RENASCOR RESOURCES LIMITED — Capital/Financing Update 2016

Jun 21, 2016

ASX Announcement

22 June 2016

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ARNO GRAPHITE PROJECT UDATE – COMPLETION OF EARN-IN AND EXERCISE OF FIRST OPTION

• Renascor secures rights to 49% of Eyre Peninsula Minerals Pty Ltd (EPM), which holds an option over the Arno Graphite Project in South Australia’s Eyre Peninsula

• Renascor has acquired the rights to 20% of EPM by virtue of having successfully completed its initial exploration program at Arno

• Renascor has also exercised an option to acquire an additional 29% of EPM, taking its ownership interest in EPM to 49%, by the issuance (subject to shareholder approval) of 38.67 million ordinary shares in Renascor

• Renascor retains an option to acquire the remaining 51% of EPM by December 2016 by issuing additional Renascor shares

• Renascor intends to continue advancing the development of the Arno Project, where it recently defined Australia’s largest flake graphite Mineral Resource at the Siviour Graphite Deposit

• Upcoming work programs to include further metallurgical tests at Sivour and resource expansion drilling to assist in the preparation of a scoping study next quarter

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Figure 1. Arno graphite project, showing location and nearby graphite deposits

ACN 135 531 341 36 North Terrace, Kent Town, SA 5067 Phone: +61 8 8363 6989 • Fax: +61 8 8363 4989 Email: info@renascor.com.au

ASX code: RNU www.renascor.com.au

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Renascor Resources (ASX: RNU) is pleased to announce that it has exercised it rights to acquire a 49% ownership interest in Eyre Peninsula Minerals Pty Ltd (EPM), which holds an option over the Arno Graphite Project in South Australia’s Eyre Peninsula.

Discussion

Pursuant to its agreement with EPM and EPM’s shareholders, Renascor has an option to acquire up to 100% of EPM in exchange for exploration expenditure and shares and options in Renascor. EPM, in turn, has an option to acquire Ausmin Development Pty Ltd (Ausmin), an unlisted company that holds the underlying rights to the Arno Graphite Project.

As part of its agreement with EPM and EPM shareholders, Renascor committed to completing $400,000 in exploration expenditure by 21 June 2016 in exchange for shares representing 20% of the outstanding share capital of EPM. Renascor has now completed this earn-in requirement and EPM has agreed to issue shares representing 20% of its outstanding share capital.

Renascor’s agreement with EPM and its shareholders also grants Renascor two options pursuant to which Renascor can increase its ownership in EPM to 100%. The first option permits Renascor to acquire an additional 29% of the outstanding share capital of EPM by issuing 38,666,667 ordinary shares in Renascor. Renascor has now served notice to EPM of its exercise of this option. Subject to obtaining shareholder approval at the extraordinary shareholder meeting scheduled for 30 June 2016, Renascor will take its ownership interest in EPM to 49%.

A second option grants Renascor the right to acquire the remaining 51% of the outstanding share capital of EPM (thereby taking Renascor’s total interest in EPM to 100%) by issuing (i) shares in Renascor to the value of $2,040,000 as determined by the 20-day volume-weighted average price of Renascor shares at the time of exercise, and (ii) 15,000,000 options exercisable at $0.05 per option and expiring three years from the date of grant. The option is exercisable at any time prior to 21 December 2016. Renascor intends to complete additional work on the project tenements prior to committing to exercise this option.

Next steps

Renascor intends to continue advancing the development of the Arno Project, where it recently defined Australia’s largest flake graphite Mineral Resource at the Siviour Graphite Deposit.

Earlier this month, Renascor completed a diamond core drill program at Siviour, intersecting substantial graphite over four holes drilled within the Indicated and Inferred Resources at Siviour. Pending receipt of assays later this month, Renascor expects that the core obtained will assist in further metallurgical test work, including detailed-size fraction analysis and sighter test work to determine the appropriate parameters for flow-sheet determination.

In addition, Renascor expects to recommence drilling at Siviour early next month, targeting increases to the existing Mineral Resource at Siviour in shallow areas open immediately along strike.

The results of the upcoming metallurgical tests and resource expansion drilling are expected to assist in the preparation of a scoping study next quarter.

ACN 135 531 341 36 North Terrace, Kent Town, SA 5067 Phone: +61 8 8363 6989 • Fax: +61 8 8363 4989 Email: info@renascor.com.au

ASX code: RNU

www.renascor.com.au

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The results reported herein, insofar as they relate to exploration results, are based on information provided to and reviewed by Mr G.W. McConachy (Fellow of the Australasian Institute of Mining and Metallurgy) who is a director of the Company. Mr McConachy has sufficient experience relevant to the style of mineralisation and type of deposits being considered to qualify as a Competent Person as defined by the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code, 2012 Edition). Mr McConachy consents to the inclusion in the report of the matters based on the reviewed information in the form and context in which it appears. This report may contain forward-looking statements. Any forward-looking statements reflect management’s current beliefs based on information currently available to management and are based on what management believes to be reasonable assumptions. A number of factors could cause actual results, or expectations to differ materially from the results expressed or implied in the forward-looking statements.

Background information

Renascor Resources is an Australian-based company focused on the discovery and development of economically viable mineral deposits. Renascor has an extensive tenement portfolio, holding interests in projects in key mineral provinces of South Australia, the Northern Territory and Western Australia, including significant graphite projects near Arno Bay, South Australia and at Munglinup, Western Australia.

FOR FURTHER INFORMATION, PLEASE CONTACT:

Mr David Christensen Mr Angelo Gaudio

Managing Director Company Secretary +61 8 8363 6989 info@renascor.com.au

ACN 135 531 341 36 North Terrace, Kent Town, SA 5067 Phone: +61 8 8363 6989 • Fax: +61 8 8363 4989 Email: info@renascor.com.au

ASX code: RNU

www.renascor.com.au

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