Corsa Coal : Annual Information Form 12.31.21

Corsa Coal Corp.

Annual Information Form

For the Year Ended December 31, 2021

Dated: March 1, 2022

	TABLE OF CONTENTS
1.	INTRODUCTION........................................................................................................................................................	3
1.1	Currency and Measurement..........................................................................................................................................	3
1.2	Financial Statements.....................................................................................................................................................	3
1.3	Forward Looking Statements .......................................................................................................................................	3
1.4	Technical Disclosures...................................................................................................................................................	4
1.5	Cautionary Note to U.S. Investors Concerning Reserve and Resource Estimates.......................................................	4
1.6	Glossary........................................................................................................................................................................	5
2.	CORPORATE STRUCTURE......................................................................................................................................	7
2.1	Name, Address and Incorporation................................................................................................................................	7
2.2	Intercorporate Relationships.........................................................................................................................................	7
3.	GENERAL DEVELOPMENT OF THE BUSINESS..................................................................................................	8
3.1	Overview ......................................................................................................................................................................	8
3.2	Three Year History.......................................................................................................................................................	8
3.3	Significant Acquisitions ...............................................................................................................................................	9
4.	DESCRIPTION OF THE BUSINESS .........................................................................................................................	9
4.1	General .........................................................................................................................................................................	9
4.2	Risk Factors..................................................................................................................................................................	13
5.	COAL PROPERTIES ..................................................................................................................................................	25
5.1	NAPP Division Properties............................................................................................................................................	25
6.	DIVIDENDS AND DISTRIBUTIONS .......................................................................................................................	44
7.	DESCRIPTION OF CAPITAL STRUCTURE............................................................................................................	44
8.	MARKET FOR SECURITIES.....................................................................................................................................	45
9.	ESCROWED SECURITIES AND SECURITIES SUBJECT TO CONTRACTUAL RESTRICTION ON
	TRANSFER .................................................................................................................................................................	46
10.	DIRECTORS AND OFFICERS ..................................................................................................................................	46
11.	PROMOTERS..............................................................................................................................................................	48

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12.	LEGAL PROCEEDINGS AND REGULATORY ACTIONS ....................................................................................	48
13.	INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS...........................................	49
14.	TRANSFER AGENTS AND REGISTRARS..............................................................................................................	49
15.	MATERIAL CONTRACTS ........................................................................................................................................	49
16.	INTERESTS OF EXPERTS ........................................................................................................................................	49
17.	AUDIT COMMITTEE INFORMATION....................................................................................................................	50
17.1	The Audit Committee's Charter ...................................................................................................................................	50
17.2	Composition of the Audit Committee ..........................................................................................................................	50
17.3	Relevant Education and Experience.............................................................................................................................	50
17.4	Pre-ApprovalPolicies and Procedures.........................................................................................................................	50
17.5	External Auditor Service Fees (By Category)..............................................................................................................	50
18.	ADDITIONAL INFORMATION ................................................................................................................................	50
Schedule A - Audit Committee Charter ..................................................................................................................................	52

1. INTRODUCTION

In this Annual Information Form (the "AIF"), Corsa Coal Corp. is referred to as "Corsa" or the "Company". This AIF is dated March 1, 2022, and the information contained herein is current as of such date, unless otherwise stated.

Corsa's coal operations are conducted through the Northern Appalachia Division ("NAPP Division" or "NAPP"). NAPP is based in Somerset, Pennsylvania, U.S.A. and is primarily focused on metallurgical coal production in the states of Pennsylvania and Maryland. Corsa markets and sells its NAPP coal to customers in North America, South America, Asia and Europe.

1.1. Currency and Measurement

All references to "dollars", "$" or "US$" are to United States dollars, unless otherwise indicated, and references to "CDN$" are to Canadian dollars. All references to tons are to short tons (2,000 pounds per ton), unless otherwise indicated.

1.2. Financial Statements

This AIF should be read in conjunction with the Company's audited consolidated financial statements and management's discussion and analysis for the years ended December 31, 2021 and 2020. The financial statements and management's discussion and analysis are available under Corsa's profile on the System of Electronic Document Analysis and Retrieval ("SEDAR") at www.sedar.com.

