Ann: Proposed issue of securities - CLZ, page-10

Here’s a breakdown of the shares to be issued on conversion of convertible note depending on share price as I understand it. They get a free option in lieu of interest. It puts into perspective the benefit to the convertible note holder to see the price tank. Will be very interesting to see who these con notes are issued to as current shareholders could be diluted into oblivion IMO.

Maximum Price 7.5c they will pay if share price exceeds 7.5c (Equals least amount of shares issued)
333,333/con note + 166,667 free con options = 500,000shares/con note
500,000 x 160 con notes = 80,000,000 shares issued

If say the price averages todays price of 3.3c for 15 days before conversion
3.3c - 20% discount = Con note conversion price of 2.64c
946,970/con note + 473,485 free con options = 1,420,455/con note
1,20,455 x 160 con notes = 227,272,800 shares issued

If the price averages say 2c for 15 days before conversion
2c - 20% discount = Con note conversion price of 1.6c
1,562,500/con note + 781,250 free con options = 2,343,750/con note
2,343,750 x 160 con notes = 375,000,000 shares issued

If the price averages say 1c or 15 days before conversion
1c - 20% discount = Con note conversion price of 0.8c
3,125,000/con note + 1,562,500 free con options = 4,687,500/con note
4,687,500 x 160 con notes = 750,000,000 shares issued