ZEOTECH LIMITED — Capital/Financing Update 2013

Jun 19, 2013

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20 June 2013

Laconia Divests Lennons Find Base Metal Project

Highlights:

• Laconia realises value of Lennons Find – Project in the Pilbara

• Company retains exploration upside and minority interest

• Cash generated from this divestment and R&D tax offset totalling $586,000

Laconia Resources Limited (ASX: LCR) (“ Laconia ” or “ the Company ”) is pleased to announce it has entered into a Binding Terms Sheet to divest 100% of its interests in its Western Australian Lennons Find Project to Musketeer Minerals Pty Ltd (“MKM”).

MKM and Laconia have entered into the Binding Terms Sheet to record the principal terms agreed between the parties for MKM’s acquisition of Laconia’s interest in these mining and exploration assets owned by Laconia, with the intention of MKM vending the assets into a shell company. MKM is currently seeking to acquire a new mining business activity and an ASX listed entity (“Shell Company”). Laconia controls the mining assets and associated permits, namely a 95% interest in M45/368 and a 100% interest in E45/3293 collectively called the Lennons Find Project.

The principal terms of the Binding Terms Sheet are as follows:

1. Upon signing of Binding Terms Sheet Laconia will receive a non-refundable deposit of $100,000 cash for a six month exclusive option to acquire the Lennons Find Project.

2. Within 7 days of MKM or the Shell company listing on the ASX or MKM or the Shell company completing a capital raising of $2 million (by way of equity, debt or combination):

3. Laconia will be issued a 10% equity stake (fully paid ordinary shares) in either MKM or the Shell Company (at Laconia’s election).

4. Laconia will receive $400,000 cash from either MKM or the Shell Company; and

5. LCR may nominate a Board member to be appointed as a Non-Executive Director on MKM’s Board or on the Board of the Shell Company (at Laconia’s election).

The transaction is subject to all regulatory approvals including any necessary shareholder approvals.

The terms of this transaction allow Laconia to realise value held in the Lennons Find Project while allowing Laconia shareholders to retain exposure to, and gain a direct benefit from the exploration in the region.

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MKM is led by Steve Elliot who is a founding Director of Helix Resources NL and founding Managing Director of Talisman Mining Limited.

Laconia is also pleased to announce it recently lodged a Research and Development Tax concession application for expenditure incurred during the 2011/12 financial year which has now been assessed by AusIndustry and the Australian Taxation Office. Laconia has now received the Research and Development tax offset amount of $486,000.

Laconia has a 100% interest in the Rasuhuilca Copper-Gold-Silver project in Southern Peru and its exploration efforts have become focused on the its Latin American assets. The Company remains committed to further exploration and development of its flagship Rasuhuilca Project in Peru.

*ENDS***

For further information please contact:

Ian Stuart

Managing Director Laconia Resources

P: +61 8 9486 1599 E: istuart@laconia.com.au www.laconia.com.au

About Laconia Resources Limited

ASX-Listed Laconia Resources Limited (ASX: LCR) is a Perth-based precious and base metals exploration and development Company with a Latin American focus. The Company’s flagship Rasuhuilca Project in Peru is an advanced copper-gold-silver project in the Ayacucho region of Southern Peru, across 4 permits covering 27.65 km[2] . In addition, the Company has gained access to a further 11 contiguous permits through an Option Agreement, covering 62.22 km[2] . The total area of 89.87 km[2] hosts the entire Ccarhuaraso volcanic system that is proven to host high sulphidation epithermal gold and silver. The Corporate Strategy is to bring the gold and silver mineralisation into production in the shortest time possible, and to use the revenue to unlock the exploration potential for discovery of larger tonnages of copper, gold and silver.

In Western Australia, the Company has a portfolio of advanced mineral projects in the Murchison and Pilbara regions, across 22 granted tenements covering an approximate 1,153 km[2] .

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