#128 October 2020 Company Announcements Office ASX Limited Exchange Centre 20 Bridge Street SYDNEY NSW 2000 Speciality Metals Investor Presentation October 2020 International Limited ABN: 77 115 009 106 (ASX: SEI) Speciality Metals International Limited (ASX:SEI) is pleased to provide a snapshot of the company and its activities as set out in the attached presentation. Authorised by Resolution of the Board: Suzanne Irwin Company Secretary Speciality Metals International Limited Further Enquiries: Peter Taylor 0412 036 231 Investor Relations [email protected] About the Company Speciality Metals International Limited is an ASX-listed company transforming its world-class tungsten assets at Mt Carbine in North Queensland; leveraging advanced technology, historical stockpiles and unexploited resource with the aim of being the pre-eminent tungsten producer in Australia. The Company also holds gold exploration licences in New South Wales. The Company aims to create shareholder value through the exploration and development of its current portfolio whilst continuing to evaluate corporate and exploration opportunities within the new economy and critical minerals sector.#2Investor Presentation October 2020 Speciality Metals International Limited Mt Carbine Site#3Speciality Metals International (ASX: SEI) 2 in Cavee Investor Presentation October 2020 CAT many 1 Who we are 2 3 What we do Why invest in us? Speciality Metals International Limited#43 Who we are Investor Presentation October 2020 www 120 CAT AM Mt Carbine Quarry Speciality Metals International Limited#5Corporate Snapshot Our Purpose Resourcing the new economy for a better tomorrow. We are a value-oriented resources company, sustainably producing and managing new economy minerals and metals. We maximise the potential of our assets through resource-efficiency and investment in our people to deliver materials that are critical for a better tomorrow. It's how we drive value in our operations, approach new opportunities and at the same time deliver positive societal impact while minimising our environmental footprint. Share Price Issued Shares Market Capitalization Shareholding: Top 20 - # of shareholders Oliver Stephen Zhui Pei Kevin 4 Investor Presentation October 2020 ми as per 27 October 2020 A$ 0.03 1,110m A$ 33m May 2020 June July August September October Volume 58.0 % 1,450 × ... Diverse and Experienced Board & Leadership Team Oliver Kleinhempel Stephen Layton Zhui Pei Yeo Kevin MacNeill German Australian Singaporean Canadian Non-executive Chairman Non-executive Director Non-executive Director Kim Kim Cavallaro 0.040 0.035 0.0300 0.025 3M 2M 1M Australian CEO & Snr. Technical Advisor CCO (CEO-designate) & Exec. Director Speciality Metals International Limited#6Tungsten Processing Plant LO 5 Investor Presentation October 2020 Mt Carbine Operations What we do Speciality Metals International Limited#7Meeting Today's Challenges* Requires a Shift in Mindset SUSTAINABLE DEVELOPMENT GOALS 7 AFFORDABLE AND CLEAN ENERGY 10 REDUCED INEQUALITIES 12 RESPONSIBLE CONSUMPTION AND PRODUCTION QO 13 17 Societal challenges Geological challenges CLIMATE ACTION PARTNERSHIPS FOR THE GOALS Global metal demand more than doubled over the last 30 years. Today's metals industry (from mining to distribution of refined products) is responsible for 20% of all industrial energy use worldwide. If populations in emerging economies adapt to a similar suite of technologies and follow lifestyles of today's developed economies, global metal demand will grow 9-fold. Resources are getting more difficult to find and grades are getting lower. Environmental impact is increasing exponentially. wasted A lot of resources are being produced. 6 Investor Presentation October 2020 * Relevant UN Sustainable Development Goals (SDGs) Speciality Metals International Limited#8Our (Simple) Business Model Products Supplying critical raw materials for hi-tech & green-tech industries Assets Technology We have a dedicated focus on new economy & critical minerals as an invaluable ingredient for sustainable economic development. Our operations strive for resource efficiency as a driver for profitability and environmental performance. Developing operations with a superior cost structure & eco performance Integrating advanced process technology for enhanced resource recovery and efficiency 7 Investor Presentation October 2020 Speciality Metals International Limited#98 Mt Carbine Flagship Projects Production and cash-flow today... ✓ Refurbished tungsten process plant commissioned and expanded to 300k tpa capacity ✓ Proven viability of advanced XRT ore sorting for 20+ times upgrade of feedstock grade ✓ Crushed (low grade) ore stockpile providing 10+ years feedstock Acquisition of an established quarry business (20 years in operation) ...with long-term growth opportunities moving forward. 