Ann: Strong Progress at Ancuabe and Nicanda Hill, page-3

"ANCUABE GRAPHITE PROJECT
 First binding offtake agreement signed with Tianshengda Graphite, an integrated graphite producer and distributor
 Discussions continue with Haida Graphite in relation to a binding offtake agreement
 First Engineering, Procurement and Construction (EPC) tender received from Sinosteel
 Mining concession and environmental approvals being processed and on track to be granted in 1H 2018
 Early development works underway, with contracts awarded for camp and medical services
 Recent meetings with project financiers in China confirmed strong interest in the Ancuabe graphite project, given robust definitive feasibility study, anticipated near term production and supportive operating environment in Mozambique

NICANDA HILL GRAPHITE-VANADIUM PROJECT
 Company remains focussed on delivering shareholder value for the Nicanda Hill GraphiteVanadium Project
 CSA Global review of the vanadium resource underway, providing potential upside to the value of Nicanda Hill given the strong equity market valuations of vanadium projects and sustained increase in vanadium prices
 Interest received from industry partners in relation to a potential joint venture of Nicanda Hill that may provide a non-dilutive source of funding for the near-term development of Ancuabe"