LOTUS RESOURCES LIMITED — Interim / Quarterly Report 2022

Oct 28, 2021

29 October 2021

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ASX Announcement

QUARTERLY ACTIVITIES REPORT Quarter Ended 30 September 2021

Lotus Resources Limited ( ASX: LOT, OTCQB: LTSRF ) ( Lotus or the Company ) is pleased to provide its quarterly activities report for the quarter ended 30 September 2021 regarding the advancement of the Company’s Kayelekera Uranium Project ( Kayelekera or the Project ) in Malawi.

HIGHLIGHTS

• Commenced a Definitive Feasibility Study (DFS or the Study) to assess the recommencement of production at the Kayelekera Uranium Project. The Study is expected to be completed by mid2022

• The second phase of ore sorting testwork further improved the initial strong results (ASX announcement 5[th] July 2021), with higher recoveries achieved when combining sensors (>90% uranium recovery)

• In line with the first round of results, grades can be increased by up to 100% compared to the feed grade, and improved recoveries were seen with the combined sensors (92% vs 86% in Phase 1 testwork)

• Preliminary results from the technical studies (specifically power supply and acid recovery) have already demonstrated potential cost reductions which can be incorporated into the Feasibility Study

• Uranium exploration continued during the period with drilling focused on the periphery of the existing Kayelekera Resource

• Exploration commenced at the high-grade Milenje Hills Rare Earth Prospect. Results from this, as well uranium exploration drilling are expected later this year

• Completed the divestment of the non-core Hylea Cobalt Project to Sunrise Energy Metals Limited (ASX.SRL) (Sunrise). The total cash received following the divestment was $2.2 million

• The Company increased its ownership in Kayelekera from 65% to 85% (15% Malawi Government) following a shareholder meeting

• The Company renewed its Mining and Exploration licences for an additional 15 years

• Lotus committed to adopting Environmental, Social and Governance (ESG) disclosure and reporting processes in line with recommendations of internationally recognised organisations, including the United Nations 17 Sustainable Development Goals

• As at 30 September 2021, Lotus had cash of $29.1 million (unaudited), inclusive of both restricted and unrestricted cash. The cash balance increased by $0.8 million in comparison to the previous quarter due to the sale of non-core assets and the conversion of options

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DEFINITIVE FEASIBILTY STUDY COMMENCES FOR KAYELEKERA

The Company commenced work on a Definitive Feasibility Study (DFS or the Study) during the quarter. The DFS is expected to build on the results of both the Scoping Study (ASX announcement 21 October 2020) and technical studies undertaken after the completion of the Scoping Study.

The Company has pre-selected a number of consulting firms to assist in the DFS, these include:

• Senet Engineering

• SLR Consulting

• Orelogy Mine Consulting

• Dhamana Consulting

An indicative timeline for the proposed activities is shown below.

Table 1: Feasibility Study Timeline

Activity		2021	2021				2022	2022
	Sept	Oct	Nov	Dec	Jan	Feb	Mar	Apr	May	June
Technical studies
Exploration
Process design
Geotechnical
Plant and infrastructure
Mine Design and production plan
Closure planning
Cost estimates
Reporting

Ore Sorting – uranium grades improved by up to 100%

The Company has completed two programs of testwork on four samples of run of mine ore at the STEINERT testing facility in Perth (ASX announcements 5 July 2021 and 26 August 2021). The STEINERT facility was selected as testing is done in a commercial scale ore sorting unit, similar to the potential facility that may be installed at Kayelekera.

The ore sorting work tested two sensors, colour and density. The results show that colour is the main sorting criteria and indicate an upgrade ratio in the feed of 1.7 at recoveries of 86% or an upgrade ratio of 1.5 with 92% recovery (Table 2). This means more uranium in the same mass, which would allow increased production rates for the same tonnage treated.

Further testwork is planned, including testing additional samples which are being sent from site, and upgrading the fines portion of the feed material.

