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121 Tech Investment ConferenceMay 2016

Protean Wave Energy Limited ASX:POW

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Abundant

Wave Energy – The Next Renewables Opportunity

Potential to supply a significant portion of global electricity & water needs

Much denser energy source than solar or wind

Available night and day –swells forecastable 3 days ahead

Accessible Clean Low Impact

Highest Energy Density Predictable & Reliable

Energy source close to 60% of global population

Zero emission Low environmental impact

✓ ✓ ✓

✓ ✓ ✓

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Wave energy is an opportunity if the barriers to its adoption are removed.

Why Protean?

JRC** estimates that 45 WEC’s are in advanced development globally but none have been properly commercialised to date due to the inherent challenges faced.

* Major design features and benefits of the design to be tested through the deployment of a demonstration wave farm and a commercial pilot project **JRC Ocean Energy Status Report, 2014

Protean is Targeted To Reduce Barriers to Adoption of Wave Energy*

Industry Challenge

Protean Wave Energy Converter Design Solution

Efficient conversion of

waves into energy

6 degrees of movement IP

Difficult installation and permitting

Designed for simple installation, small

footprint, no subsea drilling, easy retrieval

or relocation*

Poor survivability and high costs

Durable ocean buoy designed for

survivability and low cost mass production

and deployment*

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The Renewable Energy Market is Substantial and expected grow significantly

Wave has an opportunity to participate in this market if the

barriers to its adoption are removed

The Protean™ Wave Energy Converter

What is it and how does it work?

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Patented proprietary technology designed to convert waves into energy using all six degrees of wave movement

What is the Protean™ WEC

Utilises all 6 degrees of Wave Movement1. Up-down (heave) 2. Back-and-forth (surge) 3. Side-to side (sway)4. Yaw5. Pitch6. Roll

compact architecture targets production of power and water from a small device

A stylised representation of the Protean WEC (does not accurately represent the actual equipment)

The demonstration device that was recently deployed in the ocean at Port of Bunbury, Western Australia

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Designed to convert wave movement into shaft power & compressed air

The Protean WEC Design Concept

The buoy floats on the surface and all 6 degrees of motion created from waves cause the counterweights to move and the sheave wheels (pulleys) to rotate

The rotation from the pulleys creates bidirectional shaft power, which is converted into compressed air in the buoy

Note: The above images are a stylised representation of the Protean WEC and do not accurately represent the actual equipment. The demonstration wave farm will test the generation of compressed air.

Individual WEC buoys are connected together to form arrays. Multiple arrays are joined together to create a wave farm

Counterweights

Pulleys

Ballast

Buoy

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Designed to transfer and store compressed air for electricity generation

Transfer Storage & Generation System (TSG)

A prototype proof-of-concept system for transfer and storage of compressed airand generation of electricity from that compressed air (TSG) has been tested. TheTSG will be developed to commercial pilot scale using “off the shelf components”.

+Air Motor Generator

UmbilicalThe compressed air is transported to shore and stored via a poly pipe (marine umbilical)

Power Take Off (PTO)Air pressure drives an air motor onshore, which in turn powers a conventional electrical generator

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Implementation Concept

Note: The planned pre-commercial demonstration wave farm is targeting testing to verify core design features and benefits. This demonstration wave farm will produce compressed air. The implementation concept shown above will be tested during the planned demonstration wave farm deployment and the subsequent commercial pilot.

Manufacture components1

Add arrays to create “Wave Farm”7

Assemble array in harbour or on a boat

4

Pack in sea containers2

Connection to shore8

Tow (or transport on a boat) out to deployment site

5

Transport – road, rail or sea3

Maintain - “hot swap” & transport back to shore for refurbishment

9

Deploy devices in ocean6

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The Renewable Energy Market is Substantial and expected grow significantly

Wave has an opportunity to participate in this market if the

barriers to its adoption are removed

Strategy & Progress

Focused commercialisation strategy − initially targeting islands and ports

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Growth Strategy

Complete feasibility study based on demonstration wave farm.Commission commercial pilot scale Protean™ Wave Farm.

Expand operations around Australia and globally by targeting regional and remote islands, ports and coastal communities and industry.

Maximise penetration of the Protean™ WEC technology in multiple market segments and geographies with strategic alliance partners.

