Investment in Chrome Spiral Circuit Wash Plant and Primary Crushing Circuit Bauba Platinum Limited Incorporated in the Republic of South Africa (Registration number 1986/004649/06) Share code: BAU ISIN: ZAE000145686 (“Bauba” or "the Company") INVESTMENT IN CHROME SPIRAL CIRCUIT WASH PLANT AND PRIMARY CRUSHING CIRCUIT 1. INTRODUCTION The board of directors of Bauba is pleased to announce that the Company has concluded a contract for the design, construction and commission of a chrome spiral circuit wash plant and primary crushing circuit (“Plant”) at Bauba’s Moeijelijk Mine, Limpopo Province, South Africa (“Moeijelijk”) for a total consideration of R18.4 million (“the Investment”). 2. NATURE OF THE PLANT The Plant, which is expected to be commissioned by July 2018, will upgrade Moeijelijk’s current chrome ore run of mine (“ROM”) saleable product into a lumpy and then foundry, chemical and metallurgical grade concentrates. The crushing circuit will have a monthly capacity of 41,000 tonnes (“t”) of chrome ore ROM. Lumpy chrome ore, which also attracts a pricing premium to ROM, will be screened during this crushing process. The spiral wash plant will have a planned monthly feed capacity of 35,000 t. 3. RATIONALE FOR THE INVESTMENT This product diversification will enhance Bauba’s profit margins and diversify its revenue stream into less volatile, premium speciality grade chrome ore products. This Plant allows for increased production when Bauba’s underground mine is at stable production of 30,000 t per month. Stable planned underground production is still on track to be achieved by the first half of Bauba’s 2019 financial year. 4. EFFECTIVE DATE OF THE INVESTMENT The effective date of the Investment is 5 February 2018. 5. PURCHASE CONSIDERATION The purchase consideration of R18.4 million will be settled in cash as follows: - R8.3 million in February 2018; - R2.8 million in March 2018; - R2.8 million in April 2018; - R1.8 million in May 2018; - R0.9 million in June 2018; and - R1.8 million in August 2018. 6. CONDITIONS PRECEDENT There are no conditions precedent to the Investment. 7. FINANCIAL INFORMATION As the Investment is for the development of the Plant, there are no historical net assets, or profits attributable to the net assets, which are the subject of the Investment. 8. CLASSIFICATION OF THE INVESTMENT The Investment is classified as a Category 2 transaction in terms of the Listings Requirements of the JSE Limited. 9. COMMENT FROM THE CHIEF EXECUTIVE OFFICER “Along with the development of our underground mine, the commissioning of this wash plant will further enhance Moeijelijk’s profitability and value.” says Nick van der Hoven, Chief Executive Officer of Bauba. Johannesburg 19 February 2018 Sponsor Merchantec Capital Date: 19/02/2018 08:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.