QEM LimitedInitial Public Offering Roadshow

Disclaimer

Key Figures

Tonnes @ 0.34% V2O5

1.7bV2O5 In High Grade Intercepts

0.74%Benefication Upgrade

2.5x

Over Up to Up to

Project Overview

Julia Creek Transport Stage 1 Complete

Project Overview

Uses OfVanadium

Applications

Of Vanadium

STEEL MANUFACTURING

ENERGY STORAGE

AUTOMOTIVE

AEROSPACE

Vanadium Outlook

Source: Bloomberg

VanadiumComparables

How do we compare?

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

Comparable Projects

Inferred Resource (Mt) (LHS) V2O5% (RHS)

($965.3m) ($32.1m) ($103.8m) ($75.0m) ($351.9m) ($20.0m) ($105.4m)

Data current 12/07/2018, Collated by QEM Management

CapitalStructure

Market Cap

Alignment

LiquidWell Priced

Well-priced given size, quality

& location relative to peers.

Existing Shareholders 55M 55%~50M, 24 Month

Escrow

Conversion of Notes 10M 10% 24 Month Escrow

Conversion of Notes 10M 10%5M, Escrowed 12

Months

IPO Investors 25M 25% No Escrow

Board of Directors

John Foley Daniel Harris David Fitch Ben Cooper

KeyInvestmentConsiderations

World Class Resource

Global Vanadium Deficit

Attractive Relative Valuation

Attractive IPO

Who To Contact

David Fitch

Executive Director

david@qldem.com.au

0400 631 608

Vested Equities

Lead Manager

1300 980 849

corporate@vested.com.au

13

Appendix

Additional Information

Appendix AResource Details

Julia Creek Project The Julia Creek Project provides opportunity for a world class vanadium & oil shale mine

Key Facts

• Julia Creek Project is comprised of 3

exploration permits EPM25662,

EPM24681 and EPM26429 (See Source A).

• 100% Ownership.

• Advanced stage for a private company.

• Close to all infrastructure and services.

Method

• Given the resources are located very

close to the surface – QEM intends to

pursue development of a standard

open cut mining method.

Resource

• 2018 Upgrade of total JORC Inferred

resource by 35% to 1,700 million

tonnes;

• V2O5 @ 0.34% and oil content 64l/t.

Table 1. Tenement Overview

Tenement Commence Date Expiry Date Area Km2

Minimum

Expenditure

Commitment

EPM25662 23/01/15 23/01/20 134.54 $647,470

EPM25681 6/03/15 06/03/20 6.41 $254,500

EPM26429 16/03/17 16/03/22 35.24 $318,000

Julia Creek Mineral Resource OverviewThe Julia Creek Project contains an Inferred

Mineral Resource of 1,700 Mt @ 0.34% 𝑽𝟐𝑶𝟓

Total

Resource

ClassStrat Unit Mass (Mt)

Average

Thickness

(m)

Insitu

Density

(gm/cc)

V2O5

(wt%)

Cu

(ppm)

Mo

(ppm)Ni (ppm)

Zn

(ppm)

Inferred

CQL 811 3.39 2.12 0.38 242 247 226 1329

OSU 454 1.77 2.10 0.31 241 146 193 1221

OSL 445 1.81 2.13 0.29 223 127 170 1098

Total 1700 2.12 0.34 237 190 203 1241

Total

Resource

Class

Strat

UnitMass (Mt)

Average

Thickness

(m)

Total

Moisture

wt%

Oil Yield

(L/tonne)

Oil Yield

LT0M

MMBarrels

(insitu-PIIP)MMBarrels 3C

Contingent

CQL 811 3.39 8 62 63 298 268

OSU 454 1.77 10 72 74 191 172

OSL 445 1.81 10 63 65 165 149

Total 1700 9 64 67 654 589

Summary of Mineral Resources as at 31 May 2018

Note: The total resource tonnage reported is rounded to reflect the relative uncertainty in the estimate and component horizons may not sum

correctly.

Summary of Contingent Oil Shale Resources as at 31 May 2018

Notes:

The estimate uses a minimum cut-off oil yield of 40 L/tonne, rounded down to nearest million tonnes.

The total resource tonnage reported is rounded to reflect the relative uncertainty in the estimate and component horizons may not sum correctly.