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Table 2: Colour and Density Ore Sorting Results

Sample	Mass Split	Upgrade Ratio	Distribution
Fines(-20mm)	16.5	1.0	16.2
Ore sorter(+20mm)	83.5	1.0	83.8
Concentrate	33.5	2.1	69.9
Middlings	10.6	0.6	5.7
Tails	39.4	0.2	8.2
Products
Conc + Fines	50.0	1.7	86.0
Conc + Midds + Fines	60.6	1.5	91.8
Head Sample	100	1.0	100

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Figure 1: Video of explaining and showing the Ore Sorting test work

There are a number of different scenario in which ore sorting can potentially benefit the project, including:

• Increasing annual production rates to achieving the nominal production rate of the back-end circuit (i.e., drying and packing) of ~3Mlbs/annum on a more continuous basis

• Focusing on the lower grade materials (stockpile and mineralised waste) and converting these from marginal ores to economic feed material for the main process plant

• Further assessment of the option to reduce acid consumption and mill power draw through rejection of barren calcite and silicate materials

Power Supply Assessment

When the Project previously operated from 2009 to 2014, power was generated by diesel generators, which were the only reliable energy source available at that time. Estimated power costs are ~US$0.28 - $0.32/kWh based on the current diesel price, with power accounting for ~15% of the C1 costs when the plant was operating.

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The Company has looked into a number of options for power supply including:

• Connecting to the national grid

• Generating power from excess heat generated in the onsite acid plant (estimated at 2MW)

• Renewable options, including solar and hydro

• Replacement of the existing diesel gensets with a Build-Own-Operate (BOO) contract arrangement

While connecting to the national grid poses a risk in relation to sustained reliability of supply, it could potentially provide the lowest cost option with power unit charge rates ranging from US$0.06/kWh during off-peak, up to US$0.18/kWh for on-peak (a weighted average daily cost is US$0.10/kWh).

To overcome the reliability issues the Company expects the optional power solution will incorporate a combination of power supply options, which together have the ability to significantly reduce power costs and CO2 emissions.

Discussions are ongoing with ESCOM, the Malawian electricity supply company, and a Malawian electrical power consultant has been contracted to undertake an assessment of availability and capital and operating costs for connecting to the grid either at the nearby town of Karonga (~50km from Kayelekera) or other potential substations in close proximity to Kayelekera.

Metso Outotec is preparing the study for recovering energy via a steam turbine from the acid plant and solar providers have been requested to send proposals for various solar options.

The Company is currently completing a detailed power assessment study that be part of the DFS. This assessment will consider both the cost implications and the carbon emissions for the Project.

Acid recovery

Acid consumption and the associated costs are a significant component of the operating costs at Kayelekera, accounting for ~14% of the C1 costs. Reducing acid consumption or improving acid recovery within the process, either via the installed nano-filtration plant or through improved recirculation, is therefore an important component of the DFS.

Not only is acid an expensive reagent, but the process itself is acid limited as the onsite acid plant has a maximum capacity of only ~235 tonnes per day sulphuric acid. By reducing acid consumption or recovering more acid, there is an option to maximise plant throughput and production, thereby consuming the additional acid or maintaining the same throughput but reducing the production of fresh acid and therefore related costs.

The acid recovery work has also focused on investigating the benefits that ore sorting could have in terms of rejecting the high acid consuming barren minerals from the feed material.

Tailings Storage Facility

The original production schedule from the Scoping Study shows that a second tailings storage facility (TSF) would be required after approximately five years of production. The cost of the initial ∼ cell (Cell 1) for the second TSF is US$20M with the second cell (Cell 2) requiring an additional US$30M.

Deferring the timing of this new build by optimising the existing TSF would be beneficial for Project cash flow, however a more attractive option is to look at using the depleted pit as a disposal area

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for tailings (and waste rock). This would eliminate the need for the second TSF, and the associated costs, completely. The Scoping Study assumed the pit is mined out during year six of production and the timing may align well for the application of this option.

EXPLORATION COMMENCES AT THE MILENJE HILLS RARE EARTH PROSPECT

Milenje Hills is located 2km north of the Kayelekera open pit and was first identified through ground surveys and mapping in 2014. In 2020, the Company completed its initial work program at Milenje Hills and discovered high-grade rare earth oxide (REO) material related to uranium mineralisation that grades up to 16% total REO and 3.4% critical REO (ASX Announcement 1 February 2021).

