QUANTUM GRAPHITE LIMITED — Regulatory Filings 2015

Mar 25, 2015

==> picture [250 x 79] intentionally omitted <==

ASIA PACIFIC I EUROPE I NORTH AMERICA

ASX ANNOUNCEMENT

ASX: VXL & VXLO

26 March 2015

First Graphite Shipment Leaves Port Lincoln

• First shipment of flake graphite leaves Valence Industries’ Port Lincoln site

• 20 tonnes of flake graphite trucked to Port Adelaide for delivery to customers in Asia Pacific

• Production volumes and capacity to increase as ramp-up progresses

• Key milestone in successful commissioning of Uley Graphite[TM] production plant

GRAPHITE SHIPMENT LEAVES PORT LINCOLN

Valence Industries Ltd (ASX: VXL & VXLO) is pleased to announce that the first export quantity of graphite was today transported via truck from the Company’s Uley Graphite[TM] site in Port Lincoln, South Australia.

Approximately 20 tonnes of flake graphite was trucked from Port Lincoln to Valence Industries’ Port Adelaide logistics handling facility in preparation for export.

==> picture [367 x 245] intentionally omitted <==

Valence Industries Team Load First Graphite Shipment in Port Lincoln

This first shipment contains a range of flake graphite production taken from the commissioning program for Valence Industries’ existing processing facility in Port Lincoln.

The production rate and the manufacture of a wide range of graphite products will increase materially as the plant moves through its commissioning and production ramp up program to its targeted output rate of 14,000 tonnes per annum.

During this program, Valence will continue to match graphite production to meet customer requirements with customer demand ranging from refractories and foundries through to battery and

w w w . v a l e n c e i n d u s t r i e s . c o m

2

==> picture [48 x 49] intentionally omitted <==

biomedical applications for volumes equal to the first 12 months of production. Due to confidentiality and commercial requirements, Valence Industries is not able to disclose specific customer details.

==> picture [380 x 254] intentionally omitted <==

Uley Graphite[TM] Production Dispatch Area

ULEY GRAPHITE[TM] PRODUCTION UPDATE

Commissioning of Valence Industries’ Uley Graphite[TM] plant commenced on 25 December 2014.

The processing of the first ~1,500 tonnes of the run-of-mine stockpiles has been completed and has allowed Valence Industries’ to achieve key commissioning milestones including:

• Capacity testing for processing of raw material and new graphite production

• Preparation and packaging of a range of flake graphite products for export

• Ongoing construction of waste water containment dams

Valence Industries continues to calibrate the plant and equipment including the program to meet regulatory process waste water management requirements. The commissioning program and production ramp up phase remain on schedule for completion by the September quarter of 2015, when it will reach the targeted rate of production of 14,000tpa.

For further information, please contact:

For further information, please contact:
Investor enquiries:	Media enquiries:
Christopher S. Darby	Rebecca Lawson
CEO & Managing Director	Media & Capital Partners
info@valenceindustries.com	rebecca.lawson@mcpartners.com.au
+61 8 8215 6400	+61 433 216 269

w w w . v a l e n c e i n d u s t r i e s . c o m

3

==> picture [48 x 49] intentionally omitted <==

Forward Looking Statements

All statements other than statements of historical fact included in this announcement including, without limitation, statements regarding future plans and objectives of Valence Industries Limited (Valence Industries) are forward-looking statements. When used in this announcement, forward-looking statements can be identified by words such as ‘may’, ‘could’, ‘believes’, ‘estimates’, ‘targets’, ‘expects’ or ‘intends’ and other similar words that involve risks and uncertainties. These statements are based on an assessment of present economic and operating conditions, and on a number of assumptions regarding future events and actions that, as at the date of this announcement, are expected to take place. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of the company, its directors and management of Valence Industries, that could cause Valence Industries’ actual results to differ materially from the results expressed or anticipated in these statements.

Valence Industries cannot and does not give any assurance that the results, performance or achievements expressed or implied by the forward-looking statements contained in this announcement will actually occur and investors are cautioned not to place undue reliance on these forward-looking statements. Valence Industries does not undertake to update or revise forward-looking statements, or to publish prospective financial information in the future, regardless of whether new information, future events or any other factors affect the information contained in this announcement, except where required by applicable law.

w w w . v a l e n c e i n d u s t r i e s . c o m