RESOURCE GENERATION LIMITED - Extension of Facility Agreement

Extension of Facility Agreement

    Resource Generation Limited
    Registered in Australia under the Corporations Act, 2001 (Cth) with
    registration number ACN: 059 950 337
    ISIN: AU000000RES1
    Share Code on the ASX: RES
    Share Code on the JSE: RSG
    (“Resource Generation” or the “Company”)


    7 December 2017
    ASX Announcement


                                         Extension of Facility Agreement
    The Company has signed a further extension of the Facility Agreement of 3 March 2014
    (Facility), under which Noble Resources International Pte Ltd (Lender) has agreed to
    make available additional funds of up to US$3.8M to the Company's subsidiary, Ledjadja
    Coal Pty Ltd (LCL) to fund the operations and development of the Boikarabelo mine
    project being undertaken in South Africa (Project) whilst project funding is secured. The
    total Facility made available to the Company is now US$32.2m.

    The additional funds are to be made available on the same terms as the existing Facility
    and can be drawn in monthly tranches over the period to 31 March 2018.

    Key terms associated with the extension of the Facility include:
    .  The additional funds together with the existing fully drawn Facility of US$28.4m (see
       ASX Announcement 14 March 2017) are unsecured and subject to a parent
       company guarantee of LCL’s obligations under the agreement;
    . Interest accrues at 10.75% pa and can be capitalised on a six-monthly basis unless
       the borrower elects otherwise to pay such interest; and
     . The initial Facility of US$20m is repayable in instalments commencing from 30 April
       2018 with a termination date of 10 September 2024, however the additional funds
       made available under the extension of the Facility (US$12.2m) are repayable from

Resource Generation Australia (ACN 059 950 337)
c/o Level 1, 17 Station Road, Indooroopilly, QLD, 4068
GPO Box 126, Albion QLD 4010. Phone +27 (012) 345 1057 Fax +27 (012) 345 5314
Directors: Lulamile Xate (Chairman), Robert Croll, Dr. Konji Sebati,
Colin Gilligan, Leapeetswe Molotsane, Manish Dahiya, Peter Watson                www.resgen.com.au
CEO: Rob Lowe
    the proceeds of the first drawdown of any facility agreement for any project financing
    for the Project.
The Company continues to pursue project funding as previously advised to the market
and will keep the market updated on progress.


Lulamile Xate
Chairman
For and on behalf of the Board




About Resgen:

Resource Generation Limited (Resgen) is an emerging ASX and JSE-listed energy company,
currently developing the Boikarabelo Coal Mine in South Africa’s Waterberg region. The
Waterberg accounts for around 40% of the country’s currently known coal resources. The Coal
Resources and Reserves for the Boikarabelo Coal Mine, held through the operating subsidiary
Ledjadja Coal, were recently updated based upon a new mine plan and execution strategy. The
Boikarabelo Coal Resources total 995Mt and the Coal Reserves total 267Mt applying the JORC
Code 2012 (ASX Announcement :23 January 2017- In accordance with Listing Rule 5.23.2 the
Company confirms that it is not aware of any new information that would impact on the Reported
Coal Resources and Coal Reserves). Stage 1 of the mine development targets saleable coal
production of 6 million tonnes per annum. Ledjadja Coal is a Black Economic Empowerment
subsidiary (BEE) operating under South Africa’s Broad-based Black Economic Empowerment
Act, Section 9(5): Codes of Good Practice

ResGen’s primary shareholders are the Public Investment Corporation of South Africa (PIC),
Noble Group and Altius Investment Holdings.

For further information please contact:

Mike Meintjes, Company Secretary on mmeintjes@resgen.com.au or +61 413 706 143

Media enquiries:

Australia: Martin Debelle on + 61 282 340 102

South Africa: Marion Brower/ Charmane Russell on +27 11 880 3924

JSE Sponsor: Deloitte & Touche Sponsor Services (Pty) Ltd




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