KIBO MINING PLC - Kibo Mining Agrees Unsecured, Interest Free Loan Facility of 1, 500,000 Ensuring Adequate Funding Security

Kibo Mining Agrees Unsecured, Interest Free  Loan Facility of  £1, 500,000 Ensuring Adequate Funding Security

Kibo Mining Plc 
(Incorporated in Ireland)
(Registration Number: 451931)
(External registration number: 2011/007371/10)
Share code on the JSE Limited: 
KBOShare code on the AIM: KIBO
ISIN:IE00B97C0C31
("Kibo" or "the Company")


02 March 2016


Kibo Mining Agrees Unsecured, Interest Free  Loan Facility of  £1, 500,000 Ensuring Adequate 
Funding Security In The Medium Term 



Kibo Mining plc ("Kibo" or the "Company") (AIM: KIBO; AltX: KBO), the Tanzania focused 
mineral exploration and development Company is pleased to announce it has today entered into a 
loan facility (the "Facility") with Sanderson Capital Partners Limited ("Sanderson") for an 
amount up to £1,500,000 to be utilised by Kibo, at its sole discretion and election, for 
contingency funding, during the term of the Facility. 

The Facility comprises the following:

*An unsecured, interest free, fixed term loan due for repayment no later than 31 August 
2016; 
*The loan can be drawn down in five £300,000 tranches no less than 40 days apart, with 
tranches three, four and five subject to successfully achieving certain specified project 
deliverables;
*A fee of up 7 million Ordinary Shares in Kibo, capped by a maximum value of 
£350,000 associated with the arrangement and implementation of the Facility, will 
become payable if the Facility is utilised (the "Arrangement Fee"); 
*The Arrangement Fee will be payable on the day the Facility is activated by Kibo; 
*In addition to the Arrangement Fee, a drawdown fee of £51,000 is payable to Sanderson 
in respect of each of the five £300,000 drawdown tranches;
*Each drawdown fee will be payable in 1,186,046 Ordinary Shares in Kibo, subject to 
certain share price limits, on or before any particular drawdown date;
*At the completion of the term of the loan, Kibo will have the option to settle the first 
£750,000 of the monies borrowed in either cash or Ordinary Shares in Kibo;
*Should Kibo be unable to settle the second £750,000 of monies borrowed in cash it will 
have the option to settle this portion in Ordinary Shares in Kibo; and
*In the event where the loan or any part thereof is settled in shares, the price at which 
such Ordinary Shares will be issued will be the 30 day VWAP for Kibo Ordinary Shares 
that traded during the 30 days preceding the settlement date.  

Additional to the fees payable to Sanderson in the event of utilising the Facility, Kibo is also 
obliged to pay a 5% corporate advisory fee to the Company's broker, Beaufort Securities 
Limited. The amount off £75,000 will be payable in Ordinary Shares in Kibo at the same time 
as the Arrangement Fee becomes due and will be issued at a price equal to the prevailing 
market price for Kibo Ordinary Shares.

Louis Coetzee, CEO of Kibo Mining commented today: "The MCPP is progressing at an 
expeditious pace. We are now only a few months away from expected completion of the Definitive 
Feasibility Studies for both the mining and power elements of the MCPP and at an advanced 
stage with the MCPP commercial arrangements and agreements. Notably, Kibo has also retained 
100% ownership of the MCPP and has cultivated growing support and interest from the 
Tanzanian Government and other strategic stakeholders.  

Sustaining and maintaining this momentum is crucial to successfully expediting the completion of 
the final MCPP development phase, with funding certainty and stability over the next six months a 
key factor in this.  To this end, Kibo has secured a funding instrument for the Company that:

*Provides adequate funding security in the medium term while retaining the flexibility to 
freely investigate additional or substitute funding alternatives;
*Is considered to be competitive vis a vis other funding options currently on offer and 
accessible to Kibo, given the prevailing market conditions;
*Provides the transparency and flexibility for the Company to effectively manage its cash 
position upon repayment of the Loan facility; and
*Does not incorporate hidden, cumulative or progressive cost elements.

With this funding in place, we can focus our attention on an exciting six months ahead to prove 
and deliver the MCPP as a project with solid, robust bankable credentials." 

Contacts

Louis Coetzee
+27 (0) 83 2606126
Kibo Mining plc
Chief Executive Officer
Andreas Lianos
+27 (0) 83 4408365
River Group
Corporate Adviser and 
Designated Adviser on JSE
Jon Belliss
+44 (0) 207 382 8300
Beaufort 
Securities Limited
Broker
Oliver Morse
+61 8 9480 2500
RFC Ambrian 
Limited
Nominated Adviser on AIM
Daniel Thšle / Anna Legge
+44 (0) 203 772 2500
Bell Pottinger
Investor and Media Relations

Kibo Mining - Notes to editors 
Kibo Mining is listed on the AIM market in London and the AltX in Johannesburg. The 
Company is focused on exploration and development of mineral projects in Tanzania, and 
controls one of Tanzania's largest mineral right portfolios. Tanzania provides a secure and stable 
operating environment for the mineral resource industry and Kibo Mining therein.
 
Kibo Mining holds a thermal coal deposit at Rukwa, which has a significant JORC compliant 
defined resource (See Table 1 below), and is developing a 250-350MW mouth-of-mine thermal 
power station, the Mbeya Coal to Power Project ("MCPP"), previously called Rukwa Coal to 
Power Project ("RCPP"), with an established management team that includes Standard Bank as 
Financial Advisor.  Kibo is undertaking a Coal Mining Definitive Feasibility Study and a Power 
Pre-Feasibility Study for the Mbeya project with an integrated Coal-Power interim study report 
to be released in the near term. On 20th April 2015, Kibo signed a Joint Development Agreement 
for the completion of the Definitive Feasibility Studies and development of the MCPP with 
China based EPC contractor SEPCO III.

The Company also has extensive gold focused interests including Lake Victoria Goldfields and 
Morogoro projects. At Lake Victoria, the Company has projects with a 550,000oz JORC 
compliant gold Mineral Resource at Imweru Project (See Table 2 below) and a 168,000oz NI 
43-101 compliant gold Mineral Resource at the Lubando Project (See Table 3 below) in which 
the Company holds a 90% attributable interest. The Company is currently undertaking a 
Definitive Feasibility Study on its Imweru Project.

Kibo also holds the Haneti Project on which the latest technical report confirms prospectivity for 
nickel, PGMs, gold and strategic metals including lithium. 

Kibo Mining further holds the Pinewood (coal & uranium) project where the company has 
entered into a 50/50 Exploration Joint Venture with Metal Tiger plc.

Finally, the Company also holds the Morogoro (gold) project where the company has also 
entered into a 50/50 Exploration Joint Venture with Metal Tiger plc.

The Company's projects are located in the established and gold prolific Lake Victoria 
Goldfields, the emerging goldfields of eastern Tanzania and the Mtwara Corridor in southern 
Tanzania where the Government has prioritised infrastructural development attracting 
significant recent investment in coal and uranium. The Company has a positive working 
relationship with the Tanzanian government at local, regional and national levels and works hard 
to maintain positive relationships with all communities where company interests are held.  The 
Company recognises the potential to enhance the quality of life and opportunity for Tanzanian 
citizens through careful development of its projects.

Updates on the Company's activities are regularly posted on its website www.kibomining.com 

Johannesburg
02 March 2016
Corporate and Designated Adviser
River Group




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