Kibo  Mining  plc  (“Kibo”  or  the  “Company”)  announces that  pursuant  to  the  previously announced standby equity distribution agreement (“SEDA”) dated 14 August 2012 between the  Company  and  YA  Global  Master  SPV  Ltd  (“YA  Global”)  the  Company  has  issued 1,067,174 ordinary shares of €0.015 each in the capital of the Company (the “Shares”) at an issue price of 5.073p to YA Global. These Shares are being issued under the terms of a loan and special advance under the SEDA established by aLetter of Agreement dated 2nd April 2013. The Shares have been issued as payment of £54,137.75 to YA Global pursuant to an initial  drawdown  of  £50,000  under  the  SEDA  and  payment  of  £4,137.75  being  the outstanding  balance  of  the  implementation  fee  due  under  the  SEDA.  The  Shares  will  rank pari passu with the Company’s existing issued Ordinary Shares.

Application will be made for the Shares to be admitted to trading on both the AIM and JSE AltX markets with trading in the new Shares expected to commence on AIM on or about 2nd May 2013,

Following  the  issue  of  the  Shares  the  Company’s  total  issued  share  capital  will  be 106,660,143  Ordinary  Shares  of  €0.015  each.  In  accordance  with  the  Financial  Services Authority  Disclosure  and  Transparency  Rules,  the  Company  has  106,660,143  Ordinary Shares of €0.015 each in issue, each share carryingthe right to one vote. The Company does not hold any Ordinary Shares in Treasury.

The  above  figure  of  106,660,143  Ordinary  Shares  may be  used  by  Shareholders  in  the Company 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  share  capital  of  the Company under the Financial Service Authority’s Disclosure and Transparency Rules.

Louis Coetzee, Chief Executive Officer of the company commented:

“Kibo is very pleased with the company’s current cash position and the initial draw-down under the existing SEDA arrangement,  completed  in  early  April  2013,  allowed the  company  to  maintain  a  stable interim cash position in the build up towards the successful placing announced on 24 April 2013”

Louis Coetzee +27 (0)83 2606126 Kibo Mining plc Chief Executive Officer
Andreas Lianos +27 (0)83 4408365 River Group Corporate Adviser and Designated Adviser on JSE
Matthew Johnson +44 (0) 207 9768800 Northland Capital Partners Limited Joint Broker
Jon Belliss +44 (0) 20 3216 2630 XCAP Securities plc Joint Broker
Stuart Laing +61 8 94802500 RFC Corporate Finance Limited Nominated Adviser on AIM
Matt Beale +44 (0)7966 389 196 Fortbridge Public Relations


General Background & Strategy

Kibo  is  a  public  company  registered  in  Ireland  (company  number  451931).  Its  registered office  is  Kibo  Mining  plc,  Suite  3,  One  Earlsfort  Centre,  Lower  Hatch  Street,  Dublin  2, Ireland.  Kibo  was  established  in  early  2008  to  explore  and  develop  mineral  deposits  in Tanzania, East Africa and was admitted to AIM on 27April 2010 and AltX in South Africa on 30 May 2011. The Company suspended itself from AIM during the period 11 May to 14 August 2012 to facilitate two  corporate  acquisitions that significantly increased its mineral assets in Tanzania. It was re-admitted to AIM on 15August 2012 and shareholder approval for the acquisitions was obtained the 6th September 2012 at an EGM.

The  Board  of  Kibo  is  composed  of  professionals  whose  experience  include  mineral exploration,  mine  development,  mining  finance,  tax, law,  mergers  and  acquisitions,  and financial  control  of  public  companies.  It  is  supported  by  a  competent  and  motivated Tanzanian staff that operates from Kibo’s operations office in Dar es Salaam.

The mineral assets of the Company now comprise five projects in Tanzania – Haneti (nickel, PGE and gold), Morogoro (Gold), Lake Victoria (Gold), Rukwa (Coal) and Pinewood (Coal &  Uranium)  which  give  Kibo  access  to  38,000  km2  of  early  stage  exploration  licences  in Tanzania’s  premier  gold  mining  region,  the  Lake  Victoria  Goldfield,  within  the  emerging gold  exploration  regions  in  eastern  Tanzania  and  uranium  &  coal  regions  in  south-western Tanzania.

The  acquisitions  of  Mzuri  Energy  and  Mayborn  have  added  the  advanced  Rukwa  thermal coal  project  and  the  Pinewood  uranium  exploration  project  to  Kibo’s  portfolio  of  mineral projects in Tanzania.

The  Rukwa  and  Pinewood  projects  will  provide  Kibo  shareholders  with  exposure  to  an attractive  portfolio  of  strategic  energy  assets  in  Tanzania.  Importantly,  they  are  situated within  and  close  to  the  Mtwara  Corridor,  an  area  where  the  Tanzanian  Government  has committed to significant infrastructure development and which has seen recent multi-million dollar investment in coal and coal-fired power stations and uranium exploration.

The Rukwa project is substantially more advanced than Kibo’s existing exploration projects, with a significant Mineral Resource of thermal coal already defined that provides the basis for Kibo’s plans to develop a 250-300 MW mouth-of-mine thermal coal plant (the “Rukwa Coal  to  Power”  Project).  This  provides  nearer  term  development  and  commercialisation potential,  complementing  the  earlier  stage  existing projects  held  by  Kibo.  This  is  further supported  by  the  recent  announcements  that  the  Rukwa  Coal  to  Power  project  will  be included as a strategic component of the Tanzanian  Government’s National Energy Strategy and  the  participation  of  Korean  Government  owned  power  company,  Korea  East-West Power,  as  a  strategic  partner  in  the  development.  In  addition,  the  Pinewood  project encompasses a significant ground holding of prospective Karoo sequence sedimentary rocks. These sediments are attracting considerable interest from international companies exploring for uranium and coal mineralisation following some notable discoveries in recent years.

Kibo’s objective is to build shareholder value in a sustainable manner. This objective will be pursued primarily through active exploration of its own projects and by using the Company’s experience  in  Tanzania  to  acquire  attractive  exploration  and  development  assets  on competitive terms that can be moved swiftly up the value curve by using the company’s own skills  base  whilst  also  seeking  to  benefit  from  strategic  collaborative  relationships  with industry leaders who have special skills and competencies within their chosen fields of focus. Kibo  will  undertake  continual  risk  assessment  of  its  projects  and  take  whatever  actions  it believes are necessary to ensure that these risks are mitigated.

26 April 2013
Corporate and Designated Adviser
River group


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