Lakes Blue Energy NL : Reinstatement Disclosure

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4 February 2022

ASX Release

Reinstatement Disclosure

The Directors of Lakes Blue Energy NL's (the Company; ASX:LKO) are pleased to provide the following information, as required by the Australian Stock Exchange (ASX) in connection with reinstatement of trading of the Company's ordinary shares.

The Directors advise that there are no legal, regulatory, statutory or contractual impediments to undertaking commitments as disclosed in the Replacement Prospectus dated 20 January 2022, other than customary regulatory approvals and other arrangements (such as mining licences, gas sale contracts, etc.) that would be put in place in the ordinary course of business.

The Directors also confirm that the Company is in ongoing compliance with the ASX Listing Rules including, in particular, Listing Rule 3.1.

The responsible person for the purposes of Listing Rule 1.1 condition 13 is Ms Elissa Hansen, Company Secretary.

Index of Disclosures

This announcement comprises two parts, attached hereto, as follows:

1. Corporate and Financial Information, including capital structure, top 20 shareholders, shareholder distribution, updated statement of commitments and proforma balance sheet.
2. Consolidated activities report setting out business strategy and including an update on assets and activities.

This announcement has been authorised by the Board of Lakes Blue Energy NL.

For further information, please contact:

Richard Ash

Chairman

Tel: [phone]

Email:[e-mail]

Lakes Blue Energy N.L. ACN: 004 247 214

Level 3, 35 Lime Street, Sydney, New South Wales, Australia, 2000

T: [phone] W: https://lakesblueenergy.com.au

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1. Corporate and Financial Information

As was announced on 27 January 2022, the Minimum Subscription under the Replacement Prospectus, namely $2.404m, was achieved by close of business on 25 January 2022. The Offers under the Replacement Prospectus closed at 5 pm on 31 January 2022. Total funds raised through the Offers under the Replacement Prospectus and the firm placements made by the Company in advance of issue of the Replacement Prospectus were $5,488,810.

The Company's working capital following completion of the capital raising initiatives is $2,568,182. This is sufficient for the Company to carry out its stated objectives.

The Company's commitments (ie, intended use of funds) remains as set out in the Replacement Prospectus, as tabulated below:

Total Amount Raised	$5,488,810
Use of Funds
Working capital (note 1)	1,517,000
Drilling of Wellesely-2 Gas Well	1,600,000
Costs of Capital Raising	534,000
Wellesley gas production flowline
or resumption of Victorian	1,837,810
exploration (note 2)
Total
5,488,810

Note 1: this provision is inclusive of work associated with securing approvals to drill the Wombat- 5 and Otway-1 gas wells in Victoria.

Note 2: If drilling of the Wellesley-2 gas well is successful (ie, a commercial resource of gas is discovered) then, subject to receipt of requisite Government approvals, funds will be allocated toward the cost of infrastructure for production and sale of Wellesley gas. If drilling of the Wellesley-2 gas well is not successful then funds will be applied toward meeting the cost of exploration activity in Victoria.

The Company has extended the expiry date of its Controlled Placement Agreement with Acuity Capital from 31 January 2022 to 31 January 2024. There were no fees or cost associated with making the extension. Details of the Controlled Placement Agreement are set out in the Company's release dated 31 October 2019. There is no requirement on the Company to make use of the Agreement.

Following issue on 2 February 2022 of new shares pursuant to the Replacement Prospectus and the firm placements, the Company's post-issue capital structure is as follows:

Shares on issue	42,382,421,941
Convertible Notes on issue	10,921,382,231

Note: The Company has no Options on issue.

Details of the Company's 20 largest shareholders following issue of new shares is as follows:

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RankName

1. DARK HORSE RESOURCES LIMITED
2. TIMEVIEW ENTERPRISES PTY LTD
3. ARMOUR ENERGY LTD
4. ACUITY CAPITAL INVESTMENT MANAGEMENT PTY LTD
5. MR DUNCAN JOHN HARDIE
6. DGR GLOBAL LIMITED
7. HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
8. MR WILLIAM RICHARD TREUREN
9. DGR GLOBAL LIMITED

