Document:

EX-4.2

 Exhibit 4.2 

REGISTRATION RIGHTS AGREEMENT 

REGISTRATION RIGHTS AGREEMENT (this “Agreement”), dated as of January 14, 2016, by and among ESSA Pharma Inc., a corporation incorporated under
the laws of British Columbia (the “Company”), and those investors that are parties to the Subscription Agreements (as defined below) (each individually, an “Investor” and together, the “Investors”). 

WHEREAS: 
 A. Pursuant to the subscription
agreements between the Company and each of the Investors, of even date herewith (the “Subscription Agreements”), the Company has agreed, upon the terms and subject to the conditions contained therein, to issue and sell to the Investors
common shares of the Company (“Common Shares”) and Warrants (as defined below) in the amounts described in the Subscription Agreements, where each of the Warrants is exercisable into Common Shares, each upon the terms and conditions and
subject to the limitations and conditions set forth in the Warrants, all subject to the terms and conditions of the Subscription Agreements; and 
 B. To
induce the Investors to execute and deliver the Subscription Agreements, the Company has agreed to provide certain registration rights under the Securities Act of 1933, as amended, and the rules and regulations thereunder, or any similar
successor statute (collectively, the “Securities Act”), and applicable state securities laws, 
 NOW, THEREFORE, in consideration of the
premises and the mutual covenants contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Company and the Investors hereby agree as follows: 

1. DEFINITIONS. 
 a. As used in this Agreement, the
following terms shall have the following meanings: 
 (i) “Additional Filing Deadline” means, with respect to any Registration Statements that may
be required pursuant to Section 2(a)(ii), (a) the first date or time that such Registrable Securities may then be included in a Registration Statement if such Registration Statement is required because (A) the SEC shall have notified the
Company in writing that certain Registrable Securities were not eligible for inclusion on a previously filed Registration Statement or (B) the existing Registration Statement is no longer available for resales of the Registrable Securities, or
(b) if such additional Registration Statement is required for a reason other than as described in (a) above, the twentieth (20th) day following the date on which the Company becomes
aware or is notified that such additional Registration Statement is required. 
 (ii) “Additional Registration Deadline” means, with respect to
any additional Registration Statement(s) that may be required to be filed pursuant to Section 2(a)(ii), the thirtieth (30th) day following (a) the first date or time that such
Registrable Securities may then be included in a Registration Statement if such Registration Statement is required because (A) the SEC shall have notified the Company in writing that certain Registrable Securities were not eligible for
inclusion on a previously filed Registration Statement or (B) the existing Registration Statement is no longer available for resales of the Registrable Securities, the first day on which such existing Registration Statement will no longer be
available therefor, or (b) if such additional Registration Statement is required for a reason other than as described in (a) above, the fortieth (40th) day following the date on which
the Company first becomes aware or is notified that such additional Registration Statement(s) is required. 
 (iii) “Buyer” means any Investor and
any transferee or assignee who agrees to become bound by the provisions of this Agreement in accordance with Section 10 hereof. 
 (iv) “Exchange
Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder, and any successor statute. 

(v) “Filing Deadline,” for each Registration Statement or prospectus supplement thereto required to be filed hereunder other than
Section 2(a)(ii), shall mean a date that is thirty (30) calendar days following the date the applicable Common Shares and Warrants are issued and, in the case of Section 2(a)(ii), shall mean the Additional Filing Deadline. 

  
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 (vi) “Person” means and includes any natural person, partnership, joint venture, corporation, trust,
limited liability company, limited company, joint stock company, unincorporated organization, government entity or any political subdivision or agency thereof, or any other entity. 

(vii) “Register,” “Registered,” and “Registration” refer to a registration effected by (i) preparing and filing a
Registration Statement or Statements in compliance with the Securities Act and pursuant to Rule 415 under the Securities Act or General Instruction II.L. to Form F-10 (or successor thereto) or, in either case,
any successor rule providing for offering securities on a continuous basis, (ii) the declaration or ordering (or otherwise granting) of effectiveness of such Registration Statement by the United States Securities and Exchange Commission (the
“SEC”) and (iii) the filing with the SEC of a final prospectus or prospectus supplement meeting the requirements of the Securities Act and describing the specific securities to be sold or otherwise disposed of thereunder and the
proposed method of distribution of such securities. 
 (viii) “Registrable Securities,” for a given Registration, means (a) any Common Shares
issued pursuant to the Subscription Agreements (“Subscription Shares”), (b) any Common Shares (the “Warrant Shares”) issued or issuable upon exercise of or otherwise pursuant to the Warrants (without giving effect to any
limitations on exercise set forth in the Warrants), (c) any shares of capital stock issued or issuable as a dividend on or in exchange for or otherwise with respect to any of the foregoing, (d) any additional Common Shares issuable in
connection with any anti-dilution provisions in the Warrants, (e) any other warrants or Common Shares issuable pursuant to the terms of the Subscription Agreements, the Warrants or this Registration Rights Agreement, and (f) any securities
issued or issuable upon any stock split, dividend or other distribution, recapitalization or similar event with respect to the foregoing. Securities will cease to be Registrable Securities when (A) they have been effectively Registered and
disposed of in accordance with such Registration; (B) they have been sold pursuant to Rule 144 or Rule 904 of Regulation S under the Securities Act; (C) all of the Registrable Securities (in the reasonable opinion of counsel to the Buyers)
may be immediately sold to the public without registration or restriction (including without limitation as to volume by each holder thereof) under the Securities Act; or (D) they have been otherwise transferred and new certificates for them not
bearing a restrictive legend have been issued by the Company and the Company shall not have any “stop transfer” instructions in effect. 
 (ix)
“Registration Deadline” shall mean, other than for purposes of the Registration Statements required under Section 2(a)(ii), the earlier of (i) the date that is sixty (60) days after the date that the applicable Registration
Statement is actually filed or (ii) the date that is sixty (60) days after the applicable Filing Deadline and, with respect to any Registration Statements required to be filed under Section 2(a)(ii), the Additional Registration
Deadline. 
 (x) “Registration Statement(s)” means a registration statement(s) of the Company under the Securities Act required to be filed
hereunder. 
 (xi) “Warrant(s)” means the warrants issued by the Company pursuant to the Subscription Agreements. 

  
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 2. REGISTRATION. 

a. MANDATORY REGISTRATION. (i) Following the date on which the Subscription Shares and Warrants are issued pursuant to the Subscription Agreements
(the “Issuance Date”), the Company shall prepare, and, on or prior to the applicable Filing Deadline (as defined above) file with the SEC pursuant to General Instruction II.L. to form F-10, a
prospectus supplement to the Company’s Registration Statement on Form F-10 (file no. 333-208563), which became effective under the Securities Act on
December 23, 2015 (the “Current Registration Statement”) (provided that such form is then available for registration by the Company of all of the Registrable Securities in accordance herewith) or such other form of Registration
Statement as the Company is then eligible to use to effect a registration of the Registrable Securities, in each case covering the resale of the Registrable Securities issued on the Issuance Date, which prospectus supplement or other Registration
Statement, to the extent allowable under the Securities Act and the rules and regulations promulgated thereunder (including Rule 416), shall state that such prospectus supplement or other Registration Statement also covers such indeterminate number
of additional Common Shares as may become issuable upon exercise of or otherwise pursuant to the Warrants to prevent dilution resulting from stock splits, stock dividends, stock issuances or similar transactions. The number of Common Shares
initially included in or covered by such prospectus supplement or other Registration Statement shall be no less than the aggregate number of Subscription Shares and Warrant Shares that are then issuable, including upon exercise of or otherwise
pursuant to the Subscription Shares and Warrants issued on the Issuance Date, without regard to any limitation on the Buyers’ ability to exercise the Warrants, respectively. Such prospectus supplement or other Registration Statement (and each
amendment or supplement thereto, and each request for acceleration of effectiveness thereof, as applicable) shall be provided to (and subject to the approval, which shall not be unreasonably withheld, of) the Buyers and their counsel prior to its
filing or other submission. Subject to any comments from the SEC or applicable Canadian securities commissions, such prospectus supplement or other Registration Statement shall include the plan of distribution attached hereto as Exhibit A;
provided, however, that no Investor shall be named as an “underwriter” in the Registration Statement without the Investor’s prior written consent. 

(ii) If for any reason the SEC does not permit all of the Registrable Securities to be included in the prospectus supplement or other Registration Statement
filed pursuant to Section 2(a)(i) above, or for any other reason any Registrable Securities are not then included in, and available for sale under, the prospectus supplement or other Registration Statement filed under this Agreement (including
if the Registration Statement is on Form F-10 and will no longer be available for resales of the Registrable Securities covered thereby, because the related Canadian home jurisdiction shelf prospectus may no
longer be used or for any other reason), then the Company shall prepare, and, as soon as practicable but in no event later than the Additional Filing Deadline, file with the SEC an additional Registration Statement covering the resale of all
Registrable Securities not already covered, or that will no longer be covered, by an existing and effective Registration Statement for an offering to be made on a continuous basis pursuant to Rule 415 or General Instruction II.L. of Form F-10 (or successor thereto). 
 (iii) If at any time the SEC takes the position that the offering of some or all of the
Registrable Securities in a Registration Statement is not eligible to be made on a delayed or continuous basis under the provisions of Rule 415 under the Securities Act or General Instruction II.L of Form
F-10, or requires any Investor to be named as an “underwriter”, the Company shall use its best efforts to persuade the SEC that the offering contemplated by a Registration Statement is a bona fide
secondary offering and not an offering “by or on behalf of the issuer” as defined in Rule 415, as applicable, and that none of the Investors is an “underwriter”. The Investors shall have the right to participate or have their
counsel participate in any meetings or discussions with the SEC regarding the SEC’s position and to comment or have their counsel comment on any written submission made to the SEC with respect thereto. No such written submission shall be made
to the SEC to which the Investors’ counsel reasonably objects. In the event that, despite the Company’s best efforts and compliance with the terms of this Section 2(a)(iii), the SEC refuses to alter its position, the Company shall
(i) remove from the Registration Statement such portion of the Registrable Securities and/or (ii) agree to such restrictions and limitations on the registration and resale of the Registrable Securities as the SEC may require to assure the
Company’s compliance with the requirements of Rule 415, as applicable (collectively, the “SEC Restrictions”); provided, however, that the Company shall not agree to name any Investor as an “underwriter” in such Registration
Statement without the prior written consent of such Investor. Any cut-back imposed on the Investors pursuant to this Section 2(a)(iii) shall be allocated among the Investors on a pro rata basis and shall
be applied first to any Warrant Shares, unless the SEC Restrictions otherwise require or provide or the Investors otherwise agree. 

  
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 b. PIGGY-BACK REGISTRATIONS. If at any time prior to the expiration of the Registration Period (as
hereinafter defined) the Company shall determine to file with the SEC a Registration Statement relating to an offering for its own account or the account of others under the Securities Act of any of its securities (other than debt securities or
securities being registered on Form F-4, Form F-10 or Form S-8 or their then equivalents relating to equity securities to be
issued solely in connection with any acquisition of any entity or business or equity securities issuable in connection with stock option or other employee benefit plans), the Company shall send to each Buyer written notice of such determination and,
if within fifteen (15) days after the effective date of such notice, the Buyer shall so request in writing, the Company shall include in such Registration Statement all or any part of such Buyer’s Registrable Securities the Buyer requests
to be registered, except that if, in connection with any underwritten public offering for the account of the Company, the managing underwriter(s) thereof shall impose a limitation on the number of Registrable Securities which may be included in the
Registration Statement because, in such underwriter(s)’ judgment, marketing or other factors dictate such limitation is necessary to facilitate public distribution, then the Company shall be obligated to include in such Registration Statement
only such limited portion of the Registrable Securities with respect to which the Buyer has requested inclusion hereunder as the underwriter shall permit; 

PROVIDED, HOWEVER, that the Company shall not exclude any Registrable Securities unless the Company has first excluded all outstanding securities, the
holders of which are not entitled by contract to inclusion of such securities in such Registration Statement or are not entitled to pro rata inclusion with the Registrable Securities; and 

PROVIDED, FURTHER, HOWEVER, that, after giving effect to the immediately preceding proviso, any exclusion of Registrable Securities shall be made pro
rata with holders of other securities having the contractual right to include such securities in the Registration Statement other than holders of securities entitled to inclusion of their securities in such Registration Statement by reason of demand
registration rights. No right to registration of Registrable Securities under this Section 2(b) shall be construed to limit any registration required under Section 2(a) hereof. If an offering in connection with which a Buyer is entitled to
registration under this Section 2(b) is an underwritten offering, then such Buyer shall, unless otherwise agreed by the Company, offer and sell such Registrable Securities in an underwritten offering using the same underwriter or underwriters
and, subject to the provisions of this Agreement and the underwriting agreement in such offering, on the same terms and conditions as other Common Shares included in such underwritten offering (including, without limitation, execution of an
agreement with the managing underwriter or placement agent limiting the sale or distribution such Buyer may make of Common Shares or any securities convertible or exchangeable or exercisable for such shares of the Company, except as part of such
registration). Notwithstanding anything to the contrary set forth herein, the registration rights of the Buyer pursuant to this Section 2(b) shall only be available with respect to Registrable Securities that are not then covered by an
effective Registration Statement which is available for resale of such Registrable Securities (other than as a result of the provisions of Section 2(a)(iii)). 

3. OBLIGATIONS OF THE COMPANY. In connection with the registration of the Registrable Securities, the Company shall have the following obligations:

 a. The Company shall prepare promptly, and file with the SEC as soon as practicable after the Issuance Date (but no later than the Filing Deadline), a
prospectus supplement to the Current Registration Statement or other Registration Statement with respect to the number of Registrable Securities provided in Section 2(a), and thereafter use its best efforts to cause the Current Registration
Statement to remain current and effective pursuant to General Instruction II.L. of Form F-10 (or successor thereto) or to cause such Registration Statement relating to Registrable Securities to become
effective as soon as possible after such filing, but in any event shall cause each such other Registration Statement relating to Registrable Securities to become effective no later than the Registration Deadline, and shall keep the Registration
Statement current and effective pursuant to Rule 415, if applicable, or General Instruction II.L. of Form F-10 (or successor thereto), if applicable, in which case the Company shall also make all such filings
with all applicable Canadian securities commissions or other securities regulatory authorities of a Canadian shelf prospectus, and all amendments and supplements thereto, as shall be necessary or appropriate, at all times until such date as there
are no Registrable Securities covered thereby (the “Registration Period”), which Registration Statement (including any amendments or supplements thereto and prospectuses contained therein and any related Canadian prospectus and amendments
or supplements thereto), except for information provided by a Buyer or any transferee of a Buyer pursuant to Section 4(a), shall not contain any untrue statement of a material fact or omit to state a material fact required to be stated therein,
or necessary to make the statements therein not misleading. 

  
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 b. The Company shall prepare and file with the SEC such amendments (including post-effective amendments) and
supplements to each Registration Statement and the prospectus used in connection with each Registration Statement as may be necessary to keep each Registration Statement current and effective at all times during the Registration Period, and, during
such period, comply with the provisions of the Securities Act with respect to the disposition of all Registrable Securities of the Company covered by each Registration Statement until such time as all of such Registrable Securities have been
disposed of in accordance with the intended methods of disposition by the seller or sellers thereof as set forth in each Registration Statement. In the event that on any Trading Day (as defined below) (the “Registration Trigger Date”) the
number of shares available under the Registration Statements filed pursuant to this Agreement is insufficient to cover all of the Registrable Securities issued or issuable upon exercise of or otherwise pursuant to the Warrants, including, without
limitation, any additional Common Shares issued in connection with any anti-dilution provisions contained in the Warrants, without giving effect to any limitations on the Buyers’ ability to exercise the Warrants, the Company shall amend the
Registration Statements, or file a new Registration Statement (on the short form available therefore, if applicable), or both, so as to cover the total number of Registrable Securities so issued or issuable (without giving effect to any limitations
on exercise contained in the Warrants or limitations on conversion or exercise) as of the Registration Trigger Date as soon as practicable, but in any event within twenty (20) days after the Registration Trigger Date (based on the Exercise
Price (as defined in the Warrants) of the Warrants, and other relevant factors on which the Company reasonably elects to rely). The Company shall use its best efforts to cause such amendment and/or new Registration Statement to become effective as
soon as practicable following the filing thereof, but in any event the Company shall cause such amendment and/or new Registration Statement to become effective within sixty (60) days of the Registration Trigger Date or as promptly as
practicable in the event the Company is required to increase its authorized shares. “Trading Day” shall mean any day on which the Common Shares is traded for any period on the NASDAQ Capital Market, or on the principal U.S. securities
exchange or other U.S. securities market on which the Common Shares are then being traded. 
 c. The Company shall furnish to each Buyer and its legal
counsel (i) promptly after the same is prepared and publicly distributed, filed with the SEC, or received by the Company, one copy of each Registration Statement and any amendment thereto, each preliminary prospectus and prospectus and each
amendment or supplement thereto, and, in the case of a Registration Statement referred to in Section 2(a), each letter written by or on behalf of the Company to the SEC or the staff of the SEC, and each item of correspondence from the SEC or
the staff of the SEC, in each case relating to such Registration Statement (other than any portion of any thereof which contains information for which the Company has sought confidential treatment); provided that if the Registration Statement has
been filed on Form F-10 (or successor thereto), any preliminary prospectus and prospectus and each amendment or supplement thereto included in such Registration Statement shall consist of the corresponding
preliminary prospectus, prospectus or amendment or supplement thereto filed with the Canadian securities commissions or other securities regulatory authorities, with such additions and deletions as are required or permitted by Form F-10; and provided further that the Company may excise any information contained therein which would constitute material non-public information as to any Buyer which has not
executed a confidentiality agreement with the Company, and (ii) such number of copies of a prospectus, including a preliminary prospectus, and all amendments and supplements and such other documents as a Buyer may reasonably request in order to
facilitate the disposition of the Registrable Securities owned by such Buyer, although the Company may determine in its reasonable judgment to provide any such copies in electronic form only. The Company will immediately notify the Buyers by
facsimile of the effectiveness of each Registration Statement or any post-effective amendment thereto. The Company will respond to any and all comments received from the SEC or any Canadian securities commissions or other securities regulatory
authorities as soon as reasonably practicable, with a view towards causing each Registration Statement or any amendment thereto to become effective under the Securities Act as soon as practicable and, if applicable, shall file an acceleration
request as soon as practicable, but no later than five (5) business days, following the resolution or clearance of all SEC comments or, if applicable, following notification by the SEC that any such Registration Statement or any amendment
thereto will not be subject to review (or, in the case of a Registration Statement on Form F-10 (or successor thereto), obtain a final receipt in respect of the related shelf prospectus from the Company’s
principal provincial securities regulator, and provide such final receipt to the SEC as promptly as practicable after the filing of such Registration Statement). 

d. The Company shall use its best efforts to (i) register and qualify, in any jurisdiction where registration and/or qualification is required, the
Registrable Securities covered by the Registration Statements under such other securities or “blue sky” laws of such jurisdictions in the United States as the Buyers shall reasonably request, (ii) prepare and file in those
jurisdictions such amendments (including post-effective amendments) and supplements to such registrations and qualifications as may be necessary to maintain the effectiveness thereof during the Registration Period, (iii) take such other actions
as may be necessary to maintain such registrations and qualifications in effect at all times during the Registration Period, and (iv) take all other actions reasonably necessary or advisable to qualify the Registrable Securities for sale in
such jurisdictions; provided, however, that the Company shall not be required in connection therewith or as a condition thereto to (x) qualify to do business in any jurisdiction where it would not otherwise be required to qualify but for this
Section 3(d), (y) subject itself to general taxation in any such jurisdiction, or (z) file a general consent to service of process in any such jurisdiction. 

