Algae Tec : Aqua Feed Division Update

23 April 2018

ASX Announcement

Algae.Tec Aqua Feed Division Update

•  AEB now approved to supply FeedMe™ Algae product range to Georgia Aquarium - one of the two largest aquariums in the world

•  Georgia Aquarium houses in excess of 100,000 animals and covers 600,000 square feet - significant opportunity to secure potential long-term supply agreement

•  First orders received from Seachem collaboration - online sales pipeline expected to grow considerably in coming months

Plant-based health and wellbeing company Algae.Tec Limited ("the Company" or "AEB") (ASX: AEB) is pleased to provide an operational update on a number of key developments within the Company's aqua feed division.

Following an extensive trial period, AEB is pleased to advise that the Company's FeedMeTM product range has been approved for use in the Georgia Aquarium. A major institution, the Georgia Aquarium is one of the largest aquariums globally, housing more than a hundred thousand animals representing several thousand species.

Over a six-month period, the Company has collaborated with the Georgia Aquarium to provide and refine algae-based products that are now utilised to support the nutritional and health needs of the marine animals and sea life, both in fresh and salt water environments.

This has provided AEB with the operational flexibility to boost the production of its aqua feed products to support its aggressive sales and marketing activities in North America.

Figures 1 & 2: Georgia Aquarium, Atlanta Georgia

In addition, the Company is pleased to announce that Seachem has officially launched the first four products under the collaboration previously announced on 19th February 2018. The online ordering platform which enables Seachem clients to directly purchase AEB's FeedMeTM product line is now fully operational and initial orders are exceeding expectations.

In addition, following the successful introduction and approval of FeedMeTM products to the Georgia Aquarium, Seachem has requested that the Company develop a further ten product lines for distribution to key global aquarist markets. These new lines will include "live" algae that will be capable of world-wide shipping.

AEB looks forward to working closely with Seachem to develop these exciting new product lines in the near-term.

Algae.Tec Limited's Chairman and Managing Director, Malcolm James commented, "We are very pleased to report these key developments within our aqua feed division over the recent months, as we view both the aqua culture and aquarist markets as significant growth opportunities for our business in the near-term.

"To have our range of FeedMeTM products endorsed and approved by such an internationally esteemed conservation, education and research institution such as the Georgia Aquarium is significant, very exciting and rewarding."

"With the Atlanta facility now ramping up production of a number of high value algae strains, AEB is strongly positioned to penetrate both the high nutraceutical and aqua feed markets respectively with revenues from both divisions expected to grow in the short-term."

-ENDS-

For further information please contact:

Sam Burns

Six Degrees Investor Relations +61 400 164 067

Follow us on Twitter @AlgaeTec_

Released through Sam Burns, Six Degrees Investor Relations, M: +61 400 164 067

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About Algae.Tec Limited (ASX. AEB)

Algae.Tec (ASX. AEB) is a plant-based health and wellbeing company that develops a broad range of plant-derived products for supply to three key markets:

•  Algae-based nutraceuticals

•  Animal feed and aquaculture markets

•  Medicinal cannabis