IMDEX LIMITED — M&A Activity 2010

Sep 7, 2010

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8 September 2010

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

Dear Sir/Madam

ACQUISITION OF 100% INTEREST IN FLUIDSTAR AND ECOSPIN

Attached is an announcement of the above mentioned subject for release to the market.

Yours faithfully

Imdex Limited

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Paul Evans

Company Secretary

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8 September, 2010

ASX and Media Announcement

Imdex announces the proposed acquisition of Fluidstar and Ecospin

Imdex Limited (Imdex) is pleased to announce that it has executed a Sales and Purchase agreement to acquire Fluidstar Pty Ltd (Fluidstar) and Ecospin Pty Ltd (Ecospin).

Imdex Managing Director, Bernie Ridgeway, said the acquisitions would consolidate the Company’s position in Australia and the Asia Pacific region in relation to the manufacture and sale of drilling fluids and chemicals, and solids control activities.

Acquisition highlights

• Acquisition of Fluidstar and Ecospin is consistent with Imdex’s focused strategy to grow the Company’s core operations

• Strengthens Imdex’s market position in the key Asia-Pacific region – Fluidstar is a strong business, with a history of supplying the mining and water well industries in this region

• Acquisitions are complementary to Imdex’s Drilling Fluids and Chemicals Division

• The Ecospin solids control equipment provides potential additional revenue stream and combined with Imdex’s solids control technology, should allow Imdex to build a strong market position in the surface and underground mining industry

• Significant potential to generate synergies given the complementary nature of the businesses

• EPS accretive (pre-synergies) from the first full year.

Bolt on acquisitions that deliver on Imdex’s growth strategy

Fluidstar and Ecospin are bolt on acquisitions consistent with Imdex’s focused strategy to grow the Company’s global presence in its core operations.

Fluidstar was established by Dan Quinn (owner) in 2003.

Fluidstar is focused on manufacturing and marketing drilling fluid systems primarily for the mining and exploration market in the Asia-Pacific region.

“Fluidstar is a natural fit for Imdex given the strong alignment of the companies’ products and markets. It’s a strong business that facilitates the further expansion of Imdex’s Drilling Fluids and Chemicals Division. In addition, Fluidstar’s Asia-Pacific focus is complementary to Imdex’s geographic footprint,’ said Mr Ridgeway.

“The acquisition of Fluidstar and Ecospin further supports Imdex’s aim to become a significant drilling fluids and chemicals supplier to the mining, and water well industries globally,” said Mr Ridgeway.

Ecospin has a solids control system, the subject of a provisional patent. The solids control system seeks the removal of suspended solids from drill water which reduces drilling costs, eases the removal and disposal of potential pollutants, conserves water and recycles drilling chemicals in the drilling process.

“The acquisition of Ecospin adds further solids control technologies to Imdex’s leading suite of products, and further supports Imdex’s goal of becoming the leading provider of solids control equipment globally,” Mr Ridgeway said.

Acquisition overview

Under the Sale and Purchase agreement, Imdex will pay approximately $12.3 million for Fluidstar and $0.5 million for Ecospin.

The acquisition for both will be wholly funded from Imdex’s cash resources and banking facilities.

Earnings accretion

The transactions are expected to be immediately earnings per share accretive (pre-synergies) in the first full financial year, FY11 with significant opportunity to generate synergies and grow the earnings of these businesses in the future.

About Imdex

Imdex is a Perth based public company listed on the Australian Securities Exchange (ASX: IMD), whose core business is the supply of drilling fluids and chemicals and down hole instrumentation in Australia and internationally to the oil & gas, mining, water well, horizontal directional drilling and civil industries.

For further information, please contact: Bernie Ridgeway , Managing Director; Paul Evans , Chief Financial Officer and Company Secretary Tel 08 9445 4010