Cobalt Coal Ltd. Announces the Suspension of Trading

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED
STATES. 


Cobalt Coal Ltd. (formerly Cobalt Coal Corp.) (TSX VENTURE:CCF) ("Cobalt" or the
"Corporation") announces that the Alberta Securities Commission ("ASC") has
issued a Cease Trade Order ("CTO"), effective October 5, 2012, prohibiting the
trading of securities of the Corporation. The CTO was issued as a result of the
failure of the Corporation to file a technical report within the prescribed
timeline and in accordance with the guidelines in NI 43-101, Standards of
Disclosure for Mineral Projects ("NI 43-101").


The CTO will remain in effect until the Corporation updates the technical report
that was filed on July 17, 2012, by adding information to support the disclosure
contained in the press release dated January 19, 2011, which disclosed a
material increase in coal resources on the Westchester Mine Expansion and the
press release dated July 17, 2012 which disclosed initial coal resources and
reserves in relation to a proposed acquisition of the Steinman and Acin Leases,
as previously announced.


The Qualified Person engaged by the Corporation (within the meaning of NI
43-101) is working on updating the technical report. The Corporation anticipates
that the updates will be complete within the next week and will work with the
ASC to resolve this issue so that reinstatement of the Corporation's securities
to trading can occur.


About Cobalt

Cobalt is a publicly traded coal exploration and production company
headquartered in Calgary, Alberta, Canada with a regional office in Welch, West
Virginia, United States. Cobalt was created to capitalize on the growth
opportunities that exist in the metallurgical coal mining industry. 


READER ADVISORY

Statements in this news release may contain forward-looking information. The
reader is cautioned that assumptions used in the preparation of such information
may prove to be incorrect. Events or circumstances may cause actual results to
differ materially from those predicted, a result of numerous known and unknown
risks, uncertainties, and other factors, many of which are beyond the control of
the Corporation. These risks include, but are not limited to, the risks
associated with the coal mining industry, commodity prices and exchange rate
changes. Industry related risks could include, but are not limited to,
operational risks in exploration, development and production, delays or changes
in plans, risks associated to the uncertainty of reserve estimates, health and
safety risks and the uncertainty of estimates and projections of production,
costs and expenses. The reader is cautioned not to place undue reliance on this
forward-looking information.