IMDEX LIMITED — Investor Presentation 2014

Oct 19, 2014

216 Balcatta Road, Balcatta Western Australia 6021

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PO Box 1262, Osborne Park Western Australia 6916

Tel: +61 (0) 8 9445 4020 Fax: +61 (0) 8 9445 4042 imdex@imdexlimited.com

www.imdexlimited.com ABN 78 008 947 813

20 October 2014

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

Dear Sir/Madam

Amended East Coast Roadshow

Please find attached the amended presentation for the Australian East Coast Roadshow being undertaken this week in Sydney and Melbourne.

Yours faithfully Imdex Limited

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Paul Evans Company Secretary

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Providing innovative drilling fluids and advanced down hole instrumentation worldwide.

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Investor Presentation October 2014

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Agenda

• Overview

• Business Overview – Minerals and Oil & Gas

• Global Business

• Financial Update 1Q15

• Operational Update 1Q15

• Technology Leadership

• Oil & Gas Division

• Summary

• Appendices

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Overview

• All key metrics up on pcp

• Financial (1Q15) • Margins stable (Unaudited) • Oil & Gas Division cash flow positive

Financial (1Q15)

Operational

• Minerals market – early signs of cycle upswing continuing

• Oil & gas market – robust with substantial opportunities for year-on-year growth

• Maintaining & gaining market share through technological leadership

Strategic

• Diversifying customer base – non-mining applications & resource companies

• Building a broad based & resilient business & increasing annuity style revenue

• Industry diversification – increasing % of oil & gas revenue

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Business Overview – Minerals

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Product / service offerings	•	Downhole instrumentation	•	Drilling fluids & chemicals
	•	In field geoanalysis	•	Solids removal units
	•	Data collection & management software
	•	Geoscientific data analysis software
Target markets
	•	Drilling contractors	•	Drilling contractors
	•	Resource companies	•	Resource companies
	•	Non-mining applications	•	Non-mining applications
Strategic focus
	•	New technologies	•	Increase equipment rental
	•	Increasingly integrated data solutions	•	New technologies
Competitive advantages
	•	Leading technology	•	SRUs
	•	Multi-disciplinary skill set	•	Manufacturing & technical capabilities
	•	Market penetration	•	Drilling fluid engineers
	•	Established global presence & regional	•	User-friendly mud systems
		support centres	•	Global distribution network

Non-mining applications include horizontal directional drilling, water well and civil construction

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Business Overview – Oil & Gas

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Product / service offering	•	Drilling & completion fluids	•	Wellbore surveying services
	•	Production chemicals	•	Inflex (formerly Target INS)
	•	Fluid & waste management	•	Gyroflex survey tool
	•	Solids control equipment
Target markets	•	Eastern hemisphere	•	Global Oil & Gas industry – onshore/offshore
Strategic focus	•	Increasing equipment rental	•	Become No.1 dedicated downhole survey
	•	Geographic expansion		service provider
	•	Building first class team
	•	Build scale
Competitive advantages	•	Agility/capability to deliver	•	Leading technology
			•	Efficient service capability – located in all active
Imdex ‘s Oil & Gas Division includes	AMC Oil & Gas and a 30% shareholding in VES			onshore US basins

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Global Business

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Financial Update 1Q15

• Combined revenue $58.7m (1Q14: $53.3m: 4Q14: $49.9m)[(1)]

• EBITA $2.7m[(2)] (1Q14: $2.4m[(3)] ; 4Q14: $3.2m loss[(3)] )

• EBITDA $5.0m[(2)] (1Q14: $4.4m[(3)] ; 4Q14: $1.6m loss[(3)] )

• Minerals Division revenue $36.6m (1Q14: $35.2m; 4Q14: $32.9m)

• Oil & Gas Division revenue $22.2m (1Q14: $18.1m: 4Q14: $16.9m)[(1)]

• ¹ Includes 30% of VES joint venture

• ² Excludes the profit on sale of the remaining stake in SEH ($14.2m)

• ³ FY14 excludes profit on partial sale of investment in SEH ($24.1m), one-off balance sheet adjustments ($18.2m) , together with costs and provisions relating to product containment incident ($9.1m)

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Operational Update 1Q15

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• REFLEX instruments on hire up 33% from 3Q14

