Australian Silica Quartz : Corporate Presentation - November 2020

Investor

Presentation

ASX:ASQ

Emerging Opportunities &

Multi Commodity Exposure

Nov 2020

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Important Notice

No invitation or recommendation to buy or sell

This presentation is not an invitation, offer or recommendation (express or implied) to subscribe for, or apply for the purchase of, or to take any other action in respect of securities of any entity described herein and is not a prospectus, product disclosure statement or disclosure document for the purposes of the Corporations Act 2001 (Cth) and has not been lodged with ASIC. None of Australian Silica Quartz Group Limited (ASQ or the Company) or its representatives are providing or offering investment advice or services by making this presentation.

Forward Looking Statements

This report may include forward looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as "may", "will", "expect", "intend", "plan", "estimate", "anticipate", "continue", or other similar words and may include, without limitation, statements regarding plans, strategies, and objectives of management. Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the company's actual results, performance and achievements to differ materially from anticipated results, performance or achievements. Forward looking statements are based on the Company and its management's good faith assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the company's business and operations in the future. The Company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the Company's business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the Company or management or beyond the Company's control. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Gingin forward looking statements are subject to finalisation of sales agreements, securing port capacity and Urban Resources Pty Ltd securing extension of tenure from the land holder.

Competent Person Statement

The information in this document that relates to exploration results and mineral resources is based on data collected under the supervision of Mr Nick Algie, in his capacity as Exploration Manager for Australian Silica Quartz Group Limited. Mr Algie is a registered member of the Australian Institute of Mining and Metallurgy (AusIMM) and has sufficient experience that is relevant to the type of deposit and style of mineralisation under consideration to qualify as a competent person under the 2012 edition of the "Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr Algie consents to the inclusion of the data in the form and context in which it appears.

This presentation contains general information only and is, or is based upon, information which has been released to ASX or is contained in the following ASX:ASQ announcements: Australian Silica Quartz Group Annual Report 2020 (18 Sept 2020), Preliminary Exploration Results - Albany White Hill Project (2 Nov 2020), Exploration Update (22 Sept 2020), Urban's Maralla Road Silica

Sand Maiden Resource (7 May 2019), Silica Sand and Hardrock Silica Quartz Project Updates (14 December 2017), Update on Geophysics Targets at ASQ/DevEx JV in Julimar Region, WA (8 Oct

2020), Multiple "late-time" conductors, up to 1km long, identified at the Sovereign Nickel-Copper-PGE Project, WA (8 Oct 2020), and Final Completion of Yankuang Transaction Sale of Fortuna Deposit (20 Apr 2016). The above announcements are available to view on the Company's website at www.asqg.com.au. The Company confirms that it is not aware of any new information or data that materially affects the information included in the relevant original market announcements. The Company confirms that the form and context in which the Competent Person and Qualified Person's findings are presented have not been materially modified from the relevant original market announcements.

Disclaimer

Neither ASQ nor its representatives make any representation, warranty or guarantee of any kind, express or implied, as to the accuracy, completeness or reasonableness of the information contained herein or any other written or oral communication transmitted or made available to any person receiving this presentation. To the maximum extent permitted by law, ASQ and representatives expressly disclaim any and all liability based on or arising from, in whole or in part, such information, or any errors or omissions.

No stock exchange, regulation services provider, securities commission or other regulatory authority has approved or disapproved the information contained in this news release.

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Multi

Commodity

Exposure

COMPANY HIGHLIGHTS

Ni Cu PGE's PROJECTS	PROJECT LOCATIONS
•	Julimar Complex (DevEx JV)
•	South Stirling Project

SILICA PROJECTS

• Albany Silica Sand Project
• Gingin Silica Sand Project
• Esperance Silica Sand Project
• Hard Rock Quartz & R&D

BAUXITE

• Darling Range Resources (94.7Mt)
• Royalty

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CORPORATE OVERVIEW

Board and Management		ASQ Share Price and Volume - Last 12 months
Robert Nash - B.Juris, LLB	Chairman
Sam Middlemas - B.Comm, PGrad DipBus, CA	CEO & Company Secretary
Luke Atkins - LLB	Non Exec. Director
Neil Lithgow - MSc, F.Fin, M.AusIMM	Non Exec. Director
Pengfei Zhao - B.Sc, Grad Cert Min Econ	Non Exec. Director
Nick Algie - B.Sc, M.AusIMM	Technical and Exploration Manager

