PPK GROUP LIMITED — Board/Management Information 2013

Oct 21, 2013

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ABN: 65 003 964 181

C/- HOLDEN & BOLSTER, LEVEL 31, AUSTRALIA SQUARE,

264-278 GEORGE STREET, SYDNEY NSW 2000

PO Box h18, AUSTRALIA SQUARE, SYDNEY NSW 1215

Tel: 61 (2) 9521 8444

ASX ANNOUNCEMENT 22 October 2013

PPK APPOINTS EX-INDUSTREA HEAD TO DRIVE NEW GROWTH FOCUS ON MINING SERVICES

• Ex-Industrea CEO & MD, Robin Levison, appointed as Executive Chairman of PPK

• Forward growth strategy to focus on mining services sector, building on existing Rambor business and future acquisitions

• First two mining services acquisitions to be finalised by end 2[nd] QTR 2014

• Existing property assets to be divested over time

• Ex-Industrea head of China operations, Dale McNamara, appointed as Director - Global Mining.

PPK Group Limited (PPK) announces the appointment of former Industrea Limited Managing Director, Robin Levison, as Executive Chairman, and a revitalised growth strategy focused on the mining services sector.

The appointment will be in conjunction with Mr Levison becoming a major shareholder in PPK with a 19.9% shareholding through:

• acquisition of shares on market; and

• subject to shareholder approval, the issue of 7,500,000 shares at 70 cents per share to Mr Levison pursuant to a Share & Loan Plan which Plan will provide for a three year loan of $5,250,000 from PPK at an interest rate of 6.5% per annum.

PPK’s out-going non-executive Chairman, Jury Wowk, who remains as non-executive Deputy Chairman, described Mr Levison’s appointment as a transformational game changer for PPK’s future growth prospects, adding that the appointment had the unqualified support of the board and major shareholders.

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Mr Wowk said Mr Levison had an outstanding track record of successfully expanding mining services businesses both organically and via acquisitions, with Industrea’s market value increasing from $2 million to circa $500 million under his direction and management.

“Mr Levison’s appointment will see PPK’s future strategic direction focused on mining services activities, through expanding our existing Rambor business which is a leading supplier to the underground coal sector, and via new, synergistic acquisitions."

“In line with our revised operational focus, PPK will progressively divest our existing property assets at an appropriate time and price,” he said.

Mr Levison said the current stage of the commodities market cycle represented an opportunistic window to acquire profitable privately owned Australian-based mining services businesses with proven growth prospects.

He said PPK was already in discussions with several acquisition prospects, which are expected to be immediately earnings accretive.

“PPK’s new growth strategy, which will be outlined in more detail to shareholders at our November 26 AGM, will see our forward business model consolidated around mining production, mining technology and mining automation products and services.

“The initial sales focus for these products and services will be on the established growth markets of Australia, China, Indonesia, Russia and USA,” he said.

Mr Levison said PPK was well placed to leverage strong, sustainable growth in revenue and earnings via this new market strategy.

“The company is profitable, posting a 54% increase in after tax profit of $2.38 million for FY13, has a solid balance sheet and a strong, experienced board, and importantly, high quality assets that can be effectively divested to realise full value in a timely manner.

Mr Levison and Mr Wowk both confirmed that the board was confident that the implementation of the new growth strategy can be achieved concurrently with the continued payment of fully franked, annual dividends.

- ENDS –

About Rambor

Rambor designs and manufactures specialty products for the underground coal mining industry which are used for the installation of mine roof and wall retention anchor bolts and tendons. Rambor products include pneumatic and hydraulic powered roof bolters, handheld rib and floor drills, drilling rigs, temporary roof supports, water separators and pneumatic motors. Rambor products are sold in Australia, and exported to countries including Russia, Germany, USA and Japan.

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About Robin Levison

Robin Levison joined Industrea Limited in 2005, following a successful career in accountancy and merchant banking. As Managing Director, he implemented and executed a successful growth strategy under which the company’s range of specialist mining and productivity equipment targeting the underground coal mining sector expanded significantly. Through a mix of strong organic growth and strategic acquisitions, Mr Levison oversaw a significant increase in Industrea’s revenue base, and group employee numbers climb to in excess of 1000 people located globally. The company’s products and services were sold extensively to countries including Australia, China, India, Indonesia, Russia, Japan USA and Chile.

Mr Levison holds a Masters of Business Administration from the University of Queensland, is a Chartered Accountant and is a Graduate and Fellow of the Australian Institute of Company Directors.

For further information:

Robin Levison Executive Chairman Tel: 61 (2) 9241 7372

Jury Wowk Non-Executive Deputy Chairman Tel: 61 (2) 9334 8455

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