  
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 e. As promptly as practicable after becoming aware of such event, the Company shall notify each Buyer of the
happening of any event, of which the Company has knowledge, as a result of which the prospectus included in any Registration Statement, as then in effect, includes an untrue statement of a material fact or omits to state a material fact required to
be stated therein or necessary to make the statements therein not misleading, and use its best efforts promptly to prepare a supplement or amendment to any Registration Statement to correct such untrue statement or omission, and deliver such number
of copies of such supplement or amendment to each Buyer as such Buyer may reasonably request. 
 f. The Company shall use its best efforts to prevent the
issuance of any stop order or other suspension of effectiveness of any Registration Statement, and, if such an order is issued, to obtain the withdrawal of such order at the earliest possible moment and to notify each Buyer who holds Registrable
Securities being sold (or, in the event of an underwritten offering, the managing underwriters) of the issuance of such order and the resolution thereof. 

g. The Company shall permit a single firm of counsel designated by the Buyers to review such Registration Statement and all amendments and supplements thereto
(as well as all requests for acceleration or effectiveness thereof), at Buyers’ own cost, a reasonable period of time prior to their filing with the SEC (not less than five (5) business days but not more than eight (8) business days)
and not file any documents in a form to which such counsel reasonably objects and, to the extent applicable, will not request acceleration of such Registration Statement without prior notice to such counsel. 

h. The Company shall hold in confidence and not make any disclosure of information concerning a Buyer provided to the Company unless (i) disclosure of
such information is necessary to comply with federal or state securities laws, (ii) the disclosure of such information is necessary to avoid or correct a misstatement or omission in any Registration Statement, (iii) the release of such
information is ordered pursuant to a subpoena or other order from a court or governmental body of competent jurisdiction, or (iv) such information has been made generally available to the public other than by disclosure in violation of this or
any other agreement. The Company agrees that it shall, upon learning that disclosure of such information concerning such Buyer is sought in or by a court or governmental body of competent jurisdiction or through other means, give prompt notice to
the Buyer prior to making such disclosure, and allow such Buyer, at its expense, to undertake appropriate action to prevent disclosure of, or to obtain a protective order for, such information. 

i. The Company shall use its best efforts to cause all the Registrable Securities covered by each Registration Statement to be listed on each U.S. and
Canadian securities exchange on which securities of the same class or series issued by the Company are then listed, if any, if the listing of such Registrable Securities is then permitted under the rules of such exchange, and, if listed on a
national exchange, to arrange for at least two market makers to register with the Financial Industry Regulatory Authority, Inc. (“FINRA”) as such with respect to such Registrable Securities. 

j. The Company shall provide a transfer agent and registrar, which may be a single entity, for the Registrable Securities. 

k. The Company shall cooperate with each Buyer who holds Registrable Securities being offered and the managing underwriter or underwriters as reasonably
requested by them with respect to an applicable Registration Statement, if any, to facilitate the timely entry into a direct registration or other electronic book-entry system representing those Registrable Securities (not bearing any restrictive
legends or similar notations) to be offered pursuant to such Registration Statement, in such denominations or amounts, as the case may be, as the managing underwriter or underwriters, if any, or the Buyer may reasonably request and registered in
such names as the managing underwriter or underwriters, if any, or the Buyer may request, and, within three (3) business days after a Registration Statement which includes Registrable Securities is ordered effective by the SEC (or otherwise
becomes effective, or a prospectus supplement relating thereto is otherwise available for the sale of Registrable Securities as contemplated herein), the Company shall deliver, and shall cause legal counsel selected by the Company to deliver, to the
transfer agent for the Registrable Securities (with copies to each Buyer) an appropriate instruction and an opinion of such counsel in the form required by the transfer agent in order to issue the Registrable Securities free of restrictive legends
or similar notations. 
 l. At the reasonable request of a Buyer, the Company shall prepare and file with the SEC such amendments (including post-effective
amendments) and supplements to a Registration Statement and any prospectus used in connection with the Registration Statement, and shall prepare and file with all applicable Canadian securities commissions or other securities regulatory authorities,
any corresponding amendments to the related Canadian prospectus, as may be necessary in order to change the plan of distribution set forth in such Registration Statement. 

  
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 m. The Company shall take all other reasonable actions necessary to expedite and facilitate disposition by the
Buyers of Registrable Securities pursuant to a Registration Statement. 
 n. The Company shall comply with all applicable laws related to a Registration
Statement (and any related Canadian prospectus) and offering and sale of securities and all applicable rules and regulations of governmental authorities in connection therewith (including, without limitation, the Securities Act, the Exchange Act and
applicable Canadian (and Canadian provincial) law and the rules and regulations promulgated by the SEC, applicable Canadian securities commissions or other securities regulatory authorities, self-regulatory authorities and securities exchanges).

 o. If required by the Financial Industry Regulatory Authority, Inc. Corporate Financing Department, the Company shall promptly effect a filing with FINRA
pursuant to FINRA Rule 5110 with respect to the public offering contemplated by resales of securities under the Registration Statement (an “Issuer Filing”), and pay the filing fee required by such Issuer Filing. The Company shall use
commercially reasonable efforts to pursue the Issuer Filing until FINRA issues a letter confirming that it does not object to the terms of the offering contemplated by the Registration Statement. 

p. In connection with any Registration Statement filed on Form F-10 (or successor thereto), the Company shall make
such filings (including, without limitation, of one or more shelf prospectuses or amendments and/or supplements thereto) with all applicable Canadian securities commissions or other securities regulatory authorities, self-regulatory authorities and
securities exchanges, shall promptly respond to any comments thereof, and shall take such other actions in Canada or any province thereof as shall be necessary or appropriate, in each case, to enable such Registration Statement to become effective
and become and remain available for resale of all of the Registrable Securities covered thereby in the same manner and to the same extent as if such Registration Statement were on Form F-3. 

q. The Company shall otherwise use commercially reasonable efforts to comply with all applicable rules and regulations of the SEC under the Securities Act and
the Exchange Act, including, without limitation, Rule 172 under the Securities Act, file any final prospectus, including any supplement or amendment thereof, with the SEC pursuant to Rule 424 under the Securities Act or General Instruction II.L. of
Form F-10, promptly inform the Buyers in writing if, at any time during the Registration Period, the Company does not satisfy the conditions specified in Rule 172 and, as a result thereof, the Buyers are
required to deliver a prospectus in connection with any disposition of Registrable Securities and take such other actions as may be reasonably necessary to facilitate the registration of the Registrable Securities hereunder; and make available to
its security holders, as soon as reasonably practicable, but not later than the Availability Date (as defined below), an earnings statement covering a period of at least twelve (12) months, beginning after the effective date of each
Registration Statement, which earnings statement shall satisfy the provisions of Section 11(a) of the Securities Act, including Rule 158 promulgated thereunder (for the purpose of this subsection q, “Availability Date” means the 45th
day following the end of the fourth fiscal quarter that includes the effective date of such Registration Statement, except that, if such fourth fiscal quarter is the last quarter of the Company’s fiscal year, “Availability Date” means
the 120th day after the end of such fourth fiscal quarter). 
 4. OBLIGATIONS OF THE BUYER. In connection with the registration of the Registrable
Securities, each Buyer shall have the following obligations: 
 a. It shall be a condition precedent to the obligations of the Company to complete the
registration pursuant to this Agreement with respect to the Registrable Securities of a Buyer that such Buyer shall furnish to the Company such information regarding itself, the Registrable Securities held by it and the intended method of
disposition of the Registrable Securities held by it as shall be reasonably required to effect the registration of such Registrable Securities and shall execute such documents in connection with such registration as the Company may reasonably
request. At least five (5) business days prior to the first anticipated filing date of a Registration Statement, the Company shall notify each Buyer of the information the Company requires from such Buyer. Any such information shall not contain
any untrue statement of a material fact or omit to state a material fact required to be stated therein, or necessary to make the statements therein not misleading. 

b. Each Buyer, by such Buyer’s acceptance of the Registrable Securities, agrees to cooperate with the Company as reasonably requested by the Company in
connection with the preparation and filing of a Registration Statement (including the filing of the initial prospectus supplement referred to in Section 2(a)(i) above) hereunder, unless such Buyer has notified the Company in writing of the
Buyer’s election to exclude all of the Buyer’s Registrable Securities from such Registration Statement. 

  
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 c. In the event of an underwritten offering pursuant to Section 2(b) in which any Registrable Securities are
to be included, the Buyer agrees to enter into and perform the Buyer’s obligations under an underwriting agreement, in usual and customary form, including, without limitation, customary indemnification and contribution obligations, with the
managing underwriter of such offering and take such other actions as are reasonably required in order to expedite or facilitate the disposition of the Registrable Securities, unless the Buyer has notified the Company in writing of the Buyer’s
election to exclude all of the Buyer’s Registrable Securities from such Registration Statement. 
 d. Each Buyer agrees that, upon receipt of any
notice from the Company of the happening of any event of the kind described in Section 3(e) or 3(f), the Buyer will immediately discontinue disposition of Registrable Securities pursuant to the Registration Statement covering such Registrable
Securities until the Buyer’s receipt of the copies of the supplemented or amended prospectus contemplated by Section 3(e) or 3(f) and, if so directed by the Company, the Buyer shall deliver to the Company (at the expense of the Company) or
destroy (and deliver to the Company a certificate of destruction) all copies in the Buyer’s possession, of the prospectus covering such Registrable Securities current at the time of receipt of such notice. 

5. REGISTRATION FAILURE. In the event of a Registration Failure (as defined in the Warrants), the Buyer shall be entitled to Failure Payments (as
defined in the Warrants) and such other rights as set forth in the Warrants. 
 6. EXPENSES OF REGISTRATION. All reasonable expenses, other than
underwriting discounts and commissions, incurred in connection with registrations, filings or qualifications pursuant to Sections 2 and 3, including, without limitation, all registration, listing and qualification fees, printers and accounting fees,
and the fees and disbursements of counsel for the Company (but not including fees and disbursements for counsel for any Buyer) shall be borne by the Company. 

7. INDEMNIFICATION. In the event any Registrable Securities are included in a Registration Statement under this Agreement: 

a. The Company will indemnify, hold harmless and defend (i) each Buyer, (ii) the directors, officers, partners, managers, members, employees, agents
and each Person who controls any Buyer within the meaning of the Securities Act, the Exchange Act or applicable Canadian (or Canadian provincial) law, if any, (iii) any underwriter (as defined in the Securities Act) for each Buyer in connection
with an underwritten offering pursuant to Section 2(b) hereof, and (iv) the directors, officers, partners, employees and each Person who controls any such underwriter within the meaning of the Securities Act, the Exchange Act or applicable
Canadian (or Canadian provincial) law, if any (each, an “Indemnified Person”), against any joint or several losses, claims, damages, liabilities or expenses (collectively, together with actions, proceedings or inquiries by any regulatory
or self-regulatory organization, whether commenced or threatened, in respect thereof, “Claims”) to which any of them may become subject insofar as such Claims arise out of or are based upon: (i) any untrue statement or alleged untrue
statement of a material fact in a Registration Statement or the omission or alleged omission to state therein a material fact required to be stated or necessary to make the statements therein not misleading; (ii) any untrue statement or alleged
untrue statement of a material fact contained in any preliminary prospectus if used prior to the effective date of such Registration Statement, or contained in the final prospectus (as amended or supplemented, if the Company files any amendment
thereof or supplement thereto with the SEC), any “free-writing prospectus” or any related prospectus (or amendment or supplement thereto) or other document filed with any Canadian securities commissions or other securities regulatory
authorities or the omission or alleged omission to state therein any material fact necessary to make the statements made therein, in light of the circumstances under which the statements therein were made, not misleading; or (iii) any violation
or alleged violation by the Company of the Securities Act, the Exchange Act, applicable Canadian (or Canadian provincial) law, any other law, including, without limitation, any state securities law, or any rule or regulation thereunder relating to
the offer or sale of the Registrable Securities (the matters in the foregoing clauses (i) through (iii) being, collectively, “Violations”). The Company shall reimburse the Indemnified Person, promptly as such expenses are incurred and
are due and payable, for any reasonable legal fees or other reasonable expenses incurred by them in connection with investigating or defending any such Claim. Notwithstanding anything to the contrary contained herein, the indemnification contained
in this Section 7(a) shall not apply (A) to a Claim against an Indemnified Person arising out of or based upon a Violation to the extent that such Violation occurs in reliance upon and in conformity with information furnished in writing to
the Company by or on behalf of such Indemnified Person for use in connection with the preparation of such Registration Statement or any such amendment thereof or supplement thereto; or (B) to any amounts paid in settlement of any Claim effected
without the prior written consent of the Company, which consent shall not be unreasonably withheld or delayed. Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of the Indemnified Person and
shall survive the transfer of the Registrable Securities by the Buyer pursuant to Section 10. 

  
 -9- 

 b. Promptly after receipt by an Indemnified Person under this Section 7 of notice of the commencement of any
action (including any governmental action), such Indemnified Person shall, if a Claim in respect thereof is to be made against the Company under this Section 7, deliver to the Company a written notice of the commencement thereof, and the
Company shall have the right to participate in, and, to the extent the Company so desires, to assume control of the defense thereof with counsel mutually satisfactory to the Company and the Indemnified Person, as the case may be. 

PROVIDED, HOWEVER, that an Indemnified Person shall have the right to retain its own counsel with the reasonable fees and expenses to be paid by the
Company, if, (a) the Company has agreed to pay such fees or expenses, or (b) the Company shall have failed to assume the defense of such Claim and employ counsel reasonably satisfactory to such Indemnified Person or (c) in the
reasonable opinion of counsel for the Buyer, the representation by such counsel of the Indemnified Person and the Company would be inappropriate due to actual or potential differing interests between such Indemnified Person and any other party
represented by such counsel in such proceeding. The Company shall pay for only one separate legal counsel for the Indemnified Persons, and such legal counsel shall be selected by Buyers. The failure to deliver written notice to the Company within a
reasonable time of the commencement of any such action shall not relieve the Company of any liability to the Indemnified Person under this Section 7, except to the extent that the Company is actually prejudiced in its ability to defend such
action. 
 c. Each Buyer will indemnify, hold harmless and defend (i) the Company, and (ii) the directors, officers, partners, managers, members,
employees, or agents of the Company, if any (each, a “Company Indemnified Person”), against any Claims to which any of them may become subject insofar as such Claims arise out of or are based upon any Violation which occurs due to the
inclusion by the Company in a Registration Statement of false or misleading information about such Buyer, where such information was furnished in writing to the Company by such Buyer or on behalf of such Buyer for the purpose of inclusion in such
Registration Statement. Notwithstanding anything herein to the contrary, the indemnity contained in this Section 7(c) shall not apply to amounts paid in settlement of any Indemnity Claim if such settlement is effected without the prior written
consent of such Buyer, which consent shall not be unreasonably withheld or delayed; and provided, further, however, that a Buyer shall be liable under this Section 7(c) for only that amount of an Indemnity Claim as does not exceed the net
amount of proceeds received by such Buyer from the sale of Registrable Securities giving rise to such Violation. 
 d. Promptly after receipt by a Company
Indemnified Person under this Section 7 of notice of the commencement of any action (including any governmental action), such Company Indemnified Person shall, if an Indemnity Claim in respect thereof is to be made against a Buyer under this
Section 7, deliver to such Buyer a written notice of the commencement thereof, and such Buyer shall have the right to participate in, and, to the extent such Buyer so desires, to assume control of the defense thereof with counsel mutually
satisfactory to such Buyer and the Company Indemnified Person, as the case may be. 
 PROVIDED, HOWEVER, that a Company Indemnified Person shall have
the right to retain its own counsel with the reasonable fees and expenses to be paid by the Buyer, if, in the reasonable opinion of counsel for the Company, (a) the Buyer has agreed to pay such fees or expenses, or (b) the Buyer shall have
failed to assume the defence of such Claim and employ counsel reasonably satisfactory to such Company Indemnified Person, or (c) the representation by such counsel of the Company Indemnified Person and the Buyer would be inappropriate due to
actual or potential differing interests between the Company Indemnified Person and any other party represented by such counsel in such proceeding. A Buyer shall pay for only one separate legal counsel for the Company Indemnified Persons, and such
legal counsel shall be selected in the reasonable judgment of the Company. 

  
 -10- 

 e. The indemnification required by this Section 7 shall be made by periodic payments of the amount thereof
during the course of the investigation or defense, as such expense, loss, damage or liability is incurred and is due and payable. 
 8. CONTRIBUTION.
To the extent any indemnification by the Company or a Buyer is prohibited or limited by law, each of the Company and such Buyer agrees to make the maximum contribution with respect to any amounts for which it would otherwise be liable under
Section 7 to the fullest extent permitted by law, based upon a comparative fault standard; provided, however, that in no event shall the contribution obligation of such Buyer be greater in amount than the dollar amount of the proceeds (net of
all expenses paid by such Buyer in connection with any Claim relating to this Section 8 and the amount of any damages such Buyer has otherwise been required to pay by reason of such untrue or alleged untrue statement or omission or alleged
omission) received by it upon the sale of the Registrable Securities giving rise to such contribution obligation. No person guilty of fraudulent misrepresentation within the meaning of Section 11(f) of the Securities Act shall be entitled to
contribution from any person not guilty of such fraudulent misrepresentation. 
 9. REPORTS UNDER THE 1934 ACT. With a view to making available to
the Buyers the benefits of Rule 144 promulgated under the Securities Act or any other similar rule or regulation of the SEC that may at any time permit the Buyers to sell securities of the Company to the public without registration the Company
agrees to: 
 a. make and keep public information available, as those terms are understood and defined in Rule 144; 

b. file with the SEC in a timely manner all reports and other documents required of the Company under the Securities Act and the Exchange Act so long as the
Company remains subject to such requirements and the filing of such reports and other documents is required for the applicable provisions of Rule 144; and 

c. so long as the Buyers own Registrable Securities, promptly upon request, furnish to the Buyers (i) a written statement by the Company that it has
complied with the reporting requirements of the Securities Act and the Exchange Act as required for applicable provisions of Rule 144, (ii) a copy of the most recent periodic report of the Company and such other reports and documents filed or
furnished to the SEC by the Company and (iii) such other information as may be reasonably requested to permit the Buyers to sell such securities pursuant to Rule 144 without registration. 

10. ASSIGNMENT OF REGISTRATION RIGHTS. The rights under this Agreement shall be automatically assignable by each Buyer to any transferee of all or any
portion of the Registrable Securities if: (i) the Buyer agrees in writing with the transferee or assignee to assign such rights, and a copy of such agreement is furnished to the Company within a reasonable time after such assignment,
(ii) the Company is, within a reasonable time after such transfer or assignment, furnished with written notice of (a) the name and address of such transferee or assignee, and (b) the securities with respect to which such registration
rights are being transferred or assigned, and (iii) at or before the time the Company receives the written notice contemplated by clause (ii) of this sentence, the transferee or assignee agrees in writing with the Company to be bound by
all of the provisions contained herein. In the event that a Buyer transfers all or any portion of its Registrable Securities pursuant to this Section, the Company shall have at least ten (10) days to file any amendments or supplements necessary
to keep a Registration Statement current and effective pursuant to Rule 415 (or General Instruction II.L. to Form F-10 (or successor thereto)), and the commencement date of any Event of Failure (as defined in
the Warrants) or Event of Default (as defined in the Warrants) under the Warrants caused thereby will be extended by ten (10) days with respect to such Buyer and its transferee only. Each Buyer shall at all times comply with the restrictions
upon transfer contained in Section 8 of the Warrant, which provisions are hereby incorporated by reference and made a part hereof. 
 11. AMENDMENT
OF REGISTRATION RIGHTS. Provisions of this Agreement may be amended and the observance thereof may be waived (either generally or in a particular instance and either retroactively or prospectively), only with written consent of the Company and
the holders of a majority in interest of then-outstanding Registrable Securities. Any amendment or waiver effected in accordance with this Section 11 shall be binding upon each of the Buyers and the Company. 

12. MISCELLANEOUS. 
 a. A Person is deemed to be a holder
of Registrable Securities whenever such Person owns of record or beneficially through a “street name” holder such Registrable Securities (or the Warrants or other securities pursuant to which such Registrable Securities are issuable). If
the Company receives conflicting instructions, notices or elections from two or more Persons with respect to the same Registrable Securities, the Company shall act upon the basis of instructions, notice or election received from the registered owner
of such Registrable Securities. 
  

  
 -11- 

 b. Any notices required or permitted to be given under the terms hereof shall be sent by certified or registered
mail (return receipt requested) or delivered personally or by courier (including a recognized overnight delivery service) or by facsimile and shall be effective five days after being placed in the mail, if mailed by regular United States mail, or
upon receipt, if delivered personally or by courier (including a recognized overnight delivery service) or by facsimile, in each case addressed to a party. The addresses for such communications shall be: 

If to the Company: 
 ESSA Pharma
Inc. 
 Suite 720, 999 West Broadway Street 

Vancouver, BC V5Z 1K5 
 Canada

 Fax: (604) 738-4080 

Attn: Chief Financial Officer 

With copy to: 
 Blake,
Cassels & Graydon LLP 
 595 Burrard Street, Suite 2600 

Vancouver, BC V7X 1L3 
 Canada

 Fax: (604) 631-3309 

Attn: Joseph Garcia 
 If to a
Buyer: 
 To the address of the applicable Buyer set out on the signature page hereto. 

With a copy to: 
 Choate,
Hall & Stewart LLP 
 Two International Place 

Boston, MA 02110 
 Fax: (617) 248-4000 
 Attn: Frederick P. Callori 

Each party shall provide notice to the other party of any change in address. 

c. Failure of any party to exercise any right or remedy under this Agreement or otherwise, or delay by a party in exercising such right or remedy, shall not
operate as a waiver thereof. 

