ARCHER MATERIALS LIMITED — Capital/Financing Update 2016

Jul 26, 2016

ABN 64 123 993 233

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ASX Announcement

27 July 2016 ABN 64 123 993 233

Reminder – SPP Options Offer Closes 02 August 2016

Archer shareholders who were allotted shares under the Company’s recent share purchase plan (SPP) are eligible to apply for unlisted share options (Options) to be issued in accordance with the terms set out in the prospectus and the personalised application form sent to eligible shareholders.

Each free attaching Option will have an exercise price of $0.12, expiry date of 30 June 2017 and otherwise issued on the terms set out in the prospectus dated 27 June 2016 (Prospectus).

Eligible shareholders who wish to apply for Options must ensure that their completed application form is received by Archer or Computershare by no later than 5pm (CST) on 2 August 2016 .

Please contact the Archer Company Secretary, Damien Connor at dconnor@archerexploration.com.au or on +61(8) 8272 3288 if you require a replacement copy of your personalised application form to be sent to you.

We encourage eligible shareholders to read the Prospectus which was posted to each eligible shareholder and available on the Company’s website at www.archerexploration.com.au .

This announcement is not investment advice and eligible shareholders should consult their professional advisors before deciding whether or not to apply for Options.

For further information please contact:

Mr Greg English Chairman Archer Exploration Limited Tel: (08) 8272 3288

Mr Damien Connor Company Secretary Archer Exploration Limited Tel: (08) 8272 3288

Archer Exploration Limited Level 1, 28 Greenhill Rd Wayville SA 5034 www.archerexploration.com.au