BUILDMAX LIMITED - Voluntary announcement relating to a new contract awarded in the Republic of Botswana

Voluntary announcement relating to a new contract awarded in the Republic of Botswana

BUILDMAX LIMITED
Incorporated in the Republic of South Africa
(Registration No. 1995/012209/06)
Share Code: BDM
ISIN Code: ZAE000167318
("Buildmax" or the “Company” or the “Group”)


Voluntary announcement relating to a new contract awarded in the Republic of Botswana

The Company’s board of directors is pleased to announce that Buildmax, through its
subsidiary, Diesel Power Mining (Pty) Ltd, registered in the Republic of Botswana, a
subsidiary of Diesel Power Opencast Mining (Pty) Ltd and trading as Diesel Power
Botswana (“Diesel Power Botswana”), has been awarded a new long-term contract to
provide hard-rock open cast mining services to Messina Copper Botswana (Pty) Ltd (trading
as “African Copper”) in respect of two of African Copper’s existing open pit copper mining
operations (“the Contract”).

African Copper, registered in the Republic of Botswana, is wholly owned by AIM-listed
African Copper PLC, which is in turn 84.19% owned by JSE-listed ZCI Limited.

The Contract commenced during February 2014 with a duration of 52 months, of which the
first 4 months will be served at the Thakadu Mine and thereafter the remaining 48 months
will be served at the Mowana Mine, located approximately 130 kilometres north-west of
Francistown.

The Contract is denominated in Botswana Pula (“BWP”) and is valued at approximately
BWP1 billion over the contract period.

The scope of the Contract is conventional open pit mining, including drilling and blasting,
with an initial investment of approximately BWP160 million. The majority of the required
mobile plant and equipment for the Contract will be sourced from the existing fleet of the
Group and all required asset based funding will be funded jointly by Diesel Power and by a
third party financier.

A highly qualified management team, with extensive experience in Africa, will be assigned to
the project and the Group will establish permanent support structures at Mowana Mine and
in Botswana.

It is anticipated that the Contract will contribute positively towards improving operating
margins, commensurate with commodity and country risks. This Contract will further the
Group’s strategic objectives of diversifying into hard-rock commodities and into geographic
regions outside of Mpumalanga, to compliment the Group’s existing operations in South
Africa and in the Republic of Congo.


Benoni
5 March 2014


Sponsor
Questco

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