Scale & Commercialise Expand Partner

* California Polytechnic University At San Luis Obispo

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The Opportunity• Over 60 small island nations

• The majority of their power needs are currently supplied by diesel generators

• Annual expenditure on electricity for these ~60 small island nations could be as high as A$9 billion based on A30cents per kWh tariff**

• Protean WEC wave farms located off the coast could provide power to coastal communities

• Providing clean, reliable and cost effective energy to offset the costly and environmentally damaging burning of diesel

Diesel Displacement for Island Nations

Sources: * World Resource Institute CAIT - http://cait.wri.org/ ** www.oceansciencetrust.org/wp-content/uploads/2015/04/oil-and-gas-decommissioning.pdf

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The Opportunity

• Ports seeking ocean surge mitigation, breakwater protection, power and water

• 27* oil rigs off the coast of California with most grid connected back to the coast - potential for repurposing these rigs for ocean based renewable energy production

Ports and Industrials

Source: * www.nrel.gov

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Progress Towards Entering Markets (1/2)

Ports• Commenced deployment

of demonstration wave farm off the coast of Western Australia at Bunbury Port.

• Demonstration wave farm has been designed to produce compressed air.

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Progress Towards Entering Markets (2/2)

Island Nations - Proposed Commercial Pilot Wave Farm Maldives (Hanimaadhoo Island)• Island population of ~2,500• Exclusive option to acquire 99%

of Clean Energy Maldives (CEM)• Management of CEM has

approval and local support to facilitate a commercial WEC facility

• Expressions of interest from 100 local power users including eco resort and climate observatory

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Partnership - California

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• Partnered with Cal Poly on the Cal Wave Project which received $1.5 million in funding from the Department of Energy (DOE).

• MOU for Cal Poly Pier Deployment

• Bill Toman – Protean US President and Project manager of CalWave, brings strong US connections and industry expertise.

• San Marino Venture Group engaged to support commercialisation in the US.

Strong ties with California and leading wave energy project

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Milestones and Pathway to CommercialisationAfter Acquisition Completion

$2.5m Capital Raise & Readmission to ASXPrior to Option Exercise Prior to Completion of Acquisition and readmission to ASX (1 March 2016)

Initial functional ocean testing of single 1m WEC and prototype of transfer, storage & generation system (TSG)

From 2004 – October 2014

Bill Toman & San Marino Venture Group engaged in the U.S

Completion of fabrication of updated test buoy

Initial R&D

Desktop scale successfully tested

First IP Registration 2007

1.5m scale prototype designed and built

Entered into Option Agreement with CEM for commercial pilot wave farm in Maldives

Commenced build of demonstration wave farm

Exercised option to acquire ProteanTM

technology

Strategic partnership with Cal Poly and US DOE funded Cal Wave Project

Complete construction of demonstration wave farm

Global Engineering Firm engaged to review design, oversee deployment and verify data collection

Deploy demonstration wave farm at Bunbury Port

Feasibility study for commercial pilot

Potential exercise of Option Agreement for commercial pilot wave farm in Maldives

Further development of TSG (umbilical & PTO)

1.5m scale prototype tested

Plan and implement pilot project

Workshop testing completed

Established new team with leading industry expertise

California deployment at Cal Poly research pier

Seek customer and partner agreements

From November 2014 – March 2016 From March 2016

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CompleteComplete

CommencedCommenced

In ProgressIn Progress

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Investment Proposition: Protean Wave Energy Converter

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Renewable energy market is substantial and growing fast

Expected to be worth $50 billion by 2050 (Carbon Trust).

Protean™ renewable energy technology with unique IP

Protean Wave Energy Converter (WEC) technology in development for over 10 years.

Achieved a substantial number of milestones

Demonstration wave farm deployment started May 2016

Focused commercialisation strategy

Initially targeting diesel displacement for remote islands, coastal communities, portsand coastal industry.

Strong leadership team in place

Experience in wave energy, energy industry, ports, electric and water utilities, international business and corporate.

1.1. 2.2. 3.3. 4.4. 5.5.

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The Renewable Energy Market is Substantial and expected grow significantly

Wave has an opportunity to participate in this market if the

barriers to its adoption are removed

Corporate Information

Accelerating commercialisation

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Corporate Information

Corporate Structure

Shares on issue 1,069,633,363

Latest share price $0.017

Market capitalisation ~$18 million

Cash (31/3/16) ~$2 million

Top Shareholders

Protean Energy Ltd 11.2%

Directors and management ~8.0%*

Slade Technologies 7.78%

*Incl. JLC Corporation Pty Ltd Top 20 holds 41% of issued shares

4.62%

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Capital Structure

Top 20 Management Other

On 29 Feb 2016 the Company successfully raised $2.5 million under a re-compliance raise and was readmitted to trading on the ASX following the acquisition by Stonehenge Metals Limited.

