Final Results

31 May 2016

Alexander Mining plc

Audited Results for the Year Ended 31 December 2015

Alexander Mining plc ("Alexander" or the "Company"), the AIM-listed mining and mineral processing technologies company, announces its audited results for the year ended 31 December 2015.

Highlights

· Continuing confidence in the prospects for our technologies

· Continued success in registration of patents

· Company well financed and reviewing complementary opportunities in the mining sector

Chairman's Statement

Commercialisation activities

In 2015, reflecting the difficult environment for world economic growth, the base metals mining industry suffered badly as metals prices fell and remained depressed. Unfortunately, our hopes for significant progress towards the commercialisation of our mineral processing intellectual property ("Leaching Technologies") during the year foundered, in most part, due to these parlous conditions.

Mining companies have endured reduced base metals' demand and oversupply created during the bull market years. Production cut backs are the focus rather than financing new production. The junior sector of the mining industry, which in our experience tends to be the most open to embracing new technology, has been particularly hit hard.

Although, Alexander had an encouraging start to the year, based on the optimism for the potential commercialisation opportunity with Compass Resources Limited ("Compass") and its Browns Oxide Project in Australia, advancement of this possible project for our Leaching Technology has not happened. As far as Compass' possible plans we now assume that unfortunately it no longer has any interest in using our Leaching Technology.

In April 2015, Alexander reported that it had signed a definitive licence agreement with Ebullio Resources Fund ("Ebullio") and RCR Quantum ("RCRQ"). RCRQ's main asset is its 75 per cent. joint venture interest in the Sivas copper mineral property ("Sivas") in the Republic of Turkey.

Ebullio's announced intention was to sell a minority stake of its equity holding in RCRQ to a third party consortium (the "RCRQ Equity Sale"). In which event, Alexander would grant to RCRQ a licence to use its Leaching Technology on amenable ore sourced from Sivas and certain benefits would be due to Alexander. Currently, Alexander has not been informed that the RCRQ Equity Sale has taken place.

Separately, during the period under review, Alexander expended considerable energy in investigating other commercialisation opportunities for its Leaching Technology worldwide but in particular in Mexico (zinc), Australia (copper and zinc) and elsewhere in Turkey (copper and zinc). The Leaching Technology has been well received by the relevant interested third parties but a lack of financing to implement the necessary project investment and requisite Leaching Technology testwork has been the impediment to concluding a transaction. Notwithstanding, we continue to work to see if we can progress matters in these and other countries.

Intellectual property

Significant patents were granted to Alexander in 2015, encompassing our AmmLeach® and HyperLeach® inventions. Many more potential patents are in the pipeline. The table below summarises those patented granted to date.

Financial

The Company has maintained its very tight rein on costs whilst ensuring the protection of its intellectual property through patent applications. In January and October 2015, the Company raised, through equity placings of new ordinary shares ("Shares") to institutional and other investors, gross amounts of respectively £360,000 (72 million Shares) and £420,000 (105 million Shares). The net proceeds of the placings were used for general working capital purposes.

The Company announced on 20 May 2016 that it had raised £500,000 gross in a placing ("Placing") through the issue of 500,000,000 new shares for general working capital purposes. The Board also proposed subject to regulatory prohibitions relating to marketing securities in certain jurisdictions, to issue new warrants ("Warrants") to existing shareholders on the record date on a pro rata basis of one Warrant for every four Ordinary Shares held (the "Warrant Bonus Issue").

With the proceeds from the Placing, potential cash proceeds from the Warrant Bonus Issue exercise and also potential revenue from the commercialisation of our proprietary Leaching Technologies, the Company should have adequate working capital for the next 12 months.

Outlook

Despite these uncertain economic times, especially for the mining business, the Company will continue to work hard to succeed with the commercialisation of its Leaching Technology. We still firmly believe that the scope for major operating and capital cost savings for existing and potential mines using our technology is of significant industry interest. Mining companies, wherever possible, still need to improve metal extraction recoveries and reduce operating costs. When coupled with the inherent positive environmental credentials, we believe our Leaching Technology is an attractive processing method for many mining operations with amenable ore when compared to conventional processes.

We remain confident about the prospects for our technologies; however, given the background of the Company's directors and senior employees, we are also reviewing several complementary opportunities of interest in the mining sector.

In what has been an especially difficult year, I would like to thank the Company's shareholders for their patience and also our employees, consultants and directors for their highly-valued effort. During the year, Messrs. Davey and Morfett stood down from the board and Terry Cross retired as CFO and Company Secretary. I would like to thank them all for their valued professional contribution to the Company during their time of service.

Matt Sutcliffe

Executive Chairman

31 May 2016

Enquiries

Consolidated income statement for the year ended 31 December 2015

Consolidated statement of comprehensive income for the year ended 31 December 2015

Consolidated balance sheet as at 31 December 2015

Consolidated statement of cash flows for the year ended 31 December 2015

Consolidated statement of changes in equity for the year ended 31 December 2015

Notes

1. Financial statements

The financial information set out in this announcement does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006 for the year ended 31 December 2015 or for the year ended 31 December 2014, but is derived from those accounts. The financial statements for 2015 will be delivered to the Registrar of Companies following the Company's Annual General Meeting. The auditors have issued an unqualified report on these accounts. The auditor has issued an unqualified opinion in respect of the financial statements which does not contain any statements under the Companies Act 2006, Section 498(2) or Section 498(3). The auditor has raised an Emphasis of Matter in relation to going concern and the availability of project finance as follows:

"In forming our opinion, which is not modified, we have considered the adequacy of the disclosures made in note 2(a) to the financial statements concerning the Company's recent equity fundraising and the anticipated requirement for further funding in the next twelve months. The Directors believe that the Company currently has a range of corporate development opportunities which could give rise to significant funding in the next twelve months.

