SUPERIOR RESOURCES LIMITED — Capital/Financing Update 2018

Mar 13, 2018

RIGHTS ISSUE – NOTIFICATION OF SHORTFALL

Superior Resources Limited (ASX Code: SPQ) (Superior or Company) is pleased to advise that its 1 for 4 non-renounceable rights issue, with free attaching options1 to raise up to $1.238 million, closed on 9 March 2018, significantly oversubscribed.

The applications for entitlements and shortfall shares received from eligible shareholders significantly exceeded the maximum amount of $1.238 million. Applications for a total of 106,234,248 Entitlement Shares and 111,575,536 Shortfall Shares, representing gross proceeds of $1,960,288.06 were received.

Details are as follows:

Description	Shares	A$
Total shares offered under the Rights Issue	137,608,714	$1,238,478.43
Entitlement acceptances	106,234,248	$956,108.23
Applications forShortfallShares	111,575,536	$1,004,179.82
Less: Scale Back	(80,201,070)	($721,809.63)
Total Shortfall	31,374,466	$282,370.19
Total New Shares to be issued	137,608,714	$1,238,478.43

As the offer closed oversubscribed, all entitlement applications will be allotted in full in accordance with the indicative timetable (refer below).

The Directors will exercise their discretion to scale back the applications for Shortfall Shares in accordance with the Replacement Prospectus. Excess application amounts will be refunded to applicants as soon as practicable after allotment of the Shortfall Shares, which is expected to occur next week. Application will be made for quotation of the free attaching options.

Managing Director, Peter Hwang said, the overwhelming response from investors represented a strong endorsement of the Company and its portfolio of projects:

"We are very pleased with the success of the Company's capital raising campaign, comprising the current rights issue and the preceding placement to sophisticated investors, both of which were oversubscribed.

As a result, the Company is sufficiently funded to expedite the exploration programs that are planned for the cobalt-nickel, copper-gold porphyry and lode-gold prospects at the Company's 100%-owned Greenvale Project.

1 Shareholders who subscribed under the Rights Issue will also receive one free attaching option for every two entitlement shares issued, with each option having an exercise price of 1.6 cents and expiring on 31 August 2019.

We are also particularly excited about the prospects of conducting exploration programs on highpotential lead-zinc and new cobalt prospects at parts of the north west Queensland Nicholson Project during 2018. Planning work is currently being undertaken and we eagerly look forward to informing the market in due course."

Indicative Timetable2

Entitlement Offer Closes (5pm AEDT)	Friday, 9March 2018
ASX notified of under-subscriptions	Wednesday, 14March 2018
Issue date of Entitlement Shares under Rights Issue	Friday, 16March 2018

For more information:

Peter Hwang Carlos Fernicola Managing Director Chairman Tel: +61 7 3847 2887 +61 7 3229 1799 www.superiorresources.com.au manager@superiorresources.com.au

Certain statements made in this report may contain or comprise certain forward-looking statements. Although Superior Resources Limited believes that any estimates and expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. Accordingly, results and estimations could differ materially from those set out in the forward-looking statements as a result of, among other factors, changes in the economic and market conditions, success of business and operating initiatives and changes in the regulatory environment. Superior undertakes no obligation to update publicly or release any revisions of any forward-looking statements to reflect events or circumstances after the date of this report or to reflect the occurrence of unanticipated events.

2 All dates are indicative only and may change, subject to the Listing Rules and Corporations Act.