• Dartbrook Mine under receivership, unlikely AQC will receive any distribution
• AQC has provided parent company guarantee for Dartbrook Joint Venture debt, creditor has not called on guarantee
• AQC holds $0.68 million in available cash, continues to assess circumstances

During the quarter, Australian Pacific Coal Ltd (AQC) continued to monitor the circumstances related to the significant events relating to its principal asset, the Dartbrook Mine, and its financing arrangements. The company advised that the appointed operator of the Dartbrook Mine, Dartbrook Operations Pty Ltd (Receivers and Managers Appointed) and related entities, appointed voluntary administrators on 3 July 2025. Subsequently, Vitol Asia Pte Ltd ('Vitol') as secured creditor to the Dartbrook Joint Venture, advised that they had appointed receivers and managers of the secured property of the Dartbrook Mine. This included all of the shares in, and property of, AQC Dartbrook Pty Ltd (Receivers and Managers Appointed), holder of the Company's joint venture interest in the Dartbrook Mine, and a specific receiver appointment over moneys of the Company in certain reserve accounts, capitalised interest and certain receivables (but not of any other property of the Company). As a result, the Company advised that the directors of the following wholly owned subsidiaries of the Company had appointed Administrators: AQC Dartbrook Pty Ltd (Receivers and Managers Appointed) and AQC Dartbrook Management Pty Ltd (Receivers and Managers Appointed). Because receivers and managers have been appointed to all assets of the Dartbrook Mine and given the size of the senior secured debt, the Company has advised it is unlikely that the Company will receive any distribution after the conclusion of the receivership and concurrent voluntary administration. The Company provided a parent company guarantee for all moneys owing by the Dartbrook Joint Venture under the secured facility at the time of the execution of the senior secured facility in January 2024. The Agent for the secured creditor has advised that it continues to reserve its rights on calling on the parent company guarantee. However, the secured creditor, Vitol Asia Pte Ltd has affirmed in discussions with AQC that it does not presently intend to call on the guarantee. The directors of the Company are continuing to assess the above circumstances and will provide further updates when available. The Company held $0.68 million of available cash at the end of December 2025 at the AQC group level. The directors of the Company continue to consider that the Company is solvent having regard to current available cash resources of the Company and its operational expenses.