BREAKTHROUGH MINERALS LIMITED — Capital/Financing Update 2018

Jun 11, 2018

ASX Release

12 June 2018

IEC MAY UPDATE

• Record Sales for Tancoal in May

• Coal stocks remain steady to meet customer demand

• Tancoal Participation in Minerals Exhibition at Dodoma

Intra Energy Corporation Limited ("IEC" or "the Company") is pleased to announce that Tancoal Energy Limited (IEC 70% and National Development Corporation of Tanzania 30%) recorded sales of 56,704 tonnes for May 2018, a record for the Company, comparative sales in May 2017 were 42,720 tonnes. YTD sales are 488,323 tonnes compared to 422,569 tonnes in the prior corresponding year. The improvement in sales was mainly due to increased demand from a customer in Uganda, a spike in local demand and improved weather conditions. The availability of trucks for customers is still tight but is showing signs of improvment. Cash remains tight however will improve with ongoing monthly tonnages of more than 50,000 tonne sales. The focus continues to be on regional and export markets to achieve higher tonnages while fully supporting the Tanzanian Government efforts to increase industrialisation in Tanzania.

Production in May 2018 maintained sufficient stocks to meet customer demand. 55,122 tonnes was produced, compared to 51,013 tonnes in May 2017. YTD production is 529,555 tonnes compared with 392,661 for the same period in the prior year.

At the end of May, Tancoal participated in the Minerals Exhibition that was held in the capital city of Dodoma in conjuction with the Ministry of Minerals budget submission for 2018/19.

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Tancoal’s representatives at the Mineral Exhibition with certificate of participation From left is Alex Sostenes Senior Geologist, Jim Shedd CEO, David Kamenya Mine Manager and Pendo Mweli HR Manager

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Minister of Minerals, Hon. Angellah Kairuki (MP) attending the Mineral Exhibition in Dodoma

From left to right, Hon. Stanslaus Nyongo 2[nd] Deputy Minister of Minerals, Mr. Alex Sostenes Tancoal Senior Geologist, Hon. Angellah Kairuki (MP) Minister of Minerals, Tancoal Mine Manager Mr. David Kamenya, Hon. Doto Biteko , 1[st] Deputy of Minerals and Mr. Jim Shedd CEO

IEC Chairman, Graeme Robertson, commented "Our Tancoal team continues to surpass expectations with annual production in excess of 700,000 tonnes and the ability to supply more than 55,000 tonnes per month to domestic and regional markets has made the coal operations a significant supporter of Eastern African growth. IEC is exploring possibilities to enhance its position in Tanzania and the region and grow the business.”

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ENDS

Shareholder Enquiries

Jim Shedd Chief Executive Officer Intra Energy Corporation Limited www.intraenergycorp.com.au Registered Office: Level 40, 2 Park Street, Sydney NSW 2000 Postal Address: PO Box 1930, North Sydney NSW 2059

About Intra Energy

Intra Energy is an environmentally responsible, diversified mining and energy group, focused on Eastern Africa, and is listed on the Australian Stock Exchange (ASX:IEC). IEC is a developer and producer of thermal coal in Eastern Africa operating under the motto of “African coal for African growth” and is the only operating thermal coal miner in Eastern Africa. Its flagship coal project is the Tancoal mine in the Ngaka coalfield of Tanzania, operated by Tancoal Energy Limited, a joint venture with the National Development Corporation of Tanzania.

Intra Energy has made significant progress with its Eastern African regional expansion strategy into new mining and renewable energy projects and battery storage materials, and maintains cost effective and efficient operations to remain a low cost producer in this dynamically growing region where it occupies the prime supply position.