FENIX RESOURCES LTD — Share Issue/Capital Change 2019

Nov 5, 2019

6 November 2019

ASX Announcement

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Release of Escrowed Securities

Fenix Resources Limited (ASX: FEX, “ Fenix” or “ Company” ) advises that in accordance with listing rule 3.10A, the following securities will be released from escrow on 20 November 2019.

• 18,470,414 ordinary shares;

• 20,864,498 Class B Performance Shares (unvested);

• 26,180,621 Class C Performance Shares (unvested); and

• 20,864,496 Class D Performance Shares (unvested).

All Performance Shares released from escrow are unvested and our subject to milestones relating to cumulative shipped iron ore production of 1 million tonnes (Class B), 2 million tonnes (Class C) and 3 million tonnes (Class D) from the Iron Ridge project at an operating margin of greater than US$15/dmt.

On behalf of Fenix Resources Limited:

Matthew Foy Company Secretary Fenix Resources Limited

About Fenix Resources

Fenix Resources is an ASX-listed, WA-based minerals explorer transitioning to miner.

The company’s 100% owned, flagship Iron Ridge Iron Ore Project is a premium DSO deposit which hosts a JORC 2012 compliant resource located around 490 km by road from Geraldton port.

High grade iron ore attracts a premium price on the seaborne market as Chinese steel works increasingly demand more pure inputs with lower emissions due to increasingly strict government regulations.

Only requiring crushing and screening, 1.25 million tonnes per annum of ore is proposed to be trucked to the port by a JV signed off in May 2019, with trucking specialist Newhaul Pty Ltd headed by respected logistics expert Craig Mitchell who was the founder and owner of Mitchell Corp before selling to Toll Group.

Negotiations are well advanced with Mid-West Ports Authority at Geraldton where export capacity is available.

Mining and environmental approvals are currently being undertaken and contract documentation with key service providers is advanced.

A total of three hundred and fifty (350) Full Time Equivalent (FTE) direct and indirect jobs throughout the supply chain will be created including seventy (70) FTEs on site at the Iron Ridge mine if project approvals are granted.

Geraldton is set to be a winner with one hundred (100) FTEs created including seventy (70) roadtrain drivers and a fleet maintenance depot established with an additional thirty (30) jobs. More jobs will be created at the Port and at local businesses and contractors that service the project.

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