CRITICAL RESOURCES LIMITED — Capital/Financing Update 2017

Oct 11, 2017

==> picture [156 x 88] intentionally omitted <==

12 October 2017

ASX Announcements Office 152–158 St Georges Terrace Perth WA 6000 Australia

Lithium Joint Venture Progress Following Shareholder Approval

• Formal Notice of Decision to Proceed on Kitotolo Lithium Project issued following shareholder approval at General Meeting on Tuesday, 10 October 2017

• Formal joint venture agreement to be finalised over the next month followed by incorporation of the joint venture company and other legal and administrative matters including licence transfers and appointment of key in-country personnel

• Planning underway for maiden exploration program to commence at the Kitotolo Lithium Project following finalisation of Joint Venture

• Maiden exploration program expected to include trenching, test pitting and auger drilling to sample and assay the fresh spodumene in pegmatite and to determine the depth and strike extensions of the pegmatites, which are open in all directions and are considered to potentially extend for several kilometres along a NE-SW trend

• Work will initially focus on the area surrounding a large artisanal pit where the geological team observed spodumene in pegmatite and collected rock chip samples that returned high-grade lithium mineralisation

• The high-grade results and extent of near surface mineralisation in predominantly weathered pegmatites, combined with the project’s exceptional location within 40km of AVZ Minerals’ ‘world-class’ Manono and Kitotolo deposits, underscores the significant potential of the Company’s Kitotolo Lithium Project

Force Commodities Ltd ( Force or the Company ) (ASX Code: 4CE) is pleased to provide an update on its proposed acquisition of a 70% interest in the Kitotolo and Kiambi Lithium Projects located in in Tanganyika Province in the south east of the Democratic Republic of Congo ( DRC ) ( DRC Lithium Projects ).

At the Company’s General Meeting held on Tuesday, 10 October 2017, shareholders voted overwhelmingly to support the Board’s recommendation to proceed with the DRC Lithium Projects acquisitions.

The Company has issued a formal notice to Cominiere SA of its decision to Proceed with the acquisition of the Kitotolo Lithium Project.

Force Commodities Ltd | 137 Lake Street, Northbridge, WA, 6003 | PO Box 1811 West Perth WA 6872 | P: +61 8 9328 9368 F: +61 8 6323 0418 | web:forcecommodities.com.au | Email: admin@forcecommodities.com.au | ABN 12 145 184 667 | ASX:4CE

==> picture [95 x 54] intentionally omitted <==

The Kitotolo Lithium Project is located just 40km south-west of AVZ Minerals Limited’s ‘world-class’ Manono and Kitotolo Lithium Projects and recent mapping, and rock chip and channel sampling has confirmed the presence of high grade spodumene pegmatite-hosted lithium mineralisation at shallow depths, hosted in an inferred structural corridor.

Work has already commenced on the formal joint venture documentation and on the associated joint venture legal and administrative formalities, including the incorporation and registration of the local joint venture company, exploration and mining license transfers and appointment of public officers and key personnel. With shareholder approval now received, this work will now be escalated so as to be finalized as soon as possible.

Once these matters have been finalized and the agreed work program and budget have been signed up the Company will issue the upfront consideration of 67.5 million shares to LAPL or its nominee and make the required payment of US$62,000 to Cominiere SA.

Planning for the Company’s proposed maiden exploration program at the Kitotolo Lithium Project has also already commenced. Mr James Sullivan, who was engaged by the Company to complete the Independent Due Diligence, is finalising a detailed schedule of exploration activities and budget for the proposed work. This work is to commence following the finalization of the Joint Venture.

==> picture [336 x 365] intentionally omitted <==

Figure 1: The Kitotolo Lithium Project and inferred regional structural corridor within the Kibaran Belt.

2

==> picture [104 x 59] intentionally omitted <==

The proposed maiden exploration program is expected to include trenching, pitting, and auger drilling to sample and assay the fresh spodumene in pegmatite and determine the depth and strike extensions of the pegmatites, which are open in all directions and are considered to potentially extend for several kilometres along a NE-SW trend at the Kitotolo Lithium Project.

In relation to the Kiambi Lithium Project the Company has requested an extension to complete its assessment of the Project, which lies approx. 50km due east of the township of Manono and is logistically well located near to the Mpiana Mwanga hydro electrical power plant and access roads.

The Kiambi Project area was mined historically for cassiterite by the Belgians, with mining reported to have ceased in 1953. There is presently numerous artisanal mining operations active within the Project area, primarily focussed on extraction of cassiterite and columbite–tantalite. A large number of artisanal mining activities have also been observed on the adjacent licenses at Kiato, Kifinga and Mwika.

Work will amongst other things look to test the north east strike extension of three mineralised pegmatites identified near to the southern boundary of the license area.

END

Contact:

Michael Fry

Company Secretary Force Commodities Limited Tel: +61 (0) 8 9328 9368

3

==> picture [104 x 59] intentionally omitted <==

Competent Person Statement

The information in this release that relates to sampling techniques and data, exploration results, geological interpretation and Exploration Targets, Mineral Resources or Ore Reserves has been compiled by Mr James Sullivan is a member of the Australian Institute of Geoscientists. Mr Sullivan is engaged by Force Commodities as a consultant geologist.

Mr Sullivan has sufficient experience of relevance to the styles of mineralisation and the types of deposits under consideration, and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Sullivan consents to the inclusion in this report of the matters based on information in the form and context in which it appears.

Forward looking statements

Information included in this release constitutes forward-looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “continue”, and “guidance”, or other similar words and may include, without limitation, statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs.

Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance and achievements to differ materially from any future results, performance or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licences and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which the company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation.

Forward looking statements are based on the Company and its management’s good faith assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the Company’s business and operations in the future. The Company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the Company’s business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the Company or management or beyond the Company’s control.

Although the Company attempts and has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in forward looking statements, there may be other factors that could cause actual results, performance, achievements or events not to be as anticipated, estimated or intended, and many events are beyond the reasonable control of the Company. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, in providing this information the company does not undertake any obligation to publicly update or revise any of the forward looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based.

4