SCIDEV LTD — Interim / Quarterly Report 2005

Jul 28, 2005

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

29 July 2005

Companies Announcements Office Australian Stock Exchange Limited

Ouarterly Activities Report: Appendix 4C June 2005

On behalf of Intec Ltd (ASX code: INL, or the Company). I now attach the June 2005 Ouarterly Report for Entities Admitted on the Basis of Commitments (Appendix 4C). This assumes familiarity with the comprehensive half-yearly report for shareholders on activities to 30 June 2005, released to the ASX on 1 July 2005. This is now briefly updated as follows:

Commissioning of the Burnie Demonstration Plant

This is proceeding on schedule, including a recent continuous "wet commissioning" programme. As previously stated, meaningful results from the demonstration plant are not expected before September 2005 at the earliest. This impressive plant will be formally opened by the Hon. Bryan Green, Tasmanian Minister for Infrastructure Energy and Resources, on 15 September 2005, at a ceremony to which all Intec stakeholders are welcome (further details to be advised).

Electrowinning Cell

Testwork on the cell at Sydney University is nearing completion with excellent outcomes. The cell is due to be transported to the Burnie demonstration plant shortly for installation.

Hellyer Mill and Infrastructure

As previously advised, trial grinding and flotation of regionally produced ores is proceeding, specifically in relation to Allegiance Mining, with commercial arrangements to be determined during 2005.

Bankable Feasibility Study for the Hellyer Metals Project

WorleyParsons and its sub-consultants are now fully engaged on this exercise which is due for completion by 31 January 2006.

Resource Finance & Investments Limited (RFI)

The prospectus for RFI (in which INL is a 44% shareholder) will be lodged in early August 2005 to raise up to A$4 million for exploration of the Hellyer and other regional tenements. INL shareholders will have priority entitlement in this float, further details of which will be publicised shortly.

Corporate

The Company's cash balance at 30 June 2005 was A$4,545,000.

Outlook

The Company continues to be very positive concerning the Hellyer Metals Project, including specifically the Burnie demonstration plant.

Yours faithfully Intec Ltd

Philip R. Wood

Philip R Wood Managing Director and Chief Executive Officer

$Rule 4.7B$

Appendix 4C

Quarterly report for entities admitted on the basis of commitments

Introduced 31/3/2000. Amended 30/9/2001

Name of entity

Intec Ltd

ABN

25 001 150 849

Quarter ended ("current quarter")

30 June 2005

Consolidated statement of cash flows

		Current quarter$A'000	Year to date (12 months)$A'000
1.1	Cash flows related to operating activitiesReceipts from customers – test work fees	5	49
1.2	Payments for:
	staff costs(a)	(835)	(2,749)
	advertising and marketing(b)	(17)	(99)
	research and development(c)	(132)	(900)
	leased assets(d)
	other working capital(e)		(526)
	administration and corporate costs(f)	(173)	(841)
	cost of sales(g)
1.3	Dividends received
1.4	Interest and other items of a similar nature
	received	113	297
1.5	Interest and other costs of finance paid
1.6	Income taxes (paid)/received
1.7	Other (JV cash calls received)	16	20.
	Net operating cash flows	(1,023)	(4,749)

+ See chapter 19 for defined terms.

		Current quarter$A'000	Year to date (12 months)$A'000
1.8	Net operating cash flows (carried forward)	(1,023)	(4,749)
1.9	Cash flows related to investing activitiesPayment for acquisition of:businesses (item 5)(a)equity investments(b)(c) intellectual property(d) physical non-current assetsother non-current assets(e)	(2,625)	(3,858)
1.10	Proceeds from disposal of:businesses (item 5)(a)equity investments(b)intellectual property(c)physical non-current assets(d)other non-current assets(e)
1.111.121.13	Loans to other entitiesLoans repaid by other entitiesOther (provide details if material)
	Net investing cash flows	(1,049)	(3, 858)
1.14	Total operating and investing cash flows	(3,648)	(8,607)
1.151.161.171.181.191.20	Cash flows related to financing activitiesProceeds from issues of shares, options, etc.Proceeds from R&D Start GrantProceeds from borrowingsRepayment of borrowingsDividends paidOther - share issue expenses	72	12,000649(602)
	Net financing cash flows	72	12,047
1.211.22	Net increase (decrease) in cash heldCash at beginning of quarter/year to dateExchange rate adjustments to item 1.20	(3,576)8,121	3,4401,105
1.23	Cash at end of quarter	4,545	4,545

$+$ See chapter 19 for defined terms.

Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities

		Current quarterSA'000
1.24	Aggregate amount of payments to the parties included in item 1.2	149.
1.25	Aggregate amount of loans to the parties included in item 1.11	Nil

1.26 Explanation necessary for an understanding of the transactions

The salary paid to the two executive directors and the directors' and consultancy fees paid to the four nonexecutive directors who held office during the quarter amounted to $149,513. With effect from 1 April 2005 J Philip Evans resigned as a Director of the Company.

Non-cash financing and investing activities

$2.1$ Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows

None

Details of outlays made by other entities to establish or increase their share in businesses in which the $2.2$ reporting entity has an interest

Not applicable

Financing facilities available

Add notes as necessary for an understanding of the position. (See AASB 1026 paragraph 12.2).

		Amount available	Amount used
		$A'000	$A'000
3.1	Loan facilities	Nil	Nil
3.2	Credit standby arrangements	Nil	Nil

+ See chapter 19 for defined terms.

Reconciliation of cash

Reconciliation of cash at the end of the quarter (asshown in the consolidated statement of cash flows) tothe related items in the accounts is as follows.		Current quarter$A'000	Previous quarter$A'000
4.1	Cash on hand and at bank	379	753
4.2	Deposits at call	49	494
4.3	Bank overdraft
4.4	Other – bank negotiable certificates of deposit	4,117	6,874
	Total: cash at end of quarter (item 1.23)	4,545	8,121

Acquisitions and disposals of business entities

Acquisitions Disposals $(Item\ I.9(a))$ (Item $I.10(a)$ ) $5.1$ Name of entity Not Applicable Not Applicable $5.2$ Place of incorporation or registration 53 Consideration for acquisition or disposal $5.4$ Total net assets Nature of business $5.5$

Compliance statement

• $\overline{1}$ This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act (except to the extent that information is not required because of note 2) or other standards acceptable to ASX.
• $\overline{2}$ This statement does /does not give a true and fair view of the matters disclosed.

Philip R Wood Sign here: (Director/Company Secretary)

Date: 29 July 2005

Print name: Philip R Wood

+ See chapter 19 for defined terms.

Notes

• The quarterly report provides a basis for informing the market how the entity's activities have $\mathbf{1}$ . been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report.
• $\overline{2}$ . The definitions in, and provisions of, AASB 1026: Statement of Cash Flows apply to this report except for the paragraphs of the Standard set out below.
  • 6.2 - reconciliation of cash flows arising from operating activities to operating ۰ profit or loss
  • $9.2$ - itemised disclosure relating to acquisitions
  • itemised disclosure relating to disposals 9.4
  • policy for classification of eash items $12.1(a)$ ۰
    • 12.3 - disclosure of restrictions on use of cash
  • $13.1$ - comparative information $\bullet$
• $\overline{3}$ . Accounting Standards. ASX will accept, for example, the use of International Accounting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with.

+ See chapter 19 for defined terms.