  
 -12- 

 d. All questions concerning the construction, validity, enforcement and interpretation of this Agreement shall be
governed by and construed and enforced in accordance with the internal laws of the State of New York, without regard to the principles of conflicts of law thereof. Each party agrees that all legal proceedings concerning the interpretations,
enforcement and defense of the transactions contemplated by this Agreement (whether brought against a party hereto or its respective affiliates, directors, officers, shareholders, employees or agents) shall be commenced exclusively in the state and
federal courts sitting in the City of New York. Each party hereby irrevocably submits to the exclusive jurisdiction of the state and federal courts sitting in the City of New York, borough of Manhattan for the adjudication of any dispute hereunder
or in connection herewith or with any transaction contemplated hereby or discussed herein, and hereby irrevocably waives, and agrees not to assert in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of
any such court, or that such suit, action or proceeding is improper or is an inconvenient venue for such proceeding. Each party hereby irrevocably waives personal service of process and consents to process being served in any such suit, action or
proceeding by mailing a copy thereof via registered or certified mail or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Agreement and agrees that such service shall constitute good
and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in any other manner permitted by law. The parties hereby waive all rights to a trial by jury. If either
party shall commence an action or proceeding to enforce any provision of this Agreement, then the prevailing party in such action or proceeding shall be reimbursed by the other party for its reasonable attorneys’ fees and other costs and
expenses incurred with the investigation, preparation and prosecution of such action or proceeding. 
 e. This Agreement, the Warrants and the Subscription
Agreements (including all schedules and exhibits thereto) constitute the entire agreement among the parties hereto with respect to the subject matter hereof and thereof. There are no restrictions, promises, warranties or undertakings, other than
those set forth or referred to herein and therein. This Agreement, the Warrants and the Subscription Agreements supersede all prior agreements and understandings among the parties hereto with respect to the subject matter hereof and thereof. 

f. Subject to the requirements of Section 10 hereof, this Agreement shall inure to the benefit of and be binding upon the successors and assigns of each
of the parties hereto, and the provisions of Sections 7 and 8 hereof shall inure to the benefit of, and be enforceable by, each Indemnified Person and Company Indemnified Person (as applicable). 

g. The headings in this Agreement are for convenience of reference only and shall not limit or otherwise affect the meaning hereof. 

h. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original but all of which shall constitute one and the same
agreement. This Agreement, once executed by a party, may be delivered to the other party hereto by facsimile or other electronic transmission of a copy of this Agreement bearing the signature of the party so delivering this Agreement. 

i. Each party shall do and perform, or cause to be done and performed, all such further acts and things, and shall execute and deliver all such other
agreements, certificates, instruments and documents, as the other party may reasonably request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions contemplated hereby. 

j. The Company acknowledges that a breach by it of its obligations hereunder will cause irreparable harm to the Buyers by vitiating the intent and purpose of
the transactions contemplated hereby. Accordingly, the Company acknowledges that the remedy at law for breach of its obligations hereunder will be inadequate and agrees, in the event of a breach or threatened breach by the Company of any of the
provisions hereunder, that the Buyers shall be entitled, in addition to all other available remedies in law or in equity, to an injunction or injunctions to prevent or cure breaches of the provisions of this Agreement and to enforce specifically the
terms and provisions hereof, without the necessity of showing economic loss and without any bond or other security being required. 
 k. The language used
in this Agreement will be deemed to be the language chosen by the parties to express their mutual intent, and no rules of strict construction will be applied against any party. 

l. In the event that any provision of this Agreement is invalid or unenforceable under any applicable statute or rule of law, then such provision shall be
deemed inoperative to the extent that it may conflict therewith and shall be deemed modified to conform with such statute or rule of law. Any provision hereof which may prove invalid or unenforceable under any law shall not affect the validity or
enforceability of any other provision hereof. 
 m. In the event a Buyer shall sell or otherwise transfer any of such holder’s Registrable Securities,
each transferee shall be allocated a pro rata portion of the number of Registrable Securities included in a Registration Statement for such transferor. 

  
 -13- 

 n. There shall be no oral modifications or amendments to this Agreement. This Agreement may be modified or
amended only in writing. 
 [Remainder of page left intentionally blank] 

[Signature page follows] 

 IN WITNESS WHEREOF, the undersigned Buyers and the Company have caused this Registration
Rights Agreement to be duly executed as of the date first written above. 
  

			
	COMPANY:
	
	ESSA PHARMA INC.
		
	By:	 	/s/ David Wood
	Name:	 	David Wood
	Title:	 	Chief Financial Officer

  
  
  

 
  
  

[Signature Page to Registration Rights Agreement] 

			
	BUYERS:
	
	CLARUS LIFESCIENCES III, L.P.
	
	BY: CLARUS LIFESCIENCES III GP, L.P., its General Partner
	
	BY: CLARUS VENTURES III, LLC, its General Partner
		
	By:	 	/s/ Scott Requadt
	Name:	 	Scott Requadt
	Title:	 	Managing Director
	Address:	 	 101 Main Street, Suite 1210
 Cambridge,
MA
 02142

  
  
  

 
  

[Signature Page to Registration Rights Agreement] 

			
	
	BUYERS: Special Situations Life Sciences Fund, L.P.
		
	By:	 	/s/ David Greenhouse
	Name:	 	David Greenhouse
	Title:	 	
	Address:	 	 527 Madison Suite 2600

New York, NY 10022

  
  
  

 
  
  

[Signature Page to Registration Rights Agreement] 

			
	
	BUYERS: Special Situations Fund III QP, L.P.
		
	By:	 	/s/ David Greenhouse
	Name:	 	David Greenhouse
	Title:	 	
	Address:	 	 527 Madison Suite 2600

New York, NY 10022

  
  
  

 
  
  

[Signature Page to Registration Rights Agreement] 

			
	BUYERS: Special Situations Cayman Fund, L.P.
		
	By:	 	/s/ David Greenhouse
	Name:	 	David Greenhouse
	Title:	 	
	Address:	 	 527 Madison Suite 2600
 New York, NY
10022

  
  
  

 
  
  

[Signature Page to Registration Rights Agreement] 

			
	DEERFIELD SPECIAL SITUATIONS FUND, L.P.
	By:	 	 Deerfield Mgmt, L.P.
 General Partner

By J.E. Flynn Capital, LLC
 General Partner

		
	By:	 	/s/ David J. Clark
	Name:	 	David J. Clark
	Title:	 	Authorized Signatory

  
  

			
	DEERFIELD PRIVATE DESIGN FUND III, L.P.
	By:	 	 Deerfield Mgmt III, L.P.
 General Partner

By J.E. Flynn Capital, LLC
 General Partner

		
	By:	 	/s/ David J. Clark
	Name:	 	David J. Clark
	Title:	 	Authorized Signatory

  
  
  

 
 [Signature Page to Registration Rights Agreement] 

			
	BUYERS:
	
	Omega Fund IV, L.P.
		
	By:	 	 Omega Fund IV GP, L.P.
 its General
Partner

	By:	 	 Omega Fund IV GP Manager, Ltd.
 its General
Partner

		
	By:	 	/s/ Anne-Mari Paster
	Name:	 	Anne-Mari Paster
		 	Director

  
  
  

 
  

[Signature Page to Registration Rights Agreement] 

 Exhibit A 

Plan of Distribution 
 The
selling shareholders, which as used herein includes donees, pledgees, transferees or other successors-in-interest selling common shares or interests in common shares
received after the date of this prospectus from a selling shareholders as a gift, pledge, partnership distribution or other transfer, may, from time to time, sell, transfer or otherwise dispose of any or all of their common shares or interests in
common shares on any stock exchange, market or trading facility on which the shares are traded or in private transactions. These dispositions may be at fixed prices, at prevailing market prices at the time of sale, at prices related to the
prevailing market price, at varying prices determined at the time of sale, or at negotiated prices. 
 The selling shareholders may use any
one or more of the following methods when disposing of shares or interests therein: 
  

	 	-	ordinary brokerage transactions and transactions in which the broker-dealer solicits purchasers; 

  

	 	-	block trades in which the broker-dealer will attempt to sell the common shares as agent, but may position and resell a portion of the block as principal to facilitate the transaction; 

 

	 	-	purchases by a broker-dealer as principal and resale by the broker-dealer for its account; 

  

	 	-	an exchange distribution in accordance with the rules of the applicable exchange; 

  

	 	-	privately negotiated transactions; 

  

	 	-	short sales effected after the date the registration statement of which this prospectus is a part is declared effective by the SEC; 

 

	 	-	through the writing or settlement of options or other hedging transactions, whether through an options exchange or otherwise; 

  

	 	-	broker-dealers may agree with the selling shareholders to sell a specified number of such common shares at a stipulated price per common share; 

 

	 	-	a combination of any such methods of sale; and 

  

	 	-	any other method permitted by applicable law. 

 The selling shareholders may, from time to
time, pledge or grant a security interest in some or all of the common shares owned by them and, if they default in the performance of their secured obligations, the pledgees or secured parties may offer and sell the common shares, from time to
time, under this prospectus, or under an amendment to this prospectus under [Rule 424(b)(3)] [General Instruction II.L. of Form F-10] or other applicable provision of the Securities Act amending the list of
selling shareholders to include the pledgee, transferee or other successors in interest as selling shareholders under this prospectus. The selling shareholders also may transfer the common shares in other circumstances, in which case the
transferees, pledgees or other successors in interest will be the selling beneficial owners for purposes of this prospectus. 
 In
connection with the sale of our common shares or interests therein, the selling shareholders may enter into hedging transactions with broker-dealers or other financial institutions, which may in turn engage in short sales of the common shares in the
course of hedging the positions they assume. The selling shareholders may also sell common shares short and deliver these securities to close out their short positions, or loan or pledge the common shares to broker-dealers that in turn may sell
these securities. The selling shareholders may also enter into option or other transactions with broker-dealers or other financial institutions or the creation of one or more derivative securities which require the delivery to such broker-dealer or
other financial institution of common shares offered by this prospectus, which common shares such broker-dealer or other financial institution may resell pursuant to this prospectus (as supplemented or amended to reflect such transaction). 

 The aggregate proceeds to the selling shareholders from the sale of the common shares
offered by them will be the purchase price of the common shares less discounts or commissions, if any. Each of the selling shareholders reserves the right to accept and, together with their agents from time to time, to reject, in whole or in part,
any proposed purchase of common shares to be made directly or through agents. We will not receive any of the proceeds from this offering. Upon any exercise of the warrants by payment of cash, however, we will receive the exercise price of the
warrants. 
 We have agreed under the Registration Rights Agreement to pay all fees and expenses incident to the registration of the common
shares, other than the fees and disbursements of counsel to the selling shareholders. 
 The selling shareholders also may resell all or a
portion of the common shares in open market transactions in reliance upon Rule 144 or Rule 904 of Regulation S under the Securities Act of 1933, provided that they meet the criteria and conform to the requirements of that rule. 

The selling shareholders and any underwriters, broker-dealers or agents that participate in the sale of the common shares or interests therein
may be “underwriters” within the meaning of Section 2(a)(11) of the Securities Act. Any discounts, commissions, concessions or profit they earn on any resale of the common shares may be underwriting discounts and commissions under the
Securities Act. Selling shareholders who are “underwriters” within the meaning of Section 2(a)(11) of the Securities Act will be subject to the prospectus delivery requirements of the Securities Act. 

To the extent required, the common shares to be sold, the names of the selling shareholders, the respective purchase prices and public
offering prices, the names of any agents, dealer or underwriter, any applicable commissions or discounts with respect to a particular offer will be set forth in an amendment to this prospectus supplement or, if appropriate, a post-effective
amendment to the registration statement that includes this prospectus. 
 In order to comply with the securities laws of some states, if
applicable, the common shares may be sold in these jurisdictions only through registered or licensed brokers or dealers. In addition, in some states the common shares may not be sold unless they have been registered or qualified for sale or an
exemption from registration or qualification requirements is available and is complied with. 
 This prospectus has not been filed in
respect of, and will not qualify, any distribution of the common shares in British Columbia or in any other province or territory of Canada at any time. 

We have advised the selling shareholders that the anti-manipulation rules of Regulation M under the Exchange Act may apply to sales of common
shares in the market and to the activities of the selling shareholders and their affiliates. In addition, to the extent applicable we will make copies of this prospectus (as it may be supplemented or amended from time to time) available to the
selling shareholders for the purpose of satisfying the prospectus delivery requirements of the Securities Act. The selling shareholders may indemnify any broker-dealer that participates in transactions involving the sale of the common shares against
certain liabilities, including liabilities arising under the Securities Act. 
 We have agreed to indemnify the selling shareholders against
liabilities, including liabilities under the Securities Act and state securities laws, relating to the registration of the common shares offered by this prospectus.EX-4.3

 Exhibit 4.3 

SUBSCRIPTION FOR COMMON SHARES 

(U.S. PURCHASERS) 
  

	TO:	ESSA PHARMA INC. (the “Corporation”) 

 The undersigned
(hereinafter referred to as the “Subscriber”) hereby irrevocably subscribes for and agrees to purchase from the Corporation the number of common shares of the Corporation (the “Common Shares”) set forth below for
the aggregate subscription price set forth below, representing a subscription price of US$3.00 per Common Share (the “Subscription Price”), upon and subject to the terms and conditions set forth in this Subscription Agreement,
including the attached “Terms and Conditions of Subscription”, the applicable schedules attached hereto and the “Term Sheet” attached hereto as Schedule A (the “Term Sheet”). 

In addition to this face page, the Subscriber must also complete all applicable schedules attached hereto. 

SUBSCRIPTION AND SUBSCRIBER INFORMATION 

Please print all information (other than signatures), as applicable, in the space provided below. 

 

					
	  

(Name of Subscriber)
	 		 	  

Number of Common Shares:
                    x                   
 

	 		 	 
	 	 		 	=  
	Account Reference (if applicable):               
                      	 		 	 
	  

By:                         
                                         
                     
	 		 	  
 Aggregate
Subscription Price:
                                        

	 	 		 	 
	                       
                                         
                             	 		 	
	(Official Capacity or Title – if the Subscriber is not an individual)	 		 	Please complete if purchasing as agent or trustee for a principal (beneficial purchaser) (a “Disclosed
Principal”) and not purchasing as agent or trustee for accounts fully managed by it:
	                       
                                         
                             	 		 
	(Name of individual whose signature appears above if different than the name of the Subscriber printed above.)	 		 	 
	                       
                                         
                             	 		 	 
	(Subscriber’s Residential Address, including State and ZIP Code)	 		 	
                          
                                         
                                 

(Name of Disclosed Principal)

	                       
                                         
                             	 		 	 
	(Telephone Number)	 		 	                            
                                         
                               
	                       
                                         
                             	 		 	(Disclosed Principal’s Residential Address including State and ZIP Code)
	(E-mail Address)	 		 	                            
                                         
                               
	 	 		 	 (Disclosed Principal’s Telephone
Number)
  

		 		 	
	  

Account Registration Information:
	 		 	  

Delivery Instructions as set forth below:

	 		 
	                       
                                         
                             	 		 	☐  Same address as account registration, or
	(Name)	 		 	 
	  

                          
                                         
                          
	 		 	For notices only:
	(Account Reference, if applicable)	 		 	                            
                                         
                               
	  

                          
                                         
                          
	 		 	(Name)
	(Address, including Postal/ZIP Code)	 		 	 
	 	 		 	 
		 		 	(Account Reference, if applicable)
	Number and kind of securities of the Corporation presently held, if any: None	 		 	                            
                                         
                               
	                       
                                         
                             	 		 	(Address including State and ZIP Code)
	  

                          
                                         
                          
	 		 	  

                          
                                         
                                 

	 	 		 	 (Contact Name)

 

 Additional Subscriber Information 

 

The Subscriber either [check appropriate box]: 

☐  is an “insider” of the Corporation as defined in the Securities Act (British Columbia), namely:
“insider” means: 
 (a) a director or an officer of the Corporation, 

(b) a director or an officer of a person that is itself an insider or a subsidiary of the Corporation, 

(c) a person that has 
 (i)
beneficial ownership of, or control or direction over, directly or indirectly, or 
 (ii) a combination of beneficial ownership of, and
control or direction over, directly or indirectly, securities of the Corporation carrying more than 10% of the voting rights attached to all the Corporation’s outstanding voting securities, excluding, for the purpose of the calculation of the
percentage held, any securities held by the person as underwriter in the course of a distribution, 
 (d) an issuer that has purchased,
redeemed or otherwise acquired a security of its own issue, for so long as it continues to hold that security, 
 (e) a person designated as
an insider in an order made under Section 3.2 of the Securities Act (British Columbia), or 
 (f) a person that is in a
prescribed class of persons; or 
 ☐  is not an “insider” of the Corporation. 

The Subscriber either [check appropriate box]: 

☐  is a “registrant” of the Corporation as defined in the Securities Act (British Columbia), namely:
“registrant” means a person registered or required to be registered under the Securities Act (British Columbia), including a dealer, adviser or investment fund manager. 

☐  is not a “registrant” of the Corporation. 

 ACCEPTANCE 

The Corporation hereby accepts the subscription as set forth above on the terms and conditions contained in this Subscription Agreement. 

Dated as of the      day of             , 2016. 

 

			
	ESSA PHARMA INC.
		
	by:	 	  

		 	Authorized Signing Officer

 ESSA PHARMA INC. 

SUBSCRIPTION FOR COMMON SHARES 

INSTRUCTIONS 
 PLEASE MAKE SURE
THAT YOUR SUBSCRIPTION INCLUDES: 
  

	1.	a completed and signed copy of the face page of this Subscription Agreement. 

  

	2.	payment by certified cheque, money order, bank draft, wire transfer to the coordinates set forth in Schedule C attached hereto, or other acceptable means in the amount of the Aggregate Subscription Price payable
to “ESSA Pharma Inc.”. 

  

	3.	a completed and signed copy of the United States Subscribers Representation Letter attached hereto as Schedule B. 

 TERMS AND CONDITIONS OF SUBSCRIPTION 

COMMON SHARES OF ESSA PHARMA INC. 
  

	1.	Definitions. In this Subscription Agreement, unless otherwise defined herein: 

  

	 	(a)	“$” means Canadian dollars; 

  

	 	(b)	“Aggregate Subscription Price” means the aggregate dollar amount of the subscription under this Subscription Agreement as set out on the face page hereof; 

 

	 	(c)	“Applicable IP Laws” means all applicable federal, provincial, state and local laws and regulations applicable to Intellectual Property in Canada, the United States and the jurisdictions in which the
Corporation and/or the Subsidiary has registered Intellectual Property or pending Intellectual Property applications; 

  

	 	(d)	“business day” means a day other than a Saturday, Sunday or any other day on which the principal chartered banks located in Vancouver, British Columbia are not open for business; 

 

	 	(e)	“Canadian Securities Laws” means, as applicable, the securities laws and regulations in each of the provinces of Canada, all written instruments, rules and orders having the force of law of the
securities regulators or regulatory authorities in each of the provinces of Canada, and the rules of any applicable stock exchange; 

  

	 	(f)	“CIPO” means the Canadian Intellectual Property Office; 

  

	 	(g)	“Closing” has the meaning ascribed to such term in Section 4; 

  

	 	(h)	“Closing Date” means on or about March 17, 2016 or such other date as the Corporation may determine; 

  

	 	(i)	“Closing Time” means 10:00 a.m. (Vancouver time) on the Closing Date or such other time as the Corporation may determine; 

 

	 	(j)	“Common Shares” means the common shares in the capital of the Corporation; 

  

	 	(k)	“control person” means a person, company or combination of persons or companies described in the provisions of securities legislation listed in Appendix A to National Instrument 45-102 – Resale of Securities; 

  

	 	(l)	“Corporation” means ESSA Pharma Inc., a corporation existing under the Corporations Act and includes any successor corporation; 

 

	 	(m)	“Corporations Act” means the Business Corporations Act (British Columbia); 

  

	 	(n)	“Corporation IP” means the Intellectual Property that has been developed by or for or is being developed by or for the Corporation and/or the Subsidiary or that is being used by the Corporation and/or
the Subsidiary, other than Licensed IP; 

  

	 	(o)	“CPRIT Agreement” means the definitive agreement entered into with the Cancer Prevention & Research Institute of Texas providing for, among other things, the Corporation being entitled to
receive matching funds of up to a maximum of US$12,000,000 on and subject to the terms and conditions therein; 

  

	 	(p)	“Disclosed Principal” has the meaning ascribed to such term on the face page of this Subscription Agreement; 

  
 - 2 - 

	 	(q)	“DTC” means the Depository Trust Company; 

  

	 	(r)	“Enforceability Qualifications” means (a) bankruptcy, insolvency, reorganization, moratorium and other laws relating to or affecting the rights of creditors generally, (b) the application of
equitable principles when equitable remedies are sought, including the remedies of specific performance and injunctive relief, and (c) applicable laws limiting rights to indemnity, contribution, waiver, and the ability to sever unenforceable
terms; 

  

	 	(s)	“Financial Statements” means the audited financial statements of the Corporation as of and for the fiscal years ended September 30, 2015 and September 30, 2014; 

 

	 	(t)	“Intellectual Property” means intellectual property rights, including: (i) all patents, patent rights, inventions, industrial designs and licenses; (ii) trademarks, service marks, trade dress,
trade names, corporate names, logos, slogans and Internet domain names, together with all goodwill associated with each of the foregoing, whether registered or unregistered; (iii) registered or unregistered copyrights and copyrightable works in
whatever form or medium; (iv) registrations, applications and renewals for any of the foregoing; (v) proprietary computer software (including but not limited to data, data bases and documentation); and (vi) trade secrets, confidential
information and know-how; 

  

	 	(u)	“knowledge of the Corporation” means the knowledge of David Parkinson and David Wood, after due inquiry of the subject matter. 