Following these strong initial results, the Company committed to further exploration at Milenje Hills, including an inaugural drill program. The exploration program commenced in September and included the following:

• Extension of the geophysical dataset to include additional survey lines over the large anomaly identified in initial work

• Mapping in the broader area to define new mineralised zones

• Additional trenching with an excavator in new zones as well as deepening some of the previous trenches and extending others where good mineralisation was observed

• ~1,500 metres of RC drilling to follow up on selected anomalies / mineralised zones identified from the trenching, mapping and geophysics

The Company is in the process of send the sample to an independent laboratory in South Africa for assay. The Company anticipates these results will be received later this year and assuming success, the Company will determine the optimal path forward to crystalise value for shareholders.

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Figure 2: Drill setting up at Milenje Hills Rare Earth Prospect

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LOTUS ADOPTS ENVIRONMENTAL, SOCIAL AND GOVERANCE (ESG) GLOBAL REPORTING PRINCIPALS

Uranium is the critical component in the production of nuclear energy, the only reliable baselode energy source with zero carbon emissions. With the growing global targets for reduced CO2 emissions, nuclear energy will continue to play a crucial role in decarbonisation of global power generation.

The Company’s target is to become a leader in Malawi regarding ESG performance as it continues to advance the development of the Kayelekera Uranium Project.

The Company is committed to developing its Kayelekera Project to support the UN Sustainable Development Goals, using them as a mechanism by which to define its performance and measure its progress towards those goals.

Put in place by the UN General Assembly in 2015, with a target date of 2030, the UN Sustainable Development Goals and are aimed at eradicating poverty and inequality and tackling climate change, especially in developing countries such as Malawi where the Company’s flagship operation is located.

Materiality matrix

Lotus has engaged with a range of stakeholders to develop a list of topics that are most significant to them. Based on this, Lotus has produced a materiality matrix to prioritise the most-pressing ESG issues to be addressed as operations at Kayelekera progress from the current care and maintenance phase into development, production and closure and rehabilitation.

Significant ESG issues identified include:

• Health and safety,

• Community engagement,

• Waste and hazardous materials,

• Water and ecology,

• Legal and regulatory,

• Rehabilitation and mine closure,

• Business ethics,

• Security, and

• Economic performance & financial management.

The Company is now developing strategies and management plans to address these issues. In addition, the following early initiatives that the Company believes will positively impact future operations are being incorporated into the work programs:

• Transitioning from diesel-based power to supply to more sustainable grid-based power and/or renewable energy sources such as solar

• in Malawi ~70% of power is hydroelectric (with a further 3% from biomass)

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• Improved utilisation of waste material through converting them into economic resources using new technologies such as ore sorting

• Improved water recovery, reduced freshwater intake and reduced discharge to the environment by considering processes such as enhanced evaporation

• Community Development Agreement that will look at supporting projects defined by the local communities around Kayelekera when operations recommence

• Supporting local communities with financial and other support as we build our relationships

• The Company is preparing its first Sustainability Report which it will release in Q4 2021.

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Figure 3: Community Development Engagement Meeting Attendees

CORPORATE

Cash at the end of the Quarter

As at 31 September 2021, Lotus had cash of $29.1 million (unaudited), inclusive of both restricted and unrestricted cash. The Cash balance increased by $0.8 million compared to the 30 June 2021 quarter ($28.3 million - unaudited), due to the divestment of non-core assets and the conversion of unlisted options. During the Quarter, the Company spent approximately $1.6 million on care and maintenance of the Kayelekera Project and work focused on positioning Kayelekera for a timely restart of operations.

Increased ownership in Kayelekera to 85%

The Company held a general meeting on 30 July 2021, to among other things, seek shareholder approval for the acquisition of an additional 20% of Kayelekera and the issue of securities to

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directors. All resolutions were passed. This acquisition increased the Company’s ownership in the Kayelekera Uranium Project to 85%, with the remaining 15% owned by the Malawian Government.

Complete divestment of non-core Australian assets

During the Quarter, the Company completed the divestment of the Hylea Cobalt Project (Hylea Project) to Sunrise Energy Metals Limited (ASX.SRL) (Sunrise). The total consideration for the transaction comprised $1.0 million in cash (Cash Consideration) and 724,086 shares in Sunrise (Sunrise Shares).

Working with Sunrise, the Company subsequently sold the Sunrise Shares, which together with the Cash Consideration, brings the total cash proceeds from the divestment of the Hylea Project to $2.2 million.

