LEFROY EXPLORATION LIMITED — Capital/Financing Update 2019

Feb 3, 2019

ASX RELEASE-4 February 2019

Extensional RC Drilling Program Commenced at Lucky Strike

Lefroy Exploration Limited (ASX: LEX) (“Lefroy” or “the Company”) is pleased to advise the market that a program of reverse circulation (RC) drilling is underway at the Lucky Strike prospect. The prospect is within the Eastern Lefroy tenement package (Figure 1), that is part of the wholly owned greater Lefroy Gold Project (LGP) located 50km to the south east of Kalgoorlie.

The LGP is referenced in two packages i.e.

• Eastern Lefroy covering 226km[2] of wholly owned tenements (Figure 1) including Lucky Strike, Red Dale, Havelock, Hang Glider and other sub-projects along the Mt Monger fault, and

• Western Lefroy JV tenements covering 372km[2 ] adjoining the St Ives gold camp (Figure 1) that are subject to a Joint Venture agreement with Gold Fields Limited (“Gold Fields”). Aircore drilling was recently commenced by Gold Fields on tenements covering Lake Lefroy

Lucky Strike

Lucky Strike is located approximately 5km south west of the Randalls Processing Plant operated by Silver Lake Resources (ASX: SLR). Gold mineralisation at Lucky Strike is hosted within multiple north west trending Banded Iron Formation (BIF) units.

Recent RC drilling by the Company at Lucky Strike (LEX:ASX release 7 January 2019) intersected multiple shallow oxide gold zones within hanging wall BIF units that are open along strike to the north west and down dip. Better intersections included 8m at 3.46g/t Au from 48m in LEFR087, and 7m at 1.5g/t Au from 20m in LEFR093 . That program also defined a new high-grade zone within sulphide altered lower BIF intersecting 12m @2.37g/t Au from 96m in LEFR098, including 3m @6.35g/t from 101m (Figure 4).

The Company has commenced a program of 22 (phase 1) angled RC holes totaling approximately 2100m to evaluate the continuity of the mineralised BIF units (Figure 3). This program will evaluate three key target areas (Refer Figure 4):-

• a) Strike and down dip extensions to the shallow oxide hanging wall BIF

• b) Strike and down dip extensions to the sulphide altered lower BIF unit

• c) Footwall target zone-testing for additional BIF horizons between the lower BIF and the interpreted contact with the basalt.

Assay results from the program are expected to be announced in March and be incorporated into the delivery of an initial resource estimate in the June Quarter.

E: info@lefroyex.com T: +61 8 9321 0984 ARBN: 052 123 930

Australian Registered Office Level 2, 11 Ventnor Avenue West Perth, 6005

ASX Code: LEX Shares on Issue: 81.0M Market Capitalisation: $14.2m

www.lefroyex.com

ASX Announcement 4 February 2019

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Figure 1 Lefroy Gold Project tenement package highlighting the Gold Fields Farm in & JV package, proximity to Gold Fields St Ives and location of the priority Lucky Strike prospect (Priority Area 1). Red outline denotes non-JV Eastern Lefroy.

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Figure 2 RC Drilling underway at Lucky Strike (hole LEFR103)

4 February 2019

ASX Announcement

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Figure 3 Geology and drill hole plan at Lucky Strike highlighting proposed drill holes

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Figure 4 Drill section 2 schematically highlighting the three target areas and proposed drill holes

ASX Announcement 4 February 2019

About Lefroy Exploration Limited and the Lefroy Gold Project

Lefroy Exploration Limited is a WA based and focused explorer taking a disciplined methodical and conceptual approach in the search for high value gold deposits in the Yilgarn Block of Western Australia. Key projects include the Lefroy Gold Project to the south east of Kalgoorlie and the Lake Johnston Project 120km to the west of Norseman.

The 100% owned Lefroy Gold Project contains mainly granted tenure and covers 598km[2] in the heart of the world class gold production area between Kalgoorlie and Norseman. The Project is in close proximity to Gold Fields’ St Ives gold camp, which contains the Invincible gold mine located in Lake Lefroy and is also immediately south of Silver Lake Resources’ (ASX:SLR) Daisy Milano gold mining operation. The Project is divided into the Western Lefroy package, subject to a Farm-In Agreement with Gold Fields and the Eastern Lefroy package (100% Lefroy owned). The Farm-In Agreement with Gold Fields over the Western Lefroy tenement package commenced on 7 June 2018. Gold Fields can earn up to a 70% interest in the package by spending up to a total of $25million on exploration activities within 6 years of the commencement date .

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Location of the Lefroy Gold Project relative to Kalgoorlie and the Western Lefroy tenement package subject to the Gold Fields joint venture.

For Further Information please contact:

Wade Johnson

Managing Director Telephone: +61 8 93210984

Email: wjohnson@lefroyex.com