100% ownership of mining leases and exploration permits ☑ Existing 430m decline allowing cost- and time-efficient start of underground works Target production throughput of 1Mtpa by 2022 (permit application in process) ☐ Tungsten Operation Quarry Operation 16305 -1000S 14500E Watershed Town <-Road - Railway Major airport -Port P 14530E Mossman Port Douglas Mt Carbine Mt Molloy 20m Mareeba Wolfram Camp Investor Presentation October 2020 Coral Sea AUSTRALIA Cairns The Mt Carbine deposit is situated in proximity to two other significant scale tungsten deposits; Geological potential to form a tungsten cluster in Far-North Queensland: Watershed [2014 DFS by Vital Metals (2012 JORC): Ore Reserves of 21Mt @ 0.15% WO3, Mineral Resources of 49Mt @ 0.14% WO3, Exploration Potential of 49-80Mt @ 0.1-0.19% WO3] Wolfram Camp [2015 Technical Report by Almonty Industries (NI 43-101): Ore Reserves of 375kt @ 0.22% WO3, Mineral Resources of 2.3Mt @ 0.29% WO3] Exploration 155.8 Speciality Metals International Limited#10Mine Waste Transformation Process Oversize Stockpile Primary Crush Historic Stockpile & Screen 9 Investor Presentation October 2020 XRT Sensor Based Sorting: Increasing productivity Lowering resource consumption Maximizing value derived from deposit -40mm +10mm Aggregates FEEDING X-RAY source of unsorted material -10mm to Stockpile for Aggregate/Processing, Assay Dependent X-RAY camere x Stockpiling of Barren Aggregates for Sale SEPARATION chamber REJECT ACCEPT Link: www.youtube.com/channel/UCFDE4GhNNpRb9cfl0saGH4A +10mm Upgraded Tungsten Ore Taken to Beneficiary Plant Speciality Metals International Limited#11Mt Carbine Project Timeline Q3 2020 Q4 Q1 Q2 ☑ Amendment Process for 300,000tpa میدا >> 2021 + 2022 Q3 Q4 Q1 Q2 Q3 Commence Phase 1 - Pilot Plant Test Program XRT Pilot Plant Conversion to full time operation @300,000tpa & quarry project pipeline development while the Amendment is completed on the EA* to increase to a total of 1,000,000tpa Re-assess core & interpret geo info Complete resource evaluation, infrastructure development, sorting plant expansion, and mine planning in preparation for receipt of amended EA Complete component studies for 1 Mtpa Amendment Submit Application for 1Mtpa Amendment Continued operation of Mt Carbine Retreatment Plant and ongoing development of the quarry project pipeline and marketing development in line with infrastructure targets and specialized products 10 Investor Presentation October 2020 * EA = Environmental Authority All projects now running at increased capacities under revised EA ↑ -> Speciality Metals International Limited#12Our Gold Exploration Assets (100% owned) Extensive exploration potential both at Crow Mountain (EL6648) and Panama Hat (EL8024) ✓ Shallow and underground gold workings dating back to the late 19th and early 20th century ✓ Significant data set available from historical exploration programs and more recent activities conducted by the Company EL8024 covers approx. 80% of the historical gold workings in the Broken Hill district (Company's previous sampling program identifying rock chip samples of bonanza grade up to 83 g/t Au) ✓ Drill ready targets identified on renewed tenement (EL8024 granted a further 5-year term to November 2024); EL6648 renewal submitted EL 6648 Magnesite Hill target-2 RC drill holes in 1984 and 3 Diamond holes in 2010 Crow King Mine-5 RC drill holes in 1984 EL 6648 Dodger Mine-3 RC drill holes in 1984 Princess Mine-2 RC drill holes in 1984 Crow Mountain DEVONIAN CLASTIC SEDIMENTS Black Mountain FL 4648 SEDIMENTS VOLCANICS & INTRUSIVES EL FAULT ZONE PEEL F EL 6648 $52.000 E 554,000 E 599.00 E 540 000 re T Willyong Tank A Panama Hat D Telephone Line ㅁ Thackaringa Fault Zone Williams EL8024_201712 rocks by Au_ppm| ▲ 5 to 9,999 (5) ▲ 2.5 to 5 (2) 11 Investor Presentation October 2020 1 km Scale: 0 1 km GDA94 Lat: -30.4679 Long: 150.7281 Map Sheet: 1:250K - Manilla(SH/56-9) EL6648 - Historic gold occurrences and drilling conducted in 1984 and 2010 -885.000 THE Gold Occurrence by type. pit(s) (58) A 1 10 2.5 (1) 1 (1) underground mine (24) unknown (3) 0 0.5 (6) SAARE EL8024 - Surface geochemistry (rock chips) and gold occurrences by type of working 6442000 mN Speciality Metals International Limited#13Why invest in us? 12 Investor Presentation October 2020 80 Mulligan Highway to Mt Carbine Speciality Metals International Limited#14Our Value Proposition 13 Critical Minerals Security US, UK, EU, Japan, South Korea and India classified tungsten as critical for its economies Australia has a role to play (#2 largest tungsten resource globally) Mt Carbine is Australia's sole primary tungsten mine in operation Low Cost Expansion Minimal investment since acquisition of mining leases, take over of existing installations XRT sorting operation will allow output expansion of 500% CARBY