Entitlement Offer - Cleansing Notice

30 January 2019

MOD Resources Limited

Entitlement Offer Cleansing Notice

This notice is given by MOD Resources Limited (ASX/LSE: MOD) (Company) under section 708AA(2)(f) of the Corporations Act 2001 (Cth) (Act), as modified by the Australian Securities and Investments Commission (ASIC).

The Company announced on 21 January 2019 a non-renounceable pro rata entitlement offer to shareholders with a registered address in Australia, New Zealand, Hong Kong, Singapore, Switzerland and the United Kingdom (Eligible Shareholders) of one fully paid ordinary share (New Share) for every 13 shares held on the record date of 4 February 2019 (Record Date), at an issue price of $0.24 per New Share, to raise approximately $5.2 million (before costs) (Entitlement Offer).

The Company advises that:

1. the Company will offer the New Shares under the Entitlement Offer without disclosure to investors under Part 6D.2 of the Act;

2. this notice is being given under section 708AA(2)(f) of the Act as modified by ASIC;

3. as at the date of this notice, the Company has complied with:

(a) the provisions of Chapter 2M of the Act as they apply to the Company;

(b) section 674 of the Act; and

4. as at the date of this notice, there is no excluded information as defined in sections 708AA(8) and 708AA(9) of the Act; and

5. the potential effect that the Entitlement Offer will have on the control of the Company, and the consequences of that effect, will depend on a number of factors, including investor demand and existing shareholdings. As the Entitlement Offer is a pro rata issue, and given the current level of holdings of substantial holders (based on substantial holder notices that have been given to the Company and lodged with ASX before the date of this announcement), the Entitlement Offer is not expected to have any material effect or consequence on the control of the Company.

-ENDS-

For and on behalf of the Board.