METALSTECH LIMITED — Capital/Financing Update 2017

May 3, 2017

ASX Release 4 May 2017

Spodumene Rich Pegmatite Intersections Confirmed From Surface at MetalsTech’s Cancet Lithium Project

Cobalt and lithium developer MetalsTech Limited (ASX:MTC) is pleased to announce exceptional results from its first phase diamond drilling exploration program at the Company’s 100%-owned Cancet Lithium Project in Quebec, Canada.

Highlights:

• Heavily spodumene mineralised pegmatite confirmed in multiple drill holes at Cancet starting at surface suggesting the presence of a high-grade lithium mineralised pegmatite structure with low operating-cost open cut mining potential

• 25 diamond drill holes reported with 220 diamond drill core samples sent to Activation Laboratories in Ontario for multi-element analysis including lithium and tantalum – results expected in the coming weeks

• Exceptional near surface drilling results have been encountered, including:

• 57.0m (from 15.0m to 72.0m) mineralised pegmatite intersection within hole MTC17-010 with a spodumene mineralisation estimate of 20%

• 27.5m (from 0.0m to 27.5m) mineralised pegmatite intersection within hole MTC17-015 with a spodumene mineralisation estimate of 45%

• 26.4m (from 0.0m to 26.4m) mineralised pegmatite intersection within hole MTC17-021 with a spodumene mineralisation estimate of 20%

• 25.3m (from 28.5m to 53.8m) mineralised pegmatite intersection within hole MTC17-025 with a spodumene mineralisation estimate of 25%

• 24.0m (from 18.0m to 42.0m) mineralised pegmatite intersection within hole MTC17-013 with a spodumene mineralisation estimate of 25%

• 20.0m (from 0.0m to 20.0m) mineralised pegmatite intersection within hole MTC17-022 with a spodumene mineralisation estimate of 15%

• 17.4m (from 0.0m to 17.4m) mineralised pegmatite intersection within hole MTC17-011 with a spodumene mineralisation estimate of 15%

• All lithium mineralisation contained in spodumene and main pegmatite zone remains open along strike in both directions

• Additional spodumene-bearing pegmatite outcrops have been uncovered during trail and drill site preparation, suggesting significant exploration upside

• Ore profiling and initial metallurgical test work underway with NAGROM and Primero – results expected in the coming weeks

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Registered Office Board of Directors Unit 1, 44 Denis Street Executive Chairman - Russell Moran Subiaco WA 6008 Executive Director - Gino D’Anna T +61 408 408 878 T +61 415 493 993 Non-Executive Director - Shane Uren E info@metalstech.net Non-Executive Director - Michael Velletta

Projects Cancet 100% owned Adina 100% owned Terre Des Montagnes 100% owned Wells-Lacourciere 100% owned Kapiwak 100% owned Sirmac-Clapier 100% owned Bay Lake 100% owned

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Commenting on recent results, Executive Chairman Mr Russell Moran stated:

“Cancet is shaping up to deliver a high-grade lithium deposit starting at surface. We have started metallurgical testing early in order to understand potential product specification. We believe this will enable us to generate early customer and strategic investor interest in parallel with delivery of a maiden resource and scoping study. Cancet is blessed with excellent infrastructure, located only a few kilometres from low cost hydro-power and an existing provincial highway. If we can demonstrate a highgrade deposit suited to open cut mining, we believe it has the potential to deliver significant shareholder value.”

Diamond Drilling Exploration Program

The Company received drilling permits and other approvals necessary to undertake drilling at Cancet in early March, which allowed mobilisation of geological and drilling crews. Dahrouge Geological Consultants were engaged to oversee the geological aspect of the planned drilling program with Cabo Drilling Inc engaged to complete the drilling.

In late March, the Company commenced Phase I drilling to orientate potential pegmatite ore bodies and support ultimate delivery of a maiden resource. Drilling was designed to test the strike, dip and plunge continuity of several pegmatite outcrops, believed to be part of a large contiguous high grade lithium ore body which is accessible from surface.

In conjunction with Dahrouge Geological Consultants, the Company selected fifty (50) individual drill sites from which a proposed two-phase drilling campaign was to be completed. Phase I included twentysix (26) diamond core holes for approximately 4,000m.

