IMDEX LIMITED — Investor Presentation 2008

Sep 24, 2008

25 September 2008

Company Announcements Office Australian Stock Exchange Limited Exchange Centre 20 Bridge Street SYDNEY NSW 2001

Dear Sir/Madam

ABN AMRO - Drillers/Service Providers Presentation

Please find attached a copy of the Imdex Limited presentation being made at the ABN AMRO - Drillers/Service Providers forum.

Yours faithfully

Imdex Limited

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Paul Evans

Company Secretary

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Imdex Limited ACN 008 947 813 ABN 78 008 947 813 Level 1 15 Rheola Street, West Perth Western Australia 6005 PO Box 1325 West Perth WA 6872 Phone +61 8 9481 5777 Fax +61 8 9481 5377 E-mail imdex@imdexlimited.com Page 1 of 1

Quality Endorsed Company ISO 9002 LIC: QEC 2807 Standards Australia

Imdex Limited

Drillers/Service Providers Presentation ABN AMRO – Meeting of the Minds 2008

1

Imdex Snapshot

• Core business - the manufacture , supply and distribution of high quality drilling fluids and down hole instrumentation

• Attractive end markets – strong long term demand for minerals, oil and gas underpinning buoyant global exploration/development activity

• Global Reach – eight acquisitions in 3 years have created true international reach and geographic diversity and technology leadership

• Quality customer base including global distribution and supply agreements with Sandvik, Boart Longyear, Major Drilling and Layne Christensen

• Extracting benefits from new products, synergies and expanded manufacturing capability

• Strong business model with significant upside

• Building Shareholder Value – Management delivering on our growth strategy

What Do We Sell?

Drilling Fluids

• Purpose: cool and lubricate the drill bit, keep the drill hole open and return cuttings to the surface

• Consumable

• Commodity – differentiating point is service

• Manufacture and sell

• Major competitors focused on oil & gas market

• Range of industries globally:

• Mineral exploration

• Mining

• Oil & Gas

• CBM

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Australian Mud Company products in
environmentally friendly packaging
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• Water Well

• Civil Industries

What Do We Sell/Rent?

Down Hole Instrumentation

• Imdex is No.1 supplier of down hole instrumentation to the global mining industry

• Types

• Survey instruments

• Core orientation

• Leading technology

• MEMS solid state gyro

• Inertial navigation systems

• Electronic/digital core orientation tool

• We manufacture and rent/sell

• IP ownership

• Strong R&D function

Solid state gyro with the relative size of the MEMS chip shown

• Complementary to Drilling Fluids business

Who Are Our Customers?

And a broad range of medium to smaller sized clients globally

Where is Imdex?

What We Have Achieved?

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Normalised Revenue by Division Normalised EBITA
($m) ($m)
45
40.1
160 148.6
40
� 25%
140 35 � 62%
120 30
25
100
20
80
15
60 10
40 5
0
20
-5
0
-10
FY04 FY05 FY06 FY07 FY08
FY04 FY05 FY06 FY07 FY08
Fluids and Chemicals Down Hole Instrumentation Minerals Processing
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Normalised results include discontinued operations and exclude non-operational items

How Do We Compare?

Forced ranking by EBIT margin, FY08A

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30%
25%
20%
15%
10%
5%
0%
Source: ABN AMRO Construction & Engineering Sector Research dated 3 September 2008
IDL IMD MRM BKW EHL JHX BLY ABC ORI CPB NMS NWH BKN AAX BOL TBG CSR NOD SDM CDD WOR MND EAL BLD AJL TOL CLO UGL LEI MAH HST TSE DOW RCR NFK GRD
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Strong Balance Sheet

Goodwill & intangible assets Other assets Property, plant & equipment Investment in SGE Inventory Receivables Cash	June 08 $000’s	June 07 $000’s
	79,915 1,429 7,140 17,508 21,716 32,079 13,276	62,779 888 13,207 16,056 13,839 27,806 15,271
Total Assets	173,063	149,846
Provisions / Deferred tax liabilities Vendor finance – Chardec Other borrowings Hire purchase borrowings Bank loan Commercial bills Payables	6,554 5,404 - - 13,148 17,000 25,314	7,141 10,088 502 2,407 15,140 12,300 25,654
Total Equity	105,643	76,614