However, the outcome of these corporate developments and the funding arising from them cannot presently be determined. These conditions, along with the other matters explained in note 2(a) to the financial statements, indicate the existence of a material uncertainty which may cast significant doubt about the Company's and the Groups' ability to continue as a going concern. The financial statements do not include the adjustments that would result if the Company and Group was unable to continue as a going concern."

2. Summary of significant accounting policies

a) Basis of preparation

The financial statements have been prepared in accordance with International Financial Reporting Standards ("IFRSs") in force at the reporting date and their interpretations issued by the International Accounting Standards Board ("IASB") as adopted for use within the European Union.

The consolidated financial statements incorporate the financial statements of the Company and entities controlled by the Company (its subsidiaries) made up to 31 December each year.

Going Concern

In common with many mining, exploration and intellectual property development companies, the Company has raised finance for its activities in discrete tranches to finance its activities for limited periods. As explained more fully in Note 4, Post Balance Sheet events, on 20 May 2016 the Company announced that it had raised £500,000, before expenses, by way of an equity placing and the proceeds have now been received by the Company. It is anticipated that further funding will be required in the next twelve months and the Directors believe that the Company currently has a range of corporate development opportunities which could give rise to significant funding in the next twelve months.

On this basis, the Directors have concluded that it is appropriate to draw up the financial statements on the going concern basis. However, there can be no certainty that the corporate development opportunities will be secured and give rise to the further funding in the necessary timescale. This indicates the existence of a material uncertainty that may cast significant doubt on the ability of the Company and the Group to continue as a going concern and therefore, that it may be unable to realise its assets and discharge its liabilities in the normal course of business. The financial statements do not include the adjustments that would result if the Company and Group were unable to continue as a going concern.

b) Research and development expenditure

Research costs are recognised in the income statement as an expense as incurred. Development costs are recognised in the income statement as an expense as incurred unless the development project meets specific criteria for deferral and amortisation. No development costs have been deferred to date because there is insufficient information at the balance sheet date to quantify the expected future economic benefits from the proprietary leaching technologies.

3. Dividends

The directors do not recommend the payment of a dividend (2014: nil).

4. Post balance sheet events

On the 20 May 2016, the Company issued 500,000,000 new shares of 0.1p each for cash at 0.1p each to raise £500,000 (gross). In connection with that placing, the Company issued 50,000,000 warrants to Cornhill Capital Limited, valid for 5 years to subscribe for ordinary shares at 0.1p per share.

On the 24 May 2016 the company issued 90,477,572 Bonus Warrants to existing shareholders of the Company at 4;30pm on the 24 May 2016 on the basis of 1 Warrant per every 4 qualifying shares held by shareholders.

The Warrants will be exercisable in the periods of 15 working days ending on the following three dates: 20 July 2016; 20 October 2016; and 20 January 2017 (the 'Final Exercise Date'). If any of the Warrants remain unexercised on the Final Exercise Date, they will expire. The exercise price of the Warrants is 0.1p, 0.15p and 0.2p per new Ordinary Share, on each of the exercise dates respectively.

Following admission of the above shares the Company has a total of 861,910,288 ordinary shares in issue with each share carrying the right to one vote.

Annual Report

The Annual Report will be posted to all shareholders by 6 June 2016 and will be available on the Company's website at www.alexandermining.com. Additional copies will be made available to the public, free of charge, from the Company's registered office at 2nd Floor, 85-87 Borough High Street, London, SE1 1NH.

Annual General Meeting

The Company's Annual General Meeting will be held at the offices of Druces LLP, Salisbury House, London Wall, London, EC2M 5PS at 10:00am on Thursday 30th June 2016. The Notice of the AGM and the associated explanatory notes relating to the resolutions to be proposed at that meeting will accompany the Company's annual report.

Disclaimers and forward looking statements

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

This news release contains forward looking or future-oriented financial information, being information which is not historical fact, including, without limitation, statements regarding potential results of metallurgical testwork, anticipated applications for the Company's intellectual property and discussions of future plans and objectives. Although the Company believes that the expectations reflected by such information are reasonable, these statements are based on assumptions and factors concerning future events that may prove to be inaccurate. Such statements are necessarily based upon a number of estimates and assumptions based on information available to the Company about itself and the business in which it operates. Information used in developing forward-looking information has been acquired from various sources including third party consultants, suppliers, regulators and other sources and is subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from the Company's expectations are the continuing availability of capital resources to fund the commercialisation of Alexander's technologies; continued positive results from trials and applications of Alexander's AmmLeach® and HyperLeach® technologies and other factors as disclosed in Company documents filed from time to time. Management uses forward-looking statements because it believes they provide useful information to the shareholders with respect to proposed transactions involving Alexander, and cautions readers that the information may not be appropriate for other purposes and should not be read as guarantees of future performance or results.

The Company disclaims any intention or obligation to revise or update such statements unless required by law.