ARIKA RESOURCES LIMITED — Capital/Financing Update 2018

Dec 20, 2018

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ASX RELEASE: 21 DECEMBER 2018

A$1.5M INJECTION FOR PATERSON COPPER EXPLORATION

The West Australian Article 21 December 2018 Clarification

Metalicity (ASX:MCT) (the Company) refers to the article in today’s The West Australian at page 53 “SQM puts foot on lithium lot” and confirms that the reference to ‘two parties are also eyeing plans for a lithium hydroxide plant’ is a reference to SQM and Kidman Resources and that Metalicity is not involved with the lithium hydroxide plant at Kwinana.

Metalicity also confirms that cash proceeds from the recently signed binding agreement with Sociedad Quimica y Minera de Chile SA (SQM) for the 100% sale of its Pilbara Lithium project, for a total sum of USD$1M (A$1.35M) and a Net Smelter Royalty (NSR) of 1% from all products has been received in its US bank account which will enable further exploration of its recently secured copper exploration projects on the Paterson Province of the Pilbara Region, WA.

The ~A$1.5M is in addition to the anticipated receipts from the sale of the zinc assets with Kimberley Mining Limited (KML) which will potentially deliver up to C$32.5M cash/shares to Metalicity (up to C$12.5M cash and retaining 25M shares valued at C$20M) anticipated for Quarter 1, 2019.

The company has completed a first pass review of its recently secured copper exploration projects covering a total area of 2,166 km[2 ] of Exploration License Applications (ELA’s) in the Paterson Province of the Pilbara Region, adjoining Rio Tinto’s Exploration Licenses , and has generated some significant high priority targets for future exploration covering a total area of 908km[2] .

ENQUIRIES

Investors Investor Relations Matt Gauci David Tasker/ Colin Jacoby Managing Director Chapter One Advisors +61 8 9324 1053 +61 433 112 936 / +61 439 980 359 mgauci@metalicity.com.au david.tasker@lateral.com.au cjacoby@chapteroneadvisors.com.au

About Metalicity Limited

Metalicity Limited is an Australian mining exploration company with a primary focus on the base metals sector and the exploration for Nickel-Copper in the Fraser Range and Copper in the Pilbara Region, both located in the world first jurisdiction of Western Australia. The Company is well supported by a corporate and technical management team with significant collective experience in the mining exploration sector as well as strategic, private equity, institutional and retail funds as shareholders.

Metalicity Limited ASX Code: MCT ABN: 92 086 839 992

www.metalicity.com.au 6 Outram Street West Perth WA 6005