CHROMETCO LIMITED - cautionary announcement

cautionary announcement

CHROMETCO LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 2002/026265/06)
(JSE Code: CMO       ISIN: ZAE000070249)
("Chrometco" or "the company")

CAUTIONARY ANNOUNCEMENT

Shareholders are advised that Chrometco has entered into
negotiations with International Ferro Metals (“IFL”) which is
listed on the London Stock Exchange (LSE:IFL). The company and
IFL have signed a Memorandum of Agreement allowing IFL to conduct
exploratory drilling on three mining blocks of the company’s
Rooderand   asset  (“exploration   phase”),  with   the  ultimate
intention for IFL to mine up to 200 000 tonnes of LG6 ore (“the
ore body”) over a twelve month period.

Upon the successful completion of the exploration phase, the
company and IFL will enter into a definitive agreement which will
permit IFL to mine the ore body over a 12 month period for a fee
per tonne payable to Chrometco.


Accordingly, shareholders are advised to exercise caution when
dealing in the company’s securities until the completion of the
exploration phase. An announcement detailing the terms of the
definitive agreement will be released upon signature.

Johannesburg
28 May 2014

Designated Advisor: Sasfin Capital
(A division of Sasfin Bank Limited)

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