COKAL LIMITED — Capital/Financing Update 2021

Jul 19, 2021

T +61 2 8823 3179

E info@cokal.com.au

Level 5, 56 Pitt Street Sydney NSW 2000 ABN 55 082 541 437 (ASX: CKA) www.cokal.com.au

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ASX ANNOUNCEMENT / MEDIA RELEASE 20 July 2021

Cokal Receives US$2m in Debt Finance to Fund Development of the BBM Coking Coal Mine, Representing the First-tranche of the US$20m Debt Facility

Key Highlights

▪ First drawdown for US$2 million has been received by Cokal

▪ Drives ramp-up initial production of coking coal within this year

Cokal Limited (ASX:CKA, “ Cokal ” or the “ Company ”) is pleased to announce that it has made its first drawdown of US$2 million from the US$20 million funding facility with International Commodity Trade Pte Ltd (“ ICT ”) (please refer to ASX announcement on 14 July 2021).

The US$20 million facility with ICT will fully fund the development of the Bumi Barito Mineral (“BBM”) Coking Coal project (CKA 60%) through to first production and sales, which is anticipated to occur in Q4 2021.

Cokal Chairman, Mr Domenic Martino said:

“This initial funding of US$2 million is the first in a series of funding drawdowns that will provide the necessary capital for BBM to achieve initial production of coking coal within this year. With full funding in place through this facility, Cokal is wasting no time in making the necessary preparations in the development of the mine infrastructure to enable the commencement of production.”

ENDS

Further enquiries:

Domenic Martino Non-Executive Chairman dmartino@cokal.com

This ASX announcement was authorised for release by the Board of Cokal Limited.

About International Commodity Trade Pte Ltd

ICT is controlled by a party that also controls Aahana Mineral Resources Sdn Bhd, a substantial shareholder of Cokal holding 19.97% of the Company’s shares, who has one representative on the Company’s Board of Directors.ICT is a company incorporated in Singapore whose main business is in investment and trading in coal. The largest shareholder of ICT is Eddie Chin Wai Fong, an ex-CEO and a founding member of PT.

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Bayan Resources Tbk, listed on the Jakarta stock exchange (BYAN.JK). Mr Chin, who has over 30 years of experience in the coal industry in Indonesia, has the contacts, experience and financial capability to complete the funding transaction and marketing of the coal.

About Cokal Limited

Cokal Limited (ASX:CKA) is an Australian listed company with the objective of becoming a metallurgical coal producer with a global presence. Cokal has interests in four projects in Central Kalimantan, Indonesia considered prospective for metallurgical coal.

Forward Looking Statements

This release includes forward looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “continue”, and “guidance”, or other similar words and may include, without limitation statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs.

Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the company’s actual results, performance and achievements to differ materially from any future results, performance or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licences and permits and diminishing quantities or grades of resources or reserves, political and social risks, changes to the regulatory framework within which the company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation.

Forward looking statements are based on the company and its management’s good faith assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the company’s business and operations in the future. The company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the company’s business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the company or management or beyond the company’s control.

Although the company attempts to identify factors that would cause actual actions, events or results to differ materially from those disclosed in forward looking statements, there may be other factors that could cause actual results, performance, achievements or events not to be anticipated, estimated or intended, and many events are beyond the reasonable control of the company. Accordingly, readers are cautioned not to place undue reliance on forward looking statements.

Forward looking statements in this release are given as at the date of issue only. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, in providing this information the company does not undertake any obligation to publicly update or revise any of the forward looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based.

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