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Figure 1: Diamond drill rigs at Cancet during Phase I drilling

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net

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As part of Phase I, 25 diamond drill holes have been completed with initial results demonstrating wide mineralised intersections which start at surface that include high concentrations of spodumene on visual inspection. The mineralisation continues over a significant strike length and remains open in all directions.

The figure below illustrates the location of the completed drill holes as well as the location of the significant spodumene mineralised outcrops discovered previously by the Company. Additional planned drill holes are also plotted on the map.

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Figure 2: Diamond drill hole location map and significant spodumene mineralised outcrops identified at the Cancet Lithium Project; Blue Dots (Mineralised Spodumene Outcrop); Yellow Dots (2017 Drill hole); and Red Dots (2017 Target drill hole sites)

The current phase of drilling encountered exceptional near surface heavily mineralised spodumene pegmatite. An estimate of the spodumene mineralisation over the drilled interval has also been included and is based on a visual estimate from the accredited technical geologists in the field at Cancet. Generally speaking, pure spodumene will assay at approximately 8% Li2O and the spodumene mineralisation estimate is a reliable and accurate leading indicator of the lithium grade across the drilled interval.

The drilling at Cancet has identified that all lithium mineralisation is contained within spodumene. The main pegmatite structure has been drill mapped over a significant strike length and remains open along strike in both directions.

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net

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The pegmatite intersections have been demonstrated to extend to the west along the new drill targets. The current plan is to complete the first phase of the drilling program by continuing to extend in 100m intervals along the planned drill lines. This will further extend the strike length of the mineralised pegmatite at Cancet and test for additional feeder mineralised zones.

The table below details a summary of Phase I drilling results (full details and results of the drilling are presented Appendix A and B):

Drill hole	From (m)	To (m)	Length (m)	Visual Spodumene (%)
MTC17-002	0.00	17.85	17.85	25%
MTC17-007	12.00	18.00	6.00	20%
MTC17-009	0.00	8.25	8.25	20%
MTC17-010	0.00	10.70	10.70	20%
MTC17-010	15.00	72.00	57.00	20%
MTC17-011	0.00	17.35	17.35	15%
MTC17-013	18.00	42.00	24.00	25%
MTC17-014	19.80	35.50	15.70	25%
MTC17-015	0.00	27.50	27.50	45%
MTC17-020	18.00	36.50	18.50	20%
MTC17-021	0.00	26.40	26.40	20%
MTC17-022	0.00	20.00	20.00	15%
MTC17-023	20.00	27.80	7.80	20%
MTC17-025	28.50	53.75	25.25	20%

Figure 3: Summary of 25 drill holes from Phase I drilling

The balance of Phase I drilling is expected to be completed within the next week and the Company is awaiting its first batch of assay results from the drill core.

Additional mechanised trenching and detailed surface mapping is planned in June 2017 to support the design of an efficient step-out drilling program to support Phase II drilling in the lead up to resource definition. The Company is planning on completing this current phase of drilling at Cancet prior to undertaking this regional mapping program.

A follow up drilling campaign has been planned at Cancet to commence in July 2017.

The pegmatite at Cancet has consistently exhibited exceptionally high concentrations of spodumene in the drill core averaging 23% spodumene mineralisation estimate across the 25 diamond drill holes that have been completed to date which suggests a very high grade deposit is present.

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net

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Hole MTC17-015 intersected 27.5m of spodumene mineralised pegmatite with an estimated spodumene mineralisation of 45% starting at surface. This confirms the continuity of the high-grade lithium mineralisation at Cancet. Importantly, the high-grade mineralisation is starting at surface and supports the understanding that Cancet is potentially suited to a low-operating cost open cut mining operation.

Figure 4 below illustrates the concentration of the spodumene mineralisation in hole MTC17-015 which is depicted by green crystal formations in the drill core.

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Figure 4 : Pegmatite drill core intersection in hole MTC17-015

The Company has sent 220 drill core samples for analysis to Activation Laboratories in Ontario, with the results expected in the coming weeks.

Additional Spodumene Mineralised Outcrops Identified

The current drilling campaign and the construction of the drill pads and access roads has uncovered a number of additional spodumene rich pegmatite outcrops which could result in expanding potential resources. These will be followed up as part of the upcoming mechanised trenching, mapping and sampling campaign to take place following the completion of Phase I drilling.

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net

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These additional outcrops have the potential to further extend the mineralised strike zone, which with additional drilling will yield additional potential resource tonnage at Cancet.

