MARU Marula Mining Plc

Marula Mining PLC

("Marula Mining'' or the "Company")

28 August 2024         

Two New Manganese Ore Supply Agreements Signed for Kilifi Processing Plant

Marula Mining (AQSE: MARU A2X: MARU) an African focused mining and development company, is pleased to announce that the Company has entered into two additional manganese ore supply agreements (the "Ore Agreements") for the supply of, in aggregate, 10,000 tonnes per month ("tpm") of manganese ore to the Kilifi Manganese Processing Plant (the "Kilifi Plant") located in the Tezo Area, Kilifi County in Kenya. 

Under the terms of the first of the Ore Agreements, Marula will receive 30,000 tonnes ("t") of manganese ore with a minimum grade of 24% manganese ("Mn") over an initial six-month period, and thereafter, further deliveries can be negotiated with a minimum additional quantity of 30,000t.

Under the terms of the second of the Ore Agreements, Marula will receive monthly deliveries of 5,000t of manganese ore with a minimum grade of 24% Mn over an initial period of one year, and this may be extended for an additional two years thereafter at the Company's option. Mining, screening and transportation of the manganese ore will be undertaken by Marula and at the Company's cost.

The Ore Agreements are in addition to the agreement entered into earlier this month with Kitmin Holdings Limited ("Kitmin"), also for the supply of 10,000tpm of manganese ore to the Kilifi Plant. In aggregate, the three agreements provide the Company's wholly owned subsidiary, Muchai Mining Kenya Limited,  with the opportunity to maximise processing capacity at the Kilifi Plant and operate it on a double shift basis over the next 6 to 12 months and with the potential to produce between 15,000tpm to 20,000tpm of saleable product. First deliveries under the Ore Agreements are anticipated to commence by 30 September 2024.

Ore sampling work from the mining areas under the Ore Agreements have been completed and assays are expected to be received in due course. The Company's technical team and executive management have visited both of these mining areas, and have completed due diligence and anticipate that these parties will be able to deliver the necessary tonnes and grade of manganese ore to the Kilifi Plant.

The Company continues to advance its sales and offtake negotiation agreements with a number of parties for the manganese ore produced from the Kilifi Plant.

Jason Brewer, Marula Mining PLC CEO said:

"We are delighted to announce that we have successfully been able to conclude these two additional manganese ore supply agreements with local Kenyan mining companies.

"These agreements are a significant step forward, enabling additional ore feed per month of manganese ore to our Kilifi Manganese Processing Plant. This, combined with our existing agreement with Kitmin, positions us to potentially exceed our initial production targets and explore the possibility of operating the Kilifi Plant on a double-shift basis.

"We believe that these ore supply agreements and the commencement of processing and mineral export operations at the Kilifi Plant, will not only advance the Company's goals but also bring significant benefits to the local communities by creating job opportunities and fostering economic growth.

"I look forward to updating shareholders further on our progress at the Kilifi Plant."

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 PLC (AQSE: MARU A2X: MARU) is an African focused battery metals investment and exploration company and has interests in several high value mining operations and mine development projects in Africa: the Blesberg Lithium and Tantalum Mine, Northern Cape Lithium and Tungsten Project, Korridor Lithium Project and Kruisrivier Cobalt Mine, all in South Africa; the Larisoro Manganese Mine and Kilifi Manganese Processing Operation both in Kenya; 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 AQUIS Stock Exchange (AQSE) in London and A2X Markets in South Africa. Marula is exploring opportunities to admit its shares to trading on 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.