SOVEREIGN METALS LIMITED

NEWS RELEASE I 13 APRIL 2022

ISSUE OF SHARES ON EXERCISE OF UNLISTED OPTIONS

Sovereign Metals Limited (Sovereign or the Company) (ASX:SVM, AIM:SVML) advises that it has issued  8,637,000 fully paid ordinary shares (Shares) upon the exercise of 8,637,000 A$0.50 unlisted options for proceeds of A$4,318,500.

An application will be made for the Shares to be admitted to trading on AIM (Admission) and it is expected that Admission will become effective on or around 22 April 2022.

Total Voting Rights

For the purposes of the Financial Conduct Authority's Disclosure Guidance and Transparency Rules (DTRs), following Admission of the Shares, Sovereign will have 441,070,755 Ordinary Shares in issue with voting rights attached. The figure of 441,070,755 may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company, under the ASX Listing Rules or the DTRs. 

282,000 A$0.50 unlisted options will lapse unexercised.

Following the issue of Shares, Sovereign has the following securities on issue:

·      441,070,755 ordinary fully paid ordinary shares;

·      6,375,000 unlisted options exercisable at A$0.14 on or before 30 June 2022;

·      2,000,000 unlisted options exercisable at A$0.18 on or before 30 June 2022;

·      2,500,000 unlisted options exercisable at A$0.18 on or before 31 July 2022;

·      5,120,000 performance rights subject to the "Feasibility Study Milestone" expiring on or before 31 December 2023; and

·      7,320,000 performance rights subject to the "Decision to Mine Milestone" expiring on or before 31 October 2025.

ENQUIRIES

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ('MAR'). Upon the publication of this announcement via Regulatory Information Service ('RIS'), this inside information is now considered to be in the public domain.