Chagala : Sale of Shares

Press Release

For: Chagala Group

Date: November 8, 2016

Re: Sale of Shares

Hong Kong- Chagala Group Limited (the 'Company'), the London-listed specialist services and facilities provider to the oil and gas industry in Kazakhstan (symbol: CGLO), announces that the Company has notification that Salink Limited (the trading company of East Capital Deep Value Fund) sold 1,256,000 depositary interests in respect of shares in the Company representing 6.02% of the total voting rights the Company at a price of $1.55 per share on 24 October 2016.

After this transaction, Salink Limited holds no direct or indirect interests over any shares or voting rights in the Company.

Although the Company understands that Salink Limited submitted a notification of the sale tothe Company on 24 October 2016, the Company received such notification on 8 November 2016.

For details please see attached documents:

http://www.rns-pdf.londonstockexchange.com/rns/6267O_-2016-11-8.pdf

Chagala Group

Chagala is a service company focused on providing long and short term accommodation solutions to domestic and international oil and gas companies developing Kazakhstan's largest hydrocarbon discoveries. With the ownership of hotels, guest houses, serviced apartments, remote site facilities, restaurants and offices in its portfolio, Chagala is well positioned to capitalize on the oil and gas investment being made in Kazakhstan.

For more information: