GREENWING RESOURCES LTD — Call Transcript 2016

Sep 29, 2016

ASX ANNOUNCEMENT 30 SEPTEMBER 2016

==> picture [135 x 50] intentionally omitted <==

BASS METALS’ CEO, TIM MCMANUS

SPEAKS TO FINANCE NEWS NETWORK

Bass Metals Limited (ASX: “BSM”) (the “Company”) is pleased to provide shareholders with an update on the Company and its projects, future direction and goals, and the graphite market.

To view the video onine please copy and paste the URL below into your web browser:

https://www.finnewsnetwork.com.au/archives/finance_news_network124504.html

Transcription of Finance News Network with Bass Metals (ASX:BSM) CEO Tim McManus

Carolyn Herbert: Hello, I’m Carolyn Herbert from the Finance News Network. Joining me from Australia’s only current graphite producer, Bass Metals Limited (ASX:BSM) is CEO, Tim McManus. Tim, welcome to FNN.

Tim McManus: Thank you.

Carolyn Herbert: Can you start by giving us an introduction to Bass Metals?

Tim McManus: Bass is an Australian listed company. We most recently bought the Graphmada graphite mine in Madagascar. We have a market cap of about $16 million to $18 million, and we feel we’ve just started our journey in the graphite space. Most importantly, we’re the only producer of graphite on the ASX and we’re looking forward to expanding on that production.

Carolyn Herbert: Now to your Graphmada graphite mine, what’s the size of the resource and what’s taking place?

Tim McManus: Graphmada is located in Madagascar. It has 5.7 million tonnes at 4.12 per cent total graphite content; we’re looking to expand on that. We have some drilling proposed for later this year. We have a 6,000 tonne per annum plant, and all the associated infrastructure with that. But at the moment it’s not running at its nameplate capacity, so it’s running at about 3,000 tonnes per annum. So we look to invest some capital, get that up

BASS METALS LTD. (ASX: BSM)

Email: admin@bassmetals.com.au Phone: (07) 3221 0783 Post: PO Box 1048, Subiaco WA 6904 Web: www.bassmetals.com.au

1

ASX ANNOUNCEMENT 30 SEPTEMBER 2016

==> picture [135 x 50] intentionally omitted <==

and running and then expand into the market from there.

Carolyn Herbert: What are the key milestones and expansion plans?

Tim McManus: We have two clear projects for the company. One is an operational improvement project where we’ll invest money into existing infrastructure, improve our recoveries and our grade. The second project is an expansion project where we’ll build an additional plant, take our capacity up to 20,000-25,000 tonnes per annum, do a fair amount of drilling to defind the resource. With mining permits already in place, and there for 40 years, we can produce enough graphite for the long term.

Carolyn Herbert: What are the economics of the project?

Tim McManus: This is the opportunity for Bass – we bought a breakeven project. It makes enough money, to wash its face, as some would say. And then we’re looking to invest some capital to increase that production, expand into different markets and then build from there.

Carolyn Herbert: Where will production go and what markets are you selling into?

Tim McManus: At the moment we’re selling into the US market, India and Europe. We sold about 1,500 tonnes last year. We’re looking to increase that through to the nameplate capacity as I mentioned – to 6,000 tonnes. And then expand on that to take us to 20,000 tonnes. But the main two markets that we’re looking to really leverage off is the traditional market and refractories, and then the expandable graphite market. The battery market for us is a great opportunity, but that’s down the track. We want to leverage off traditional markets at the moment.

Carolyn Herbert: Now to finances, you recently completed a capital raising. How much did you raise and where will the funds go?

Tim McManus: We recently raised just over $7 million. A good portion of that is being spent at the moment, expanding and improving current production. We’ll look to spend probably about $0.5 million on drilling, starting in October and expanding our resource. And then longer term, we’ll look to use some of that

BASS METALS LTD. (ASX: BSM)

Email: admin@bassmetals.com.au Phone: (07) 3221 0783 Post: PO Box 1048, Subiaco WA 6904 Web: www.bassmetals.com.au

2

ASX ANNOUNCEMENT 30 SEPTEMBER 2016

==> picture [135 x 50] intentionally omitted <==

money to develop our expansion projects, and then seek investment for that capital investment.

Carolyn Herbert: What are your financials targets for this financial year?

Tim McManus: This year we’re looking to continue to be breakeven at the mine. And then expand on our production and become cash flow positive. For us that’s very much around improving recoveries and grade, through some moderate capital investment in the existing plant. So that’s our main target. We’re on track so far. We’ve already improved our recovery and our grades. We’re looking to see that become more consistent, and then develop our relationships in the market from that.

Carolyn Herbert: Finally Tim. Where would you like to see the company 12 month’s from now, and over the longer term?

Tim McManus: We’d like our expansion project to be well in progress, looking to almost seek construction, approvals and finance. We think our existing mine will be at a cash flow positive state; making a couple of million dollars a year, at the 6,000 tonne per annum rate. And then the great opportunity for us is to to springboard off that into the growing markets, like expandable graphite and batteries.

Carolyn Herbert: Tim McManus, thanks for the introduction to Bass Metals.

Tim McManus: Thanks very much for your time.

Ends

For more information, please contact:

Tim McManus Chief Executive Officer Phone: (07) 3221 0783 Email: admin@bassmetals.com.au Please visit us at: www.bassmetals.com.au

BASS METALS LTD. (ASX: BSM) Email: admin@bassmetals.com.au Phone: (07) 3221 0783 Post: PO Box 1048, Subiaco WA 6904 Web: www.bassmetals.com.au

3

ASX ANNOUNCEMENT 30 SEPTEMBER 2016

==> picture [135 x 50] intentionally omitted <==

Our Vision

To be a world leading graphite producer that can sustainably trade to market demand.

