Awards of Shares, Exercise of Options & D Dealings

23 June 2010

African Minerals Limited

("African Minerals" or "the Company")

 Awards of Shares, exercise of Options and Directors Dealing

African Minerals Limited (AIM:AMI), the mineral exploration company with significant iron ore interests in Sierra Leone, West Africa, announces that, following the cessation of an extended close period the following share dealings ("Dealings") have occurred:

Exercise of Existing Options

The Company has been informed that Alan Watling has exercised options over 448,485 of the Company's common shares of $0.01 each ("Common Shares"). The exercise price of the options was 50 pence per option and, following these transactions, Mr Watling retains 896,970 options over Common Shares.

In addition to Mr Watling's exercise of options, an additional 388,332 options have been exercised by other employees of the Company, also at an exercise price of 50 pence per share.

Grant of New Options

In accordance with their terms and conditions of engagement or employment, and again, following the cessation of an extended close period, on 22 June 2010 the Company granted a number of options to which certain Company Directors are entitled under the Company's share option plan. The number of options over Common Shares is set out below:

The respective strike prices were set with reference to the closing price of the Company's shares on the trading day immediately before the Director's engagement or employment, as appropriate.

The options vest in three equal tranches on the first three anniversaries of the date of grant and expire on 22 June 2015.

Issue of Common Shares

Certain directors have also been entitled to awards of fully-paid common shares of $0.01 each ("Common Shares") under the Employee Share Scheme pursuant to either their engagement or contracts of employment. In each case the issue of the shares which are the subject of the award is conditional upon the achievement of certain corporate objectives. Some of the objectives in respect of which Common Shares were to be granted have been fulfilled and consequently certain of these shares have now vested. These awards, together with the number of shares now vested under these awards, are as follows:

Following this award, Mr Bangura now holds 7,792,624 shares in the Company, representing 2.85% of the issued share capital. All Mr Bangura's Common Shares are issued and none remain to be vested.

Following this award and the options mentioned above, Mr Watling now holds 948,485 Common Shares, 500,000 of which vested on 22 June 2010. In addition to this, Mr Watling is interested in a further 2,500,000 unvested Common Shares under the Company's Employee Share Scheme which remain subject to performance criteria.

Share Capital

As a result of the Dealings, application has been made for the admission of 3,836,817 Common Shares to be admitted to trading on AIM. Trading is expected to occur on 28 June 2010.

Following admission of the shares to trading on AIM, the Company will have 272,522,610 Common Shares in issue.

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