ORPHEUS URANIUM LIMITED — Capital/Financing Update 2017

Feb 8, 2017

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9 February 2017

ASX Market Announcements Level 6, Exchange Centre 20 Bridge Street Sydney NSW 2000

Argonaut Resources Completes Share Placement

Argonaut Resources NL (ASX: ARE) ( Argonaut or the Company ) is pleased to advise that it has successfully completed a private Share Placement of 110,000,000 fully paid ordinary shares to sophisticated and professional investors at an average price of $0.0048 per share, raising a total of A$528,000 (before costs).

This Placement funds will be used for additional working capital for the Company. It was offered to investors satisfying the requirements of either s708(8), 708(10) or 708(11) of the Corporations Act, and will be allocated as below:

• a) 24,341,738 of the Placement shares will be taken from the Company’s 15% limit in accordance with ASX Listing Rule 7.1;

• b) 64,705,882 of the Placement shares will be taken from the 10% additional placement capacity under ASX Listing Rule 7.1A, and

• c) 20,952,380 of the Placement shares will be deemed taken in accordance with Resolution 3 as detailed in the Notice for the Company’s last Annual General Meeting “Approval to issue securities at 80% average market price (VWAP) to raise up to $3m”. This resolution was approved by shareholders on the day of the meeting, being 25 November 2016.

Taylor Collison Limited was appointed lead manager for the Placement issue.

Settlement of the Placement shares is expected to occur on 9 February 2017.

Yours faithfully,

Lindsay Owler Director and CEO Argonaut Resources NL

Sydney Suite 4, Level 9, 341 George Street, Sydney, NSW, 2000, Australia Phone: +61 2 9299 9690, Fax: +61 2 9299 9629, Email: sydney@argonautresources.com

Adelaide Level 1, 63 Waymouth Street, Adelaide SA 5000, Australia Phone: +61 8 8231 0381, Fax: +61 8 8231 6092, Email: adelaide@argonautresources.com

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