Woodbois Regulatory News (WBI)

30 June 2016

Obtala Resources Limited

("Obtala", the "Group" or the "Company")

(AIM: OBT)

Share Option Awards

Obtala Resources Limited (AIM:OBT), the African focused agricultural and forestry company, is pleased to provide the following update.

Share Option Awards

In the best interests of all stakeholders The Board today proposed and approved the issue of long-dated, highly out-of-the-money share option awards to current and proposed management. This aligns management interests and strongly links reward with performance as we seek to increase shareholder value over the medium-term. Share option awards were made on the following structure within the company's existing share scheme:

Vesting Date Trigger Price Award Amounts

June 2018 15p 5.25m options

June 2019 20p 5.25m options

June 2020 25p 5.25m options

June 2021 30p 5.25m options

· The share options would be issued, but only exercisable, upon the Obtala monthly VWAP stock price being above the trigger price for 3 consecutive months at or after the vesting date.

· All tranches of the above options expire on 30th June 2026 regardless of whether they have been exercisable or not.

· The exercise price for the options are 8.75p.

· If the awardee is not in the employ at the time of vesting then the awards are forfeit.

The awards will be distributed to management of the following basis:

Miles Pelham Chairman 1m per tranche (4m total)

Paul Dolan CEO 1m per tranche (4m total)

Simon Rollason Managing Director 1m per tranche (4m total)

Warren Deats COO 1m per tranche (4m total)

Philippe Cohen Finance Director 250k per tranche (1m total)

Ilene Hardy Company Secretary 250k per tranche (1m total)

Patrick Greene Head of Forestry 250k per tranche (1m total)

Graham Impey Head of Agriculture 250k per tranche (1m total)

Sophie Hunter Head of Sales, Marketing & Distribution 250k per tranche (1m total)

Miles Pelham, Chairman's comment:

The introduction of adequate, appropriate, performance based incentivisation is a crucial ingredient to aligning interests and ensuring execution risk is overseen with extreme diligence as we embark on a period of rapid production expansion.

I feel the Share Awards granted today are sufficiently high enough, and of the appropriate duration, for the betterment of all stakeholders.