Mining and exploration licences renewed at Kayelekera

During the period, the Company announced that the renewal of the Company’s mining for its Kayelekera Project were renewed by an additional 15 years. The Company’s Exploration licences were also extended for another two years inline with legislation.

The Mining Licence, ML0152, which was signed by the Honourable Rashid Abdul Gaffar, Minister

of Mines, on 1 September 2021.

The Company would like to thank our local team who worked closely with the Government through this process, as well as Malawi’s Minister of Mining, The Honourable Mr Rashid Gaffar, and the Malawian Government for their continued support.

Payments to Related Parties

Mr Grant Davey, who is a Non-Executive Director of the Company is a Director and shareholder of Matador Capital Pty Ltd (Matador Capital). The Company makes payments to Matador Capital under a Shared Services Agreement in which Matador Capital provides office space, general office services, bookkeeping services and technical exploration and geological staff to the Company. The services provided by Matador Capital are recovered from the Company on a cost-plus basis (September quarter $41,000).

The Company’s Non-executive Chairman, Mr Michael Bowen, is a partner of law firm, Thomson Geer. During the September quarter, the Company paid legal fees of $23,000 to Thomson Geer for legal services.

Payments to all directors for executive and non-executive directors’ fees in the September Quarter were $169,000.

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TENEMENT INTERESTS

The Company’s tenement interests as at 30 September 2021 are shown in Table 3.

Table 3. Tenement interests as at 30 September 2021

Tenement	Ownership	Registered Holder	Location
ML 0152 - Kayelekera	85%	Lotus Africa Limited	Malawi
EL418 - Chilumba1	85%	Lotus Africa Limited	Malawi
EL489 - Nthalire1	85%	Lotus Africa Limited	Malawi
EL502 - Juma-Miwanga1	85%	Lotus Africa Limited	Malawi
EL417 - Rukuru1	85%	Lotus Africa Limited	Malawi

This Quarterly Report has been authorised for release by the Board.

For further information, contact:

Keith Bowes

Managing Director T: T: +61 (08) 9278 2441

Adam Kiley

Business Development T: +61 (08) 9278 2441

REFERENCE TO PREVIOUS ASX ANNOUNCEMENTS

In relation to information in this September quarterly report that relates to previously reported exploration results, the dates of which are referenced, Lotus confirms that it is not aware of any new information or data that materially affects the information included in those announcements.

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ABOUT LOTUS

Lotus Resources Limited (ASX: LOT, OTCQB: LTSRF) owns an 85% interest in the Kayelekera Uranium Project in Malawi. The Project hosts a current resource of 37.5M lbs U3O8 (see table below), and historically produced ~11MIb of uranium between 2009 and 2014. The Company completed a positive Restart Study[1] which demonstrated that Kayelekera can support a viable long-term operation and has the potential to be one of the first uranium projects to recommence production in the future.

Table 4. Kayelekera Mineral Resource Estimate – March 2020[1]

Category	Mt	Grade (U3O8 ppm)	U3O8 (M kg)	U3O8 (M lbs)
Measured	0.7	1,010	0.7	1.5
Measured – RoM Stockpile2	1.6	760	1.2	2.6
Indicated	18.7	660	12.3	27.1
Inferred	3.7	590	2.2	4.8
Total	24.6	660	16.3	36.0
Inferred – LG Stockpiles3	2.4	290	0.7	1.5
Total All Materials	27.1	630	17.0	37.5

For more information, visit www.lotusresources.com.au

1 See ASX announcement dated 26 March 2020. Lotus confirms that it is not aware of any new information or data that materially affects the information included in the announcement of 26 March 2020 and that all material assumptions and technical parameters underpinning the Mineral Resource estimate in that announcement continue to apply and have not materially changed.

2 RoM stockpile has been mined and are located near mill facility.

3 Medium-grade stockpiles have been mined and placed on the medium-grade stockpile and are considered potentially feasible for blending or beneficiation, with studies planned to further assess this optionality.

