IRC Limited — Capital/Financing Update 2017

Mar 22, 2017

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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(Incorporated in the Hong Kong with limited liability)

(Stock code: 1029)

K&S: SUCCESSFULLY OPERATES AT 75% PRODUCTION CAPACITY K&S’ SALES BOOST IMMINENT

Wednesday, 22 March 2017: IRC Limited (“IRC” or the “Company”, together with its subsidiaries, the “Group”; Stock Code 1029) is pleased to announce that K&S plant has successfully operated at 75% production capacity after installing replacement parts for the ball mill, a significant milestone in the ramping up programme of the plant.

As reported in the previous announcement, the replacement and remedial works at the ball mill commenced last week, with cold run test completed. Further hot run tests were conducted and delivered a successful result, with the whole plant managing to operate at c.75% of its designed capacity. With the ball mills circuit resumed to running in full scale at designed processing scheme, it is expected to boost the plant’s production and sales, bringing regular cash revenue to IRC. K&S’ premium products are well received by the customers in the North-Eastern China with all production having been sold. IRC is talking to a number of customers for long-term offtake arrangements and further updates will be announced in due course.

Commenting on the news above, Yury Makarov, Chief Executive Officer of IRC said “We are thrilled that K&S’ ramping up programme is progressing well. I would also like to thank our site team for their efficiency in fixing the ball mill. Now that the plant has solved its major bottleneck issue, we can reassure that K&S can ramp up as planned and reach its full design production capacity in the first half of the year.

We are pleased that we are capitalising on the current strong price market situation. As we are speaking to our shareholders here, K&S is producing and making returns for us every day.”

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Ball mill at K&S Processing Plant

By Order of the Board IRC Limited Yury Makarov Chief Executive Officer

Hong Kong, People’s Republic of China Wednesday, 22 March 2017

As at the date of this announcement, the Executive Directors of the Company are Mr Yury Makarov and Mr Danila Kotlyarov. The Non-Executive Directors are Mr George Jay Hambro, Mr Cai Sui Xin (Benjamin Ng as his alternate), Mr Raymond Kar Tung Woo and Mr Cheng Chi Kin. The Independent Non-Executive Directors are Mr Daniel Bradshaw, Mr Simon Murray, CBE, Chevalier de la Légion d’Honneur, Mr Chuang-Fei Li and Mr Jonathan Martin Smith.

IRC Limited

6H, 9 Queen’s Road Central Hong Kong Tel: +852 2772 0007 Fax: +852 2772 0329 Email: ir@ircgroup.com.hk Website: www.ircgroup.com.hk

For further information please visit www.ircgroup.com.hk or contact:

Shirly Chan

Manager – Communications & Investor Relations Telephone: +852 2772 0007 Mobile: +852 9688 8293 Email: sc@ircgroup.com.hk

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