Update on Sino-Aus

9 March 2016

Altona Energy plc

("Altona" or "the Company")

Update on Sino-Aus Energy Group Ltd

Altona (AIM: ANR) announces that its joint venture partner Sino-Aus Energy Group Ltd, a British Virgin Islands company ("Sino-Aus BVI") has novated its rights and obligations under the Arckaringa Joint Venture Agreement to Sino-Aus Energy Group Ltd, a Hong Kong company ("Sino-Aus HK") in order to facilitate the banking arrangements necessary to make its financial contributions into the Arckaringa Coal Chemical Joint Venture Co Pty Ltd ("the JV Company"). Sino-Aus BVI has also transferred its holding of 100,000,000 ordinary shares in Altona to Sino-Aus HK.

The Company has been informed that following the opening by Sino-Aus HK of a Hong Kong bank account it will be able to pay its contribution of AUD$5.4million into the JV Company, once the necessary permissions are obtained to transfer the funds from mainland China to Hong Kong. Altona will advise shareholders when this first contribution from Sino-Aus HK has been received by the JV Company.

Sino-Aus HK has the same directors and shareholders as Sino-Aus BVI.

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For further information, please visit www.altonaenergy.com or contact:

About Altona

Altona is listed on the London Stock Exchange's AIM market. Its principal focus is on the evaluation and development of the Company's flagship Arckaringa Project to exploit the significant coal resources contained in three exploration licences covering 2,500 sq. kms in the northern portion of the Permian Arckaringa Basin in South Australia. The Project is designed to produce syngas products for the Australian market and export from a resource exceeding 7.8 billion tonnes of coal (1.3 billion tonnes JORC compliant).