This demonstrates the significant upside that remains at Cancet to further increase both the size and scale of the spodumene-bearing pegmatite outcrops at surface.

Metallurgical Testing

MetalsTech has delivered spodumene samples to the NAGROM laboratory in Australia. Testing will focus on profiling the lithium ore at Cancet to support further metallurgical testing and product specification studies with both MetalsTech’s independent metallurgy and engineering consultants Primero and Lithium Australia (ASX:LIT). The Company has an exclusive licence to use and apply the Sileach[™] lithium extraction and processing technology within Quebec, offering MTC a significant strategic advantage.

The Company will be testing the suitability of the LIT-owned Sileach™ lithium extraction and processing technology as well as conventional ore processing technologies to treat and extract lithium from spodumene concentrate derived from the Cancet pegmatite.

Primero is a world-class metallurgical, engineering and ore processing consulting group with extensive lithium and tantalum experience. Primero has worked exclusively on the Galaxy Resources Mt Caitlin Lithium Project, the Greenbushes Lithium and Tantalum Project and the Pilbara Minerals Pilgangoora Lithium Project. Primero is also currently working on the Kidman Resources El Grey Lithium Project as well as the Tawana Resources Bald Hill Project.

The Company is expecting to receive the initial results from the metallurgical testing in the coming week which will act as an early catalyst for the Company to commence early dialogue with key end user groups across North America and Asia.

ENDS

For further information, contact:

Russell Moran Gino D’Anna Rachel Hammett Executive Chairman Executive Director Investor Relations M +61 415 493 993 M +61 400 408 878 M +61 466 281 369 russell@metalstech.net gino@metalstech.net rachel@nwrcommunications.com.au

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net

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Caution Regarding Forward-Looking Information

This document contains forward-looking statements concerning MetalsTech. Forward-looking statements are not statements of historical fact and actual events and results may differ materially from those described in the forward looking statements as a result of a variety of risks, uncertainties and other factors. Forward-looking statements are inherently subject to business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company’s actual results to differ materially from those expressed or implied in any forward-looking information provided by the Company, or on behalf of, the Company. Such factors include, among other things, risks relating to additional funding requirements, metal prices, exploration, development and operating risks, competition, production risks, regulatory restrictions, including environmental regulation and liability and potential title disputes.

Forward looking statements in this document are based on the company’s beliefs, opinions and estimates of MetalsTech as of the dates the forward looking statements are made, and no obligation is assumed to update forward looking statements if these beliefs, opinions and estimates should change or to reflect other future developments.

MetalsTech Limited – Competent Person Statement

Cancet Lithium Project

The information in this announcement that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr. Jody Dahrouge, PGeo, is a Competent Person who is a Professional Geologist registered with the Association of Professional Engineers and Geoscientists of Alberta, in Canada. Mr. Jody Dahrouge, PGeo, is the principal and founder of Dahrouge Geological Consulting Ltd. (Dahrouge). Dahrouge Geological Consulting Ltd. and all competent persons are independent from the issuer of this statement, MetalsTech Limited. Mr. Jody Dahrouge has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr. Jody Dahrouge consents to the inclusion in the report of the matters based on their information in the form and context in which it appears.

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net

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Appendix A – Drill Hole Coordinates for Cancet Drilling Program

Hole ID	Type	Easting	Northing	Elevation	Azimuth	Dip	Depth
MTC17-001	Diamond	506147.365	5927840.789	271.863	345	-45	220
MTC17-002	Diamond	506067.664	5927816.986	274.039	345	-45	104
MTC17-003	Diamond	506072.707	5927771.567	271.071	345	-45	26
MTC17-004	Diamond	506072.735	5927771.365	270.857	345	-60	188
MTC17-005	Diamond	506072.372	5927774.168	271.255	345	-45	150
MTC17-006	Diamond	506110.62	5927988.863	276.484	165	-45	149
MTC17-007	Diamond	506029.518	5927908.514	284.152	165	-45	119
MTC17-008	Diamond	506014.422	5927949.9	281.134	165	-45	119
MTC17-009	Diamond	506102.854	5927893.155	280.661	0	-90	74
MTC17-010	Diamond	506103.47	5927893.484	280.521	75	-45	110
MTC17-011	Diamond	506099.389	5927891.341	280.624	250	-45	74
MTC17-012	Diamond	506096.21	5927862.24	277.67	345	-45	62
MTC17-013	Diamond	506202.947	5927930.713	274.92	340	-45	86
MTC17-014	Diamond	506203.136	5927930.314	274.557	340	-70	107
MTC17-015	Diamond	506249	5927953	265	345	-45	87
MTC17-016	Diamond	506271	5927906	260	345	-45	101
MTC17-017	Diamond	506299	5927958	270	340	-45	99
MTC17-018	Diamond	506286	5928000	270	340	-45	45.5
MTC17-019	Diamond	506285	5928072	260	340	-45	53
MTC17-020	Diamond	505965	5927810	269	340	-45	55
MTC17-021	Diamond	505946	5927859	274	0	-90	45
MTC17-022	Diamond	505946	5927859	274	340	-45	121
MTC17-023	Diamond	505975	5927776	260	340	-45	80
MTC17-024	Diamond	505857	5927765	265	340	-45	143
MTC17-025	Diamond	505855	5927806	278	340	-45	82

