MCM.L Regulatory News (MCM)

Name of entity

MC Mining Limited

ABN

Quarter ended ("current quarter")

98 008 905 388

31 December 2018

1.

Cash flows from operating activities

1.1

Receipts from customers

7,368

16,185

1.2

Payments for

(a) exploration & evaluation

(b) development

-

-

(c) production

(6,368)

(11,845)

(d) staff costs

(1,131)

(3,331)

(e) administration and corporate costs

(2,156)

(3,502)

1.3

Dividends received (see note 3)

-

-

1.4

Interest received

119

236

1.5

Interest and other costs of finance paid

-

-

1.6

Income taxes paid

(324)

(324)

1.7

Research and development refunds

-

-

1.8

Other (provide details if material)

-

-

1.9

Net cash from / (used in) operating activities

(2,492)

(2,581)

2.

Cash flows from investing activities

-

-

2.1

Payments to acquire:

(a) property, plant and equipment

(417)

(5,956)

(b) tenements (see item 10)

-

-

(c) investments

(184)

(250)

(d) other non-current assets

(2,474)

(2,474)

2.2

Proceeds from the disposal of:

-

-

(a) property, plant and equipment

(b) tenements (see item 10)

-

-

(c) investments

784

1,582

(d) other non-current assets

-

-

2.3

Cash flows from loans to other entities

178

1,173

2.4

Dividends received (see note 3)

-

-

2.5

Other (provide details if material)

2.6

Net cash from / (used in) investing activities

(2,113)

(5,925)

3.

Cash flows from financing activities

3.1

Proceeds from issues of shares

-

-

3.2

Proceeds from issue of convertible notes

-

-

3.3

Proceeds from exercise of share options

-

-

3.4

Transaction costs related to issues of shares, convertible notes or options

-

-

3.5

Proceeds from borrowings

-

2,751

3.6

Repayment of borrowings

(104)

(104)

3.7

Transaction costs related to loans and borrowings

-

-

3.8

Dividends paid

-

-

3.9

Other (provide details if material)

(42)

800

3.10

Net cash from / (used in) financing activities

(146)

3,447

4.

Net increase / (decrease) in cash and cash equivalents for the period

4.1

Cash and cash equivalents at beginning of period

10,427

10,912

4.2

Net cash from / (used in) operating activities (item 1.9 above)

(2,492)

(2,581)

4.3

Net cash from / (used in) investing activities (item 2.6 above)

(2,113)

(5,925)

4.4

Net cash from / (used in) financing activities (item 3.10 above)

(146)

3,447

4.5

Effect of movement in exchange rates on cash held

(236)

(413)

4.6

Cash and cash equivalents at end of period

5,440

5,440

5.

Reconciliation of cash and cash equivalents at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts

Current quarter$USD'000

Previous quarter$USD'000

5.1

Bank balances

5,408

10,394

5.2

Call deposits

32

33

5.3

Bank overdrafts

5.4

Other (provide details)

5.5

Cash and cash equivalents at end of quarter (should equal item 4.6 above)

5,440

10,427

6.

Payments to directors of the entity and their associates

Current quarter$USD'000

6.1

Aggregate amount of payments to these parties included in item 1.2

265

6.2

Aggregate amount of cash flow from loans to these parties included in item 2.3

6.3

Include below any explanation necessary to understand the transactions included in items 6.1 and 6.2

Salary payments for the quarter made to Non-Executive and Executive directors.

7.

Payments to related entities of the entity and their associates

Current quarter$USD'000

7.1

Aggregate amount of payments to these parties included in item 1.2

7.2

Aggregate amount of cash flow from loans to these parties included in item 2.3

7.3

Include below any explanation necessary to understand the transactions included in items 7.1 and 7.2

8.

Financing facilities availableAdd notes as necessary for an understanding of the position

Total facility amount at quarter end$USD'000

Amount drawn at quarter end$USD'000

8.1

Loan facilities

8,336

8,336

8.2

Credit standby arrangements

8.3

Other (please specify)

1,389

-

8.4

Include below a description of each facility above, including the lender, interest rate and whether it is secured or unsecured. If any additional facilities have been entered into or are proposed to be entered into after quarter end, include details of those facilities as well.

$USD8.3 million facility of the $USD 16.7 million provided by the Industrial Development Corporation of South Africa to the company's subsidiary is still available for drawdown. The loan is payable on the third anniversary of each advance plus a real after tax rate of return of 16% on the advanced amount .

The $1.4 million facility was secured during the quarter from ABSA Bank Limited. The facility is for short-term working capital requirements and potential expansion opportunities, has a floating coupon at the South African Prime rate (currently 10.25% per annum) plus 1.0%, with the operating mine Uitkomst Colliery debtors ceded as security and is subject to annual review.

9.

Estimated cash outflows for next quarter

$USD'000

9.1

Exploration and evaluation

9.2

Development

(2,467)

9.3

Production

(5,128)

9.4

Staff costs

(876)

9.5

Administration and corporate costs

(1,479)

9.6

Other

(1,029)

9.7

Total estimated cash outflows

(10,979)

10.

Changes in tenements(items 2.1(b) and 2.2(b) above)

Tenement reference and location

Nature of interest

Interest at beginning of quarter

Interest at end of quarter

10.1

Interests in mining tenements and petroleum tenements lapsed, relinquished or reduced

10.2

Interests in mining tenements and petroleum tenements acquired or increased