Prairie Mining Ltd.

Legal Proceedings Report • Jan 31, 2020

31 January 2020

Magdalena Wysocka Urzad Komisji Nadzoru Finanswego

Dear Magdalena,

Response to query DSP.4550.37.2020.EJ

In response to your correspondence dated 28 January 2020, Prairie Mining Limited's (Prairie or Company) response is as follows:

• 1. Prairie confirms that there have been no discussions between the Company and Jastrzębska Spółka Węglowa SA and its proxies (together JSW) with respect to potential co-operation regarding Prairie's Polish coal projects since 28 September 2019. Prairie further confirms that none of its executive management team have had any contact with JSW since 28 September 2019. The last contact between Prairie and JSW, that the Company is aware of, is an email exchange on the 26 September 2019 between Mr Ian Middlemas, the Company's Chairman, and Mr Krzysztof Cichocki, partner at law firm SOŁTYSIŃSKI KAWECKI & SZLĘZAK who we understand was acting as a proxy for JSW. Mr Cichocki did not subsequently respond to the email from Mr Middlemas.
• 1. Not applicable. As outlined above, the Company has confirmed that it has not had any contact with JSW since 28 September 2019.

Yours faithfully

[sent electronically without signature]

Ben Stoikovich Chief Executive Officer

DSP.4550.37.2020.EJ

Warszawa, 28 stycznia 2020 r.

Mr Benjamin Stoikovich Chief Executive Officer Prairie Mining Limited Level 9, BGC Centre 28 The Esplanade WA 6000 Perth

Dear Mr Stoikovich,

I'm contacting you in reference to the September 2019 Quarterly Report published by Prairie Mining Limited (the Issuer) on 31st October 2019 and the information included therein: , There has been no material discussion with JSW since Mr Ozon's dismissal nor since the expiry of the NDA ( ... )".

Pursuant to article 68.1 of the Act on Public Offering, Conditions Governing the Introduction of Financial Instruments to Organised Trading, and Public Companies, we kindly request that you provide information indicated below:

• Has the Issuer had any contact with Jastrzebska Spółka Węglowa S.A. (JSW) or JSW's proxy since the 28th September 2019 with respect to potential co-operation regarding Prairie's Polish coal projects. If yes, please indicate the dates, manner of contact and the arrangements made,
• In case the Issuer has contacted JSW after 28th September 2019 why the Issuer finds discussion with JSW not material.

Please send your reply within 5 days of receiving this letter also in electronic form, using the ESPI system by sending a letter to DIA-S.

Thank you for your cooperation in this matter.

Sincerely,

lagdalena Wysocka

Receive:

• 1. Prairie Mining Limited
• cc: file 2.