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net

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Appendix B – Pegmatite Intersections for Cancet Drilling Program

Drillhole	From (m)	To (m)	Length (m)	Rock Type	Mineralisation	Spodumene Modal Estimate
MTC17-001	50.3	54.18	3.88	Pegmatite	No visible spodumene	Trace
MTC17-002	0	17.85	17.85	Pegmatite	Spodumene-Bearing	25%
MTC17-005	22	22.35	0.35	Pegmatite	No visible spodumene	Trace
MTC17-007	12	18	6	Pegmatite	Spodumene-Bearing	20%
MTC17-008	24	25.5	1.5	Pegmatite	No visible spodumene	Trace
MTC17-009	0	5.25	5.25	Pegmatite	Spodumene-Bearing	10%
	7	8.1	1.1	Pegmatite	Spodumene-Bearing	Trace
	18.5	20.75	2.25	Pegmatite	Spodumene-Bearing	15%
MTC17-010	0	10.7	10.7	Pegmatite	Spodumene-Bearing	20%
	11.2	12	0.8	Pegmatite	Spodumene-Bearing	5%
	15	72	57	Pegmatite	Spodumene-Bearing	20%
MTC17-011	0	17.35	17.35	Pegmatite	Spodumene-Bearing	15%
	22.24	23	0.76	Pegmatite	Spodumene-Bearing	10%
	23.53	24.46	0.93	Pegmatite	Spodumene-Bearing	15%
MTC17-012	18	22.7	4.7	Pegmatite	Spodumene-Bearing	20%
MTC17-013	18	42	24	Pegmatite	Spodumene-Bearing	25%
MTC17-014	19.8	35.5	15.7	Pegmatite	Spodumene-Bearing	25%
MTC17-015	0	27.5	27.5	Pegmatite	Spodumene-Bearing	45%
MTC17-016	27.8	29.2	1.4	Pegmatite	No visible spodumene	Trace
MTC17-020	18	36.5	18.5	Pegmatite	Spodumene-Bearing	20%
MTC17-021	0	26.45	26.45	Pegmatite	Spodumene-Bearing	30%
MTC17-022	3.82	24.05	20.23	Pegmatite	Spodumene-Bearing	15%
MTC17-023	19.86	27.83	7.97	Pegmatite	Spodumene-Bearing	20%
	39.74	40.55	0.81	Pegmatite	No visible spodumene	Trace
	50.76	52.44	1.68	Pegmatite	No visible spodumene	Trace
MTC17-024	42.5	44	1.5	Pegmatite	No visible spodumene	Trace
MTC17-025	28.85	53.58	24.73	Pegmatite	Spodumene-Bearing	20%

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net

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JORC Code, 2012 Edition – Table 1