• Strong cash position

• Growth in assets due to acquisitions and organic business growth

• Goodwill/intangible assets due to acquisitions: includes IP and technology assets

• Recent acquisitions funded by operating cash flows and debt

� SGE:

• Investment $4.5m book value (15m shares at cash cost $300k);

• � Secured loan $13.0m (being repaid in cash from IPO - FY09)

• Net debt of $22.3m at 30 June 08

• Vendor finance reduced to $3.1m on 31 July 08

Attractive End Markets

• Record minerals exploration spend and increased production activity

• US$13.1B in 2008 - up 25% on US$10.5B in 2007

• Strong demand for drilling fluids and down hole instrumentation – essential components of exploration and development

• Industry capacity constraints

• Deeper and more complicated ore bodies

• Longer timeframes from discovery to production

• Rising exploration, development and production costs

• Dearth of new discoveries

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Drill core sample being oriented
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Discovery Rates for Deposits & Annual Exploration Expenditures

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Major/World Class Deposit Discoveries Worldw ide Exploration Spending
12 16
11
14
10
9 12
8
10
7
6 8
5
6
4
3 4
2
2
1
0 0
Source: Metals Economics Group & UBS
1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2007
Number of Discoveries
Worldwide Exploration Spending (Billions $US)
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Attractive End Markets

• Strong investment into exploration and development of new reserves

• Worldwide exploration spend in 2007 was ~US$332b

• Interest in new exploration in all parts of the industry has not been higher for 30 years

• Complex exploration places a premium on technologies that improve performance and reduce risk

• The industry will have to drill more. Fragilities in the oil and gas supply chain are clear indicators of this

• Imdex is well positioned to benefit from this long-term opportunity through our developing sophisticated technology portfolio and competitive drilling fluids

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3D representation of multiple drill holes in
close proximity
3D representation of multiple drill holes in close
proximity
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Looking forward – what will Imdex look like in the medium term

Strong relationships, leading technology, sustainable growth and attractive end-markets

Medium Term Objective Past Present (3-5 years) � Greater penetration into 9% Early Stage 1% oil & gas markets for Minerals 27% both DFC & DHI 49% 50% Late Stage � Minerals exploration: Minerals 64% majority of Imdex Oil & Gas business derived from Management’s best estimate Management’s best estimate late stage � Move away from Services Fluids 19% to reduce fixed costs, 39% capital investment and 50% Downhole 58% high labour component 31% Instrumentation Services 3% � Margin benefit from growing DHI 20% � Growing DHI rental Sell business Rent 80% � Rental business returns 100% higher margins and is more sustainable ¹ Based on actual or anticipated EBITA contribution 2 Based on actual or anticipated Revenue contribution

• Move away from Services to reduce fixed costs, capital investment and high labour component

• Rental business returns higher margins and is more sustainable

Summary

� Attractive end market fundamentals

• Continued growth in mining and mineral exploration spend

• Increased drilling in oil & gas with expenditure at 30 year highs – opportunities for both drilling fluids and down hole instrumentation

• Commodity prices expected to drive demand for the foreseeable future

• Balanced global exposure

• Imdex supplies three of the world’s largest drilling contractors servicing mining and exploration representing about 40% of the global market

� Focused divisions

• Fluids and chemicals – offers scale

• Down hole instrumentation – offers scale

• Further bolt-on acquisitions to be pursued for both divisions

� Strong business model

• Continued implementation of rental model

• Market leadership using owned IP and ongoing investment in R&D

• Low capital intensity due to own manufacturing

• Comparatively low staff costs

Summary

• Strong growth in earnings

• FY08 was a record year for Group revenues and profit

• Fifth successive year of increased revenues and profits

• Profit margins and profit per employee highest amongst peers

� Outlook

• Strong track record in revenue and profit growth expected to continue in FY09

• The Board expects the current strong demand for Imdex products to persist and is forecasting revenue growth in FY09 of between 15%-20% at similar margins to those achieved in FY08

Strong financial and capital position supports Imdex’s strategy of becoming a significant global company in “drilling fluids and down hole instrumentation”

AMC Representative on site