ZEOTECH LIMITED — Capital/Financing Update 2018

Jun 5, 2018

6 June 2018

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Dear Option Holder

Non-Renounceable Rights Issue of Shares

On 30 May 2018, the directors of Metalsearch Limited ( Company ) announced a one (1) for two (2) fully underwritten pro rata non-renounceable rights issue ( Rights Issue ) to shareholders.

The Rights Issue will be offered to existing eligible shareholders on the basis of one new share ( New Share ) for every two shares held at the record date, at an issue price of $0.01 per share, to raise up to approximately $1,529,700 before costs.

The Company is making the Offer available to eligible shareholders, being persons who are registered as shareholders of the Company on the Record Date and have a registered address in Australia or New Zealand.

Based on the Company’s current issued capital the Rights Issue will result in up to 152,970,053 New Shares being issued, increasing the total issued share capital on completion of the Rights Issue, assuming it is fully subscribed, to 458,940,159 shares.

The Company has set 5.00pm WST on 12 June 2018 as the Record Date for the purpose of determining shareholders entitled to participate in the Rights Issue.

Under the terms of the options you currently hold, there is no entitlement to participate in the Rights Issue, unless you convert your options and are entered onto the register as a shareholder on or before the Record Date.

If you wish to participate in the Rights Issue, it will be necessary for you to exercise all or part of your options, and the shares issued on the exercise of those options must have been allotted to you before the Record Date. If you wish to do so, you should complete a Notice of Exercise of Options and lodge that notice with the Company, together with your payment for the number of shares you wish to take up on or before the Record Date of 12 June 2018.

If you wish to clarify any taxation consequences relating to the exercise of your options, please consult with your professional advisers.

If you do not wish to participate in the Rights Issue in respect of your options, you do not need to take any action.

If you require further information please contact the company on (08) 6268 2622 during normal business hours.

Yours faithfully

N J Bassett Company Secretary

Metalsearch Limited | ASX: MSE

Level 4, 216 St Georges Tce, Perth WA 6000 Australia | PO Box 7315, Cloisters Square WA 6850 Australia P: +61 8 6268 2622 | F: +61 8 6268 2699 | W: metalsearch.com.au