23 April 2019 The Manager The Company Announcements Office Australian - PDF document

23 April 2019 The Manager The Company Announcements Office Australian Securities Exchange On 16 April 2019, King Island Scheelite Coal Limited ( ASX: KIS ) released an updated corporate presentation titled “Investor Presentation” ( Investor Presentation ). Page 3 of the Investor Presentation includes a chart titled “World Class Deposit”, comparing WO3 Grades and Resource Tonnages for different tungsten projects ‐ including KIS’s Dolphin site. Page 9 of the Investor Presentation includes a graph titled “ Operating Costs At the Bottom of The Curve ”, comparing operating costs ($/mtu) and capital costs (USD Million) for different tungsten projects ‐ including KIS’s Dolphin site King Island Scheelite has removed the comparisons with other projects, as the information reported may have different reference dates and be at different stages of development ‐ prohibited under the ASX’s recent compliance update number 08/18 (issued 19 September 2018). The peer comparison information contained in pages 3 and 9 of the Investor Presentation is retracted. Further, the information included in slide 4 titled “Geology” of the Investor Presentation is amended to report JORC categories, as required by clause 34 of the JORC Code. Slides 4 ( titled “Geology”) and 6 (titled “Development Plan”) of the Investor Presentation are each now cross referenced to their source from KIS’s market announcement titled “Updated Reserve Statement” released 21 September 2015 and amended 20 October 2015 (also previously reported on slide 17 of the Investor Presentation). Following is the amended “Investor Presentation”. Yours sincerely, Ian Morgan Company Secretary King Island Scheelite Limited Suite 26.01, Level 26 Telephone +61 (0) 2 8622 1402 ABN 40 004 681 734 259 George Street Email: kis@kisltd.com.au Sydney NSW 2000 www.kingislandscheelite.com.au GPO Box 5154 Sydney NSW 2001

April 2019 ASX:KIS

K I N G I S L A N D S C H E E L I T E Investment Highlights HIGH GRADE World’s highest grade deposit – known to exist LOW COST Low OPEX & CAPEX compared to peers APPROVALS GRANTED Mining license, Environmental approval (EPA) and further exploration licences all granted SUBSTANTIAL UPSIDE Potential for expansion/extension both underground and at Bold Hill INFRASTRUCTURE 1km from the Port of Grassy and existing infrastructure, substantially reducing CAPEX OFFTAKE Signed Agreement with Wolfram Bergbau and Hutten AG 2

K I N G I S L A N D S C H E E L I T E Geology TOTAL RESERVE (ALL PROBABLE) TOTAL RESOURCE (ALL INDICATED) 3.14m tonnes @ 0.73% WO3 9.6m tonnes @ 0.9% WO3 (0.20% cut ‐ off) (0.20% cut ‐ 0ff) UNDERGROUND OPERATIONS OTHER A desktop study completed Dewatering of pit carried in 2015, indicates 8 year out, validating historical underground mine life, after data and upgrading reserves the open ‐ cut reserves and resources to JORC 2012 depleted 3 Source: Updated Reserve Statement released 21 September 2015 and amended 20 October 2015

K I N G I S L A N D S C H E E L I T E Location King Island • The Dolphin Project is near the town of Grassy, on the south east coast of King Island, the most western large island in Bass Strait • Grassy has historically been a mining town, Dolphin Project developed to service the Dolphin Mine up to 1992 Port 4

K I N G I S L A N D S C H E E L I T E Development Plan • 8 year open cut mine, average annual production of 400,000 tonnes of ore per annum, yielding 200,000 mtu of WO3 (1mtu = 10kg) • Ore to be crushed and processed, primarily through a gravity circuit supplemented with a simple flotation circuit • Option to double mine life through mining existing underground resource • All relevant approvals for open cut mining have now been obtained  Mining Lease valid to 2029  Environmental Approval granted  Approval to relocate plant to south side of pit 5 Source: Updated Reserve Statement released 21 September 2015 and amended 20 October 2015

K I N G I S L A N D S C H E E L I T E Infrastructure • KIS recently acquired “Portside Links” which has strategic relevance, providing the Mine direct access to the port, and all potential land requirements for the redevelopment of the Mine • Located approximately 1km from Port of Grassy (Port of Grassy accommodates 5,000 tonne vessels & serviced weekly from Victoria and Tasmania) • Daily flights operate from Melbourne & Tasmania 6

K I N G I S L A N D S C H E E L I T E European Offtake • Agreement executed with Wolfram Bergbau und Hutten AG, a world leading supplier of Tungsten powders & subsidiary of the Sandvik Group. • Contract for a total of 140,000 mtu’s of WO3 over a four year period. Accounts for 20% of proposed annual production. • Further off ‐ take contracts with other APT producers are at an advanced stage. 7

