HILLGROVE RESOURCES LIMITED — Capital/Financing Update 2016

Dec 18, 2016

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Monday 19 December 2016

UPDATED NOTICE OF SHORTFALL

Hillgrove Resources Limited (“Company”) received eligible acceptances for 3,761,382 new fully paid Convertible Notes (“Convertible Notes”) and 141,503,191 Options (“Options”) of the Company under its fully underwritten one for thirty seven point six two (1:37.62) non renounceable pro rata entitlement issue to raise approximately $5.0 million (before costs) at an offer price of $1.00 per Convertible Note under a prospectus dated 22 November 2016.

The issue of these 3,761,382 Convertible Notes and 141,503,191 Options is scheduled to occur on 21 December 2016.

The shortfall of 1,238,866 Convertible Notes and 46,606,138 Options will be issued in accordance with the underwriting agreement.

For more information contact:

Mr Steven McClare Mr Paul Kiley CEO & Managing Director CFO & Company Secretary Tel: +61 8 7070 1698 Tel: +61 8 7070 1698

IIII HILLGROVE RESOURCES LIMITED 5-7 King William Road, Unley SA 5061, Australia ACN 004 297 116

www.hillgroveresources.com T +61 8 7070 1698 F +61 8 8538 5255