1.3. Forward Looking Statements

Certain information set forth in this AIF contains "forward-looking statements" and "forward-looking information" (collectively, "forward looking statements") under applicable securities laws. Except for statements of historical fact, certain information contained herein relating to projected sales, coal prices, coal production, mine development, the capacity and recovery of Corsa's preparation plants, expected cash production costs, geological conditions, future capital expenditures and expectations of market demand for coal, constitutes forward-looking statements which include management's assessment of future plans and operations and are based on current internal expectations, estimates, projections, assumptions and beliefs, which may prove to be incorrect. Some of the forward-looking statements may be identified by words such as "estimates", "expects", "anticipates", "believes", "projects", "plans", "capacity", "hope", "forecast", "anticipate", "could" and

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similar expressions. These statements are not guarantees of future performance and undue reliance should not be placed on them. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause Corsa's actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to: liabilities inherent in coal mine development and production; geological, mining and processing technical problems; inability to obtain and maintain required mine licenses, mine permits and regulatory approvals or renewals required in connection with the mining and processing of coal; risks that Corsa's preparation plants will not operate at production capacity during the relevant period, unexpected changes in coal quality and specification; variations in the coal mine or preparation plant recovery rates; dependence on third party coal transportation systems; competition for, among other things, capital, acquisitions of reserves, undeveloped lands and skilled personnel; incorrect assessments of the value of acquisitions; changes in commodity prices and exchange rates; changes in the regulations in respect to the use, mining and processing of coal; changes in regulations on refuse disposal; the effects of competition and pricing pressures in the coal market; the oversupply of, or lack of demand for, coal; inability of management to secure coal sales or third party purchase contracts; currency and interest rate fluctuations; various events which could disrupt operations and/or the transportation of coal products, including labor stoppages, severe weather conditions, public health crises and government regulations that are implemented to address them; the demand for and availability of rail, port and other transportation services; the ability to purchase third party coal for processing and delivery under purchase agreements; the ability to resolve litigation and similar matters involving the Company and/or its assets; the ability to pay down indebtedness; and management's ability to anticipate and manage the foregoing factors and risks. The forward-looking statements and information contained in this AIF are based on certain assumptions regarding, among other things, future prices for coal; future currency and exchange rates; Corsa's ability to generate sufficient cash flow from operations and access capital markets to meet its future obligations; the regulatory framework representing royalties, taxes and environmental matters in the countries in which Corsa conducts business; coal production levels; Corsa's ability to retain qualified staff and equipment in a cost-efficient manner to meet its demand; and Corsa being able to execute its program of operational improvement and initiatives. There can be no assurance that forward- looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The reader is cautioned not to place undue reliance on forward-looking statements. Corsa does not undertake to update any of the forward-looking statements contained in this AIF unless required by law. The statements as to Corsa's capacity to produce coal are no assurance that it will achieve these levels of production or that it will be able to achieve these sales levels.

1.4. Technical Disclosures

NAPP Division Properties

The scientific and technical information contained in this AIF relating to the NAPP Division Properties (as defined below), which are effective as of December 31, 2021, have been prepared by Marshall Miller & Associates, Inc. ("MM&A") under the supervision of Justin S. Douthat, P.E., M.B.A., John W. Eckman, C.P.G. and Scott Peterson, C.P.G., each a qualified person ("QP"), as such term is defined in National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101"). MM&A is independent of Corsa and its subsidiaries. For a complete description of the mines and projects relating to the NAPP Division Properties, see the report prepared pursuant to NI 43-101 by MM&A under Corsa's profile at www.sedar.com entitled "Technical Report on the Coal Resource and Coal Reserve Controlled by Corsa Coal Corp., Pennsylvania and Maryland, USA

• Prepared in Accordance with National Instrument 43-101Standards for Disclosure for Mineral Projects Effective December 31, 2021" (the "NAPP Technical Report").

