ASTRON LIMITED — AGM Information 2020

Dec 16, 2020

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Positioned for the Future Donald – a major mineral sands production source Astron Corporation AGM Address – Sydney, 17 December 2020

Astron Corporation ASX:ATR

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Disclaimer

This presentation has been prepared by Astron Corporation Limited (Astron or the “Company”). The information contained in this presentation is for information purposes only and has been prepared for use in conjunction with a verbal presentation and should be read in that context. The information contained in this presentation is not investment or financial product advice and is not intended to be used as the basis for making an investment decision. Please note that, in providing this presentation, Astron has not considered the objectives, financial position or needs of any particular recipient. Astron strongly suggests that investors consult a financial advisor prior to making an investment decision.

No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions contained in this presentation. To the maximum extent permitted by law, none of Astron, its related bodies corporate or its shareholders nor their respective directors, officers, employees, agents nor advisors, nor any other person, accepts any liability, including, without limitation, any liability arising out of fault or negligence for any loss arising from the use or application of information contained in this presentation.

This presentation may include “forward looking statements” within the meaning of securities laws of applicable jurisdictions. Forward looking statements can generally be identified by the use of the words “anticipate”, “believe”, “expect”, “project”, “forecast”, “estimate”, “likely”, “intend”,

“should”, “could”, “may”, “target”, “plan”, “guidance” and other similar expressions. Indications of, and guidance on, future earning or dividends and financial position and performance are also forward-looking statements. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of Astron and its related bodies corporate, together with their respective directors, officers, employees, agents or advisers, that may cause actual results to differ materially from those expressed or implied in such statement. Actual results, performance or achievements may vary materially from any forward looking statements and the assumptions on which those statements are based. Readers are cautioned not to place undue reliance on forward looking statements and Astron assumes no obligation to update such information. Specific regard should be given to the risk factors outlined in this presentation (amongst other things) .

This presentation is not, and does not constitute, an offer to sell or the solicitation, invitation or recommendation to purchase any securities and neither this presentation nor anything contained in it forms the basis of any contract or commitment.

Mineral Resources and Ore Reserves Estimates

As a company with securities listed on the Australian Securities Exchange (ASX), Astron is subject to Australian disclosure requirements and standards, including the requirements of the ASX. Investors should note that it is a

requirement of the ASX listing rules that the reporting of ore reserves and mineral resources in Australia comply with the 2012 edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (“JORC Code”) and that the Ore Reserve and Mineral Resource estimates underpinning the production targets in this presentation have been prepared by a Competent Person in accordance with the JORC Code 2012.

Information that relates to Mineral Resources estimates has been previously announced to ASX on 18 June 2012 and 2 October 2020. Astron confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and that all material assumptions and technical parameters underpinning the estimates continue to apply and have not materially changed. Astron confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcements.

Production outlook

Production outlook and the basis thereof are noted within the relevant disclosure. The outlook included in this presentation is indicative only and should not be construed as guidance. The information is subject to changes in market and operating conditions, political risk, and any significant unplanned issues.

Astron Corporation ASX:ATR

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Astron Corporation

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Astron Corporation (ASX:ATR) is an established and experienced participant in the global mineral sands sector.
Our major focus is bringing the major Donald mineral sands resource, Victoria, into commercial production
Donald deposit Robust market
Established Long operating Advanced licences Focus: delivery of
Major resource demand for
market presence history and approvals shareholder value
base products
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Astron Corporation ASX:ATR

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Astron’s International Presence

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Shenyang
Dakar Yingkou
Niafarang, Senegal
Hong Kong
Melbourne
Minyip
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Astron Corporation ASX:ATR

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Astron’s Mineral Sands Marketing & Technical Expertise

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Solar panels, construction and commercial

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Healthcare and medical applications

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Ceramics, kitchen and sanitaryware

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Aircraft and industrial applications

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30+ years foundation and experience

Established connections and relationships with a wide range of mineral sands customers

Strong technical base (R&D, patents) in advanced materials manufacturing and processing

