Quantum Graphite : Reinstatement Disclosure

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The Company has completed a feasibility study (Feasibility Study) for the Uley 2 Project and published a JORC 2012 compliant

Mining Study and Reserves and Resources Estimate (JORC 2012 Mining Study) in December 2019. Further information is available

at the Company's website, quantumgraphite.com.

ULEY 2 RESERVE ESTIMATES & MINING STUDY

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Classification

Tonnage (t)

Average Grade (%TGC)

Contained Tonnes (t)

Pit Shell 36 reaches a depth of 132m and

811,000

11.7

94,500

Proved

Probable

3,191,000

11.9

381,325

The JORC 2012 Mining Study's detailed

Pit Optimisation results for Uley 2 include

Pit Shell 36 which provides the best case,

undiscounted operating cashflow of

A$207M. This optimised shell comprises a

single large pit and is illustrated in Figure 2.

contains approximately 4.0Mt of mill feed at

11.9% TGC (Total

Graphitic Carbon).

Mineralisation is open at depth and

continues in a south westerly direction.

Assays reported on 30 November 2018 in

Foraccordance with JORC 2012 included total

only

Overview

The Company's mineral tenements are

solely owned by the Company (through

its wholly owned subsidiary, Quantum

Graphite Operations Pty Ltd). Tenement

locations are set out in Figure 1 below

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and comprise:

(a)

Mining Leases 5561 and 5562 totalling

66 ha (inner small rectangle bordered

in blue in Figure 1) with an additional

412.5 ha in Retention Leases 66 and 67

(larger rectangle bordered in blue

in Figure 1);

(b) A large scale, Exploration Licence 6224

of approximately 75km2 (area bordered

in red in Figure 1) that includes a

number of primary and secondary

electromagnetic targets (indicated

in Figure 1 as the areas shaded pink

and bright yellow). An application for

renewal of this this licence was lodged

in September 2021.

Figure 1

2.0 Mineral Resources Uley 2 and Uley 3

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2.1 Details of the Company's JORC 2021 mineral reserves and resources are summarised below

The Mineral Resource Estimate is calculated at a 3.5% TGC cut-off is as follows:

RESOURCE

CLASSIFICATION

TONNES (Kt)

TGC (%)

DENSITY (t/m3)

TGC (kt)

For

Uley 3

Inferred

900

6.6

2.1

59

Uley 3 Total

900

6.6

2.1

59

Uley 2

Measured

800

15.6

2.1

125

Indicated

4,200

10.4

2.1

435

Inferred

1,300

10.5

2.2

137

Uley 2 Total

6,300

11.1

2.1

697

Uley Project Total

7,200

10.5

2.1

757

•

Adding to Quantum's Ore Reserve Inventory with the likely extension of the Uley 2 Ore Reserve to the South and infill drilling

at Uley 3 aimed at upgrading the Mineral Resource classification to the Indicated level.

•

Conducting airborne geophysical TEM (transient electro-magnetic) surveys across currently defined anomalies.

• Salt Lake, Kacey and Homestead conductive anomaly wide-spaced explorative drilling.