Marula Mining PLC - Update on Agreements for By-Products at Blesberg

Marula Mining PLC

("Marula'' or the "Company")

 11 April 2024

Update on Agreements for Sale of By-Products Minerals at Blesberg Lithium and Tantalum Mine

Marula Mining (AQSE: MARU), an African focused mining and development company, is pleased to provide an update on its planned sales of its production of columbite-tantalite ("coltan"), feldspar and other by-product minerals from the Blesberg Lithium and Tantalum Mine located in the Northern Cape Province in the Republic of South Africa ("Blesberg" or the "Project").

As announced on 19 March 2024, the Company's wholly owned South African subsidiary South African Lithium and Tantalum Mining (Pty) Limited ("SALT") had signed a long-term offtake agreement (the "Agreement") with United Kingdom based, global metals, minerals and energy commodities trading group Fujax UK Ltd ("Fujax") for 100% of the lithium bearing ore and concentrate production from Blesberg. Deliveries to Fujax under the Agreement are scheduled to commence in May 2024 and continue through to 31 December 2026, with an option to extend deliveries by a further three years thereafter.

The Company can confirm that It is also now progressing sales agreements with Fujax, and a number of additional parties in South Africa for the sale of its production of other by-product minerals including tantalum, feldspar and mica that are extracted through the Company's existing processing and XRF sorting equipment and planned expansion to the processing plant in Q2 2024.

Highlights

·    Processing operations at Blesberg, which include the Rados XRF Particle Sorter that is already in operation and the Tomra XRT Sorter that will now be installed and commissioned this quarter (previously anticipated to be installed in Q1 2024), allow for the recovery of the lithium bearing ores and through its sorting technology, the separate recovery of the coltan, feldspar and other by-product minerals that are present.

·    The Company is seeking to maximise the economics at Blesberg by entering into additional sales agreements for its production of these by-product minerals which include the coltan, feldspar and other minerals.

·    The sampling program of these minerals has recently been completed and analysis is ongoing  

·    150 kilograms ('kg') of coltan mineralisation from stockpiles at Blesberg has now been submitted for independent testing and analysis.

·    The assay results from this testwork will be used to verify both the tantalum and niobium grades and the results will be incorporated into key commercial terms of the proposed sales agreement with local and international offtake groups including Fujax

·    Representatives on site from Fujax this week to also take samples of the coltan for analyses in the United Kingdom ahead of a proposed initial sale of 2 tonnes ("t").

·    20.64kg of feldspar has also been sent for mineralogy analysis. The results are to be included with previous historic test work which has already confirmed that its technical specifications meet the requirements of local purchasers of feldspar for the ceramics and glass industry

·    The sample results for the coltan and feldspar which will include grade, mineralogy and quality analyses are expected to be received in Q2 2024.

·    The Company is anticipating sales agreements to be concluded and first sales and revenue to be received from the sale of these by-product minerals late in Q2 2024.

Henk van Zyl, Marula Mining PLC General Manager Southern Africa said:

"Blesberg has such a valuable assortment of minerals that extend beyond just the lithium bearing ores.

"We know that Blesberg was one of the major producers in South Africa of tantalum and we believe there is an opportunity through the sale of the coltan mineralisation that has been identified at the mine to materially enhance the project economics by concluding a standalone offtake agreement for this by-product of the lithium mining activities.

"In addition with the completed sampling program, we are also awaiting assay and metallurgical results on the feldspar mineralisation that is present at Blesberg. Historically there has been sales of this material from Blesberg into the local South African market and sales of these minerals continues from other operations in the Northern Cape."

The Directors of Marula are responsible for the contents of this announcement.

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; the Blesberg Lithium and Tantalum Mine and Korridor Lithium Project in South Africa, the Kinusi Copper Mine, the Nyorinyori Graphite Project, the NyoriGreen Graphite Project and the Bagamoyo Graphite Project all in Tanzania and the Nkombwa Hill Project in Zambia. As we advance operations at these battery metals focused projects, Marula will continue to build and expand its interests in other high-quality projects in Africa.

Marula's strategy is to identify and invest in advanced and high-value mining projects throughout East, Central and Southern Africa that the Directors believe would deliver returns for its shareholders. The 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 traded on the AQUIS Stock Exchange (AQSE), Marula is exploring opportunities to admit its shares to trading on the London Stock Exchange plc's Standard List, Kenya's Nairobi Securities Exchange and South Africa's Johannesburg Stock Exchange.

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Caution:

Certain statements in this announcement, are, or may be deemed to be, forward looking statements. Forward looking statements are identified 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 reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.