JATCORP LIMITED — Capital/Financing Update 2020

Apr 23, 2020

Proposed issue of securities

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Announcement Summary

Entity name JATENERGY LIMITED

Announcement Type

New announcement

Date of this announcement

Friday April 24, 2020

The Proposed issue is:

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A placement or other type of issue

Total number of +securities proposed to be issued for a placement or other type of issue

		Maximum Number of
ASX +Security Code	+Security Description	+securities to be issued
n/a	Convertible notes with a face value of US$1.20, accrue no	2,519,718
	interest with 18 month maturity date.
JAT	ORDINARY FULLY PAID	60,000,000
Proposed +issue date
Monday June 1, 2020

Refer to next page for full details of the announcement

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Proposed issue of securities

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Part 1 - Entity and announcement details

1.1 Name of +Entity

JATENERGY 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.

1.2 Registered Number Type

ACN

Registration Number

122826242

1.3 ASX issuer code

JAT

1.4 The announcement is

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New announcement

1.5 Date of this announcement

Friday April 24, 2020

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 - Are any of the following approvals required for the placement or other type of issue? +Security holder approval Court approval Lodgement of court order with +ASIC ACCC approval FIRB approval Another approval/condition external to the entity Yes

7A.1a Conditions

Approval/Condition Date for determination Is the date estimated or ** Approval actual? received/condition met? +Security holder approval Friday May 29, 2020 Estimated

Comments

Part 7B - Issue details

Is the proposed security a 'New Will the proposed issue of this class' (+securities in a class that is +security include an offer of not yet quoted or recorded by ASX) attaching +securities? or an 'Existing class' (additional No securities in a class that is already quoted or recorded by ASX)? New class

Details of +securities proposed to be issued

ISIN Code (if Issuer is a foreign company and +securities are non CDIs)

Have you received confirmation from Will the entity be seeking quotation ASX that the terms of the proposed of the 'new' class of +securities on +securities are appropriate and ASX? equitable under listing rule 6.1? No No ASX +Security Code +Security Description New class-code to be confirmed Convertible notes with a face value of US$1.20, accrue no interest with 18 month maturity date.

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Proposed issue of securities

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+Security Type

Other

Maximum Number of +securities proposed to be issued 2,519,718

Purpose of the issue

Convertible note facility to raise A$4 million to fund capital expenditure and working capital.

Offer price details for retail security holders

In what currency is the cash	What is the issue price per
consideration being paid?	+security?
USD - US Dollar	USD 1.00000
AUD equivalent to Offer Price amount
per +security
1.590000
FX rate (in format AUD 1.00 / primary	FX rate (in format AUD rate/primary
currency rate):	currency rate) Primary Currency rate
	USD
AUD 1.00
Will all the +securities issued in this class rank equally in all respects from
their issue date?
Yes
Oversubscription & Scale back details
May a scale back be applied to this event?
No

Please provide any further information relating to the principal terms of the +securities

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? No

Details of +securities proposed to be issued

ASX +Security Code and Description

JAT : ORDINARY FULLY PAID

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Proposed issue of securities

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Maximum Number of +securities proposed to be issued 60,000,000

Purpose of the issue

Collateral Shares to be issued pursuant to convertible note facility to raise A$4 million to fund capital expenditure and working capital.

Offer price details for retail security holders

In what currency is the cash What is the issue price per consideration being paid? +security?

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

Oversubscription & Scale back details

May a scale back be applied to this event? No

Part 7C - Timetable

7C.1 Proposed +issue date

Monday June 1, 2020

Part 7D - Listing Rule requirements

7D.1 Has the entity obtained, or is it obtaining, +security holder approval for the issue under listing rule 7.1? Yes

7D.1a Date of meeting or proposed meeting to approve the issue under listing rule 7.1

Friday May 29, 2020

7D.2 Is a party referred to in listing rule 10.11.1 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

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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?

Everblu acted as lead manager for the Obsidian Convertible Note Facility.

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

A cash fee of $240,000, equal to 6% of the Facility; The issue of 4 million fully paid shares in JAT at a deemed issue price of $0.05, subject to shareholder approval; and the issue of 4 million options with an exercise price of 100% premium to the price at which the shares are issued with an expiry date of two years after issue, subject to shareholder approval.

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.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

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