ZEOTECH LIMITED — Capital/Financing Update 2014

Sep 30, 2014

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1 October 2014

Capital Management Update

Laconia Resources Limited (ASX Code: LCR) ( Laconia or the Company ) provides the following update concerning its capital management programme.

1. On 30 September 2014, 20,500,000 unlisted options exercisable at $0.1987 per option expired; and

2. the Company has entered into a Controlled Placement Agreement (“CPA”) with Acuity Capital Investment Management Pty Ltd (“Acuity Capital”).

The CPA provides Laconia with up to $1 million of stand-by equity capital at any time over the next 12 months. Importantly, Laconia retains full control of the placement process, including having sole discretion as to whether or not to utilise the CPA. Further, there are no restrictions or conditions on other capital raising activities the Company may wish to undertake.

The Company has entered into the CPA to complement its funding initiatives and to strengthen its overall capital management program by adding a further capital-raising tool. The CPA provides the Company with the flexibility to quickly and efficiently raise capital, including the ability to take advantage of suitably attractive opportunities if they arise. Laconia is under no obligation to raise capital under the CPA. If the Company does decide to utilise the CPA, the Company retains complete control, so Laconia determines the frequency, timing, maximum size and minimum issue price of any capital raised under the CPA. The key terms of the CPA are as follows:

1. standby equity capital of up to $1,000,000 available at the Company’s sole discretion;

2. available from 1 October 2014 for 12 months;

3. no obligation on the Company to place shares;

Email: info@laconia.com.au

1. the CPA provides the Company with full control over the placement process, including the right to determine the following for each new placement:

2. a. Maximum Placement Amount to be issued for any particular Placement Period, minimising dilution of existing shareholders;

3. b. Floor Price, being the minimum issue price for that Placement Period, and

4. c. Placement Period, being the date(s) over which the VWAP and placement price is calculated;

5. each new placement is issued at a 10% discount to a volume weighted average price (VWAP) over the Placement Period, subject to the Floor Price determined by the Company;

6. the actual issue price per share may be higher than the Floor Price set by the Company for a Placement Period. This will occur where a discounted VWAP of the Company’s shares over the relevant Placement Period is above the Floor Price;

7. there are no fees for the Company entering into the CPA and there are no options required to be issued;

8. the Company has the right to cancel the CPA at any time for no fee;

9. no restrictions on the Company entering into debt financing arrangements or from undertaking additional private placements, rights issues or shareholder purchase plans;

10. no restrictions on the Company entering into strategic industry partnerships or undertaking acquisitions of assets and shares in the future;

11. utilisation of the CPA is dependent on the Company’s available placement capacity under the ASX listing rules; and

12. Acuity Capital is not obligated to provide capital, including where the requested Floor Price is above the market price or if the full standby equity capital has been utilised.

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*ENDS***

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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 Kimsa Orcco Project in Peru is an advanced copper-gold-silver project in the Ayacucho region of Southern Peru, across four 100% Laconia Resources Ltd permits covering 27.65 km[2] and a further 11 contiguous permits through an 80% earn in option agreement, covering 56.22 km[2] . The total area of 83.87 km[2] hosts the entire Ccarhuaraso volcanic system that is proven to host high sulphidation epithermal copper gold and silver.

In Western Australia, the Company has mineral projects across two granted tenements covering an approximate 98.7 km[2] in the Pilbara and Northern Gascoyne regions.

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