 

	 	(v)	“Leases” means the lease agreement executed on August 25, 2014 by and between Greenpark II Medical LLC and the Subsidiary and the sublease agreement executed on April 7, 2015 by and between
Texas Heart Institute and the Subsidiary; 

  

	 	(w)	“Licensed IP” means the Intellectual Property owned by any person other than the Corporation and the Subsidiary and which the Corporation and/or the Subsidiary uses; 

 

	 	(x)	“Material Adverse Effect” means any change, effect, event, occurrence or change in a state of facts that is, or would reasonably be expected to be, individually or in the aggregate, material and adverse
to the business, operations, financial condition, results, assets, properties, rights, liabilities or prospects of the Corporation and the Subsidiary taken as a whole; 

 

	 	(y)	“NASDAQ” means the Nasdaq Capital Market; 

  

	 	(z)	“NI 45-106” means National Instrument 45-106 – Prospectus and Registration Exemptions of the Canadian
Securities Administrators; 

  

	 	(aa)	“Offering” means the offering of Common Shares by the Corporation to the Subscriber pursuant to the terms of this Subscription Agreement; 

 

	 	(bb)	“PCMLTFA” has the meaning ascribed to such term in section 7(x); 

  

	 	(cc)	“person” means any individual (whether acting as an executor, trustee, administrator, legal representative or otherwise), corporation, firm, partnership, sole proprietorship, syndicate, joint venture,
trustee, trust, fund, unincorporated organization or association, a government or an agency or political subdivision thereof and every other form of legal or business entity of whatsoever nature or kind, and pronouns have a similar extended meaning;

  

	 	(dd)	“Registered Corporation IP” means all Corporation IP that is the subject of registration or pending application for registration with a national intellectual property office (including, without
limitation, the CIPO and the USPTO); 

  
 - 3 - 

	 	(ee)	“Registered Licensed IP” means all Licensed IP (i) that is the subject of registration or pending application for registration with a national intellectual property office (including, without
limitation, the CIPO and the USPTO), and (ii) for which the Corporation has the right to prosecute; 

  

	 	(ff)	“Regulation D” means Regulation D under the U.S. Securities Act; 

  

	 	(gg)	“Regulation S” means Regulation S under the U.S. Securities Act; 

  

	 	(hh)	“Regulatory Authority” means the statutory or governmental bodies authorized under applicable laws to protect and promote public health through regulation and supervision of therapeutic drug candidates
intended for use in humans, including, without limitation, the FDA and Health Canada; 

  

	 	(ii)	“SEC” means the United States Securities and Exchange Commission; 

  

	 	(jj)	“Securities Laws” means, collectively, the Canadian Securities Laws and the U.S. Securities Laws; 

  

	 	(kk)	“Subscriber” means the subscriber for Common Shares as set out on the face page of this Subscription Agreement and includes, as applicable, the Disclosed Principal unless the context otherwise requires;

  

	 	(ll)	“Subscription Agreement” means this subscription agreement (including any schedules hereto) and any instrument amending this Subscription Agreement; “hereof”, “hereto”,
“hereunder”, “herein” and similar expressions mean and refer to this Subscription Agreement and not to a particular Section or clause; and the expression “Section” or “clause”
followed by a number or letter means and refers to the specified Section or clause of this Subscription Agreement; 

  

	 	(mm)	“Subscription Price” has the meaning ascribed to such term on the face page of this Subscription Agreement; 

  

	 	(nn)	“Subsidiary” means ESSA Pharmaceuticals Corp.; 

  

	 	(oo)	“Term Sheet” has the meaning ascribed to such term on the face page of this Subscription Agreement; 

  

	 	(pp)	“Transfer Agent” means Computershare Investor Services Inc. as registrar and transfer agent for the Common Shares and the preferred shares in the capital of the Corporation; 

 

	 	(qq)	“TSX” means the Toronto Stock Exchange; 

  

	 	(rr)	“United States” means the United States of America, its territories and possessions, any State of the United States and the District of Columbia; 

 

	 	(ss)	“USPTO” means the United States Patent and Trademark Office; 

  

	 	(tt)	“US$” means United States dollars; 

  

	 	(uu)	“U.S. Accredited Investor” means an “accredited investor” who satisfies one or more of the criteria of Rule 501(a) of Regulation D under the U.S. Securities Act; 

 

	 	(vv)	“U.S. Securities Act” means the United States Securities Act of 1933, as the same has been, and hereafter from time to time, may be amended; and 

  
 - 4 - 

	 	(ww)	“U.S. Securities Laws” means the U.S. Securities Act, the United States Securities Exchange Act of 1934, as same has been, and hereafter from time to time, may be amended, and all rules and regulations
promulgated thereunder and the applicable securities laws of the states of the United States. 

 For greater certainty, the parties hereby
acknowledge and agree that, if the Subscriber is acting as agent or trustee on behalf of a Disclosed Principal, the words “Subscriber”, “it” and “its”, whenever used in relation to representations, warranties,
acknowledgements, covenants or indemnities (including in Sections 6 to 8) mean the Subscriber and, unless the context otherwise requires, the Disclosed Principal. 

2.    Subscription. The Subscriber hereby confirms its irrevocable subscription for the Common Shares from the
Corporation, and the Corporation hereby confirms its acceptance of such subscription, on and subject to the terms and conditions set out in this Subscription Agreement, for the Aggregate Subscription Price which is payable as described herein. Each
of the Subscriber (on its own behalf and, if applicable, on behalf of each Disclosed Principal) and the Corporation acknowledges that this Subscription Agreement constitutes a binding obligation of the Subscriber (including, if applicable, each
Disclosed Principal) and the Corporation subject to the terms and conditions contained herein. 
 3.    Exempt
Issuance. The Subscriber acknowledges and agrees that the acceptance of this Subscription Agreement as set forth in Section 2 is conditional upon, among other things, the sale of the Common Shares to the Subscriber being exempt from any
prospectus and offering memorandum requirements of applicable Securities Laws and the equivalent provisions of securities laws of any other applicable jurisdiction and, to the extent possible, the Subscriber agrees to furnish the Corporation with
all information that is reasonably necessary to confirm same. 
 4.    Closing. Delivery and sale of the Common
Shares and payment of the Aggregate Subscription Price will be completed (the “Closing”) at the offices of counsel to the Corporation at the Closing Time or at such other time and place as the Corporation may determine. If, prior to
the Closing Time, the terms and conditions contained in this Subscription Agreement have been complied with to the satisfaction of the Corporation and the Subscriber, the Subscriber shall deliver or cause to be delivered to the Corporation its
completed Subscription Agreement and payment of the Aggregate Subscription Price for all of the Common Shares sold pursuant to the Subscription Agreement against delivery by the Corporation of direct registration system advices or similar documents
evidencing the electronic registration of ownership of the Common Shares (“DRS Advices”) or certificates representing the Common Shares purchased by the Subscriber and such other documentation as may be required pursuant to this
Subscription Agreement. 
 5.    Conditions of Closing. The obligations of the parties hereunder are subject
to all required regulatory approvals being obtained. The Subscriber acknowledges and agrees that the obligations of the Corporation hereunder are conditional on the accuracy of the representations and warranties of the Subscriber contained in this
Subscription Agreement as of the date of this Subscription Agreement, and as of the Closing Time as if made at and as of the Closing Time, and the fulfillment of the following additional conditions as soon as possible and in any event not later than
the Closing Time: 
  

	 	(a)	payment by the Subscriber of the Aggregate Subscription Price by certified cheque, money order, bank draft, wire transfer to the coordinates set forth in Schedule C attached hereto, or other acceptable
means payable to “ESSA Pharma Inc.”; 

  

	 	(b)	the Subscriber having properly completed, signed and delivered this Subscription Agreement and all applicable schedules (with payment) to the Corporation; and 

 

	 	(c)	the Subscriber having properly completed, signed and delivered to the Corporation Schedule B attached hereto. 

The Corporation acknowledges and agrees that the obligations of the Subscriber hereunder are conditional on the accuracy of the representations and warranties
of the Corporation contained in this Subscription Agreement as of the date of this Subscription Agreement, and as of the Closing Time as if made at and as of the Closing Time, and the fulfillment of the following additional conditions as soon as
possible and in any event not later than the Closing Time: 
  

	 	(a)	the Corporation having countersigned this Subscription Agreement; 

  
 - 5 - 

	 	(b)	the Corporation having delivered a copy of the TSX conditional approval letter indicating that the application for the listing of the Common Shares issuable pursuant to the Offering has been approved, subject only to
satisfaction by the Corporation of the customary conditions that may be satisfied post-closing as specified by the TSX in the conditional approval letter in respect of the Offering (the “Standard Listing Conditions”);

  

	 	(c)	the Corporation having delivered evidence that it has filed the notification of the Offering to NASDAQ; 

  

	 	(d)	the Corporation having delivered a legal opinion dated as of the Closing Date, in form and substance satisfactory to counsel to the Subscriber, acting reasonably, addressed to the Subscriber from U.S. counsel to the
Corporation, and based upon such assumptions as are reasonable, to the effect that registration under the U.S. Securities Act is not required in connection with the offer or sale of the Common Shares in the United States; 

 

	 	(e)	the Corporation having delivered a legal opinion to the effect set forth below dated as of the Closing Date, in form and substance satisfactory to counsel to the Subscriber, acting reasonably, addressed to the
Subscriber and counsel to the Subscriber from counsel to the Corporation, Blake, Cassels & Graydon LLP (which counsel in turn may rely upon the opinions of local counsel where they deem such reliance proper as to the laws other than those
of Canada, British Columbia, Alberta and Ontario, and, as to matters of fact, on certificates of public officials and officers of the Corporation): 

  

	 	(i)	as to the incorporation and existence of the Corporation under the laws of the Province of British Columbia and as to the Corporation having all requisite corporate power and capacity under the laws of the Province of
British Columbia and the federals laws of Canada to carry on its business as presently carried on and to own and lease its properties and assets; 

  

	 	(ii)	as to the authorized and issued and outstanding share capital of the Corporation; 

  

	 	(iii)	as to the corporate power and authority of the Corporation to carry out its obligations under the Subscription Agreement and to issue the Common Shares; 

 

	 	(iv)	that the execution and delivery of this Subscription Agreement and the performance by the Corporation of its obligations hereunder does not and will not conflict with, result in a breach of or create a state of facts
which, whether with or without the giving of notice or lapse of time or both, will result in a breach or violation of any of the terms, conditions or provisions of (A) the notice of articles or articles of the Corporation, (B) the
resolutions of the board of directors or the shareholders of the Corporation, or (C) any applicable law; 

  

	 	(v)	that the Subscription Agreement has been duly authorized and executed and delivered by the Corporation, and constitutes a valid and legally binding obligation of the Corporation enforceable against it in accordance with
its terms, subject to customary qualifications, including that enforcement thereof may be limited by bankruptcy, insolvency, liquidation, reorganization, moratorium or similar laws affecting the rights of creditors generally and except as limited by
the application of equitable principles when equitable remedies are sought, and the qualification that the enforceability of rights of indemnity and contribution may be limited by applicable law; 

  
 - 6 - 

	 	(vi)	the offering, issue, sale and delivery by the Corporation of the Common Shares is exempt from the prospectus and registration requirements of Canadian Securities Laws and no documents are required to be filed (other
than specified forms accompanied by requisite filing fees), proceedings taken or approvals, permits, consents or authorizations obtained under Canadian Securities Laws to permit such issuance and sale; it being noted, however, that the Corporation
is required to file or cause to be filed with the British Columbia Securities Commission a Form 45-106F6 (and, if applicable, a Form 45-106F1 in other jurisdictions of
Canada) prepared and executed pursuant to NI 45-106, together with the prescribed filing fee, within 10 days following the Closing Date; 

 

	 	(vii)	other than a trade that is otherwise exempt from the prospectus and registration requirements of Canadian Securities Laws, the first trade, if any, by the Subscriber of the Common Shares, is a distribution, unless at
the time of such trade: 

  

	 	(A)	the Corporation is and has been a reporting issuer in a jurisdiction for the four months immediately preceding the trade; 

  

	 	(B)	at least four months have elapsed from the distribution date of the Common Shares; 

  

	 	(C)	the certificates representing the Common Shares, if any, carry the legend required by Section 2.5(2)3(i) or (ii) of National Instrument 45-102 – Resale of
Securities, or if the Common Shares are entered into a direct registration or other electronic book-entry system, or if the Subscriber did not directly receive a certificate representing the Common Shares, the Subscriber received a written
notice containing the legend restriction notation set out in Section 2.5(2)3(i) or (ii) of National Instrument 45-102 – Resale of Securities; 

 

	 	(D)	the trade is not a “control distribution” as defined in National Instrument 45-102 – Resale of Securities; 

 

	 	(E)	no unusual effort is made to prepare the market or to create a demand for the Common Shares subject to such trade and no extraordinary commission or consideration is paid to a person or company in respect of the trade;
and  

  

	 	(F)	if the seller of the Common Shares is an “insider” or “officer” of the Corporation (as those terms are defined in Canadian Securities Laws), the seller has no reasonable grounds to believe that the
Corporation is in default of any requirement of securities legislation; 

  

	 	(viii)	the Common Shares have been duly authorized and validly issued as fully-paid and non-assessable shares of the Corporation; 

 

	 	(ix)	the form of share certificate representing the Common Shares has been duly approved and adopted by the Corporation and complies in all material respects with the constating documents of the Corporation, the Corporations
Act and the TSX Company Manual; 

  

	 	(x)	the Corporation is not included on the list of issuers in default maintained by the securities commissions in each jurisdiction in which the Corporation is a reporting issuer; 

  
 - 7 - 

	 	(xi)	that Computershare Investor Services Inc. at its principal office in the City of Vancouver has been duly appointed as the Transfer Agent and registrar for the Common Shares; 

 

	 	(xii)	the Common Shares have been conditionally approved for listing on the TSX subject only to the Standard Listing Conditions; and 

  

	 	(xiii)	such other matters as the Subscriber’s legal counsel may reasonably request prior to the Closing Time; 

  

	 	(f)	the Corporation having delivered certificates dated the Closing Date addressed to the Subscriber and counsel to the Subscriber and signed by appropriate officers of the Corporation, with respect to the constating
documents of the Corporation, all resolutions of the board of directors of the Corporation relating to the Subscription Agreement, the incumbency and specimen signatures of signing officers of the Corporation and with respect to such other matters
as the Subscriber may reasonably request; 

  

	 	(g)	the Corporation having delivered a certificate dated the Closing Date addressed to the Subscriber and counsel to the Subscriber and signed on behalf of the Corporation by the Chief Executive Officer and the Chief
Financial Officer of the Corporation or other officers of the Corporation acceptable to the Subscriber, certifying for and on behalf of the Corporation, without personal liability, after having made due enquiry, that: 

 

	 	(i)	the Corporation has complied with and satisfied in all material respects the covenants, terms and conditions of the Subscription Agreement on its part to be complied with and satisfied up to the Closing Time;

  

	 	(ii)	the representations and warranties of the Corporation contained in the Subscription Agreement are true and correct in all material respects as of the Closing Time with the same force and effect as if made at and as of
the Closing Time; 

  

	 	(iii)	the Corporation has made and/or obtained on or prior to the Closing Time, all necessary filings, approvals, consents and acceptances of applicable regulatory authorities and under any applicable agreement or document to
which the Corporation is a party or by which it is bound, required for the execution and delivery of the Subscription Agreement, the Offering and the consummation of the other transactions contemplated by the Subscription Agreement (subject to
completion of filings with certain regulatory authorities following the Closing Date); 

  

	 	(iv)	no order, ruling or determination having the effect of suspending the sale of the Common Shares has been issued by any regulatory authority and is continuing in effect and no proceedings for that purpose have been
instituted or are pending or, to the knowledge of such officer of the Corporation, contemplated or threatened under any applicable Securities Laws or by any other regulatory authority; and 

 

	 	(v)	such other matters as the Subscriber may reasonably request; 

  

	 	(h)	the Corporation having made and/or obtained the necessary filings, approvals, consents and acceptances of the appropriate regulatory authorities required to be made or obtained by the Corporation in connection with the
sale of the Common Shares in the selling jurisdictions prior to the Closing Time as herein contemplated (other than the Corporation filing with the British Columbia Securities Commission a Form 45-106F6 (and,
if applicable, a Form 45-106F1 in other jurisdictions of Canada) prepared, executed and filed in accordance with applicable Securities Laws and accompanied by the prescribed fees and fee checklist form, if
any, and the filing of a form D with the SEC and state securities regulators, as applicable, which shall not occur prior to the Closing Time); 

  
 - 8 - 

	 	(i)	the Subscriber having received confirmation from the Corporation that the Corporation is not on the defaulting issuer’s list (or equivalent) maintained by the securities commissions in each jurisdiction in which
the Corporation is a reporting issuer. 

 6.    Representations, Warranties and Covenants of the
Corporation. By executing this Subscription Agreement, the Corporation represents, warrants, covenants and acknowledges to and with the Subscriber (and acknowledges and agrees that the Subscriber and its legal counsel are relying thereon)
that: 
  

	 	(a)	the Corporation is a corporation duly organized and validly existing under the laws of the jurisdiction in which it was incorporated, has all requisite corporate power and authority and is duly qualified and holds all
necessary material permits, licences and authorizations necessary or required to carry on its business as now conducted and to own, lease or operate its properties and assets and no steps or proceedings have been taken by any person, voluntary or
otherwise, requiring or authorizing its dissolution or winding up, and the Corporation has all requisite power and authority to enter into this Subscription Agreement and to carry out its obligations hereunder; 

 

	 	(b)	the execution and delivery of this Subscription Agreement, the performance by the Corporation of its obligations hereunder, the issue and sale of the Common Shares and the consummation of the transactions contemplated
hereunder, do not and will not conflict with or result in a breach or violation of any of the terms or provisions of, or constitute a material default under (whether after notice or lapse of time or both) (A) any statute, rule or regulation
applicable to the Corporation or the Subsidiary including, without limitation, applicable Securities Laws or the rules and regulations of the TSX and NASDAQ; (B) the constating documents, by-laws or
resolutions of the Corporation or the Subsidiary which are in effect at the date hereof; (C) any mortgage, note, indenture, contract, agreement, joint venture, partnership, instrument, lease or other document to which the Corporation or the
Subsidiary is a party or by which the Corporation or the Subsidiary is bound; or (D) any judgment, decree or order binding the Corporation or the Subsidiary or any of their respective properties or assets; 

 

	 	(c)	the Corporation does not beneficially own or exercise control or direction over 10% or more of the outstanding voting shares of any company other than the Subsidiary, which is wholly-owned by the Corporation, and all of
the issued and outstanding shares of the Subsidiary are issued as fully paid and non-assessable shares, free and clear of all mortgages, liens, charges, pledges, security interests, encumbrances, claims or
demands whatsoever and no person, firm or corporation has any agreement, option, right or privilege (whether present or future, contingent or absolute, pre-emptive or contractual) capable of becoming an
agreement, for the purchase from the Corporation or the Subsidiary of any interest in any of the shares of the Subsidiary or for the issue or allotment of any unissued shares in the capital of the Subsidiary or any other security convertible into or
exchangeable for any such shares of the Subsidiary; 

  

	 	(d)	the Subsidiary is a corporation duly organized and validly existing under the laws of the jurisdiction in which it was incorporated, has all requisite corporate power and authority and is duly qualified and holds all
necessary material permits, licences and authorizations necessary or required to carry on its business as now conducted and to own, lease or operate its properties and assets and no steps or proceedings have been taken by any person, voluntary or
otherwise, requiring or authorizing its dissolution or winding up; 

  

	 	(e)	the Subsidiary has no material assets or liabilities, is not party to any material agreement (other than those agreements set out in Schedule 6(e) attached hereto) and no material revenues are booked through the
Subsidiary; 

  

	 	(f)	neither the Corporation nor the Subsidiary is in default or in breach in any material respect of the constating documents, by-laws or resolutions of its directors or shareholders
or any mortgage, note, indenture, contract, agreement, joint venture, partnership, instrument, lease or other document to which the Corporation or the Subsidiary is a party or by which the Corporation or the Subsidiary is bound; 

  
 - 9 - 

	 	(g)	all consents, approvals, permits, authorizations or filings as may be required under applicable Securities Laws necessary for (i) the execution and delivery of the Subscription Agreement, (ii) the issuance of
the Common Shares, and (iii) the completion of the transactions contemplated hereby, have been made or obtained, as applicable, subject to the Corporation filing with the securities commissions in the applicable jurisdictions in Canada, within
10 days from the date of the sale of the Common Shares, a Form 45-106F6 prepared and executed in accordance with applicable Securities Laws and accompanied by the prescribed fees and fee checklist form, if
any, and the filing by the Corporation of a Form D under Regulation D with the SEC and state securities regulations, as applicable; 

