THE WATERBERG COAL COMPANY LIMITED - Request for Extension to Voluntary Suspension

Request for Extension to Voluntary Suspension

The Waterberg Coal Company Limited
(Incorporated in Australia)
(Registration number ABN 64 065 480 453)
ASX: WCC | JSE: WCC | ISIN: AU000000WCC9
(“WCC” or “the Company”)

Request for Extension to Voluntary Suspension

The Company has made a request to the Australian Stock Exchange (ASX)
for an extension to its current voluntary suspension in the trading of
its securities.

In accordance with ASX Listing Rule 17.2, the Company advises that:

a.   it is seeking the extension to the voluntary suspension to allow
     time to finalise a proposed third party funding arrangement to
     replace its existing funding facility (the Facility) with The
     Standard Bank of South Africa Limited (SBSA) which was due for
     repayment on 9 April 2015 (as announced on 17 March 2015);

b.   as advised to the market on 17 September 2015, a transaction with
     Sibanye Gold Limited (Sibanye) was contemplated originally
     expected to be completed by end of November 2015, then revised to
     the end of February 2016;

c.   a Company market release dated 25 February 2016 advised that
     Sibanye had, on 24 February 2016, submitted a new offer which was
     materially different from the equity based transaction, as
     originally contemplated, to one whereby Sibanye proposed to
     acquire only the assets of the Waterberg Coal Project. This offer
     was withdrawn by Sibanye when the Company was unable to give due
     consideration within the approximately 24 hours turn-around time
     stipulated.

d.   on 10 March the Company advised that it was in negotiations with
     South African company Villora Limited to assist in recapitalisation 
     of the Company’s balance sheet including, inter alia, a potential 
     transaction to acquire the convertible note facility held by SBSA 
     (Replacement Funding).

e.   the Replacement Funding represents a significant transaction and
     the final terms of the proposal will impact the Company's ability
     to carry out its future objectives;

f.   SBSA has previously advised that it will maintain the Facility as
     “on demand”, rolling daily basis, to give the discussions time to
     progress;

g.   the Company is of the view that re-instatement of trading for its
     securities at this time is likely to be materially prejudicial to
     its ability to successfully complete the complex funding
     transaction contemplated which is critical to the Company’s
     financial viability;

h.   it expects the voluntary suspension to remain in place until the
     earlier of:

     i.    the date that it has made an announcement in respect of the
           proposed Replacement Funding arrangement; and

     ii.   commencement of trade on Tuesday, 24 May 2016;

i.   it is not aware of any reason why the securities should not
     suspended; and

j.   is not aware of any other information necessary to inform the
     market about the suspension.

Lee Boyd
Director & Company Secretary
The Waterberg Coal Company Limited

26 April 2016
JSE Sponsor:
The Standard Bank of South Africa Limited

Registered office:
Level 2, 1 Walker Avenue, West Perth, Western Australia 6005 Australia
Tel:+61 8 9485 0888 Fax: +61 8 9485 0077
South African office:
Level 1, The Place, 1 Sandton Dr, Sandton, 2146 South Africa
Tel: +27 10 594 2240 Fax: +27 10 594 2253
Contact:
Mr Lee Boyd
 Director and and Company Secretary
Tel: +61 8 9385 0888
Or
Investor relations in South Africa:
Christo Pieterse
Tel: +27 10 594 2240             E-mail: info@waterbergcoal.com.au
Directors:
Dr Mathews Phosa (Chairman)

Lee Boyd (Director and Company Secretary)
Gavin Rodie (Non-executive Director)

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