Premier African Minerals Regulatory News (PREM)

For immediate release

27 March 2017

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED TO CONSTITUTE INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) NO. 596/2014. UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

NOT FOR PUBLICATION, RELEASE OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, THE REPUBLIC OF SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH SUCH PUBLICATION, RELEASE OR DISTRIBUTION WOULD BE PROHIBITED BY ANY APPLICABLE LAW.

Premier African Minerals Limited

 ("Premier" or the "Company")

Successful fundraising of £2 million via PrimaryBid

Premier African Minerals Limited (AIM:PREM), AIM-traded multi-commodity mining and resource development company focused on Southern and Western Africa, announced on 24 March 2017 an underwritten offer to raise approximately £1.5 million (before expenses) at 0.5p per new ordinary share (the "Offer"). The Offer was made exclusively available through PrimaryBid.com.

The Offer received a very strong response from private and institutional investors, and the Offer was oversubscribed. The Offer was on a "first come, first served" basis and was closed early at 12:40 p.m. on 26 March 2017 once a total of £2m had been surpassed and the Offer having already been approximately 34% oversubscribed by that time. The Company is delighted to announce that following excess demand, the aggregate subscription amount of the Offer has been increased. The Company has through the Offer raised gross proceeds of £2,011,396.27.

The Company will therefore issue and allot a total of 402,279,254 ordinary shares at an issue price 0.5p each ("New Ordinary Shares") to satisfy the Offer. The New Ordinary Shares will rank pari passu with the Company's existing ordinary shares and application will be made for the New Ordinary Shares to be admitted to trading on AIM and admission is expected to take place on or around 31 March 2017.

Total Voting Rights

Following the issue of the New Ordinary Shares, the Company will have 4,385,022,019 Ordinary Shares in issue. This figure may be used by the Company's shareholders 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 Financial Conduct Authority's Disclosure Rules and Transparency Rules.

George Roach, Chief Executive Officer of Premier, commented:

"We are very pleased with the support we have received from both existing and new institutional and private investors for this offer via PrimaryBid. This fundraise enables expedited execution of the additional drilling underway at Zulu Lithium and our limestone deposit in Mozambique. When RHA meets the guidance set out in our RNS of 30 January 2017, and a liquidity event occurs at Circum, Premier is unlikely to need further operational funding for any operations at any existing projects in the current calendar year. I am pleased we have been able to offer this opportunity to shareholders on a direct subscription basis and we sincerely thank those who have subscribed."

Enquiries

Beaumont Cornish Limited is acting solely as the Company's Nominated Adviser for the purposes of the AIM Rules and no one else and will not be responsible to anyone other than the Company for providing the protections afforded to its clients or for providing advice in relation to the matters referred to in this announcement and is not acting in respect of the Offer nor providing any advice in relation thereto.

All statements in this announcement other than statements of historical fact are, or may be deemed to be, "forward-looking statements". In some cases, these forward-looking statements may be identified by the use of forward-looking terminology, including the terms "targets", "believes", "estimates", "anticipates", "expects", "intends", "may", "will" or "should" or, in each case, their negative or other variations or comparable terminology. They appear in a number of places throughout the announcement and include statements regarding the intentions, beliefs or current expectations of the Company and/or Directors concerning, among other things, the trading performance, results of operations, financial condition, liquidity, prospects and dividend policy of the Company. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Forward-looking statements are not guarantees of future performance. The Company's actual performance, result of operations, financial condition, liquidity and dividend policy may differ materially from the impression created by the forward-looking statements contained in this announcement. In addition, even if the performance, results of statements contained in this announcement, those results or developments may not be indicative of results or developments in subsequent periods. Important factors that may cause these differences include, but are not limited to, changes in economic conditions generally; changes in interest rates and currency fluctuations; impairments in the value of the Company's assets; legislative/regulatory changes; changes in taxation regimes; the availability and cost of capital for future expenditure; the availability of suitable financing; the ability of the Group to retain and attract suitably experienced personnel and competition within the industry. Prospective investors should specifically consider the factors identified in this announcement which could cause actual results to differ before making an investment decision.

This announcement has been issued by, and is the sole responsibility, of the Company. No representation or warranty express or implied, is or will be made as to, or in relation to, and no responsibility or liability is or will be accepted by Beaumont Cornish Limited or by any of its respective affiliates or agents as to or in relation to, the accuracy or completeness of this announcement or any other written or oral information made available to or publicly available to any interested party or its advisers, and any liability therefore is expressly disclaimed.

Notes to Editor

Premier African Minerals Limited (AIM: PREM) is a multi-commodity mining and natural resource development company focused in Southern and Western Africa with production started at its flagship RHA project in Zimbabwe.

The Company has a diverse portfolio of projects, which include tungsten, rare earth elements, gold, lithium and tantalum in Zimbabwe and Benin, encompassing brownfield projects with near-term production potential to grass-roots exploration. The Company recently acquired a 52% controlling stake in Mozambique-based TCT Industrias Florestais Limitada, which owns a substantial limestone deposit and forestry business located on rail in the Sofala Province of Mozambique. In addition, The Company holds 2 million shares in Circum Minerals Limited ("Circum"), the owners of the Danakil Potash Project in Ethiopia, which has the potential to be a world class asset. At present those shares are valued at US$4 million based on the latest price at which Circum has accepted subscriptions. Premier also has a 4.5% interest in Casa Mining Limited, a privately-owned exploration company that has a 71.25% interest in the 1.2 million ounce inferred resource Akyanga gold deposit in the DRC.

ENDS