  

	 	(h)	neither the Corporation nor the Subsidiary has approved, is contemplating, or has entered into any agreement in respect of, and neither the Corporation nor the Subsidiary has any knowledge of: (A) the purchase of
any property material to the Corporation or the Subsidiary or assets or any interest therein or the sale, transfer or other disposition of any property material to the Corporation or the Subsidiary or assets or any interest therein currently owned,
directly or indirectly, by the Corporation or the Subsidiary whether by asset sale, transfer or sale of shares or otherwise; or (B) the change of control (by sale or transfer of shares or sale of all or substantially all of the property and
assets of the Corporation or the Subsidiary) of the Corporation or the Subsidiary; 

  

	 	(i)	the Financial Statements have been prepared in accordance with international financial reporting standards (“IFRS”) and consistently applied throughout the period referred to therein, contain no
misrepresentation and present fully, fairly and correctly, in all material respects, the financial condition of the Corporation as at the dates thereof and the results of the operations and the changes in the financial position of the Corporation
for the periods then ended and contain and reflect adequate provisions or allowance for all reasonably anticipated liabilities, expenses and losses of the Corporation. Since September 30, 2015, there has been no change in accounting policies or
practices of the Corporation, other than as required by IFRS or as disclosed in the Financial Statements, or any other material, non-ordinary course change in the assets, liabilities, financial condition or
operating results of the Corporation, other than as disclosed in the Financial Statements. Other than those which have been disclosed in writing to the Subscriber or which would not have a Material Adverse Effect, there are no contingent liabilities
affecting the Corporation;  

  

	 	(j)	all taxes (including income tax, capital tax, payroll taxes, employer health tax, workers’ compensation payments, property taxes, custom and land transfer taxes), duties, royalties, levies, imposts, assessments,
deductions, charges or withholdings and all liabilities with respect thereto including any penalty and interest payable with respect thereto (collectively, “Taxes”) due and payable by the Corporation and the Subsidiary have been
paid. All tax returns, declarations, remittances and filings required to be filed by each of the Corporation and the Subsidiary have been filed with all appropriate governmental authorities and all such returns, declarations, remittances and filings
are complete and accurate and no material fact or facts have been omitted therefrom which would make any of them misleading. To the Corporation’s knowledge, no examination of any tax return of the Corporation of the Subsidiary is currently in
progress and there are no issues or disputes outstanding with any governmental authority respecting any Taxes that have been paid, or may be payable, by the Corporation or the Subsidiary; 

  
 - 10 - 

	 	(k)	no holder of outstanding shares in the capital of the Corporation is or will be entitled to any pre-emptive or any similar rights to subscribe for any Common Shares or other
securities of the Corporation and, other than as set out in Schedule 6(k) attached hereto, no rights, warrants or options to acquire, or instruments convertible into or exercisable or exchangeable for, any shares in the capital of the
Corporation or the Subsidiary are outstanding. Other than as set out in Schedule 6(k), the Corporation is not a party or subject to any agreement or understanding, and to the Corporation’s knowledge, there is no agreement or
understanding between any persons, which (i) affects or relates to the voting or giving of written consents with respect to any security or by a director of the Corporation, (ii) provides anti-dilution protection to any security holder, or
(iii) otherwise relates to the Corporation’s securities, including, without limitation, the issuance, sale, transfer, repurchase, voting or registration thereof, other than pursuant to equity compensation arrangements. The release schedule
provided to the Subscriber’s counsel sets forth the dates on which the Corporation’s securities will no longer be subject to escrow, lock-up or other restrictions, in each case, in accordance with
the applicable agreements, copies of which have been provided; 

  

	 	(l)	no material legal or governmental proceedings or inquiries are pending to which the Corporation or the Subsidiary is a party or to which their respective properties are subject that would result in the revocation or
modification of any material contract, order, certificate, right, authority, permit or license necessary to conduct the business now owned or operated by the Corporation or the Subsidiary and, to the knowledge of the Corporation, no such legal or
governmental proceedings or inquiries have been threatened against or are contemplated with respect to the Corporation or the Subsidiary or with respect to their respective properties; 

 

	 	(m)	neither the Corporation nor the Subsidiary has defaulted in the performance or observance of any material obligation, agreement, covenant or condition contained in any contract, indenture, trust deed, mortgage, loan
agreement, note, lease or other agreement or instrument to which it is a party or by which it or its property may be bound. Other than as set forth on Schedule 6(m) hereto, the Corporation is not party to or bound by any of the following:
(i) agreements that include the license of material Intellectual Property to or by the Corporation, (ii) agreements that contain provisions materially restricting the Corporation’s business, including, without limitation, any non-competition, exclusivity, right of first refusal or offer, or other similar provisions, (iii) partnership or joint venture agreements; (iv) employment, compensation, severance or other agreements with
directors, officers, or employees of the Corporation; (v) “change of control” agreements or similar agreements that, in connection with a change of control (by sale or transfer of shares or sale of all or substantially all of the property
and assets of the Corporation) of the Corporation would (A) entitle any Person to any payment or other consideration or to an increase thereof, or (B) accelerate the time of payment or vesting of any rights; or (vi) other material
agreements. The Corporation’s relationships with suppliers, vendors and service providers are good commercial working relationships. To the knowledge of the Corporation, no material supplier, vendor or service provider has terminated or
threatened to terminate its relationship with the Corporation or has decreased or limited materially the services, supplies or materials supplied to the Corporation; 

 

	 	(n)	the Corporation or the Subsidiary, as applicable, owns or has the right to use under license, sub-license or otherwise all Intellectual Property (i) used by the Corporation
or the Subsidiary or (ii) necessary to operate the business of the Corporation or the Subsidiary; 

  

	 	(o)	any and all of the agreements and other documents and instruments pursuant to which the Corporation or the Subsidiary holds the property and assets thereof (including any interest in, or right to earn an interest in,
any property) are valid and subsisting agreements, documents or instruments in full force and effect, enforceable in accordance with terms thereof. Neither the Corporation nor the Subsidiary is in default of any of the material provisions of any
such agreements, documents or instruments nor has any such default been alleged and such properties and assets are in good standing under the applicable statutes and regulations of the jurisdictions in which they are situated, all leases, licences
and claims pursuant to which the Corporation or the Subsidiary derive the interests thereof in such property and assets are in good standing and there has been no material default under any such lease, licence or claim. The properties (or any
interest in, or right to earn an interest in, any property) of each of the Corporation and the Subsidiary are not subject to any right of first refusal or purchase or acquisition right; 

  
 - 11 - 

	 	(p)	this Subscription Agreement has been duly authorized and executed and delivered by the Corporation and constitutes a valid and binding obligation of the Corporation enforceable against the Corporation in accordance with
its terms, except as enforcement thereof may be limited by the Enforceability Qualifications; 

  

	 	(q)	at the Closing Time all necessary corporate action will have been taken by the Corporation to validly issue the Common Shares, which Common Shares shall be issued as fully paid and
non-assessable securities in the capital of the Corporation; 

  

	 	(r)	the authorized capital of the Corporation consists of an unlimited amount of Common Shares and an unlimited amount of preferred shares of which, as at the close of business on the Business Day immediately preceding the
date hereof, 27,409,223 Common Shares and nil preferred shares were issued and outstanding as fully paid and non-assessable shares in the capital of the Corporation. There is sufficient authorized capital for
the issuance of all Common Shares contemplated hereby and all outstanding convertible securities of the Corporation; 

  

	 	(s)	except for the Corporation guaranteeing certain obligations of the Subsidiary under the Leases, neither the Corporation nor the Subsidiary has made any loans to or guaranteed the obligations of any person;

  

	 	(t)	with respect to each premises of the Corporation and the Subsidiary which is material to each of the Corporation and the Subsidiary and which each of the Corporation and the Subsidiary occupies as tenant (each, a
“Leased Premises”), each of the Corporation and the Subsidiary occupies its respective Leased Premises and has the exclusive right to occupy and use such Leased Premises and each of the leases pursuant to which the Corporation and
the Subsidiary occupies its respective Leased Premises is in good standing and in full force and effect; 

  

	 	(u)	each of the Corporation and the Subsidiary is and has been in compliance with all applicable laws respecting employment and employment practices, terms and conditions of employment, pay equity and wages, except where non-compliance with such laws could not reasonably be expected to have a Material Adverse Effect, and neither the Corporation nor the Subsidiary has or is engaged in any unfair labour practice; 

 

	 	(v)	none of the directors, officers or employees of the Corporation or the Subsidiary or any associate or affiliate of any of the foregoing had or has any material interest, direct or indirect, in any transaction or any
proposed transaction with the Corporation or the Subsidiary which, as the case may be, materially affects, is material to or will materially affect the Corporation or the Subsidiary; 

 

	 	(w)	there have not been and there are not currently any material disagreements with any employee or employees of the Corporation or the Subsidiary which are adversely affecting or could adversely affect the business of the
Corporation or the Subsidiary; 

  

	 	(x)	the assets of each of the Corporation and the Subsidiary and their respective businesses and operations are insured against loss or damage with responsible insurers on a basis consistent with insurance obtained by
reasonably prudent participants in comparable businesses, and such coverage is in full force and effect, and neither the Corporation nor the Subsidiary has failed to promptly give any notice of any material claim thereunder; 

 

	 	(y)	the minute books and records of each of the Corporation and the Subsidiary made available to the Subscriber in connection with its due diligence investigation of the Corporation and the Subsidiary for the periods from
each of the Corporation’s and the Subsidiary’s date of incorporation to the date hereof are all of the minute books and records of the Corporation and the Subsidiary, respectively, and contain copies of all proceedings (or certified copies
thereof or drafts thereof pending approval) of the shareholders, the directors and all committees of directors of the Corporation and the Subsidiary to the date of review of such corporate records and minute books and there have been no other
meetings, resolutions or proceedings of the shareholders, directors or any committees of the directors of the Corporation or the Subsidiary to the date hereof not reflected in such minute books and other records, other than those which have been
disclosed in writing to the Subscriber;  

  
 - 12 - 

	 	(z)	in connection with the ownership, use, maintenance or operation of their properties and assets, including the Leased Premises, neither the Corporation nor the Subsidiary has been in violation of any applicable federal,
provincial, municipal or local laws, by-laws, regulations, orders, policies, permits, licences, certificates or approvals having the force of law, domestic or foreign, relating to environmental, health or
safety matters (collectively the “Environmental Laws”) which violation would have a Material Adverse Effect; 

  

	 	(aa)	without limiting the generality of subsection (z) immediately above, the Corporation does not have any knowledge of, and has not received any notice of, any material claim, judicial or administrative proceeding,
pending or threatened against, or which may affect the Corporation or the Subsidiary or any of the property, assets or operations thereof, relating to, or alleging any violation of any Environmental Laws; to the Corporation’s knowledge, there
are no facts which could give rise to any such claim or judicial or administrative proceeding; to the best of the Corporation’s knowledge, neither the Corporation nor the Subsidiary nor any of the property, assets or operations thereof is the
subject of any investigation, evaluation, audit or review by any Governmental Authority (which term means and includes any national, federal government, province, state, municipality or other political subdivision of any of the foregoing, any entity
exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government and any corporation or other entity owned or controlled (through stock or capital ownership or otherwise) by any of the foregoing) to
determine whether any violation of any Environmental Laws has occurred or is occurring or whether any remedial action is needed in connection with a release of any contaminant into the environment, except for compliance investigations conducted in
the normal course by any governmental authority; 

  

	 	(bb)	there are no orders, rulings or directives issued, pending or, to the best of the Corporation’s knowledge, threatened against the Corporation or the Subsidiary under or pursuant to any Environmental Laws requiring
any work, repairs, construction or capital expenditures with respect to the property or assets of the Corporation or the Subsidiary (including the Leased Premises) which would have a Material Adverse Effect; 

 

	 	(cc)	there is no person that is entitled to any brokerage or finder’s fee in connection with the transactions contemplated by this Subscription Agreement; 

 

	 	(dd)	the Transfer Agent has been duly appointed as registrar and transfer agent for the Common Shares and preferred shares of the Corporation; 

 

	 	(ee)	except pursuant to the CPRIT Agreement, the Corporation and the Subsidiary are the sole legal and beneficial owners of, have good and marketable title to, and owns all right, title and interest in all Corporation IP
free and clear of all encumbrances, charges, covenants, conditions, options to purchase and restrictions or other adverse claims or interest of any kind or nature, and the Corporation has no knowledge of any claim of adverse ownership in respect
thereof. No consent of any person is necessary to make, use, reproduce, license, sell, modify, update, enhance or otherwise exploit any Corporation IP and none of the Corporation IP comprises an improvement to Licensed IP that would give any person
any rights to the Corporation IP, including, without limitation, rights to license the Corporation IP. Each of the Corporation and the Subsidiary has a valid and enforceable right to the Licensed IP used or held for use in the business of each of
the Corporation and the Subsidiary; 

  
 - 13 - 

	 	(ff)	neither the Corporation nor the Subsidiary has received any notice or claim (whether written, oral or otherwise) challenging in any manner whatsoever either the Corporation’s or the Subsidiary’s ownership or
right to use any of the Corporation IP or the Licensed IP or suggesting that any other person (other than, with respect to any Licensed IP, the licensor of such Licensed IP) has any claim of legal or beneficial ownership or other claim or interest
with respect thereto, nor, to the knowledge of the Corporation (including its officers, directors and employees, and the Corporation’s Intellectual Property consultants and managers), is there a reasonable basis for any claim that any person
other than the Corporation, the Subsidiary, or with respect to any Licensed IP, the licensor of such Licensed IP, has any claim of legal or beneficial ownership or other claim or interest in any of the Corporation IP or the Licensed IP;

  

	 	(gg)	all applications for registration of any Registered Corporation IP and Registered Licensed IP are in good standing, are recorded in the name of the Corporation or the Subsidiary (with respect to Registered Corporation
IP) and have been filed in a timely manner in the appropriate offices to preserve the rights thereto and, in the case of a provisional application with respect to any Registered Corporation IP, the Corporation confirms that all right, title and
interest in and to the invention(s) disclosed in such application have been or as of the Closing Date will be assigned in writing (without any express right to revoke such assignment) to the Corporation or the Subsidiary. There has been no public
disclosure, sale or offer for sale of any Corporation IP or Licensed IP by the Corporation anywhere in the world that may prevent the valid issue of all available Intellectual Property rights in such Corporation IP or Licensed IP. All material prior
art or other information has been disclosed to the appropriate offices as required in accordance with Applicable IP Laws in the jurisdictions where the applications are pending; 

 

	 	(hh)	all registrations of Registered Corporation IP and Registered Licensed IP are in good standing and, with respect to Registered Corporation IP, are recorded in the name of the Corporation or the Subsidiary in the
appropriate offices to preserve the rights thereto. All such registrations have been filed, prosecuted and obtained in accordance with all Applicable IP Laws and are currently in effect and in compliance with all Applicable IP Laws. To the knowledge
of the Corporation (including its officers, directors and employees, and the Corporation’s Intellectual Property consultants and managers), no registration of Registered Corporation IP or Registered Licensed IP has expired, become abandoned,
been cancelled or expunged, or has lapsed for failure to be renewed, maintained or otherwise; 

  

	 	(ii)	the conduct of the business of each of the Corporation and the Subsidiary (including, without limitation, the use or other exploitation of the Corporation IP by each of the Corporation and the Subsidiary or other
licensees) has not infringed, violated, misappropriated or otherwise conflicted with, and, to the knowledge of the Corporation (including its officers, directors and employees, and the Corporation’s Intellectual Property consultants and
managers), does not infringe, violate, misappropriate or otherwise conflict with any Intellectual Property right of any person; 

  

	 	(jj)	neither the Corporation nor the Subsidiary is a party to any action or proceeding, nor, to the knowledge of the Corporation (including its officers, directors and employees, and the Corporation’s Intellectual
Property consultants and managers), is or has any action or proceeding been threatened that alleges that any current or proposed conduct of the business of each of the Corporation and the Subsidiary (including, without limitation, the use or other
exploitation of any Corporation IP or Licensed IP by the Corporation or the Subsidiary or any customers, distributors or other licensees) has or will infringe, violate or misappropriate or otherwise conflict with any Intellectual Property right of
any person; 

  

	 	(kk)	to the knowledge of the Corporation (including its officers, directors and employees, and the Corporation’s Intellectual Property consultants and managers), no person has interfered with, infringed upon,
misappropriated, illegally exported, or violated any rights with respect to the Corporation IP or the Licensed IP; 

  
 - 14 - 

	 	(ll)	the Corporation has entered into valid and enforceable written agreements pursuant to which the Corporation has been granted all licenses and permissions to use, reproduce, sub license, sell, modify, update, enhance or
otherwise exploit the Licensed IP to the extent required to operate all aspects of the business of the Corporation currently conducted (including, if required, the right to incorporate such Licensed IP into the Corporation IP). All license
agreements in respect of the Licensed IP are in full force and effect, and neither the Corporation nor, to the knowledge of the Corporation (including its officers, directors and employees, and the Corporation’s Intellectual Property
consultants and managers), any other person is in default of its obligations thereunder; 

  

	 	(mm)	to the extent that any of the Corporation IP or Licensed IP is licensed or disclosed to any person or any person has access to such Corporation IP or such Licensed IP (including, without limitation, any employee,
officer, shareholder or consultant of the Corporation or the Subsidiary), each of the Corporation and the Subsidiary has entered into a valid and enforceable written agreement which contains terms and conditions prohibiting the unauthorized use,
reproduction, disclosure, reverse engineering or transfer of such Corporation IP or Licensed IP by such person. All such agreements are in full force and effect, and neither the Corporation nor the Subsidiary nor, to the knowledge of the Corporation
(including its officers, directors and employees, and the Corporation’s Intellectual Property consultants and managers), any other person is in default of its obligations thereunder; 

 

	 	(nn)	each of the Corporation and the Subsidiary has taken all actions that are contractually obligated to be taken and all actions that are customary and reasonable to protect the confidentiality of the Corporation IP and
the Licensed IP; 

  

	 	(oo)	neither the Corporation nor the Subsidiary is, and it will not be, necessary for the Corporation or the Subsidiary to utilize any Intellectual Property owned by or in possession of any of the employees (or people the
Corporation or the Subsidiary currently intends to hire) made prior to their employment with the Corporation or the Subsidiary in violation of the rights of such employee or any of his or her prior employers; 

 

	 	(pp)	neither the Corporation nor the Subsidiary has received any advice or any opinion that any of the Corporation IP or Licensed IP is invalid or unregistrable or unenforceable, in whole or in part; 

 

	 	(qq)	neither the Corporation nor the Subsidiary has received any grant relating to research and development which is subject to repayment in whole or in part or to conversion to debt upon sale of any securities of the
Corporation or the Subsidiary or which may affect the right of ownership of the Corporation or the Subsidiary in the Corporation IP or Licensed IP;  

  

	 	(rr)	each of the Corporation and the Subsidiary has and enforces a policy requiring each employee and consultant to execute a non-disclosure agreement substantially in the forms
provided to the Subscriber, and all current employees and consultants of each of the Corporation and the Subsidiary have executed such agreement and, to the knowledge of the Corporation (including its officers, directors and employees, and the
Corporation’s Intellectual Property consultants and managers), all past employees and consultants of each of the Corporation and the Subsidiary have executed such agreement; 

 

	 	(ss)	all of the present and past employees of the Corporation and the Subsidiary, and all of the present and past consultants, contractors and agents of the Corporation and the Subsidiary performing services relating to the
development, modification or support of the Corporation IP or the Licensed IP, have entered into a written agreement assigning to the Corporation and the Subsidiary, as applicable, all right, title and interest in and to all such Intellectual
Property; 

  

	 	(tt)	any and all fees or payments required to keep the Corporation IP and the Licensed IP in force or in effect have been paid; 

  
 - 15 - 

	 	(uu)	to the knowledge of the Corporation (including its officers, directors and employees, and the Corporation’s Intellectual Property consultants and managers), there is no claim of infringement or breach by the
Corporation or the Subsidiary of any industrial or Intellectual Property rights of any other person, nor has the Corporation or the Subsidiary received any notice or threat from any such third party, nor does the Corporation or its officers,
directors and employees, and the Corporation’s Intellectual Property consultants and managers have knowledge that the use of the business names, trademarks, service marks and other industrial or Intellectual Property of the Corporation or the
Subsidiary infringes upon or breaches any industrial or Intellectual Property rights of any other person; 

  

	 	(vv)	there are no Intellectual Property disputes, negotiations, agreements or communications between the Corporation or the Subsidiary and any other persons relating to or potentially relating to the business of the
Corporation or the Subsidiary; 

  

	 	(ww)	each of the Corporation and the Subsidiary has conducted and is conducting its business in compliance in all material respects with all applicable laws of each jurisdiction in which it carries on business and has not
received a notice of non-compliance, nor knows of, nor has reasonable grounds to know of, any facts that could give rise to a notice of non-compliance with any such
laws, regulations or permits; 