Corporate Details (as at 29/10/20)

Shares on Issue	268 Million
Market Capitalisation	$24 Million
Cash	$6.6 Million
Property Assets	$1.9 Million
Performance Rights	6 Million
12 Month Share Price H/L	$0.03/$0.11

Top 5 Shareholders	%
One Managed Investment Funds Ltd	17%
Talrain Pty Ltd (1)	9%
Big Fish Nominees Pty Ltd (1)	8%
Jetosea Pty Ltd	8%
HD Mining & Investments Pty Ltd (1)	7%

1. Directors and Management including those above holdings represent 28.15% of total issued capital

UNLOCKING

THE VALUE

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PRIORITY PROJECTS MOVING FORWARD

JULIMAR COMPLEX ASQ/DEVEX 50:50 JV - PGE'S, NICKEL & COPPER

•	DevEx to complete ground Moving Loop EM to further delineate airborne conductors	Q4 2020
•	RC / Diamond Drilling	Coming months

• Free carry for first $3m expenditure while DevEx earns 50% interest in JV
• If results are positive ASQ plan to contribute to retain 50% interest

SOUTH STIRLING NICKEL/COPPER PROJECT			~$500k budget estimate
• Data compilation and literature review		In progress
• Secure land access required for initial exploration and progress tenements to grant	Q4	2020 to Q1 2021
• Develop project wide exploration strategy		Q4	2020 to Q1 2021
• Phase 1 exploration - expected to include aircore drill program and airborne geophysics	Q1	& Q2 2021
ALBANY WHITE HILL SILICA SAND PROJECT
• Vacuum drilling program target 9-27Mt	Q4 2020		~$70k budget
• Metallurgical test work and resource estimation	Q4 2020 to Q1 2021	~$100k budget
• Feasibility Study	Q2 to Q4 2021		~$450k budget
• Mining lease and environmental approvals applications	Q2 to Q4 2021		~$200 budget

A WELL FUNDED

AND RESOURCED

TEAM WITH

MOMENTUM TO

PROCEED

GINGIN SILICA SAND PROJECT

• Export of bulk washed sand product ASQ-GWW1 (subject to finalisation of sales agreements, securing port capacity and Urban

securing extension of tenure from the land holder)

Q1 & Q2 2021

• Potential to upgrade washing plant to produce high grade silica sand product ASQ-GWSC1 on receival of port access and sales

contracts

Q1 & Q2 2021

~$1.2m Capital Cost Estimate

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JULIMAR COMPLEX ASQ/DEVEX JV - PGE'S, Ni & Cu

ASQ DevEx 50/50 JV

ASQ has entered into a joint venture with DevEx

Resources, ASX:DEV, on ASQ's 100% owned E70/3405 located along strike from Chalice Gold Mines nickel copper platinum group elements Julimar discovery in WA.

• The first $3M expenditure is to be fully funded by DevEx to earn 50%. ASQ has the option to jointly fund future expenditure to maintain 50% share or opt to allow DevEx to fund the next $3M to earn a further 20% interest in non bauxite minerals.
• The tenement is granted and land access has been established, this has enabled immediate access and progress of this project.

ASQ/DevEx

	50:50 JV area
SOVEREIGN PROJECT	Tenement
E70/3405

Jansz

Baudin

Hartog

Chalice AEM anomaly

ASQ's E70/3405 overlying airborne magnetics (RTP) in relation to Chalice Gold Limited's high-grade palladium- nickel discovery and recently announced electromagnetic anomalies (ASX: CHN).