• AMC SRUs on hire increasing – particularly Americas

• REFLEX HUB – trend of increasing throughput

• AMC Oil & Gas continuing to strengthen, generating positive cash flow from operations

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Summary and Outlook

Technology Leadership

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Technology Leadership

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• Leading R&D capabilities & personnel

• More technology for development/production phases of project life cycle

• FY15 focus on marketing new technologies – UG / HP SRUs, EZ-Gyro, REFLEX TN14 & XRF

Strong pipeline of technology development

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New REFLEX Technologies

REFLEX EZ-Gyro

• Driller operated north seeking gyro instrument

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• Highly accurate downhole surveying

• Significant cost savings for resource companies

TN14 Gyrocompass

• Fast, accurate & simple to use

• Significant advantages over current manual rig alignment system

REFLEX XRF

• Hand held instrument for on site geoanalysis

• Collects & transmits geochemical data to REFLEX HUB

• Real time logging, domaining & classification

REFLEX HUB

• Complete cloud based solution

• Proprietary to Imdex, first mover advantage

• Efficient collection, storage & reporting of operational data

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REFLEX HUB – Enabling Step Change

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REFLEX HUB – Resource Customers

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SRU – Unique Sumpless Technology

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Summary and Outlook

Oil & Gas Division

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Oil & Gas – Overview & Strategy

• Robust market conditions

• VES joint venture performing well

• Revenue growth since FY10

• Drilling fluids, solids control & waste management markets forecast to grow +15%

• Significant opportunities for year-on-year growth

• Continued investment in Division – new CEO & technologies (Inflex)

• Geographical & revenue diversification

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VES Joint Venture

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• Third largest global supplier of downhole survey services

• Broad customer footprint

• Access to comprehensive market, leading technology & speed

• Niche market – high barriers to entry

• Clear path to increased market share

• Significant organic growth opportunities in FY15 & beyond

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Summary

Strategy Execution Outlook FY15	• Market share through technological leadership • Diversifying customer base • Broad based & resilient business • Industry & geographic diversification
	• Continued product development to meet customer needs • Diversifying customer base • Marketing new technologies • Oil & Gas Division investment
	• Increasing confidence in minerals market • Return of brown fields expenditure • Customer focus on efficiency gains • Rental fleet • Oil & Gas growth opportunities • Strongly positioned to capitalise
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Appendix

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The REFLEX HUB

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REFLEX HUB – Key Drivers

FOR IMDEX

FOR CONTRACTORS & RESOURCE COMPANIES

Adds value to existing range of instrumentation Significantly enhances operational efficiency – simplifies workflows Enables new technology / product offerings – e.g. in Paperless solution – data collection, storage & field geoanalysis management Provides new service offerings – data management Secure access to critical information in real time – globally

Provides new service offerings – data management globally Diversifies customer base – increasing exposure to Accuracy & quality of field data development & production phases for drillers & miners

Enables expanded future annuity style revenue

One data set, a single source of truth

stream

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The REFLEX Competitive Advantage

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Additional Financial Information

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FY14 Key Metrics

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Combined Revenue $204.6m

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Includes share of VES JV revenue $21.1m (FY13: $16.6m)

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Normalised EBITA/EBITDA

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Revenue Base - Minerals

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Oil & Gas Division

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Balance Sheet

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Disclaimer

This presentation has been prepared by Imdex Limited (“the Company”). It contains general background information about the Company’s activities current as at the date of the presentation. It is information given in summary form and does not purport to be complete. The distribution of this presentation in jurisdictions outside Australia may be restricted by law and you should observe any such restrictions.

This presentation is not (and nothing in it should be construed as) an offer, invitation, solicitation or recommendation with respect to the subscription for, purchase or sale of any security in any jurisdiction, and neither this document nor anything in it shall form the basis of any contract or commitment. The presentation is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor. These should be considered, with or without professional advice, when deciding if an investment is appropriate.

The Company has prepared this presentation based on information available to it, including information derived from publicly available sources that have not been independently verified. No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness, correctness or reliability of the information, opinions and conclusions expressed.

Any statements or assumptions in this presentation as to future matters may prove to be incorrect and differences may be material. To the maximum extent permitted by law, none of the Company, its directors, employees or agents, nor any other person accepts any liability, including, without limitation, any liability arising from fault or negligence on the part of any of them or any other person, for any loss arising from the use of this presentation or its contents or otherwise arising in connection with it.

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