  

	 	(xx)	neither the Corporation nor its officers, directors and employees, and the Corporation’s Intellectual Property consultants and managers have knowledge of any reason as a result of which the Corporation or the
Subsidiary is not entitled to make use of and commercially exploit the Corporation IP and the Licensed IP. With respect to each license or agreement by which the Corporation or the Subsidiary has obtained the rights to exploit, in any way, the
Licensed IP rights of any other person or by which the Corporation or the Subsidiary has granted to any third party the right to so exploit such Licensed IP: 

  

	 	(i)	such license or agreement is in full force and effect and is legal, valid, binding and enforceable in accordance with its terms, except to the extent that enforceability may be limited by: (A) applicable
bankruptcy, insolvency, reorganization, moratorium, and other laws of general application affecting enforcement of creditors’ rights generally; or (B) laws relating to the availability of specific performance, injunctive relief, or other
equitable remedies, and represents the entire agreement between the parties thereto with respect to the subject matter thereof, and no event of default has occurred and is continuing under any such license or agreement; 

 

	 	(ii)	(A) neither the Corporation nor the Subsidiary has received any notice of termination or cancellation under such license or agreement, and no party thereto has any right of termination or cancellation thereunder except
in accordance with its terms; (B) neither the Corporation nor the Subsidiary has received any notice of a breach or default under such license or agreement which breach or default has not been cured; and (C) neither the Corporation nor the
Subsidiary has granted to any other person any rights adverse to, or in conflict with, such license or agreement; and 

  

	 	(iii)	neither the Corporation nor its officers, directors and employees, and the Corporation’s Intellectual Property consultants and managers have knowledge of any other party to such license or agreement that is in
breach or default thereof, and do not have knowledge of any event that has occurred that, with notice or lapse of time would constitute such a breach or default or permit termination, modification or acceleration under such license or agreement;

  

	 	(yy)	no litigation, legal or governmental proceedings or inquiries are in progress or pending to which the Corporation or the Subsidiary is a party or to which their respective businesses, assets and/or properties are
subject and no such litigation, legal or governmental proceedings or inquiries have been threatened against or, to the Corporation’s knowledge, are contemplated with respect to the Corporation or the Subsidiary or with respect to their
respective businesses, assets and/or properties; 

  
 - 16 - 

	 	(zz)	the Corporation is a reporting issuer under applicable Securities Laws in each of the provinces of British Columbia, Alberta and Ontario; the Corporation is not in default in any material respect of any requirement of
applicable Securities Laws nor is included in a list of defaulting reporting issuers maintained by the securities commissions British Columbia, Alberta and Ontario. In particular, without limiting the foregoing, the Corporation is in compliance at
the date hereof with its obligations to make timely disclosure of all material changes relating to it and, other than in respect of material change reports previously filed on a confidential basis and thereafter made public or material change
reports previously filed on a confidential basis and in respect of which no material change ever resulted, no such disclosure has been made on a confidential basis and there is no material change relating to the Corporation which has occurred and
with respect to which the requisite material change statement has not been filed, except to the extent that the Offering constitutes a material change; 

  

	 	(aaa)	the definitive form of certificate representing the Common Shares complies with the requirements of the Corporations Act and does not conflict with the constating documents of the Corporation; 

 

	 	(bbb)	there has never been a reportable disagreement (within the meaning of National Instrument 51-102 – Continuous Disclosure) with the Corporation’s auditors or, to
the knowledge of the Corporation, with the former auditors of the Corporation; 

  

	 	(ccc)	the Corporation maintains a system of internal accounting controls sufficient to provide reasonable assurance that: (i) transactions are executed in accordance with management’s general or specific
authorization; (ii) transactions are recorded as necessary to permit preparation of financial statements in conformity with generally accepted accounting principles and to maintain accountability for assets; (iii) access to assets is
permitted only in accordance with management’s general or specific authorization; and (iv) the recorded accountability for assets is compared with existing assets at reasonable intervals and appropriate action is taken with respect to any
differences; 

  

	 	(ddd)	the composition of the audit committee of the Corporation is in accordance with the requirements of National Instrument 52-110 – Audit Committees; 

 

	 	(eee)	all disclosure filings required to be made by the Corporation pursuant to the applicable Canadian Securities Laws have been made and such disclosure and filings were true and accurate as at the respective dates thereof,
and there are no material omissions contained therein which would render such disclosure and filings misleading; 

  

	 	(fff)	all disclosure filings required to be made by the Corporation pursuant to applicable U.S. Securities Laws have been made and, as of the respective dates thereof, none of such filings contained an untrue statement of a
material fact or omitted to state a material fact necessary in order to make the statements made, in the light of the circumstances under which thy were made, nor misleading; 

 

	 	(ggg)	the Corporation has not declared or paid any dividends or declared or made any other payments or distributions on or in respect of any of its Common Shares and has not, directly or indirectly, redeemed, purchased or
otherwise acquired any of the Common Shares or agreed to do so or otherwise effected any return of capital with respect to such shares; 

  

	 	(hhh)	the Corporation has, and to the best of the Corporation’s knowledge, the directors and officers of the Corporation have, answered every question or inquiry of the Subscriber in connection with the Subscriber’s
due diligence investigations fully and truthfully; 

  

	 	(iii)	the Corporation has provided the Subscriber with all information reasonably requested by the Subscriber in connection with the Offering. There is no material fact known to the Corporation that has not been publicly
disclosed in the Corporation’s securities filings or disclosed herein (including on any schedule hereto) which would result in a Material Adverse Effect. The Corporation has not withheld from the Subscriber any material fact relating to the
Corporation or to the Offering; 

  
 - 17 - 

	 	(jjj)	to the best of the Corporation’s knowledge it is not aware of any legislation, or proposed legislation (published by a legislative body), which it anticipates will materially and adversely affect the business,
affairs, operations, assets, liabilities (contingent or otherwise) or prospects of the Corporation or the Subsidiary; 

  

	 	(kkk)	neither the Corporation nor the Subsidiary has, and to the knowledge of the Corporation, no director, officer, agent, employee or other person associated with or acting on behalf of the Corporation or the Subsidiary
has: (i) used any corporate funds for any unlawful contribution, gift, entertainment or other unlawful expense relating to political activity; (ii) made any direct or indirect unlawful payment to any foreign or domestic government official
or employee from corporate funds; (iii) violated or is in violation of any provision of the Corruption of Foreign Officials Act (Canada) or similar legislation; or (iv) made any bribe, rebate, payoff, influence payment, kickback or
other unlawful payment; 

  

	 	(lll)	all clinical, pre-clinical and other studies and tests conducted by or on behalf of or sponsored by the Corporation or the Subsidiary (collectively “Clinical
Trials”) have been and are being conducted in accordance with all applicable laws where such studies and tests are being conducted, including applicable laws administered by Regulatory Authorities. Neither the Corporation nor the Subsidiary
has received any notices or written correspondence from any Regulatory Authority with respect to any Clinical Trial requiring the termination or suspension of such Clinical Trial; 

 

	 	(mmm)	the operations of each of the Corporation and the Subsidiary are and have been conducted at all times in compliance with applicable financial recordkeeping and reporting requirements of money laundering statutes, the
rules and regulations thereunder and any related or similar rules, regulations or guidelines, issued, administered or enforced by any government or governmental agency (collectively, the “Money Laundering Laws”) and no action, suit
or proceeding by or before any court or governmental agency, authority or body or any arbitrator involving the Corporation or the Subsidiary with respect to the Money Laundering Laws is pending, or to the best of the Corporation’s knowledge
threatened; 

  

	 	(nnn)	neither the Corporation nor the Subsidiary has, directly or indirectly: (i) made or authorized any contribution, payment or gift of funds or property to any official, employee or agent of any governmental agency,
authority or instrumentality of any jurisdiction; or (ii) made any contribution to any candidate for public office, in either case where either the payment or the purpose of such contribution, payment or gift was, is or would be prohibited
under the Canada Corruption of Foreign Public Officials Act (Canada) or the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (Canada) or the rules and regulations promulgated thereunder or under any other legislation of
any relevant jurisdiction covering a similar subject matter applicable to the Corporation or the Subsidiary and their respective operations, and will not use any portion of the gross proceeds, in contravention of such legislation; 

 

	 	(ooo)	each of the Corporation and the Subsidiary or, to the knowledge of the Corporation, any director, officer, agent, employee, affiliate or person acting on behalf of the Corporation or the Subsidiary has not been or is
not currently subject to any United States sanctions administered by the Office of Foreign Assets Control of the United States Treasury Department and the Corporation will not directly or indirectly use any proceeds of the Offering or lend,
contribute or otherwise make available such proceeds to the Corporation or the Subsidiary or to any affiliated entity, joint venture partner or other person or entity, to finance any investments in, or make any payments to, any country or person
targeted by any of the sanctions of the United States; 

  
 - 18 - 

	 	(ppp)	assuming the accuracy of the representations and warranties of the Subscribers in the Subscription Agreements, the issuance of the Common Shares will be exempt from registration under applicable Securities Laws;

  

	 	(qqq)	promptly following the Closing (and in any event within 30 calendar days following the Closing), the Corporation shall file a resale prospectus supplement under its Registration Statement on Form F-10, or such other form of registration statement as the Corporation is then eligible to use, with respect to resales, from time to time, of the Common Shares and any common shares in the capital of the Corporation
which are purchased by the Subscriber from Marianne Sadar, Raymond Andersen and/or Robert Rieder substantially concurrently with the Closing (the “Secondary Shares”) in the United States (the “Resale Registration”),
and shall maintain the effectiveness of such Resale Registration until such time as all of the Common Shares and Secondary Shares may be resold by the Subscriber without restriction pursuant to Rule 144 under the U.S. Securities Act. Upon the filing
of the Resale Registration, the Common Shares and the Secondary Shares shall be freely tradeable in the United States and the Corporation shall cause the Transfer Agent to electronically transmit the Common Shares and, if applicable, the Secondary
Shares to the Subscriber by crediting the account of the Subscriber’s custodian with DTC through its Deposit Withdrawal Account Commission System; 

  

	 	(rrr)	following Closing, upon written request from the Subscriber, the Corporation shall use commercially reasonable efforts to cause the Transfer Agent to issue and deliver certificates representing any Common Shares for
which the Subscriber’s ownership thereof, prior to such request, is described in a DRS Advice, provided that any certificates so issued shall contain any and all legends required by Securities Laws; and 

 

	 	(sss)	To the knowledge of the Corporation, the Corporation has not disclosed to the Subscriber any material fact or material change (as such terms are defined in the Securities Act (British Columbia)) with respect to
the Corporation, which material fact or material change has not been generally disclosed (within the meaning described in National Policy 51-201 – Disclosure Standards). 

7.    Representations, Warranties, Covenants and Acknowledgements of the Subscriber. By executing this
Subscription Agreement, the Subscriber (on its own behalf and, including if applicable, on behalf of each Disclosed Principal) represents, warrants, covenants and acknowledges to and with the Corporation (and acknowledges and agrees that the
Corporation and their legal counsel are relying thereon) that: 
 Authorization and Effectiveness 

 

	 	(a)	if the Subscriber is an individual, the Subscriber is of the full age of majority in the jurisdiction in which this Subscription Agreement is executed and is legally competent to execute, deliver and be bound by this
Subscription Agreement, to perform all of its obligations hereunder and to undertake all actions required of the Subscriber hereunder; 

  

	 	(b)	if the Subscriber is not an individual, the Subscriber has the requisite power, authority, legal capacity and competence to execute, deliver and be bound by this Subscription Agreement, to perform all of its obligations
hereunder and to undertake all actions required of the Subscriber hereunder, all necessary approvals of its directors, partners, shareholders, trustees or otherwise with respect to such matters have been given or obtained and the individual signing
this Subscription Agreement has been duly authorized; 

  

	 	(c)	if the Subscriber is a body corporate, the Subscriber is incorporated and validly subsisting under the laws of its jurisdiction of incorporation; 

 

	 	(d)	if the Subscriber is acting as principal, this Subscription Agreement has been duly and validly authorized, executed and delivered by the Subscriber and, when accepted by the Corporation, will constitute a legal, valid
and binding obligation enforceable against the Subscriber in accordance with the terms hereof (subject to bankruptcy, insolvency and other laws limiting the enforceability of creditors’ rights and subject to the qualification that equitable
remedies may only be granted in the discretion of a court of competent jurisdiction); 

  
 - 19 - 

	 	(e)	if the Subscriber is acting as agent or trustee (including, for greater certainty, a portfolio manager or comparable adviser) for a principal, the Subscriber is duly authorized to execute and deliver this Subscription
Agreement and all other necessary documents in connection with such subscription on behalf of such principal, each of whom is subscribing as principal for its own account and not for the benefit of any other person, and this Subscription Agreement
has been duly and validly authorized, executed and delivered by or on behalf of, and, when accepted by the Corporation, will constitute a legal, valid and binding obligation enforceable in accordance with the terms hereof (subject to bankruptcy,
insolvency and other laws limiting the enforceability of creditors’ rights and subject to the qualification that equitable remedies may only be granted in the discretion of a court of competent jurisdiction) against, such principal;

  

	 	(f)	the execution and delivery of this Subscription Agreement, the performance and compliance with the terms hereof, the subscription for the Common Shares and the completion of the transactions contemplated hereby will not
result in any material breach of, or be in conflict with or constitute a material default under, or create a state of facts which, after notice or lapse of time, or both, would constitute a material default under any term or provision of the
constating documents, by-laws or resolutions of the Subscriber or a Disclosed Principal (if not an individual), Securities Laws or any other applicable law, any agreement to which the Subscriber or a Disclosed
Principal is a party or any regulation, judgment, decree, order or ruling applicable to the Subscriber and/or the Disclosed Principal; 

  

	 	(g)	the Subscriber is not a person created or used solely to purchase or hold securities in order to comply with or rely upon an exemption from the prospectus requirements of applicable Securities Laws and except as
disclosed in writing to the Corporation, the Subscriber does not act jointly or in concert with any other person or company for the purposes of acquiring securities of the Corporation; 

Disclosure if Purchasing as Agent or Trustee 
  

	 	(h)	if the Subscriber is not subscribing as principal, the Subscriber acknowledges that the Corporation may be required by law to disclose to applicable securities regulatory authorities or stock exchanges information
concerning the identities of each beneficial purchaser for whom the Subscriber is acting hereunder; 

 Residence 

 

	 	(i)	the Subscriber and, if applicable, each Disclosed Principal are resident, or if not an individual, has a head office, in the jurisdiction indicated on the face page of this Subscription Agreement as the
“Subscriber’s Residential Address” and the “Disclosed Principal’s Residential Address”, respectively, and such address was not created and is not used solely for the purpose of acquiring Common Shares.

  

	 	(j)	the Subscriber (or if applicable, the Disclosed Principal) acknowledges that: 

  

	 	(i)	no securities commission or similar regulatory authority has reviewed or passed on the merits of the Common Shares; 

  

	 	(ii)	there is no government or other insurance covering the Common Shares; 

  

	 	(iii)	there are risks associated with the purchase of the Common Shares; 

  
 - 20 - 

	 	(iv)	there are restrictions on the Subscriber’s ability to resell the Common Shares and it is the responsibility of the Subscriber to find out what those restrictions are and to comply with them before selling the
Common Shares; and 

  

	 	(v)	the Corporation has advised the Subscriber that the Corporation is relying on an exemption from the requirements to provide the Subscriber with a prospectus and to sell securities through a person registered to sell
securities under Canadian Securities Laws and, as a consequence of acquiring securities pursuant to this exemption, certain protections, rights and remedies provided by the Canadian Securities Laws, including statutory rights of rescission or
damages, will not be available to the Subscriber; 

  

	 	(k)	the Subscriber (or any beneficial purchaser) is aware that the Common Shares have not been registered under the U.S. Securities Act or the securities laws of any state and the Common Shares may not be offered or sold,
directly or indirectly, in the United States without registration under the U.S. Securities Act or compliance with requirements of an exemption from registration; 

 

	 	(l)	the Subscriber agrees to the additional terms included in Schedule B hereto; 

  

	 	(m)	the Subscriber (and, if applicable, such beneficial purchaser) is a U.S. Accredited Investor purchasing the Common Shares directly from the Corporation and the Subscriber has completed Schedule B hereto and identified
in Schedule B the appropriate category of U.S. Accredited Investor that correctly and in all respects describes the Subscriber (and, if applicable, such beneficial purchaser); 

No Prospectus or Other Information 
  

	 	(n)	the Subscriber understands that the sale of the Common Shares is conditional upon such sale being exempt from the requirements to file and obtain a receipt for a prospectus or registration statement or to deliver an
offering memorandum, and no prospectus or registration statement (other than the Resale Registration) has been or will be filed by the Corporation with any securities commission or similar regulatory authority in any jurisdiction in connection with
the issuance of the Common Shares. As a result of acquiring the Common Shares pursuant to such exemptions: 

  

	 	(i)	the Subscriber may be restricted from using some of the protections, rights and remedies otherwise available under Securities Laws, including statutory rights of rescission or damages in the event of a
misrepresentation; 

  

	 	(ii)	the Subscriber may not receive information that would otherwise be required to be provided to it under Securities Laws; and 

  

	 	(iii)	the Corporation is relieved from certain obligations that would otherwise apply under Securities Laws; 

  

	 	(o)	the Subscriber has not received or been provided with a prospectus, registration statement or offering memorandum, within the meaning of Securities Laws, or any sales or advertising literature in connection with the
Offering. The Subscriber’s decision to subscribe for the Common Shares was not based upon, and the Subscriber has not relied upon, any verbal or written representations as to fact made by or on behalf of the Corporation and its directors,
officers, employees, agents and representatives, except for the representations, warranties and covenants contained in this Subscription Agreement. The Subscriber’s decision to subscribe for the Common Shares was based solely upon this
Subscription Agreement, including the Term Sheet attached hereto as Schedule A, and information about the Corporation which is publicly available (any such information having been obtained by the Subscriber without independent investigation or
verification by the Corporation); 

  
 - 21 - 

	 	(p)	counsel to the Corporation, Blake, Cassels & Graydon LLP, and its respective directors, officers, employees, agents and representatives assume no responsibility or liability of any nature whatsoever for the
accuracy or adequacy of any such publicly available information concerning the Corporation or as to whether all information concerning the Corporation that is required to be disclosed or filed by the Corporation under the Securities Laws has been so
disclosed or filed; 

 Investment Suitability 
  

	 	(q)	the Subscriber confirms that the Subscriber and, if applicable, each Disclosed Principal: 

  

	 	(i)	has such knowledge in financial and business affairs as to be capable of evaluating the merits and risks of its investment in the Common Shares; 

 

	 	(ii)	is capable of assessing the proposed investment in the Common Shares as a result of the Subscriber’s own experience or as a result of advice received from a person registered under applicable Canadian Securities
Laws; 

  

	 	(iii)	is aware of the characteristics of the Common Shares and the risks relating to an investment therein; and 

  

	 	(iv)	is able to bear the economic risk of loss of its investment in the Common Shares; 

  

	 	(r)	the Subscriber understands that no securities commission, stock exchange, governmental agency, regulatory body or similar authority has made any finding or determination or expressed any opinion with respect to the
merits of investing in the Common Shares nor is there any government or other insurance covering the Common Shares; 

 No
Representations 
  

	 	(s)	the Subscriber confirms that neither the Corporation nor any of its directors, employees, officers, representatives, agents or affiliates have made any representations (written or oral) to the Subscriber:

  

	 	(i)	regarding the future value of the Common Shares; 

  

	 	(ii)	that any person will resell or repurchase the Common Shares; 

  

	 	(iii)	that any person will refund the purchase price of the Common Shares; or 

  

	 	(iv)	that securities of the Corporation will be listed and posted for trading on a stock exchange other than as set out in the Term Sheet attached hereto as Schedule A; 

Limitations on Resale 
  

	 	(t)	the Subscriber and, if applicable, each Disclosed Principal, understands that it may not be able to resell the Common Shares except in accordance with limited exemptions available under applicable Securities Laws, or
until the filing of the Resale Registration, and that the Subscriber is solely responsible for (and the Corporation is not in any way responsible for) the Subscriber’s and, if applicable, each Disclosed Principal’s compliance with resale
restrictions under applicable Securities Laws. 

 Legends 

 

	 	(u)	until the date that is four months and one day following the Closing Date, the certificates representing the Common Shares, if any, must bear a legend substantially in the following form: 

UNLESS PERMITTED UNDER APPLICABLE CANADIAN PROVINCIAL SECURITIES LEGISLATION, THE HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY
BEFORE JULY 18, 2016. 

  
 - 22 - 

 THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE LISTED ON THE TORONTO STOCK EXCHANGE (THE
“TSX”); HOWEVER, THE SAID SECURITIES CANNOT BE TRADED THROUGH THE FACILITIES OF THE TSX SINCE THEY ARE NOT FREELY TRANSFERABLE, AND CONSEQUENTLY ANY CERTIFICATE REPRESENTING SUCH SECURITIES IS NOT ‘GOOD DELIVERY’ IN SETTLEMENT OF
TRANSACTIONS ON THE TSX. 
  