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Rule 5.5

Appendix 5B

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Name of entity

Lotus Resources Limited	Lotus Resources Limited
ABN		Quarter ended (“current	quarter”)
38 119	992 175	30 September 2021
Consolidated statement of cash flows		Current quarter	Year to date (3
		$A’000	months)
			$A’000
1.	Cash flows from operating activities
1.1	Receipts from customers
1.2	Payments for
	(a) exploration & evaluation	(835)	(835)
	(b) care & maintenance	(743)	(743)
	(c) development	-	-
	(d) production	-	-
	(e) staff costs	(132)	(132)
	(f) administration and corporate costs	(523)	(523)
1.3	Dividends received (see note 3)	-	-
1.4	Interest received	3	3
1.5	Interest and other costs of finance paid	-	-
1.6	Income taxes paid	-	-
1.7	Government grants and incentives	-	-
1.8	Other (Business development activities)	-	-
1.9	Net cash from / (used in) operating	(2,230)	(2,230)
	activities
2.	Cash flows from investing activities
2.1	Payments to acquire:
	(a) entities	-	-
	(b) tenements	-	-
	(c) property, plant and equipment	(184)	(184)
	(d) exploration & evaluation (if capitalised)	-	-
	(e) investments	-	-
	(f) other non-current assets	-	-

ASX Listing Rules Appendix 5B (01/12/19) + See chapter 19 of the ASX Listing Rules for defined terms.

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Appendix 5B

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Consolidated statement of cash flows	Consolidated statement of cash flows	Current quarter	Year to date (3
		$A’000	months)
			$A’000
2.2	Proceeds from the disposal of:
	(a) entities	-	-
	(b) tenements	2,196	2,196
	(c) property, plant and equipment	-	-
	(d) investments	-	-
	(e) other non-current assets	-	-
2.3	Cash flows from loans to other entities	-	-
2.4	Dividends received (see note 3)	-	-
2.5	Other (provide details if material)	-	-
2.6	Net cash from / (used in) investing	2,012	2,012
	activities
3.	Cash flows from financing activities
3.1	Proceeds from issues of shares	-
3.2	Proceeds from issue of convertible debt	-
	securities
3.3	Proceeds from exercise of options	407	407
3.4	Transaction costs related to issues of equity	-	-
	securities or convertible debt securities
3.5	Proceeds from borrowings	-	-
3.6	Repayment of borrowings	-	-
3.7	Transaction costs related to loans and	-	-
	borrowings
3.8	Dividends paid	-	-
3.9	Other (provide details if material)	-	-
3.10	Net cash from / (used in) financing	407	407
	activities
4.	Net increase / (decrease) in cash and
	cash equivalents for the period
4.1	Cash and cash equivalents at beginning of	28,324	28,324
	period
4.2	Net cash from / (used in) operating	(2,230)	(2,230)
	activities (item 1.9 above)
4.3	Net cash from / (used in) investing activities	2,012	2,012
	(item 2.6 above)
4.4	Net cash from / (used in) financing activities	407	407
	(item 3.10 above)

ASX Listing Rules Appendix 5B (01/12/19) + See chapter 19 of the ASX Listing Rules for defined terms.

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Appendix 5B

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Consolidated statement of cash flows	Consolidated statement of cash flows	Current quarter	Year to date (3
		$A’000	months)
			$A’000
4.5	Effect of movement in exchange rates on	641	641
	cash held
4.6	Cash and cash equivalents at end of	29,155	29,155
	period
5.	Reconciliation of cash and cash	Current quarter	Previous quarter
	equivalents	$A’000	$A’000
	at the end of the quarter (as shown in the
	consolidated statement of cash flows) to the
	related items in the accounts
5.1	Bank balances	1,592	296
5.2	Call deposits	13,694	14,706
5.3	Bank overdrafts	-	-
5.4	Other (provide details)	13,8681	13,3011
5.5	Cash and cash equivalents at end of	29,154	28,303
	quarter (should equal item 4.6 above)

1 The Company acquired a $10 million USD (AUD$13.9 million) cash backed environmental performance bond as part of the acquisition of the Kayelekera Uranium project. This is restricted cash that cannot be used to fund operations whilst the environmental performance bond is in place.

6.	Payments to related parties of the entity and their	Current quarter
	associates	$A'000
6.1	Aggregate amount of payments to related parties and their	233
	associates included in item 1
6.2	Aggregate amount of payments to related parties and their	-
	associates included in item 2

Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an explanation for, such payments

Payments to all Directors for Directors’ fees (September quarter: $169k).