Section 1 Sampling Techniques and Data

Criteria	JORC Code explanation	JORC Code explanation	Commentary
Sampling	•	Nature and quality of sampling (eg cut channels,	Diamond drilling completed to date.
techniques		random chips, or specific specialised industry
		standard measurement tools appropriate to the	Core samples comprise multiple zones considered to be
		minerals under investigation, such as down hole	representative of the horizon or outcrop being sampled.
		gamma sondes, or handheld XRF instruments,
		etc). These examples should not be taken as	Samples submitted for assay typically weigh 2-3 kg.
		limiting the broad meaning of sampling.
	•	Include reference to measures taken to ensure	Continuous sampling of drill core ensures the samples are
		sample representivity and the appropriate	representative. Entire 2-3 kg sample is submitted for sample
		calibration of any measurement tools or systems	preparation.
		used.
	•	Aspects of the determination of mineralisation	To ensure sample representivity, drilling was conducted as
		that are Material to the Public Report.	perpendicular as possible to the strike of the main mineralised
	•	In cases where ‘industry standard’ work has	pegmatite bodies as mapped on the surface. Samples were split
		been done this would be relatively simple (eg	and weights were ensured to be of sufficient size (1-3kgs) to be
		‘reverse circulation drilling was used to obtain 1	adequately representative of the pegmatite body, which was
		m samples from which 3 kg was pulverised to	verified with the use of field and lab duplicates.
		produce a 30 g charge for fire assay’). In other
		cases more explanation may be required, such	All diamond holes were PQ and/or HQ. Holes were geologically
		as where there is coarse gold that has inherent	logged, measured and marked up and cut on site. Quarter-core
		sampling problems. Unusual commodities or	samples for PQ and half core samples for HQ were submitted to
		mineralisation types (eg submarine nodules)	Activation Laboratories in Ontario and analysed using ICP
		may warrant disclosure of detailed information.	techniques for a suite of thirteen elements including Li2O.
Drilling	•	Drill type (eg core, reverse circulation, open-hole	MTC is conducting PQ and HQ diamond drilling as part of Phase
techniques		hammer, rotary air blast, auger, Bangka, sonic,	I drilling. Core is orientated and orientations largely good.
		etc) and details (eg core diameter, triple or	Downhole surveying was conducted using a Reflex Gyro system
		standard tube, depth of diamond tails, face-	and supporting Reflex Multishot.
		sampling bit or other type, whether core is
		oriented and if so, by what method, etc).
Drill sample	•	Method of recording and assessing core and	Sample recovery in percent, sample quality and moisture
recovery		chip sample recoveries and results assessed.	content was recorded by the geologist for all 1m intervals in RC
	•	Measures taken to maximise sample recovery	holes. Sample recoveries were measured for diamond drill
		and ensure representative nature of the	holes. Generally, drill core samples were dry (only three wet
		samples.	samples within mineralised intercepts), sample quality is good
	•	Whether a relationship exists between sample	and recoveries excellent, generally above 90%. Sample
		recovery and grade and whether sample bias	recovery was nearly 100% for mineralised intercepts in all PQ
		may have occurred due to preferential loss/gain	and HQ holes.
		of fine/coarse material.
			No material bias has been identified.
Logging	•	Whether core and chip samples have been	One metre samples were laid out in lines of 20 and geologically
		geologically and geotechnically logged to a level	logged for each metre interval on a plastic logging sheet, then
		of detail to support appropriate Mineral	stored in trays marked with hole IDs and depth intervals.
		Resource estimation, mining studies and	Geological logging information (including but not limited to main
		metallurgical studies.	rock types, mineralogy in percent abundance, degree of
	•	Whether logging is qualitative or quantitative in	weathering, degree of schistosity, colour and vein percent) was
		nature. Core (or costean, channel, etc)	recorded directly onto hard-copy sheets, and later transferred to
		photography.	an Excel spread sheet. PQ/HQ core was logged and cut
	•	The total length and percentage of the relevant	according to geological boundaries, but generally at 1m
		intersections logged.	intervals. Geological logging information was recorded directly
			onto hard-copy sheets, and later transferred to an Excel spread
			sheet. The core will be stored in a secured warehouse for future
			reference.

