ZEOTECH LIMITED — Capital/Financing Update 2020

Jul 27, 2020

28[th] July 2020

SUCCESSFUL PLACEMENT SECURES $1.657 MILLION TO ADVANCE COMPANY PROJECTS

Metalsearch Limited (“MSE” or “the Company”) an aspiring industrial kaolin and mineral processing technology Company is pleased to announce it has secured $1.657m (“the Placement”) from sophisticated investors to further advance the Company’s projects.

Proceeds of the Placement will primarily be applied to:

• Accelerating commercialisation of the University of Queensland (“UQ”) developed mineral processing technology;

• Further expand research opportunities to enhance and develop diverse commercial applications of the Technology; and

• Progressing the Abercorn Project’s (kaolin) industrial mineral marketability program.

The Placement will result in the issue of 127,500,000 new ordinary fully paid shares (“Shares”) at an issue price of $0.013c per Share. Total placement proceeds will be received by the Company.

The issue price represents a premium of 8.33% to the last traded price of $0.012.

The Placement was facilitated through the Company’s existing placement capacities under ASX Listing Rule 7.1 and 7.1A through the issue of 11,576,000 and 115,924,000 shares respectively and does not require shareholder approval.

Commenting on the successful placement, Managing Director Peter Zardo said:

“The Company is delighted by the overwhelming support for the placement by longer-term investors and the way the raising respected the wider shareholder base by accepting fair at market value, which I consider important at this early stage of the Company’s development.

I thank the team at UniQuest and the University of Queensland’s School of Chemical Engineering for partnering with Metalsearch to exploit the potential of our exciting mineral processing technology and the investor capital secured strengthens our balance sheet, ensuring its progress is fast-tracked”.

This Announcement has been approved by the Board.

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www.metalsearch.com.au

For further information please contact:

Peter Zardo – Managing Director Metalsearch Limited peter@metalsearch.com.au

Neville Bassett - Company Secretary Metalsearch Limited Tel: +61 8 6268 2622

About Metalsearch

Our objective is to become an Australian industrial mineral and compound producer, underpinned by patent-pending technologies. We remain focused on the development of our Queensland based Abercorn Project, acquired in August 2019. Abercorn Project is a largescale kaolin prospect, which has the potential to underpin the production of kaolin mineral product for global markets and industrial compounds manufactured by using our novel and proprietary mineral processing technologies.

The Abercorn Project has demonstrated it contains a resource of significant scale and a very consistent, high quality grade of kaolinite mineralisation. The resource remains open in all directions with less than circa 10% of the Project area being drilled, leaving potential for substantial future upgrade. The Abercorn Project is situated approximately 135km south of the deep-water port of Gladstone and 125km west of the deep-water port of Bundaberg in central Queensland. Both major ports are connected to the Abercorn Project by sealed roads. The Burnett highway bisects the

The Company is working with the University of Queensland to develop and commercialise novel and proprietary zeolite mineral processing technology that consumes kaolin or suitable mine tailings / residues to produce high value zeolites. The technology has the potential to fast track development of the Abercorn Project, with a low capital cost to reach commercial production, utilising the company’s existing kaolin feedstock.

It also provides potential opportunities to monetise broader application of the technology outside the company by offering a significantly lower cost method of manufacturing zeolites compared to conventional processes.

Metalsearch also aspires to improving environmental outcomes by continuing to build on the potential of our zeolite mineral processing technology to be applied as a commercial remediation solution for suitable mine tailings / residues, by using tail streams as feed for low cost production of zeolites.

Forward-looking Statements

This release may contain certain forward-looking statements with respect to matters including but not limited to the financial condition, results of operations and business of Metalsearch and certain of the plans and objectives of Metalsearch with respect to these items.

These forward-looking statements are not historical facts but rather are based on Metalsearch current expectations, estimates and projections about the industry in which Metalsearch operates, and its beliefs and assumptions. Words such as "anticipates," "expects," "intends,"

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"plans," "believes," "seeks," "estimates", "guidance" and similar expressions are intended to identify forward looking statements and should be considered an at-risk statement. Such statements are subject to certain risks and uncertainties, particularly those risks or uncertainties inherent in the process of developing technology and in the endeavour of building a business around such products and services. These statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and other factors, some of which are beyond the control of Metalsearch, are difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward looking statements. Metalsearch cautions shareholders and prospective shareholders not to place undue reliance on these forward-looking statements, which reflect the view of Metalsearch only as of the date of this release. The forward-looking statements made in this announcement relate only to events as of the date on which the statements are made. Metalsearch will not undertake any obligation to release publicly any revisions or updates to these forward-looking statements to reflect events, circumstances or unanticipated events occurring after the date of this announcement except as required by law or by any appropriate regulatory authority.

www.metalsearch.com.au