Tanzanian Exploration Budgets Approved for Project Developments in 2024

Marula Mining PLC

(“Marula’’ or the “Company”)

 19 January 2024

Tanzanian Exploration Budgets Approved for Project Developments in 2024

Marula Mining (AQSE: MARU), an African focused mining and development company, is pleased to announce that it’s 2024 exploration budgets for the advancement and development of the Company’s Kinusi Copper Mine and Bagamoyo, Nyorinyori and NyoriGreen Graphite Projects all located in Tanzania, have been approved.

The total cost of the exploration budget is forecast to be approx. US$6.38 million ("Exploration Budget”). This is to be part funded through Q Global Commodities (“Q Global”), a major South African commodity, logistics and mining investment group,  with the cost repaid from the funds expected to be received under the subscription agreement announced on 31 January 2023, and from anticipated future free cashflow from its mining and processing activities at Blesberg and the Kinusi Copper Mine.  Commencement of certain activities under the Company’s Exploration Budget will be dependent upon the Company’s application of its forecast free cash flow to progress those activities.

Highlights:

• Board approves US$6.38 million total exploration budget (“Exploration Budget’) for major project development across its Tanzanian mining and exploration projects including the Kinusi Copper Mine and the Bagamoyo, Nyorinyori and NyoriGreen Graphite Projects
• Approval of the Exploration Budget and the associated schedules of exploration and development activities at each of the projects was approved following executive management meetings that took place in Nairobi in Q4 2023 with all key stakeholders and the Company’s independent geological consultants, Geofields Tanzania Limited (“Geofields”)
• Activities to commence in the current quarter across all four of the Company’s copper and graphite projects in Tanzania
• The exploration programs for these projects will be implemented by Geofields, other approved technical consultants and managed by the Company’s recently appointed Head of Exploration in East Africa, Collins Aseto, who will report to the Company’s Chairman, Richard Lloyd, and Chief Executive Officer, Jason Brewer
• Of the total US$6.38 million Exploration Budget, 38% (US$2.44 million) has been allocated to work at the Nyorinyori and NyoriGreen Graphite Projects, 32% (US$2.04 million) at the Kinusi Copper Mine and 30% (US$1.90 million) at the Bagamoyo Graphite Project
• Funding of the Exploration Budget is proposed to be met through up to US$2.5 million of funds under the Company’s existing funding agreement with Q Global and the balance funded from forecast free cashflow from the sale of lithium product from the Blesberg Lithium and Tantalum Mine in South Africa in 2024
• At the Nyorinyori and NyoriGreen Graphite Projects, the US$2.44 million budget has been approved to be applied to meet the costs of the proposed Phase II Program of exploration activities and additional work which will include the following exploration and development activities:
  • Work will focus on  high-grade and jumbo flake graphite mineralisation that has been observed in shallow broad graphite veins at Nyorinyori
  • Additional geological mapping, trenching works and sampling programs
  • Satellite imaging and analysis and electromagnetic geophysics survey
  • Initial 20-hole, 2,000 metre (“m”) resource drilling program
  • Upgrade to site infrastructure, office buildings and access and haulage roads
  • ESG and community-based initiatives
  • Mining studies and mine planning, metallurgical testwork and process flow sheet optimisation
  • Economic and discounted cashflow analysis
• At the Kinusi Copper Mine, the US$2.04 million, will be used to meet the costs of the previously announced Phase II Program of exploration activities and further work which will include amongst other things, the following:
  • Work will focus on the high-grade copper mineralisation at the main Sasimo Prospect
  • LIDAR and airborne geophysics survey
  • Drill access roads and drill pad preparation
  • Initial 12 -hole, 1,500m as part of a larger planned 5,000m resource drilling program aimed at defining a maiden JORC Compliant mineral resource estimate
  • Upgrade to site infrastructure, office buildings, access and haulage roads
  • ESG and community-based initiatives
  • The planned exploration activities will be completed in parallel with the installation and commissioning of the copper processing plant which is on schedule to be completed in early Q1 2024 and coincide with the commencement of larger scale open pit mining activities
• The Bagamoyo Graphite Project has a total budget of US$1.9 million, which will be used to meet the costs of the previously announced phase II program of exploration activities, including optimisation work on the selected mining licenses, additional exploration and development activities including:
  • Work will focus on the high-grade nature of the graphite mineralisation at Bagamoyo and in particular at the Mihuga Prospect
  • Establishment of exploration and office administration facilities
  • Upgrade to site infrastructure, access and haulage roads and general logistics
  • Major trenching program across the Mihuga Prospect
  • Airborne geophysics electromagnetic survey work
  • Initial resource drilling program
  • ESG and community-based initiatives
  • Mine planning and metallurgical studies and economic and discounted cashflow analysis

Jason Brewer, Marula Mining PLC CEO said:

“With the approval of the US$6.38 million exploration budget for our Tanzanian projects, we are committed to accelerating our progress and their development in 2024 so we can deliver on our strategy to return value to our shareholders.

“Following the executive management, key stakeholder and independent geological consultant meetings we had in Nairobi late last year, it was agreed that our exploration work will consist of trenching work, sampling, geological and geophysics surveys and resource definition drilling that will be supported by additional mine planning, metallurgical testwork and processing optimisation studies and financial analysis.

“This broad program of exploration and development work will be overseen and managed by our recently appointed Head of Exploration in East Africa, Collins Aseto, who has over 15 years of experience in mine development and mineral exploration. We anticipate that we will make considerable progress in developing the Nyorinyori, NyoriGreen, Bagamoyo, and Kinusi Projects.

“I am also pleased to share that a portion of our budget has been allocated towards fulfilling our social commitments to the communities near our projects. By improving the roads, upgrading accommodations at the local community girls school and allocating funds to a number of community based initiatives, we are demonstrating that not only are we a battery metals mining and development company based in Africa, but that we are committed to helping to develop the communities in and around the areas in which we operate.

“It is a very exciting and transformative period for our Tanzanian Projects and I look forward to updating shareholders on further developments.”

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; the Blesberg Lithium and Tantalum Mine and Korridor Lithium Project in South Africa, the Kinusi Copper Mine, the Nyorinyori Graphite Project, the NyoriGreen Graphite Project and the Bagamoyo Graphite Project all in Tanzania and the Nkombwa Hill Project in Zambia. 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 the London Stock Exchange plc’s Standard List or AIM Market, 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.

---

---