Lowest specific capex and opex amongst peers First Class Infrastructure Highway connecting to Cairns within two hours (Int'l airport, port facilities) Nearby towns and regions allows local recruitment and sourcing Previous operators developed mine site and underground decline (total replacement cost A$30m+) By-Product Revenue Tungsten operations generating waste rock streams for use as aggregates/ road base for own quarry business Quarry can operate based on tungsten waste rock from active operations or alternative historical stockpiles World Class Resource 47.3Mt @ 0.12-0.14% WO3 and 12Mt @ 0.07% WO3 (JORC 2012 resource) Underground operation within two years Upside potential through further drilling of West Dyke, Iron Duke and Petersen Lode, and collaboration across known tungsten belt in Far North Queensland Clear ESG Agenda Resource efficiency as basis of operational strategies ESG-related key performance indicators for leadership team Purpose-driven organization Investor Presentation October 2020 Speciality Metals International Limited#15Our Roadmap 2025 The Company aims to create shareholder value through the exploration and development of its current portfolio whilst continuing to evaluate corporate and exploration opportunities within the new economy & critical minerals sector. Prepare 2020 Focus 2022 Accelerate 2025 Define geo-metallurgical potential of the Mt Carbine resource and concessions Expand production at the Mt Carbine site for both tungsten and quarry Be the lowest-cost tungsten producer outside China Portfolio review (divest or abandon projects without strategic fit) Maximize return from the Mt Carbine concessions Have a mix of cash generating assets and promising exploration projects Portfolio diversification (3-4 production sites; 2-3 commodities) Be a top-3 tungsten producer (by output) outside China Maintain a robust capital structure with minimum debt 14 Investor Presentation October 2020 Speciality Metals International Limited#16Disclaimer Competent Person's Statement The information in this presentation relating to Mineral Resource summary are extracted from the following report on the Company's website, http://www.specialitymetalsintl.com.au/: Mineral Resource & JORC 2012 Compliance Update dated 13 January 2014. The underground resource is under review as announced by the Company on 16 October 2020: "High-grade Structural Zones Extend for 1.2km". The Company confirms that it is not aware of any new information that materially affects the information included in the original market announcements and that all material assumptions and technical parameters underpinning the estimates in the relevant market announcements continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person's findings are presented have not been materially modified from the original market announcements. General Disclaimer The material contained in this document is a presentation of general information about the Company's activities current as at the date of this presentation (October 2020). It is provided in summary and does not purport to be complete. You should not rely upon it as advice for investment purposes, as it does not take into account your investment objectives, financial position or needs. These factors should be considered, with or without professional advice, when deciding if an investment is appropriate. This document may contain forward-looking statements with respect to the financial condition, results of operations, and business strategy of the Company. These forward-looking statements are based on estimates, projections and assumptions made by the Company about circumstances and events that have not yet taken place. Although the Company believes the forward- looking statements to be reasonable, they are not certain. Forward-looking statements involve known and unknown risks, uncertainties and other factors that are in some cases beyond the Company's control, and which may cause actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements (and from past results). The Company makes no representation or warranty as to the accuracy of any forward-looking statements in this document and undue reliance should not be placed upon such statements. Forward-looking statements may be identified by words such as "aim", "anticipate", "assume", "continue", "could", "estimate", "expect", "intend", "may", "plan", "predict", "should", "will", or "would" or the negative of such terms or other similar expressions that are predictions of or otherwise indicate future events or trends. The forward-looking statements included in this document speak only as of the date of this document. The Company does not intend to update the forward-looking statements in this document in the future. 15 Investor Presentation October 2020 Speciality Metals International Limited