ABOUT THE GRAPHMADA LARGE FLAKE GRAPHITE MINE

Madagascar has been a recognised producer and exporter of graphite since 1907 and sets the world standard for product quality and flake size. The Graphmada Graphite Mine is situated in eastern Madagascar, approximately 100 km by sealed highway from the export port of Tamatave.

==> picture [416 x 338] intentionally omitted <==

The Graphmada Mine hosts four known deposits. Recent mining activities have been focused on the Loharano deposit, while the Mahefedok deposit has also undergone

BASS METALS LTD. (ASX: BSM) Email: admin@bassmetals.com.au Phone: (07) 3221 0783 Post: PO Box 1048, Subiaco WA 6904 Web: www.bassmetals.com.au

4

ASX ANNOUNCEMENT 30 SEPTEMBER 2016

==> picture [135 x 50] intentionally omitted <==

trial mining as part of life-of-mine development studies. The Mahela and Ambatofafana deposits are still to be explored to their full potential.

The graphite at Graphmada is hosted in both weathered regolith and underlying graphitic gneiss, with the grade of graphitic carbon increasing with depth. All mining to date has been very shallow and low cost, with the mining horizon from 1.5m below surface to a depth of 6-8m. However, the graphite bearing regolith is known to go to depths of more than 30 metres, to the underlying hard-rock mineralisation. Mineralisation at Mahefedok alone is open along a strike of approximately 1.8km and to depth.

The 140-strong workforce utilises modern facilities and infrastructure, with an on-site doctor, pharmacy, housing, offices, communications and a advanced analytical laboratory in place.

Also installed on site is a 6,000 product tonne per annum processing plant, with a drying and packaging facility, which the Company plans to improve and refurbish to reach nameplate capacity.

Graphmada sold approximately 1,500 product tonnes in the 2015 calendar year, with a proportion of the product being large flake graphite at 94% or greater purity. The Graphmada brand is synonymous with quality

large flake graphite concentrate and is well established in traditional markets, as well as potential to push into new technology markets.

Bass Metals will add value by leveraging Graphmada’s reputation for quality, improving operational efficiencies, and expanding graphite production through a low-capital and timely

==> picture [187 x 19] intentionally omitted <==

----- Start of picture text -----

BASS METALS LTD. (ASX: BSM)
Email: admin@bassmetals.com.au Phone: (07) 3221 0783
----- End of picture text -----

Post: PO Box 1048, Subiaco WA 6904 Web: www.bassmetals.com.au

5

ASX ANNOUNCEMENT 30 SEPTEMBER 2016

==> picture [135 x 50] intentionally omitted <==

expansion into a high growth market.

BASS METALS LTD. (ASX: BSM) Email: admin@bassmetals.com.au Phone: (07) 3221 0783 Post: PO Box 1048, Subiaco WA 6904 Web: www.bassmetals.com.au

6

ASX ANNOUNCEMENT 30 SEPTEMBER 2016

==> picture [135 x 50] intentionally omitted <==

DISCLAIMER & CAUTIONARY STATEMENTS

Disclaimer

This document has been prepared by Bass Metals Limited (the “Company”). It should not be considered as an invitation or offer to subscribe for or purchase any securities in the Company or as an inducement to make an invitation or offer with respect to those securities. No agreement to subscribe for securities in the Company will be entered into on the basis of this document. This document is provided on the basis that neither the Company nor its officers, shareholders, related bodies corporate, partners, affiliates, employees, representatives and advisers make any representation or warranty (express or implied) as to the accuracy, reliability, relevance or completeness of the material contained in the document and nothing contained in the document is, or may be relied upon as a promise, representation or warranty, whether as to the past or the future. The Company hereby excludes all warranties that can be excluded by law.

The document may contain forward-looking information and prospective financial material, which is predictive in nature and may be affected by inaccurate assumptions or by known or unknown risks and uncertainties, and may differ materially from results ultimately achieved. All references to future production, production targets and resource targets and infrastructure access are subject to the completion of all necessary feasibility studies, permitting, construction, financing arrangements and infrastructure-related agreements. Where such a reference is made, it should be read subject to this paragraph and in conjunction with further information about the Mineral Resources and Exploration Results, as well as the Competent Persons' statements. All persons should consider seeking appropriate professional advice in reviewing the document and all other information with respect to the Company and evaluating the business, financial performance and operations of the Company. Neither the provision of the document nor any information contained in the document or subsequently communicated to any person in connection with the document is, or should be taken as, constituting the giving of investment advice to any person.

Forward-looking statements

This document may contain certain forward-looking statements. Such statements are only predictions, based on certain assumptions and involve known and unknown risks, uncertainties and other factors, many of which are beyond the Company’s control. Actual events or results may differ materially from the events or results expected or implied in any forward-looking statement. The inclusion of such statements should not be regarded as a representation, warranty or prediction with respect to the accuracy of the underlying assumptions or that any forward looking statements will be or are likely to be fulfilled. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this document (subject to securities exchange disclosure requirements). The information in this document does not take into account the objectives, financial situation or particular needs of any person. Nothing contained in this document constitutes investment, legal, tax or other advice.

BASS METALS LTD. (ASX: BSM) Email: admin@bassmetals.com.au Phone: (07) 3221 0783 Post: PO Box 1048, Subiaco WA 6904 Web: www.bassmetals.com.au

7