LONMIN PLC - Lonmin Secures $50 million Funding for Tailings Project

Lonmin Secures $50 million Funding for Tailings Project

Lonmin Plc (Incorporated in England and Wales)
(Registered in the Republic of South Africa under registration number 1969/000015/10)
JSE code: LON
Issuer Code: LOLMI & ISIN : GB0031192486 ("Lonmin")

                                                                                 

18 August 2016

                        Lonmin Secures $50 million Funding For Tailings Project

Lonmin Plc (“Lonmin” or “the Company”), is pleased to announce that it has secured competitive funding
of $50 million for the Bulk Tailings Treatment project (“the BTT project” or “the project”) through a
specific project finance metal streaming arrangement. The first tranche of project funding of $9 million
has now been received and work has already started on the project.

The BTT project involves the re-mining of Lonmin’s Easterns Tailings Dam. The project entails the
reprocessing of 26 million tonnes of Tailings material at a rate of 300,000 tonnes per month.
Commissioning and ramp up to full production is expected during the 2018 Financial Year.

Once at steady-state, the project is expected to produce about 29,000 ounces of Platinum per year or
some 55,000 ounces of PGM, at a yield of 0.5 grammes per tonne (5PGE+Au) (grade of 1.42 grammes per
tonne at a recovery of 35%). The project is part of Lonmin’s business plan and is expected to produce the
lowest cost ounces in the Lonmin portfolio.

“The BTT project is part of our strategy to focus on low cost ounces to maximise our cash position and
create value for all our stakeholders,” said Lonmin’s Chief Executive Ben Magara.


                                                - ENDS –




                                                   1
ENQUIRIES

Investors / Analysts:
Lonmin
Tanya Chikanza (Head of Investor Relations)            +27 11 218 8358 /+44 207 201 6007

Andrew Mari (Investor Relations Manager)               +27 11 218 8420

Media:
Cardew Group
Anthony Cardew / Emma Crawshaw                          +44 207 930 0777

Sue Vey                                                 +27 60 523 7953


Notes to editors

Lonmin, which is listed on both the London Stock Exchange and the Johannesburg Stock Exchange, is one
of the world's largest primary producers of PGMs. These metals are essential for many industrial
applications, especially catalytic converters for internal combustion engine emissions, as well as their
widespread use in jewellery.

Lonmin’s operations are situated in the Bushveld Igneous Complex in South Africa, where more than 70%
of known global PGM resources are located.

The Company creates value through mining, refining and marketing PGMs and has a vertically integrated
operational structure - from mine to market. Underpinning the operations is the Shared Services
function which provides high quality levels of support and infrastructure across the operations.

For further information please visit our website: http://www.lonmin.com


Sponsor: J.P. Morgan Equities South Africa (Pty) Ltd




                                                        2

Date: 18/08/2016 09:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.