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TREK METALS LIMITED Capital/Financing Update 2015

May 21, 2015

65923_rns_2015-05-21_44e4e40d-731c-49aa-8fed-d4264f43f9aa.pdf

Capital/Financing Update

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ZAMBEZI RESOURCES LIMITED

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ARBN: 124 462 826

MAIL: PO Box 1796, West Perth WA 6872 Australia EMAIL: [email protected] www.zambeziresources.com

ASX Announcement 22 May 2015

Zambezi Resources Announces $500k Capital Raising

Zambezi Resources Limited (“ Zambezi ” or the “ Company ”) is undertaking a pro-rata non-renounceable Rights Issue ( “Rights Issue” ) to eligible shareholders on the basis of one (1) new Zambezi ordinary share ( “New Share” ) for every three (3) Zambezi ordinary shares held as at 5:00 pm (WST) on 28 May 2015 ( “Record Date” ), at an offer price of $0.04 per New Share. The Rights Issue will seek to raise up to approximately $506,000 (before costs).

The Rights Issue is not underwritten and the directors reserve the right to issue the shortfall at their absolute discretion.

The funds raised will be applied for working capital purposes and towards the ongoing funding of the Company’s legal challenge of successfully dismissing the appeal and removing the stay of execution that is currently preventing the Company from developing its 100% owned Kangaluwi Copper Project. The need for additional funds has come about largely as a result of the delay in the handing down of the appeal decision that was announced to the ASX on 29 April 2015.

The New Shares will rank equally in all respects from the date of allotment with the existing class of quoted ordinary shares.

Eligible shareholders will receive a copy of the Rights Issue document and accompanying Entitlement and Acceptance form setting out the relevant details.

The Rights Issue closes at 5:00 pm (WST) on 12 June 2015. To participate, you need to ensure that you have completed the Entitlement and Acceptance form and paid all monies before this time and date.

Key dates are set out below:

The indicative timetable for the Rights Issue is as follows:

Event Date
Announcement of the Offer, notify option holders of Offer, lodgement of Prior to commencement of
Appendix 3B, Offer Document and Section 708AA Notice with the ASX trading on 22 May 2015
Notice sent to shareholders containing information required by Appendix 25 May 2015
3B and details of the timetable
Shares quoted on “ex” basis 26 May 2015

AUSTRALIA Ground Floor, 20 Kings Park Road WEST PERTH, WA AUSTRALIA 6005 TEL: +61 8 6555 1879 FAX: +61 8 9398 4104

ZAMBIA BERMUDA PLOT 5697 CANONS COURT BEU CRESCENT 22 VICTORIA STREET KALUNDU LUSAKA HAMILTON HM12 TEL: +260 211 292 128

22.05.15 Rights Issue.docx

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Event Date
Record Date to determine Entitlements under the Offer 5:00pm WST on 28 May 2015
Offer document and Entitlement and Acceptance Form despatched to 2 June 2015
Eligible Shareholders
Last day to extend Offer Closing Date 9 June 2015
Offer Closing Date 5:00pm WST on 12 June
2015
Securities quoted on a deferred settlement basis 15 June 2015
Company to notify ASX of under subscriptions 17 June 2015
Allotment of new shares (Issue Date) Prior to 12:00 noon on 19
June 2015
Despatch of Holding Statements 22 June 2015
Date of quotation of new shares issued under the rights issue 22 June 2015

The Directors reserve the right subject to the Listing Rules to amend the timetable at their discretion.

Non Settlement Day: 8 June 2015

-END-

Zambezi Resources Limited

David Vilensky Chairman Tel: +61 8 6555 1879 Email: [email protected]

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