ADVANCE METALS LIMITED — Capital/Financing Update 2016

Nov 7, 2016

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8 November 2016

The Manager

The Company Announcements Office Australian Securities Exchange

PRO-RATA NON-RENOUNCEABLE ENTITLEMENT OFFER UPDATE

Pacific American Coal Limited (ASX: PAK) ( Company) is pleased to provide an update on the previously announced pro-rata non-renounceable rights offer.

As announced to the ASX on Friday 21 October 2016, the Company is undertaking a pro-rata non-renounceable entitlement offer of one (1) New Share in the Company for every eight (8) fully paid ordinary shares held in the Company at an issue price of $0.10 per New Share (together with one (1) attaching New Option for every two (2) New Shares subscribed for and issued) to raise up to approximately AUD$1,800,000 (before costs) ( Entitlement Offer ).

Far East Capital Limited ( FEC ) agreed to act as Lead Manager to the Entitlement Offer.

FEC subsequently agreed to fully underwrite any Entitlement Offer shortfall totalling up to $1,778,824 ( Underwritten Amount ), representing 17,788,235 New Shares and 8,894,117 New Options (subject to rounding).

FEC’s underwriting fee is 6% (exclusive of any GST) of the Underwritten Amount.

Should you have any questions regarding the Entitlement Offer, please contact the Company.

For further information please contact:

Pacific American Coal Limited Tel: +61 (2) 9252-5300 Fax: +61 (2) 9252-8400

Mark Sykes Chief Executive Officer Ian Morgan Company Secretary More details are available on PAK‘s website www.pamcoal.com

Pacific American Coal Limited ABN 83 127 131 604 Level 14, 52 Phillip Street, Sydney NSW 2000. GPO Box 3486, Sydney NSW 2001 www.pamcoal.com