Nemex Resources : Company Update

20 December 2016

Fast Facts Capital Structure Shares on issue 241.3M

ASX Code NXR

Non-Exec Director

Non-Exec Director

T: +61 8 9388 2277

www.nemexres.com.au

Nemex Resources Limited (ASX: NXR) (Nemex or Company) provides the following update with respect to the Company and its investment in Wavefront Biometric Technologies Pty Ltd (Wavefront).

As previously announced earlier this year, Wavefront completed work to upgrade system software to allow image data to be captured and entered into the Wavefront algorithm and the resulting output data to be read in a format that is compatible with many commercial biometric readers.

Following successful completion of this work, Wavefront has undertaken further technology development aimed at improving usability and the speed of acquisition of the front-end image capture capability

Wavefront has advised this development work focused on a combination of elements which include hardware, advanced physics, mathematics, statistics, software, advanced coding in several languages, algorithms, detailed knowledge of specific aspects of the eye and artificial intelligence.

Wavefront has advised the Company that this phase of work is expected to be completed in the near future and that it plans on undertaking further independent validation at the International Centre for Biometric Research at Purdue University in January 2017 and reporting on its results in February 2017.

Hui Zhang (Chairman) Nemex Resources Limited P: 08 9388 2277

PO BOX 281, Mount Hawthorn WA 6915 T: +61 8 9388 2277 F: +61 8 9380 6761

www.nemexres.com.au