ZEOTECH LIMITED — Capital/Financing Update 2014

Aug 27, 2014

28 August 2014

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Entitlement Issue for Shareholders to raise $1.7m

Proceeds to advance exploration drilling at Laconia’s Kimsa Orcco

Copper-Gold-Silver Project Peru

Highlights

• Laconia to raise ~$1.7m through a shareholder non-renounceable entitlement rights issue

• Funds raised to be used for exploration drilling, drill targeting and general working capital at the Kimsa Orcco copper-gold-silver Project in Peru

• Entitlement comprises 5 shares for every 7 held at an issue price of $0.005

Laconia Resources Limited (ASX: LCR) (“ Laconia ” or “ the Company ”) is pleased to announce an nonrenounceable entitlement issue on the basis of five shares (New Shares) for every seven shares held on the Record Date at an issue price of $0.005 per New Share, together with one free attaching New Option exercisable at $0.06 on or before 30 September 2018 for every one New Share subscribed for and issued, to raise approximately $1.7 million before costs (Entitlement Issue).

The New Options are the same class as the Company’s existing listed options that trade under ASX Code “LCROA”. The New Options will be listed on ASX.

Use of Funds

The proceeds of the Entitlement Issue will be used for exploration drilling and on-going exploration of Laconia’s Kimsa Orcco copper-gold-silver Project in southern Peru.

Lead Manager

CPS Capital Group has been appointed as the Lead Manager for the Offer and will manage any Entitlement Issue shortfall.

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Proposed Transaction

The proposed terms of the Entitlements Issue will be as follows:

Type of Offer:

Pro-rata non-renounceable

Eligible Participants:

Shareholders on the Record Date and whose registered addresses are in Australia or New Zealand

Basis of Entitlement:

Five (5) New Shares for every seven (7) existing shares together with one (1) free New Option exercisable at $0.06 on or before 30 September 2018 for every one (1) New Share subscribed for and issued

Record Date to determine entitlements:

To be advised

Issue price:

$0.005 per New Share

Laconia’s Managing Director Ian Stuart commented:

“The Company is pleased to have transitioned to a phase of new geological work and drilling at the Kimsa Orcco Project. Laconia looks forward to expanding our exploration program and further developing what is clearly a large, highly mineralised system”.

Further information regarding the Entitlement Issue, including the proposed timetable, will be announced once the disclosure document and additional information is completed.

For further information please contact:

Ian Stuart

Managing Director Laconia Resources Limited

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

or visit our website at 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

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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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