PREDICTIVE DISCOVERY LIMITED — Capital/Financing Update 2015

Nov 15, 2015

16 November 2015

Dear Shareholder

Renounceable Rights Issue

On 12 November 2015 the Company announced a renounceable rights issue to raise up to approximately $1.3M (Offer). Proceeds of the Offer will be used primarily to undertake early phase exploration and for working capital.

New shares will be offered on the basis of 1 new share for every 1 existing share held. The offer price of the new shares will be $0.002 per new share.

The issue is partially underwritten by CPS Capital to $614,000, with shareholders committing to take up a further $115,000.

Shareholders will be given the opportunity to apply for additional shares in excess of their entitlement.

The indicative timetable for the Offer is set out below:

Prospectus lodged with ASIC and ASX	12 November 2015
Ex Date – Shares trade ex-entitlement	17 November 2015
Record date to determine entitlement	19 November 2015
Prospectus with entitlement and acceptance form dispatched	23 November 2015
Offer opens for receipt of acceptances	23 November 2015
Closing date for acceptances (Closing Date)	3 December 2015
Notify ASX of Shortfall	8 December 2015
Deferred settlement trading ends	10 December 2015
Issue of new securities and dispatch of shareholder statements	10 December 2015
Normal trading of new securities expected to commence	11 December 2015

The Directors may extend the Closing Date by giving at least 3 business days’ notice to ASX prior to the Closing Date, subject to such date being no later than 3 months after the date of this Prospectus. As such the date the New Securities are expected to commence trading on ASX may vary.

Assuming that Entitlements are taken up in full and that no Options are exercised or Shares issued prior to the Record Date, at the close of the Offer, the capital structure of the Company following the Offer will be:

Predictive Discovery Limited PO Box 1710, West Perth, WA 6872, Australia, Tel +61 8 6143 1840

Shares		Full Subscription
Shares on issue at date of this Prospectus		650,843,343
Number of unlisted Options on issue at date of		8,000,000
this Prospectus
Issue of New Shares under the Rights Issue		650,843,343
Share capital of the Company after completion		1,301,168,686
of the Rights Issue (undiluted)

In calculating entitlements under the Offer, fractions will be rounded up to the nearest whole number.

Full details of the Offer will be contained in the Prospectus that will be mailed to all Shareholders who are registered on the Record Date. Shareholders eligible to participate should read the Prospectus carefully and if in doubt as to the value of the above Offer should contact their financial adviser. The Prospectus is also available on both the ASX website (www.asx.com.au) and the Company’s website (www.predictivediscovery.com).

Yours sincerely

==> picture [85 x 51] intentionally omitted <==

Eric Moore Company Secretary

Predictive Discovery Limited PO Box 1710, West Perth, WA 6872, Australia, Tel +61 8 6143 1840