LEFROY EXPLORATION LIMITED — Capital/Financing Update 2022

Dec 12, 2022

ASX RELEASE-13 December 2022

Lefroy Exploration Raises $3.5M for Further Exploration at Burns/Eastern Lefroy Project T Highlights

• LEX has received firm commitments to raise $3.5 million (before costs) in an oversubscribed share placement.

• LEX is now well-funded to progress exploration at the priority Burns copper gold prospect and for additional exploration programs at Coogee South, Hang Glider Hill and Havelock prospects, all within the Eastern Lefroy Gold Project, located 70km southeast of Kalgoorlie.

• The Company’s immediate priority is to deliver a maiden Mineral Resource Estimate for Burns in March 2023.

LEX Chairman, Mr Gordon Galt, said “Thanks to all our shareholders for their support after a successful 2022 year. This is an important time for our Company, with another year of intensive exploration in the Lefroy East Project ahead of us. In the next three months we will get in all the outstanding results from the Burns drill-out program and deliver our Burns maiden Mineral Resource Estimate and plan our initial follow up programs to extend this as soon as possible. In the remainder of 2023, our intention is to continue to explore the Burns area, further delineate the gold and copper-gold mineralisation and commence a Scoping Study for future mine development. As usual, all this will be done with the efficiency and scientific focus which we have always displayed at LEX.”

Lefroy Exploration Limited ( ASX: LEX ) ( “LEX” or “the Company” ) is pleased to advise that it has received firm commitments to raise $3.5 million (before issue costs) through a heavily oversubscribed Placement to institutional and sophisticated investors (“ Placement ”).

The Company’s Equity Raising comprises:

• A Placement that raised $3.16 million; and

• Directors’ participation of $0.34 million

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

Australian Registered Office Level 3, 7 Rheola St West Perth, 6005

ASX Code: LEX Shares on Issue: 146M Market Capitalisation: $40.8m

www.lefroyex.com

13 December 2022

ASX Announcement

Placement

The Placement will result in the issue of a total of approximately 14.6 million fully paid ordinary shares (“New Shares”) at an issue price of $0.24 to raise approximately $3.5 million (before costs). Approximately 13.17 million New Shares will be issued to professional and sophisticated investors to raise $3.2 million (before costs) and a further approximately 1.42 million New Shares will be issued to Directors of the Company, subject to Shareholder approval. Shareholder approval will be sought at the Company’s next General Meeting of Shareholders. New Shares issued under the Placement will rank equally with the Company’s existing fully paid ordinary shares.

The Placement issue price was at a 14.3% discount to the last closing Share price of LEX (on 8 December 2022) and a 9.7% discount to the 5-day VWAP of LEX shares. The Placement was strongly supported by existing Shareholders as well as new professional and sophisticated investors.

The proceeds of the Placement will be used to advance exploration at the Company’s 100% owned Eastern Lefroy Gold Project and for general working capital purposes. The principal and continued focus of the Company is at the exciting Burns copper (Cu) gold (Au) system, where a reverse circulation (RC) drill-out is underway. The results from this program will support the delivery of a maiden Mineral Resource Estimate (MRE) in March 2023.

The funds will also enable the Company to undertake further early-stage exploration drill programs at emerging prospects such as Coogee South, Hang Glider Hill and Havelock.

The Placement of 14.6 million Shares is being undertaken under the Company’s existing ASX Listing Rule 7.1 placement capacity. Settlement of the Placement and issue of approximately 13.17 million New Shares is expected to take place on or around Monday, 19th December 2022. A further approximately 1.42 million New Shares will be issued to Directors of the Company, subject to Shareholder approval.

Bridge Street Capital Partners acted as Sole Lead Manager and Bookrunner for the Placement.

END

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ASX Announcement 13 December 2022

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 southeast 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 534km[2] in the heart of the world class gold production area between Kalgoorlie and Norseman. The Project is proximal 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. The Western Lefroy tenement package subject to the Gold Fields joint venture, and Gold Fields tenure is also highlighted

For Further Information please contact:

Wade Johnson Managing Director

Telephone: +61 8 93210984 Email: wjohnson@lefroyex.com

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