Mr Grant Davey, who is a Non-Executive Director of the Company is a Director and shareholder of Matador Capital Pty Ltd (Matador Capital). The Company makes payments to Matador Capital under a Shared Services Agreement in which Matador Capital provides office space, general office services, bookkeeping services and technical exploration and geological staff to the Company. The services provided by Matador Capital are recovered from the Company on a cost-plus basis (September quarter $41k).

The Company’s Non-executive Chairman, Mr Michael Bowen, is a partner of law firm, Thomson Geer. During the September quarter, the Company paid legal fees of $23k to Thomson Geer for legal services.

ASX Listing Rules Appendix 5B (01/12/19) + See chapter 19 of the ASX Listing Rules for defined terms.

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Appendix 5B

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

7.	Financing facilities Total facility	Amount drawn at
	Note: the term “facility’ includes all forms of financing arrangements available to the entity. Add notes as necessary for an understanding of the sources of finance available to the entity. amount at quarter end $A’000	quarter end $A’000
7.1	Loan facilities -	-
7.2	Credit standby arrangements -	-
7.3	Other (please specify) -	-
7.4	Total financing facilities -	-
7.5	Unused financing facilities available at quarter end	-
7.6	Include in the box below a description of each facility above, including	the lender, interest
	rate, maturity date and whether it is secured or unsecured. If any additional financing
	facilities have been entered into or are proposed to be entered into after quarter end,
	include a note providing details of those facilities as well.

8.	Estimated cash available for future operating activities $A’000	Estimated cash available for future operating activities $A’000
8.1	Net cash from / (used in) operating activities (Item 1.9)	(2,230)
8.2	Capitalised exploration & evaluation (Item 2.1(d))	-
8.3	Total relevant outgoings (Item 8.1 + Item 8.2)	(2,230)
8.4	Cash and cash equivalents at quarter end (Item 4.6)	29,1551
8.5	Unused finance facilities available at quarter end (Item 7.5)	-
8.6	Total available funding (Item 8.4 + Item 8.5)	29,1551
8.7	Estimated quarters of funding available (Item 8.6 divided by	13.12
	Item 8.3)
	1The Company acquired a $10 million USD (AUD$13.9 million)	cash backed environmental
	performance bond as part of the acquisition of the Kayelekera Uranium	project. This is restricted cash
	that cannot be used to fund operations whilst the environmental performance bond is in place.
	2With the exclusion of the $10 million USD environmental performance bond (restricted cash) the
	Company has estimated 6.9 quarters of funding available.
8.8	If Item 8.7 is less than 2 quarters, please provide answers to the	following questions:
	1. Does the entity expect that it will continue to have the current level of net operating
	cash flows for the time being and, if not, why not?

N/A

N/A
2.	Has the entity taken any steps, or does it propose to take any steps, to raise further
	cash to fund its operations and, if so, what are those steps and how likely does it
	believe that they will be successful?
N/A

3.	Does the entity expect to be able to continue its operations and to meet its business
	objectives and, if so, on what basis?

N/A

ASX Listing Rules Appendix 5B (01/12/19) + See chapter 19 of the ASX Listing Rules for defined terms.

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Appendix 5B

Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Compliance statement

• 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.

• 2 This statement gives a true and fair view of the matters disclosed.

Date: 29 October 2021...................................................................................

Authorised by: By the Board...................................................................................

(Name of body or officer authorising release – see note 4)

Notes

1. This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about the entity’s activities for the past quarter, how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so.

2. If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.

3. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.

4. If this report has been authorised for release to the market by your board of directors, you can insert here: “By the board”. If it has been authorised for release to the market by a committee of your board of directors, you can insert here: “By the [ name of board committee – eg Audit and Risk Committee ]”. If it has been authorised for release to the market by a disclosure committee, you can insert here: “By the Disclosure Committee”.

5. If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Council’s Corporate Governance Principles and Recommendations , the board should have received a declaration from its CEO and CFO that, in their opinion, the financial records of the entity have been properly maintained, that this report complies with the appropriate accounting standards and gives a true and fair view of the cash flows of the entity, and that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively.

ASX Listing Rules Appendix 5B (01/12/19) + See chapter 19 of the ASX Listing Rules for defined terms.

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