First Contract Signed for Sales of Blesberg's High-Grade Lithium Ores Direct into China

Marula Mining PLC

 (“Marula’’ or the “Company”)

31 August 2023

First Contract Signed for Sales of Blesberg’s High-Grade Lithium Ores Direct into China

Marula Mining (AQSE: MARU), an African focused mining and development company, is pleased to confirm that it has signed a contract for an initial trial shipment of high-grade lithium ore from the Blesberg Lithium and Tantalum Mine (“Blesberg” or the “Project”) with a Chinese importer and exporter of metalliferous ores.

Highlights

• Agreement signed for an initial sale of 27.5 tonnes of high-grade material processed from the historic stockpiles at Blesberg
• High-grade spodumene ore with specifications of 6% to 6.5% Li2O grade to be sold from Blesberg on a free on board basis from the port of Cape Town and to be shipped to Huangpu in China
• Sales price of US$3,000 per tonne, based on a minimum grade of 6.00% Li2O, which is a premium to the previously executed sales agreements at Blesberg
• The material is to be supplied from the existing stockpiles of processed material at Blesberg
• Arrangements currently being finalised by the Company’s on-site management for the transportation and delivery of the material to Cape Town ahead of shipping to China
• Payment in full of the initial trial shipment will be made upon delivery of the material to Cape Town in accordance with the contract specifications and which is expected to be completed in the next 7 to 14 days   
• This initial trial sales agreement is considered by the Board to potentially pave the way for further direct sales into China of high-grade lithium ores from Blesberg
• The Company is in the process of negotiating termination of the previous offtake agreement with Southern Jade Resources Pty Limited that extended over the first 2,000 tonnes of spodumene material produced from the stockpiles at Blesberg announced on 27 October 2022
• The Company is also in the process of concluding its negotiations with a number of European based global commodity trading groups in respect to a long-term offtake agreement over spodumene and lithium products produced from the stockpiles at Blesberg and from the Company’s broader development plans for the proposed Blesberg open pit mining operations 

Jason Brewer, Marula Mining PLC CEO said:

“Over the past several months there has been interest from multiple Chinese groups in our lithium mining and processing operations at the Blesberg Lithium and Tantalum Mine and this initial shipment of high-grade spodumene allows us to deliver material into that market.

“Whilst this agreement with a Chinese importer and exporter of metalliferous ores has the potential in our view to open up other opportunities in China for Marula, it is important to note that our focus remains firmly on concluding our negotiations on a long-term offtake agreement with one of the several global commodity trading groups for the production of lithium from Blesberg. 

“The negotiations with the global commodity trading groups for an off take agreement are ongoing for all or part of the future production from Blesberg.

“I look forward to updating our shareholders and investors on the progress of this initial shipment and on the finalisation of our long term offtake agreement.”

The Directors of Marula are responsible for the contents of this announcement. This announcement contains inside information for the purposes of UK Market Abuse Regulation.

About Marula Mining

Marula Mining (AQSE: MARU) is an African focused battery metals investment and exploration company and has interests in several high value mine projects in Africa; Blesberg Lithium and Tantalum Mine in South Africa, Nkombwa Hill Project in Zambia and Kinusi Copper Mine, Bagamoyo Graphite Project and Nyorinyori Graphite Project in Tanzania. As we advance operations at these battery metals focused projects, Marula will continue to build and expand its interests in other high-quality projects in Africa.

Marula’s strategy is to identify and invest in advanced and high-value mining projects throughout East, Central and Southern Africa that the Directors believe would deliver returns for its shareholders. The Board and management team aims to establish Marula as a socially and environmentally responsible, sustainable, and profitable producer of critical metals and commodities that are of increasingly strategic importance to modern technologies and the global economy.

Marula’s shares are traded on the AQUIS Stock Exchange (AQSE), Marula is exploring opportunities to admit its shares to trading on AIM, the market operated by the London Stock Exchange Group plc, Kenya’s Nairobi Securities Exchange and South Africa’s Johannesburg Stock Exchange.

For enquiries contact:

Marula Mining PLC Jason Brewer, Chief Executive Officer Faith Kinyanjui Mumbi Investor Relations	Email : [e-mail] Email : [e-mail]
AQSE Corporate Adviser Cairn Financial Advisers LLP, Liam Murray / Ludovico Lazzaretti	[phone]
Broker Peterhouse Capital Limited, Charles Goodfellow / Duncan Vasey	[phone]
Financial PR and IR BlytheRay Tim Blythe / Megan Ray / Said Izagaren	[phone]

Caution;

Certain statements in this announcement, are, or may be deemed to be, forward looking statements. Forward looking statements are identified by their use of terms and phrases such as ''believe'', ''could'', "should" ''envisage'', ''estimate'', ''intend'', ''may'', ''plan'', ''potentially'', "expect", ''will'' or the negative of those, variations or comparable expressions, including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.

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