EON NRG : Response to ASX Price and Volume Query

ABN 66 138 145 114www.EonNRG.com

ASX Code: E2E

ASX Announcement/Media Release

ASX Price Query

20 Howard Street

Perth WA 6000

PO Box Z5207 St George's Terrace

Perth WA 6831

Tel: [phone]

Fax: [phone]

10 January 2019

Eon NRG Limited ("the Company" or "Eon") refers to a letter dated January 9, 2019 from ASX (attached) in relation to an increase in the price and trading volumes of the Company's securities. The Company provides the following response in relation to the queries.

• Q1. Is E2E aware of any information concerning it that has not been announced to the market which, if known by some in the market, could explain the recent trading in its securities?

  No

• Q2. If the answer to Q1 is "Yes"

  N/A

• Q3. If the answer to Q1 is "No", is there any explanation that E2E may have for the recent trading in its securities?

  1. WTI oil price has increased to ~US$52/Bbl (20% up from its recent low of

US$43/Bbl in December). Oil price is directly related to the Company's cash flow with Eon producing approximately 535 barrels of oil equivalent per day (Gross - 47% liquids) - Refer Q3-18 Activities Report dated October 31, 2018.

2.

The Company announced on December 13 that it was continuing with its review of potential company changing drilling prospects in its acreage in the Powder River Basin, Wyoming which it acquired in Q3-18. Completion of these technical studies are expected in February 2019 at which time further information will be provided to the market.

Q4.

Please confirm that E2E is complying with the Listing Rules and, in particular, Listing Rule 3.1.

The Company confirms that it is complying with the Listing Rules, in particular, Listing Rule 3.1.

CRP02 01 Response to ASX Price Query Jan1019

Q5. Please confirm that E2E's responses to the questions above have been authorized and approved under its published continuous disclosure policy of otherwise by its board or an officer of E2E with delegated authority from the Board to respond to ASX on disclosure matters.

We confirm that this response has been authorized and approved by the relevant authorized board representative.

END

About the Company:

Eon NRG Ltd is an USA onshore focused energy exploration and production company. The Company's is targeting high impact energy exploration projects in oil, gas, and or battery minerals, supported by its 100% owned and operated long life oil and gas production assets and associated cashflow.

2

10 January 2019

Mr Simon Adams Company Secretary Eon Nrg Limited

Level 1, 20 Howard Street PERTH WA 6000

By email

Dear Mr Adams

Eon Nrg Limited ('E2E'): Price and Volume Query

We note the change in the price of E2E's securities from a low of $0.008 on 3 January 2019 to an intra-day high at the time of writing of $0.014 today, 10 January 2019.

We also note the significant increase in the volume of E2E's securities traded from 3 January 2019 to 10 January 2019.

Request for Information

In light of this, ASX asks E2E to respond separately to each of the following questions and requests for information:

1.

Is E2E aware of any information concerning it that has not been announced to the market which, if known by some in the market, could explain the recent trading in its securities?

• 2. If the answer to question 1 is "yes".

  • (a) Is E2E relying on Listing Rule 3.1A not to announce that information under Listing Rule 3.1?

    Please note that the recent trading in E2E's securities would suggest to ASX that such information may have ceased to be confidential and therefore E2E may no longer be able to rely on Listing

    Rule 3.1A. Accordingly, if the answer to this question is "yes", you need to contact us immediately to discuss the situation.

  • (b) Can an announcement be made immediately? Please note, if the answer to this question is "no", you need to contact us immediately to discuss requesting a trading halt (see below).

  • (c) If an announcement cannot be made immediately, why not and when is it expected that an announcement will be made?

• 3. If the answer to question 1 is "no", is there any other explanation that E2E may have for the recent trading in its securities?

• 4. Please confirm that E2E is complying with the Listing Rules and, in particular, Listing Rule 3.1.

• 5. Please confirm that E2E's responses to the questions above have been authorised and approved under its published continuous disclosure policy or otherwise by its board or an officer of E2E with delegated authority from the board to respond to ASX on disclosure matters.

ASX Limited [[Listings]]

When and where to send your response

This request is made under Listing Rule 18.7. Your response is required as soon as reasonably possible and, in any event, by no later than 6.30 AM AWST Friday, 11 January 2019. If we do not have your response by then,

ASX will likely suspend trading in E2E's securities under Listing Rule 17.3. You should note that if the information requested by this letter is information required to be given to ASX under Listing Rule 3.1 and it does not fall within the exceptions mentioned in Listing Rule 3.1A, E2E's obligation is to disclose the information "immediately". This may require the information to be disclosed before the deadline set out in the previous paragraph.

ASX reserves the right to release a copy of this letter and your response on the ASX Market Announcements Platform under Listing Rule 18.7A. Accordingly, your response should be in a form suitable for release to the market. Your response should be sent to me by e-mail [e-mail]. It should not be sent directly to the ASX Market Announcements Office. This is to allow me to review your response to confirm that it is in a form appropriate for release to the market, before it is published on the ASX Market Announcements Platform.

Listing Rules 3.1 and 3.1A

Listing Rule 3.1 requires a listed entity to give ASX immediately any information concerning it that a reasonable person would expect to have a material effect on the price or value of the entity's securities. Exceptions to this requirement are set out in Listing Rule 3.1A. In responding to this letter, you should have regard to E2E's obligations under Listing Rules 3.1 and 3.1A and also to Guidance Note 8 Continuous Disclosure: Listing Rules 3.1 - 3.1B. It should be noted that E2E's obligation to disclose information under Listing Rule 3.1 is not confined to, nor is it necessarily satisfied by, answering the questions set out in this letter.

Trading halt

If you are unable to respond to this letter by the time specified above, or if the answer to question 1 is "yes"

and an announcement cannot be made immediately, you should discuss with us whether it is appropriate to request a trading halt in E2E's securities under Listing Rule 17.1. If you wish a trading halt, you must tell us:

•  the reasons for the trading halt;

•  how long you want the trading halt to last;

•  the event you expect to happen that will end the trading halt;

•  that you are not aware of any reason why the trading halt should not be granted; and

•  any other information necessary to inform the market about the trading halt, or that we ask for.

We may require the request for a trading halt to be in writing. The trading halt cannot extend past the commencement of normal trading on the second day after the day on which it is granted.

You can find further information about trading halts in Guidance Note 16 Trading Halts & Voluntary Suspensions.

Suspension

If you are unable to respond to this letter by the time specified above ASX will likely suspend trading in E2E's securities under Listing Rule 17.3.

Enquiries

If you have any queries or concerns about any of the above, please contact me immediately.

Yours faithfully

Wade Baggott

Principal Adviser, Listings Compliance (Perth)