JATCORP LIMITED — Capital/Financing Update 2011

Dec 20, 2011

ASX/Media Release

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20th December 2011

Jatenergy Mobilises Contractor at Second Indonesian Coal Project

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• Contractors Move On-Site to Commence Stripping Work at Jongkang I

• First Coal Mining Expected at Jongkang I by End of February 2012

• Bad Weather Delays First Coal Sales from Jongkang II Mine Until January 2012

Jatenergy Ltd (ASX code JAT) announced today that agreement had been reached with mining contractors to start work on its Jongkang I coal development in East Kalimantan, enabling them to mobilise equipment and commence stripping of overburden.

The contractors will receive a fixed rate per tonne of coal mined for the work undertaken. Expectations are that total production costs, including crushing and stockpiling charges, will be below or in line with earlier estimates of $US58 per tonne, FOB barge.

Jatenergy’s CEO Phil Hodgson said that progress had been swift at Jongkang I despite recent wet weather conditions that had impacted upon other coal mining companies in the district. “We expect to be mining coal within eight weeks, thanks to excellent relationships with our local partner.”

The production licence for the Jongkang I mine was issued last month, and a drilling program is underway to outline an in-situ coal resource in accordance with the JORC code for mine planning and production purposes. The first mining pit has an Indicated in-situ Resource estimate of 97,000 tonnes of thermal coal, reported in accordance with the JORC Code and estimated by a Competent Person. Drilling is currently underway on a second pit, and will migrate to a third pit once that work has been completed.

Jongkang I and Jongkang II are being developed in a JV arrangement with a local Indonesian partner. Jatenergy has already covered the majority of the working capital costs of both projects (around US$ 1 m) in return for 30% of the mining margin and the ability to market both projects’ entire output. The project is sited 5km from a stockpile, crushing and conveyor loading facility on the Mahakam River, about 25km from the coal shipping hub of Samarinda.

Contractors have also been working at Jatenergy’s second East Kalimantan coal mining operation, Jongkang II, where the focus has been on stripping some extra over-burden at the base of the exposed coal seam to maximise extraction tonnage. The seasonal weather conditions, however, have delayed initial coal sales until January 2012.

Phil Hodgson said that coal prices in recent weeks from Indonesia had softened, however expectations were that sales would be made FOB barge at or above $US85-$US90 per tonne. If achieved, this would provide around $US10 per tonne profit margin for Jatenergy.

For further information:

Phil Hodgson, Jatenergy Chief Executive Officer – 02 9571 8300

Media: Alan Deans, Last Word Corporate Communications – 0427 490 992

Floor 6, Suite 8, 55 Miller Street, PYRMONT NSW 2009 t +61 2 9571 8300 f +61 2 9571 8200 w www.jatenergy.com

COMPETENT PERSON’S STATEMENT

The information in this report which relates to Exploration Results, Mineral Resources or Ore Reserves, has been compiled for Jatenergy Limited, based on information supplied by it, by S.W. (Bill) Hayes, BSc, METM (UQ), who is a Fellow of the Australasian Institute of Mining and Metallurgy. Mr Hayes is the principal of Fairpark Pty Ltd trading as S.W. Hayes & Associates (ACN 010 459 891) and has over 40 years of exploration and mining experience in a variety of mineral deposit styles. Mr Hayes has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity that he is undertaking to qualify as a Competent Person as defined in the 2004 edition of the Australasian Code for Reporting of Exploration Results, Exploration Targets, Mineral Resources and Ore Reserves. S.W. Hayes & Associates consents to the inclusion in this announcement, of the matters based on their review of the information in the form and context in which it appears.

About Jatenergy:

Jatenergy is an energy company operating in Australia and Asia. It produces high quality crude jatropha oil from operations in Central Java, Indonesia, for the global airline industry. It has diversified its energy portfolio from plant oil to include coal with the purchase of three mining projects in Indonesia’s Kalimantan coal region, and the execution of binding agreements to purchase eight coal exploration permits and permit applications in Queensland’s Bowen and Galilee basins.

Recent ASX/Media Releases

21 November 2011

PRODUCTION LICENCE GRANTED FOR JATENERGY’S SECOND INDONESIA COAL PROJECT

Jatenergy Limited announced today that the Indonesian Government had issued a production licence covering its Jongkang coal joint venture in East Kalimantan, coming just one week after the company started mining its first coal from the neighbouring Jongkang II mine.

http://clients.weblink.com.au/clients/jatoil/article.asp?asx=JAT&view=2657543

15 November 2011

JATENERGY TO COMMENCE COAL MINING IN EAST KALIMANTAN THIS WEEK

Jatenergy has entered into a joint operation with a currently producing coal mine – Jongkang II - in East Kalimantan, Indonesia, which would enable the company to commence mining its first coal this week. The new agreement is in addition to the company’s Jongkang and Atan Bara coal ventures, also in East Kalimantan, which are at an advanced stage of development.

http://clients.weblink.com.au/clients/jatoil/article.asp?asx=JAT&view=2656867

8 September 2011

JATENERGY SUPPLIES FUEL FOR LUFTHANSA’S PIONEERING BIOJET FLIGHTS

High quality crude jatropha oil supplied by Jatenergy from its operations in Central Java, Indonesia, has been sold to Lufthansa for use in the world’s first, long-term trial of renewable jet fuel on the German airline’s regular scheduled flights between Hamburg and Frankfurt.

http://clients.weblink.com.au/clients/jatoil/article.asp?asx=JAT&view=2647992

22 August 2011

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JATENERGY PROCEEDS WITH SECOND FAST-TO-PRODUCTION COAL MINE IN INDONESIA

Jatenergy has reached conditional agreement for a new coal mining joint venture in East Kalimantan that is expected to move rapidly into coal production. The Jongkang project, located 5 km along an existing haul road from the Mahakam River and about 25km from a major hub of Indonesia’s coal industry at Samarinda, is being developed by an existing coal mine operator, CV Wijaya Mulia.

http://clients.weblink.com.au/clients/jatoil/article.asp?asx=JAT&view=2645145

20 June 2011

FULL AGREEMENTS SIGNED FOR QUEENSLAND COAL ACQUISITION

Jatenergy has executed full tenement purchase and royalty agreements to purchase 10 coal exploration permits and permit applications in the Galilee and Bowen Basins. The agreements formalise the binding letters announced by the company on 8 February and 19 May this year.

http://clients.weblink.com.au/clients/jatoil/article.asp?asx=JAT&view=2638166

31 May 2011

JATENERGY FAST TRACKS INDONESIAN COAL DEVELOPMENT PLANS

Jatenergy’s board approved several significant strategic initiatives to advance its new dual energy strategy, including the rapid development of the Atan Bara coal mine in East Kalimantan, Indonesia, and the appointment of an experienced coal Chief Operating Officer to its Indonesian operations.

http://clients.weblink.com.au/clients/jatoil/article.asp?asx=JAT&view=2636242

18 May 2011

JATENERGY EXPANDS QUEENSLAND COAL DEAL INTO BOWEN BASIN

Jatenergy concluded a revised binding offer letter to acquire six additional coal exploration permits and permit applications in the Bowen Basin, the homeland of Queensland’s coal export industry. The deal continues to include the acquisition of four Galilee Basin permits and permit applications announced early in February.

http://clients.weblink.com.au/clients/jatoil/article.asp?asx=JAT&view=2635108