Columbus Energy S.A.

Earnings Release • Jan 16, 2017

December FY2017 production update

Current report no. 1/2017 Dated January 16, 2017

The Board of Directors of Coal Energy S.A. (the "Company") hereby provides update on coal production in December FY2017. The financial year 2017 of the Company commenced on the 1st July 2016 and will end on the 30th June 2017.

in tonnes	December FY2017	December FY2016	change % y-o-y	change in tonnes y-o-y	November FY2017 - corrected	change % m-o-m	change in tonnes m-o-m	October FY2017- corrected
Total coal production	51 537	48 033	7.3%	3 504	54 487	-5.4%	-2 950	54 612

Production of coal from mining composed 51,537 tonnes of thermal, coking and dual purpose coal.

November and October FY2017 data were corrected due to accounting adjustments.

November FY2017 production results were adjusted from previously reported 46,988 tonnes to corrected 54,487 tonnes (+ 7,499 tonnes).

October FY2017 production results were also adjusted from previously reported 47,586 tonnes to corrected 54,612 tonnes (+7,026 tonnes).

The level of coal production has been reduced since August 2014 and some of the operating actives are working in the sustaining mode due to ongoing military conflict in the region thus the Company provides aggregate data indicating only total volume of coal produced without specification by types of coal.

The Management Board will duly update investors about the changes of production plans.

Signatures of individuals authorized to represent the Company:

Elena Belousova

Legal grounds: Art. 56 of the Polish Act of 29 July 2005 on the public offering, conditions governing the introduction of financial instruments to organized trading system and on public companies, and the Luxembourg Act of 11 January 2008 on transparency obligations of securities issuers, as amended.