KBL Mining : Notification of extension of convening period

Level 3, 2 Elizabeth Plaza, NORTH SYDNEY NSW 2060 PO Box 98, NORTH SYDNEY NSW 2059

Phone:+61 2 9927 2000

Fax: +61 2 9927 2050

Website: www.kblmining.com.au

ACN 129 954 365

4 October 2016

Sydney New South Wales: KBL Mining Ltd (Administrators Appointed) (Receivers and Managers Appointed) ("KBL" or "Company") (ASX: KBL) wishes to advise that on 4 October 2016, as contemplated by the Administrators at the first meeting of the Company's creditors held on 20 September 2016, the Administrators have sought and obtained orders from Master Sanderson in the Supreme Court of Western Australia for the extension of the convening period with respect to the Company from 7 October 2016 to 30 November 2016, pursuant to section 439A(6) of the Corporations Act 2001 (Cth.) ("the Orders").

The Orders provide the Administrators sufficient time to complete their investigations, and to allow interested parties sufficient time to submit binding proposals to restructure and recapitalise the Company. The effect of the Orders is that the second meeting of creditors of the Company ("the Second Meeting") may now be convened at any time up to 30 November 2016.

Notwithstanding the extension, the Administrators intend to finalise negotiations and call and hold the Second Meeting as soon as is practicable.

We advise that the Orders grant liberty to any person who can demonstrate sufficient interest, including any creditor of the Company or the Australian Securities and Investments Commission, to apply to the court to modify or discharge the Orders. The Orders are currently being extracted, and will be available upon request from this office in due course.

Should you require any further information with respect to the above, please contact the Administrators via AU-FM-kbl-mining@kpmg.com.au and continue to refer to ASX announcements for any further updates.

Matthew Woods

Joint & Several Voluntary Administrator Partner, Restructuring Services

KPMG