Ann: Full Year Statutory Accounts, page-2

A cautionary statement in the Statutory Accounts posting. Noted.

• Talga is now a vertically integrated advanced materials technology company with a strategy to produce value added products that would provide the most effective, near-term opportunities for commercialisation and potential cashflows. The Group’s cash as at 30 June 2018 is $11.9 million which together with the balance of placement proceeds received in early July 2018 of $7.35 million ($1.15 million was received prior to 30 June 2018), is more than sufficient to cover committed expenditure beyond the next 12 months. However, without regular income outside interest proceeds or assets sales, it will rely on continuing access to capital markets (including the exercise of listed and unlisted Talga options) to fund further development in Sweden, Germany and United Kingdom. Failure to obtain sufficient financing for Talga's activities and future projects may result in delay and indefinite postponement of exploration, development or production on Talga's properties, or even loss of a property interest.