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net

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Criteria	JORC Code explanation	JORC Code explanation	Commentary
			Logging has been primarily quantitative. All core has been
			photographed.
			The logging database contains lithological data for all intervals in
			all holes in the database.
Sub-sampling	•	If core, whether cut or sawn and whether	PQ core was sawn and a sample equivalent to a core size was
techniques		quarter, half or all core taken.	taken for grade analysis. Half core was retained for metallurgical
and sample	•	If non-core, whether riffled, tube sampled, rotary	testwork purposes. For HQ core, half-core was sent for grade
preparation		split, etc and whether sampled wet or dry.	analysis, and core retained for metallurgical testwork. In both
	•	For all sample types, the nature, quality and	cases, core is retained for future reference.
		appropriateness of the sample preparation
		technique.	Quality Assurance and Quality Control utilised standard industry
	•	Quality control procedures adopted for all sub-	practice, using prepared standards, field blanks (approximately
		sampling stages to maximise representivity of	1kg), replicates sampled in the field and pulp replicates at the
		samples.	lab. Field and lab duplicate results demonstrated good precision.
	•	Measures taken to ensure that the sampling is	Results were within two standard deviations.
		representative of the in situ material collected,
		including for instance results for field	Pulp duplicates from diamond core, and coarse crushed
		duplicate/second-half sampling.	diamond core duplicates. Results from these samples
	•	Whether sample sizes are appropriate to the	correlated well and showed good precision.
		grain size of the material being sampled.
			Drilling sample sizes (generally 1 to 5kg) are appropriate and
			industry standard size, to correctly represent the relatively
			homogenous, medium-grained, lithium-bearing pegmatite-style
			mineralisation at Cancet. As noted above duplicates samples
			correlated well, therefore sample sizes are considered to be
			acceptable to accurately represent lithium mineralisation.
Quality of	•	The nature, quality and appropriateness of the	Assay and laboratory procedures have been selected following a
assay data		assaying and laboratory procedures used and	review of techniques provided by internationally certified
and laboratory		whether the technique is considered partial or	laboratories. In addition, the sample preparation laboratory in
tests		total.	Ontario is regularly visited to ensure high standards are being
	•	For geophysical tools, spectrometers, handheld	maintained.
		XRF instruments, etc, the parameters used in
		determining the analysis including instrument	Samples are submitted for multi-element analysis by Activation
		make and model, reading times, calibrations	Laboratories. Where results exceeded upper detection limits for
		factors applied and their derivation, etc.	Li and/or Ta, samples are re-assayed.
	•	Nature of quality control procedures adopted (eg
		standards, blanks, duplicates, external	The final techniques used are total.
		laboratory checks) and whether acceptable
		levels of accuracy (ie lack of bias) and precision	None used.
		have been established.
			Barren granitic material is submitted every 50 samples as a
			control.
			Comparison of results indicates good levels of accuracy and
			precision. No external laboratory checks have been used.
			Three different grades of certified reference material (CRM) for
			lithium mineralisation was inserted, as well as laboratory
			duplicates and blanks. The CRM’s submitted represented a
			weakly mineralised pegmatite (AMS0338), a moderate to high
			grade lithium mineralised pegmatite (AMS0340), and a high-
			grade lithium mineralised pegmatite (AMS0339). Quality
			Assurance and Quality Control utilised standard industry
			practice, using prepared standards, field blanks (approximately
			1kg), replicates sampled in the field and pulp replicates at the
			lab. 220 samples from phase one were sent to Activation
			Laboratories in total to date. Pulp duplicates and coarse

