SAVANNAH GOLDFIELDS LIMITED — Capital/Financing Update 2018

Jul 31, 2018

Level 9, Waterfront Place, 1 Eagle St, Brisbane QLD 4000 GPO Box 1164, Brisbane QLD 4001 Telephone: 07 3108 3500 Fax: 07 3108 3501 Email: admin@lanewayresources.com.au www.lanewayresources.com.au

ASX ANNOUNCEMENT

1 August 2018

Update on Capital Raising

Highlights

• ✚ The previously announced capital raising program to raise up to $3 million has now received subscriptions and firm commitments for the total amount sought;

• ✚ Subscriptions totalling $1.08 million have now been received by the Company, with firm commitments for a further $1.92 million being received from investors (including Laneway’s directors), subject to receipt of the necessary shareholder approval.

On 28 June 2018, the Board of Laneway Resources Limited ( Laneway , ASX:LNY) announced that the Company would be undertaking a capital raising of up to $3 million (before issue costs) to continue to develop Laneway’s projects and meet its strategic goals.

The capital raising consists of:

• the issue of up to 333 million ordinary shares with an issue price of 0.3 cents per share to raise up to $1 million; and

• the issue of up to 400 million secured Convertible Notes, with a face value of 0.5 cents per note, an interest rate of 15% per annum maturing 30 June 2020, to raise up to $2 million.

In addition to the securities issued on 28 June 2018 to the value of $0.86 million, the Board is pleased to advise that it has received additional funds of $0.22 million for which shares and convertible notes can be issued within the Company’s ASX Listing Rule 7.1 placement capacity. The Company has also received firm commitments to subscribe for shares and convertible notes, which is subject to shareholder approval, for the balance of the amount sought totalling $1.92 million.

An Appendix 3B – New Issue Announcement will be released later today following allotment of Shares and Convertible Notes for the further $0.22 million of funds recently received from subscribers to the capital raising.

Entities associated with directors, Stephen Bizzell, Rick Anthon, Mark Baker and Peter Wright have committed to subscribe for in aggregate up to $0.76 million in the raising. The issue of securities to these parties, together with the issue of securities to unrelated third parties for the balance of the raising that exceeds the Company’s current placement capacity,

is subject to receipt of shareholder approval, which will be sought at an Extraordinary General Meeting (EGM) of shareholders.

The capital raising will enable the Company to advance its Agate Creek gold, New Zealand gold and NSW coal projects as well as make payments to creditors, allow repayment of existing borrowings and provide general working capital.

Funds will be primarily directed towards Laneway’s 100% owned Agate Creek gold project. The Company will utilize the proceeds of the capital raising to complete the remainder of the project approvals process and to make payments that will be due upon grant of the mining lease and to provide funding towards the mine development start-up after grant of the Mining Lease.

Bizzell Capital Partners, a company associated with the Company’s Chairman, assisted in the capital raising and will receive fees in this regard.

For and on behalf of the Board JPK Marshall Company Secretary