OBJ : 21 DECEMBER 2020 / US PATENT GRANTED – EMULSION TECHNOLOGY

ASX ANNOUNCEMENT/RELEASE

21 December 2020

US PATENT GRANTED OVER WELLFULLY'S IN SITU SEPARATION OF MIXTURES

Wellfully Limited (ASX: WFL) (Wellfully or the Company) is pleased to announce receipt of their Patent Certificate from the US Patent Office for the invention titled Methods for In Situ Separation of Mixtures. This US Patent, number 10,835,840 is effective from 17 November 2020 and will remain in force until 17 May 2037.

This new technology is the first to enable separation of emulsion components at the point of delivery, solving a key limitation of emulsion products across a multitude of health, beauty, wellness and industrial coating applications.

Many of today's emulsion products, including those used in make‐up, sunscreen, skincare, wound‐care, and industrial surface coating applications, present significant performance trade‐offs stemming from the product format - the emulsion itself.

As an example of these limitations, lip gloss is known for drying the consumers' lips; likewise, sunscreens can feel heavy to wear and tend to clog the skin. Health‐products such as wound‐care treatments are often characterised by a constant compromise in delivering their antiseptic, therapeutic and protective benefits. Each of these performance compromises can be reduced substantially, or even eliminated, by in‐situ separation of the two phases of the emulsion.

Jeffery Edwards, the Company's Managing Director and Head of Innovation said: "With every innovation, we strengthen our position as a science‐based wellness company. This latest innovation enables us to separate the phases of an emulsion at point of application, resulting in controlled deposition of two distinct water‐ and oil‐base layers, one on top of the other. In one application sweep, we can lay down a water layer loaded with water‐soluble actives, push them into the skin using our well‐proven enhanced delivery magnetic micro‐arrays, and lay down a second oil‐based layer on top to provide cosmetic or protective benefits. It all happens at the same time, straight from the dispensing package."

The Company's CEO, Paul Peros added: "This technology is extremely execution‐friendly, relying on the use of materials already commonly present in consumer products, and not requiring any power source. It opens a wide spectrum of really attractive, user‐friendly and compact product opportunities ranging from integrated lip colour applicators and crème eye colour treatments, to general health and beauty products such as facials masks, advanced industrial coating solutions and beyond."

END

Directors	CEO	Registered Office	Contact
Mr Antonio Varano	Mr Paul Peros	284 Oxford Street	Tel: [phone]
Mr Steven Schapera		Leederville	www.wellfully.net
Mr Jeffrey Edwards	Company Secretary	Western Australia	www.obj.com.au
Mr Cameron Reynolds	Mr John Palermo	6007	ABN: 72 056 482 636

ASX ANNOUNCEMENT/RELEASE

21 December 2020

ABOUT WELLFULLY

Wellfully is a fully integrated, science‐based wellness company. In addition to its own‐brand, RÉDUIT, the Company also offers a portfolio of proprietary technologies and supports partners by providing IP‐protected market exclusivity, expertise in magnetic array design, feasibility and efficacy, and claims testing, engineering and production.

Wellfully's established operations via its wholly‐owned business units are:

• The Innovation & R&D unit provides technology to the other business units of the Company, as well as licensing and development services to international partners.
• The Design & Technology and Supply‐chain hub in Dongguan, China has the ability to rapidly develop and industrialize the Company's technologies and innovations in an agile, efficient, secure and cost‐ effective manner.
• The Digital Communications and Marketing & Sales units are focused on supporting Wellfully's own consumer brands.
• BodyGuard is the Company's therapeutic unit and develops advanced "direct to site of injury" patch products for the wellness and pain management sectors. This technology also has applications across supplement, healthcare, and musculoskeletal sectors.

ABOUT WELLFULLY'S TECHNOLOGIES

Wellfully has developed a number of physical enhancement technologies based on the interactions between ingredient molecules and weak atomic forces, positioning the Company as a world leader in the science of magnetic fields as they relate to drug or active‐ingredient delivery.

The first of Wellfully's magnetic technologies was the Magnetic Microarray. Complex 3‐D magnetic fields, produced by low‐cost microarray film, influence the movement and penetration through the skin of drugs, active ingredients and formulations at the molecular level. This was licensed and commercialized in 2014.

The second magnetic technology, the Programmable Array technology, employs powered electromagnetic fields that can be altered to suit individual consumer's skincare needs. This was licensed for skincare applications in 2020.

The third magnetic technology uses magnetic fields to alter the wettability of a surface, substantially enhancing contact between liquid and solids. Magneto‐Wetting underpins the Company's current developments in haircare, skincare and surface hygiene, in conjunction with Wellfully's recently developed Ultrasonic Misting technology. International patents have been filed.

FORWARD‐LOOKING STATEMENTS

This announcement contains certain "forward‐looking statements" concerning Wellfully. Where Wellfully expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis.

Forward‐looking statements provided in this announcement are based on assumptions and contingencies which are subject to change without notice. Such forward‐looking statements including statements

Directors	CEO	Registered Office	Contact
Mr Antonio Varano	Mr Paul Peros	284 Oxford Street	Tel: [phone]
Mr Steven Schapera		Leederville	www.wellfully.net
Mr Jeffrey Edwards	Company Secretary	Western Australia	www.obj.com.au
Mr Cameron Reynolds	Mr John Palermo	6007	ABN: 72 056 482 636

ASX ANNOUNCEMENT/RELEASE

21 December 2020

regarding intentions, planned events and potential results are provided as a general guide only and should not be relied upon as an indication or guarantee of future performance.

There can be no assurance that actual outcomes will not differ materially from these forward‐looking statements, and there are risks associated with Wellfully and the industry which may affect the accuracy of the forward‐looking statements. Wellfully does not undertake any obligation to release publicly any revisions to any forward‐looking statements to reflect events or circumstances after the date of this announcement or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.

This release has been issued with the authorisation of the Board.

‐ Ends ‐

For more information: Matthew Wright [e-mail]: [phone]

Directors	CEO	Registered Office	Contact
Mr Antonio Varano	Mr Paul Peros	284 Oxford Street	Tel: [phone]
Mr Steven Schapera		Leederville	www.wellfully.net
Mr Jeffrey Edwards	Company Secretary	Western Australia	www.obj.com.au
Mr Cameron Reynolds	Mr John Palermo	6007	ABN: 72 056 482 636