ASX Release

The Manager Company Announcements Office Australian Stock Exchange

CHAIRMAN AND MANAGING DIRECTOR AGM ADDRESS

29 November 2011 White Energy Company Limited (ASX:WEC; OTCQX:WECFY) (White Energy or the Company): Attached are the addresses to be delivered by White Energys Chairman, Mr Travers Duncan, and Managing Director and CEO, Mr Brian Flannery, at todays Annual General Meeting of shareholders. CHAIRMANS ADDRESS Dear Shareholders and Guests, I welcome you to the 2011 Annual General Meeting of White Energy and thank you for your attendance. During todays meeting, I will address the annual FY2011 performance of White Energy, before I call on our Managing Director and CEO, Mr Brian Flannery, who will deal with the Companys operational and technical activities in more detail. KSCs Tabang Plant As shareholders are aware, since the publication of your Companys Annual Report there have been a number of significant developments relating to the operations of our 51% owned Indonesian company, PT Kaltim Supacoal (KSC), which have had a substantial impact on White Energys share price. KSC is an Indonesian PMA company which was formed in 2006, and is owned 51% by White Energy and 49% by PT Bayan Resources Tbk (Bayan). The fundamental business premise was quite simple - White Energy would provide KSC with access to its BCB technology, whilst Bayan would contribute its run of mine coal to KSC for the life of mine, at cost price. The KSC shareholders would then share the upside as the upgraded coal sells for a significantly higher price. As mentioned in our recent market updates, during a meeting in Jakarta in early November 2011, Bayan insisted that the contract price of Tabang run of mine coal must be increased to a price substantially higher than that incorporated in the original life of mine coal supply agreement entered into between the parties in 2006. This follows the introduction by the Indonesian government of a monthly coal reference (HBA) price, which has enabled many sub-bituminous coal producers in Indonesia to generate significant margins through selling their run of mine coal directly into the export market, to satisfy the unprecedented strong demand from India and China.

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Based on this higher coal input price, Bayan has advised White Energy that the additional costs associated with the upgrading of the Tabang run of mine coal may no longer deliver acceptable economic returns for KSC. As a result, and as a condition of ensuring the continued delivery of coal to KSC to enable the current plant modification work to be completed and tested, Bayan has also demanded that White Energy purchase its 49% equity interest in KSC for around US$45 million on terms acceptable to Bayan. The Board of White Energy unanimously agreed that the Company could not accept this proposal, considering that the Tabang plant was likely to be a stranded asset once modification works were completed, and the ongoing coal supply by Bayan to KSC could not be assured. The Board and management of White Energy are extremely disappointed with the timing of Bayans recent actions, considering that modification works to address the remaining technical issues at the plant are in the final stages of completion. We ask shareholders to understand that the recent actions of Bayan are completely unexpected. Our JV agreement was balanced and fair to both parties. In our view, it was based on a solid and unambiguous legal agreement. White Energy is currently assessing all of its options, including legal recourse. In this regard, we have recently provided notice to Bayan that it is in breach of its obligations under the Joint Venture Deed between the KSC shareholders, specifically its obligation to procure coal supply to KSC. A reply has been received from Bayan, and we have responded seeking clarification on a number of points contained therein. In view of the sensitive state of discussions on this issue, you will appreciate my reticence to comment further until a clearer picture emerges. Also, given the Indonesian governments proposed ban on exports of coal with an energy value lower than 5,000 Kcals/kg Gross Air Dried (GAD), there continues to exist a strong willingness from the Indonesian government to have a successful coal upgrading technology in the Indonesian market. This was confirmed during a recent visit to the Tabang site by the regional Governor and meetings with other senior government officials. BCB Technology Despite the setback with Tabang White Energy continues to lead global development in an increasingly important part of the energy sector. A large portion of the worlds remaining coal reserves are high in moisture and therefore low in economic value. White Energys BCB technology is capable and proven to unlock the value of these low grade coal resources to produce an export-quality upgraded product, whilst at the same time maintaining the environmentally friendly characteristics of the feedstock coal. The Company is currently in discussions with a number of other Indonesian parties regarding the construction of one or more BCB plants on their mine sites in Indonesia. It is White Energys intention to take a direct equity interest in some of these potential mine sites. We also have other BCB projects that are well-advanced and which appear to have been largely overlooked in the current circumstances. White Energy continues to focus considerable attention on its North American business development initiatives, covering the upgrading of sub-bituminous coals and the briquetting of bituminous coal fines. In this regard, during the year the Company successfully tested the briquetting of bituminous coal fines samples from two U.S.A. east coast coal mines at its Cessnock Production Plant. In addition, White Energy Coal North America (WECNA),

