29th October 2015

QUARTERLY ACTIVITES AND CASH FLOW REPORT PERIOD ENDED 30TH SEPTEMBER 2015

CONTACTS: ISSUED CAPITAL:

Collin Vost 2,225,337,344 Ordinary Shares Telephone: 08 6436 2350

Directors: Australian Securities Exchange (ASX) Collin Vost (Executive Chairman) Code: BKP (Ordinary Shares Fully Paid) Justin Vost (Non Executive)

Ray Chang (Non-Executive - Chinese Division)

Company Secretaries: Cash (30th September 2015)

Tim Clark $690,000

John Greeve

SEPTEMBER 2015 QUARTERLY ACTIVITY REPORT

Baraka Energy & Resources Limited ('Baraka ' or ' the Company ') ( ASX: BKP) provides its quarterly activities report for the period ended 30th September 2015.

During the quarterly period the board of directors have been extensively involved with discussions and negotiations with Petrofrontier Corporation and Statoil, the past and current Operators and equity holders of the Georgina Basin permits EP127 and EP128, in which Baraka currently has a 25% working interest.

Petrofrontier and Statoil have elected to withdraw from both permits as a result of insufficient Hydrocarbon results from their exploration programs which were seeking to uncover an Elephant sized Unconventional Oil Basin discovery similar to the World renowned Canadian/USA Bakken oil field. A combined 4 wells were drilled into the 2 permits by these partners in permits covering an area of some 8 million acres, over 6 years, of which 3 were drilled in the far east of the permits, as data collection wells to be plugged and abandoned on completion. The results on these last 3 wells and other work carried out did not provide sufficient hydrocarbons to entice the parties to continue further exploration for a very large sized Unconventional Oil Basin discovery.

The initial well on EP127, Macintyre II, drilled in August 2011 by Petrofrontier located in the western side of the permit, allegedly the first Horizontally drilled and fracced well in Australia, recovered high grade quality gas results, but unfortunately encountered water and H2S, which is a dangerous gas, able to be managed in all wells, but operations were suspended.

Statoil when becoming operator elected to plug and abandon that well, as well as pursue the Non Conventional oil prospects of the basin with 3 wells in the eastern side of the permits.

Baraka and its previous exploration consultants believed that the western side of EP127, and in particular the Hagen Member and Dulcie Syncline, held considerable potential for Conventional Oil & Gas, to the extent that at that time interest was expressed by a Canadian group wanting to pursue exploration of those area. Discussions may be reinstated at a later date subject to the outcome of our current actions.

Baraka appointed experienced Lawyers and Tenement Administrators in the Northern Territory, as well as RISC , a world renowned Oil and Gas consulting firm, to assist in expediting the renewal of both permits under the sole ownership of Baraka as 100% Permit Holders.

Submissions have been made and the process is ongoing in regards to both permits.

In the meantime all expenditures have been met for 2015 and depending on the renewal terms and conditions Baraka will not need to commence any new expenditure until after the first quarter of next year.

Baraka will initially work with RISC and review all of the data contained in the previous work programs, pursue discussions with interested parties in regards to any farm in and then resolve the work programs for 2016.

The Iron Sands secured loan, interest bearing, profit sharing agreement in the Philippines is currently undergoing a mediation and resolution process in regards to a dispute over the original vendor agreement. In the meantime a force majeure action has been lodged in the Philippines, and the board is hopeful of a cooperative, successful outcome in due course, to allow the venture to proceed to further discussions with interested parties in regards to joint ventures, a farm out and or sale or part sale of the venture. Baraka has the right to a direct participation in the project subject to certain conditions and discussions with the ASX, which may be pursued in due course.

Baraka has also been successful with its previous applications for R & D and received payments within the last quarter, and has since lodged an additional application. In the event that application is successful we would expect another cash injection before the end of 2015 to further enhance our cash and current asset position.

Substantial additional funds are also expected before the end of 2015 as a result of converting selected current assets to cash, further adding to our cash reserves.

Baraka as at the 30th June 2015 had some $5.4m of cash and current assets, with very minimal debtors or commitments.

The board of Baraka continues to seek other opportunities as well assess offers made to the company to participate in ventures, or consider cash injections simultaneously with asset acquisitions, but to date discussions have not progressed sufficiently to the degree of any certainty whereby announcements are able to be made.

Appendix 5B

The Appendix 5B for the quarter ended 30 September 2015 is attached.

Forward-Looking Statements

This press release may contain forward-looking information that involves substantial known and unknown risks and uncertainties, most of which are beyond the control of Baraka, including, without limitation, statements pertaining to management's future plans and operations. All statements included herein, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate and actual results and future events could differ materially from those anticipated in such information. Any forward-looking statements are made as of the date of this release and Baraka does not assume any obligation to update or revise them to reflect new events or circumstances.

Appendix 5B

Mining exploration entity and oil and gas exploration entity quarterly report

Appendix 5B

Rule 5.5

Mining exploration entity and oil and gas exploration entity quarterly report

Consolidated statement of cash flows

See chapter 19 for defined terms.

Appendix 5B