ARCHER MATERIALS LIMITED — Capital/Financing Update 2018

Apr 26, 2018

ABN: 64 123 993 233

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ASX Announcement (ASX: AXE ) 27 April 2018

Strategic review of options for non-graphite assets, including IPO

Archer Exploration Limited (ASX:AXE, Archer, Company) announces that it is undertaking a strategic review of its non-graphite assets which include the Blue Hills Copper Project, Jamieson Tank Manganese Project, Ketchowla Manganese Cobalt project, North Broken Hill Cobalt Project and the Leigh Creek Magnesia Project (the non-Graphite Projects ).

Last year Archer received the grant of the Campoona graphite mining lease, acquired the Carbon Allotropes online graphene marketplace and appointed Dr Mohammad Choucair as CEO. Since that time the Company has made significant progress in the development of its carbon focussed advanced materials business whilst also actively exploring the non-Graphite Projects.

The Company has been actively exploring and developing the non-Graphite Projects which have achieved significant growth and scale under Archer’s ownership. The non-Graphite Projects are all 100% owned and offer exposure to a range of minerals that are in high demand in the current stage of the commodity life cycle (e.g. cobalt prices are now > US$85,000/t).

The Company has engaged Sequoia Financial Group to undertake the strategic review.

The review will consider long-term Archer shareholder value, including whether a separately listed company holding the non-Graphite Projects would be better able to develop these projects and allow Archer to better focus on its graphite and graphene development goals.

For further information, please contact:

Contact Details

Shareholders

Mr Greg English Executive Chairman Dr Mohammad Choucair Chief Executive Officer

For more information visit our website https://archerx.com.au/investors/

Tel: +61 8 8272 3288