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our wholly owned North American subsidiary, submitted Air Permit applications for the Caballo (55% WECNA owned joint venture with Peabody Energy) and Buckskin (100% WECNA) projects in the Powder River Basin, Wyoming, during the December 2010 quarter. Our North American based staff continue to work closely on these initiatives with the relevant authorities. White Energy is also actively pursuing opportunities associated with the deployment of our BCB technology to the upgrading and briquetting of discarded coal fines in the African market. During the year we have continued to work closely with River Energy (51% White Energy owned joint venture with Black River) to commercialise this opportunity in Africa, and are currently in the process of completing a detailed feasibility study with a large South African mining company. Due to the vast quantities of high quality coal fines in all of the key coal producing markets, we are particularly excited by this opportunity and believe that there is significant scope to actively target other coal fines markets in the near future. Coal Sector Acquisitions Following the successful takeover of South Australian Coal Limited (SACL) in 2010, whereby White Energy became a diversified coal company, we signaled our intention to identify further acquisition opportunities that were consistent with our fundamental business objective, that being the supply of high quality coal into the growing Asian markets. Once such example of this strategy is the recent Memorandum of Understanding signed with PT Tri Mitra Bayany in Indonesia. Given the strength of our balance sheet we remain on alert for other coal asset acquisition opportunities, particularly those that are complementary to the BCB technology. South Australian Coal In December 2010 White Energy completed an initial drilling program which was aimed at identifying additional JORC coal resources at SACLs Lake Phillipson deposit (EL4534). This program identified a further 169.3 million JORC coal resources, taking the total JORC coal resources at the site to 684.2 million. A second drilling program commenced in August 2011 which has the objective of identifying further JORC coal resources, which will be confirmed during the first quarter of 2012. In the meantime, SACL is evaluating various options for commercializing this vast coal resource, including coal gasification opportunities. This follows the recent successful laboratory testing of Lake Phillipson coal samples which indicated coal gasification potential. The purchase in April 2011 of Ingomar Station, a livestock property which covers the entire area of EL4534, provides SACL with further control in this expansive coal and mineral province of South Australia. Balance Sheet The balance sheet of White Energy remains robust with approximately A$160m in cash, and no external debt apart from convertible notes of $25m which matures in October 2012. This gives the Company sufficient strength to take the business forward and to develop the BCB technology at other coal sites.

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Corporate Governance Given its standing as an ASX 200 company, White Energys Board takes its Corporate Governance obligations very seriously. During June 2011 one of our previously independent directors, John Kinghorn, completed an on-market purchase of 10 million White Energy shares for a total consideration of $19.2 million. This took his ownership interest in the Company to over 5% of total shares outstanding. According to Corporate Governance guidelines, this now makes Mr Kinghorn non-independent and as result, our Remuneration Committee currently does not meet the ASXs best practice guidelines. Furthermore, due to my personal shareholding in the Company, I am also considered a non-independent Director. Notwithstanding this, I believe that the willingness of our directors to invest in White Energy is a positive endorsement of your Company and its business strategy, and more closely aligns their interests with that of our shareholders. I note that we have received proxies from approximately 60% of our shareholders, which are overwhelmingly in favour of all resolutions put forward at this Annual General Meeting. Details of this voting will be presented by the Company Secretary immediately following the Managing Directors address to shareholders. Thank You I would like to take this opportunity to thank all shareholders, employees, suppliers and strategic partners for your continued support of our Company through 2011. At a time when global financial markets are experiencing unprecedented levels of volatility and resultant investor uncertainty, it is comforting to know that White Energy, with its unique coal upgrading technology, continues to generate high levels of interest across most of the key coal producing regions in the world. I recommend shareholder support of all resolutions to be voted on at the 2011 Annual General Meeting.

