AMAERO LTD — Capital/Financing Update 2021

Oct 17, 2021

ASX:3DA

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ASX Release

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18 October 2021

Amaero secures Heads of Agreement with Gilmour Space

Key highlights:

• Heads of Agreement (HoA) secured with Gilmour Space Technologies (Gilmour Space)

• HoA will lead to a long-term supply agreement for the manufacture of rocket components for Gilmour Space

• The resulting supply agreement will be for a three-year term and is expected to deliver total revenues to Amaero of approximately $1.7 million

• Gilmour Space is a venture-backed Australian rocket company which is pioneering innovative hybrid propulsion technologies that will offer lower cost access to space.

• Production of the components for the supply agreement will commence in FY2022.

Amaero International Limited (“ Amaero ”), (the “ Company ”) ( ASX:3DA ), a leader in metal additive manufacturing is pleased to announce it has secured a Heads of Agreement with Gilmour Space Technologies (Gilmour Space).

The Heads of Agreement will lead to a long-term supply agreement with Gilmour Space for the manufacture of rocket components.

The supply agreement will be for a three-year term and will see Amaero manufacture a range of different rocket motor components to be used on Gilmour Space flight-ready vehicles. Under the terms of the supply agreement, which are commercially sensitive, Gilmour Space will pay fees to Amaero for manufacturing services and the supply of rocket motor components.

The HoA contains a three-year forecast provided by Gilmour Space, which may be updated or amended upon rolling three- monthly reviews by the parties. Production of the various components for the supply agreement will commence this calendar year 2021. Based upon the three-year forecast included in the HOA, Amaero expects the agreement to deliver total revenues of approximately $1.7 million over the forecast period. The terms of the HoA are included as an Appendix to this announcement.

Gilmour Space is a venture-backed Australian rocket company which is pioneering new and innovative hybrid propulsion technologies that will offer lower cost access to space. The Company is developing and building local Low Earth Orbit (LEO) launch capabilities or rocket launches into Earth-centered orbits close to the planet. Gilmour has agreements in place with leading organisations including the US National Aeronautics & Space Administration (“NASA”), The Australian Space Agency and Queensland Defence Science and Technology.

The agreement follows the supply of a series of prototype rocket motor components to Gilmour Space that were manufactured by Amaero under small purchase orders over the past 12 months.

Amaero International Limited CEO, Barrie Finnin, commented: “ We are very pleased to continue and strengthen our relationship with Gilmour Space as they develop and build local Low Earth Orbit launch capabilities. Gilmour Space is a key local partner for our Australian operations, and this agreement builds a framework for collaborating with the company on a long-term basis. It also delivers on our

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Amaero International Limited (ABN: 82 633 541 634) 11-13 Normanby Road, Notting Hill, VIC, 3168, Australia T: +61 3 9905 9847 info@amaero.com.au www.amaero.com.au

ASX:3DA

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strategic commitment to fostering the development of a local space industry in addition to the work we are conducting for global space companies out of our California manufacturing facility.”

Gilmour Space Technologies Co-Founder & Chief Executive Officer Adam Gilmour added: “We are excited to be working again with Amaero on these rocket components as we prepare for launches of our Eris orbital rocket from CY2022. Amaero’s capabilities and expertise play a key role in helping us to achieve our goal of more affordable, reliable and dedicated rocket launches into Low Earth Orbits.”

This ASX release is approved by the Board of Amaero International Limited.

For further information, please contact:

Corporate:	Investors:
Barrie Finnin	Gabriella Hold
CEO	Market Eye
Amaero International Limited	+61 (0) 411 364 382
info@amaero.com.au	gabriella.hold@marketeye.com.au

About Amaero International Limited:

Amaero International Limited is an Australian based company that manufactures large format complex components in metal with laser-based additive manufacturing processes, commonly known as 3D printing.

The principal activity of Amaero is the provision of end-to-end additive manufacturing solutions in terms of materials, services, equipment, and technology to its key clients in the Aviation Defence and Space sectors and the Tool and Die industry.

Amaero has worked with many of the world’s leading manufacturers of aerospace and defence products in both an R&D and manufacturing capability and has a demonstrated ability to deliver aviation and military specification 3D printed alloy critical operation components.

Amaero was established with the support of Monash University in 2013 to take advantage of commercial opportunities identified by the Monash Centre for Additive Manufacturing (MCAM). Amaero is co-located with MCAM in Melbourne Australia. It operates two additional facilities, in Adelaide, South Australia, and Los Angeles, California, USA.

For further information, please visit: https://www.amaero.com.au/

About Gilmour Space Technologies Pty Ltd:

Gilmour Space is a venture-backed Australian rocket company developing new capabilities for launching small satellites to space.

Founded by two brothers in 2013, this Queensland startup is now one of Australia's leading space companies pioneering new and innovative hybrid propulsion technologies that will offer lower cost access to space.

For further information, please visit: https://www.gspacetech.com/

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Amaero International Limited (ABN: 82 633 541 634) 11-13 Normanby Road, Notting Hill, VIC, 3168, Australia T: +61 3 9905 9847 info@amaero.com.au www.amaero.com.au

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Appendix: Terms of the HoA

Parties: Gilmour Space Technologies Pty Ltd (“Gilmour Space”) and Amaero Engineering Pty Ltd (“Amaero”).

Purpose: To define basic principles of the Supply Agreement to be signed between the Parties which has the objectives to:

• to facilitate the manufacture of components to Gilmour Space specifications;

• to provide certainty on pricing, capacity and holding stocks of inputs; and

• to establish a standard production lead time.

Intellectual Property (“IP”): Background IP to remain the property of the owning Party. Foreground IP relating to Gilmour’s designs will be owned by Gilmour and licensed to Amaero however any Foreground IP not pertaining to Gilmour’s designs shall be owned by Amaero and may be patented by Amaero.

Confidentiality: The Parties have signed a Confidentiality Agreement to cover the exchange of information relative to the manufacture of components and the additive manufacturing process.

Duration: 31 October 2021 or until formalisation of the Supply Agreement., whichever occurs first, extendable by written agreement between the Parties.

Production forecast: Contains part numbers, production dates / lead times and pricing. May be updated and amended upon a rolling three-monthly review held by the Parties.

Termination of the HoA and following Supply Agreement will be based on performance of standard commercial arrangements regarding supply, payment and confidentiality.

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Amaero International Limited (ABN: 82 633 541 634) 11-13 Normanby Road, Notting Hill, VIC, 3168, Australia T: +61 3 9905 9847 info@amaero.com.au www.amaero.com.au

ASX:3DA

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Amaero International Limited (ABN: 82 633 541 634) 11-13 Normanby Road, Notting Hill, VIC, 3168, Australia T: +61 3 9905 9847 info@amaero.com.au www.amaero.com.au