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GBM RESOURCES LIMITED. Capital/Financing Update 2019

May 8, 2019

64966_rns_2019-05-08_62393d89-8b7d-4937-ba61-9fc08c69bbd7.pdf

Capital/Financing Update

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ABN 91 124 752 745

ASX Code: GBZ

9 May 2019

COMPANY DIRECTORS

ASX Announcement

A$700,000 Convertible Note Term Sheet Executed

The Board of GBM Resources Limited (‘GBM’ or ‘the Company’) is pleased to announce that the Company has executed a term sheet for a A$700,000 Convertible Note to be issued to Lion Resources Development Pte Ltd (Subscriber), which is not a related party of GBM Resources Limited.

Key details of the Convertible Note Term Sheet are as follows:

  1. Subscriber to pay the Convertible Note amount of A$700,000 (Principal Amount) on or before the 30[th] May 2019.

  2. Repayment Date is 12 months from date of issue.

  3. Interest is payable on the Principal Amount until the Convertible Notes are either redeemed or converted into fully paid ordinary shares (Shares) in the capital of the Company at the rate of 10% per annum, calculated monthly and payable 3 monthly in arrears.

  4. Each Convertible Note will be convertible into Shares at a conversion price of $0.005 per Share.

  5. The Subscriber may before the Repayment Date, convert the Convertible Notes into Shares.

Peter Thompson Managing Director/ Executive Chairman

Sunny Loh Non-Executive Deputy Chairman

Neil Norris Exploration Director – Executive

Hun Seng Tan Non-Executive Director

CONTACT DETAILS

Principal & Registered Office Suite 8, 7 The Esplanade, Mt Pleasant, WA 6153

Exploration Office 10 Parker Street, Castlemaine, Victoria 3450

Website www.gbmr.com.au

Email [email protected]

Phone +61 (8) 9316 9100

Fax +61 (8) 9315 5475

Phone (Exploration Office) +61 (3) 5470 5033

  1. The Convertible Notes are secured over the issued capital of Mt Coolon Gold Mines Pty Ltd.

The proceeds received from the Convertible Notes will be applied by the Company towards working capital requirements. The Company will issue the Convertible Notes pursuant to its placement capacity under Listing Rule 7.1.

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For Further information please contact:

Media enquiries: Peter Thompson Michael Vaughan Managing Director Fivemark Partners GBM Resources Limited +61 422 602 720 +61 8 9316 9100 [email protected]