DE.MEM LIMITED — Capital/Financing Update 2017

Nov 8, 2017

De.mem Limited (ASX:DEM) ACN 614 756 642 Registered Office 16 Ord Street West Perth WA 6005 investor@demem.com.sg

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ASX RELEASE | De.mem Limited (ASX:DEM)

De.mem announces expansion into China

Highlights:

• De.mem executes non-binding MOU with VCCL to jointly pursue opportunities in China

• VCCL is in advanced discussions with a number of State Owned Enterprises with largescale industrial waste water projects

• The China wastewater treatment market is estimated to be worth A$20bn

• China is the largest producer of wastewater globally with c.68 billion tonnes of wastewater produced per annum

• China Government has introduced ‘Ten Measures of Water Policy’ to control pollution discharge and improve water quality and efficiency

• De.mem is continuing to investigate additional growth strategies with a number of established partners to further expand its operations in China with further updates to be provided shortly

9 November 2017: Water and waste-water treatment company De.mem Limited (“De.mem” or the “Company”) (ASX:DEM) is pleased to announce that it has signed a non-binding Memorandum of Understanding (“MOU”) with Virtual Curtain China Limited (“VCCL”), a waste water treatment business backed by a technology from Australia’s CSIRO, to jointly pursue a number of imminent market opportunities in the Chinese nuclear, mining and minerals, and coal-to-chemical sectors.

Under the terms of the MOU, De.mem will partner with VCCL to jointly pursue a number of opportunities where VCCL is in advanced discussions. De.mem’s proprietary Nanofiltration technology and engineering capabilities will complement VCCL’s technology for the identified projects.

VCCL is a Hong Kong company that holds the exclusive rights to the greater China market for the hydrotalcite wastewater treatment technology (HT-Technology), patented and developed by the Commonwealth Science and Industrial Research Organisation (CSIRO).

VCCL has developed a significant pipeline of potential industrial wastewater treatment projects in China, initially focusing on the mining and minerals, nuclear, coal-to-chemicals, and petro-chemicals sectors with prospective high-profile clients, with a sample of these prospective clients following:-

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• Nuclear - Processing wastewater - Uranium tailings dam

• Volume: 400GL+

Mining and Minerals

• Acid mine drainage

• Process wastewaters - Tailings dams

• Volumes: 10,000m[3] +/day

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• Petrochemicals - Pre-treatment - Recycled wastewaters - Volume: ~30,000m[3] /day

Coal-to-Chemical

• Pre-treatment

• Recycled wastewaters - RO concentrates

• Volumes: 10,000m[3] +/day

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De.mem Limited (ASX:DEM) ACN 614 756 642 Registered Office 16 Ord Street West Perth WA 6005 investor@demem.com.sg

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China is the largest producer of waste water globally with a market size estimated to be worth A$20bn. Each year China produces approximately 68 billion tonnes of wastewater.

To improve water quality and efficiency across China the Chinese Government has implemented the ‘Ten Measures of Water Policy’ which seeks to control pollution discharge, promote economic and industrial transformation and save and recycle resources.

De.mem is continuing to investigate additional growth strategies with a number of established partners to further expand its operations in China with further updates to be provided shortly.

De.mem Chief Executive Officer Andreas Kroell: “We are delighted to be expanding into China, a market that represents a key growth opportunity for De.mem. De.mem’s technology and significant experience in the mining and resources sector following the recent acquisition of Akwa-Worx will complement the opportunities being pursued with VCCL”.

Ends

For further information, please contact:

De.mem Limited Corporate Enquiries Media Enquires Andreas Kroell Shane Wee Julia Maguire CEO Director Director De.mem Limited Alto Capital The Capital Network investor@demem.com.sg shane@altocapital.com.au julia@thecapitalnetwork.com.au +61 419 815 386

About De.mem Limited

De.mem Limited (ASX:DEM) is a Singaporean-Australian decentralised water and waste-water treatment business that designs, builds, owns and operates water and waste water treatment systems for its clients. De.mem operates in the industrial segment providing systems and solutions to customers from the mining, electronics, chemicals, oil & gas and the food & beverage industries and in the municipal and residential segments. De.mem has licensed proprietary technologies from its partner in research & development, Singapore’s Nanyang Technological University (NTU), including an exclusive worldwide license for a revolutionary low-pressure hollow fibre nanofiltration membrane. Through its wholly owned subsidiary Akwa-Worx Pty Ltd, De.mem has a strong presence in Australia. Akwa-Worx has a market reputation for building high quality Australian designed and manufactured products and has long-term customers in the Australian mining industry. To learn more please visit: www.demembranes.com

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