Update - Bacanora Lithium

Cadence Minerals Plc

("Cadence Minerals", "Cadence" or "the Company")

Bacanora Lithium (AIM:BCN) Update

Bacanora Lithium (AIM:BCN) Cancels Proposed Placing As Discussions Continue With Additional Parties To Secure The Remaining Construction Funding Requirement. 

Cadence Minerals (AIM/NEX: KDNC; OTC: KDNCY) notes the announcement by Bacanora Lithium plc (AIM: BCN) that, due to current volatility in global commodities markets, it has elected not to proceed with its proposed placing to raise gross proceeds of US$100m.

To date, Bacanora has announced equity and debt funding commitments totalling US$240m, which represents 52% of the US$460m required for Stage 1 production of 17,500 tpa of Li2CO3 at Sonora (the "Construction Funding"). These include a US$150m senior debt facility with RK Mine Finance, one of the leading specialist mining lenders, and conditional strategic investments from the State General Reserve Fund of Oman (SGRF), the sovereign wealth fund of the Sultanate of Oman, and from Bacanora's off-take partner, Hanwa, for a combined total of US$90m.

Bacanora will now focus on completing the Front End Engineering Design and remains in discussions with several additional parties with regards to securing the remainder of the Construction Funding, so that it can be in a position to begin construction of the Project once financing is secured.

The full release can be found at: https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/BCN/13723309.html

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Qualified Person

Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information contained in this announcement. Kiran holds a Bachelor of Engineering (Industrial Geology) from the Camborne School of Mines and an MBA (Finance) from CASS Business School.

About Cadence Minerals:

Cadence is dedicated to smart investments for a greener world. The planet needs rechargeable batteries on a global scale - upcoming supersized passenger vehicles, lorries and buses - require lithium and other technology minerals to power their cells. Cadence is helping find these minerals in new places and extracting them in new ways, which will meet the demand of this burgeoning market. With over GBP20 million vested in key assets globally, Cadence is helping us reach tomorrow, today.

Cadence invests across the globe, principally in lithium mining projects. Its primary strategy is taking significant economic stakes in upstream exploration and development assets within strategic metals. We identify assets that have strategic cost advantages that are not replicable, with the aim of achieving lower quartile production costs. The combination of this approach and seeking value opportunities allows us to identify projects capable of achieving high rates of return.

The Cadence board has a blend of mining, commodity investing, fund management and deal structuring knowledge and experience, that is supported by access to key marketing, political and industry contacts. These resources are leveraged not only in our investment decisions but also in continuing support of our investments, whether it be increasing market awareness of an asset, or advising on product mix or path to production. Cadence Mineral's goal is to assist management to rapidly develop the project up the value curve and deliver excellent returns on its investments.