Ann: Managing Directors Presentation - 2019 AGM, page-32

Attended the AGM yesterday with approximately 40 or so holders attending all up. A good turn up and for those that did an opportunity to see MD James Marsh present what ADN has achieved and what they still need to achieve and the unfolding potential. I have seen James present in numerous occasions and each and every time i walk away thinking gee as holders we have the guy that has the knowledge, contacts & drive to take this company all the way to production. As a holder when you buy in the low end spec area you dream of the next FMG going from a penny stock all the way to production and potential seeing that company grow to a billion $ company. I believe ADN has not only the people with James the major driver but the resource and its rare nature to take us on that journey.

We have what others don’t and James banged on about that many times as the AGM. Halloysite. Its a rare occurrence where water has run over kaolin over many years turning the natural flat kaolin into micro cylinders. I still believe that the market hasn’t fully tuned into how rare this halloysite is and how important and big it is with market desire to get their hands on this product. James stated there are companies all over the world wanting truckloads now and pure halloysite sells for 5k a tonne. This stuff has multiple applications both in the current resource of kaolin/halloysite blend but pure halloysite is a massive game changer opportunity for ADN. Kaolin/halloysite blend alone is enough to see ADN move to a very strong production opportunity with very good cash flow but once we see pure halloysite defined with drilling that is due to kick off next week the game changer opportunities that open up with pure halloysite has the potential to add massively to our already amazing scoping study. Pure halloysite also leads to the next opportunity in nanotech and the numerous patents opening up globally for its use. James stated funny thing is there are all these patents coming online but there is no material so ADN is in the position to become a market leader in all things halloysite With a broad range of business opportunities across supply into uses from traditional like ceramics with the kaolin/halloysite blend and all the way to pure halloysite/nanotech uses. As well ADN are working closely with Newcastle uni plus to major companies in developing nanotech tech applications and patents. James stated ADN are Working with 2 majors on a water purification and carbon capture nanotech application. I don’t believe the market understands yet the unfolding opportunity ADN sits on with a resource that is rare but has multiple applications including tech applications that are being worked on both by ADN in conjunction with others but globally with research reports & patent applications for halloysite and nanotech. I believe we could see some interest in this space by the Chinese with potential partnerships formed around pure halloysite/nanotech applications with James stating there is major interest thought how connections.

Moving on to the major story here and the near term low cost production opportunity. James stated they have gone very conservative on the numbers and timelines with room to beat all numbers and timelines in the PFS. We have the opportunity on current numbers that are outstanding compared to other mining operations and capex numbers so with upgrades both on resource through ongoing drilling and through using sales prices that are not at the bottom end PFS should well outdo scoping numbers. On permitting and land owner agreements all have and are being worked on with the bulk environmental works having been completed through spring. James stated that the Sth Aus government are right behind getting Poochera up and running and actually using ADN as an example of how to operate and move to production. They believe there are no issues with mining on land that has been ploughed for many years and no deep holes or chemicals used in operation. So James expects permitting to be smooth and potentially well before stated timeframes. ADN have a very good relationship with the land owners and expect agreements in place early 2020 with the community behind this project and the jobs and extra port use it will create. On PFS James stated we no need for a DFS and will move straight to mining after PFS and permitting as we do not need debt or major financial backing. Again this is a low cost/capex opportunity that i see as the best opportunity i have ever seen for a tiny company to go from exploration to production. Not only production of a very good short term plan but a number of game changing opportunities with pure halloysite, nanotech and HPA. James stated he is working currently on binding agreements and i believe some left field partnerships could unfold here. Was great to meet other holders and the whole ADN board who hung around as lomg as holders needed to chat informally after. I have seen many of board do a quick 20 min i formal chat then need to shoot off for a fancy lunch. I believe the ADN board will take this all the way and reward shareholders massively.