MCM.L Regulatory News (MCM)

17 Mar 2008 07:00

Coal of Africa Limited17 March 2008 ANNOUNCEMENT 17 MARCH 2008 COAL OF AFRICA LIMITED EXERCISE OF OPTION TO ACQUIRE COAL SHARES ('CoAL' or 'the Company') Further to its announcement of 22 January 2008, Coal of Africa Limited (ticker "CZA"), the AIM/ASX/JSE listed coal development company operating in SouthAfrica, advises that Signet Mining Services (Pty) Ltd ("Signet"), throughAfrican Global Capital LP I ("AGC"), has exercised its option to acquire28,528,395 shares, representing 9.59% of the issued share capital of theCompany. The option to acquire the shares formed Tranche 2 of the disposal of shares byagreement between the Company's former directors Nchakha Moloi and NonkqubelaMazwai and the private company owned and controlled by Mr Moloi and Ms Mazwai,Motjoli Resources (Pty) Ltd, collectively to Signet as previously reported. The shares acquired by Signet (via AGC) will be appropriately black empowered indue course, with the final structure currently being negotiated with identifiedBlack Economic Empowerment partners. Upon completion of these negotiations, afurther detailed announcement will be made by the Company. Yours sincerely, SIMON J FARRELL Managing Director For more information contact: Simon Farrell, Managing Director CZA +61 417 985 383 or +61 8 9322 6776 Petronella Gorrie The Event Shop +27 82 827 8815 Jos Simson/ Arabella Hobbs/ Leesa Peters Conduit PR +44(0) 20 7429 6603 Olly Cairns / Romil Patel Blue Oar Securities Plc +61 8 6430 1631 +44(0) 20 7448 4400 About CoAL: Coal of Africa Limited ("CoAL"), formerly GVM Metals Limited, is primarilyfocused on the acquisition, exploration and development of thermal andmetallurgical coal projects. The Company's key projects, along with its leadingmetals processing company NiMag Group (Pty) Ltd are in South Africa. The Companywas incorporated in Western Australia and listed in 1980. Since 2005, theCompany has also listed on both the AIM and JSE markets, allowing further growthin the Company's coal assets. This information is provided by RNS The company news service from the London Stock Exchange