BCC Receives Final Approval

Wuxi Baichuan Chemical Industrial Co Ltd Receives Final Government Approval from Chinese Regulators

MetalsTech Limited (MTC or the Company) is pleased to provide the following update in respect of the $1.8 million funding deal (Investment) with leading chemical producer Wuxi Baichuan Chemical Industry Co Ltd (BCC).

The Company has received written confirmation that BCC has received the final stage of Chinese Regulatory Approval from the “Foreign Affairs Bureau – Commerce Department” which is required in order to allow for the transfer of funds outside of China.

The $1.8 million Investment is expected to be received in the coming days, with the allotment of shares to occur on 6 April 2018 following the General Meeting of the Company. A total of 9.25 million shares will be allotted pursuant to ASX Listing Rule 7.1A with the balance of 1.75 million shares to be allotted pursuant to ASX Listing Rule 7.1.

• BCC to subscribe for 10,000,000 MTC shares at a price of $0.18 per share to raise $1,800,000 subject to 12 months’ escrow
• MTC to facilitate BCC share accumulation strategy by introducing third party shareholders (and advisors) for the acquisition of up to a further 5,000,000 MTC shares through on-market and off-market purchases
• If BCC increases its share ownership to >12.5% through on-market and off-market share acquisitions to earn:

  • a right to participate in placements for 12 months to maintain ownership position
  • a right to match any project-level investment by a third party within 12 months up to 10% project-level interest

• If BCC increases its share ownership to >15% BCC will be entitled to an MTC board seat
• MTC and BCC will work in good faith to negotiate a project-level equity investment at its projects as part of a larger strategy to develop lithium carbonate / hydroxide beneficiation facility in Quebec underpinned by spodumene concentrate feed from MTC projects

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MTC Half Yearly Report and Accounts

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Notice of General Meeting/Proxy Form

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