CORE ENERGY MINERALS LTD — Capital/Financing Update 2017

Oct 30, 2017

OAKDALE RESOURCES LIMITED

ACN 009 118 861

8 Maud Street, Newstead Qld 4006 PO Box 3199 Newstead Qld 4006

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Phone: (07) 3624 8188 Fax: (07) 3624 8133 Email: info@oakdaleresources.com.au Web: oakdaleresources.com.au

31 October 2017

ASX ANNOUNCEMENT

Oakdale Resources enters into Option Agreement to acquire up to a 51% interest in Africa Mineral Sands Pte Ltd, which has a 74% interest in heavy mineral sand assets in North-West South Africa

Highlights

• Oakdale Resources has entered into an Option Agreement with Africa Mineral Sands Pte Ltd (“AMS”) for Oakdale Resources to acquire up to a 51% interest in AMS. AMS owns 74% of Vast Mineral Sands (Pty) Ltd (“VMS”).

• VMS has the rights to 100% of an extensive heavy mineral sand asset, with contained residual diamonds, located on the Alexkor SOC Limited (“Alexkor”) mining lease area in North-West South Africa (refer plan)

• Alexkor has been actively mining diamonds on the mining lease area since 1928 and the waste material has been discarded on large coarse tailing dumps and slime dams. The dumps and sands on the Alexkor mining lease area contain zircon, rutile, monazite, ilmenite and magnetite which will be re processed by VMS

• The Option Agreement requires the payment of a $50,000 option fee by Oakdale Resources within 30 days. The Option has a term of 180 days from the date of the execution of the Term Sheet. If the transaction does not complete within 180 days the Option will terminate

• The Company also proposes to conduct an associated capital raising to fund the payment of the Option fee and the associated accounting, audit, legal and other work required to complete the transaction on terms to be announced shortly

• Oakdale Resources will, over the next 180 days, undertake all necessary due diligence and other enquiries into the Vast Mineral Sands Project and obtain independent valuations and an Independent Experts Report on the project before determining its final offer price and whether to proceed with the proposed transaction.

Location of Alexander Bay Heavy Mineral Project, Namaqualand in South Africa

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Oakdale Resources is pleased to announce that it has entered into an Option Agreement with Africa Mineral Sands Pte Ltd to acquire up to a 51% interest in the Company. Africa Mineral Sands Pte Ltd owns 74% of Vast Mineral Sands (Pty) Ltd. Vast Mineral Sands (Pty) Ltd has the rights to 100% of an extensive heavy mineral sand asset, with contained residual diamonds, located on the Alexkor SOC Limited (Alexkor) mining lease area in North-West South Africa.

Alexkor SOC Limited has been actively mining diamonds on the mining lease area in North-West South Africa since 1928 and the waste material has been discarded on large coarse tailing dumps and slime dams. The dumps and sands on the Alexkor mining lease area contain zircon, rutile, monazite, ilmenite and magnetite, which will be re processed by Vast Mineral sands (Pty) Ltd.

Prior to completing the proposed transaction Oakdale Resources will undertake all necessary due diligence and other enquiries into the VAST Mineral Sands Project and obtain independent valuations and an Independent Experts Report on the project to determine the appropriate price for the acquisition of the 51% interest and whether it wishes to proceed and complete the acquisition.

In the event, following completion of all necessary due diligence and other enquiries and the preparation of an Independent Experts Report into the vast Mineral Sands project by Oakdale Resources the parties are not able to agree on a price and terms for the acquisition of the 51% interest in AMS (having negotiated in good faith and acting reasonably), the transaction will not proceed and the Option right held by Oakdale Resources will terminate. There will then be no further obligations in relation to the proposed transaction on either of the parties

Oakdale Resources has reviewed a large numbers of potential projects over the past 12-18 months to provide additional scale to the Company and to be developed alongside the its existing Oakdale Graphite Project on the Eyre Peninsula in South Australia.

The Company has focused on locating a significant project that it believes will deliver long term value to Oakdale Resources shareholders and believes the VAST heavy mineral sand assets have the potential to be that project and achieve long term sustainable value for Oakdale Resources shareholders

The Company will provide a further update to shareholders on the proposed transaction when the Independent Experts Report and other required documentation is completed

For further information please contact John Lynch on (07) 3624 8188

John E Lynch B. Sc (Sydney) M.Sc. (James Cook) FAICD and FAIMM Managing Director

Competent Person’s Statement

The information in this Quarterly Report for Oakdale Resources Limited was compiled by Mr John Lynch who is a member of the Australian Institute of Geoscientists and Fellow of the Australasian Institute of Mining and Metallurgy.

John Lynch has sufficient experience, which is relevant to the styles of mineralisation and types of deposits under consideration and to the activity to which he is undertaking to qualify as a “Competent Person” as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.’ John Lynch consents to the inclusion in this Announcement of the matters set out in the Announcement based on the information in the form and context in which it appears.