STELLAR RESOURCES LIMITED — Capital/Financing Update 2023

Oct 19, 2023

Proposed issue of securities

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Announcement Summary

Entity name

STELLAR RESOURCES LIMITED

Announcement Type

New announcement

Date of this announcement

20/10/2023

The Proposed issue is:

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A placement or other type of issue

Total number of +securities proposed to be issued for a placement or other type of issue

		Maximum Number of
ASX +security code	+Security description	+securities to be issued
New class-code to be	Unlisted Options	10,000,000
confirmed

Proposed +issue date

7/12/2023

Refer to next page for full details of the announcement

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Part 1 - Entity and announcement details

1.1 Name of +Entity

STELLAR RESOURCES LIMITED

We (the entity named above) give ASX the following information about a proposed issue of +securities and, if ASX agrees to +quote any of the +securities (including any rights) on a +deferred settlement basis, we agree to the matters set out in Appendix 3B of the ASX Listing Rules.

If the +securities are being offered under a +disclosure document or +PDS and are intended to be quoted on ASX, we also apply for quotation of all of the +securities that may be issued under the +disclosure document or +PDS on the terms set out in Appendix 2A of the ASX Listing Rules (on the understanding that once the final number of +securities issued under the +disclosure document or +PDS is known, in accordance with Listing Rule 3.10.3C, we will complete and lodge with ASX an Appendix 2A online form notifying ASX of their issue and applying for their quotation).

1.2 Registered Number Type

ACN

Registration Number 108758961

1.3 ASX issuer code

SRZ

1.4 The announcement is

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New announcement

1.5 Date of this announcement

20/10/2023

1.6 The Proposed issue is:

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A placement or other type of issue

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Part 7 - Details of proposed placement or other issue

Part 7A - Conditions

7A.1 Do any external approvals need to be obtained or other conditions satisfied before the placement or other type of issue can proceed on an unconditional basis? Yes

7A.1a Conditions

Approval/Condition Date for determination Is the date estimated or ** Approval actual? received/condition met? +Security holder approval 30/11/2023 Actual No

Comments

In respect of Placement announced on 20 October 2023, the Company proposes to issue Broker options to lead manager Taylor Collison Limited. It is proposed that the Company to issue 10,000,000 Broker Options. The Broker Options to be issued to the Lead Manager are subject to shareholder approval in November 2023.

Part 7B - Issue details

Is the proposed security a 'New class' (+securities in a class that is not yet quoted or recorded by ASX) or an 'Existing class' (additional securities in a class that is already quoted or recorded by ASX)? New class

Will the proposed issue of this +security include an offer of attaching +securities? No

Details of +securities proposed to be issued

ISIN Code (if Issuer is a foreign company and +securities are non CDIs)

Have you received confirmation from ASX that the terms of the proposed +securities are appropriate and equitable under listing rule 6.1? No

ASX +security code

New class-code to be confirmed

Will the entity be seeking quotation of the 'new' class of +securities on ASX? No +Security description Unlisted Options

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+Security type

Options

Number of +securities proposed to be issued

10,000,000

Offer price details

Are the +securities proposed to be issued being issued for a cash consideration? No

Please describe the consideration being provided for the +securities

Under the mandate with the Lead Manager, they will receive a management fee of 3.0% of the gross proceeds raised under the Placement, a selling fee of 3.0% of the gross proceeds raised under the Placement and 10,000,000 Broker Options. The Broker Options to be issued to the Lead Manager are subject to shareholder approval.

Please provide an estimate of the AUD equivalent of the consideration being provided for the +securities

Will all the +securities issued in this class rank equally in all respects from their issue date?

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Yes

Options details
+Security currency	Exercise price	Expiry date
AUD - Australian Dollar	AUD 0.0150	7/12/2026

Details of the type of +security that will be issued if the option is exercised

SRZAA : OPTION EXPIRING VARIOUS DATES EX VARIOUS PRICES

Number of securities that will be issued if the option is exercised

10,000,000

Please provide a URL link for a document lodged with ASX setting out the material terms of the +securities proposed to be issued or provide the information by separate announcement.

https://www.stellarresources.com.au/

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Part 7C - Timetable

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7C.1 Proposed +issue date 7/12/2023 Part 7D - Listing Rule requirements 7D.1 Has the entity obtained, or is it obtaining, +security holder approval for the entire issue under listing rule 7.1? Yes 7D.1a Date of meeting or proposed meeting to approve the issue under listing rule 7.1 30/11/2023 7D.2 Is a party referred to in listing rule 10.11 participating in the proposed issue? No 7D.3 Will any of the +securities to be issued be +restricted securities for the purposes of the listing rules? No 7D.4 Will any of the +securities to be issued be subject to +voluntary escrow? No Part 7E - Fees and expenses 7E.1 Will there be a lead manager or broker to the proposed issue? No 7E.2 Is the proposed issue to be underwritten? No

7E.4 Details of any other material fees or costs to be incurred by the entity in connection with the proposed issue These options are broker options that are proposed to be issued as part of the lead manager fees in relation to the capital raising announced on 20 October 2023.

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Part 7F - Further Information

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7F.01 The purpose(s) for which the entity is issuing the securities

As part consideration for services provided to the lead manager as announced on 20 October 2023.

7F.1 Will the entity be changing its dividend/distribution policy if the proposed issue proceeds? No

7F.2 Any other information the entity wishes to provide about the proposed issue

N/A

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