Ann: Issue of Convertible Notes, page-3

ISSUE OF CONVERTIBLE NOTES
Raven Energy Limited (Raven or the Company) is pleased to announce that it has undertaken to issue convertible notes to raise up to A$2.2 million. Convertible notes will be issued to institutional and sophisticated investors on the following terms:
 Conversion price: $0.00176 per share
 One free attaching option ($0.003 exercise price, expiry 31 October 2020) for every two shares issued upon conversion
 Interest rate of 10% per annum, payable semi-annually via the issue of shares at the 5 trading day volume weighted average price prior to issue.
 Maturity: 12 months from the date of issue.
 Any conversion of the convertible notes will be subject to Raven shareholders first providing approval to the issue of Shares. Nathan Featherby, Executive Chairman of the Company, will also seek shareholder approval to participate in the issue of the convertible notes, for up to A$250,000.
The funds raised following the issue of the convertible notes (intended to be this week) will be used for further works at the Tulainyo Gas Project in the Sacramento Basin in California, where flow testing of the Tulainyo 2-7 gas appraisal well is expected to commence in the near term.
Remaining funds are proposed to be used for further identification and evaluation of energy and resources related acquisitions and for working capital purposes.
Further to the proposed financing, the Company intends to seek shareholder approval to undertake a consolidation of capital (consolidation) on the basis 1 share for every 16 shares held on the record date. Additional details on the proposed consolidation will be available in a Notice of Meeting expected to be distributed to shareholders prior to end of February 2018. The Company requests that the suspension on its securities be lifted with immediate effect.