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MANAGING DIRECTORS ADDRESS Dear Shareholder, When I addressed shareholders for the first time at the 2010 Annual General Meeting, I explained in some detail the technical issues surrounding the BCB plant at Tabang and the engineering solutions our staff and consultants had determined were necessary to improve the operation of the plant and the quality of the BCB product. The first four slides accompanying my address to shareholders show the general view of the Tabang Upgrading plant and the power station. In the first six months of this year various works were carried out on the power station and it is now operating at high availability. The drying column extension was completed in June 2011 and since that time the average total moisture content of the briquettes has been approximately 9% total moisture. Prior to this work the total moisture was approximately 12%. This compares to the feedstock coal which varies from 32% to 35% total moisture. We can now produce upgraded coal with an energy content of approximately 6,000 kcals/kg GAR, which represents a significant increase on the feedstock coal with an average energy content of 4,300 kcals/kg GAR. We have also proven that the BCB product does not re-absorb moisture despite the tropical conditions associated with the Tabang area. The leakage of dust around the 16 briquette machines at the plant was identified as a serious issue. A complete new, larger dust extraction and baghouse collection system is in the final stages of construction. This system is designed to remove most of the fine coal from the product stream and recycle this fine coal as feed for the furnace. The next four slides show the extent of this dust extraction installation. Finally, the cooling of the briquettes which exit the plant at around 100 degrees Celsius is extremely important. Previously the product was trucked to a nearby stockpile where cooling took place by spreading and turning over the briquettes until ambient temperature was achieved. A new conveyor cooling bin and stockpile installation is almost complete. This will allow the product to be cooled to ambient temperature before placing into stockpile. The next five photos show the key items in the new cooling and stockpile system. A large part of White Energys focus during 2011 was on the optimisation of the Tabang plant and completion of a number of key plant modification works which were designed to enable the plant to run at its design capacity. As highlighted by our Chairman, due to recent issues with our Indonesian partner in the Tabang project, these modification works have been suspended until we resolve matters related to the ongoing supply of coal to the plant. Since embarking on the commercialisation of the BCB technology, White Energy has successfully built a pipeline of business opportunities in key coal producing regions in the world, including Indonesia, U.S.A, South Africa and here in Australia. A large number of companies have had their coal samples tested at White Energys demonstration and production plants at Cessnock, New South Wales. In fact the demand from companies to use these plants has increased significantly in the last quarter which has required the employment of additional technical staff at Cessnock. Over

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seventy different sub-bituminous coal and bituminous coal fines samples have been tested to date. These include coals from U.S.A, Indonesia, Mongolia, Russia, Australia and South Africa. In most cases the results of these tests have been positive, which has continued to generate high levels of interest in our Companys BCB technology. The year also saw White Energy successfully grow its asset base through the acquisition of South Australian Coal Limited (SACL). As a consequence of that transaction White Energy is now organized around two distinct, but related, business divisions coal technology and coal mining. A 77 hole drilling program on EL 4534 in South Australia is well advanced and is due to complete in December 2011, followed by a resource update within the first quarter of 2012. Mine planning and product testing has commenced. As far as other coal mining acquisition opportunities are concerned, the Company has recently signed a Memorandum of Understanding with an Indonesian company called PT Tri Mitra Bayany (TMB), whereby White Energy and TMB have agreed to jointly identify and develop resources projects in Indonesia, including, of course, those projects which may require upgrading using the BCB technology. Geologists from both organisations are active in identifying opportunities and I expect to report some positive outcomes in the first half of 2012. Upgrading of Coal Fines During the 2011 year White Energys 51% owned subsidiary, River Energy, continued to progress the Detailed Feasibility Study (DFS) being undertaken with one of the major coal producers in the South African market. The DFS envisages the construction of a circa. 500,000 tonne per annum coal fines upgrading plant at the coal producers mine. Following completion of this detailed design/feasibility study, River Energy plans to reach a decision to proceed with the construction of a plant during the first quarter of 2012. Significant test work on coal fines has been carried out for four large mining groups in South Africa, two in east coast U.S.A. and one in Australia. There are several opportunities to utilise the BCB technology to produce a product that is generally 5% to 7% total moisture and hence able to be transported, versus 20% moisture in the fine coal form. It is highly likely that our next BCB plant will be constructed to upgrade bituminous coal fines. Thank you Finally, I would like to thank all shareholders and staff for their support throughout 2011. The recent events of Tabang have been unexpected and disappointing. However, as the Chairman stated our financial position is strong and we have the ability to progress the BCB technology and the other activities of White Energy. As the Managing Director and CEO, as well as a significant shareholder, I intend to invest the time and effort along with our competent staff to successfully implement the BCB technology. Thank you.

