Trading Statement for the year ended 31 December 2025

THUNGELA RESOURCES LIMITED
(Incorporated in the Republic of South Africa)
Registration number: 2021/303811/06
JSE Share Code: TGA
LSE Share Code: TGA
ISIN: ZAE000296554
Tax number: 9111917259
('Thungela' or the 'Company' and, together with its affiliates, the 'Group')

Trading Statement for the year ended 31 December 2025

Shareholders are advised that Thungela and its directors have a reasonable degree of
certainty related to the expected financial results of the Group for the year ended
31 December 2025 in line with paragraph 6.26 of the JSE Listings Requirements.

Expected loss per share and headline loss per share

Shareholders are advised that the loss per share for the year ended 31 December 2025
(the 'current period') is expected to be between R(53.50) and R(56.00), a decrease of
between R80.26 and R82.76 per share, compared to earnings per share of R26.76
reported for the year ended 31 December 2024 (the 'prior period'). The loss attributable
to the shareholders of the Group for the current period is expected to be between R(7.0
billion) and R(7.3 billion).

The headline loss per share1 for the current period is expected to be between R(5.50)
and R(7.50), a decrease of between R31.09 and R33.09 per share compared to
headline earnings per share of R25.59 reported for the prior period. The headline loss
attributable to the shareholders of the Group for the current period is expected to be
between R(0.7 billion) and R(1.0 billion).

The expected loss incurred for the year is primarily as a result of impairment losses of
R8.8 billion recognised across our operations both in South Africa and Australia, based
on a softer benchmark coal price outlook and stronger forecast for our producing
currencies against the US dollar at the reporting date. The determination of the value of
the recoverable amounts of our assets also impacts the recoverability of the deferred
tax assets, reflecting the possible future tax benefit to be received against taxable
income in subsequent periods. Deferred tax assets of R1.1 billion have accordingly not
been recognised at the reporting date on the basis of the assessment performed, which
has further lowered both earnings and headline earnings. For clarity, while the impact of
the impairment is excluded from headline earnings, the impact of not recognising the
deferred tax assets is not a headline earnings adjustment, and has contributed to the
realisation of a headline loss for the year.

The expected loss and headline loss per share ranges for the current period are
summarised in the table below:

Expected range - 2025 Expected decrease from
(Rand per share) prior period
(Rand per share)
Loss per share (53.50) - (56.00) (80.26) - (82.76)
Headline loss per share (5.50) - (7.50) (31.09) - (33.09)

The loss and headline loss per share figures are calculated using a weighted average
number of shares of 129,655,457 for the current period and 134,238,447 for the prior
period.

Impairment losses driven by current market conditions

Seaborne thermal coal prices continued to soften in 2025, with the Richards Bay
Benchmark coal price and the Newcastle Benchmark coal price decreasing by 15% and
22%, respectively, year-on-year. Prices were impacted by weak demand from key
seaborne markets, as pressure to meet energy demand with domestic coal and
alternative energy sources reduced their coal imports. Meanwhile, robust production
during the year from key markets created an oversupply imbalance that the market
could not fully absorb. As a result, the medium-term outlook for seaborne thermal coal
prices has also continued to soften.

Foreign exchange movements had a material impact on the Group's financial
performance. In 2025, the South African rand and Australian dollar were stronger
relative to the US dollar, driven in part by US dollar weakness, stemming from
geopolitical uncertainty as well as US trade and foreign policy. The relative strength of
the South African rand was further supported by changes in the South African Reserve
Bank's monetary policy stance and renewed optimism in emerging markets more
broadly and South Africa in particular. At 31 December 2025, the South African rand
was 12% stronger against the US dollar than at 31 December 2024.

The combination of stronger local currency predictions and lower forward-looking coal
prices, at the time of performing the impairment assessment, resulted in reduced
expected future margins and, consequently, impacted the recognised carrying values of
our property, plant and equipment (PPE). As a result, we have recognised a non-cash
impairment of our PPE of R8.8 billion. The impairment largely reflects a write-off of
historical capital, particularly at operations nearing the end of their economic lives.

Both the impairment and the impact of not recognising the deferred tax assets are non-
cash items that do not impact the Group's cash flow, liquidity, or operational continuity.
Thungela's long-term fundamentals remain intact.

Key areas of judgement which may impact the expected loss and headline loss per
share figures above are in the process of being finalised, and any changes to these
expected ranges, if necessary, will be communicated to shareholders.

Thungela expects to release our financial results for the year ended 31 December 2025
on 23 March 2026. The financial results will be released on the Stock Exchange News
Service of the Johannesburg Stock Exchange and the Regulatory News Service of the
London Stock Exchange, and will be accompanied by a webinar and conference call
that will start at 12:00 SAST on the same day. Details to register for the webinar and
conference call are available below:

Webinar: https://78449.themediaframe.com/links/thungela260323.html

Conference call:
https://services.choruscall.it/DiamondPassRegistration/register?confirmationNumber=77
21589&linkSecurityString=160b7e901e

Deon Smith
Chief financial officer

Footnote
1. Headline loss or earnings per share is determined in reference to Circular 1/2023
– Headline earnings ('Circular 1/2023') as issued by the South African Institute of
Chartered Accountants. In order to calculate headline earnings, earnings
attributable to the equity shareholders of the Group is adjusted for separately
identifiable remeasurements, as defined in Circular 1/2023, net of related tax and
non-controlling interests.

Johannesburg
2 March 2026

Review of Trading Statement
The information contained in this Trading Statement is the responsibility of the directors
of Thungela and has not been reviewed or reported on by the Group's independent
external auditor.

Disclaimer
This announcement includes forward-looking statements. All statements other than
statements of historical facts included in this announcement, including, without
limitation, those regarding Thungela's financial position, business, acquisition and
divestment strategy, dividend policy, plans and objectives of management for future
operations (including development plans and objectives relating to Thungela's products,
production forecasts and reserve and resource positions), are forward-looking
statements. By their nature, such forward-looking statements involve known and
unknown risks, uncertainties and other factors which may cause the actual results,
performance or achievements of Thungela, or industry results, to be materially different
from any future results, performance or achievements expressed or implied by such
forward-looking statements. The Group assumes no responsibility to update forward-
looking statements in this announcement except as required by law.

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the market abuse regulation (EU) no.
596/2014 as amended by the market abuse (amendment) (UK mar) regulations 2019.
Upon the publication of this announcement via the regulatory information service, this
inside information is now considered to be in the public domain.

Investor Relations
Hugo Nunes or Shreshini Singh
Email: ir@thungela.com

Media
Hulisani Rasivhaga
Email: hulisani.rasivhaga@thungela.com

UK Financial adviser and corporate broker
Panmure Liberum Limited

Sponsor
Rand Merchant Bank
(A division of FirstRand Bank Limited)

Date: 02-03-2026 12:00:00
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