option over express rx

22 June 2004

The Manager
Australian Stock Exchange Limited (“ASX”)
Company Announcements Office


Dear Sir

Option Over Express Rx

Quadrant Iridium Limited (“Quadrant” or the “Company”) is pleased to announce the signing of an option agreement to acquire 70% of Global Vending Pty Ltd (“GV”). GV is the holder of intellectual property relating to the sale of restricted goods by way of remotely controlled machines. Restricted goods include pharmaceuticals, alcohol and gaming products.

GV, through its wholly owned subsidiary Express Rx Pty Ltd (ERX), is developing as the first use of the intellectual property, the Remote Dispensing Machine (RDM) for use by pharmacists. The other application currently being examined is gaming products in Victoria.

Under the terms of the option agreement Quadrant can acquire 70% of GV for the development costs associated with the RDM. These are budgeted to be $1.5 million and are currently being met by the option grantor, Covenant Nominees Pty Ltd, a company associated with the Quadrant Chairman, Mr Michael Boyd. The option is for a period of 12 months from 1 July 2004, and can be extended by mutual agreement.

About Express Rx Pty Ltd

Express Rx Pty Ltd is midway through production of the first machines, which will be available from the fourth quarter this year. The RDM enables the pharmacist or government health departments to offer another avenue to provide service to their clients, and whilst initially targeted to remote and rural communities, could be equally utilised in the local metropolitan pharmacy.

The RDM gives the pharmacist the opportunity to consult with the patient and retain the traditional advisory role through the video and teleconference facility in each RDM. This allows pharmacists to extend the hours they operate and be more secure in after hour’s transactions.

Each RDM can stock up to 2,400 items, which can represent up to 150 different product lines. This ensures that the RDM can supply an appropriate mix of pharmacy items to its target community.

ERX has contracted Sheryl Frame and Keith Jeffs to manage the development and commercialisation of the RDM. Ms Frame has an extensive background in the Pharmaceutical and IT industry in South Africa; Mr Jeffs is well known and regarded in the Pharmaceutical industry in Australia.

ERX is a logical fit for the Company and uses the expertise developed by Quadrant in transaction processing together with the healthcare management in ERX to grow the business.

About Quadrant Iridium Limited

Quadrant is an investor in, and operator of, telecom venture and payment systems in Australia and globally.

Through its subsidiaries it holds several investments; a US$20.8 million investment in the Iridium satellite constellation; global SMS operator, SMS Access Limited based in the United Kingdom; and Approach Telecom based in Australia, which is managed by Quadrant.

Quadrant is focussed on innovative and emerging transaction related technologies and processes to generate revenue and enhance shareholder value.

Over the past year ETSdirect Pty Ltd and Approach Telecom Australia Pty Ltd revenues have grown to approximately $300,000 per month and the number of international markets using its services has expanded to include North and South America and the United Kingdom.

In addition, the single largest asset of the company, its investment in Iridium Holdings LLC continues to grow both government and commercial customers and trade cash positively.

The Company is planning to provide shareholders with a more detailed update on its business activities and performance when available in the new financial year.

For enquires about Quadrant please call Michael Abela on +61 3 9607 1362 or Michael Boyd on +61 8 9489 6219.

For enquires about the Remote Dispensing Machine, contact Sheryl Frame on +61 8 9489 6219 or +61 402 213 409 or Keith Jeffs +61 419 384 919.


Yours faithfully


Phillip MacLeod
Company Secretary