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TAWANA RESOURCES NL - Finalisation of $40 Million Funding Package and Merger Update

Release Date: 31/10/2018 09:15:00      Code(s): TAW       PDF(s):  
Finalisation of $40 Million Funding Package and Merger Update

Tawana Resources NL
(Incorporated in Australia)
(Registration number ACN 085 166 721)
Share code on the JSE Limited: TAW
Share code on the Australian Securities Exchange Limited: TAW
(“the Company” or “Tawana”)

Finalisation of $40 Million Funding Package and Merger Update

Tawana Resources NL (ASX: TAW) (Tawana or the Company) is pleased to
announce that it has executed the formal documentation relating to the
Company’s previously announced $40 million secured funding package with a
consortium of lenders led by Tribeca Investment Partners (Tribeca).(1)

Completion of this financing package strengthens the Company’s balance sheet
and allows the continued ramp up of production and planned expansion of the
proposed fines lithium and tantalum circuit additions to the existing Dense
Media Separation plant at the Bald Hill Mine and additional working capital.

The funding package, which comprises two tranches of $20 million each is also
expected to assist with facilitating the ASX Listing of Alliance Mineral Assets
Limited (Alliance) in connection with the merger between Alliance and Tawana
announced on 5 April 2018 (Merger).

Part of the proceeds from the draw down on the first tranche of $20 million
will be used to repay the $5 million loan from Red Coast Investment Limited(2),
leaving Tawana with a net secured debt position of $20 million.

The second tranche of $20 million remains conditional upon the completion of
the Merger and Alliance receiving conditional ASX listing approval.

Merger Update

Following the execution of the funding package, Tawana is now in a position to
finalise the supplementary disclosure required in connection with the Merger.
As part of the Merger approval and implementation process, Tawana will seek
approval of the proposed supplementary disclosure at a Federal Court hearing
set down for 8 November 2018.

The indicative timetable for the Merger is as follows:

• Scheme meeting of Tawana shareholders – late November 2018
• Second Court hearing for approval of the Merger – early December 2018
• Implementation of the Merger – mid December 2018
Subject to the required orders being obtained from the Federal Court,
supplementary disclosure will be released to ASX on or around 8 November 2018 and sent to all Tawana
shareholders thereafter.

Mark Calderwood
Managing Director

(1.) Refer ASX Announcements dated 27 September 2018 and 4 October 2018
(2.) Refer ASX Announcement dated 5 February 2018

31 October 2018

PricewaterhouseCoopers Corporate Finance (Pty) Ltd

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