SCIDEV LTD — Investor Presentation 2022

Jul 27, 2022

Investor Presentation

128/07/2022

Q4 FY22 Results

Seán Halpin INTERIM CHIEF EXECUTIVE OFFICER Anna Hooper

CHIEF FINANCIAL OFFICER

SCIDEV | INVESTOR PRESENTATION

About SciDev

Who We Are A leader in environmental solutions focused on waterintensive industries

What We Do Our solutions allow our clients to recycle and reuse water, improve operational efficiencies and reduce waste footprints. We provide chemistry along with Build Own Operate and Design and Construct water treatment technology to the mining, oil and gas and water treatment sectors

Our Mission To improve the operational and environmental outcomes for our clients

SciDev is committed to our people, the environment and our communities

Our People

Our people are our key and we are committed to providing a safe and inclusive workplace

• Strong focus on safety. Safety a core value and at the forefront of all operations
• Progressing towards greater gender diversity with over 25% of our workforce female
• Continuing to foster and develop an inclusive culture and a culture of innovation and continuous improvement

The Environment

Our environmental solutions help reduce our clients waste footprints and costs

• We significantly reduce the volume of waste water from our clients operations
• Our treatment technologies treat hazardous waste and remediate contaminated sites
• Continued development of alternatives to petrochemical based chemistries, minimising environmental impact

Our Communities

We are committed to giving back to the communities where we live and work.

• SciDev has so far pledged $120,000 in support of the Schools Plus 'Two Ways Science' project
• The project helps support seven remote Indigenous schools and communities develop and implement an integrated learning program
• Our staff raised more than $20,000 for the Black Dog Institute to help fund crucial mental health research, support and prevention initiatives

Q4 Financial summary

Financial Highlights

• Q4 Record Revenue of A$18.2m and record cash receipts of A$19.0m
• Q4 Gross profit margin of 25% driven by increased revenue from speciality chemistry sales and BOO water treatment projects
• Q4 Operating cashflow of A$2.6m due to increased revenue and working capital improvement
• FY22 unaudited revenue of A$55.4m (+30% on FY21)
• FY22 unaudited underlying EBITDA of A$2.0m

Mining and Construction Summary

Quarterly Revenue (A$m)

Operational Highlights

• Revenue slightly down on prior quarter due to timing of consumption of SciDev chemistry across mine sites
• A$2.0m trial order received from major Nickel producer in Australia
• Purchase order received for consultancy services to assist with tailings management optimisation at major coal producer in Queensland
• First fill executed at greenfield coal mine in Queensland with three-year contract under negotiation
• Significant customer interest in our suspension chemistry with a number of field trials beginning in Q1 FY23

Outlook

• Increase reoccurring revenue in Mining by delivering successful field trials & converting to long term supply contracts
• Continued BD initiatives to grow construction vertical across both domestic and international opportunities
• Convert existing emulsion customers to suspension chemistry

Energy Services Summary

Quarterly Revenue (A$m)

Operational Highlights

• Sales increased 185% vs Q3FY22
• Gross margin improved through a combination of a higher sales of speciality chemistry, improved logistics management and further supply chain efficiencies
• Awarded supply of proprietary suspension polymer technology, XSlik 620, for a series of wells for a major E&P company
• Sales of our CatChek technology, which improves well efficiency, delivered A$3.1m for the quarter
• Secured a field trial with an existing CatChek customer to trial our SMART-VIS friction reducer. The trial will commence in Q1FY23
• Developed a new cationic emulsion friction reducer for application in a recycled water completion fluid system. The product was successfully field trailed with a Tier 1 E&P company and an initial purchase order for the product is expected to generate up to A$2.0m in Q1 FY23

Outlook

• Continue to increase market share in key geographical areas
• Healthy pipeline, future sales will be directly linked customer activity levels and the broader market conditions
• Diversify service offering to Oil & Gas and broader US market

Water Services Summary

Quarterly Revenue (A$m)

Water services revenue includes the acquisition of Haldon Industries (SciDev Water Services) from Q4 FY21 onwards.

