MCM.L Regulatory News (MCM)

Name of entity

Coal of Africa Limited

ABN

98 008 905 388

1

+Class of +securities issued or to be issued

Unlisted Options

2

Number of +securities issued or to be issued (if known) or maximum number which may be issued

Total of 8,057,928

3

Principal terms of the +securities (e.g. if options, exercise price and expiry date; if partly paid +securities, the amount outstanding and due dates for payment; if +convertible securities, the conversion price and dates for conversion)

3,932,928 Options exercisable on or before 30 June 2017 at an exercise price of ZAR1.75 with two thirds vesting immediately and one third vesting on 1 July 2014.

4,125,000 Options exercisable in three instalments of 1,375,000 options on each of 1 June 2014, 1 June 2015 and 1 June 2016 at an exercise price of ZAR2.0. The expiry date for the options is 1 June 2018.

4

Do the +securities rank equally in all respects from the +issue date with an existing +class of quoted +securities?

If the additional +securities do not rank equally, please state:

· the date from which they do

· the extent to which they participate for the next dividend, (in the case of a trust, distribution) or interest payment

· the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment

No

Options over unissued shares may only be exercised in accordance with their terms and conditions. Upon conversion of the options to shares, the shares will rank with existing shares.

5

Issue price or consideration

Nil

6

Purpose of the issue

(If issued as consideration for the acquisition of assets, clearly identify those assets)

Options granted to employees pursuant to the Company's Employee Share Option Plan approved by shareholders at the Company's Annual General Meeting held on 22 November 2013.

6a

Is the entity an +eligible entity that has obtained security holder approval under rule 7.1A?

If Yes, complete sections 6b - 6h in relation to the +securities the subject of this Appendix 3B, and comply with section 6i

No

6b

The date the security holder resolution under rule 7.1A was passed

N/A

6c

Number of +securities issued without security holder approval under rule 7.1

N/A

6d

Number of +securities issued with security holder approval under rule 7.1A

N/A

6e

Number of +securities issued with security holder approval under rule 7.3, or another specific security holder approval (specify date of meeting)

N/A

6f

Number of +securities issued under an exception in rule 7.2

N/A

6g

If +securities issued under rule 7.1A, was issue price at least 75% of 15 day VWAP as calculated under rule 7.1A.3? Include the +issue date and both values. Include the source of the VWAP calculation.

N/A

6h

If +securities were issued under rule 7.1A for non-cash consideration, state date on which valuation of consideration was released to ASX Market Announcements

N/A

6i

Calculate the entity's remaining issue capacity under rule 7.1 and rule 7.1A - complete Annexure 1 and release to ASX Market Announcements

N/A

7

+Issue dates

Note: The issue date may be prescribed by ASX (refer to the definition of issue date in rule 19.12). For example, the issue date for a pro rata entitlement issue must comply with the applicable timetable in Appendix 7A.

Cross reference: item 33 of Appendix 3B.

3 December 2013

Number

+Class

8

Number and +class of all +securities quoted on ASX (including the +securities in section 2 if applicable)

1,048,368,613

Fully paid ordinary shares

Number

+Class

9

Number and +class of all +securities not quoted on ASX (including the +securities in section 2 if applicable)

818,500

1

3,000,000

1,441,061

2,500,000

3,500,000

2,670,000

Class K Options exercisable at A$1.90 on or before 30 June 2014

Option to subscribe for 50 million ordinary shares for 60 pence each between 1 November 2010 and 1 November 2014, as approved by shareholders on 22 April 2010

Class J Options exercisable at A$2.74 on or before 30 November 2014

ESOP Options exercisable at A$1.40 on or before 30 September 2015

Class C Options exercisable at A$1.20 on or before 9 November 2015

Class L Options exercisable at 25 pence on or before 30 November 2015

ESOP Options exercisable at ZAR7.60 on or before 14 February 2017

10

Dividend policy (in the case of a trust, distribution policy) on the increased capital (interests)

Not applicable

34

Type of +securities

(tick one)

(a)

+Securities described in Part 1

(b)

All other +securities

Example: restricted securities at the end of the escrowed period, partly paid securities that become fully paid, employee incentive share securities when restriction ends, securities issued on expiry or conversion of convertible securities

Tick to indicate you are providing the information or documents

35

If the +securities are +equity securities, the names of the 20 largest holders of the additional +securities, and the number and percentage of additional +securities held by those holders

36

If the +securities are +equity securities, a distribution schedule of the additional +securities setting out the number of holders in the categories

1 - 1,000

1,001 - 5,000

5,001 - 10,000

10,001 - 100,000

100,001 and over

37

A copy of any trust deed for the additional +securities

38

Number of +securities for which +quotation is sought

N/A

39

+Class of +securities for which quotation is sought

N/A

40

Do the +securities rank equally in all respects from the +issue date with an existing +class of quoted +securities?

If the additional +securities do not rank equally, please state:

· the date from which they do

· the extent to which they participate for the next dividend, (in the case of a trust, distribution) or interest payment

· the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment

N/A

41

Reason for request for quotation now

Example: In the case of restricted securities, end of restriction period

(if issued upon conversion of another +security, clearly identify that other +security)

N/A

Number

+Class

42

Number and +class of all +securities quoted on ASX (including the +securities in clause 38)

N/A

N/A