Operational Update

Bushveld Minerals Ltd

("Bushveld" or the "Company")

Operational Update

Flotation Test Work on the Phosphate Mineralisation Associated with the PQ Zone deposit

Bushveld Minerals Limited (AIM: BMN), a mineral development company with a portfolio of vanadium and titanium bearing iron ore and tin assets in Southern Africa, is pleased to provide an update on testing of beneficiation of the phosphate mineralisation associated with the P-Q Zone deposit in Limpopo Province, South Africa. 

Following on the positive results of the initial scouting tests (announced on 12 February 2014) on the phosphate mineralisation associated with the P-Q Zone deposit, the Company has completed follow up flotation test work which demonstrate improved recoveries and the scope for production of a premium P2O5 concentrate.

Highlights:

· Concentrate grades improved from 33.25% P2O5 to 37.86% P2O5

· Improvement in recovery from 42.06% to 53.33%

· Excellent concentrate grade capable of commanding a premium market price

· Opportunities for further recovery increases

Fortune Mojapelo, CEO of Bushveld Minerals, said: "The flotation test work on the phosphate mineralisation within the hanging wall of the P-Q Zone helps us to identify options to monetise the resource and improve the economics of the overall project. We are also pleased to see recoveries exceeding 50% and a premium 37.86% P2O5 concentrate grade in this test work, which bode well for the resource modelling already underway.

"We are now focused on the next steps for this potential resource, which was treated as waste in the scoping study of April 2013. These include ensuring that the mineralisation is robust enough to be modelled into a JORC resource, of which we remain confident, proving that the resource can be beneficiated into a saleable product with sufficient recoveries and determining that the overall economics of the project are positive."

BENEFICIATION OF PHOSPHATE MINERALISATION IN THE P-Q ZONE HANGING WALL

Elevated phosphate (P2O5) values are known to occur in the immediate hanging wall to the P-Q Zone deposit. Initial scouting tests on the flotation of this phosphate (which occurs in the mineral apatite) have shown that saleable concentrate grades of 33.25% P2O5 can be achieved (announced on 12 February 2014). Recently completed follow-up flotation test work has shown that these grades can be further improved. Grades of 36-39% P2O5 can be achieved, with overall recoveries of 53.33%.

· The processing route involved magnetic separation of the milled ore, which results in an increase in the head grade from 3.81% P2O5 to 5.74% P2O5 through removal of magnetite. Apatite recovery for this stage is 78.34%

· The 5.74% P2O5 material was then subject to three-stage flotation (rougher, cleaner and recleaner). This results in apatite concentrates with grades ranging from 35.90% P2O5 to 39.20% P2O5. The recovery for this stage is 68.08%

· The overall recovery for the process is therefore 53.33%

The concentrate grades averaging 37.86% P2O5 show that premium phosphate concentrate can be produced from the ore. Concentrate grades over 33% are expected to fetch a premium market price. Further optimisations will be tested to improve the recovery numbers. These include removal of the magnetic separation stage and lengthening of the flotation stages.

Enquiries: info@bushveldminerals.com

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Notes to the editor

Bushveld Minerals Limited is a mineral development company with a portfolio of vanadium-and titanium bearing iron ore and tin assets in Southern Africa. The Company owns the Bushveld Iron Ore Project and Mokopane Tin Project, both located on the northern limb of the Bushveld Complex, South Africa. In addition, Bushveld has a controlling 52.22% interest in Lemur Resources (ASX: LMR), which owns the Imaloto coal project in Madagascar.

Bushveld was admitted to the AIM Market of the London Stock Exchange in March 2012.