JINDALEE LITHIUM LIMITED — Capital/Financing Update 2021

Mar 14, 2021

Proposed issue of securities

==> picture [21 x 22] intentionally omitted <==

Update Summary

Entity name

JINDALEE RESOURCES LIMITED

Announcement Type

Update to previous announcement

Date of this announcement

Monday March 15, 2021

Reason for update to a previous announcement

To confirm exercise price of the options to be issued to the Joint Lead Managers as noted in Part 7F of the initial Appendix 3B lodged with ASX on 15 March 2021.

Refer to next page for full details of the announcement

Proposed issue of securities

1 / 7

Proposed issue of securities

==> picture [21 x 22] intentionally omitted <==

Part 1 - Entity and announcement details

1.1 Name of +Entity

JINDALEE RESOURCES 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

Registration Number

ACN 064121133

1.3 ASX issuer code

JRL

1.4 The announcement is

==> picture [8 x 9] intentionally omitted <==

Update/amendment to previous announcement

1.4a Reason for update to a previous announcement

To confirm exercise price of the options to be issued to the Joint Lead Managers as noted in Part 7F of the initial Appendix 3B lodged with ASX on 15 March 2021.

1.4b Date of previous announcement(s) to this update

Monday March 15, 2021

1.5 Date of this announcement

Monday March 15, 2021

1.6 The Proposed issue is:

==> picture [8 x 8] intentionally omitted <==

A placement or other type of issue

Proposed issue of securities

2 / 7

Proposed issue of securities

==> picture [21 x 22] intentionally omitted <==

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 No

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)? Existing class

Details of +securities proposed to be issued

ASX +security code and description

JRL : ORDINARY FULLY PAID

Number of +securities proposed to be issued

6,000,000

Reason for the update of 'Maximum Number of +securities proposed to be issued'

Offer price details

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

In what currency is the cash What is the issue price per consideration being paid? +security? AUD - Australian Dollar AUD 1.50000

Proposed issue of securities

3 / 7

Proposed issue of securities

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

==> picture [21 x 22] intentionally omitted <==

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	unlisted options expiring 3 years from date of issue
+Security type
Options
Number of +securities proposed to be	issued
1,000,000
Reason for the update of 'Maximum Number of +securities proposed to be issued' 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 No
Please provide an estimate of the AUD	equivalent of the consideration being
provided for the +securities
0.00000001
Will all the +securities issued in this class rank equally in all respects from
their issue date?
Yes

Proposed issue of securities

4 / 7

Proposed issue of securities

==> picture [21 x 22] intentionally omitted <==

Options details

+Security currency

AUD - Australian Dollar

Exercise price AUD 3.5000

Expiry date Friday March 22, 2024

Details of the type of +security that will be issued if the option is exercised

Other

Description

1,000,000 unlisted options to acquire fully paid ordinary shares with an expiry date of 3 years from the date of issue

Please provide a URL link for a document lodged with ASX setting out the material terms of the +securities proposed to be issued or provide the information by separate announcement.

Part 7C - Timetable

7C.1 Proposed +issue date

Friday March 19, 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?

2,469,603

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)? Yes

7D.1c ( i ) How many +securities are proposed to be issued without +security holder approval using the entity's additional 10% placement capacity under listing rule 7.1A?

4,530,397

Proposed issue of securities

5 / 7

Proposed issue of securities

==> picture [21 x 22] intentionally omitted <==

7D.1c ( ii ) Please explain why the entity has chosen to do a placement rather than a +pro rata issue or an offer under a +security purchase plan in which existing ordinary +security holders would have been eligible to participate

The Placement was considered the most timely and efficient means of raising capital to accelerate the Company's growth and exploration plans

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?

Blue Ocean Equities and Curran & Co. acted as joint lead managers

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

Fee of 5% of proceeds raised under the placement plus 1,000,000 unlisted options each exercisable at $3.50 with a 3 year expiry date to be split equally between the joint lead managers.

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

Funds raised will be directed towards: drilling, metallurgical testwork, development studies and permitting at McDermitt, initial drilling at Clayton North, drilling at Widgiemooltha, general working capital and expenses of the Placement.

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

Proposed issue of securities

6 / 7

Proposed issue of securities

==> picture [21 x 22] intentionally omitted <==

==> picture [540 x 720] intentionally omitted <==

Proposed issue of securities

7 / 7