Trading statement and business update eXtract Group Limited (previously Eqstra Holdings Limited) (Incorporated in the Republic of South Africa) (Registration number 1998/011672/06) Share code: EXG ISIN: ZAE000223202 (“eXtract” or “the Company” or “the Group”) TRADING STATEMENT AND BUSINESS UPDATE Trading statement In terms of the Listings Requirements of the JSE Limited, companies are required to publish a trading statement as soon as a reasonable degree of certainty exists that the financial results for the period to be reported on next will differ by at least 20% or more from the financial results of the previous corresponding reporting period. The Company changed its year end to August 2017 being a 14-month period. Its first interim results period will be for the six months’ ending 31 December 2016 (“the period”). It is important to note that the Eqstra Fleet Management and Logistics and Industrial Equipment divisions (“the Sold Divisions”) had been sold to enX Group Limited post the previous comparative period being the six months’ period ended 31 December 2015 (“prior period”). It is expected that earnings per share (“EPS”) will increase by at least 20% (at least 57.5 cents) from the prior period loss of 287.4 cents per share and headline earnings per share (“HEPS”) will decrease by at least 20% (at least 0.4 cents) from the prior period loss of 2.2 cents per share. The increase in EPS is primarily as a result of the significant impairments recorded in the prior period and the decrease in HEPS mainly attributable to lower profitability and bad debts recorded during the period. There is currently insufficient certainty to enable the Company to provide specific guidance on the extent of the decrease in HEPS and increase in EPS and as such the Company will publish a further trading statement once it has certainty. The financial information on which this trading statement is based has not been reviewed and reported on by eXtract’s external auditors. The statement is based on financial information available at the time of this publication. Business update FIRST ASSET LIGHT PARTNERSHIP CONTRACT SECURED The Company confirmed its first international contract win in Indonesia from PT Bangun Olah Sarana Sukses (“PT BOSS”) in the East Kalimantan region of the country. The two-year contract will commence in early 2017 to mine LCV thermal coal on a 1.2 million ton reserve, of which 25% has been pre-sold. The total area of the mine is 1,125 Ha. The project will be uniquely executed on a partnership approach with open-book costing. The initial contract value is R600 million of revenue over the two year, which has the potential to be expanded in future on the adjoining concessions. The project is the first asset-light model to commence under the Group’s revised strategy. Collectively management has 41 years’ mining experience in Indonesia. INTERNATIONAL COAL VENTURES PRIVATE LIMITED (“ICVL”) The receivable of $14 million due by ICVL has been settled in full with the final payment being received on 28 November 2016 from ICVL in conclusion of the Benga contract. The proceeds have been allocated to settle lenders and all local creditors. The Mozambique assets are now fully unencumbered. EXCESS AND END OF LIFE ASSETS On 11 July 2016 shareholders approved the sale of excess assets, refer to SENS announcement dated 11 July 2016 and related circular dated 10 June 2016. Excess Asset sales progress since the last reporting period is as follows: Monetisation of assets (30 June 2016 to 30 November 2016) Impaired Book Asset (R’ millions) Value Realized Forex Remaining Plant rental assets 163 (148) - 15 SA excess assets 135 (23) - 112 Benga assets 511 (196) (21) 294 Total 809 (367) (21) 421 The sale of the plant rental assets progressed well over the period and is in the final stages of completion. The SA excess assets remain slow movers as a result of the depressed economic conditions, while we continue to actively market these assets. The most significant sale during the period has been the 14 Caterpillar 793 trucks which have been sold to an international mining house to the value of R196 million. The suspensive conditions to the contract of sale are mostly complete and demobilisation of the trucks has started. CEO MESSAGE CEO Justin Colling added: “Since the sale of the Eqstra Fleet Management and Logistics and Industrial Equipment divisions to enX Group Limited in November, we have achieved some important milestones such as the conclusion of the Benga Mozambique contract, excess assets sale progress and winning the Indonesian contract. The unexpected set back of losing the Boteti contract in Botswana has been disappointing; however, we remain committed to doing all that is necessary to ensure that damages are recouped. The contract win in Indonesia affirms our approach to the way we want to run the model going forward. Truly partnering with clients in a way that shares both risk and reward, whilst being responsible with our balance sheet and shareholders’ funds, is the way we believe we drive efficiencies and add longevity and value to contracts. We have a combined management experience of 41 years of mining in Indonesia and we look forward to delivering for PT BOSS on its Coal project.” 14 December 2016 Sponsor RAND MERCHANT BANK (A division of FirstRand Bank Limited) Date: 14/12/2016 01:51:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.