Marula Mining Plc - Update on Shareholding in Blesberg Lithium Mine PR Newswire

Marula Mining PLC

(“Marula’’ or the “Company”)

Update on Increased Shareholding in Blesberg Lithium and Tantalum Mine

25 November 2022

Marula Mining (AQSE: MARU) an African focused mining and development investing company, is pleased to announce that further to the announcement made by the Company on 27 October 2022, it has elected to increase its shareholding in the Blesberg Lithium and Tantalum Mine in South Africa (the "Blesberg Mine" or “Blesberg”) from 5% to 100% (the “Acquisition”).

Marula has executed a formal share sale and subscription agreements and associated acquisition documentation (“Acquisition Agreement’) under which, the Company’s wholly owned South African subsidiary, Marula Lithium Mining South Africa (Pty) Limited (“MLMSA”), will conditionally acquire the outstanding 95% of the share capital of Southern African Lithium and Tantalum Mining Proprietary Limited (“SALT”), the holder of the licences that make up the Blesberg Mine.

The Acquisition is subject to receipt of regulatory approvals in South Africa. The Company continues to work with its consultants and lawyers in South Africa to secure these approvals, which are expected to be received in 2023.

Under the terms of the Acquisition Agreement, the Company agreed to increase its shareholding in Blesberg from 5% to 100% in SALT for payment of cash proceeds of US$1.7 million to the other SALT shareholders. The Company confirms that it has paid this amount using US$1.7 million of the first US$2.5 million tranche of the US$5 million lithium pre-payment facility, which Marula announced on 27 October 2022 with Southern Jade Resources Pty Limited, a subsidiary of Traxys SARL.

Jason Brewer and Hendrik Adriaan van Zyl have been appointed as directors of SALT.

Jason Brewer, Marula Mining PLC CEO, said:

"I'm delighted to confirm Marula's new conditional holding in the Blesberg mine, to acknowledge the progress we're making, and to see that the administrative matters surrounding our acquisition of the 100% interest in the Blesberg Mine has progressed at such a rapid and effective pace. I am confident that with the assistance of our lawyers and consultants in South Africa we will secure the remaining regulatory approvals. 

“It is also great to see Marula’s shareholders support and approval in steering this transaction forward at the recent AGM, approving the expanded strategy that now allows us to hold majority and 100% interest in projects such as Blesberg.

"The recently announced US$5 million pre-payment funding was a positive reaffirmation of Blesberg, and the first tranche of funds have now been used to complete the acquisition and balances have allowed our contractors in South Africa to accelerate with the next phase of work as we move closer to producing a saleable lithium spodumene product. 

“There is no better time to have Blesberg move ahead in operations than during a time of strong lithium demand in various sectors and also at a time when we continue to strengthen our battery metals investing strategy by securing and exploring more battery metals commodities in Africa.  I look forward to sharing further updates in due course.”

The Directors of Marula are responsible for the contents of this announcement. This announcement contains inside information for the purposes of UK Market Abuse Regulation.

About Marula Mining

Marula Mining (AQSE: MARU) is an African focused battery metals investment and exploration company and has interests in several high value mine projects in Africa; Blesberg Lithium and Tantalum Mine in South Africa, Nkombwa Hill Project in Zambia and Kinusi Copper mine in Tanzania. As we advance operations in the projects, Marula is open to look into other high-quality commodities in several jurisdictions.

Marula aims at identifying and investing in advanced and high-value mining projects throughout East, Central and Southern Africa that can deliver rapidly for its shareholders and can be taken through to production and generate positive returns for all stakeholders. Our Board and management team aims to establish Marula as a socially and environmentally responsible, sustainable, and profitable producer of critical metals and commodities that are of increasingly strategic importance to modern technologies and the global economy.

Marula’s shares are quoted on the AQUIS Stock Exchange (AQSE) and is exploring opportunities to dual list on the London Stock Exchange’s AIM Market and Kenya’s Nairobi Securities Exchange.

For enquiries contact:

Marula Mining PLC
Jason Brewer,
Chief Executive Officer

Faith Kinyanjui Mumbi
Investor Relations


Email : jason@marulamining.com

Email : info@marulamining.com
 
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Caution

Certain statements in this announcement, are, or may be deemed to be, forward looking statements. Forward looking statements are identi?ed by their use of terms and phrases such as ''believe'', ''could'', "should" ''envisage'', ''estimate'', ''intend'', ''may'', ''plan'', ''potentially'', "expect", ''will'' or the negative of those, variations or comparable expressions, including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements re?ect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.