	 	(v)	the Corporation has hereby provided the Subscriber with written notice pursuant to section 2.5(2)(3.1) of National Instrument 45-102 – Resale of Securities that:

 UNLESS PERMITTED UNDER APPLICABLE CANADIAN PROVINCIAL SECURITIES LEGISLATION, THE HOLDER OF COMMON SHARES MUST NOT
TRADE THE COMMON SHARES BEFORE JULY 18, 2016.” 
  

	 	(w)	the certificates representing the Common Shares will also bear the legend described in Schedule B of this Subscription Agreement;  

Not Proceeds of Crime 
  

	 	(x)	the funds representing the Aggregate Subscription Price which will be advanced by the Subscriber hereunder will not represent proceeds of crime for the purposes of the Proceeds of Crime (Money Laundering) and
Terrorist Financing Act (Canada), as may be amended from time to time (the “PCMLTFA”) and the Subscriber acknowledges that the Corporation may in the future be required by law to disclose the Subscriber’s name and other
information relating to this Subscription Agreement and the Subscriber’s subscription hereunder, on a confidential basis, pursuant to the PCMLTFA. To the best of its knowledge: (i) none of the funds representing the Aggregate Subscription
Price to be provided by the Subscriber: (A) have been or will be derived from or related to any activity that is deemed criminal under the laws of Canada, the United States, or any other jurisdiction; or (B) are being tendered on behalf of
a person or entity who has not been identified to the Subscriber; and (ii) it shall promptly notify the Corporation if the Subscriber (including any Disclosed Principal) discovers that any of such representations cease to be true, and to
provide the Corporation with appropriate information in connection therewith; 

 Personal Information 

 

	 	(y)	the Subscriber, on its own behalf and, if applicable, on behalf of each beneficial purchaser for whom the Subscriber is contracting hereunder, acknowledges and consents to the collection of personal information
contained herein and to the use of such information for the purposes set out under the heading “Collection of Personal Information” in this Subscription Agreement; 

No Financial Assistance 
  

	 	(z)	the Subscriber has not received and does not expect to receive any financial assistance from the Corporation directly or indirectly, in respect of the Subscriber’s purchase of the Common Shares; 

Future Financings 
  

	 	(aa)	the Subscriber acknowledges that the Corporation may complete additional financings in the future to develop the proposed business of the Corporation and to fund its ongoing development. There is no assurance that such
financings will be available and if available, will be on reasonable terms. Any such future financings may have a dilutive effect on current shareholders, including the Subscriber. The Subscriber further acknowledges that if future financings are
not available, the lack of capital may result in the Corporation not being able to fund the development of the business of the Corporation; 

  
 - 23 - 

 No Advertising 
  

	 	(bb)	the Subscriber has not become aware of any advertisement in printed media of general and regular paid circulation or on radio, television or other form of telecommunication or any other form of advertisement (including
electronic display or the Internet including but not limited to the Corporation’s website) or sales literature with respect to the distribution of the Common Shares or any seminar or meeting whose attendees have been invited by general
solicitation or general advertising; 

 Fees 
  

	 	(cc)	the Subscriber confirms that there is no person acting or purporting to act on behalf of the Subscriber (including any Disclosed Principal), if applicable, in connection with the transactions contemplated herein who is
entitled to any brokerage or finder’s fee. If any other person establishes a claim that any fee or other compensation is payable in connection with this subscription for the Common Shares on account of the Subscriber’s subscription, the
Subscriber covenants to indemnify and hold harmless the Corporation with respect thereto and with respect to all costs reasonably incurred in the defence thereof. The Subscriber acknowledges that the Corporation may pay finder or broker fees in
connection with the distribution of the Common Shares pursuant to the Offering; 

 Other Documents 

 

	 	(dd)	if required by Securities Laws or by any securities commission, stock exchange or other regulatory authority, the Subscriber and, if applicable, each Disclosed Principal will execute, deliver, file and otherwise assist
the Corporation in filing, such reports, undertakings and other documents with respect to the subscription for and issuance of the Common Shares; 

Subscriber’s Responsibility for Legal and Financial Advice 

 

	 	(ee)	the Subscriber confirms that it and, if applicable, each Disclosed Principal is responsible for obtaining its own legal, tax, investment and other professional advice with respect to the execution, delivery and
performance by it of this Subscription Agreement and the transactions contemplated hereunder including the suitability of the Common Shares as an investment for the Subscriber and, if applicable, each Disclosed Principal, the tax consequences of
purchasing and dealing with the Common Shares, and the resale restrictions and “hold periods” to which the Common Shares are or may be subject under Securities Laws. The Subscriber has not relied upon any statements made by or purporting
to have been made on behalf of the Corporation or its counsel with respect to such matters; and 

  

	 	(ff)	the Subscriber acknowledges that the Corporation’s counsel is acting solely as counsel to the Corporation and not as counsel to the Subscriber or, if applicable, to any Disclosed Principal; 

8.    Reliance on Representations, Warranties, Covenants and Acknowledgements. The Subscriber acknowledges and agrees
that the representations, warranties, covenants and acknowledgements made by the Subscriber in this Subscription Agreement, including the schedules hereto, are made with the intention that they may be relied upon by the Corporation and its counsel
in determining the Subscriber’s eligibility (and, if applicable, the eligibility of others for whom the Subscriber is contracting hereunder) to purchase the Common Shares under Securities Laws. The Subscriber further agrees that by accepting
the Common Shares, the Subscriber shall be representing and warranting that such representations, warranties, acknowledgements and covenants are true as at the Closing Time with the same force and effect for the benefit of the Corporation as if they
had been made by the Subscriber at the Closing Time and that they shall survive the purchase by the Subscriber of the Common Shares and shall continue in full force and effect for the benefit of the Corporation for a period of two years
notwithstanding any subsequent disposition by the Subscriber of any of the Common Shares. 

  
 - 24 - 

 9.    Subscriber’s Costs. The Subscriber acknowledges and agrees
that all costs incurred by the Subscriber (including any fees and disbursements of any counsel retained by the Subscriber) relating to the sale of the Common Shares to the Subscriber shall be borne by the Subscriber. 

10.    Notices. Any notice, direction or other instrument required or permitted to be given to any party hereto shall
be in writing and shall be sufficiently given if delivered personally or by courier or transmitted by facsimile or other form of electronic communication during the transmission of which no indication of failure of receipt is communicated to the
sender and for which evidence of delivery is obtained, as follows: 
  

	 	(a)	in the case of the Corporation, to: 

 ESSA Pharma Inc. 

999 West Broadway Suite 720 

Vancouver, British Columbia V5Z 1K5 

Attention:     David Wood, Chief Financial Officer 

Facsimile:    
1-604-738-4080 
 Email:          dwood@essapharmaceuticals.com 

with a copy to: 
 Blake,
Cassels & Graydon LLP 
 595 Burrard Street, Suite 2600 

Vancouver, British Columbia V7X 1L3 

Attention:     Joseph Garcia 

Fax:              (604) 631-3300 

Email:           joseph.garcia@blakes.com 

 

	 	(b)	in the case of the Subscriber, at the address and facsimile number specified on the face page hereof, 

or to such other address, facsimile number, email address or person that the party designates by notice given in accordance with the foregoing
provisions. Any such notice: (i) if delivered personally or by courier, shall be deemed to have been given and received on the date of such delivery provided that if such day is not a business day then it shall be deemed to have been given and
received on the first business day following such day; and (ii) if transmitted by facsimile or other form of electronic communication, shall be deemed to have been given on the date of transmission if sent before 5:00 p.m. on a business day or,
if not before 5:00 p.m., on the first business day following the date of transmission provided that the sender has evidence of a successful transmission such as a fax confirmation or electronic delivery receipt. 

11.    Interpretation. The headings used in this Subscription Agreement have been inserted for convenience of
reference only and shall not affect the meaning or interpretation of this Subscription Agreement or any provision hereof. Words importing the singular number only shall include the plural and vice versa. In this Subscription Agreement, unless
otherwise indicated, all references to money amounts are to Canadian dollars. 
 12.    No Partnership. Nothing
herein shall constitute or be construed to constitute a partnership of any kind whatsoever between the Subscriber and the Corporation. 

13.    Governing Law. The contract arising out of acceptance of this Subscription Agreement by the Corporation shall
be governed by and construed in accordance with the laws of the Province of British Columbia and the federal laws of Canada applicable therein. The parties irrevocably attorn to the jurisdiction of the courts of the Province of British Columbia.

  
 - 25 - 

 14.    Time of Essence. Time shall be of the essence of this
Subscription Agreement. 
 15.    Entire Agreement. This Subscription Agreement represents the entire agreement of
the parties hereto relating to the subject matter hereof, and there are no representations, covenants or other agreements relating to the subject matter hereof except as stated or referred to herein. 

16.    Electronic Copies. The Corporation shall be entitled to rely on delivery of a facsimile or portable document
format (“pdf”) copy of executed Subscription Agreements, and acceptance by the Corporation of such facsimile or pdf Subscription Agreements shall be legally effective to create a valid and binding agreement between the Subscriber
and the Corporation in accordance with the terms hereof. The Subscriber acknowledges and agrees that if less than a complete copy of this Subscription Agreement is delivered to the Corporation at Closing, the Subscriber will be deemed to have agreed
to all of the terms and conditions of the pages not delivered at Closing unaltered. 
 17.    Counterpart. This
Subscription Agreement may be executed in one or more counterparts each of which so executed shall constitute an original and all of which together shall constitute one and the same agreement. Delivery of counterparts may be effected by facsimile or
pdf transmission thereof. 
 18.    Severability. The invalidity, illegality or unenforceability of any provision
of this Subscription Agreement shall not affect the validity, legality or enforceability of any other provision hereof. 

19.    Enurement. This Subscription Agreement shall be binding upon and enure to the benefit of the parties hereto
and their respective heirs, executors, administrators, successors (including any successor by reason of the amalgamation or merger of any party) and permitted assigns. 

20.    Assignment. Neither party may assign all or part of its interest in or to this Subscription Agreement without
the consent of the other party in writing. 
 21.    Amendment. Except as otherwise provided herein, this
Subscription Agreement may only be amended by the parties hereto in writing. 
 22.    Further Assurances. Each
party hereto from time to time at the request of the other party hereto, whether before or after Closing Time, shall do such further acts and execute and deliver such further instruments, deeds and documents as shall be reasonably required in order
to fully perform and carry out the provisions of this Subscription Agreement. The parties hereto agree to act honestly and in good faith in the performance of their respective obligations hereunder. 

23.    Language. The Subscriber acknowledges that it has consented to and requested that all documents evidencing or relating in
any way to the sale of the Common Shares be drawn up in the English language only. Le souscripteur reconnaît par les présentes avoir consenti et exigé que tous les documents faisant foi ou se rapportant de quelque
manière à la vente des bons de unités soient rédigés en anglais seulement. 

  
 - 26 - 

 COLLECTION OF PERSONAL INFORMATION 

This Subscription Agreement and the schedules hereto require the Subscriber to provide certain personal information (respecting the Subscriber and, if
applicable, the beneficial purchaser for whom the Subscriber is contracting) to the Corporation. Personal information includes “personal information” as that term is defined under applicable privacy legislation, including without
limitation, the Personal Information Protection and Electronic Documents Act (Canada) and any other applicable similar replacement or supplemental provincial or federal legislation or laws and, if applicable, the policies of the TSX in effect
from time to time. Such information is being collected for the purposes of completing the Offering, which includes, without limitation, determining the eligibility of the Subscriber or, if applicable, the beneficial purchaser for whom the Subscriber
is contracting, to purchase the Common Shares under applicable Securities Laws, preparing and registering certificates and/or DRS Advices representing the Common Shares to be issued hereunder and completing filings required under applicable
Securities Laws or by any stock exchange, the Investment Industry Regulatory Organization of Canada and/or securities regulatory authorities. 
 In
addition, such personal information may be used or disclosed by the Corporation for the purpose of administering the Corporation’s relationship with the Subscriber or, if applicable, the beneficial purchaser for whom the Subscriber is
contracting. For example, such personal information may be used by the Corporation to communicate with the Subscriber or, if applicable, the beneficial purchaser for whom the Subscriber is contracting (such as by providing annual or quarterly
reports), to prepare tax filings and forms or to comply with its obligations under taxation, securities and other laws (such as maintaining a list of holders of shares). 

In connection with the foregoing, the personal information of the Subscriber or, if applicable, the beneficial purchaser for whom the Subscriber is
contracting, may be disclosed by the Corporation to: (i) any stock exchanges or securities regulatory or taxation authorities; (ii) the Corporation’s registrar and transfer agent; and (iii) any of the other parties involved in
the Offering, including legal counsel, and may be included in record books prepared in respect of the Offering. 
 By executing this Subscription Agreement,
the Subscriber (on its own behalf and, if applicable, on behalf of the beneficial purchaser for whom the Subscriber is contracting) hereby consents to the collection, use and disclosure of such personal information in the manner described above. The
Subscriber (on its own behalf and, if applicable, on behalf of the beneficial purchaser for whom the Subscriber is contracting) also consents to the filing of copies or originals of any of the documents provided to the Corporation by or on behalf of
the Subscriber with any stock exchange, securities regulatory authority in relation to the transactions contemplated by this Subscription. 
 The Subscriber
acknowledges that the Subscriber’s personal information and the personal information of any Disclosed Principal may be delivered to the Ontario Securities Commission and is thereby being collected indirectly by the Ontario Securities Commission
under the authority granted to it in securities legislation for the purposes of administration and enforcement of the securities legislation of Ontario. The public official in Ontario who can answer questions about the Ontario Securities
Commission’s indirect collection of personal information is: Administrative Support Clerk, Suite 1903, Box 55, 20 Queen Street West, Toronto, Ontario, M5H 3S8, Telephone (416) 593-8314. 

The Subscriber further acknowledges that the Subscriber’s personal information and the personal information of any Disclosed Principal may be delivered
to the British Columbia Securities Commission and is thereby being collected indirectly by the British Columbia Securities Commission for the purposes of administration and enforcement of the securities legislation of British Columbia. Information
may be publicly disclosed or made available by the British Columbia Securities Commission, including the name of the Subscriber (or Disclosed Principal), whether such person is an insider or registrant, the number of securities purchased and, in the
case of certain non-individual Subscribers, their addresses, telephone numbers and prospectus exemptions relied upon. Questions about British Columbia’s Securities Commission’s indirect collection of
personal information may be directed to: British Columbia Securities Commission, P.O. Box 10142, Pacific Centre, 701 West Georgia Street, Vancouver, British Columbia, V7Y 1L2, Telephone (604) 899-6650, Toll
free across Canada 1-800-373-6393, Facsimile (604) 899-6581. 

The Subscriber also acknowledges and consents to the collection, use and disclosure of the Subscriber’s personal information by the TSX and its
affiliates, authorized agents, subsidiaries and divisions, for the following purposes: (i) to conduct background checks, (ii) to verify personal information that has been provided about each individual, (iii) to provide disclosure to
market participants as to the security holdings of directors, officers, other insiders and promoters of the Corporation or its associates or affiliates, (iv) to conduct enforcement proceedings, and (v) to perform other investigations as
required by and to ensure compliance with all applicable rules, policies, rulings and regulations of the TSX, Securities Laws and other legal and regulatory requirements governing the conduct and protection of the public markets in Canada. As part
of this process, the Subscriber further acknowledges that the TSX also collects additional personal information from other sources, including but not limited to, securities regulatory authorities in Canada or elsewhere, investigative, law
enforcement or self-regulatory organizations, regulations services providers and each of their subsidiaries, affiliates, regulators and authorized agents, to ensure that the purposes set out above can be accomplished. The personal information
collected by the TSX may also be disclosed: (i) to the aforementioned agencies and organizations or as otherwise permitted or required by law and may be used for the purposes described above for their own investigations, and (ii) on the
TSX’s website or through printed materials published by or pursuant to the directions of the TSX. The TSX may from time to time use third parties to process information and/or provide other administrative services and may share information with
such third party services providers. 

  
 - 27 - 

 SCHEDULE A 

ESSA Pharma Inc. 
 Terms
for Private Placement Offering of Common Shares 
  
  

			
	Issuer:	  	ESSA Pharma Inc. (the “Company”).
		
	Offering:	  	Private placement of common shares of the Company (the “Common Shares”).
		
	Offering Size:	  	US$4,999,998.00.
		
	Offering Price:	  	US$3.00 per Common Share (the “Offering Price”).
		
	Use of Proceeds:	  	General corporate purposes, including funding research and development, preclinical and clinical expenses, and corporate costs.
		
	Listing:	  	The Company is a “reporting issuer” in the provinces of British Columbia, Alberta and Ontario, and its Common Shares are listed on the Toronto Stock Exchange and Nasdaq Capital Market.
		
	 Selling
 Jurisdictions:
	  	In the United States on a private placement basis pursuant to an exemption from the registration requirements under the United States Securities Act of 1933, as amended, (the “U.S. Securities Act”) and in
compliance with any applicable “blue sky” laws or regulations in any U.S. state and offshore jurisdictions pursuant to relevant prospectus or registration exemptions in accordance with applicable laws. Promptly following the Closing (and
in any event within 30 calendar days following the Closing), the Company will file a resale prospectus supplement under its Registration Statement on Form F-10 with respect to resales, from time to time, of
the Common Shares and any common shares in the capital of the Company which are purchased by the subscriber from Marianne Sadar, Raymond Andersen and/or Robert Rieder substantially concurrently with the Closing (the “Secondary
Shares”) in the United States (the “Resale Registration”), and shall maintain the effectiveness of such Resale Registration until such time as all of the Common Shares and the Secondary Shares may be resold by the
subscriber without restriction pursuant to Rule 144 under the U.S. Securities Act.
		
	Hold Period:	  	The Common Shares will be subject to a hold period under applicable Canadian securities laws expiring on the date that is four months and one day following the Closing Date and will be “restricted securities” within the
meaning of Rule 144(a)(3) under the U.S. Securities Act. Upon the filing of the Resale Registration, all Common Shares and Secondary Shares shall be freely tradeable in the United States and the Company shall cause the transfer agent for the Common
Shares and the Secondary Shares to electronically transmit the Common Shares and, if applicable, the Secondary Shares to the subscriber by crediting the account of the subscriber’s custodian with DTC through its Deposit Withdrawal Account
Commission System.
		
	Closing Date:	  	March 17, 2016 or on such other date as the Company may determine (the “Closing Date”).

 SCHEDULE B 

UNITED STATES SUBSCRIBERS REPRESENTATION LETTER 

 
 This Representation Letter is being delivered in
connection with the execution and delivery of the Subscription Agreement of the undersigned subscriber (the “Subscriber”) in connection with the purchase of Common Shares (the “Common Shares”) of ESSA Pharma Inc.
(the “Corporation”). Capitalized terms used herein and not defined herein will have the meanings ascribed thereto in the Subscription Agreement. The Subscriber represents, warrants and covenants (which representations, warranties
and covenants will survive the Closing Date) on its own behalf and, if applicable, on behalf of any beneficial purchaser for whom the Subscriber is contracting hereunder to and with the Corporation and acknowledges that the Corporation and their
respective counsel are relying thereon that: 
  

	 	(a)	The Subscriber is (i) purchasing the Common Shares as principal for its own account and not for the benefit of any other person and it is an “accredited investor” who satisfies one or more of the criteria
of Rule 501(a) of Regulation D) (a “U.S. Accredited Investor”); or (ii) subscribing for the Common Shares as agent for a beneficial purchaser disclosed on the execution page of this Subscription Agreement, in a transaction in
which the Subscriber is exercising sole investment discretion with respect to the purchase of the Common Shares and the Subscriber and each disclosed purchaser for whom it is acting is a U.S. Accredited Investor and is purchasing as principal for
its own account and not for the benefit of any other person; and the Subscriber has initialled the category of U.S. Accredited Investor applicable to the Subscriber and any beneficial purchaser below. 

 

	 	(b)	The Subscriber (and, if the Subscriber is acting on behalf of a beneficial purchaser, such beneficial purchaser) is a U.S. Accredited Investor as a result of satisfying the requirements of the paragraphs below that the
Subscriber has indicated (the line identified as “BP” is to be initialled by the undersigned if the beneficial purchaser, if any, satisfies the requirements of the corresponding paragraph). 