There are no 1C or 2C Resources as the current points of observation (drill hole spacing) of the oil shale grade is insufficient to place reliable

confidence on both grade and thickness continuity required for 1C or 2C Resources.

Project Milestones QEM is well progressed, with Completed Stage 1 exploration and Scoping Study

Key Milestones

Year Description

2014 Initial techno-economic report completed

2015 Initial exploration complete with large JORC(2012) inferred resource target

identified.

Positive metallurgy showing viability of project using know processes for

V2O5 extraction

2016 Scoping Study for vanadium only completed

Initial financial modelling complete, showing strong potential for economic

viability

Positive test results using supercritical water for hydrocarbon production from

oil shale (ATSE Grant)

No Native Title Issues, the project was deemed self assessable for Native Title

2017 Project implementation Study & Process Design Report

Positive metallurgy & beneficiation testing

Acquisition of EPM 26429 – granted Feb 2017

Addition of Daniel Harris to team as Chief Advisor

MOU signed with Petroteq Energy Inc USA

2018 JORC (2012) Resource Upgrade to 1700Mt @ 0.34% V2O5

Daniel Harris joins Board of QEM as Non-Executive Director

Engagement with brokers for ASX Listing Q3 2018

2016 Scoping Study Highlights

✓ Large JORC resource of over 1.326 Mt

✓ Simple open pit design 16% site coverage

✓ All infrastructure within project area including; road, rail, water, gas,

telecommunications and fibre optic cable

✓ Strong Price growth forecast for all vanadium products

✓ Domestic oil supply shortage in Australia

✓ Government & Local support for developing Queensland industry

✓ Warrants next stage of exploration and development

Objectives for 2018-20192018: IPO slated for Q3 2018 to raise $5m.

2019: Stage 2 exploration and pre-feasability studies.

Stage 2 Explorations Pre-Feasibility Studies Capital markets

• Further 3000m of drilling:

• Upgrade resource from Inferred to

Indicated/Measured.

• Increase resource base with inclusion

of EPM26429.

• Landowner engagement &

compensation .

• Target $5M IPO 3Q18.• Advance metallurgical &

mineralogical test work.

• Advance research into processing

options & testing.

• Oil Shale testing at USA lab.

• On-site and off-site infrastructure

studies.

• Environmental monitoring & EIA

submission.

• Geotechnical and hydrological

assessments.

• Upgrade mine design & modelling.

• Preliminary Civil Engineering studies.

• Process engineering design.

Appendix BVanadium Overview

Vanadium Redox Batteries Strong worldwide focus on renewable energy storage is set to be a very strong driver of growth for vanadium.

Key Drivers Figure 6. Vanadium outperforms its nearest competitor lithium. Renewable energy storage is set to be strongest key growth driver.

Recent Growth Momentum

• Governments & businesses globally are heavily

investing in renewable energy & storage – sending

strong market signals.

• Massive upside case with continuing growth in steel

and focus upon renewable energy storage.

StrongProjections

• Global energy storage market is forecast to be US$50

billion by 2020 with vanadium redox batteries (VRBs)

expected to account for 34% or approximately

US$17 billion (Lux Research)

Competitive Advantage

• Higher levels of safety & stability.

• Proven, reliability, scalability & durability.

• Load levelling function, removing the need for

expensive gas peaker plants.

• Long term cost advantage over competitors

Vanadium Redox Batteries vs. Lithium Batteries

Number of Cycles

Low Self-discharge

Low Environmental Footprint

Highly Expandable

Generates Low Levels of Heat

Charges & Discharges Simultaneously

Can Release Energy Instantaneously

Suitable for Connection to Power Grid

Small Footprint

CAN BE COMPLETELY RECYCLED

Source: https://www.energyandcapital.com/articles/the-best-thing-since-lithium/1531

Vanadium – Aerospace IndustryAir transport is becoming more accessible to the global population.This is creating demand pressure for more aircraft and correspondingly, vanadium.

Figure 10. Increasing aircraft deliveries will increase demand for vanadium.

• Increased aircraft are required to service larger

addressable air-travel market.

• Both Boeing & Airbus both forecast annual global air

traffic growth between 2016 and 2035 of nearly 5%.

