ORA BANDA MINING LTD — Capital/Financing Update 2016

Feb 28, 2016

ASX ANNOUNCEMENT

29 FEBRUARY 2016

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PROSPECTUS OFFER CLOSES OVERSUBSCRIBED RAISING $25 MILLION

Eastern Goldfields Limited ( Company ) (ASX:EGS) is pleased to announce that its offer to raise a minimum of $6 million and a maximum of $20 million with the ability to accept oversubscriptions for an additional $5 million, in each case before costs, pursuant to the Prospectus dated 24 December 2016 ( Offer ), has closed oversubscribed following excellent investor support for the Company.

The Company has received commitments for a total of $25,000,000 (before costs) after accepting applications for 166,666,667 shares at $0.15 per share. The Offer, which was managed by Hartleys Limited, was well supported by domestic and international institutional and sophisticated investor clients of Hartleys Limited, and by a number of other institutional and professional investors.

In accordance with the terms of the Offer, the Company expects to issue approximately $15 million of shares under the Offer on Monday, 29 February 2016, and the remainder of the shares as soon as practicable following receipt of shareholder approval at the 2015 annual general meeting to be held on 16 March 2016. Given the strong investor demand, the Board will determine the allocation process in respect of oversubscriptions in excess of $25,000,000 after the settlement of the first tranche and prior to settlement of the second tranche.

The Company is also continuing to progress various matters associated with the re-quotation of its securities on ASX, and anticipates the re-quotation date to be on or prior to 24 March 2016.

Commenting on the success of the Offer and the overwhelming investor support, Executive Chairman Michael Fotios stated:

“This is a tremendous result for the Company and will provide great impetus in Eastern Goldfields’ application to have its shares successfully requoted on the ASX in the coming weeks, after a number of years in suspension.

The capital raising is also a significant milestone towards re-commencing gold production at the Davyhurst Project, and is a strong signal of support for both the asset and in the Eastern Goldfields team.

On behalf of the Board I would like to thank all those whose efforts have enabled the Company to achieve these objectives, and we look forward to an exciting 2016 for Eastern Goldfields and its shareholders”.

Michael Fotios Michael Jardine Executive Chairman General Manager Corporate & Investor Relations T: +61 8 6241 1888 T: +61 424 615047 E: michael@deltaman.com.au E: michael.jardine@deltaman.com.au

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