital a selective reduction of capital

No

Part 3 - Return of capital timetable and details

3.1 +Record date

Monday November 25, 2019

3.2 Does the +entity have quoted options on issue?

No

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Notification of reorganisation of capital - return of capital (cash)

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3.2a Last day for trading in pre-return of capital quoted options

3.3 Effective date. Trading in the re-organised +securities on an "ex return of capital" basis commences. If the +entity has quoted options, trading in the quoted options commences on a +deferred settlement basis. If the +entity's +securities are suspended from trading during this period there will be no +deferred settlement trading however ASX still captures this date. Friday November 22, 2019

3.4 +Record Date

Monday November 25, 2019

3.4a If the +entity has quoted options, first day for the +entity to send notice to each +security holder, register +securities on a post-return of capital basis and send holding statements.

*3.5 Issue Date (Payment date). If the +entity has quoted options, +deferred settlement market in options ends. Last day for +entity to send notices to +security holders for quoted options they hold. Last day for +entity to register quoted options on a post-reorganised basis Friday December 6, 2019

3.5a If the +entity has quoted options, trading in the options starts on a normal T+2 basis

3.5b If the +entity has quoted options, first settlement of trades conducted on a +deferred settlement basis and on a normal T+2 basis

3.6 Currency in which the return of capital is made ("primary currency")

AUD - Australian Dollar

3.7 Return of capital amount per +security

AUD 0.02100000

Part 4 - Other +entity-issued +securities affected by the return of capital

4.1 Will the return of capital affect the exercise price of any +entity-issued options? No

Part 5 - Further information

5.1 Has the +entity applied for an ATO class ruling in relation to the return of capital? No

5.2 Source of funds for return of capital

Current cash holdings

5.3 Further information relating to this return of capital

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5.4 Additional information for inclusion in the Announcement Summary

If shareholders approve the return of capital, there will also be a reduction in the exercise price of various CAZ unquoted option prices:

2,500,000 options (currently exercisable at $0.216 on or before 22/8/20) - new exercise price $0.195 7,300,000 options (currently exercisable at $0.06 on or before 31/12/19) - new exercise price $0.039 8,750,000 options (currently exercisable at $0.06 on or before 26/11/20) - new exercise price $0.039 15,000,000 options (currently exercisable at $0.05 on or before 31/03/21) - new exercise price $0.029

Notification of reorganisation of capital - return of capital (cash)

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