Depth of experience in titanium and zircon markets sets Astron apart:

historically, the largest manufacturer of fused zirconia and zirconium carbonate in the world

first company to introduce titanium slag into the market in China for sulphate pigment production

successful in removing U/Th/Fe/Ti from zircon, improving zircon quality/appeal in premium applications*

Astron’s technical capabilities, depth of IP and market presence represent key underpinnings for Donald mineral sands project

*Refer to Astron’s market announcement 18[th] June 2012

Astron Corporation ASX:ATR

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Donald Mineral Sands Project

Murray Basin, Victoria

Located 300kms from Melbourne, 70kms from regional centre of Horsham

Key characteristics

• Large, long-life, consistent ore body ▪ Total licensed area of 50,636ha

• Mining License (ML) area of 2,784ha

• Mostly cleared land used mainly for dry-land cropping production

• Astron has existing freehold-land in area

• Close to infrastructure

• Access to Port of Portland (used for mineral sands product exports)

• Extensive community & stakeholder engagement

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Donald
Minyip
Map for Illustrative purpose only
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• Major contributor to local and regional economy

Astron Corporation ASX:ATR

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Donald Mineral Sands Project

Major New Source of Global Supply

The Donald project represents a generational opportunity with well delineated resources:

• Major, high value source of key mineral sands products – zircon, ilmenite, rutile/leucoxene, rare earth element commercialisation opportunities

• Well delineated, extensively drilled resource – large areal extent and consistency

• 5.7 Bt Mineral Resource; 2,426mt where VHM available

• in situ zircon (19.2% assemblage) of ~22 million tonnes

• equates to ~18 years of global consumption

• Subject to extensive evaluation and test work, including 2 test pits

• Associated metallurgical test work for commercial recovery of fine mineral

Mineral resource at 1% HM Cut-off

Mineral resource at 1% HM Cut-off	Mineral resource at 1% HM Cut-off
Report	Classification	Tonnes (MT)	% HM
AMC resource estimate for MIN5532 DMS deposits	Measured	372	4.5
	Indicated	75	4
	Inferred	7	3.5
	Total	454	4.4
AMC resource estimate for RL2002 DMS deposits	Measured	343	3.9
	Indicated	833	3.3
	Inferred	1,595	3.4
	Total	2,771	3.4
AMC resource estimate for RL2003 & 2006 DMS deposits (now RL2003)	Measured
	Indicated	1,903	2.8
	Inferred	584	2.9
	Total	2,487	2.8
	Total	5,712	3.2

See Table 1 Astron Annual Report 2020 announced to ASX 2 October 2020

Mineral resource where VHM data is available at 1% HM Cut-off

Mining Cross-section

Astron Corporation ASX:ATR

Total 5,712 3.2 See Table 1 Astron Annual Report 2020 announced to ASX 2 October 2020	Total 5,712 3.2 See Table 1 Astron Annual Report 2020 announced to ASX 2 October 2020	Total 5,712 3.2 See Table 1 Astron Annual Report 2020 announced to ASX 2 October 2020	Total 5,712 3.2 See Table 1 Astron Annual Report 2020 announced to ASX 2 October 2020
Mineral resource where VHM data is available at 1% HM Cut-off
Report	Classification	Tonnes (MT)	% HM
AMC resource estimate for MIN5532 DMS deposits	Measured	264	5.4
	Indicated	49	4.9
	Inferred	5	4.2
	Total	317	5.3
AMC resource estimate for RL2002 DMS deposits	Measured	185	5.5
	Indicated	454	4.2
	Inferred	647	4.9
	Total	1,286	4.8
AMC resource estimate for RL2003 & 2006 DMS deposits (now RL2003)	Measured
	Indicated	668	4.9
	Inferred	155	4
	Total	823	4.8

See Table 2 Astron Annual Report 2020 announced to ASX 2 October 2020

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Donald Mineral Sands Project

Reasons for extended development pathway

The Donald tenement was first discovered by CRA in 1980s and relinquished following the CRA/ Rio Tinto merger. Since acquisition of the Donald resource, Astron has invested extensively to materially de-risk the Donald project.

