SCIDEV LTD — Capital/Financing Update 2018

Jun 24, 2018

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Suite 105 48 Atchison Street St Leonards NSW 2065 Australia ABN 25 001 150 849

Phone: 61 0428 002 590 Email: admin@scidev.com.au Website: www.scidev.com.au ASX code: SDV

Companies Announcements Australian Securities Exchange

25 June 2018

SciDev to Raise $860,000 via placement principally to strategic investors

SciDev Ltd (ASX: SDV, SciDev or the Company ) advises that the Company has secured commitments to raise $860,000 in working capital.

• Strategic investors introduced to assist in the expansion and growth of SciDev’s business.

• Capital will accelerate the roll-out of the SciDev business, leveraging off opportunities generated from recent staff appointments.

• Capital to be raised at $0.006 per share, via a two-tranche placement process.

• Price of the issue represents an 8.8% discount to the 15-day volume-weighted-average-price (VWAP) for SciDev shares.

Participants in Raising

The participants in the raising include:

1. Kanins Australia Pty Ltd (Kanins Australia) - $300,000

Kanins Australia and its associated companies, Sinoz Chemicals and Commodities Pty Ltd (Sinoz) , Kemtec Mineral Processing Pty Ltd (Kemtec) and Kanins International Pty Ltd (Kanins International) are globally significant manufacturers and suppliers of chemicals and reagents to the mining industry and the agribusiness sector.

Sinoz manufactures flotation reagents, principally xanthates, with its partner Qixia TongDa Flotation Reagent Company (Qixia TongDa). Qixia TongDa is the world’s largest xanthate manufacturer with four manufacturing sites in China. Sinoz and Kemtec supply reagents utilised in the flotation of metalliferous ores such as collectors, depressants, activators and frothers along with providing process optimisation technology.

Kanins International is the market leader in the supply of mineral salts for the animal feed, fertilizer and pesticide industries.

Both the SciDev and Sinoz/Kanins/Kemtec (the Sinoz Group) technology portfolios are highly complementary and cover the entirety of the mineral processing reagent value chain from grinding, beneficiation through to tailings and water treatment.

SciDev will benefit from existing Sinoz Group customer relationships, which management believes will accelerate business development activities. The Sinoz Group will benefit from SciDev’s leading chemical and OptiFlox® technology and mineral processing expertise allowing them to offer end users a complete solution.

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An associated party of Kanins Australia is an existing shareholder in the Company and following completion of the capital raising will hold approximately 11% of SciDev.

1. Lewis Utting, Project Director - $210,000

Recently appointed Project Director, Mr Lewis Utting, who joined the Company in March 2018 (refer ASX Announcement: 1 March 2018), will also participate in the capital raising. Mr Utting has 15 years’ experience in the chemical industry, with his most recent role being Global Business Development Manager - Mining for BASF, the worlds leading chemical company by sales.

Following completion of the capital raising, Mr. Utting will hold approximately 5.5% of SciDev.

1. Other - $350,000

A small number of other participants including the Managing Director of SciDev and clients of Taylor Collison Ltd; the latter for an amount of $150,000.

Use of Funds

The capital raised will be utilised to support the growing SciDev business development pipeline and;

1. Expand SciDev’s business operations in Australia and international markets;

2. Cover the costs of recent staff appointments;

3. Support further research and development for new OptiFlox® applications across additional industries; and

4. Progress MOU relationships with Phoenix & Seydel.

Capital Raising Mechanics

The capital raising will be undertaken as a two-tranche placement:

1. Utilising the Company’s 15% placement capacity under ASX Listing Rule 7.1, the Company will issue 74,222,800 shares in the week commencing 25 June 2018. An Appendix 3B and cleansing statement will be issued concurrently.

2. The balance of the capital raising, comprising the issue of approximately 69,110,533 shares, will be issued in late July, following a shareholders meeting called for the purpose of approving the share issue. A second Appendix 3B and cleansing statement will be issued at that time. It is proposed that Managing Director, Mr Kieran Rodgers, will participate in the second tranche of the capital raising, subject to shareholder approval.

Yours Sincerely SciDev Ltd

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Heath Roberts

Company Secretary

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