ORA BANDA MINING LTD — Capital/Financing Update 2018

Feb 25, 2018

ASX ANNOUNCEMENT 26 February 2018

Close of Entitlement Offer

HIGHLIGHTS

• ➢ The Company’s Entitlement Offer closed on 21 February 2018, with $2,804,260 raised from existing shareholders, giving a total shareholder take up of 39% of the Entitlement Offer.

Eastern Goldfields Limited (the Company ) wishes to advise that the Company’s non-renounceable, partially underwritten entitlement offer ( Entitlement Offer ) closed at 5:00pm (WST) on Wednesday, 21 February 2018. Under the Entitlement Offer, the Company is able to issue up to 35,924,270 new fully paid ordinary shares ( New Shares ) at an issue price of $0.20 per New Share on the basis of 1 New Share for every 20 existing fully paid ordinary shares, together with a free attaching Option per New Share acquired ( New Options ).

The Company advises that it received valid applications under the Rights Issue for 11,247,806 New Shares from shareholders, leaving a shortfall of 24,676,464 shares and options ( Shortfall Securities ). In addition, the Company has received additional applications from existing shareholders for a further 2,773,497 New Shares in accordance with section 2.9 of the prospectus dated 1 February 2018 (as supplemented by the supplementary prospectus dated 20 February 2018) ( Prospectus ).

ISSUED CAPITAL

Shares: 754m[1,2] Options: 168m[2 ] Current Share Price: $0.235 Market Capitalisation: $177m Cash as at 31/12/2017: $80,000[3]

1. 66,668 escrowed indefinitely

2. Including shares and options to be issued pursuant to nonrenounceable rights issue announced 1/02/2018

3. Excluding total debt facilities of $35m, see ASX announcement 31/01/17.

The following table summarises the number of New Shares and New Options for which entitlement applications were received and the resultant Shortfall Securities.

	NewShares	NewOptions	GrossProceeds
Total Subscriptions available underthe Entitlement Offer	35,924,270	35,924,270	$7,184,854
Applications for entitlementsunder the Entitlement Offer	11,247,806	11,247,806	$2,249,561
Shortfall Securities	24,676,464	24,676,464	$4,935,292
Applications for additionalsecurities by existing shareholdersunder the Entitlement Offer	2,773,497	2,773,497	$554,699

The additional applications for securities received from eligible shareholders in excess of their entitlement will be allocated by the Company. Remaining Shortfall Securities will be allocated by the Company pursuant to the Shortfall Offer (as detailed in section 2.10 of the Prospectus), or otherwise pursuant to the

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Underwriting Agreement with Investmet Limited (or a combination of both), in accordance with the Prospectus.

The Company’s Executive Chairman, Mr Michael Fotios, said:

“ The funds raised from the Entitlement Offer, and the placement completed on 5 February 2018, place Eastern Goldfields in a strong position as it ramps up production at the Davyhurst Project and continues its exploration activities in its Golden Eagle and Riverina deposits. Eastern Goldfields is at an exciting stage, with 2018 likely to be a transformational year for the Company.”

Allotment of the shares subscribed for under the Entitlement Offer (including additional applications for securities received from eligible shareholders), will take place on 28 February 2018, with despatch of shareholding statements occurring on the same day. Trading of the new shares is expected to commence following the re-quotation of the Company’s securities on ASX. The Company is continuing to progress matters associated with the re-quotation of its securities to trading and intends to provide further information to ASX for release to the market in the near future.

Allotment of the Shortfall Securities to participants in the Shortfall Offer or to Investmet Limited pursuant to the Underwriting Agreement will take place no later than 14 March 2018.

Enquiries

Michael Fotios

Executive Chairman

T: +61 8 6241 1866 E : admin@easterngoldfields.com.au

Forward Looking Statements

Statements contained in this document, including but not limited to those regarding the possible or assumed future costs, projected timeframes, performance, dividends, returns, revenue, exchange rates, potential growth of the Company, industry growth, commodity or price forecasts, or other projections and any estimated company earnings are or may be forward looking statements. Forward-looking statements can generally be identified by the use of words such as ‘project’, ‘foresee’, ‘plan’, ‘expect’, ‘aim’, ‘intend’, ‘anticipate’, ‘believe’, ‘estimate’, ‘may’, ‘should’, ‘will’ or similar expressions. Forward looking statements including all statements in this presentation regarding the outcomes of preliminary and definitive feasibility studies, projections, guidance on future earnings and estimates are provided as a general guide only and should not be relied upon as an indication or guarantee of future performance. These statements relate to future events and expectations and as such involve known and unknown risks and significant uncertainties, many of which are outside the control of the Company. Actual results, performance, actions and developments of the Company may differ materially from those expressed or implied by the forward-looking statements in this document. Such forward-looking statements speak only as of the date of this document. There can be no assurance that actual outcomes will not differ materially from these statements. To the maximum extent permitted by law, the Company and any of its affiliates and their directors, officers, employees, agents, associates and advisers: disclaim any obligations or undertaking to release any updates or revisions to the information in this document to reflect any change in expectations or assumptions; do not make any representation or warranty, express or implied, as to the accuracy, reliability or completeness of the information in this document, or likelihood of fulfilment of any forward-looking statement or any event or results expressed or implied in any forward-looking statement; and disclaim all responsibility and liability for these forward-looking statements (including, without limitation, liability for negligence). Nothing in this document will under any circumstances create an implication that there has been no change in the affairs of the Company since the date of this document.

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