OREANDA-NEWS. July 22, 2011. Reference is made to the announcement of China Coal Energy Company Limited (the “Company”) dated 22 June 2011 in respect of further information on the payment of final dividends (the “Announcement”), reported the press-centre of China Coal Energy Company.

Unless otherwise defined, terms used in this announcement shall have the same meanings as those defined in the Announcement.

In order to ensure the Company’s compliance with Relevant Laws and Regulations while distributing the final dividend to all shareholders as scheduled, the Company has previously withheld 20% of the total dividend to be distributed to the Individual H Shareholders with an aggregate amount of HKD982,043.51 as individual income taxes, when the Company distributed the final dividend for the year ended 31 December 2010 to the Individual H Shareholders.

Pursuant to Notice on the Issues on Levy of Individual Income Tax after the Abolishment of Guo Shui Fa [1993] No. 045 Document (the “Notice”) issued by the State Administration of Tax on 28 June 2011 , the dividend to be distributed by the PRC non-foreign invested enterprises whose shares have been issued in Hong Kong to the overseas resident individual shareholders is subject to individual income tax with a tax rate of 10% in general. However, the tax rates for respective overseas resident individual shareholders may vary depending on the relevant tax agreements between the countries where they are residing and Mainland China.

In compliance with the Notice, the Company will refund the corresponding amount of taxes to the relevant Individual H Shareholders if the tax rates under the tax agreements between the countries where those Individual H Shareholders are residing and Mainland China (the “Actual Tax Rates”) are less than 20% (excluding 20%) . The corresponding amount of taxes to be refunded will be calculated on the basis of the tax differences between 20% and each of the Actual Tax Rates. The Company is now actively arranging the implementation of the tax refund matters, further announcement(s) will be made if there is any progress.

No tax refund will need to be made to the relevant Individual H Shareholders if no tax agreements exist between the countries where those Individual H Shareholders are residing and Mainland China or the Actual Tax Rates are more than 20% (including 20%).

Shareholders are recommended to consult their taxation advisors regarding the PRC and Hong Kong and other tax effects in respect of the ownership and disposal of H shares of the Company.