COKAL LIMITED — Capital/Financing Update 2021

Jul 18, 2021

T +61 2 8319 9299 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

19 July 2021

Drilling To Commence at PT Tambang Benua Alam Raya (TBAR) to Delineate Resource

Key Highlights

• Tenders called for deposit resource delineation drilling at TBAR

• Drilling to start in Q4 2021 and be completed in the first half of 2022

• Comprises open hole drilling, coring and geophysical logging

• Cores will be sampled and analysed to determine coal quality and geotechnical parameters

• All holes to be suitable as points of measurement for a JORC Resource estimation

Cokal Limited (ASX:CKA, “ Cokal ” or the “ Company ”) has called tenders for resource delineation drilling at its Tambang Benua Alam Raya (TBAR) lease area in the Puruk Cahu Regency of Central Kalimantan. Cokal is the 75% owner and manager of the development of this lease.

Cokal’s TBAR lease has an area of 18,850 ha. An extensive coal resource has been identified based on 58 outcrops, with 11 outcrops mapped and sampled. With the access road being developed for BBM now almost reaching the TBAR lease, it is time to delineate this resource.

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TBAR and BBM Leases with Access Road to Jetty

Tenders have been called for drilling and assessment of the most prospective 500 ha in the TBAR lease to commence in Q4 this year and be completed in the first half of 2022. This will comprise open hole

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drilling, coring and geophysical logging with associated coal quality and geotechnical analyses, all to the standard required for a JORC Resource estimation.

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TBAR Drilling Area

This exploration will provide the information required to undertake initial mine planning for TBAR. It will be the first of several drilling programmes to delineate the TBAR coal seams as part of a comprehensive deposit evaluation.

The coal haul road from BBM to the jetty at Bumban passes through the TBAR deposit. This will facilitate the logistics of mine development and operation with a 75km haul road from TBAR to jetty already being in place.

Cokal Chairman, Mr Domenic Martino said:

“ Cokal is pleased to commence drilling on this very prospective project . Due to the proximity , next door to BBM, and the prospectivity of TBAR evidenced in our earlier exploration of TBAR the possible delineation of a commercial resource at TBAR will increase the opportunity for early expansion of production well beyond the production profile that Cokal has planned for BBM. This is an exciting development, following closely on the full funding and development of its BBM deposit.”

ENDS

Further enquiries:

Domenic Martino Non-Executive Chairman dmartino@cokal.com

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

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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