Ann: Appointment of Administrators - Further Update, page-2

Red River notes that the decision to appoint the Administrators was a decision made by the directors of Red River (Directors) and not Trafigura Pte Ltd (Trafigura) due to the Directors’ concerns that Red River was either insolvent, or was likely to become insolvent at some future time, and that, as at today’s date, Trafigura has not sought to enforce its rights under the parent company guarantee issued by Red River in favour of Trafigura (Guarantee).

Further, while Trafigura did submit on 29 November 2022 an indicative non-binding term sheet outlining terms on which it was willing to consider providing forbearance of its claim under the Guarantee, the Directors believed this was not in a form capable of acceptance, or sufficiently advanced to be progressed to a form capable of acceptance, within the required timeframes to address the Directors’ concerns about the Company’s solvency.