Quarterly Update Announcement
EFORA ENERGY LIMITED (Incorporated in the Republic of South Africa) (Registration number: 1993/000460/06) JSE Share Code: EEL ISIN: ZAE000248258 (“Efora” or “the Company” or together with its subsidiaries “the Group”) QUARTERLY UPDATE ANNOUNCEMENT Shareholders of the Company (“Shareholders”) are referred to the ongoing suspension in trading of the Company’s shares on the Johannesburg Stock Exchange (“JSE”) which came into effect on 9 October 2020. Trading in the Company’s shares remains suspended due to the delay in publication of the consolidated annual financial results for the year ended 28 February 2021 (“2021 Results”), and the resultant late publication of the financial results for the six months ended 31 August 2021 (“2022 Interim Results”), the consolidated annual financial results for the year ended 28 February 2022 (“2022 Results”) and the financial results for the six months ended 31 August 2022 (“2023 Interim Results”). As noted in the last announcement issued by the Company on the Stock Exchange News Service (“SENS”) on 26 October 2022 (“Last Update”), the main challenge which the Company faced in relation to the finalisation of the 2021 Results, was the delay in the completion of the Afric Oil Proprietary Limited (“Afric Oil”) audit for that financial year (“2021 Afric Oil Audit”), which is essential to the preparation of the 2021 Results. Afric Oil was a material subsidiary of the Company prior to its disposal to Royale Energy Proprietary Limited (“Royale”) on 1 March 2022. The purpose of this announcement is to provide an update on the current state of affairs of the Company and the progress made to date in working towards achieving the reinstatement of trading in the Company’s shares. 2021 Results Further to the Last Update, on 6 December 2022, Derek Arrow and Associates (“DAA”) issued various preliminary reports (“Preliminary Reports”) to SizweNtsalubaGobodo Grant Thornton Inc. (“SNG GT”), auditor of the Company, on their findings from the 2021 Afric Oil Audit in line with the group instructions issued to DAA by SNG GT. DAA indicated that the Preliminary Reports are subject to change depending on the outcomes of the ongoing review of the Afric Oil consolidated annual financial statements for the year ended 28 February 2021 and the ongoing review of the separate annual financial statements of its subsidiaries for the year then ended. SNG GT has indicated that the review of the Preliminary Reports will commence during the first week of February 2023 whereafter the impact on the 2021 Results of DAA’s preliminary findings as contained in the Preliminary Reports, or any subsequent reporting by DAA, will be determined. Audits and financial results of all other Group companies for the year ended 28 February 2021 have been finalised. 2022 Interim Results The publication of the 2021 Results will enable the Company to focus on the 2022 Interim Results. 2022 Results Various audits of the Group companies for the year ended 28 February 2022 (“2022 Audits”) are yet to commence and have been impacted by the delay in the finalisation of the 2021 Results. The Company plans to commence with the 2022 Audits as soon as the 2021 Results are published. 2023 Interim Results The Company will be able to focus on the 2023 Interim Results once the 2022 Results have been published. The Company will in due course provide a further update on the impact of the Preliminary Reports, or any subsequent reporting by DAA, on the 2021 Results and the expected timing of the publication of the 2021 Results and results for the annual and half-year periods thereafter – 2022 Interim Results, 2022 Results and 2023 Interim Results. Johannesburg 31 January 2023 Sponsor PSG Capital For further information please contact: Efora Energy Limited Darrin Arendse +27 (0)10 591 2260
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