Quarterly Activities and Cashflow Reports

• Dartbrook Mine sales process continues under Receivers and Managers
• Company holds $1.56 million in available cash
• Directors assess solvency and continue to evaluate options

During the quarter, Australian Pacific Coal Ltd (AQC) continued to monitor developments relating to the significant events impacting its principal asset, the Dartbrook Mine, and its associated financing arrangements. The Receivers and Managers (FTI Consulting) appointed to the secured property of the Dartbrook Mine continue to progress a sales process, and AQC remains in ongoing dialogue with FTI Consulting and the secured creditor, Vitol Asia Pte Ltd. The directors continue to assess these circumstances and will provide further updates when available. The Company held $1.56 million of available cash at the end of March 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.