Update on Vametco Financing

Bushveld Minerals Ltd

("Bushveld" or the "Company")

Update on Vametco Financing - Repayment of Barak Financing

Bushveld Minerals Limited (AIM: BMN), the vanadium producing company with a diversified projects portfolio of tin and coal assets in Southern Africa, today provides the following update on the financing agreements (the "Agreements"), in support of the acquisition by Bushveld Vametco Limited ("BVL") from Evraz Group S.A ("Evraz") of a 78.8% shareholding interest in Strategic Minerals Corporation ("SMC") (the "Acquisition"), with Barak Fund SPC Limited ("Barak") (the "Barak Financing"). As announced on 30th March 2017, the Barak Financing comprised a bridge loan facility of up to US$11 million ("Bridge Loan"), repayable within two months of drawdown.

Further to this announcement, BVL has agreed with Barak to restructure the Bridge Loan. Under the new terms, repayment of all outstanding principal, interest and fees has been extended to 30 June 2017, with 80% of the Bridge Loan principal (i.e. US$8.8 million) due for repayment by 31 May 2017 and the balance by 30 June 2017.

The Company is pleased to advise that following this restructuring BVL has repaid the US$8.8 million by the 31st May 2017 as required and an additional US$1.2 million on 2 June 2017, to bring the total repayment of the Bridge Loan to US$10.0 million.

As of 2 June 2017, the balance therefore that is outstanding to Barak, and payable by 30 June 2017, is US$1.0 million plus fees and interest, as previously disclosed. The Company remains confident of settling these final payments from internal cash flows without recourse to equity capital raises, as previously announced.

Post the end of June, BVL will only have the US$3.0 million Wogen Resources Limited Prepayment Facility ("Wogen Facility") left in place as external debt. BVL expects to repay the Wogen Facility over a 15 month period prior to the end of 2018 out of operating cash flows.

Fortune Mojapelo, CEO of Bushveld Minerals Limited, commented, "We are delighted with the progress we have made in settling the Bridge Loan which formed an essential aspect of concluding the Vametco transaction and enabled us to avoid unnecessary dilution for our shareholders. Acquiring SMC for less than 10% of its replacement cost, through a highly leveraged acquisition model and repaying 70% of the debt within 2 months of the acquisition is not a small achievement.

"We are grateful to the Barak team for their support and flexibility in working with us on this important financing.

"Of course, the real story is our strategy going forward for the Vametco asset and particularly its contribution to our ongoing efforts of building a deeply integrated vanadium platform."

The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulations (EU) No. 596/2014.

Enquiries: info@bushveldminerals.com

Bushveld Minerals Limited

Fortune Mojapelo +27 (0) 11 268 6555

Strand Hanson Limited (Nominated Adviser)

Andrew Emmott / Ritchie Balmer +44 (0) 20 7409 3494

Beaufort Securities (Joint broker)

Jon Bellis +44 (0) 20 7382 8300

SP Angel Corporate Finance (Joint broker)

Ewan Leggat +44 (0) 20 3470 0470

Blytheweigh (Public Relations)

Tim Blythe / Camila Horsfall +44 (0) 20 7138 3204

Gabriella von llle +27 (0) 711 121 907

ABOUT BUSHVELD MINERALS LIMITED

Bushveld Minerals is a diversified AIM listed mineral development company with a portfolio of vanadium, iron ore, tin and coal greenfield assets in Southern Africa and Madagascar. The Company's flagship platform, the vanadium platform, includes the Mokopane Vanadium Project, the Brits Vanadium Project, and the Bushveld Iron Ore & Titanium Project. The tin platform comprises the Mokopane Tin Project whereas the Imaloto Coal Project, which is being developed as one of Madagascar's leading independent power producers, makes up the Company's coal platform.

The Company's vision is to become the largest low cost integrated primary vanadium producer through owned low-cost high-grade assets. This incorporates development and promotion of the role of vanadium in the growing global energy storage market through Bushveld Energy, the Company's energy storage solutions provider. Whilst the demand for vanadium remains largely anchored in a slow growing steel industry, Bushveld Minerals believes there is a strong potential for imminent significant global vanadium demand surge from the fast-growing energy storage market, particularly through the use and adoption of Vanadium Redox Flow Batteries.

Bushveld Minerals' approach to project development recognises that whilst attractive project economics are imperative, they are insufficient to secure capital to bring them to account. A clear path to production with a visible timeframe, low capex requirements and scalability are important factors in retaining an attractive exit option. This philosophy is core to the Company's strategy in developing projects. Detailed information on the Company and progress to date can be accessed on the website: www.bushveldminerals.com