Armadale Capital Regulatory News (ACP)

Armadale Capital Plc / Index: AIM / Epic: ACP / Sector: Investment Company

30 March 2021

Armadale Capital Plc

('Armadale' or 'the Company')

 ESIA Approval from NEMC of Tanzania

Armadale Capital plc, the AIM quoted investment group focused on natural resource projects in Africa, is pleased to report that the National Environment Management Council ('NEMC') of Tanzania has formally granted approval of the Company's Environmental and Social Impact Assessment ('ESIA') for the production of natural flake graphite from Armadale's 100%-owned Mahenge Graphite Project ('Mahenge Liandu') in south-east Tanzania.

The ESIA is the final necessary step in the Mining Licence application process and now that it has been approved by the NEMC it is now being submitted to the Department of Energy and Minerals to complete the mining licence application process.

Armadale Chairman, Nick Johansen, commented: 

"We are extremely pleased with the formal approval of the ESIA by the Tanzanian National Environment Management Council. An important milestone for Armadale as a company as it is a final essential step prior to being able to be granted the full Mining Licence by the Department of Energy and Minerals.

Armadale has made considerable progress over this past year continually making steps forward in derisking Mahenge Liandu to advance through development towards production at a time where global demand for graphite products is set to rise exponentially especially in spherical graphite manufacturing for the EV market.Our recent successful testwork in both Chinese and Australian labs have demonstrated encouraging results that high purity graphite concentrate from our Project is suitable for the battery anode market.

Armadale management are fully aligned with shareholders and we continue to make progress for all shareholders in driving value by moving through development towards production. A great deal of important work is being carried out in individual workstreams relating to testing, offtake, financing and the detailed design engineering and this will continue throughout 2021. We look forward to updating shareholders across workstreams with regularity throughout the year at a time where there is considerable focus and demand by heigh-quality graphite projects."

Board Changes:

Mr Steve Mahede has resigned from the board of directors of the Company with effect from 31 March 2021. Since joining the board in August 2016 Mr Mahede has made a significant contribution to the Company and has been a key part of advancing Armadale's key asset, the Mahenge Liandu Graphite Project, from an early stage exploration project to an advanced development project. Mr Mahede has made himself available for consultation with the Company over the coming months in order to ensure an orderly transition.

The board is initiating a process to review its composition and consider suitable candidates for the vacancies made recently.

The information communicated in this announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014.

**ENDS**

Notes

Armadale Capital Plc is focused on investing in and developing a portfolio of investments, targeting the natural resources and/or infrastructure sectors in Africa. The Company, led by a team with operational experience and a strong track record in Africa, has a strategy of identifying high growth businesses where it can take an active role in their advancement.

The Company owns the Mahenge Liandu graphite project in south-east Tanzania, which is now its main focus. The Project is located in a highly prospective region with a high-grade JORC compliant Indicated and inferred mineral resource estimate of 59.48Mt @ 9.8% TGC, making it one of the largest high-grade resources in Tanzania, and work to date has demonstrated Mahenge Liandu's potential as a commercially viable deposit with significant tonnage, high-grade coarse flake and near surface mineralisation (implying a low strip ratio) contained within one contiguous ore body.

Other assets Armadale has an interest in, include the Mpokoto Gold project in the Democratic Republic of Congo and a portfolio of quoted investments.

More information can be found on the website www.armadalecapitalplc.com.