ALTECH BATTERIES LTD — Capital/Financing Update 2015

Mar 9, 2015

ASX ANNOUNCEMENT AND MEDIA RELEASE

10 March 2015

ALTECH APPOINTS M+W GROUP AS EPCM PARTNER FOR HPA PROJECT

Highlights

• Appointment of M+W Group as EPCM partner

• Leading global engineering and construction group with extensive Asian experience

• Strengthens the Bankable Feasibility Study (BFS) team

Altech Chemicals Limited (Altech/the Company) (ASX: ATC) is pleased to announce that following its strategic decision to select Johor Bahru, Malaysia as the preferred location for its proposed 4,000tpa high purity alumina (HPA) processing plant, it has now appointed M+W Group as its Engineering, Procurement, Construction and Management (EPCM) partner.

Headquartered in Stuttgart, Germany, M+W Group was founded in 1912, is a leading global engineering and construction business, has offices in over 30 countries, and in excess of 8,500 employees world-wide. The firm has a strong presence in Asia with regional offices in both Singapore and Penang, Malaysia, and has successfully completed over 700 projects in the Asia Pacific region where it employs around 2,000 highly skilled and experience staff.

Commenting on the appointment of M+W Group by the Company, Altech’s managing director Iggy Tan explained, “The decision to appoint an EPCM partner at this stage of the HPA project, and to embed them in the BFS team, will enhance the overall quality and accuracy of the BFS work. Specifically, M+W Group brings with it a vast knowledge of the Malaysian construction environment, conditions, regulations, and design requirements; all of this experience will now be available to the BFS team and will facilitate more informed design decisions during the study. This will ultimately position the Company for a rapid transition to final detailed design, long lead item procurement and the commencement of construction following the completion of the BFS.”

Altech Chemicals Limited ASX:ATC ABN 45 125 301 206

Suite 8, 295 Rokeby Road Subiaco, Western Australia 6008 Australia

Telephone: +61 8 9389 5557 Facsimile: +61 8 9389 5510 Website: www.altechchemicals.com

EXAMPLES OF MALAYSIAN PROJECTS BY M+W GROUP

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Synthomer Chemicals - Kluang, Johor, Malaysia

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Infineon – Kulim, Malaysia

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Jotun – Nilai, Malaysia

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Q Cells – Cyberjaya, Malaysia

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First Solar – Kulim, Malaysia

-End-

Altech Chemicals Limited ASX:ATC ABN 45 125 301 206

Suite 8, 295 Rokeby Road Subiaco, Western Australia 6008 Australia

Telephone: +61 8 9389 5557 Facsimile: +61 8 9389 5510 Website: www.altechchemicals.com

ASX ANNOUNCEMENT AND MEDIA RELEASE

For more information, please contact:

Corporate Media Contact Iggy Tan Tony Dawe Managing Director Consultant Altech Chemicals Limited Professional Public Relations Tel: +61 8 9389 5557 Tel (office): +61 8 9388 0944 Email: info@altechchemicals.com Email: tony.dawe@ppr.com.au

About Altech Chemicals (ASX: ATC)

Altech Chemicals Limited (Altech/the Company) is aiming to become one of the world's leading suppliers of 99.99% (4N) high purity alumina ( HPA ) (Al2O3). HPA is a high-value product because it is the major source material for scratch-resistant artificial sapphire glass. Sapphire glass is used to produce a range of high-performance electronic applications such as LEDs, semi-conductors, phosphor display screens, as well as new emerging products such as smartphones and tablet devices. The global HPA market is approximately 19,040tpa (2014) and is expected to at least double over the coming decade.

Current HPA producers use an expensive and highly processed feedstock material such as aluminium metal to produce HPA. Altech produces 4N HPA directly from an ore feedstock, aluminous clay, from its Meckering deposit in Western Australia. The Company is now advancing a Bankable Feasibility Study (BFS) to develop a full-scale 4,000tpa HPA production facility. The Altech process employs conventional and proven “off-the-shelf” plant and technology to extract HPA from its low-cost and low-impurity aluminous clay feedstock, which results in lower operating costs .

Altech is a chemical processing group focused on creating a high-margin product to meet the growing global demand for the next generation of high-performance technologies.

Forward-looking Statements

This announcement contains forward-looking statements which are identified by words such as ‘anticipates’, ‘forecasts’, ‘may’, ‘will’, ‘could’, ‘believes’, ‘estimates’, ‘targets’, ‘expects’, ‘plan’ or ‘intends’ and other similar words that involve risks and uncertainties. Indications of, and guidelines or outlook on, future earnings, distributions or financial position or performance and targets, estimates and assumptions in respect of production, prices, operating costs, results, capital expenditures, reserves and resources are also forward looking statements. These statements are based on an assessment of present economic and operating conditions, and on a number of assumptions and estimates regarding future events and actions that, while considered reasonable as at the date of this announcement and are expected to take place, are inherently subject to significant technical, business, economic, competitive, political and social uncertainties and contingencies. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of our Company, the Directors and management. We cannot and do not give any assurance that the results, performance or achievements expressed or implied by the forward-looking statements contained in this announcement will actually occur and readers are cautioned not to place undue reliance on these forward-looking statements. These forward looking statements are subject to various risk factors that could cause actual events or results to differ materially from the events or results estimated, expressed or anticipated in these statements.

Altech Chemicals Limited ASX:ATC ABN 45 125 301 206

Suite 8, 295 Rokeby Road Subiaco, Western Australia 6008 Australia

Telephone: +61 8 9389 5557 Facsimile: +61 8 9389 5510 Website: www.altechchemicals.com