Yancoal Australia : Revised - Update on 2018 LTIP Rights, 2018 STIP Rights and 2019 STIP Rights

Australian Securities Exchange, Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

Yancoal Australia Ltd

ACN 111 859 119

兗煤澳大利亞有限公司*

(Incorporated in Victoria, Australia with limited liability)

(Hong Kong stock code: 3668) (Australian stock code: YAL)

VOLUNTARY ANNOUNCEMENT

Update on 2018 LTIP Rights, 2018 STIP Rights and 2019 STIP Rights

2018 LTIP Rights

Reference is made to the voluntary announcement and the overseas regulatory announcement attaching

Australian Securities Exchange (ASX) Appendix 3B of Yancoal Australia Limited (the Company) both dated 4

March 2019.

The Company notes that 383,135 performance share rights (2018 LTIP Rights) issued under the Company's 2018 long term incentive plan (2018 LTIP) vested on 31 December 2020 (Vested 2018 LTIP Rights).

On 23 March 2021, the Board determined that the cost target condition had been met but the relative earnings per share condition had not been met. Accordingly, as approved by the Board, 40% of the 2018 LTIP Rights (being 153,254 2018 LTIP Rights) have vested and 60% of the 2018 LTIP Rights (being 229,881) have lapsed.

The Board has determined that to ensure that the Company is able to continue to comply with the public float requirement in respect of the Company's shares, the Vested LTIP Rights will not be settled by way of fully paid ordinary shares in the Company, but rather by way of a cash equivalent payment, to be calculated on the basis of the Company's share price on the ASX across a 20-day trading period spread 10 days prior to, and 10 days after, 26 February 2021.

All performance share rights issued under the 2018 LTIP have vested or lapsed as at the date of this announcement.

*For identification purposes only 1

2018 STIP Rights

Reference is made to the voluntary announcement and the overseas regulatory announcement attaching ASX Appendix 3B of the Company both dated 4 March 2019 and the voluntary announcement of the Company dated 13 March 2020.

The Company notes that 486,077 deferred share rights (2018 STIP Rights) issued under the Company's 2018 short term incentive plan (2018 STIP) vested on 1 March 2021 (Vested 2018 STIP Rights).

The Board has determined that to ensure that the Company is able to continue to comply with the public float requirement in respect of the Company's shares, the Vested 2018 STIP Rights will not be settled by way of fully paid ordinary shares in the Company, but rather by way of a cash equivalent payment, to be calculated on the basis of the Company's share price on the ASX across a 20-day trading period spread 10 days prior to, and 10 days after, 26 February 2021.

All deferred share rights issued under the 2018 STIP have vested or lapsed as at the date of this announcement.

2019 STIP Rights

Reference is made to the voluntary announcement and the overseas regulatory announcement attaching ASX Appendix 3G of the Company dated 1 April 2020.

The Company notes that 648,788 deferred share rights (2019 STIP Rights) issued under the Company's 2019 short term incentive plan (2019 STIP) vested on 1 March 2021 (Vested 2019 STIP Rights).

The Board has determined that to ensure that the Company is able to continue to comply with the public float requirement in respect of the Company's shares, the Vested 2019 STIP Rights will not be settled by way of fully paid ordinary shares in the Company, but rather by way of a cash equivalent payment, to be calculated on the basis of the Company's share price on the ASX across a 20-day trading period spread 10 days prior to, and 10 days after, 26 February 2021.

There remain on issue 648,793 deferred share rights under the 2019 STIP as at the date of this announcement. Those deferred share rights are due to vest on 1 March 2022.

By order of the Board

Yancoal Australia Ltd

Baocai ZHANG

Chairman

Hong Kong, 26 March 2021

As of the date of this announcement, the executive Director is Mr. Ning Zhang, the non-executive Directors are Mr. Baocai Zhang, Mr. Cunliang Lai, Mr. Xiangqian Wu, Mr. Qingchun Zhao and Mr. Xing Feng and the independent non-executive Directors are Mr. Gregory James Fletcher, Dr. Geoffrey William Raby and Ms. Helen Jane Gillies.

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