1. MR DUNCAN JOHN HARDIE
2. ORCA CAPITAL GMBH
3. ROTHERWOOD ENTERPRISES PTY LTD
4. SARI HOLDINGS PTY LTD
5. MR ALLISTER RICHARDSON
6. TIGER FUND PTY LTD
7. PACIFIC ATLANTIC COMMERCE PTY LTD
8. MR JAMES SINTON SPENCE
9. MRS LYNLEY HARDIE
10. MR PETER ASHLEY BUBENDORFER
11. STATEMOOR PTY LTD

Total: Top 20 holders

Total Remaining Holders Balance

Units		% of Units
10,008,714,010	23.62
2,720,821,462	6.42
2,125,000,000	5.01
1,730,000,000	4.08
589,295,260	1.39
528,109,026		1.25
409,504,986	0.97
359,289,500	0.85
334,094,250	0.79
315,595,620		0.74
312,500,000	0.74
300,000,000		0.71
295,380,242	0.70
279,197,895		0.66
250,000,000	0.59
242,500,000	0.57
227,656,080	0.54
208,521,000	0.49
199,081,164	0.47
190,000,000	0.45
21,625,260,495	51.02
20,757,161,446	48.98

For

The distribution of shareholdings in the Company is as follows following completion of the issue of new shares:

		% of
Range	Units	Issued
		Capital
1 - 1,000	104,673	0.00
1,001 - 5,000	731,067	0.00
5,001 - 10,000	3,517,025	0.01
10,001 - 100,000	177,236,653	0.42
100,001 - 9,999,999,999	42,200,832,523	99.57
Rounding		0.00
Total	42,382,421,941	100.00

The Company's updated proforma balance sheet, taking into account funds raised, is as set out below:

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ASSETS

Current Assets

Cash and cash equivalents

Funds held in escrow

Trade and other receivables

Other financial assets

Prepayments

Total Current Assets

Non-Current Assets

Other receivables

Property plant and equipment Exploration and evaluation

Total Non-Current Assets

Total Assets

LIABILITIES

Current Liabilities

Trade and other payables

Provisions

Share applications

Total Current Liabilities

Non-Current Liabilities

Other payables

Provisions

Convertible notes

Total Non-Current Liabilities

Total Liabilities

Net Assets

EQUITY

Share capital (net of costs)

Reserves

Accumulated losses

Equity attributable to the owners of Lakes Oil NL

Non-controlling interest

Total equity

Consolidated	Pro Forma	Pro Forma
Group	Adjustments Consolidated Group
(Unaudited)	Capital Raising	(Unaudited)
31 January 2022		31 January 2022
$	$	$
105,816	3,354,810	3,460,626
2,307,800	(2,307,800)	-
85,494	-	85,494
602,219	-	602,219
16,640	-	16,640
3,117,969	1,047,010	4,164,979
12,000	-	12,000
685,780	-	685,780
22,810,637	1,600,000	24,410,637
23,508,417	1,600,000	25,108,417
26,626,386	2,647,010	29,273,396
1,445,228	-	1,445,228
151,569	-	151,569
2,307,800	(2,307,800)	-
3,904,597	(2,307,800)	1,596,797
754,718	-	754,718
550,000	-	550,000
9,844,432	-	9,844,432
11,149,150	-	11,149,150
15,053,747	(2,307,800)	12,745,947
11,572,639	4,954,810	16,527,449
133,763,856	4,954,810	138,718,666
1,155,250	-	1,155,250
(123,431,928)	-	(123,431,928)
11,487,178	4,954,810	16,441,988
85,461	-	85,461
11,572,639	4,954,810	16,527,449

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2. Consolidated Activities Report

The Company's business strategy and activities following completion of the capital raising pursuant to the Replacement Prospectus dated 20 January 2022 are detailed below.

The Directors advise that there are no legal, regulatory, statutory or contractual impediments to undertaking commitments as disclosed in the Prospectus, other than customary regulatory approvals and other arrangements (such as mining licences, gas sale contracts, etc.) that would be put in place in the ordinary course of business

1. Overview of Company's Focus and Strategy
   Lakes Blue Energy is an energy company that is focussed upon:
2. • realising the potential of the Company's diverse portfolio of exploration projects, as depicted in Figure 1 and outlined in Table 1, to become a supplier of gas to meet Australian industry and household requirements, in both feedstock and energy applications; and
   • subsequently, leveraging the Company's asset base to be at the vanguard in terms of identifying and promoting emerging technologies to meet the nation's changing energy requirements.

Figure 1: Project Portfolio