AKANANI PROJECT

A Lonmin's preliminary evaluation suggests that the current resource could support an initial mine development producing around 500,000 ounces of PGMs per annum including around 250,000 ounces of Platinum. Attributable capital expenditure for mine, concentrator and infrastructure development is estimated at US$600-700 million. A pre-feasibility study, commissioned by AfriOre and undertaken by consultant engineers SRK, is due shortly. This will provide the groundwork for a full feasibility study, a mining licence application and mine development. In addition, in-fill drilling will be undertaken to improve the level of confidence in the current resource base while exploration drilling will examine the potential of the centre and north of the Akanani lease area.

Results for holes ZF37, ZF38, ZF39 and ZF40 support the continuity of wide and high-grade mineralization for the P2 unit of the Platreef within the southern priority area (SPA) at Akanani. Highlights for these holes include: 16.72 metres of 4.66 grams per tonne 3PGM+Au (grams of platinum, palladium, rhodium plus gold per tonne) and 0.27 per cent nickel, including 6.89 metres of 6.24 grams per tonne 3PGM+Au and 0.32 per cent nickel in drill hole ZF37; 14.18 metres of 4.63 grams per tonne 3PGM+Au and 0.22 per cent nickel, including 6.00 metres of 7.61 grams per tonne 3PGM+Au and 0.27 per cent nickel in drill hole ZF38; 44.54 metres of 4.41 grams per tonne 3PGM+Au, and 0.39 per cent nickel, including 20.33 metres of 5.26 grams per tonne 3PGM+Au and 0.48 per cent nickel in drill hole ZF39; and 27.07 metres of 3.52 grams per tonne 3PGM+Au and 0.21 per cent nickel, including 17.98 metres of 4.12 grams per tonne 3PGM+Au and 0.26 per cent nickel in drill hole ZF40.

Afriore released drill results which intersected some of the widest and highest-grade intercepts received to date at the Akanani Platinum Project located in the Limpopo province of South Africa.