MC MINING LIMITED - Dismissal of appeals against Makhado Project Environmental Authorisation amendments

Dismissal of appeals against Makhado Project Environmental Authorisation amendments

MC Mining Limited
Previously Coal of Africa Limited
(Incorporated and registered in Australia)
Registration number ABN 008 905 388
ISIN AU000000MCM9
JSE share code: MCZ
ASX/AIM code: MCM


ANNOUNCEMENT                                                                       17 April 2019


DISMISSAL OF APPEALS AGAINST MAKHADO PROJECT ENVIRONMENTAL AUTHORISATION AMENDMENTS

MC Mining Limited (“MC Mining” or the “Company”) is pleased to announce further progress at its
Makhado hard coking and thermal coal project (“Makhado Project” or “Makhado”), owned by
subsidiary Baobab Mining & Exploration (Pty) Ltd (“Baobab”).

Baobab applied to both the Department of Mineral Resources (“DMR”) and the Limpopo Department
of Economic Development, Environment and Tourism (“LEDET”) during January 2018 for an
amendment to Makhado’s Environmental Authorisation (“EA”). The amendment allows for the
transportation of coal to Musina by road rather than rail and was approved by the DMR and LEDET
during September 2018. Following this, the same narrow interest group that had previously and
unsuccessfully appealed the original Makhado EA, appealed the DMR and LEDET decisions resulting in
the suspension of the EA amendment authorisations.

The Company is pleased to announce that both appeals have been dismissed. This results in the EA
amendment being effective and reaffirms the Makhado Project’s permitted status.

David Brown, CEO commented:
“This dismissal of the appeals by the South African government reinforces the robustness of Baobab’s
permitting processes despite continued attempts by narrow interest groups to halt the project’s
progress. The recently announced phased development of Makhado includes the utilisation of the
existing, modified Vele processing plant as well as road and rail infrastructure previously tested.
The Company anticipates that funding dependent, construction of Makhado Phase 1 should
commence in Q3 CY2019, contributing significantly to the socio-economic development in the area
and generating positive returns for shareholders in the near-term.”

Authorised by
David Brown
Chief Executive Officer

                                                                                             
For more information contact:
David Brown                        Chief Executive Officer      MC Mining Limited               +27 10 003 8000
Brenda Berlin                      Chief Financial Officer      MC Mining Limited               +27 10 003 8000
Tony Bevan                         Company Secretary            Endeavour Corporate             +61 08 9316 9100
                                                                Services

Company advisors:
Jos Simson/ Gareth Tredway         Financial PR                Tavistock                        +44 20 7920 3150
                                   (United Kingdom)
Ross Allister/David                Nominated Adviser and       Peel Hunt LLP                    +44 20 7418 8900
McKeown/James Bavister             Broker
Charmane Russell/Olwen Auret       Financial PR (South Africa) R&A Strategic                    +27 11 880 3924
                                                               Communications
Investec Bank Limited is the nominated JSE Sponsor

About MC Mining Limited:
MC Mining is an AIM/ASX/JSE listed coal exploration, development and mining company operating in South Africa. MCM’s
key projects include the Uitkomst Colliery (metallurgical coal), Makhado Project (coking and thermal coal). Vele Colliery
(coking and thermal coal), and the Greater Soutpansberg Projects (MbeuYashu).


Regulatory
This announcement is inside information for the purposes of Article 7 of Regulation 596/2014.

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