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JULIMAR COMPLEX ASQ/DEVEX JV - PGE'S, Ni & Cu

• New airborne electromagnetics identify three extensive "clusters" of EM conductors - Mackenzie, Kingsley and Hudson primarily within ASQ DevEx JV tenement E70/3405
• The AEM survey was flown on 200m spaced east- west flight lines and focused on the large-scale Sovereign Magnetic Complex
• Next steps will be to use the processed AEM data (pending) to plan ground-based moving loop electromagnetic (MLEM) surveys over the Kingsley, Mackenzie and Hudson Prospect areas, prior to proposed drill programme

Julimar Complex - Sovereign Project, Airborne EM with late- time (Channel 18) conductors (yellow outlines)

Julimar Complex - Sovereign Project, showing recent Ground gravity survey on E70/3405 with airborne magnetics underlying the gravity image

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SOUTH STIRLING NICKEL/COPPER PROJECT

South Stirling Albany Fraser Ni/Cu Project

• Consists of four exploration license applications over the Biranup Zone of the Albany-Fraser Orogen total area applied for is 1,603 km2.
• Preliminary review of existing exploration data includes EOH aircore drilling assay of
  1.5m at 0.79% Ni, 934 ppm Cu, 832 ppm Co from 28.5m.
• ASQ considers the application area has potential for nickel-copper magmatic sulphide mineralisation associated with mafic-ultramafic intrusions.
• Historic exploration data is currently being reviewed to focus exploration efforts once tenements have been granted.
• The project is 100% owned and is well serviced by transport infrastructure, on private freehold land, 50 kms north of Albany.

1.5m at 0.79% Ni,

934 ppm Cu, 832 ppm Co from 28.5m

ASQ tenement applications overlying airborne magnetics with the outline of the Biranup Zone of the Albany- Fraser Mobile Belt. ASQ Albany Silica Sand Project tenements shown for context.

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SOUTH STIRLING NICKEL COPPER

• Area includes an anomalous drill hole from a 2015 Iluka Exploration Pty Ltd ("Iluka") mineral sands exploration program. Iluka drilled 39 broad spaced air-core holes within the application area looking for mineral sand deposits in the overlying tertiary sediments. Iluka routinely assayed the end of hole ("EOH") samples wherever the hole ended in crystalline basement rocks. Drill hole W00324 was logged as ending in dark orange brown saprolite at a depth of 28.5 - 30 m.
• W00324 is located 240 m from a 54 m deep Anglo American Exploration Australia Pty Ltd ("Anglo") air- core drill hole that appears to have been part of a two hole program designed to test an airborne magnetics or surface geochemistry target that had been followed up with ground-based magnetics.
• The Anglo drill hole failed to return significant assay results. The Company believes Anglo may have missed the target with their wide spaced drilling.

Iluka and Anglo broad spaced drilling overlaying airborne magnetics within ASQ9exploration Licence applications E70/5528 (central), E70/5545 (east) & E70/5546 (west)

ALBANY WHITE HILL SILICA

The Albany silica tenements indicate the potential to be a core component of company's long-

term silica sand strategy

• Exploration and Mining Land Access Agreement recently signed on key tenement
• Drilling program planned for late 2020 to define a JORC resource - 9-27Mt Exploration Target
• Port access discussions underway
• Nearby Austsand deposits owned by Toyota & Toshu exporting 200kt/yr through Albany Port
• Substantial interest in the high-grade,fine-grained, Albany silica by potential offtake partners

ALBANY SILICA SAND PROJECT PLAN

Land Access	Surface	Program	Air core drilling	Resource identification
✓ Rights ✓ of Works✓ program	and verification
Project Evaluation and Feasibility		Port Access	Infrastructure	Offtake

Albany Port

Targeting long term sustainable silica export

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GINGIN SILICA

The Gingin region hosts the economically important high grade Bassendean sand formation

• Adjacent to Hanson Australia existing long-term bulk silica sand export operation

Gingin ASQ / Urban Resources Production Agreement

ASQ has entered into an agreement with existing local sand producer Urban Resources to fast track the company's entry into silica sand production in the Gingin area. Highlights include

• 11 Mt JORC Resource
• High grade, low iron
• Numerous samples provided to potential customers including a number of trial container shipments that have been completed to China and S.Korea, marketing follow- up ongoing
• Preliminary engineering design for plant upgrade completed

Gingin ASQ 100% owned project

ASQ has a 100% owned application tenement in the Gingin region targeting high grade silica sand