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net

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Criteria	JORC Code explanation	JORC Code explanation	Commentary
			diamond field duplicates generally indicate good repeatability of
			samples. Assay results of CRMs have been satisfactory,
			demonstrating acceptable levels of accuracy and precision.
Verification of	•	The verification of significant intersections by	Independent verification was carried out by a consultant to the
sampling and		either independent or alternative company	Company, Dahrouge Geological Consultants.
assaying		personnel.
	•	The use of twinned holes.	Hard copy field logs are entered into and validated on an
	•	Documentation of primary data, data entry	electronic Excel database, both of which are stored at the MTC
		procedures, data verification, data storage	Perth office. Data verification is carried out by the Senior
		(physical and electronic) protocols.	Geologist on site.
	•	Discuss any adjustment to assay data.
			Diamond core drilled was photographed on site and then sent to
			the Activation Laboratories, Ontario. Geological logging and
			sampling took place on-site.
Location of	•	Accuracy and quality of surveys used to locate	All drill-hole locations were located using a Leica Viva GNSS
data points		drill holes (collar and down-hole surveys),	CS15, which has an accuracy of +/- 5mm vertical and +/-10mm
		trenches, mine workings and other locations	horizontal. Down hole surveying of drill holes was conducted
		used in Mineral Resource estimation.	using a Reflex Gyroscope.
	•	Specification of the grid system used.
	•	Quality and adequacy of topographic control.	The grid system used is WGS84 Zone 29N.
			RL data to date has been collected using a Leica Viva GNSS
			CS15, which has an accuracy of +/- 5mm vertical and +/-10mm
			horizontal. Topographic control is also assured using data
			provided by a topographic survey conducted in 2012, with an
			accuracy of 0.5m.
Data spacing	•	Data spacing for reporting of Exploration	Drill spacing between holes is generally between 40 and 60m on
and		Results.	section, and generally 40 to 80m between sections, depending
distribution	•	Whether the data spacing and distribution is	on site accessibility.
		sufficient to establish the degree of geological
		and grade continuity appropriate for the Mineral	The continuity of the pegmatite can confidently be interpreted
		Resource and Ore Reserve estimation	from the geology of the pegmatite dykes, which have also been
		procedure(s) and classifications applied.	mapped on surface as extending over several hundred metres
	•	Whether sample compositing has been applied.	length. The continuity of the mineralised portions of the
			pegmatite is variable, and the poor grade continuity between
			sections reflects the classification applied. Increased confidence
			is provided by Phase I drilling which has illustrated grade
			continuity in the down plunge direction.
			Diamond drill samples from phase one averaged 0.95m in length
			and ranged from 0.45m to 1.13m in length and were composited
			to 1m as part of the maiden resource estimation process.
Orientation of	•	Whether the orientation of sampling achieves	The orientation of drilling was designed to intersect pegmatites
data in		unbiased sampling of possible structures and	perpendicular to the dominant geometry.
relation to		the extent to which this is known, considering
geological		the deposit type.	The pegmatite varies between 60 to 90-degree dip. Most of the
structure	•	If the relationship between the drilling orientation	drilling was conducted with -90 to -45-degree dip, meaning
		and the orientation of key mineralised structures	samples collected were generally almost perpendicular to
		is considered to have introduced a sampling	mineralisation, which is deemed appropriate as per industry
		bias, this should be assessed and reported if	standard.
		material.
			No orientation-based sampling bias has been identified.
Sample	•	The measures taken to ensure sample security.	MTC contract geologists and field assistant conducted all
security			sampling and subsequent storage in field. Samples were then
			delivered via road freight to Activation Laboratories in Ontario.

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Criteria	JORC Code explanation	JORC Code explanation	Commentary
Audits or	•	The results of any audits or reviews of sampling	The collar and assay data were reviewed by compiling the
reviews		techniques and data.	database on Excel, and importing into various three-dimensional
			modelling packages. Some minor numbering discrepancies were
			thus identified and amended. No audits or reviews of sampling
			techniques have been carried out, due to the early stage nature
			of the project.

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Section 2 Reporting of Exploration Results

Criteria	JORC Code explanation	JORC Code explanation	Commentary
Mineral	•	Type, reference name/number, location and	MetalsTech has the right to acquire 100% of the Cancet
tenement and		ownership including agreements or material issues	lithium project pursuant to a binding acquisition
land tenure		with third parties such as joint ventures,	agreement.
status		partnerships, overriding royalties, native title
		interests, historical sites, wilderness or national park	There are no other material issues affecting the
		and environmental settings.	tenements.
	•	The security of the tenure held at the time of
		reporting along with any known impediments to	Upon the completion of the obligations pursuant to the
		obtaining a licence to operate in the area.	legal agreements, MetalsTech will own 100% of the lithium
			projects and ownership of the individual CDC claims will
			be transferred to MetalsTech.
			All tenements are in good standing and have been legally
			validated by a Quebec lawyer specialising in the field.
Exploration	•	Acknowledgment and appraisal of exploration by	No modern exploration has been conducted outside of the
done by other		other parties.	drilling being done by MTC.
parties
			Government mapping records multiple lithium bearing
			pegmatites within the project areas but no other data is
			available.
Geology	•	Deposit type, geological setting and style of	Cancet
		mineralisation.	The historically sampled outcrop, as well as three
			additional proximal outcrops of white pegmatite, was
			located and chip sampled. All four outcrops, spaced over
			120 m, displayed large green spodumene crystals
			averaging 15-20 cm in size, with some crystals as large as
			60 cm. These values are significantly higher than the
			historic results, likely due to inaccurate historic sampling
			techniques. As an example, when the exact location of the
			historic sample was identified, it initially appeared that the
			sampled outcrop lacked any obvious spodumene crystals.
			As the pegmatite was difficult to sample with a hammer
			and chisel, it is likely that the historic sampler just took one
			piece of outcrop that was easiest to break off, resulting in
			a negatively biased sample.
Drill hole	•	A summary of all information material to the	See tables and / or appendices attached to this report.
Information		understanding of the exploration results including a
		tabulation of the following information for all Material
		drill holes:
		o easting and northing of the drill hole collar
		o elevation or RL (Reduced Level – elevation
		above sea level in metres) of the drill hole collar
		o dip and azimuth of the hole
		o down hole length and interception depth
		o hole length.
	•	If the exclusion of this information is justified on the
		basis that the information is not Material and this
		exclusion does not detract from the understanding of
		the report, the Competent Person should clearly
		explain whythis is the case.
Data	•	In reporting Exploration Results, weighting averaging	Length weighted averages used for exploration results are
aggregation		techniques, maximum and/or minimum grade	reported in Appendix A of this announcement. Maximum
methods		truncations (eg cutting of high grades) and cut-off	2m internal dilution, and an appropriate cut-off was used
		grades are usually Material and should be stated.	for reporting, which is deemed to be appropriate for this
	•	Where aggregate intercepts incorporate short	style of mineralisation. Cutting of high grades was not