 

					
	        	 	(BP)	    	(i) any bank as defined in Section 3(a)(2) of the U.S. Securities Act or any savings and loan association or other institution as defined in Section 3(a)(5)(A) of the U.S. Securities Act whether acting in its individual or
fiduciary capacity;
			
		 		    	
	         
	 		    	(ii) any broker or dealer registered pursuant to Section 15 of the Securities Exchange Act of 1934;
	         
	 	(BP)	    	
		 		    	
		 		    	(iii) any insurance company as defined in Section 2(a)(13) of the U.S. Securities Act;
	         
	 	(BP)	    	
			
		 		    	
	 	 		    	(iv) any investment company registered under the Investment Company Act of 1940, or a business development company as defined in Section 2(a)(48) of that Act;
	        	 	(BP)	    	
			
		 		    	
	 	 		    	(v) any Small Business Investment Company licensed by the U.S. Small Business Administration under Section 301(c) or (d) of the Small Business Investment Act of 1958;
	         
	 	(BP)	    	
			
		 		    	
	        	 	(BP)	    	(vi) any plan established and maintained by a state, its political subdivisions, or any agency or instrumentality of a state or its political subdivisions, for the benefit of its employees, if such plan has total assets in excess of
US$5,000,000;

					
	        	  	(BP)	  	(vii) any employee benefit plan within the meaning of the Employee Retirement Income Security Act of 1974, if the investment decision is made by a plan fiduciary, as defined in Section 3(21) of such Act, which is either a bank,
savings and loan association, insurance company, or registered investment adviser, or if the employee benefit plan has total assets in excess of US$5,000,000, or, if a self-directed plan, with investment decisions made solely by persons that are
U.S. Accredited Investors;
			
		  		  	
	                 	  	(BP)	  	(viii) any private business development company as defined in Section 202(a)(22) of the Investments Advisers Act of 1940;
			
		  		  	
	        	  	(BP)	  	(ix) any organization described in section 501(c)(3) of the Internal Revenue Code of 1986, corporation, Massachusetts or similar business trust, limited liability company or partnership not formed for the specific purpose of
acquiring the Common Shares offered, with total assets in excess of US$5,000,000;
			
		  		  	
	                 	  	(BP)	  	(x) any director or executive officer of the Corporation;
			
		  		  	
	                 	  	(BP)	  	(xi) any natural person whose individual net worth, or joint net worth with that person’s spouse, at the date hereof exceeds US$1,000,000;
			
		  		  	(Note: The value of an individual’s primary residence may not be included in this net worth calculation, and any indebtedness in excess of the value of an individual’s primary residence should be considered a
liability and should be deducted from an individual’s net worth.)
			
		  		  	
	        	  	(BP)	  	(xii) any natural person who had an individual income in excess of US$200,000 in each of the two most recent years or joint income with that person’s spouse in excess of US$300,000 in each of those years and has a reasonable
expectation of reaching the same income level in the current year;
			
		  		  	
	         

 
         

 
	  	 (BP)
  
	  	(xiii) any trust with total assets in excess of US$5,000,000, not formed for the specific purpose of acquiring the Common Shares offered, whose purchase is directed by a sophisticated person, being defined as a person who has such
knowledge and experience in financial and business matters that he or she is capable of evaluating the merits and risks of the prospective investment or
			
		  		  	
	                 	  	(BP)	  	(xiv) any entity in which all of the equity owners meet the requirements of at least one of the above categories.
			
		  		  	If the Subscriber is an individual who has marked (b)(xi) or (b)(xii) above, the Corporation may request additional information to confirm the Subscriber’s net worth or income, as applicable.

  

	 	(c)	The Subscriber has not purchased the Common Shares as a result of any form of “general solicitation” or “general advertising” (as those terms are used in Rule 502(c) of Regulation D), including,
without limitation, advertisements, articles, notices or other communications published in any newspaper, magazine or similar media or the Internet or broadcast over radio, television, or the Internet or any seminar or meeting whose attendees have
been invited by general solicitation or general advertising. 

	 	(d)	The Subscriber has had access to such information concerning the Corporation as it has considered necessary or appropriate in connection with its investment decision to acquire the Common Shares and has such knowledge
and experience in financial and business matters as to be capable of evaluating the merits and risks of its investment and it is able to bear the economic risk of loss of its investment in the Common Shares. 

 

	 	(e)	The Subscriber understands and acknowledges that none of the Common Shares have been registered under the U.S. Securities Act or the securities laws of any state, and that the Common Shares are being offered and sold to
a limited number of U.S. Accredited Investors in transactions exempt from registration under the U.S. Securities Act and applicable state securities laws; accordingly, the Common Shares are or will be when issued, as applicable, “restricted
securities” within the meaning of Rule 144(a)(3) of the U.S. Securities Act. 

  

	 	(f)	The Subscriber, and each beneficial purchaser, if any, is acquiring the Common Shares for its own account as principal and not with a view to any resale, distribution or other disposition of Common Shares in violation
of United States federal or state securities laws, provided, however, that by making these representations, the Subscriber does not agree to hold the Common Shares for any specific term and reserves the right to dispose of the Common Shares in
accordance with applicable securities laws. 

  

	 	(g)	The Subscriber understands that if it (or any beneficial purchaser on whose behalf it is acting) decides to offer, sell, pledge or otherwise transfer any of the Common Shares they may be offered, sold, pledged or
otherwise transferred only (i) to the Corporation, (ii) pursuant to a registration statement that has been declared effective under the U.S. Securities Act and is available for resale of the Common Shares, (iii) outside the United
States in compliance with Rule 904 of Regulation S and in compliance with applicable local laws and regulations, or (iv) in compliance with an exemption from registration under the U.S. Securities Act including Rule 144 thereunder, if
available, and, in each case, in compliance with any applicable state securities laws. The Subscriber further understands and agrees that in the event of a transfer of the Common Shares pursuant to the foregoing clause (iii) or (iv), the
Corporation will require a legal opinion of counsel of recognized standing, or other evidence, reasonably satisfactory to the Corporation that such transfer is exempt from registration under the U.S. Securities Act and applicable state securities
laws. 

  

	 	(h)	The Subscriber understands that upon the original issuance thereof, and until such time as the same is no longer required under applicable requirements of the U.S. Securities Act or applicable state securities laws,
certificates representing the Common Shares and DRS Advices evidencing the electronic registration of ownership of the Common Shares, and all certificates and DRS Advices issued in exchange therefor or in substitution thereof, will bear the
following legends: 

 “THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), OR ANY STATE SECURITIES LAW, AND MAY NOT BE SOLD OR OTHERWISE TRANSFERRED UNLESS (I) SOLD OR TRANSFERRED TO THE CORPORATION, (II) A REGISTRATION STATEMENT UNDER THE SECURITIES ACT SHALL HAVE BECOME EFFECTIVE
WITH REGARD THERETO, (III) SUCH SALE OR TRANSFER IS EFFECTED OUTSIDE THE UNITED STATES IN COMPLIANCE WITH RULE 904 OF REGULATION S UNDER THE SECURITIES ACT AND APPLICABLE LOCAL LAWS AND REGULATIONS OR (IV) AN EXEMPTION FROM REGISTRATION
UNDER THE SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS IS AVAILABLE IN CONNECTION WITH SUCH SALE OR TRANSFER. THE HOLDER FURTHER UNDERSTANDS AND AGREES THAT IN THE EVENT OF A TRANSFER PURSUANT TO CLAUSES (III) OR (IV), THE CORPORATION
WILL REQUIRE A LEGAL OPINION OF COUNSEL OF RECOGNIZED STANDING OR OTHER EVIDENCE REASONABLY SATISFACTORY TO THE CORPORATION THAT SUCH TRANSFER IS EXEMPT FROM REGISTRATION UNDER THE SECURITIES ACT. NOTWITHSTANDING THE FOREGOING, THE SECURITIES MAY BE
PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER LOAN OR FINANCING ARRANGEMENT SECURED BY THE SECURITIES.” 

 provided, that if the Common Shares are being sold outside the United States in compliance with
the requirements of Rule 904 of Regulation S, the legend set forth above may be removed by providing an executed declaration to the registrar and transfer agent of the Corporation and to the Corporation, in substantially the form set forth as
Annex A hereto (or in such other form as the Corporation, acting reasonably, may prescribe from time to time) and, if requested by the Corporation or the registrar and transfer agent, an opinion of counsel of recognized standing in form and
substance satisfactory to the Corporation and the registrar and transfer agent to the effect that such sale is being made in compliance with Rule 904 of Regulation S; provided further, that if any of the Common Shares are being sold pursuant
to Rule 144 under the U.S. Securities Act and in compliance with any applicable state securities laws or are eligible to be sold by the holder thereof pursuant to Rule 144 under the U.S. Securities Act without restriction thereunder, the legend may
be removed by delivery to the Corporation’s registrar and transfer agent of an opinion satisfactory to the Corporation and its registrar and transfer agent, as applicable, to the effect that the legend is no longer required under applicable
requirements of the U.S. Securities Act or applicable state securities laws. 
  

	 	(i)	The Subscriber consents to the Corporation making a notation on its records or giving instruction to the registrar and transfer agent of the Corporation in order to implement the restrictions on transfer with respect to
the Common Shares set forth and described herein. 

  

	 	(j)	The Subscriber understands that, except as otherwise set forth in this Subscription Agreement, (i) the Corporation is not obligated to file and has no present intention of filing with the U.S. Securities and
Exchange Commission or with any state securities administrator any registration statement in respect of resales of the Common Shares in the United States, (ii) there are substantial restrictions on the transferability of the Common Shares, and
(iii) it may not be possible for the Subscriber to readily liquidate his, her or its investment in case of an emergency at any time. 

  

	 	(k)	The Subscriber understands and agrees that the financial statements of the Corporation have been prepared in accordance with International Financial Reporting Standards, as issued by the International Accounting
Standards Board, which differ in some respects from United States generally accepted accounting principles, and thus may not be comparable to financial statements of United States companies. 

 

	 	(l)	The Subscriber understands and agrees that there may be material tax consequences to it of an acquisition, holding or disposition of the Common Shares. The Corporation gives no opinion and makes no representation with
respect to the tax consequences to the Subscriber under United States, state, local or foreign tax law of its acquisition, holding or disposition of the Common Shares, and the Subscriber acknowledges that it is solely responsible for
determining the tax consequences to it with respect to its investment, including whether the Corporation will at any given time be deemed a “passive foreign investment company” within the meaning of Section 1297 of the United States
Internal Revenue Code of 1986, as amended. 

  

	 	(m)	The Subscriber is aware that its ability to enforce civil liabilities under the United States federal securities laws may be affected adversely by, among other things: (i) the fact that the Corporation is organized
under the laws of Canada; (ii) some or all of the directors and officers may be residents of countries other than the United States; and (iii) all or a substantial portion of the assets of the Corporation and such persons may be located
outside the United States. 

	 	(n)	The office or other address of the Subscriber at which the Subscriber received and accepted the offer to purchase the Common Shares is the address listed as the “Subscriber’s Residential Address”
on the face page of the Subscription Agreement. 

  

	 	(o)	That the funds representing the Aggregate Subscription Price which will be advanced by the Subscriber to the Corporation hereunder will not represent proceeds of crime for the purposes of the Uniting and
Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act (the “PATRIOT Act”) and the Subscriber acknowledges that the Corporation may in the future be required by law to disclose the
Subscriber’s name and other information relating to the subscription agreement and the Subscriber’s subscription hereunder, on a confidential basis, pursuant to the PATRIOT Act. No portion of the Aggregate Subscription Price to be provided
by the Subscriber (i) has been or will be derived from or related to any activity that is deemed criminal under the laws of the United States, or any other jurisdiction, or (ii) is being tendered on behalf of a person or entity who has not
been identified to or by the Subscriber, and it shall promptly notify the Corporation if the Subscriber discovers that any of such representations ceases to be true and provide the Corporation with appropriate information in connection therewith.

  

	 	(p)	The provisions of this Representation Letter will be true and correct both as of the date of execution of this Subscription Agreement and as of the Closing Date. 

The Subscriber undertakes to notify the Corporation immediately of any change in any representation, warranty or other information relating to the Subscriber
or, if applicable, the beneficial purchaser set forth herein, which takes place prior to the Closing Date. 
 DATED at
                     this      day of
            , 20    . 
 If a Corporation, Partnership or
Other Entity: 
  

	
	  

	Name of Entity
	
	  

	Type of Entity
	
	  

	Signature of Person Signing
	
	  

	Print or Type Name and Title of Person Signing

 ANNEX A TO SCHEDULE B 

FORM OF DECLARATION FOR REMOVAL OF LEGEND 
  

	TO:	ESSA Pharma Inc. 

  

	AND TO:	The registrar and transfer agent for the securities of ESSA Pharma Inc. 

 The undersigned
(A) acknowledges that the sale of the securities of ESSA Pharma Inc. (the “Company”) [represented by certificate number/described in the DRS Advice with holder account number]
                                        ,
to which this declaration relates was made in reliance on Rule 904 of Regulation S under the United States Securities Act of 1933, as the same has been, and hereafter from time to time, may be amended (the “U.S. Securities
Act”) and (B) certifies that (1) the undersigned is not an “affiliate” of the Company as that term is defined in Rule 405 under the U.S. Securities Act, a “distributor” or an affiliate of
“distributor”, (2) the offer of such securities was not made to a person in the United States and either (a) at the time the buy order was originated, the buyer was outside the United States, or the seller and any person acting on its
behalf reasonably believed that the buyer was outside the United States or (b) the transaction was executed on or through the facilities of a “designated offshore securities market” (as defined in Rule 902 of Regulation S under the
U.S. Securities Act) and neither the seller nor any person acting on its behalf knows that the transaction has been prearranged with a buyer in the United States, (3) neither the seller nor any affiliate of the seller nor any person acting on
their behalf has engaged or will engage in any “directed selling efforts” in the United States in connection with the offer and sale of such securities, (4) the sale is bona fide and not for the purpose of “washing-off” the resale restrictions imposed because the securities are “restricted securities” as that term is described in Rule 144(a)(3) under the U.S. Securities Act, (5) the
seller does not intend to replace such securities sold in reliance on Rule 904 of the U.S. Securities Act with fungible unrestricted securities, and (6) the contemplated sale is not a transaction, or part of a series of transactions,
which, although in technical compliance with Regulation S under the U.S. Securities Act, is part of a plan or scheme to evade the registration provisions of the U.S. Securities Act. Unless otherwise specified, terms set forth above in quotation
marks have the meanings given to them by Regulation S under the U.S. Securities Act. 
 DATED at
                     this      day of
            , 20    . 
  

			
	By:	 	  

	Name:	 	
	Title:	 	

 AFFIRMATION BY SELLER’S BROKER-DEALER (REQUIRED FOR SALES IN ACCORDANCE WITH SECTION (B)(2)(B) ABOVE) 

We have read the foregoing representations of our customer,
                                        
(the “Seller”) dated                     , with regard to our sale, for such Seller’s account, of the securities of the
Company described therein, and on behalf of ourselves we certify and affirm that (A) we have no knowledge that the transaction had been prearranged with a buyer in the United States, (B) the transaction was executed on or through the
facilities of a “designated offshore securities market” (as defined in Rule 902 of Regulation S under the U.S. Securities Act); (C) neither we, nor any person acting on our behalf, engaged in any directed selling efforts in connection with
the offer and sale of such securities, and (D) no selling concession, fee or other remuneration is being paid to us in connection with this offer and sale other than the usual and customary broker’s commission that would be received by a
person executing such transaction as agent. Terms used herein have the meanings given to them by Regulation S under the U.S. Securities Act. 
  

									
	  
	 		 	
	Name of Firm	 	
					
	By:	 	  
	 		 	Date:	 	
                     
    

		 	Authorized officer	 		 		 	

 SCHEDULE C 

WIRE INSTRUCTIONS 
  

INCOMING WIRE INSTRUCTIONS: ESSA PHARMA INC. 
 FORMAT
INFORMATION FOR DIRECT CREDITS TO CLIENTS’ ACCOUNT: 
 FOR FUNDS COMING IN US CURRENCY ONLY: 

 

			
	DESTINATION BANK:	  	
		  	
		  	
		
	INTERMEDIARY BANK:	  	
		  	
		  	
		  	
		
	BENEFICIARY:	  	
		  	
		  	
		  	
		  	

 SCHEDULE 6(E) 

MATERIAL AGREEMENTS OF SUBSIDIARY 

 
  

	 	•	 	Lease for 7505 South Main Street, Houston, Texas, United States dated August 25, 2014 

  

	 	•	 	Sublease for 2130 West Holcombe Boulevard, Houston, Texas, United States dated April 7, 2015 

 SCHEDULE 6(K) 

CONVERTIBLE SECURITIES AND OTHER RIGHTS 

 
 Convertible Securities 

There are no convertible securities other than warrants and stock options outstanding as detailed below. 

Other Rights 
 Warrants outstanding and exercisable
as at March 16, 2016. Each whole warrant enables the holder to acquire one common share at the exercise price. 
  

							
	 Number of Warrants
	 	  	Exercise Price	  	 Expiry Date

	 	25,000	 	  	C$2.00	  	April 15, 2019
	 	256,363	 	  	US$2.75	  	January 16, 2017
	 	4,545,452	 	  	US$3.30	  	January 14, 2023
	 	2,272,726	 	  	US$3.30	  	January 14, 2018
	  
	  
	 	  		  	
	 	7,099,541	 	  		  	
	  
	  
	 	  		  	

 Stock options outstanding and exercisable as at March 16, 2016. Each stock option enables the holder to acquire one
common share at the exercise price. 
  

									
	 Number of Options
	 	  	Exercise Price	 	  	 Expiry Date

	 	240,000	 	  	 	0.50	 	  	April 30, 2016
	 	21,000	 	  	 	0.50	 	  	July 27, 2016
	 	39,250	 	  	 	0.80	 	  	June 1, 2017
	 	150,000	 	  	 	2.00	 	  	June 7, 2017
	 	15,300	 	  	 	0.80	 	  	October 21, 2017
	 	100,000	 	  	 	0.80	 	  	November 20, 2017
	 	600,000	 	  	 	0.80	 	  	January 31, 2018
	 	50,000	 	  	 	0.80	 	  	July 1, 2018
	 	529,219	 	  	 	2.00	 	  	October 23, 2019
	 	313,750	 	  	 	0.80	 	  	May 20, 2019
	 	400,000	 	  	 	2.00	 	  	April 14, 2019
	 	200,000	 	  	 	2.00	 	  	July 30, 2019
	 	500,000	 	  	 	2.00	 	  	September 8, 2019
	 	20,000	 	  	 	2.00	 	  	October 14, 2019
	 	20,000	 	  	 	2.00	 	  	November 23, 2019
	 	10,000	 	  	 	2.00	 	  	December 2, 2019
	 	50,000	 	  	 	2.00	 	  	December 18, 2019
	 	10,000	 	  	 	4.65	 	  	February 3, 2020
	 	10,000	 	  	 	5.15	 	  	February 3, 2020
	 	50,000	 	  	 	5.35	 	  	March 3, 2025
	 	5,000	 	  	 	14.90	 	  	June 23, 2020
	 	50,000	 	  	 	14.90	 	  	June 23, 2025
	 	10,000	 	  	 	8.90	 	  	August 6, 2025
	 	60,000	 	  	 	9.10	 	  	September 9, 2025
	 	20,000	 	  	 	7.26	 	  	November 6, 2020
	 	600,000	 	  	 	6.25	 	  	January 12, 2021
	  
	  
	 	  				  	
	 	4,073,519	 	  				  	
	  
	  
	 	  				  	

 SCHEDULE 6(M) 

MATERIAL AGREEMENTS 
  

(i) Material License Agreements 
  

	 	•	 	License Agreement between the BC Cancer Agency, UBC and the Company dated December 22, 2010, as amended on February 10, 2011 and May 27, 2014 

(ii) Agreements Restricting Business 
 N/A

 (iii) Partnership and Joint Venture Agreements 

N/A 
 (iv) Employment, Compensation and
Related Agreements 
  

	 	•	 	Employment Agreement for David Parkinson 

  

	 	•	 	Employment Agreement for David Wood 

  

	 	•	 	Letter Agreement with Dr. Frank Perabo 

  

	 	•	 	Letter Agreement with Dr. Paul Cossum 

  

	 	•	 	Consulting Agreement with Dr. Marianne Sadar 

  

	 	•	 	Consulting Agreement with Dr. Raymond Andersen 

  

	 	•	 	Employment Agreement for Robert W. Rieder 

  

	 	•	 	Letter agreement with Robert W. Rieder relating to retirement from position as President and Chief Executive Officer of the Company 

(v) Agreements with Change of Control Provisions 
  

	 	•	 	Employment Agreement for David Parkinson 

  

	 	•	 	Employment Agreement for David Wood 

  

	 	•	 	Letter Agreement with Dr. Frank Perabo 

  

	 	•	 	Letter Agreement with Dr. Paul Cossum 

  

	 	•	 	Employment Agreement for Robert W. Rieder 

 (vi) Other Material Agreements 

 

	 	•	 	Cancer Research Grant Contract between CPRIT and the Company dated July 9, 2014 

  

	 	•	 	2014 Agency Agreement between the Company and Haywood Securities Inc. dated October 22, 2014 

	 	•	 	2015 Agency Agreement between the Company and Bloom Burton & Co. Limited dated January 16, 2015 

  

	 	•	 	2014 Special Warrant Indenture between the Company and the Special Warrant Agent dated October 22, 2014 

  

	 	•	 	2015 Special Warrant Indenture between the Company and the Special Warrant Agent dated January 16, 2015

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