• This growth will bring about the need for construction

of 70,000 new aircraft (on order), valued at US$5.2

trillion.

Increase aircraft deliveries

Global Economics

Increasing vanadium in aircraft

• Latest aircraft models (Airbus A380 and A350XWB)

now require 20% more vanadium than that of older

aircraft models. 75-100+ tonnes required per aircraft.

• All Jet turbines are made of vanadium-titanium-

alluminium alloys.Source: Roskill 2017 Report

Information on this slide sourced from: “Airbus beats Boeing in order war” The Australian, Friday, July 15 2016

Vanadium – Automotive Industry The rise of vanadium in the automotive industry is driven throughi) changing preferences and ii) ‘light alloy’ benefits.

Changing preferences

• Changing consumer demands are driving the rise in electric cars

due to i) economic factors and ii) environmental concerns.

• Vanadium when combined with lithium creates a “supercharged

battery” – demand expected to increase with rise of electric cars.

‘Light Alloy’ benefits

• Due to vanadium’s characteristics of being a ‘light alloy’ – will

decrease cars weight and increase fuel efficiency.

• Projected by 2025 – 85% of all cars will incorporate vanadium

alloy.

Figure 8. Surging electric car demand will provide another application for vanadium.

Figure 9. Strong projections of 6.81% CAGR is seen as a steady growth driver in the automotive industry.

Source: Roskill 2016 Report

Source: Bloomberg

Market OverviewSupply squeeze: global vanadium consumption exceeded supply by ~9,700t in 2017

Price increased320% since Jan 2017DEMAND SUPPLY

The ~34% annual growth in the energy storage sector is expected to be a key vanadium demand driver

• Growth occurring in all sectors related to vanadium

consumption including: steel, energy storage,

chemicals, catalysts and recently ‘smart glass’ which

uses vanadium to control temperature and light

exposure

• Vanadium demand is primarily driven by the global

steel industry in the manufacturing of alloyed steel

and reinforcing steel or rebar

• The energy storage sector, where Vanadium Redox

Flow Batteries (“VRB’s”) are utilised, currently

accounts for 3% of vanadium consumption

Regulatory change in China is putting further pressure on vanadium supply worldwide

• Global production in 2017 was around 83,180t.

• Vanadium production is dominated by China (~44%)

followed by Russia (~10%) and South Africa (~10%)

• Large structural changes have occurred in the

vanadium industry over the past few years

• In China, key changes includes rebar to Grade 3,

closing of a large number of stone coal production due

to environmental concerns and restrictions on

importing slags

Market research firm Roskill (2016) predicts that by 2020 there will be a 45% increase in vanadium demand.

Information on this slide sourced from Vanitec Market Report; February 27th, 2018. Authored by Terry Perles: TTP Squared Inc. http://vanitec.org/

Market Supply-Demand trends Despite supply increases, a market

squeeze has arisen.

Supply increases

Supply has increased at ~10.3% CAGR

from 2012-2017Demand exceeded supply by ~9,700t

Failed to meet demand

Reference Roskill 2017

Strong Vanadium price growthVanadium was among the best performing commodities of 2016 & 2017.

During March quarter 2017, the V₂O₅ price increased to a range of USD$5.40/lb and USD$5.80/lb at 31 March.

By August 2017, the price increased to a range of USD $9.00/lb and USD$13.00/lb.

Todays price for 98% V₂O₅ is USD $18.60 in China & USD $18.45 Europe (Current 17 July 2018).

Best performing commodities of 2016Price of vanadium pentoxide 98% min China USD/lb – from October 13, 2006

Source material: Vanadium Price website, Palisade Global Research & Metal Bulletin reports throughout the year, compiled by QEM

Appendix CMarket Analysis

Market Analysis - ComparablesVanadium has outperformed other comparable resources, with momentum expected to continue.

Vanadium Supply & Demand Outperformed Rivals

• Vanadium price & demand has outperformed other

comparable resources including cobalt, lithium, nickel and

lithium.

• Projected market conditions will keep prices strong

Figure 11. Vanadium Production v Consumption.

• Increasing demand factors & lack of current supply

substantiate future projections and momentum in vanadium

is set to continue.

• Market deficit of ~ 9700t as of Jan 2018

Figure 12. Vanadium outshines other battery metals