SCIDEV LTD — Capital/Financing Update 2003

Aug 6, 2003

Intec Ltd

Superior and Sustainable Metals Production

Gordon Chiu Building [01 Department of Chemical Engineering Maze Crescent University of Sydney NSW 2006 Australia

Telephone: +612-9351-6741 Facsimile: +612-9351-7180 Email: mail@intec.com.au Website: www.intec.com.au

7 August 2003

Companies Announcements Office Australian Stock Exchange Limited

Growing Momentum in Development and Commercialisation of the Intec Gold Process - Patents Lodged, Pilot Plant Site Secured and Technology Licence / Funding Agreement in Place.

The Board of Directors of Intec are pleased to advise the market of growing momentum in the Company's plans to develop and commercialise the Intec Gold Process (IGP), which is built upon the Company's proprietary chloride base and precious metals technologies.

Industry Background

The IGP is targeted at the estimated one-third of the world's gold resources that are 'refractory'. where the concentrate from the ore requires a pre-treatment processing step prior to gold recovery via conventional cyanidation. The treatment of refractory gold ores, and in particular selection among the competing technologies having regard to their relative economic and environmental characteristics, has become a major issue for the gold industry as it seeks to replenish gold ore reserve inventories.

Features of the IGP

The IGP operates at atmospheric pressure and moderate temperature, without need for long residence times or a pure oxygen plant. Thus its projected capital and operating costs are significantly lower than other available technologies. From an environmental point of view, the IGP avoids the necessity of using cyanide on the oxidation tailings, has no liquid effluents or noxious gaseous emissions and produces a stable crystalline residue.

IGP Patent Application Suite Lodged

Intec has now completed the lodgement of a suite of provisional patent applications covering the newly-developed IGP, ensuring an appropriate level of protection for the technology. As with the other Intec processes, progressive developments in the IGP will be subject of similar protection.

IGP Pilot Plant Funding Agreement

Intec and its largest shareholder Orian Holding Corp. have entered into a technology licence and funding agreement to facilitate the design, construction, commissioning and operation of an IGP pilot plant at Ammtec Limited's Metcon Laboratories in Brookvale in northern Sydney.

Orian has agreed to fund the A\$0.5M capital cost of the IGP pilot plant, which should be completed by end 2003. In addition, Orian will meet the costs of commissioning the first refractory gold ore treatment-run through the pilot plant. The construction and testing of the IGP pilot plant will benchmark the commercial viability of the IGP in ongoing treatment of a range of refractory gold ores and concentrates. Intec receives a growing number of enquiries from mining and exploration companies owning gold projects of this nature, and anticipates that this trend will continue as industry awareness and appreciation of the IGP grows.

IGP Licence Agreement

Intec has granted a world-wide IGP licence in favour of Orian within the following parameters:

• $(a)$ The IGP may be used by Orian on a royalty-free basis in the People's Republic of China (PRC), Mongolia and countries comprising the former Soviet Union. The licence is exclusive in PRC and Mongolia: and
• $(b)$ Throughout the rest of the world, the IGP may be used by Orian on a non-exclusive basis, on payment of a royalty to Intec at one half of Intec's standard royalty rate, the latter being 3% of the value of metals produced.

Funding

Intec's forthcoming pro-rata A\$2.6M entitlements issue, which is being fully underwritten, combined with Orian's funding of the construction and commissioning of the IGP pilot plant, will ensure that the Company can expedite the commercial advancement of the IGP to achieve refractory gold project interests.

Yours faithfully Intec Ltd

Philip R Wood

Managing Director and Chief Executive Officer