29 November 2012
The Manager
Company Announcements Office
Australian Securities Exchange
20 Bridge Street
SYDNEY NSW 2000

ASX ANNOUNCEMENT Update on Trading Suspension

UXA Resources Limited (ASX:UXA) ("Company") advises that the Australian Special Opportunity Fund, LP (ASOF), has agreed to a second extension of the timeframe of the Notice of Event of Default in relation to the convertible note facility with ASOF (refer to ASX announcements 15
October and 31 October 2012). The AU$500,000 zero-interest convertible note facility was provided under the unsecured funding agreement dated 12 April 2012 between UXA and ASOF. During this time period, ASOF has not converted any part of the note payable into shares and the full AU$500,000 remains outstanding.
The date has been extended to 21 December 2012 to satisfy the conditions below:

UXA must lodge its full year accounts for the year ended 30 June 2012 and the suspension from trading on ASX is removed; and

UXA must enter into an agreement or agreements with investors to secure funding to meet its ongoing funding requirements on terms and with counterparties satisfactory to ASOF

(in
ASOF's absolute and unfettered discretion).
As announced previously, the Company is undertaking a number of capital raising initiatives, including the sale of assets to fund working capital and reduce or eliminate entirely the Company's debt. This has included the sale of the USA wireline business and the current sale
process for GAA Wireline Australia (refer to ASX announcements 13 November and 22 November
2012). The directors remain confident that UXA will be able to raise additional funds in the foreseeable future.
UXA's Managing Director Dr Russell Penney said: "We have made considerable progress during the past month toward our goal of removing the suspension imposed by ASX and in simplifying the business to focus on the Company's exploration prospects."
"We are well advanced in our negotiations with prospective purchasers over the sale of certain non-core assets and have been in discussions with the convertible note holders." Dr Penney added, "The Directors of UXA are most appreciative of the flexibility and support shown by ASOF in granting a second extension of the deadline for no additional consideration. This affords the Company the time needed to complete the restructuring program".
The Company will provide a further update to the market as soon as it is in a position to do so. On behalf of the Board

Graham Seppelt Company Secretary Ph: 0419 035 297

43a Fullarton Road Kent Town SA 5067 Australia T: +61 8 8363 7970 F: +61 8 8363 7963 E: info@uxa.com.au W: www.uxa.com.au

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