PGL - Pallinghurst Resources Limited - Sedibelo transactions receive DMR

PGL - Pallinghurst Resources Limited - Sedibelo transactions receive DMR        
approval                                                                        
PALLINGHURST RESOURCES LIMITED                                                  
(Previously Pallinghurst Resources (Guernsey) Limited)                          
(Incorporated in Guernsey)                                                      
(Guernsey registration Number: 47656)                                           
(South African external company registration number 2009/012636/10)             
Share code on the BSX: PALLRES      ISIN: GG00B27Y8Z93                          
Share code on the JSE: PGL                                                      
("Pallinghurst" or the "Company")                                               
Sedibelo transactions receive DMR approval                                      
The Company is pleased to announce that the approvals necessary for the         
completion of the acquisition of 49.9% of the Sedibelo property by the          
Pallinghurst Co-Investors from the Bakgatla Ba Kgafela Tribe ("Bakgatla")       
have been received from the South African Department of Mineral Resources       
("DMR"). In addition, Platmin Limited ("Platmin") has also received the DMR     
approvals necessary for the completion of its acquisition of Sedibelo West.     
Shareholders are reminded that the Company`s African Queen strategy is to       
consolidate three contiguous Platinum Group Metals ("PGM") properties on the    
Western Limb of the Bushveld Complex of South Africa (the "Consolidation") to   
create a low cost PGM producer of industry significance with a large and        
shallow resource base. Over the past four years, the Company, along with the    
Pallinghurst Co-Investors, has acquired interests in each of the three          
properties. At 31 December 2011, the Company held indirect interests in         
Pilanesberg Platinum Mine ("PPM"), via its investments in Platmin and the       
Moepi Group companies, and in Magazynskraal. The Company acquired its right     
to its share of the investment in Sedibelo as part of the Magazynskraal         
transaction, and committed to the acquisition during October 2009.              
During March 2011, a suite of transactions was announced that provided the      
platform for the Consolidation, including the acquisition by the Pallinghurst   
Co-Investors of a 49.9% stake in Sedibelo, and interests in certain other       
assets. Funds were contributed during 2011 to Pallinghurst Ivy Lane Capital     
Limited ("Ivy Lane"), one of the Company`s associates, for the satisfaction     
of these commitments. The DMR approvals have therefore enabled completion of    
this suite of transactions.                                                     
The completion of the investment in Sedibelo is a key step towards the          
completion of the African Queen strategy and realising the Consolidation of     
the three contiguous properties.                                                
Guernsey                                                                        
21 May 2012                                                                     
Sponsor                                                                         
Investec Bank Limited                                                           
Date: 21/05/2012 12:10:01 Supplied by www.sharenet.co.za                     
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