Draw Down of Senior Debt Finance Facility

16 September 2014

Wolf Minerals Limited

Wolf Minerals to Draw Down £75M Senior Debt Finance Facilities

Funds to finalise construction of Hemerdon Tungsten-Tin Project

Specialty metals development company, Wolf Minerals Limited (ASX: WLF, AIM: WLFE) ("Wolf" or "the Company") is pleased to announce that it will shortly commence the draw-down of the £75 million senior debt finance facilities at the Company's world class Hemerdon tungsten and tin project ("the Project") in Devon, in southwest England.

The senior debt finance facilities, in conjunction with the $182.7 million equity capital raise completed in May, provide the requisite funding to see the Project through construction, to positive cash flow.

Wolf advises that it has satisfied the necessary conditions to draw down the Project's senior debt finance facilities, and the first utilisation of the funds is expected to take place shortly.

The senior debt finance facilities comprise a £70 million term loan facility and a £5 million bond facility. Wolf plans to utilise the £70 million loan facility to finalise construction at the Project, scheduled for completion 3rd quarter 2015.

The senior debt finance facilities were provided by a consortia of leading, global mining financiers; UniCredit Bank AG, London Branch, ING Bank N.V. and Caterpillar Financial SARL. Credit approval for the senior debt finance facilities was received in November 2012 (refer to announcement dated 19 November 2012).

Commenting on the draw down of the senior debt, Wolf Managing Director, Russell Clark, said:

"This is another significant milestone in the development of the Project. Prior to accessing the senior debt finance facilities, the Company was required to meet a significant number of conditions in relation to key aspects of the Project such as permitting, equity funding and off-take. Our ability to meet all the conditions, and continue to advance the development of the Project, is a testament to the Company and the strength of our management team."

"The utilisation of the senior debt finance facilities, combined with equity raised in May this year provides the funding to take the Project through to positive cash flow, based on our stated capital and operating costs, throughput, grade, recoveries and timeline. Project development and construction continues on track and we remain committed to delivering first concentrate to our off-takers in the second half of 2015."

About the senior debt finance facilities

The £75 million senior debt finance facilities for the Project comprise a £70 million term loan facility and a £5 million bond facility. The financing structure includes a portion of the senior debt facilities being supported by a guarantee provided by the German government's Untied Loan Guarantee Scheme (Ungebundener Finanzkredit) and a loan guarantee under similar terms provided by Wolf's tungsten offtakers; Wolfram Bergbau und Hütten AG and Global Tungsten & Powders Corp. Together, these guarantees cover approximately 50% of the loan facility.

The loan facility has a term of 7.5 years and repayments are to be made on a quarterly basis, commencing approximately six months after first production.

ENDS

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Promotion and Marketing

The company's web site has time lapse photography showing both the processing plant site and mine site which can be seen at:

http://www.wolfminerals.com.au/hemerdon-tungsten-and-tin-project/live-stream