The following class of Financial Products has been included in Schedule 1 of the ASX Settlement Operating Rules as a FOR Financial Product effective Wednesday, 27 November 2024.

What do I need to do by when?

From 27 November 2024, under U.S. law, an Excluded U.S. Investor (as defined below) will not be entitled to acquire any CHESS Depositary Interests of PLL (PLL's Financial Products) during the applicable distribution compliance period except:

(a) in accordance with the provisions of Regulation S under the U.S. Securities Act of 1933, as amended (U.S. Securities Act);

(b) pursuant to an effective registration statement under the U.S. Securities Act; or

(c) pursuant to any other available exemption from the registration requirements of the U.S. Securities Act, and in each case in accordance with all applicable U.S. securities laws.

In order to ensure that foreign ownership restrictions can be monitored and that PLL’s Financial Products are not acquired by, or for the account of, or benefit of any Excluded U.S. Investor, ASX Settlement has agreed:

(a) to classify PLL’s Financial Products as FOR Financial Products under the ASX Settlement Operating Rules and to include PLL’s Financial Products in Schedule 1 of the ASX Settlement Operating Rules Procedures; and

(b) to implement certain additional procedures in relation to PLL's Financial Products, as contemplated in Guidance Note 7 US Entities – Regulation S Offerings on ASX and ASX Settlement Operating Rules Guidance Note 13 Financial Products subject to Foreign Ownership Restrictions in relation to PLL’s Financial Products.

The following conditions apply to Third Party's Financial Products:

Foreign Person

The “Foreign Person” designation applies to all “Excluded U.S. Investors”, as defined below.

Level of Foreign Ownership

The relevant Foreign Person ownership level is zero.

This means that an Excluded U.S. Investor must not acquire any PLL Financial Products.

PLL, as Issuer of the Financial Products, has agreed to be bound by the additional obligations of an Issuer of FOR Financial Products under Rule 5.18 of the ASX Settlement Operating Rules.

PLL’s Financial Products are being offered pursuant to an exemption from registration under the U.S. Securities Act and will be traded on the ASX market in reliance on the safe harbour provisions of Regulation S under the U.S. Securities Act. In addition, the procedures set out in the no-action letter dated 7 January 2000 given to ASX by the United States Securities and Exchange Commission will apply to the offered securities and such securities will be traded in compliance with the procedures set out in such letter. Certain of these procedures can be satisfied by the application of the status of FOR Financial Products to PLL’s Financial Products under the ASX Settlement Operating Rules. The status of FOR Financial Products under the ASX Settlement Operating Rules will be applied to PLL’s Financial Products.

Where a holder is currently designated as "F", and wishes to hold PLL’s Financial Products, but is not an Excluded U.S. Investor, a new holder record should be established for that holder designated as "D" for the purposes of holding PLL’s Financial Products.

From 27 November 2024, where a holder is currently designated as "F" or "M", and is an Excluded U.S. Investor, that person cannot acquire and hold any PLL Financial Products.

Where a holder holds PLL Financial Products immediately prior to 27 November 2024 and is currently designated as "F" or "M", and is an Excluded U.S. Investor, the existing holding is not impacted but from 27 November 2024 that person cannot acquire and hold PLL Financial Products.

Participants should liaise with clients intending to purchase or hold PLL’s Financial Products and make all necessary enquiries to ensure that those clients are not Excluded U.S. Investors, and that those clients who are Excluded U.S. Investors are made aware that they cannot acquire any of PLL’s Financial Products. Failure to do so may result in client loss. Similarly, Participants may be liable for any failure to establish a new Holder Record designated as “D” or effect a change of residency indicator where it is necessary.

Foreign and Mixed Holdings

PLL’s Financial Products cannot be acquired by an Excluded U.S. Investor in holdings designated as "F" or "M" under any circumstances, as they may be subject to divestment action by Piedmont Lithium Inc. as set out under the ASX Settlement Operating Rules.

Divestment Periods and Procedure

From 27 November 2024, if the Foreign Ownership Percentage Level is breached, that is, if any Excluded U.S. Investor designated as “F” or “M” becomes registered as holding PLL’s Financial Products, PLL reserves the right, to the maximum extent permitted by law, to take divestment or forfeiture action in respect of those Financial Products. Please refer to the attachment below for more information and definitions.

Need more information?

Issued by

Equity Post Trade Operations

Contact information

Equity Post Trade Operations
1800 814 051
chesshelp@asx.com.au

Attachment - Definitions of “Eligible Shareholder”, "Ineligible Shareholder", "Excluded U.S. Investor" and "United States"

·        “Excluded U.S. Investor” means a holder of PLL's Financial Products (or a person who seeks to be entered on the register as a holder of PLL's Financial Products) who is a U.S. Person or holds or will hold PLL’s Financial Products for the account or benefit of any U.S. Person.

• “U.S. Person” has the meaning given in Rule 902(k) of Regulation S under the U.S. Securities Act.

• “U.S. Securities Act” means the U.S. Securities Act of 1933, as amended.

• "United States" means the United States of America, its territories and possessions, any State of the United States and the District of Columbia.

As at the date of this Notice, “U.S. Person” is defined in Rule 902(k) of Regulation S under the U.S. Securities Act to mean:

• any natural person resident in the United States;

• any partnership or corporation organized or incorporated under the laws of the United States;

• any estate of which any executor or administrator is a U.S. Person;

• any trust of which any trustee is a U.S. Person;

• any agency or branch of a foreign entity located in the United States;

• any non-discretionary account or similar account (other than an estate or trust) held by a dealer or other fiduciary for the benefit or account of a U.S. Person;

• any discretionary account or similar account (other than an estate or trust) held by a dealer or other fiduciary organized, incorporated, or (if an individual) resident in the United States; and

• any partnership or corporation if:

                  o   organised or incorporated under the laws of any foreign  jurisdiction, and

                  o   formed by a U.S. Person principally for the purpose of investing in securities not registered under the U.S. Securities Act, unless it is organised or incorporated, and owned by accredited investors (as defined in the U.S. Securities Act) who are not natural persons, estates or trusts.

As at the date of this Notice, Rule 902(k) of Regulation S under the U.S. Securities Act provides that the following are not "U.S. Persons":

• any discretionary account or similar account (other than an estate or trust) held for the benefit or account of a non-U.S. Person by a dealer or other professional fiduciary organized, incorporated, or (if an individual) resident in the United States;

• any estate of which any professional fiduciary acting as executor or administrator is a U.S. Person if:

             o   an executor or administrator of the estate who is not a U.S. Person has sole or shared investment discretion with respect to the assets of the estate; and

               o   the estate is governed by foreign law;

• any trust of which any professional fiduciary acting as trustee is a U.S. Person, if a trustee who is not a U.S. Person has sole or shared investment discretion with respect to the trust assets, and no beneficiary of the trust (and no settlor if the trust is revocable) is a U.S. Person;

• an employee benefit plan established and administered in accordance with the law of a country other than the United States and customary practices and documentation of such country;

• any agency or branch of a U.S. Person located outside the United States if

                  o   the agency or branch operates for valid business reasons; and

                  o   the agency or branch is engaged in the business of insurance or banking and is subject to substantive insurance or banking regulation, respectively, in the jurisdiction where located; and

• the International Monetary Fund, the International Bank for Reconstruction and Development, the Inter-American Development Bank, the Asian Development Bank, the African Development Bank, the United Nations, and their agencies, affiliates and pension plans, and any other similar international organizations, their agencies, affiliates and pension plans.

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