Operational Highlights

• Several new contracts executed, including four PFAS treatment plants mobilised to treat PFAS contaminated water
• Active on nine PFAS sites during the quarter
• Awarded a contract for the design, construction and operation of a permanent PFAS treatment plant for a major mining client in WA
• Received a A$1.1m purchase order for the design and fabrication of 27 custom water quality monitoring units
• A$1.4m scope extension for existing Infrastructure client

Outlook

• Continue to provide industry leading solutions to the rapidly growing global PFAS problem
• Establish presence in Europe and North America for the utilisation of PFAS treatment technology
• Target key mining clients within existing SciDev customer base
• Leverage existing pipeline converting opportunities in to contracts

Development of Client Solutions

SCIDEV | INVESTOR PRESENTATION

EnergyServices	Proposing SmartVisas a high viscosity alternative to traditionalchemistry used for oilfield well completion
	CatChek–Stabilisesshale by preventing pyrite oxidation.Increases well production efficiency
WaterServices	Continued development & optimisationof PFAS treatmenttechnology
	Alternative technologies for the treatment of wastewater forelevated Total Dissolved Solids without the use of Reverse Osmosisor other membrane technologies
Mining &Construction	Ongoing development and commercialisationof suspensiontechnology. Can be used across multiple chemistries to replacetraditional emulsions

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FY23 Outlook

SciDev delivers positive operational and environmental outcomes for our clients

Drive a positive culture across the organisation and increase the level of integration within our business to take advantage of the strong cross sell opportunities across our client base

Leveraging the extensive business development pipeline in the water treatment sector and converting opportunities into contracts

Establish a presence in Europe and North America with the aim of delivering full scale PFAS treatment technology within FY23

Continue to increase sales of our speciality chemistry in the US oil and gas

industry increasing not only the number of sites but also the number of

solutions per site

Target key mining clients to further develop our water treatment presence and deliver an end-to-end service within the industry

Optimise the inventory position to ensure reliability of supply to customers whilst maintaining focus on effective working capital management

SciDev Snapshot

Corporate overview
ASX code	SDV
Market cap (at $0.30 per share)	A$57m
Shares on issue (at 25 July 2022)	189m
Cash at bank	A$14.0m1

Major shareholders2	% held
Board and Management	13%
Institutional	33%
Retail	54%

1. As at 30 June 2022 2) As at 30 May 2022

Vaughan Busby NON-EXECUTIVE CHAIR

Simone Watt NON-EXECUTIVE DIRECTOR

Jon Gourlay NON-EXECUTIVE DIRECTOR

Heath Roberts COMPANY SECRETARY

Dan O'Toole NON-EXECUTIVE DIRECTOR

SCIDEV BOARD EXECUTIVE MANAGEMENT TEAM

Seán Halpin INTERIM CHIEF EXECUTIVE OFFICER

Anna Hooper CHIEF FINANCIAL OFFICER

Sarah Stewart HEAD OF MARKETING & CX

Jamiel Muhor HEAD OF MINING & CONSTRUCTION

Todd Placek HEAD OF WATER SERVICES

Chris Dartez HEAD OF ENERGY SERVICES & PRESIDENT NORTH AMERICA

Craig McCloskey DIRECTOR - OPERATIONS

Kevin Smith VICE PRESIDENT SCIDEV LTD

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Jeffrey Zhang DIRECTOR – STRATEGY & MARKETING

Disclaimer

Important Information

This presentation has been prepared by SciDev Ltd (SciDev) based on information available to it as at the date of this presentation. The information is provided in summary form and does not contain all information necessary to make an investment decision. Hence, no representation is made as to the accuracy, completeness or reliability of the information.

In addition, neither SciDev nor any of its subsidiaries, directors, employees, shareholders nor any other person shall have liability whatsoever to any person for any loss, including without limitation from any fault or negligence arising from this presentation or any information supplied in connection with it. This presentation may contain forward-looking statements and projections. These reflect SciDev's current expectations, based on what it believes to be reasonable assumptions.

SciDev gives no warranty or representation as to its future financial performance or any future matter. Except as required by law or ASX listing rules, SciDev is not obliged to update this presentation after its release, even if matters change materially.

This presentation does not constitute financial advice. Further, this presentation is not and should not be construed as an offer to sell or a solicitation of an offer to buy SciDev securities and may not be relied upon in connection with any purchase of SciDev securities.

www.scidev.com.au

INTERIM CEO

Seán Halpin

+61 (0) 2 9622 5185

INVESTOR RELATIONS

Craig Sainsbury

craig.sainsbury@marketeye.com.au

+61 (0) 428 550 499