December 15th, 2015

Rum Jungle Resources Limited (ASX:RUM) Reaches Over 80% Acceptances for Takeover of Central Australian Phosphate (ASX:CEN)

Rum Jungle Resources Limited ("Rum Jungle") (ASX:RUM) announces that its takeover offer for Central Australian Phosphate Limited ("Central") (ASX:CEN) is now intended to close at 7.00pm (Melbourne Time) on 11 October 2013 (unless extended).

Rum Jungle holds over 80% of Central shares meaning that scrip for scrip rollover relief may be available for part of the capital gain1 made by Central Australian Phosphate shareholders accepting the offer. See section 7 of the Bidder's Statement for further information.

- Intends to extend its offer to close at 7pm (Melbourne time) on 11 October 2013
- Executes a services agreement with Central to expedite drilling
- Provides Central a letter of comfort for financial accommodation of up to $1m
- Recommends that remaining Central shareholders accept the offer as soon as possible

Services Agreement and Financial Accommodation

Rum Jungle and Central have agreed to enter into a services agreement to expedite exploration drilling on Central's Arganara Phosphate tenement EL24726.

Rum Jungle has provided Central with a letter stating that it intends to provide financial accommodation up to a maximum of $1 million on certain terms and conditions. To the extent that Rum Jungle participates in any pro rata rights issue proposed by Central to raise capital, the $1 million maximum financial accommodation will be reduced by a corresponding amount.

Central and Rum Jungle are currently finalising a formal Loan Agreement for an initial loan of $100,000, on commercial arm's length terms. The $1 million amount referred to above is inclusive of this loan.

Risks of remaining a minority shareholder in Central

Rum Jungle strongly encourages Central shareholders to accept Rum Jungle's takeover offer. The risks associated with being a minority shareholder in Central, include:

- The possibility of a future capital raising by Central if further funds are required. Any shareholders unable or unwilling to participate in such a capital raising will have their shareholding diluted.
- The liquidity of Central shares will continue to decrease as the number of Central shareholders decreases and the volume of Central shares traded decreases. Remaining Central shareholders are likely to find it increasingly difficult to sell their shares on market.
- The price of Central shares may trade below the implied value of Rum Jungle's offer.
- If Rum Jungle reaches acceptances for 90% of the shares in Central, it intends to rely on the compulsory acquisition powers in the Corporations Act. If this occurs and you did not accept the offer, you will receive your consideration later than if you had accepted under the offer.

About Rum Jungle Resources Limited:

Rum Jungle Resources (ASX:RUM) is an Australian Securities Exchange listed, diversified junior explorer focused on highly prospective land located in Australia’s Northern Territory and Queensland.

A Northern Territory and Queensland focussed mineral explorer with a portfolio including: Uranium, Potash, Phosphate and Base Metals.

Rum Jungle Resources has strategic alliances with other major Northern Territory explorers increases exposure to additional exploration areas.

Rum Jungle Resources has experienced geological management backed up by a solid financial base to fund exploration budgets.


Rum Jungle Resources Limited
T: +61-8-8942-0385
F: +61-8-8942-0318



Rum Jungle Resources Limited

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