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Please refer to attached slides which accompany the Managing Directors address to shareholders. For Further Information Call: Brian Flannery Managing Director & CEO White Energy Company Limited + 61 2 9959 0000 Forward Looking Statements This press release contains forward-looking statements that are subject to risks and uncertainties. These forwardlooking statements include information about possible or assumed future results of our business, financial condition, liquidity, results of operations, plans and objectives. In some cases, you may identify forward-looking statements by words such as "may," "should," "plan," "intend," "potential," "continue," "believe," "expect," "predict," "anticipate" and "estimate," the negative of these words or other comparable words. These statements are only predictions. One should not place undue reliance on these forward-looking statements. The forward-looking statements are qualified by their terms and/or important factors, many of which are outside the Company's control, involve a number of risks, uncertainties and other factors that could cause actual results and events to differ materially from the statements made. The forward-looking statements are based on the Company's beliefs, assumptions and expectations of our future performance, taking into account information currently available to the Company. These beliefs, assumptions and expectations can change as a result of many possible events or factors, not all of which are known to the Company. Neither the Company nor any other person assumes responsibility for the accuracy or completeness of these statements. The Company will update the information in this press release only to the extent required under applicable securities laws. If a change occurs, the Company's business, financial condition, liquidity and results of operations may vary materially from those expressed in the aforementioned forward-looking statements. Competent Persons Statement The information in this announcement, which relates to Exploration Results, Mineral Resources or Ore Reserves in EL 4534 (previously EL 3386), for coal, is based on information compiled by Jonathan Barber, who is a member of the Australasian Institute of Mining and Metallurgy. Jonathan Barber is an employee of Jon Barber Consulting Pty Ltd and is engaged as a consultant to South Australian Coal Limited. Jonathan Barber has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Jonathan Barber consents to the inclusion in this announcement of the matters based on his information in the form and context in which it appears. Ivan Maras Chief Financial Officer White Energy Company Limited + 61 2 9959 0000

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TABANG AERIAL SHOT

TABANG AERIAL SHOT

TABANG AERIAL SHOT

TABANG AERIAL SHOT

TABANG - 10 MEGAWATT COAL-FIRED POWER STATION

TABANG 1MTPA COAL UPGRADING PLANT

TABANG PRIOR TO JUNE 2011 DRYING COLUMN EXTENSION

TABANG POST JUNE 2011 DRYING COLUMN EXTENSION

TABANG COAL UPGRADING PLANT, DUST EXTRACTION SYSTEM AND BAGHOUSE

TABANG - TWO ADDITIONAL DUST COLLECTION BAGHOUSES WHICH WERE INSTALLED ON SITE

TABANG THE DUST EXTRACTION PIPEWORK

TABANG THE NEW DUST EXTRACTION SYSTEM AND DUCT WORK

TABANG BRIQUETTED COAL STOCKPILE

TABANG CONVEYOR B TO COOLING BIN

TABANG CONSTRUCTION OF THE BRIQUETTE COOLING TOWER

TABANG CONSTRUCTION OF THE COOLING BIN BAGHOUSE

TABANG CONSTRUCTION OF 400 METRES OF ADDITIONAL PRODUCT CONVEYORS AND A LARGER COVERED STOCKPILE AREA

TABANG - CONVEYOR C AND THE ROOF OF THE COVERED STOCKPILE AREA

TABANG CONVEYOR C AND THE COVERED STOCKPILE AREA

CESSNOCK - PRODUCTION PLANT

CESSNOCK BRIQUETTES BEING PRODUCED AT CESSNOCK

SOUTH AUSTRALIA EL4534 LAKE PHILLIPSON SOUTH AUSTRALIAN COAL LIMITED DRILLING PROGRAM

SOUTH AUSTRALIA COMMODITIES TRAIN PASSING THROUGH EL4534 ALONG THE ADELAIDE TO DARWIN RAILWAY

SOUTH AUSTRALIA EL4534 LAKE PHILLIPSON PRE-COLLARING ON A MUD BASIN AT ONE OF THE DRILLING SITES

SOUTH AUSTRALIA EL4534 LAKE PHILLIPSON DRILLING RIG DURING THE NIGHT SHIFT

SOUTH AFRICA THE EXCAVATION OF COAL FINES

SOUTH AFRICA THE COLLECTION OF RECLAIMED COAL FINES

SOUTH AFRICA THE SCREENING OF RECLAIMED COAL FINES