Lefroy Exploration : September 2020 Quarterly Cashflow Report

Rule 5.5

Appendix 5B

Mining exploration entity or oil and gas exploration entity

quarterly cash flow report

Name of entity

Lefroy Exploration Limited

ARBN	Quarter ended ("current quarter")
052 123 930	30 September 2020

Consolidated statement of cash flows

1. Cash flows from operating activities

1.1 Receipts from customers

1.2 Payments for

(a) exploration & evaluation (if expensed)

(b) development

(c) production

(d) staff costs

(e) administration and corporate costs

1.3 Dividends received (see note 3)

1.4 Interest received

1.5 Interest and other costs of finance paid

1.6 Income taxes paid

1.7 Government grants and tax incentives

1. Other (provide details if material) GST Refunds
   ATO - Cashflow boost
2. Net cash from / (used in) operating activities

Current quarter	Year to date
$A'000	(12 months)
	$A'000

(35)	(35)
(297)	(297)
1	1

50	50
38	38
(244)	(244)

2.	Cash flows from investing activities
2.1	Payments to acquire:
	(a)	entities
	(b)	tenements
	(c)	property, plant and equipment	(5)	(5)
	(d)	exploration & evaluation (if capitalised)	(525)	(525)
	(e)	investments	-	-
	(f)	other non-current assets
ASX Listing Rules Appendix 5B (01/12/19)		Page 1
+ See chapter 19 of the ASX Listing Rules for defined terms.

Appendix 5B Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Consolidated statement of cash flows

2.2 Proceeds from the disposal of:

(a) entities

(b) tenements

(c) property, plant and equipment

(d) investments

(e) other non-current assets

2.3 Cash flows from loans to other entities

2.4 Dividends received (see note 3) 2.5 Other (provide details if material)

2.6 Net cash from / (used in) investing activities

Current quarter	Year to date
$A'000	(12 months)
	$A'000

421

421

(109)

(109)

3.	Cash flows from financing activities
3.1	Proceeds from issues of equity securities	-	-
	(excluding convertible debt securities)

3.2 Proceeds from issue of convertible debt securities

3.3	Proceeds from exercise of options
3.4	Transaction costs related to issues of equity	-	-
	securities or convertible debt securities
3.5	Proceeds from borrowings
3.6	Repayment of borrowings

3.7 Transaction costs related to loans and borrowings

3.8	Dividends paid
3.9	Other (provide details if material)
3.10	Net cash from / (used in) financing	-	-
	activities

4. Net increase / (decrease) in cash and cash equivalents for the period

1. Cash and cash equivalents at beginning of period
2. Net cash from / (used in) operating activities (item 1.9 above)
3. Net cash from / (used in) investing activities (item 2.6 above)
4. Net cash from / (used in) financing activities (item 3.10 above)

907	907
(244)	(244)
(109)	(109)
-	-

ASX Listing Rules Appendix 5B (01/12/19)	Page 2
+ See chapter 19 of the ASX Listing Rules for defined terms.

Appendix 5B Mining exploration entity or oil and gas exploration entity quarterly cash flow report

Consolidated statement of cash flows

1. Effect of movement in exchange rates on cash held
2. Cash and cash equivalents at end of period

Current quarter	Year to date
$A'000	(12 months)
	$A'000
-	-
554	554

5. Reconciliation of cash and cash equivalents

at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts

5.1 Bank balances

5.2 Call deposits

5.3 Bank overdrafts

5.4 Other (provide details)

5.5 Cash and cash equivalents at end of quarter (should equal item 4.6 above)

Current quarter	Previous quarter
$A'000	$A'000
544	544
10	10
554	554

6. Payments to related parties of the entity and their associates

1. Aggregate amount of payments to related parties and their associates included in item 1
2. Aggregate amount of payments to related parties and their associates included in item 2

Current quarter

$A'000

(49)

(26)

Note 6.1 Non- Exec Director fees and portion of the Managing Directors Remuneration related to administration activities for the period 1 July to 30 September 2020.

Note 6.2 A portion of the Managing Directors Remuneration from 1 July 2020 to 30 September 2020 related to exploration activities

ASX Listing Rules Appendix 5B (01/12/19)	Page 3
+ See chapter 19 of the ASX Listing Rules for defined terms.

Appendix 5B Mining exploration entity or oil and gas exploration entity quarterly cash flow report

7. Financing facilities

Note: the term "facility' includes all forms of financing arrangements available to the entity.

Add notes as necessary for an understanding of the sources of finance available to the entity.

7.1 Loan facilities

7.2 Credit standby arrangements 7.3 Other (please specify)

7.4 Total financing facilities

Total facility	Amount drawn at
amount at quarter	quarter end
end	$A'000
$A'000
-	-
-	-
-	-
-	-

7.5 Unused financing facilities available at quarter end

7.6 Include in the box below a description of each facility above, including the lender, interest rate, maturity date and whether it is secured or unsecured. If any additional financing facilities have been entered into or are proposed to be entered into after quarter end, include a note providing details of those facilities as well.

8.	Estimated cash available for future operating activities	$A'000
8.1	Net cash from / (used in) operating activities (Item 1.9)	(244)
8.2	Capitalised exploration & evaluation (Item 2.1(d))	(525)
8.3	Total relevant outgoings (Item 8.1 + Item 8.2)	(769)
8.4	Cash and cash equivalents at quarter end (Item 4.6)	554
8.5	Unused finance facilities available at quarter end (Item 7.5)	-
8.6	Total available funding (Item 8.4 + Item 8.5)	554
8.7	Estimated quarters of funding available (Item 8.6 divided by	0.72
	Item 8.3)

8.8 If Item 8.7 is less than 2 quarters, please provide answers to the following questions:

1. Does the entity expect that it will continue to have the current level of net operating cash flows for the time being and, if not, why not?

Answer: Yes

2. Has the entity taken any steps, or does it propose to take any steps, to raise further cash to fund its operations and, if so, what are those steps and how likely does it believe that they will be successful?

Answer: Yes

As announced on 22 October 2020, the Company has received firm commitments to raise $4.5 million (before costs) from institutional and sophisticated investors. Receipt of funds from this raise are expected by October 2020 month end.

The Company has also proposed to undertake a Share Purchase Plan of $1 million for eligible shareholders. The Share Purchase Plan is expected to close on 19 November 2020, with funds to be received (net of costs) soon after.

ASX Listing Rules Appendix 5B (01/12/19)	Page 4
+ See chapter 19 of the ASX Listing Rules for defined terms.