ENVIRONMENTAL CLEAN TECHNOLOGIES LIMITED. — Share Issue/Capital Change 2021

Jun 27, 2021

Proposed issue of securities

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Update Summary

Entity name

ENVIRONMENTAL CLEAN TECHNOLOGIES LIMITED.

Announcement Type

Update to previous announcement

Date of this announcement

28/6/2021

Reason for update to a previous announcement

In relation to the free attached options that were noted as requiring security holder approval, this approval was received under resolution 2 at a general meeting held on 25 June 2021. As such, 500,000,000 options (pre-consolidation) or 50,000,000 options (post-consolidation) will be issued no later than 3 months after the general meeting, being no later than 25 September 2021.

Refer to next page for full details of the announcement

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Part 1 - Entity and announcement details

1.1 Name of +Entity

ENVIRONMENTAL CLEAN TECHNOLOGIES LIMITED.

We (the entity named above) give ASX the following information about a proposed issue of +securities and, if ASX agrees to +quote any of the +securities (including any rights) on a +deferred settlement basis, we agree to the matters set out in Appendix 3B of the ASX Listing Rules.

If the +securities are being offered under a +disclosure document or +PDS and are intended to be quoted on ASX, we also apply for quotation of all of the +securities that may be issued under the +disclosure document or +PDS on the terms set out in Appendix 2A of the ASX Listing Rules (on the understanding that once the final number of +securities issued under the +disclosure document or +PDS is known, in accordance with Listing Rule 3.10.3C, we will complete and lodge with ASX an Appendix 2A online form notifying ASX of their issue and applying for their quotation).

1.2 Registered Number Type Registration Number ACN 009120405

1.3 ASX issuer code

ECT

1.4 The announcement is

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Update/amendment to previous announcement

1.4a Reason for update to a previous announcement

In relation to the free attached options that were noted as requiring security holder approval, this approval was received under resolution 2 at a general meeting held on 25 June 2021. As such, 500,000,000 options (pre-consolidation) or 50,000,000 options (post-consolidation) will be issued no later than 3 months after the general meeting, being no later than 25 September 2021.

1.4b Date of previous announcement to this update

7/4/2021

1.5 Date of this announcement

28/6/2021

1.6 The Proposed issue is:

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A placement or other type of issue

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Part 7 - Details of proposed placement or other issue

Part 7A - Conditions

7A.1 Do any external approvals need to be obtained or other conditions satisfied before the placement or other type of issue can proceed on an unconditional basis? Yes

7A.1a Conditions

Approval/Condition Date for determination Is the date estimated or ** Approval actual? received/condition met? +Security holder approval 25/6/2021 Actual Yes

Comments

Approval required for issue of attaching options (ECTOE). UPDATE: security holder approval received under resolution 2 at a general meeting held on 25 June 2021.

Part 7B - Issue details

Is the proposed security a 'New class' (+securities in a class that is not yet quoted or recorded by ASX) or an 'Existing class' (additional securities in a class that is already quoted or recorded by ASX)? Existing class

Will the proposed issue of this +security include an offer of attaching +securities? Yes

Details of +securities proposed to be issued

ASX +security code and description

ECT : ORDINARY FULLY PAID

Number of +securities proposed to be issued

1,500,000,000

Offer price details

Are the +securities proposed to be issued being issued for a cash consideration?

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Yes

In what currency is the cash

What is the issue price per

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consideration being paid? AUD - Australian Dollar

+security? AUD 0.00100

Will these +securities rank equally in all respects from their issue date with the existing issued +securities in that class? Yes

Attaching +Security

Is the proposed attaching security a 'New class' (+securities in a class that is not yet quoted or recorded by ASX) or an 'Existing class' (additional +securities in a class that is already quoted or recorded by ASX)? Existing class

Attaching +Security - Existing class (additional +securities in a class that is already quoted or recorded by ASX)

Details of attaching +securities proposed to be issued

ASX +security code and description

ECTOE : OPTION EXPIRING 17-FEB-2023

Number of +securities proposed to be issued

500,000,000

Offer price details

Are the +securities proposed to be issued being issued for a cash consideration? No

Please describe the consideration being provided for the +securities

Free attaching options

Please provide an estimate of the AUD equivalent of the consideration being provided for the +securities

Will these +securities rank equally in all respects from their issue date with the existing issued +securities in that class? Yes

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Part 7C - Timetable

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7C.1 Proposed +issue date

14/4/2021

Part 7D - Listing Rule requirements

7D.1 Has the entity obtained, or is it obtaining, +security holder approval for the entire issue under listing rule 7.1? No

7D.1b Are any of the +securities proposed to be issued without +security holder approval using the entity's 15% placement capacity under listing rule 7.1? Yes

7D.1b ( i ) How many +securities are proposed to be issued without security holder approval using the entity's 15% placement capacity under listing rule 7.1?

The full allotment of 1,500,000,000 shares will be issued under the 15% placement capacity.

7D.1c Are any of the +securities proposed to be issued without +security holder approval using the entity's additional 10% placement capacity under listing rule 7.1A (if applicable)? No

7D.2 Is a party referred to in listing rule 10.11 participating in the proposed issue? No

7D.3 Will any of the +securities to be issued be +restricted securities for the purposes of the listing rules? No

7D.4 Will any of the +securities to be issued be subject to +voluntary escrow? No

Part 7E - Fees and expenses

7E.1 Will there be a lead manager or broker to the proposed issue? Yes

7E.1a Who is the lead manager/broker?

Kaai Capital Pty Ltd

7E.1b What fee, commission or other consideration is payable to them for acting as lead manager/broker?

6% of the amount raised, with the option to take the fee in cash, or the issue of shares and attaching options on the same terms as the placement (issue price $0.001, with 1 free attaching option for every 3 shares).

The lead manager can take a combination of cash and shares.

One option (ECTOE) for every two shares under the placement at a price of $0.00001 per option.

The issue of shares and options is subject to shareholder approval.

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7E.2 Is the proposed issue to be underwritten?

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No

7E.4 Details of any other material fees or costs to be incurred by the entity in connection with the proposed issue

Part 7F - Further Information

7F.01 The purpose(s) for which the entity is issuing the securities

Key company initiatives.

7F.1 Will the entity be changing its dividend/distribution policy if the proposed issue proceeds? No

7F.2 Any other information the entity wishes to provide about the proposed issue

The 1,500,000,000 securities (ECT) were issued per Appendix 2A on 16 April 2021. The attached options, subject of this update, will be issued no later than 25 September 2021.

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