Marula Mining PLC - Kinusi Copper Mine Update on Initial Copper Sales

14 January 2025

Marula Mining PLC

("Marula Mining'' or the "Company")

Kinusi Copper Mine Update on Initial Copper Sales

Marula Mining (AQSE: MARU A2X: MARU), an African-focused mining and development company, provides an update on ongoing developments at the Kinusi Copper Mine ("Kinusi") in the Mpwapwa District of Tanzania's Dodoma Region.

Further to the announcement on 19 November 2024 in relation to initial copper ore trial shipments and sales, the Company is advancing initial sales of an aggregate maximum amount of 1,000t to four Swiss and UK based global commodity trading groups. Due to delays, these sales are expected to be completed by 31 January 2025.

Delay in initial sales as previously announced, follows longer than expected timeframes in receiving the metallurgical testwork and metallurgical assay results from South African laboratories and from the Company's metallurgical consultants over the Christmas and New Year period. The results of the three 10-kilogram ("kg") copper ore samples are now nearing completion and are expected by 31 January 2025.

As announced 19 November 2024, the two-phase development of Kinusi comprises initially of a Phase 1, gravity concentrate, coarse jigging and fines dewatering circuit anticipated to produce 24,000 tonnes per annum ("tpa") of high-grade copper concentrate.  Phase 2 will then incorporate a hydrometallurgy fines optimised heap leaching circuit, a copper solvent extraction as well as electrowinning refining process to produce an initial 10,200 tpa of copper cathode.

The testwork and metallurgical assay results were to be used to finalise the copper concentrate product specifications in the initial sales agreements and to optimise the design of the Phase 1 and Phase 2 processing plant. The initial feedback from the Company's metallurgical consultant on the hydrometallurgy chemistry test work, copper leach kinetic tests, heap leaching polymer screening and column tests that have been completed to date is very positive. The initial results indicate that the metallurgical performance of the sampled material has exceeded expectations, with leach rates, recoveries and other key metallurgical testwork criteria outperforming industry accepted levels of good performance. An update on the full metallurgical testwork results will be provided in due course, once assay results are received.

The Company's local partner, Takela Mining Tanzania Limited, continues open-pit mining activities at the No. 4 Open Pit Mine, with stockpiled high-grade copper ore ready for sale. Budgetary and planning meetings held in Nairobi have recently been completed and mining and processing activities are expected to intensify at Kinusi in the current quarter as the Company seeks to complete the awarding and commissioning of the Phase 1 gravity concentrate, coarse jigging and fines dewatering circuit on site.

In parallel with this work, the Company's newly appointed trading and commodity sales consultant, Mr. Richard Hawken, is managing the final negotiations of these initial sales contracts and involved in ongoing discussions with various sales parties. He is advising the Board on the final commercial terms of these agreements and also on the broader and longer terms sales strategy for Kinusi.

The Company's CEO Jason Brewer has recently returned from South Africa, where meetings with representatives of a number of these the offtake groups were held and discussions are ongoing regarding the longer-term offtake agreements and the inclusion of associated prepayments, copper prepayments and debt funding structures.

Jason Brewer, CEO of Marula Mining, said:

"We are encouraged by the progress at the Kinusi Copper Mine and the significant interest from global trading groups in our high-grade copper ore. Despite initial delays in receiving assay results, we remain confident in finalising these initial sales this month and developing of Kinusi.

"Our focus is on securing strategic offtake agreements and non-dilutive funding structures at Kinusi. We look forward to delivering further updates as we advance these critical milestones.

"The metallurgical testwork results are due later this month and the initial feedback on the results and the performance of the Kinusi material is encouraging and reinforces our expectations on what we are expecting from this mining operation in 2025."

The Directors of Marula Mining 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 A2X: MAR) is an African focused battery metals investment and exploration company and has interests in several high value mining operations and mine development projects in Africa: the Blesberg Lithium and Tantalum Mine, Northern Cape Lithium and Tungsten Project and Kruisrivier Cobalt Mine, all in South Africa; the Larisoro Manganese Mine and Kilifi Manganese Processing Operation both in Kenya; the Kinusi Copper Mine, the Nyorinyori Graphite Project and the NyoriGreen Graphite Project all 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 AQUIS Stock Exchange (AQSE) in London and A2X Markets in South Africa. Marula is exploring opportunities to admit its shares to trading on Kenya's Nairobi Securities Exchange and South Africa's Johannesburg Stock Exchange.

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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.