Askari Metals Limited (ASX:AS2) executed a Binding Heads of Agreement (HoA) to acquire 90% interest in Exclusive Prospecting Licence (EPL) 7345, known as the Uis Lithium-Tantalum-Tin Project, located in Namibia, Africa from LexRox Exploration Services (Pty) Ltd for AUD 2.6 million on October 25, 2022. Askari Metals to pay LexRox (or its nominee) AUD 0.1 million in cash within 5 business days of the execution of this Agreement; to issue the Vendor (or its nominee) AUD 1.05 million worth of fully paid ordinary shares in the capital of Askari Metals within 7 business days of settlement of the Acquisition; issue deferred consideration of AUD 0.45 million worth of Shares, subject to the completion of a reverse circulation (RC) drilling program(s) at the Licence of not less than 4,000m, where at least ten (10) RC drill holes intersects a mineralised interval containing a minimum lithium-oxide (Li2O) grade of 10 percent (Li2O equivalent)/ metre across not less than 10 individual drill holes anywhere over the License within 12 months of execution of this Agreement (Milestone One). AUD 0.75 million worth of Shares, subject to Askari Metals announcing to ASX a JORC (2012) compliant resource of >5,000,000 tonnes @ 1.0% Li2O on the Licence within 24 months of execution of this Agreement (Milestone Two).

With effect on and from Settlement, to grant LexRox a royalty of 1.5% of the net smelter return on all minerals produced from the Licence by the Purchaser or its successors in title (Royalty), which shall otherwise be granted on customary (AMPLA) terms. LexRox acknowledges that: (a) 50% of the Initial Shares will be subject to a 6-month voluntary escrow period from their date of issue; (b) 25% of the Initial Shares will be subject to a 3-month voluntary escrow period from their date of issue; and (c) 25% of the Initial Shares will not be subject to any escrow from their date of issue. Completion of the Acquisition is conditional upon the satisfaction (or waiver) of completion of due diligence by the Purchaser on the Assets, to the satisfaction of the Purchaser within 60 business days from the execution of this Agreement; completion of the transfer of EPL 7345 from Jenny van der Walt to Kokerboom as endorsed by the Ministry of Mines and as lodged with the Ministry of Mines on 16 September 2022; and the Parties obtaining all necessary shareholder and/or regulatory approvals required to allow the parties to lawfully complete the matters set out in this Agreement; (together, the Conditions). On April 11, 2023, Askari Metals issued an total number of Shares was 2,792,553 fully paid ordinary shares.

The Shares were issued at a deemed issue price of AUD 37.6 cents per share. The issue date of the Shares was April 6, 2023.