Production and Sales Update

08 January 2015

StratMin Global Resources Plc

("StratMin" or the "Company")

Production and Sales Update

StratMin (AIM: STGR), the graphite production and exploration company with assets in Madagascar, is pleased to provide an update on production and sales for the month of December 2014.

December Highlights

· Plant performance and flotation capacity were in line with expectations;

· The beneficiation plant processed 288 tons of wet graphite which, following drying, resulted in production of 68 tons of dry mixed graphite;

· Average grade of graphite increased to 93.14 per cent.

Production

The focus for December was on achieving production volume prior to closing of the mine for the holiday period.

Production numbers for the shortened month of December(1) were as follows:

(1) Production ceased on 23 December 2014 due to the commencement of the Christmas holiday period

(2) Refer to Notes to Editors at end of this announcement for further details

The Company is pleased to report that the average grade for December's production improved to 93.14 per cent. In addition, general plant performance and flotation capacity was in line with expectations. Screening capacity was limited, but we expect this to be resolved later this month once the final new screen has been delivered to Madagascar and installed. Further improvements are also expected this month within the beneficiation plant as additional milling capacity is brought online to assist with grade improvements.

Sales

48 tons of graphite were sold during December which, as a result of the Christmas holiday period, was lower than the anticipated monthly sales rate as purchase orders were delayed. An uplift in monthly sales is therefore expected in the first few months of calendar 2015.

Manoli Yannaghas, StratMin's Managing Director, commented:

"Production and plant performance improved throughout December. We made solid progress with our concentrate grades and maintained a healthy production rate through the beneficiation plant for such a short month.

"The improvements to screening are expected to be brought online this month as well as the increased mill capacity, both of which are expected to improve our ability to polish the graphite and therefore increase grades. Both these upgrades will significantly affect the quality of our end product.

"Our confidence at the operational level has grown significantly over the last few months and we look forward to hopefully reporting further progress in the coming months."

Enquiries

For further information please visit www.stratminglobal.com or contact:

Notes to Editors 

Stratmin Global Resources is the only graphite producer and supplier listed on AIM.

The Company announced production early 2014 at their 100% owned Lohorano plant in Madagascar. The mine itself sits 2 km from the main road and 2 hours from Tamatave, the largest port which handles 90% of Madagascar's import and exports.

Production Plant: Table Explanation

The production plant is split into three stages.

1. Beneficiation Plant: Graphite is separated from the ore in the beneficiation plant. Beneficiated product typically contains 60 per cent. moisture.

2. Drying Plant: Water from the beneficiated product is removed from the graphite concentrate in the drying plant. This is split into two stages:

a. Dewatering: A centrifuge reduces moisture content to between 20 - 25 per cent.

b. Drying: A rotary drier reduces moisture content to under 1 per cent.

3. Screening: the process where the dry concentrate is split into different size portions and flake sizing.

We have chosen to report in this format as it better delineates the performance of the different stages of the plant. The numbers attributed to each stage represent the stand alone performance of that stage of the plant on a monthly basis.

-ends