Cadence Mineral Regulatory News (KDNC)

Cadence Minerals Plc

("Cadence Minerals", "Cadence" or "the Company")

Macarthur Minerals (TSX-V: MMS) Files Technical Report for Lake Giles Iron Ore Project

Cadence holds approximately 9.8% of the issued equity interest in Macarthur, which is an Australian mining exploration company focused primarily on iron ore, nickel, lithium and gold in Western Australia. It also has a lithium project in Nevada, USA.

Macarthur Announcement. PEA Highlights

The key financial outcomes are summarised below:

· Project after-tax real Net Present Value ("NPV") of US$375 million at an 8% discount rate, based on a discounted cash flow model with:

o a project life of 31 years with saleable product of 2.5 to 3.4 million tonnes per annum ("Mtpa")

o total sales of 83 million tonnes; and

· Total Life of Mine ("LOM") free cash flow of US$1,465m.

· Total direct operating costs (excluding royalties) are estimated at US$3.1 billion (rounded).

· Total project costs (direct and indirect operating costs, capital spend including contingency, rehabilitation and sustaining capital) are estimated at US$4.5 billion (rounded).

· The project is potentially highly profitable with a discounted payback (based on NPV) in 3 years.

· Average operating costs of US$37.62 including US$31.30/t Free on Board ("FOB") for hematite and US$37.43/t FOB for magnetite.

· Total revenue estimated at US$6.8 billion (rounded).

· Total capital cost estimated at US$326 million including contingency of US$44 million.

· Rehabilitation costs of US$38 million and sustaining capital expense over LOM of US$54 million.

Note: The outcomes of the economic assessment is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the preliminary economic assessment will be realised.

Revised Project Strategy

In February 2011, Macarthur released its Preliminary Economic Assessment ("2011 PEA") for the Moonshine Magnetite Project for the production of 10 Mtpa of high-grade magnetite concentrate (press release dated February 7, 2011). The 2011 PEA outlined several logistical and port scenarios including slurry transport 110 km to a dewatering plant and rail siding south of the town of Menzies.

Similarly, in September 2012, Macarthur released its Prefeasibility Study ("2012 PFS") (press release dated August 16, 20122) for the Ularring Hematite Project, which focused on mining 2 million tonnes per annum ("Mtpa") of hematite/goethite iron ore. The 2012 PFS outlined a wet beneficiation process that would produce a +60% Fe sinter fines product.

Since the release of those studies, the iron ore market has undergone a dramatic shift where low grade iron ore

In response, Macarthur has revised its strategy to align the Projects with the robust current and forecast market conditions, capital markets and available capacity of regional infrastructure. The major impediment to development of the Moonshine Magnetite Project envisaged by the 2011 PEA, was the substantial capital cost and access to export capacity at the Port of Esperance. The revised project strategy targets an initial production rate of 3 Mtpa of high grade, low impurity concentrate, along with streamlined project infrastructure, significantly reducing capital cost.

For further information:

Qualified Person

Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information contained in this announcement. Kiran holds a Bachelor of Engineering (Industrial Geology) from the Camborne School of Mines and an MBA (Finance) from CASS Business School.

Forward-Looking Statements:

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'' ''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. Many factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions competition environmental and other regulatory changes actions by governmental authorities the availability of capital markets reliance on key personnel uninsured and underinsured losses and other factors many of which are beyond the control of the Company. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. The Company cannot assure investors that actual results will be consistent with such forward-looking statements.