WA KAOLIN LIMITED — Capital/Financing Update 2021

Jan 14, 2021

15 January 2021

ASX Announcement

==> picture [98 x 42] intentionally omitted <==

Stage 1 Building Works Commence at Wickepin Kaolin Project

WA Kaolin Ltd (“ WA Kaolin ” or the “ Company ”) (ASX : WAK) is pleased to advise shareholders that building works have commenced at the Company’s wholly owned Wickepin Kaolin Project, located 220km south east of Perth, Western Australia.

Andrew Sorensen, WA Kaolin CEO said, “Our 2021 work program has already commenced in earnest with the arrival of the crew and equipment to proceed with the initial building works of the kaolin production plant. At this point, we are on track to commence the build in February and will provide regular updates to the market as we proceed.”

==> picture [376 x 212] intentionally omitted <==

Figure 1. Aerial view of the building work commenced at Wickepin

AUSPAN, one of Australia’s leading steel frame construction companies has been contracted to carry out the Stage 1 Building Structural Design and Construction. AUSPAN has now mobilised to site to commence its work program with a team of circa 20 ramping up over coming weeks. The concrete batching plant was delivered to site on 6[th] January and work has commenced on the footings and part of the slab being laid ahead of the plant build.

Ben Richardson, General Manager, AUSPAN, commented, “ Mobilisation is well under way and construction on site is ramping up following the Christmas break. Footings are almost complete and we will be ramping up to a construction team of approximately 25 by early February. It is exciting to be working with WA Kaolin on this world leading Kaolin Processing Plant. With approximately 100T of structural steel already delivered to site, the landscape is about to change with the commencement of structural steel installation.”

==> picture [559 x 74] intentionally omitted <==

----- Start of picture text -----

WA KAOLIN LIMITED +61 8 9439 6300 ABN: 56 083 187 017
asorensen@wakaolin.com.au
Lot 3 Ward Road, East Rockingham, www.wakaolin.com.au
Western Australia 6168
----- End of picture text -----

ASX Announcement

==> picture [73 x 31] intentionally omitted <==

The project is timely, as kaolin contracts and orders continue to grow and the Kwinana production facility is sold out on a two shift 5-day basis.

==> picture [255 x 144] intentionally omitted <==

==> picture [228 x 144] intentionally omitted <==

Figure 2. Structural steel arriving onsite in Wickepin

This announcement was authorised for market release by the Board of WA Kaolin Limited.

For further information, please contact:

Andrew Sorensen Victoria Humphries CEO Investor Relations asorensen@wakaolin.com.au +61 (0) 431 151 676 victoria@nwrcommunications.com.au

ABOUT WA KAOLIN

WA Kaolin’s Wickepin Kaolin Project, 220km south-east of Perth, contains a Mineral Resource (JORC 2012) of 644.5 million tonnes1,2 of high-grade premium kaolinised granite. The project Ore Reserve Estimate of 30.5 million tonnes1,3 delivers a life of mine of 30 years. This world-class resource at Wickepin is one of the largest known remaining premium primary resources of kaolin globally. It is characterised by its purity, quality and brightness, producing kaolin products that are suitable for most if not all markets, and typically attract higher prices from a growing collection of top tier customers.

With more than $42 million invested in the project to date, WA Kaolin has developed a proprietary dry processing method, known as K99, to turn raw material into market suitable feedstock for global customers, and constructed a small-scale commercial processing plant on 3ha of portside industrial land at Kwinana, WA.

The Company is focused on increasing production from Wickepin to 400,000 tonnes per annum by 2023 with further modular increases to capacity to be implemented in tune with market demand.

1 The Mineral Resource estimate is inclusive of Ore Reserves and the 2019 Mineral Resource estimate.

2 CSA Global Mineral Resource Estimate R280.2017

3 CSA Global Ore Reserve Estimate R301.2020

==> picture [565 x 38] intentionally omitted <==

----- Start of picture text -----

www.wakaolin.com.au
----- End of picture text -----