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Criteria	JORC Code explanation	JORC Code explanation	Commentary
		lengths of high grade results and longer lengths of	applied in the reporting of intercepts.
		low grade results, the procedure used for such
		aggregation should be stated and some typical	Aggregation issues are not material in this type of deposit.
		examples of such aggregations should be shown in	No metal equivalent values were used.
		detail.
	•	The assumptions used for any reporting of metal
		equivalent values should be clearlystated.
Relationship	•	These relationships are particularly important in the	Appendix A reports downhole lengths of pegmatite width,
between		reporting of Exploration Results.	which is clearly stated. True widths are not known.
mineralisation	•	If the geometry of the mineralisation with respect to	However, due to the estimated dip of the pegmatites, and
widths and		the drill hole angle is known, its nature should be	the -90 to -45-degree dip of the drill holes, the thicknesses
intercept lengths		reported.	shown are generally close to true widths, in the range 70
	•	If it is not known and only the down hole lengths are	to 100% of true width.
		reported, there should be a clear statement to this
		effect(eg‘down hole length, true width not known’).
Diagrams	•	Appropriate maps and sections (with scales) and	See diagrams attached to this report.
		tabulations of intercepts should be included for any
		significant discovery being reported These should
		include, but not be limited to a plan view of drill hole
		collar locations and appropriate sectional views.
Balanced	•	Where comprehensive reporting of all Exploration	Results for all drilling completed are listed in Appendix A
reporting		Results is not practicable, representative reporting of	and B attached to the body of this report.
		both low and high grades and/or widths should be
		practiced to avoid misleading reporting of
		Exploration Results.
Other	•	Other exploration data, if meaningful and material,	Metallurgical testwork is ongoing at NAGROM
substantive		should be reported including (but not limited to):	Laboratories in Perth; an update will be provided shortly.
exploration data		geological observations; geophysical survey results;
		geochemical survey results; bulk samples – size and	Hydro-metallurgical testwork to produce lithium carbonate
		method of treatment; metallurgical test results; bulk	and lithium hydroxide is still ongoing. Surface mapping of
		density, groundwater, geotechnical and rock	the main pegmatite exposures has been carried out, with
		characteristics; potential deleterious or	further surface mapping to continue in the coming months.
		contaminating substances.
			All meaningful and material exploration data has been
			reported.
Further work	•	The nature and scale of planned further work (eg	Further drilling (Phase II) is being conducted to test
		tests for lateral extensions or depth extensions or	extensions to the currently known mineralised pegmatites,
		large-scale step-out drilling).	and to infill some areas of the known ore body to convert
	•	Diagrams clearly highlighting the areas of possible	Mineral Resources to high confidence classification
		extensions, including the main geological	(Inferred to Indicated and Indicated to Measured).
		interpretations and future drilling areas, provided this
		information is not commercially sensitive.	Detailed geochemistry and geology to determine trends of
			known mineralised zones and to delineate other Li and Ta
			anomalies.
			Further trenching to determine structural orientation of
			pegmatites.

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MetalsTech Limited ACN 612 100 464 - Unit 1, 44 Denis Street, Subiaco WA 6008 T +61 408 408 878 | +61 415 493 993 www.metalstech.net