MKA Mkango Resources Ltd

THIS NEWS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR
DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES


Mkango Resources Ltd. (TSX VENTURE:MKA) (the "Corporation" or "Mkango") is
pleased to appoint Mr. Derek Linfield as a director of the Corporation,
effective as of today, and to announce a proposed non-brokered private placement
to raise gross proceeds of up to C$1 million (the "Private Placement").


Appointment of Derek Linfield as Non-Executive Director

Mr. Linfield is the managing partner of the law firm Stikeman Elliott (London)
LLP, the UK office of Canadian law firm Stikeman Elliott LLP. Mr Linfield has
practiced as a Canadian lawyer in London for 17 years, where he has focused on
cross-border financings and M&A in the mining and oil & gas sectors, including
taking internationally managed companies to Toronto Stock Exchange and the
Toronto Venture Exchange as well as Canadian companies to the London Stock
Exchange. 


William Dawes, Chief Executive Officer of Mkango stated: "We are very pleased to
welcome Derek to the Board. His extensive network and experience in the global
mining sector, particularly in Africa, encompassing cross-border financings, M&A
and other transactions, will prove invaluable as Mkango moves into the next
stage of development and growth. His experience of both the London and Canadian
markets will also prove a great complement to that of the current members of the
board. Derek recently visited Malawi where he met Mkango's local management team
and was also given a warm welcome by local traditional chiefs when he visited
the Songwe site, so he has gained first-hand experience of the country and our
project."


Non-Brokered Private Placement

Mkango is also pleased to announce a proposed non-brokered private placement of
up to 6,700,000 units (the "Units") at a price of C$0.15 per Unit for gross cash
proceeds of up to C$1,005,000 (the "Private Placement").


Each Unit will consist of one common share ("Common Share") and one Common Share
purchase warrant ("Warrant") of Mkango. Each whole Warrant will entitle the
holder to acquire one Common Share for C$0.30 for a period of 5 years following
the closing date of the Private Placement. Where the closing price of the common
shares on the TSX Venture Exchange equals or exceeds C$0.35 for 20 consecutive
trading days following the date that is four months and one day after the date
of issuance of the Warrants, the Corporation will have the right to require
conversion of the Warrants at the exercise price upon 30 days' notice. 


The Private Placement will be completed in one or more tranches and the
Corporation will seek to ensure that any participating shareholder wishing to
maintain its position in Mkango has the opportunity to do so. The securities
issued under the Private Placement will have a hold period of four months and
one day from the applicable closing date. 


The use of proceeds from the Private Placement will be to finalise the
pre-feasibility study for the Songwe project and to facilitate a smooth
transition to the feasibility stage, in addition to general corporate purposes. 


SNC-Lavalin (Pty) Ltd. has completed the first phase of the pre-feasibility
study, focusing on the mill, flotation plant and associated infrastructure.
Current focus is on further optimisation of the flow sheet in parallel with
commencement of design work for the hydrometallurgical process plant.


The Songwe Hill Rare Earth Project

The Songwe Hill rare earth project is located within the 100% owned Exclusive
Exploration Licence 0284/10R in southeast Malawi. The Songwe project is
accessible by road from Zomba, the former capital, and Blantyre, the principal
commercial town of Malawi. Total travel time from Blantyre is approximately 2
hours, which will reduce as infrastructure continues to be upgraded in the area.



On 22 November 2012, Mkango filed a Technical Report (the "Report") for its
maiden NI 43-101 mineral resource estimate entitled NI 43-101 Technical Report
and Mineral Resource Estimate for the Songwe Hill Rare Earth Element (REE)
Project, Phalombe District, Republic of Malawi authored by Scott Swinden, Ph.D,
P.Geo. and Michael Hall, Pr.Sci.Nat., MAusIMM (who are independent "Qualified
Persons" in accordance with National Instrument 43-101 - Standards of Disclosure
for Mineral Projects). The Report's mineral resource estimates, as previously
announced, are summarized below. 




----------------------------------------------------------------------------
Cut-off grade        In-situ Indicated Mineral   In-situ Inferred Mineral   
                     Resource estimate           Resource estimate          
----------------------------------------------------------------------------
1.0% TREO            13.2 mt grading 1.62% TREO  18.6 mt grading 1.38% TREO 
1.5% TREO            6.2 mt grading 2.05% TREO   5.1 mt grading 1.83% TREO  
----------------------------------------------------------------------------



TREO - total rare earth oxides including yttrium. In-situ - no geological losses
applied. mt - million tonnes


For further details of mineral resource estimates including breakdowns thereof,
please refer to the Report which is available at www.sedar.com.


Mkango is currently completing a pre-feasibility study for the Songwe project.

About Mkango Resources Ltd.

Mkango's primary business is the exploration for rare earth elements and
associated minerals in the Republic of Malawi. It holds, through its wholly
owned subsidiary Lancaster Exploration Limited, a 100% interest in two exclusive
prospecting licenses covering a combined area of 1,751 km2 in southern Malawi.
The main exploration target is the Songwe Hill rare earth deposit, which
features carbonatite hosted rare earth mineralisation and was subject to
previous exploration in the late 1980s.


In parallel, the Corporation is also undertaking regional exploration in the
second license area, known as Thambani, where a number of areas with potential
for uranium, zircon, corundum and niobium have been identified.


The Corporation's corporate strategy is to further develop the Songwe Hill rare
earth deposit and secure additional rare earth element and other mineral
opportunities in Malawi and elsewhere in Africa. 


On behalf of the Board of Mkango Resources Ltd.,

William Dawes, Chief Executive Officer

Cautionary Note Regarding Forward-Looking Statements 

This news release may contain forward-looking statements relating to the
Corporation. Readers are cautioned not to place undue reliance on
forward-looking statements, as there can be no assurance that the plans,
intentions or expectations upon which they are based will occur. By their
nature, forward-looking statements involve numerous assumptions, known and
unknown risks and uncertainties, both general and specific, that contribute to
the possibility that the predictions, forecasts, projections and other
forward-looking statements will not occur, which may cause actual performance
and results in future periods to differ materially from any estimates or
projections of future performance or results expressed or implied by such
forward-looking statements. Such factors and risks include, among others, the
interpretation and actual results of current exploration activities; uncertainty
of estimates of mineral resources, changes in project parameters as plans
continue to be refined; future commodity prices; possible variations in grade or
recovery rates; failure of equipment or processes to operate as anticipated;
labour disputes and other risks of the mining industry; delays in obtaining
governmental approvals or financing or in the completion of exploration.


The forward-looking statements contained in this press release are made as of
the date of this press release. Except as required by law, the Corporation
disclaims any intention and assume no obligation to update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise, except as required by applicable securities law.
Additionally, the Corporation undertakes no obligation to comment on the
expectations of, or statements made, by third parties in respect of the matters
discussed above.


The TSX Venture Exchange has neither approved nor disapproved the contents of
this press release.


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


FOR FURTHER INFORMATION PLEASE CONTACT: 
Mkango Resources Ltd.
Ashlee Utterback
Corporate Communications Manager
Office: +1 (403) 444-5979
ashlee@mkango.ca


Mkango Resources Ltd.
William Dawes
Chief Executive Officer
Office: +1 (403) 444-5979
will@mkango.ca


Mkango Resources Ltd.
Alexander Lemon
President
Office: +1 (403) 444-5979
alex@mkango.ca
www.mkango.ca

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