1.5. Cautionary Note to U.S. Investors Concerning Reserve and Resource Estimates

This AIF sets forth certain estimates of "reserves" and "resources". While Corsa believes that the estimates were based on methodologies acceptable in Canada pursuant to NI 43-101, such estimates are not synonymous with the United States Securities and Exchange Commission ("SEC") Industry Guide 7 as discussed below. NI 43-101 is a rule developed by the Canadian Securities Administrators that establishes standards for all public disclosure an issuer makes in Canada of scientific and technical information concerning mineral projects. Of note to U.S. investors, these standards differ significantly from the requirements of the SEC (including under its Industry Guide 7).

Under U.S. standards, mineralization may not be classified as a "reserve" unless the determination has been made that the mineralization could be economically and legally produced or extracted at the time the reserve determination is made. U.S. investors are cautioned not to assume that all or any part of historical estimates of "resources" in this AIF will ever be converted into reserves, or if converted, what actual tonnage and grade they may have. Accordingly, information concerning descriptions or mineralization, "resources" and "reserves" contained in this AIF are not comparable to information made public by U.S. companies subject to the reporting and disclosure requirements of the SEC.

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1.6. Glossary

The following is a glossary of selected mining terms used in this AIF. Words importing the singular, where the context requires, include the plural and vice versa and words importing any gender include all genders.

"ash" means impurities consisting of silica, iron, alumina and other incombustible matter that are contained in coal. Since ash increases the weight of coal, it adds to the cost of handling and can affect the burning characteristics of coal.

"bituminous coal" means a common type of coal with moisture content less than 20% by weight. It is dense and black and often has well-defined bands of bright and dull material.

"British thermal unit" or "BTU" means a measure of the thermal energy required to raise the temperature of one pound of pure liquid water one degree Fahrenheit at the temperature at which water has its greatest density (39 degrees Fahrenheit).

"coal seam" means a layer of a coal deposit.

"coke" means a hard, dry carbon substance produced by heating coal to a very high temperature in the absence of air and used in the manufacturing of iron and steel.

"Common Shares" means the common shares of the Company.

"continuous miner" means a machine used in underground mining to cut coal from the seam and load onto conveyers or shuttle cars in a continuous operation. In contrast, a conventional mining unit must stop extracting in order to begin loading.

"continuous mining" means a form of underground mining that cuts the coal from the seam and loads the coal on to a conveyor system continuously, thus eliminating the separate cycles of cutting and loading.

"hard coking coal" or "HCC" means a type of metallurgical coal that is a necessary ingredient in the production of strong coke. It is evaluated based on the strength, yield and size distribution of coke produced from such coal which is dependent on rank and plastic properties of the coal. Hard coking coals trade at a premium to other coals due to their importance in producing strong coke and as they are a limited resource.

"Indicated Mineral Resource" means that part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics are estimated with sufficient confidence to allow the application of Modifying Factors in sufficient detail to support mine planning and evaluation of the economic viability of the deposit. Geological evidence is derived from adequately detailed and reliable exploration, sampling and testing and is sufficient to assume geological and grade or quality continuity between points of observation. An Indicated Mineral Resources has a lower level of confidence than that applying to a Measured Mineral Resource and may only be converted to a Probable Mineral Reserve.

"Industrial coal" means a coal generally used as a heat source in the production of lime, cement, or for other industrial uses and is not considered thermal coal or metallurgical coal.

"Inferred Mineral Resource" means that part of a Mineral Resource for which quantity and grade or quality are estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to imply but not verify geological and grade or quality continuity. An Inferred Mineral Resource has a lower level of confidence than that applying to an Indicated Mineral Resource and must not be converted to a Mineral Reserve. It is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.

"Measured Mineral Resource" means that part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics are estimated with confidence sufficient to allow the application of Modifying Factors to support detailed mine planning and final evaluation of the economic viability of the deposit. Geological evidence is derived from detailed and reliable exploration, sampling and testing and is sufficient to confirm geological and grade or quality continuity between points of observation.

"metallurgical coal" means the various grades of coal with suitable carbonization properties to make coke or be used as a pulverized injection ingredient for steel manufacture, including hard coking coal (see definition above), semi-soft coking coal ("SSCC") and PCI Coal (see definition below). Also known as "met" coal, its quality depends on four important criteria: (1) volatility, which affects coke yield; (2) the level of impurities including sulfur and ash, which affect coke quality; (3)

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