Appoints Planning Consultants for UCG Project

Cluff Natural Resources Plc / Index: AIM / Epic: CLNR / Sector: Natural Resources

7 January 2015

Cluff Natural Resources Plc ('CLNR' or 'the Company')

Appointment of environmental and planning consultants for Kincardine Underground Coal Gasification Project, Scotland

Cluff Natural Resources Plc, the AIM quoted natural resources investing company, today announces the appointment of Environmental Resources Management ('ERM') as the Company's environmental and planning consultants for the proposed Kincardine Underground Coal Gasification ('UCG') Project in the Firth of Forth, Scotland (the 'Project'). The Project and the planning process represent an important step towards the commercialisation of the Company's portfolio of UCG licences.

ERM is a leading global provider of environmental, health, safety, risk, and social consulting services and, working with CLNR's appointed geological and drilling consultants, it will prepare the Company's application for planning approval of the proposed Project, working principally from its Edinburgh and Aberdeen offices.

ERM's role will include site screening and selection, environmental impact assessment, hydrogeological modelling, stakeholder and regulatory support as well as advising on permitting requirements.

Algy Cluff, Chairman and Chief Executive commented:

"We are delighted to have ERM working with us on our licence at Kincardine in the Firth of Forth. We recently announced a JORC-compliant coal resource at the licence and it has been identified and selected as an ideal site for a UCG project. The appointment of ERM as our environmental and planning consultants is a key development as we advance towards planning approval and unlocking of the massive energy potential of this significant asset and the coal which surrounds our shores."

For further information about the Project please contact the following:

Cluff Natural Resources Plc

Algy Cluff/ Graham Swindells/Andrew Nunn Tel: +44 (0) 20 7887 2630

Panmure Gordon (UK) Limited Tel: +44 (0) 20 7886 2500

Dominic Morley / Adam James (Corporate Finance)

Tom Salvesen (Corporate Broking)

Allenby Capital Limited Tel: +44 (0) 20 3328 5656

Chris Crawford / Katrina Perez (Corporate Broking)

St Brides Media & Finance Ltd Tel: +44 (0) 20 7236 1177

Felicity Winkles / Lottie Brocklehurst (Financial PR)

Charlotte Street Partners Ltd

Chris Deerin (Partner) Tel: +44 (0) 131 516 5310

ERM

Bruce Davidson (Partner) Tel: +44 (0) 203 206 5200

NOTES FOR EDITORS

· CLNR currently holds eight UK licences for Deep UCG, covering a total area of 613km².

· UCG can unlock an indigenous energy resource which is currently stranded due to its location and due to the entrenched decline of UK's mining industry.

· The establishment of a new UCG industry in the UK could create new employment opportunities and tax revenues, with skills requirements similar to other industries currently in decline in the UK including coal mining, oil & gas and the petrochemical industries.

· UCG can increase UK security of energy supply by utilising indigenous resources and providing a diversification of supply.

· In order to 'demonstrate' UCG technology in a UK context, CLNR is seeking planning consent for its Kincardine Project. The aim of the Project is to demonstrate the UCG process and to allow consent authorities, regulators and the public to have an opportunity to see how the technology would work in practice (from environmental management/protection and technical/commercial perspectives) before submitting applications for production development.

· The Project will comply with all relevant planning, permitting and environmental protection legislation. CLNR intends to work closely with the consent authorities and regulators in preparing its planning application for the Project

Further information about CLNR, our investors and UCG technology can be found on our website www.cluffnaturalresources.com