Prophecy Coal Corporate Update

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jan. 20, 2014) -

NOT FOR DISTRIBUTION TO THE U.S.A. NEWS WIRE SERVICES OR FOR DISSEMINATION TO THE USA

Prophecy Coal Corp. ("Prophecy" or the "Company") (TSX:PCY)(OTCQX:PRPCF)(FRANKFURT:1P2) - Pursuant to shareholder approval granted at the Company's 2013 Annual General and Special Meeting held on July 30, 2013, and further to its new release on December 30, 2013, the Company announces that it has issued a second tranche of 1,013,750 bonus shares in the capital of the Company to certain directors, officers, employees and service providers of the Company.

About Prophecy Coal

Prophecy Coal Corp. is a Canadian company listed on the Toronto Stock Exchange engaged in developing energy projects in Mongolia. Further information on Prophecy Coal can be found at www.prophecycoal.com.

PROPHECY COAL CORP.

ON BEHALF OF THE BOARD

John Lee, Executive Chairman

Neither the Toronto Stock Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Toronto Stock Exchange) accepts responsibility for the adequacy or accuracy of this release.

Prophecy Coal Corp.
Bekzod Kasimov
Manager, Business Development
[phone] or +1.888.513.6286
[e-mail]
www.prophecycoal.com