K I N G I S L A N D S C H E E L I T E Capital Structure Number of KIS % of total KIS TOP 20 KIS Shareholders shares shares on issue 1 Mr Christopher Ellis (KIS Director) 58,613,278 22.4% SHARES ON ISSUE 261,942,279 2 Mr Richard W Chadwick and Mrs Gwenda A Chadwick 58,471,359 22.3% 3 Mrs Catherine Morritt 15,920,599 6.1% 4 Mr Anthony Haggarty 14,998,952 5.7% 5 Mr Giuseppe Coronica 8,640,000 3.3% CASH ON HAND ~ $1.5M (AUD) 6 Pacific Road Provident Pty Limited 6,487,388 2.5% 7 Mr Andrew Plummer 5,170,590 2.0% Hunan Nonferrous Metals Holding Group Co., Ltd (HNG) and Hunan MARKET CAP 8 4,450,000 1.7% Nonferrous Metals Corporation Limited (HNC) $23.57 M (AUD) (@9.0C) 9 Mr Allan Davies and Mrs LM Davies 3,986,536 1.5% 10 Mr Johann Jacobs (KIS Director) 3,889,764 1.5% 11 Elphinstone Holdings Pty Ltd 3,125,000 1.2% 12 Tyson Resources Pty Ltd 3,033,864 1.2% 13 Serlett Pty Ltd (Diligent Inv Superfund Account) 2,711,241 1.0% 14 Mr Robert Slade Forbes 2,312,500 0.9% 15 Mr Scott Gilchrist 2,268,755 0.9% 16 Mr Bryant McLarty 2,228,369 0.9% 17 Chelsea Securities Limited 2,161,818 0.8% 18 Mr Donald Boyd 2,044,337 0.8% 19 Kesli Chemicals Pty Ltd (Ruane Superfund Account) 1,937,500 0.7% 20 Rytech Pty Ltd (Rytech Superfund Account) 1,400,000 0.5% Total held by Top 20 203,851,850 77.9% 8

K I N G I S L A N D S C H E E L I T E Experienced Board JOHANN JACOBS CHRIS ELLIS GREG HANCOCK Chairman Executive Director Non ‐ Exec Director Johann has held a number of executive Chris has over 30 years experience in the Mr Hancock is Managing Director of roles in resource companies, where he’s exploration and mining industry in Australia Hancock Corporate Investments Pty Ltd, a managed acquisitions, expansions or start ‐ and overseas. He was a founding member specialist Corporate Advisory practice. He ups of mining operations in Australia, and Executive Director of coal mining has been a Non ‐ Executive Director of Indonesia and South Africa. His exposure in company Excel Coal Limited which became Ausquest since it’s listing in 2003. He was the mining industry includes coal, iron ore, Australia’s largest independent coal mining founding director and first Chairman of uranium, oil and gas, gold and base company, before being acquired by Cooper Energy Ltd and Non Executive minerals. Peabody Energy Inc. in October 2006 for A$ Director of Zeta Petroleum Plc, Strata ‐ X 2 billion. Energy Ltd and BMG Resources Ltd. Mr He is also a non ‐ executive director of Hancock maintains an active and ongoing Magnis Resources Limited as well as a Chris has core skills in geology, mining engagement with capital markets both in number of private companies. engineering and minerals processing, in Australia and the United Kingdom. coal, gold, base metals and diamonds. Chris is a Non ‐ Executive Director of Ausquest Limited. 9

K I N G I S L A N D S C H E E L I T E Tungsten Primary Uses CURRENT • Cemented carbides used in drilling tools and wear ‐ resistant parts • Alloy steels and alloys used primarily in tools • Mill products FUTURE • Nickel ‐ Tungsten alloys could replace chrome plating & nickel ‐ tungsten alloys could replace gold ‐ nickel plating • Smart Technologies (semi conductors) • Deep drilling 10

K I N G I S L A N D S C H E E L I T E Tungsten Demand & Supply DEMAND • Given its unique properties, both the US ,European Union, Japan, Russia & Australia have ranked Tungsten as a strategic metal • Global demand for tungsten is forecast to grow by 2.5% per year till 2026 with Chinese consumption accounting for ~60% • Continued growth in end user with transport, mining and oil & gas • US and European end users are looking to reduce their dependence on Chinese producersn China by entering long term offtake agreements SUPPLY • China continues to be the largest supplier of Tungsten (83% global production) • Environmental crackdowns in China has caused a tightening in the market • Wolf Minerals recently went into administration, reducing the amount of WO3 in the western market • High grade (above 0.5%) deposits are very rare with long lead times from exploration to production 11

K I N G I S L A N D S C H E E L I T E Tungsten Prices • 2017 saw prices rise significantly with expectations of stronger global growth and reduced supply from China • 2018 saw prices remain stable in the H1 of the year while prices pulled back in H2 due to seasonal recess • Analysts expect prices to track back up to US $290/MTU which is the average cost of production for Chinese producers 12