11MT JORC Resource

Trial Container being loaded for shipment

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ESPERANCE SILICA

• Esperance Silica Sand Project consists of two granted exploration licences within 30- 60km of the Port of Esperance
• Roadside grab samples have returned encouraging results
• Tenements located in close proximity of port and large regional town of Esperance
• Excellent port availability and access options
• Longer term project with ongoing exploration efforts to determine exploration target potential

Esperance Port

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HARD ROCK QUARTZ

Hard Rock Quartz

• The Company has two application exploration licences in the South West of Western Australia and three granted exploration permits in Far North Queensland covering known quartz deposits with the potential to contain high purity silica.
• ASQ's QLD tenements adjacent to Solar Quartz Technologies (OTC:SQTX) 15 million tonne hardrock HPQ deposit.
• Best grade from QLD rock chip sampling after acid wash 99.993% SiO2.
• The Company has received interest from third parties looking to secure a hard rock product.

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E77/2684 (Application) - Lake Seabrook, WA Hard Rock Quartz

RESEARCH AND DEVELOPMENT - HIGH PURITY QUARTZ

R&D High Purity Quartz

• The Company is undertaking a research and development program investigating innovative processing techniques that could yield high purity product from high grade silica sand or hardrock quartz material.

• Testwork to date has yielded a >99.99% SiO2 quartz product.

• Work to develop and refine the process flow is underway to determine scalability and refine the economics of the process.

• The Company's existing resources are being evaluated as to their potential as a feed stock for the process.

R&D Testwork at Curtin University

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BAUXITE DARLING RANGE

Joint Venture

• ASQ has entered into a fully funded joint venture with HD Mining & Investments Pty Ltd (HD).
• 95Mt of bauxite resources have been identified within the JV area.
• HD is currently fully funding the project into order to earn a 40% interest in the bauxite rights of several tenements under the joint venture which are wholly owned by ASQ.
• Should HD and ASQ make a subsequent decision to mine, then HD will earn an additional 20% interest in bauxite rights on the tenements. ASQ maintains 100% interest in all other minerals.

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BAUXITE ROYALTY - 100MT@0.9%FOB

• Following the sale of the Bauxite Alumina Joint Venture Project to the Yankuang Group a royalty was negotiated on future bauxite sales from the project of 0.9% of FOB price payable to ASQ.
• The Yankuang Group Felicaitas-Fortuna Bauxite Project contains 270 Mt in the world class bauxite region of the Darling Range, Western Australia.
• ASQ is entitled to a royalty of 0.9% (approx. $0.50/t) of the FOB price on the first 100 million tonnes mined.

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WHATS NEXT….

JULIMAR COMPLEX

ASQ/DEVEX 50:50✓

Q4 2020

JV to complete Ground Moving

RC / Diamond

JV - PGE'S, NICKEL

& COPPER

Airborne EM

Loop EM to further delineate

conductors identified by

airborne EM

Drilling

	Q4 2020
ALBANY WHITE HILL	Vacuum
drilling
SILICA SAND
program
	target 9-27Mt

	Q1 & Q2 2021
GINGIN SILICA	working towards
export of bulk
SAND
washed sand
	product

Q4 2020 - Q1
2021	Q2 - Q4
Metallurgical	2021
test work and	Feasibility
resource	Study
estimation

Q1 - Q2 2021 Potential to upgrade washing plant to produce high grade silica sand product ASQ-GWSC1 on receival of port access and sales contracts

Q2 -Q4 2021 Mining lease and environmental approvals applications

SOUTH	Underway	Q4 2020 to Q1 2021
Secure land access
STIRLING	Data compilation
required for initial
NICKEL /	and literature
exploration and progress
COPPER	review
tenements to grant

Q4 2020 to Q1 2021 Develop project wide exploration strategy

Q1 & Q2 2021

Phase 1

exploration

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CONTACT US

Registered Office and Principal Place of Business

Suite 10 / 295 Rokeby Road

SUBIACO WA 6008

1. [phone]

1. [phone]

1. www.asqg.com.au

1. [e-mail]

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www.asqg.com.au