Buffalo Coal Corp. Announces Resources and Reserves Technical Report Update National Instrument 43-101

The 2022 Technical Report is compliant with the Canadian system of reserve and resource reporting as required under the National Instrument 43-101 ("NI 43-101") Standards of Disclosure for Mineral Projects and that required by The South African Code for the Reporting of Exploration Results, Mineral Resources and Mineral Reserves ("SAMREC"). The 2022 Technical Report presents an update of the October 1, 2012 NI 43- 101 compliant Mineral Resources and Mineral Reserves report issued on March 6, 2013 (the "2012 Technical Report")

A comparison of the 2022 Technical Report and 2012 Technical Report is provided below:

* Only total Aviemore reserves reported in 2012

1. Column totals may not add up due to rounding differences.
2. October 2012 estimate for Aviemore only provided as total reserves.
3. Magdalena's reserves now only includes >16% volatile coal, whereas the 2012 report also included < 16% volatile coal. The mining of <16% volatile coal will be reconsidered when suitable markets are evaluated. There was also a change in the mining height cut-off used from 0.8 m used in October 2012 to 1.5 m cut-off used in January 2022. The exclusion of the <16 volatile coal along with the change in mining height cut-off were the main drivers in the reduction of Magdalena's saleable reserves from 2012 to 2022.

Qualified Person

Mr Ian Alexander MacFarlane, BSc (Mining), MBL (UNISA), FSAIMM and AMSACMA is the Qualified Person, as defined in NI 43-101, responsible for the mineral resource estimate and mineral inventories reported in the 2022 Technical Report. He has read and approved the relevant technical portions of this news release related to the mineral resource estimates for which he is responsible.

The 2022 Technical Report can be found on the Company's website at www.buffalocoal.co.za and on SEDAR at www.sedar.com.

Restructuring of the Investec Loan

Further to the Company's announcement dated March 3, 2022 the Company and Investec Bank Limited ("Investec") concluded negotiations regarding the restructuring of the R46,114,971 owing on the Investec Loan, on March 30, 2022. The following salient terms were agreed to:

• Monthly capital repayments of R250,000 for March 2022 to June 2022;
• Subject to the Group having secured R120 million in funding for the development of the Balgray project, an amount of R6.5 million to be repaid at the earliest of 30 June 2022 or the date on which the funding has been secured;
• Monthly capital repayments of R1,250,000 for July 2022 to August 2022;
• Monthly capital repayments of R2,500,000 for September 2022 to December 2022;
• The final maturity date and date by when the restructuring of the remaining capital balance owing should be agreed to be extended to December 31, 2022;
• The Group would be allowed to spend R6.5 million on the development of the Balgray project in the absence of any third-party funding until June 30, 2022; and
• The reserve bank account and cash sweeping mechanism will continue.

Emma Oosthuizen, the Company's Chief Executive Officer, commented that, "The Resources and Reserves Technical Report Update supports positive confirmation that value can be unlocked from the Group's Balgray, Magdalena and Aviemore North's mining projects.

The agreement reached with Investec regarding the restructuring of the Investec Loan allows the Group to continue with limited scale development of Balgray whilst discussions with existing and potential new investors are ongoing."

"Balgray is the Group's highest priority project and will extend the Group's anthracite operations by approximately 7 years and would need to become operational during the first quarter of 2023 to replace the diminishing Aviemore East reserves."

About Buffalo

Buffalo is a coal producer in South Africa. It holds a majority interest in two operating mines through its 100% interest in Buffalo Coal Dundee, a South African company which has a 70% interest in Zinoju Coal Proprietary Limited ("Zinoju"). Zinoju holds a 100% interest in the Magdalena bituminous mine, the Aviemore East anthracite mine and the Balgray and North Adit anthracite projects in South Africa. Buffalo Coal has an experienced coal-focused management team.

The Company has its primary listing on the TSX Venture Exchange and has a secondary listing on the Alternative Exchange, operated by the JSE Limited.

Neither the TSX Venture Exchange, nor its regulation services provider (as that term is defined in the policies of the exchange), accepts responsibility for the adequacy or accuracy of this release.

FOR FURTHER INFORMATION PLEASE CONTACT:

Ms Emma Oosthuizen, Chief Executive Officer
Email: Emma.Oosthuizen@buffalocoal.co.za