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Board and ManagementFormer Chairman of Horizon Power, WA Watercorp and Dampier Port Authority Boards. Currently Chairman of Centric Digital International Ltd and Professor Adj. of Sustainability at Curtin University, WA. 24 years+ resources experience. Managing Director at Rio Tinto’s Argyle Diamonds. Led turnaround to create a highly profitable business.

Mr Brendan Hammond (Cit.WA) Non-Exec Chairman

An engineer and scientist, and inventor of the Protean™ wave energy converter technology. Recipient of many awards and scholarships and recognised for his expertise in ocean energy. Panellist on the highly popular Ocean Energy Panel at the inaugural 2009 Asia Pacific Clean Energy Summit in Hawaii.

Sean Moore (BEng Hons, BSc)Chief Technology Officer (Inventor of Protean WEC)

Developed over 2,000 MW of generating capacity in the USA & overseas. Led U.S. Department of Energy (DOE) funded study. Led development of the U.S.’s first open ocean, grid-connected wave energy testing & demonstration facility (Humboldt WaveConnect, a 5 MW project). Nuclear Power Engineer.

Mr William (Bill) Toman (M.S. Nuclear Engineering, M.S Industrial Administration) President of US Subsidiary

Operational, management and corporate experience within listed companies. Experience with early stage technology and minerals exploration companies. 13+ years of international management experience with international “blue chip” companies. Sloan Fellow at London Business School.

Mr Bruce Lane (BCom, M.Sc. GAICD) Managing Director

20+ years’ experience across the Electricity and Resource sectors in Australia, Canada and the Solomon Islands. Led introduction of a location based renewable energy buyback tariff for Regional Western Australia together with the introduction of generation management requirements for solar – a first for Australia.

Mr Scott Davis (MSc Renewable Energy, BAppSc Energy Studies, BEng Mining)GM Business Development

Extensive background in the accounting and financial services industries. Director of a number of ASX listed companies. He has a breadth of corporate experience with a deep understanding of capital markets and international taxation.

Mr Bevan Tarratt (BA.Bus, SDIA)Non-Executive Director

Extensive private and public sector experience in finance, consulting, trade and international business in both Australia and Korea. Trade Commissioner to the Australian Trade Commission within the Australian Embassy in Seoul, Korea and was the Regional Director/Representative for the Western Australian Trade and Investment Office in Seoul, Korea.

Mr Young Yu (B.Bus MBA CPA)Non-Executive Director

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Certain statements contained in this presentation may constitute forward looking statements. Such forward-looking statements involve a number of known and unknown risks, uncertainties and other factors which may cause the actual results, performance of achievements of Protean Wave Energy Limited (the Company) to be materially different from actual future results and achievements expressed or implied by such forward-looking statements. Investors are cautioned not to place undue reliance on these forward-looking statements. The information contained herein has been prepared solely for informational purposes and is not an offer to buy or sell or a solicitation of any offer to buy or sell any security or to participate in any trading strategy or to enter into any transaction.

Renewable Energy Technology Development: Any valuations, forecasts, estimates, opinions & projections contained herein involve elements of subjective judgment and analysis. The information contained herein has not been independently verified, nor do we make any representation or warranty, either express or implied, as to the accuracy, completeness or reliability of the information contained in this presentation. This presentation should not be regarded by the Recipient as a substitute for the exercise of its own judgment and the Recipient is expected to rely on its own due diligence if it wishes to proceed further. The information contained in this presentation is intended for information purposes only and is not intended to be a comprehensive list of the matters that need to be considered by the Recipient nor is it intended to replace or supplement legal or investment advice given in relation to the subject matter.

Disclaimer

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Contacts

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Protean

Bruce Lane – Managing DirectorTelephone: + 61 8 9481 2276

Bill Toman – President (US)Telephone: + 11+ 1 (707) 731-9261

Protean Office AddressLevel 389 St Georges TerracePerth, WA, 6000Telephone: +61 8 9481 2277 Fax: +61 8 9481 2355

Media

Andrew Ramadge– Media & Capital PartnersTelephone: + 61 (0) 475 797 471Email: andrew.ramadge@mcpartners.com.au

Protean Postal address: PO Box 7631Cloisters SquarePerth 6850 admin@proteanwaveenergy.com.au www.proteanwaveenergy.com F

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