ENVIRONMENTAL GROUP LIMITED (THE) — Capital/Financing Update 2021

Feb 23, 2021

Suite 1.01,10 Ferntree Place Notting Hill VIC 3168 Telephone: +61 3 9763 6711 ABN 89 000 013 427

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24 February 2021

Company Announcements Office ASX Limited Level 4, 20 Bridge Street Sydney, NSW 2000

Acquisition of Active Environmental Solutions Pty Ltd

The Board of The Environmental Group Limited ( ASX: EGL ) refers to the following previous market announcements made by EGL:

1. announcement concerning the acquisition of Active Environmental Solutions Pty Ltd dated 8 February 2021; and

2. announcement concerning a waste recycling agency agreement with Turmec Teoranta Ltd dated 24 February 2021.

The terms of EGL’s agreement for the acquisition of Active Environmental Solutions Pty Ltd included terms on which performance securities would be issued, as set out in attachment 2 of the announcement dated 8 February 2021. The issue of the performance securities is still subject to security holder approval.

EGL is pleased to announce that the agreement reached with Turmec Teoranta Ltd satisfies Milestone 1(a) of the AES Acquisition. Further Milestones relating to EGL’s financial performance in the 2021 and 2022 financial years are yet to be satisfied and will be announced to the market in due course.

This announcement has been authorised for release by the Board.

For further information please contact Stephen Strubel Company Secretary Email: Stephen.strubel@egl.com.au

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Suite 1.01,10 Ferntree Place Notting Hill VIC 3168 Telephone: +61 3 9763 6711 ABN 89 000 013 427

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About EGL

EGL has four business units, all committed to the protection of the environment by improving air quality, reducing carbon emissions, enhancing waste to energy production and lifting water quality.

• Total Air Pollution Control has a range of technologies which reduce dust, odours and harmful gasses from the environment.

• Baltec IES produces inlet and exhaust systems for gas turbines, which are used to complement and augment solar and wind energy production, without the use of rare mineral battery resources.

• Tomlinson Energy Service division is an essential link in our strategy to build a bio/waste to energy platform.

• EGL Water division continues to develop our patented technologies in conjunction with Victoria University. EGL recognises that one of the world’s most valuable assets is water and will persist in our vision to reduce water pollution, leading to an improved environment, through low cost technology solutions.

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