Weatherly International Plc Regulatory News (WTI)

Weatherly International Plc

Berg Aukas Update

Weatherly International plc ('Weatherly' or 'the Company') is pleased to update shareholders on the latest progress in respect of the spin-out of its Berg Aukas lead-zinc asset into China Africa Resources Plc ('CAR') and the listing of CAR on AIM.

CAR was incorporated on 20 August 2010 for the purposes of the transaction. Pursuant to the Implementation Agreement, as entered into and announced on 12 January 2011, UK ECE Weatherly Investment Co. Ltd ("UK ECE"), a wholly owned subsidiary of Jiangsu Eastern China Non Ferrous Metals Investment Holding Company Ltd. ('ECE'), owns 65% of the issued share capital of CAR and Weatherly owns the remaining 35%.

CAR, ECE and Weatherly will work together to develop Berg Aukas in Northern Namibia and to list the shares of CAR on AIM. Hence, the immediate objective of CAR will be to carry out a full feasibility study on Berg Aukas (the "Study") with a view to its completion by the end of 2012, Once completed, the board of CAR (the "CAR Board") will consider the Study and if further development is approved, consider how best to raise the capital to develop the project. Whilst the immediate focus of CAR will be the development of Berg Aukas, the strategy for CAR is to build a profitable and widely based resource business and may include the acquisition of additional assets from Weatherly, ECE or third parties.

 A meeting of the CAR Board was held in Shanghai on 13 May 2011 whereby the CAR Board appointments were finalised. These included the following appointments:

·; Shao Yi (57) was elected Chairman of CAR. Mr. Shao is Chairman of ECE and is a senior economist and holds an EMBA from Nanjing University. He is the Chairman of Globe Metals and Mining Ltd, an ASX listed company. His previous experience includes the Chief Executive Mayor of Suqian City, General Manager of Jiangsu Provincial Transport Industry Group and as a Director of the Jiangsu Economic Planning Committee.

·; Rod Webster was appointed Chief Executive Officer and executive director.

·; John Bryant, the Chairman of Weatherly International Plc remains on the board of CAR as a non-executive director.

Full details of the CAR board appointments are set out in Appendix 1

During the board meeting, the CAR Board agreed its terms of reference and the constitution of its sub-committees and its processes for internal control and management together with all the necessary measures to ensure a high level of corporate governance. The CAR Board also agreed to the appointment of advisers for the listing on AIM.

The process for listing CAR on AIM is well underway. Further announcements on the precise timetable of events and details of the distribution of CAR shares as a dividend to Weatherly shareholders will be made in due course.

Rod Webster said 'This is a really exciting opportunity to launch this important new resources company. We have put in place a strong board with all the necessary complementary skills and the commitment to work together to build a successful company for the benefit of all CAR stakeholders and the wider community. In CAR's early stages of development, Weatherly will be providing management services to the Company. I shall be overseeing the Berg Aukas feasibility study and working with the CAR Board in the consideration of other potential projects and the general corporate development of the company.'

Appendix 1

The appointments of the other directors to the Board of China Africa Resources Plc

James Richards (63) was elected to the Board as the Senior Independent Non-Executive Director. Mr. Richards is a fluent speaker of Chinese and has over 25 years experience in the Diplomatic Service. He now works in industry and is currently Group Director China for De La Rue.

Frank Lewis (65) was elected to the Board as an Independent Non-Executive Director. Mr.Lewis has a wealth of experience at director level in industry in China and Asia. He is a Chartered Accountant with particular interest in Corporate Governance and will chair the Audit Committee.

Jianrong Xu (48) was elected as a Non-Executive Director. Mr Xu is a Director and CEO of ECE with responsibility for major mining projects and outward investment. He holds an EMBA from Nanjing University and a Doctor's Degree in Geophysics. He is also a Director of Globe Metals and Mining Ltd, an ASX listed company.

Shasha Lu (37) was elected as a Non-Executive Director. Ms Lu is a Director of HK East China Non-Ferrous Mineral Resources Co Ltd a wholly owned subsidiary of ECE where she is responsible for coordinating overseas investment. Ms. Lu is also a Director of Arafura Resources Ltd, an ASX listed company in which ECE has a shareholding. Ms Lu is fluent in English.

Jingbin Tian (45) was elected as a Non-Executive Director. Mr.Tian holds a Masters Degree from Nanjing University and LLM from Nottingham University. He is Head of Outward Investment at ECE. He is a Director of Globe Metals and Mining Ltd, an ASX listed company. Mr.Tian is fluent in English.

 For further information, please contact:

Rod Webster, Chief Executive Officer, Weatherly International Plc

+44 (0) 20 7917 2989

Samantha Harrison / Jen Boorer, Ambrian Partners Limited

+44 (0) 20 7634 4700

Carina Corbett, 4C Communications (Investor Relations)

+44 (0) 20 3170 7973