ADAVALE RESOURCES LIMITED — Share Issue/Capital Change 2015

Jun 14, 2015

14 June 2015

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Dear Fellow Shareholders,

I believe by the date of this notice, you will have received correspondence from Mr John Risinger suggesting you vote against the proposed resolution at the General Meeting convened for 18 June 2015.

I have personally invested significant funding into this Company and continue to support it at a time when the macro economic conditions don’t support the business plan, especially coal development in Indonesia.

The Company needs ongoing sustained funding to avoid insolvency and to continue to explore and validate any possible strategic collaboration, which will eventually increase shareholder value.

The proposed resolution to be put to shareholders at the General Meeting is a means to secure further funding.

A vote FOR the resolution to re-­‐fresh the Company’s capacity to issue shares under ASX Listing Rule 7.1 will allow further draw-­‐downs under the facility offered by Gurney Capital Pty Ltd (as announced to the market via ASX on 15 January 2015).

The board believes it’s in the best interest of all shareholders for the Company to have immediate additional funding.

Mr Risinger is disputing the venue for this meeting. The board has the right to convene a General Meeting at a reasonable place and time. Jakarta has been deemed reasonable for a number of reasons:

1. Jakarta is where management, chairman, another director and largest shareholder are based;

2. Cost savings at a time when cash is at a critical level – it costs significantly less to hold the meeting in Jakarta rather than Sydney;

3. The prior two shareholder meetings have only attracted minimal shareholder attendance outside of the board and management; and

4. All Adavale shareholders have been provided with the opportunity to participate in the meeting by lodging their vote on the resolution via proxy. We have established online facilities for this or you may fax, mail or hand deliver your forms. We have also arranged for a conference call to be established at our Sydney Registered Office for the formalities of the meeting.

I strongly encourage you to support the Company, the Board and management by voting FOR the proposed resolution.

Kind Regards, Mr Haryono Eddyarto Chairman