PRL GLOBAL LTD — Capital/Financing Update 2022

Apr 7, 2022

==> picture [228 x 35] intentionally omitted <==

8 April 2022

The Manager Company Announcements Platform Australian Securities Exchange Level 4, 20 Bridge Street SYDNEY NSW 2000

ASX Code: CII

CI RESOURCES LIMITED – ACQUISITION OF FERTILISER TRADING BUSINESS LIVEN NUTIRENTS

CI Resources Limited ACN 006 788 754 (CIRL) (ASX Code: CII) is pleased to announce that it has entered into a Joint Venture Agreement (JVA) with Singapore-based Liven Agrichem Pte Ltd ( Liven Agrichem ), to acquire a controlling 60% stake in the Singapore based fertiliser trading business Liven Nutrients Pte Ltd ( Liven Nutrients ) for an investment totalling US$3.0 million.

Based in Singapore, Liven Agrichem – founded in 2000 by well-known fertiliser trader, James Lee – operates a significant and growing fertiliser and nutrient trading business, enabling the efficient flow of fertilisers across the Asia-Pacific. Liven Agrichem has expanded rapidly in this developing growth market, recording over US$288 million in revenue since 1 Jun 2021, with growth opportunities projected going forward.

Liven Nutrients (wholly owned by Liven Agrichem) has been established by Mr Lee as a vehicle for bringing all the Liven Agrichem assets and operations together for the purposes of growing its business with CIRL as a joint venture partner.

The acquisition substantially grows CIRL’s capacity in supplying fertilisers to customers in the Asia-Pacific region. The affiliation with Liven Agrichem and Mr Lee will present an opportunity to grow the market appreciably with the potential to unlock significant joint value.

Pursuant to the terms of the transaction, CIRL will acquire a 60% shareholding in Liven Nutrients (being 3,000,000 ordinary shares) for US$3.0 million cash.

CIRL will fund this transaction from cash reserves without raising debt or equity.

The binding acquisition is subject to standard conditions precedent for transactions of this nature, including the completion of due diligence (which has now been satisfied), obtaining any necessary third-party approvals (which CIRL considers are not required) and there being no material adverse change in the business prior to completion.

Completion is targeted for 30 April 2022 in Singapore.

Under the terms of the JVA, CIRL has the right to appoint a majority of directors to the Liven Nutrients' Board which, together with the 60% stake, will deliver control of Liven Nutrients to CIRL.

CI Resources Limited ABN 70 006 788 754 Postal address: PO Box 401 Victoria Park WA 6979 Telephone: +61 8 6250 4900

The Chair of CIRL, David Somerville, stated that:

“ This acquisition deepens CIRL’s already substantial fertiliser value chain capabilities including our core Christmas Island Phosphate operations, our marketing and manufacturing arm, Phosphate Resources Malaysia and our Phosphate Resources shipping business providing supply chain logistics services to the Asia Pacific region. The diversification of our revenue base continues unabated with significant prospects for both revenue and income accretion stemming from this investment. ”

ABOUT CI RESOURCES LTD

CI Resources Ltd is a diversified industrial ASX-listed company, with a strong foundation on Christmas Island together with an increasingly global footprint.

The business, underpinned by wholly owned subsidiary, Phosphate Resources Limited, has interests across Fertilisers, Global Supply Chain Logistics, Energy, Agri-Business, Facilities Management Services and Island Development.

For more information refer to our website at www.ciresources.com.au .

This ASX announcement was approved and authorised for release by the Board of CI Resources Ltd.

CONTACTS

For further information on CIR please visit its website, www.ciresources.com.au, or please contact:

David Somerville Chairman CI Resources Limited Telephone: +61 8 6250 4900

Elizabeth Lee Company Secretary CI Resources Limited Telephone: +61 8 6250 4900

2