HYTERRA LTD — Capital/Financing Update 2012

Oct 25, 2012

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ASX ANNOUNCEMENT

26 October 2012 By e-lodgement

CAPITAL RAISING COMPLETE DUE DILIGENCE COMPLETE

Acquisition of CFT Heilongjiang (HK) Ltd on track

Highlights

• Placement to raise $2.25m completed

• Due diligence on transaction complete

• Rig currently being mobilised for first well

• Forrest Capital and EL & C Bailleu Joint Lead Managers to Placement

Triple Energy Limited (ASX: TNP) ( Triple ) is pleased to provide an update on the proposed acquisition of CFT Heilongjiang (HK) Ltd (“ CFT ”) announced on 5 October 2012.

Placement

Triple advises that it has completed a placement of 150,000,000 new fully paid ordinary shares at an issue price of A$0.015 (one point five cents) per share to sophisticated investor clients of Forrest Capital and EL & C Baillieu to raise A$2.25m before costs ( Placement ). Proceeds of the Placement (which is subject to approval by Triple shareholders) will be applied towards the CFT project and general working capital.

Under the terms of the Placement, Triple has agreed (subject to shareholder approval) to issue up to 25,000,000 advisor options exercisable at A$0.04 per share on or before 30 June 2015 to nominees of the Placement managers.

Due Diligence

Having completed its acquisition due diligence in accordance with the Share Purchase Agreement, Triple will now release loan funds of A$500,000 to CFT under a loan facility agreement to fund the drilling of the first well of a three well data collection programme.

Operations

Arrangements for drilling the first well of an initial three well programme are well advanced.

The primary objective of the initial three well programme is to acquire data on the potential gas flow rates from the coal seam reservoirs and hence estimate recoverable volumes.

Triple Energy Ltd ACN 116 829 675

8/88 Forrest Street, Cottesloe WA 6011

Mobile +61 408557821 Email underwoodpw@tripleenergy.net Web www.tripleenergy.net

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It is noteworthy that the location and depth of the coal seams in the initial area are already known and well understood.

The first well will be a drill stem test (“DST”) and it is expected that this well will commence in the next few weeks subject to weather conditions. The next wells are planned for April 2013, after the northern winter. These will be core holes designed to collect pressurised core to facilitate a more precise laboratory analysis of potential gas flow rates.

Should the data from these three wells demonstrate commercial flow rates of gas, the next steps will be to initiate a study for a development plan comprising of up to 75 wells. It is expected that a gas sales contract will be available for any gas produced.

As previously advised, the project comes with expert Coal Bed Methane (CBM) management and Queensland based CBM technical expert contractors. As such, the wells will all be designed and drilled using Australian CBM expertise, including Australian standard health and safety systems.

There is a purpose built US made CBM drilling unit already in the town of Hegang, 3 kilometres from the drilling site currently being shaken-down for the drilling of the first well.

Shareholders’ Meeting

Preparation of a notice of general meeting ( Notice ) seeking approval for the acquisition of CFT and the Placement is continuing and the Notice is expected to be issued in the coming weeks.

CONTACT DETAILS FOR FURTHER INFORMATION:

Paul Underwood T: + 61 (0) 408 557 821 E: underwoodpw@tripleenergy.net

Technical Information contained in this release is based on information reviewed by Richard Hayward (Technical Non Executive Director). Mr Hayward has an Honours Degree in Geology from Imperial College, London and a Master’s Degree in Basin Evolution and Dynamics from Royal Holloway College, London. He is a fellow of the Geological Society of London and a member of the American Association of Petroleum Geologists and the Society of Petroleum Engineers. Mr Hayward has in excess of 24 years experience in petroleum geology and has consented to the inclusion of the information in the form and context in which it appears.

This update contains some references to forward looking assumptions, estimates and outcomes. These are uncertain by nature and no assurance can be given by Triple that its expectations, estimates and forecast outcomes will be achieved.

Triple Energy Ltd ACN 116 829 675 8/88 Forrest Street, Cottesloe WA 6011 Mobile +61 408557821 Email underwoodpw@tripleenergy.net Web www.tripleenergy.net