SCIDEV LTD — Capital/Financing Update 2004

Sep 16, 2004

Intec Ltd

ASX Code: INL ABN 25 001 150 849

Superior and Sustainable Metals Production

Gordon Chiu Building 101 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

17 September 2004

Companies Announcements Office Australian Stock Exchange Limited

Intec appoints Joint Lead Managers for A\$15 million capital raising

Please find attached Intec's press release today in relation to the visit by the Hon. Tony Abbott, Minister for Health and Ageing and Leader of the House of Representatives, to Intec's pilot plant within his Warringah electorate.

Contained within this press release is the new information that Intec has appointed Grange Securities Ltd and RFC Corporate Finance Ltd as Joint Lead Managers in relation to its forthcoming A\$15 million capital raising. The capital raising will be conducted by way of 'book build' and will comprise an A\$10 million institutional and corporate placement and an underwritten A\$5 million shareholder purchase plan.

Yours sincerely IntecLtd

Philip R. Wood

Philip R Wood Managing Director and Chief Executive Officer

Intec Ltd ACN 001 150 849

Superior and Sustainable Metals Production

Embargoed Press Release until 11am, 17/9/2004

LOCAL HIGH TECHNOLOGY MINERALS PROCESSING GROUP ATTRACTS WORLD MINING INDUSTRY TO ITS PILOT PLANT IN SYDNEY

Sydney University-based high technology group, Intec Ltd, has attracted a range of international mining groups to the company's newly commissioned base and precious metals pilot plant in Sydney's Brookvale.

Intec today (September 17) hosted the Federal Member for the local Warringah electorate, Tony Abbott MP, Minister for Health and Ageing and Leader of the House of Representatives, for a visit to its pilot plant. Earlier this year, the Australian Government's Industry Research and Development Board made a \$1.43 million R&D Start Grant (through the NSW office of AusIndustry) to Intec for the construction and operation of its pilot plant.

The plant also attracted significant direct funding from Intec's largest shareholder, Robert Friedland's Canadian-based Ivanhoe Mines. More recently, another major Canadian resources company Barrick Gold, the world's third largest gold producer, has commenced treatment on its refractory gold-bearing material at the plant.

Previously, the pilot plant had been treating polymetallic tailings from Intec's Hellyer mine in Tasmania, which have an in-situ metals value of A\$1.7 billion. The pilot plant demonstrated up to 83.2 per cent average weighted extraction efficiency for the gold, silver, zinc, lead and copper contained in the Hellyer tailings. Based on these results, a recently completed Pre-Feasibility Study by H.G. Engineering of Toronto, Canada projects that Intec's Hellyer Project will generate annual net cashflows of up to more than A\$100 million per year with a pre-tax Net Present Value of up to A\$317 million.

Based principally on these very attractive project economics, Intec shortly plans to raise A\$15 million through an A\$10 million institutional and corporate placement and an A\$5 million underwritten shareholder purchase plan to existing shareholders.

Intec has appointed Grange Securities Ltd and RFC Corporate Finance Ltd as Joint Lead Managers to the capital raising, which will be conducted and priced by way of a 'book build'. The capital raising will enable the company to develop the Hellyer Project through to financial closure.

Intec is now the world leader in the development of chloride-based hydrometallurgical processes for the extraction of base metals, with a range of international licensees of its locally developed technology. Its proprietary and internationally patented technology comprises leaching, purification and electro-winning for the cost-effective and environmentally favourable recovery of base and precious metals from sulphide ore bodies.

Apart from Ivanhoe Mines, current shareholders/licensees of the Intec group also include Anglo American, BHP Billiton, Rio Tinto, Nippon Mining and Metals and Excel Coal, all of which have been significant contributors over many years to the development of the Intec Process.

Managing Director and Chief Executive Officer of Intec. Mr Philip Wood, said "We have achieved unprecedentedly high metals extraction rates from Hellyer tailings, which should enable Intec to deliver excellent revenue streams from the Hellyer Project.

"Supported by the Australian Government, represented by Minister Tony Abbott today and whose visit we greatly appreciate within his Warringah electorate, and by publicly-based organisations such as Sydney University's Department of Chemical Engineering, the CSIRO and the A.J.Parker Centre for Hydrometallurgy, Intec has developed breakthrough technology and is marketing it to the world metals markets which have recently enjoyed buoyant conditions", he added.

The advantages of using the Intec Process for metals producers is its ability to recover high purity base and precious metals at much lower cost, while also reducing the heavy environmental impacts associated with conventional smelters and cyanidation.

The Intec Process produces no liquid effluents or noxious gaseous emissions, while the waste product following treatment is solid and stable, readily capable of disposal in a managed site. The process also consumes significantly less energy, and therefore is responsible for reduced greenhouse gas emissions, relative to all other hydrometallurgical processes.

For further information call:

Philip Wood Intec Ltd. $(02)$ 9351 6741 Mobile (0438) 675 501 Tim Allerton City Public Relations $(02)$ 9267 4511 $(0412)$ 715 707.

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