CHROMETCO LIMITED - Renewal of cautionary announcement and quarterly suspension update

Renewal of cautionary announcement and quarterly suspension update

CHROMETCO LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 2002/026265/06)
Share code: CMO
ISIN: ZAE007020249
(“Chrometco” or “the Company”)


RENEWAL OF CAUTIONARY ANNOUNCEMENT AND QUARTERLY SUSPENSION
UPDATE


RENEWAL OF CAUTIONARY ANNOUNCEMENT

Shareholders are referred to the previous cautionary and renewal of cautionary
announcements released on SENS and are advised that circumstances relating to a material
subsidiary of the Company are still being assessed, which could have a material effect on the
price of the Company’s securities.

Accordingly, shareholders are advised to continue to exercise caution when dealing with the
Company’s securities until a further announcement has been made.

QUARTERLY SUSPENSION UPDATE

In terms of paragraph 1.11(c) of the JSE Listings Requirements, the Company is required to
provide an update to shareholders regarding the current state of affairs of the Company until
the suspension is lifted.

Shareholders are referred to the ongoing suspension in trading of the Company’s shares on
the JSE which came into effect on 18 July 2022. Trading in the Company’s shares remain
suspended due to the late publication of the provisional annual financial statements for the
year ended 28 February 2022 (“Provisional Report”) and the subsequent interim results for
the six months ended 31 August 2022 (“Interim Report”).

In respect of the late publication of the Company’s Provisional Report, the Company has
been struggling in its appointment of new auditors due to three subsidiaries within the group,
Black Chrome Mine Proprietary Limited (“Black Chrome Mine”), Sail Resources Proprietary
Limited and Sail Minerals Proprietary Limited, being in Business Rescue.

Further to the announcement released on SENS on 30 November 2022 advising
shareholders of the extension of the publication of the Black Chrome Mine business rescue
plan (“Plan”), the Company confirms that the Plan was published on 31 March 2023.

The Plan was scheduled to be adopted at a meeting of the creditors (“Creditor’s Meeting”)
originally scheduled for 18 April 2023. The IDC, being a major creditor, requested a
postponement to review the Plan and consequently the Creditor’s Meeting was rescheduled
for 16 May 2023. On 12 May 2023, the Sail Minerals Business Rescue Practitioner instituted
legal proceedings against Black Chrome Mine. The Black Chrome Mine BRP, who has
considered the court application issued by Sail Minerals (“Application”), has instructed the
Company’s attorneys to oppose the Application. In light of the pending Application issued by
Sail Minerals, the Black Chrome Mine Business Rescue Practitioner was of the view that the
creditors meeting scheduled for 16 May 2023 to vote on the Plan, as amended, should be
adjourned in terms of section 151(3) of the Companies Act 71 of 2008. The meeting was
rescheduled to 18 July 2023, however the Application remains pending, and the meeting was
further adjourned to 31 October 2023 in terms of section 151(3) of the Companies Act. Should
the Application be finally determined before that date, the business rescue practitioner will
endeavour to reconvene the Meeting on an earlier date.

The Company will apply for the lifting of the suspension of trade in its securities once the
Provisional Report and Interim Report has been published and announced on SENS.

The Company will provide a further update in this regard in due course.


Johannesburg
31 July 2023


Designated Advisor
PSG Capital

Date: 31-07-2023 10:00:00
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