Bushveld Minerals Regulatory News (BMN)

Bushveld Minerals Limited

("Bushveld" or the "Company")

Greenhills completes the Uis tin project acquisition

Bushveld Minerals Limited (AIM: BMN), the vanadium producing company with a diversified projects portfolio of tin and coal assets in Southern Africa, is pleased to announce that, further to the announcement made on 4 April 2017, all the conditions precedent to the Sale of Shares and Claims Agreement (the "SSCA") entered into to by the Company's wholly owned subsidiary Greenhills Resources Limited ("Greenhills") to acquire a 49.5% interest in Dawnmin Africa Investments Limited ("Dawnmin") from a consortium of Namibian shareholders (the "Sellers") (the "Acquisition"), have now been fulfilled and accordingly the Acquisition has completed.

Dawnmin's interest in the Uis tin project (the "Project") is held through its 85% shareholding of Guinea Fowl Investments 27 (Proprietary) Limited ("Guinea Fowl"). The remaining 15% shareholding in Guinea Fowl is held by the Small Miners of Uis, a Namibian Government entity.

In accordance with the terms of the SSCA, 41 million ordinary shares of 1 pence each in Bushveld ("Consideration Shares") have been issued to the Sellers. It is expected these shares will be admitted to trading on AIM by 21 June 2017.

Under the terms of the Acquisition:

· The Consideration Shares are subject to a six months trading encumbrance and / or sale restriction from the date of issue;

· Erongo, the majority shareholder in Dawnmin, will spend up to A$2.0 million (two million Australian Dollars) to complete a scoping study at the project, including the acquisition of processing equipment where deemed appropriate by the board of Bushveld and Technical team of Dawnmin, which will be comprised of representatives from Bushveld and Erongo;

· Greenhills is granted an ever-green option to acquire a controlling interest in Dawnmin through the acquisition of an additional 1% interest in Dawnmin for a total consideration of US$1.2 million, plus a further option to earn an additional 20% in Dawnmin following Erongo's completion of the scoping study, as follows;

o An additional 10% shareholding in Dawnmin in return for providing funding of up to US$1 million to take the Project to pre-feasibility stage; and

o A further 10% shareholding in Dawnmin in return for providing an additional up to US$1 million to deliver a bankable feasibility study;

· Greenhills has appointed two directors to the boards of Dawnmin and Guinea Fowl to sit alongside the two Erongo-nominated directors;

· No regulatory approvals were required from the Namibian Minister of Mines for the acquisition.

Background to the Uis Tin Project

The Uis Tin Project is one of the largest undeveloped opencast hard rock tin deposits in the world and has a history of significant tin mining and an estimated 70.3Mt non-JORC resource at 0.14% Sn for a total potential resource of over 90kt of contained tin.

· Due diligence confirms large well developed pegmatite ore body with 0.3% Sn commonly found in greisenised zones, estimated to host approximately 20,000 tons of tin;

· Intent to confirm JORC compliant resource, advance feasibility studies, while simultaneously refurbishing an old existing plant for a 10tph pilot scale production of tin concentrate, with a view to scale up targeting the identified high grade zones

The Project is located in the Erongo Region of Namibia and comprises three mining licenses, ML 134, ML 129 (B1 and C1) and ML 133. Historic work confirmed a significant tin resource on all three licenses, the most significant of which is the ML 134 resource estimated at 70.3Mt at 0.14% Sn for a total potential resource of over 90kt of contained tin.

Following due diligence work recently completed, the Company has identified significant high grade zones that it recommends form the basis for early production with pilot scale production, at the existing plant which is currently being refurbished by Erongo, targeted for the second half of 2017. Further information regarding the project, its history and resources is set out in the Company's 4 April 2017 RNS.

Greenhills, Bushveld's tin platform, was established to develop a pan-African portfolio of tin assets with a near term production profile. The Company continues to advance its stated strategy to build a critical mass of tin resources with a near term production profile, to advance the projects towards production and to establish Greenhills as a standalone tin platform offering exposure to a pan-African tin portfolio to investors. Options for listing Greenhills as a stand-alone platform are currently being considered by the Company. These are however, at an early stage and updates in this regard will be provided if and when appropriate.

Admission to AIM Total Voting Rights

Application will be made for admission of the Consideration Shares to trading on AIM ("Admission") and it is expected that Admission will take place and that trading will commence on AIM at 8.00 a.m. on 21 June 2017.

Following Admission, there will be a total of 806,515,471 Ordinary Shares in issue, 670,000 of which are held in treasury. Shareholders should use the figure of 805,845,471 as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company, under the FCA's Disclosure and Transparency Rules.

Fortune Mojapelo, CEO of Bushveld Minerals Limited, commented, "The completion of the Uis tin project acquisition by Greenhills is a very significant step in delivering our strategy of establishing Greenhills as an attractive standalone platform, with options for listing Greenhills currently being considered by the Company. We will continue to build a critical mass of tin resources in Greenhills offering exposure to a pan-African tin portfolio with a near term production profile.

"We look forward to providing further updates as appropriate."

The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulations (EU) No. 596/2014.

Enquiries: info@bushveldminerals.com

Bushveld Minerals Limited

Fortune Mojapelo +27 (0) 11 268 6555

Strand Hanson Limited (Nominated Adviser)

Andrew Emmott / Ritchie Balmer +44 (0) 20 7409 3494

Beaufort Securities (Joint broker)

Jon Bellis +44 (0) 20 7382 8300

SP Angel Corporate Finance (Joint broker)

Ewan Leggat +44 (0) 20 3470 0470

Blytheweigh (Public Relations)

Tim Blythe / Camila Horsfall +44 (0) 20 7138 3204

Gabriella von llle +27 (0) 711 121 907

ABOUT BUSHVELD MINERALS LIMITED

Bushveld Minerals is a diversified AIM listed mineral development company with a portfolio of vanadium, iron ore, tin and coal greenfield assets in Southern Africa and Madagascar. The Company's flagship platform, the vanadium platform, includes the Mokopane Vanadium Project, the Brits Vanadium Project, and the Bushveld Iron Ore & Titanium Project. The tin platform comprises the Mokopane Tin Project whereas the Imaloto Coal Project, which is being developed as one of Madagascar's leading independent power producers, makes up the Company's coal platform.

The Company's vision is to become the largest low cost integrated primary vanadium producer through owned low-cost high-grade assets. This incorporates development and promotion of the role of vanadium in the growing global energy storage market through Bushveld Energy, the Company's energy storage solutions provider. Whilst the demand for vanadium remains largely anchored in a slow growing steel industry, Bushveld Minerals believes there is a strong potential for imminent significant global vanadium demand surge from the fast-growing energy storage market, particularly through the use and adoption of Vanadium Redox Flow Batteries.

Bushveld Minerals' approach to project development recognises that whilst attractive project economics are imperative, they are insufficient to secure capital to bring them to account. A clear path to production with a visible timeframe, low capex requirements and scalability are important factors in retaining an attractive exit option. This philosophy is core to the Company's strategy in developing projects. Detailed information on the Company and progress to date can be accessed on the website: www.bushveldminerals.com