More Favourable Market Conditions

• Zircon demand shift – long-term increase

• Pricing – stronger zircon dynamic, no longer a by-product

• Future supply outlook challenged – maturing production, limited new supply

Technological Advancements

▪ Knowledge & technical confidence in fine grain minerals processing advanced significantly since Astron’s acquisition of the Donald project -> techniques now proven

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Astron Corporation acquired Completed test-pit, soil rehab
Donald Mineral Sands Project Commence WCP pilot works
Project Environmental Effects Statement
granted by the Victorian Government Ore reserves and resources update
(2021)
1 [st] detailed evaluation
Refining final products/sales offtakes
Acquisition of water rights
DFS (2021)
2004 2008 2013 2018 On-going
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Astron Corporation ASX:ATR

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Donald Mineral Sands Project

Extensive evaluation has significantly de-risk project

Advanced stage of regulatory approvals.

Approval Requirement	Completed	Date	Expiry
Environmental Effects Statement	✓	2008	N/A
Environmental protection & bio-diversity conversation approval	✓	Mar-09	2034
Cultural Heritage Management Plan	✓	Jan-14	Life of mine
Water Rights	✓	Jan-12	Jan-41 (with option to renew)
Radiation Licence	✓	Dec-14	Dec-20*
Export Permit	✓	Dec-19	Dec-22
Work Plan	Pending	Pending	Life of mine

Geology

Mining

Metallurgy

Market

Extensively drilled

Conventional methods

Continued advances

Favourable dynamics

*Radiation Licence renewed December 3[rd] 2020

Astron Corporation ASX:ATR

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Donald Mineral Sands Project

Multi-stage development process

First production expected ~ 24 months after construction commencement

• Project to be ramped up via a staged process

• Stage 1 volumes of ~650ktpa of HMC and ~120ktpa of zircon (current estimates being subject to completion of scoping studies and DFS in 2021)

• Stage 2 expansion (after ~5 years) – will be based upon market supply / demand characteristics

• Stage 2 effectively doubles final product volumes

• Product volumes to be disclosed as part of DFS: zircon production in Stage 1 of at least 120ktpa, plus titanium dioxide products suitable for chlorination process

• Conventional mining approach – single pit, use of excavators, contract mining

• Comparatively low strip ratio at 2.6:1

• Mobile mining unit plant for preparation of ore for wet concentration plant (on site)

• Optimal arrangement for mineral processing into final products being finalised as part of DFS

• Land disturbed subject to progressive rehabilitation back to original landform

• Majority of workforce expected to be drawn locally

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• Port of Portland, export facility currently used for mineral sands products

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• Astron’s spirals, developed specifically for separation of fine mineral ores.

Astron Corporation ASX:ATR

Shareholder Value – Fundamental Factors

Large, consistent ore-body of significant aerial extent

Quality Resource Base

Long mine life, 25 year mine plan extendable to ~50 years+

Low technical risk, based on extensive evaluation, conventional methods Established market presence, customer relationships, especially in China High level of customer interest – high quality zircon and titania products Multiple product streams – revenue generation from multiple sources Relatively low/efficient capital expenditure profile Expected short payback period & high projected internal rate of return Comparatively low operating expenses; attractive revenue:cash cost ratio Advanced regulatory approvals & permits Local community support

Strength in Market Place

Strong Project Financials Subject to completion of DFS in 2021

Stakeholder Engagement

Extensive community engagement over a long period

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Astron Corporation ASX:ATR

Main Priorities for 2021

Delivery of Donald Project to Approval Ready Stage Update Ore Reserves and Mineral Resources Refine final product definitions, suitable for progressing off-takes Complete pit-to-product de-risking and optimisation Update DFS to align with revised concepts Commence staged project funding process – equity & debt Continue to strengthen organisational and project execution team capabilities for delivery of Donald project and its key objectives Submit work-plan for final approval

Continued adherence to Astron’s Values:

1. We observe the law, our obligations, voluntary commitments and internal standards

2. We value and maintain professionalism in all of our dealings

3. We look after our people 4. We recognise our responsibilities to our stakeholders

Astron Corporation ASX:ATR

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Contact Us

Tiger Brown Executive Director

Tel: +61 3 5385 7088 Email: administration@donaldmineralsands.com.au

Astron Corporation ASX:ATR