KIBO MINING PLC - Kibo Mining Plc Update on Broker and Placement Proceeds

Kibo Mining Plc Update on Broker and Placement Proceeds

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

Dated: 2 March 2018

                              Kibo Mining Plc (‘Kibo’ or the ‘Company’)
                              Update on Broker and Placement Proceeds

Kibo Mining plc (AIM: KIBO; AltX: KBO), the multi-asset Africa-focused energy and resource company,
notes the announcement regarding Beaufort Securities Limited (“BSL”) and Beaufort Asset Clearing
Services Limited (“BACSL”) being placed into insolvency. Additionally, the Company notes that the
Financial Conduct Authority (“FCA”) has also imposed requirements on BSL and BACSL, with
immediate effect, requiring them to cease all regulatory activity.

BSL is the Company’s broker pursuant to AIM Rule 35 and as a result of the requirements imposed by
the FCA BSL is no longer able to provide broking services to the Company pursuant to AIM Rule 35.
The Company is seeking to appoint a replacement as soon as possible and a further announcement
will be provided upon such an appointment.

The Company also notes that, further to the announcement dated 27 February regarding a placement
for gross proceeds of £750,000 (the “Placement”), the application for the Admission to AIM of
17,647,060 ordinary shares in the Company is to be put on hold until further notice as the Placement
was conducted through BSL and to date the Company has not received any of the Placement proceeds.

The Company is however urgently seeking further clarification on the matter, in particular the timeline
for the expected release of the outstanding Placement proceeds to Kibo. An update on this situation
will be provided as soon as more information is available.


                                             **ENDS**

For further information please visit www.kibomining.com or contact:

 Louis Coetzee             louisc@kibomining.com Kibo Mining Plc              Chief Executive Officer
 Andreas Lianos            +27 (0) 83 4408365    River Group                  Corporate Adviser and
                                                                              Designated Adviser on
                                                                              JSE
 Andrew Thomson            +61 8 9480 2500          RFC Ambrian Limited       NOMAD on AIM
 Isabel de Salis / Priit   +44 (0) 20 7236 1177     St Brides Partners Ltd    Investor   and    Media
 Piip                                                                         Relations Adviser

This announcement contains inside information as stipulated under the Market Abuse Regulations
(EU) no. 596/2014 ("MAR").

Notes to editors
Kibo is a multi-asset resource development and energy company with a long-term goal of becoming a
leading power producer in Sub-Saharan Africa. The Company aims to tackle the acute power deficit
which is severely hindering economic development in the region.

Kibo’s flagship asset is the Mbeya Coal to Power Project (‘MCPP’) in Tanzania which comprises of
the development of the Mbeya Coal Mine, a 1.5Mt p/a mining operation and the Mbeya Power Plant, a
300 MW mine-mouth thermal power station.

The Mbeya Coal Mine has a defined 120.8 Mt NI 43 101 thermal coal resource. A Definitive Feasibility
Study has been conducted on the project which underpinned its value and confirmed an initial rate of
return of 69.2%. The 300 MW mouth-of-mine thermal power station has long term scalability with the
potential to become a 1000MW plant. The completed full Power Feasibility Study highlighted an annual
power output target of 1.8 GW based on annual average coal consumption of 1.5 Mt. An Integrated
Bankable Feasibility Study report for the entire project indicated total potential revenues of US$ 7.5-
8.5 billion over an initial 25-year mine life, post tax equity IRR between 21-22%, debt pay-back period
of 11-12 years and a construction period of 36 months.

At the end of 2017 Kibo agreed to acquire 85% of a nearly identical power project in Botswana from
Shumba Energy in an all share transaction. Mabesekwa Coal Independent Power Project (‘MCIPP’)
consists of 300Mt subset of the current in-situ 777 Mt coal resource. Notable synergies between the
projects provide considerable benefits, including economies of scale in equipment, execution, project
finance and strong existing MCPP strategic partnerships. MCIPP already has water and land use
permits and environmental certification in place and Pre-Feasibility Study on the coal mine and a
Scoping Study on the power plant have been completed. The power plant will have a maximum capacity
of 600 MW (4x150MW) and based on a coal delivery rate of 3.2 Mtpa and a Life of Mine of over 30
years.

To assist in the execution of this critical power project of the MCPP, Kibo has assembled an
international team of advisors and partners including Engineering Procurement and Construction
(‘EPC’) contractors and financial teams that are assisting in the advancement and development of the
MCPP. These include ABSA/Barclays as Financial Advisor, China based EPC contractor SEPCO III,
General Electric, Tractebel Engineering (Power), Minxcon Consulting (Mining) and legal advisors
Norton Rose Fulbright.

Johannesburg
02 March 2018
Corporate and Designated Adviser
River Group

Date: 02/03/2018 01:45:00 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.