Reopening the Old Matchless Mine

Weatherly International plc

("Weatherly" or the "Company")

Reopening the Old Matchless Mine

Weatherly (AIM: WTI) is pleased to give further details about its decision, announced on 14 November 2012, to expand production at its Matchless mine (part of the Central Operations)

Highlights:

·; Reopening the Old Matchless mine will increase production by more than 3000t Cu per annum.

·; Production to commence within 13 months of commencement of decline with full production achieved within 24 months. Preparatory work is due to start shortly.

·; Based on current copper prices and exchange rates the independent scoping study estimates the project has a Net Present Value (at an 8% discount rate) of over US$30 million and an internal rate of return ("IRR") of 129%.

·; The initial capital cost of the development is estimated at R68.4m (~US$8m)

Rod Webster Weatherly CEO said: "Reopening the Old Matchless mine allows us to more than double our production at a mine where we already have a sound operating base. In addition, it allows us to make increased use of the currently underutilised Otjihase Concentrator, reducing unit costs."

The Company announced its decision following finalisation of an independent scoping study by Lund Mining Services on reopening the Old Matchless mine (the "Old Matchless Report"). The independent review examined the development of the Old Matchless mine to provide additional high-grade ore feed to the Otjihase concentrator.

The review concluded that the Old Matchless mine represents an attractive investment opportunity for the Company based on the proposed mine plan to extract 748,484 tonnes of ore at 2.38% Cu recovering 16,387t of copper metal (contained in concentrates).

At current copper prices and exchange rates (US$7,500 & $N8.5/US$), Lund Mining Services has estimated that the project has a Net Present Value (@8%) of over US$30 million and an IRR of 129%.

The Old Matchless mine is located approximately 2km east of the current Matchless mining operations. The mine operated until 1983 when it was closed by then-owners, Newmont, due to strategic and economic conditions at the time.

The non-JORC-compliant historical reserve for the Old Matchless mine as stated by R C Chaplin, Superintendent of Geology ( Goldfields Reserve Estimation, 1984) is 812,639t at 2.4% Cu. containing 19,506 tonnes of contained copper.

The current mining plan involves the development of a decline from surface to access the three previously mined ore shoots which are open at depth. Ore extraction is planned using both mechanised and hand held cut and fill methods. The old level accesses and the hoisting shaft are to be utilised for ventilation exhaust, dewatering and secondary egress. The First ore is expected to be produced within 13 months of commencement of the decline development, progressively ramping up to nominal 15,000 tonnes of ore per month within two years. The Company does not currently anticipate any additional permitting requirements given that the Old Matchless project is located within an existing operating mining licence. Once ramp-up is achieved, this would increase existing production by more than 3,000t Cu per annum giving a combined total production of more than5,500 t per annum for the Matchlesss area. Total cost of production from Old Matchless is expected to be $N29,834/t copper (~US$3,500/t - ~US$1.6/lb) excluding any applicable gold credits.

The Otjihase concentrator has more than sufficient capacity for the proposed increase and the Old Matchless development is part of Weatherly's objective to fully utilise the existing concentrator and drive down overall unit costs.

A further update will be issued when the preparatory works have been completed

www.weatherlyplc.com 

Competent Persons Statement

The technical information in this announcement has been compiled, reviewed and approved by Anthony Lund, BEng MAusIMM, of Lund Mining Services, a qualified Australian mining engineer with over 20 years specialising in underground mines Anthony Lund is an independent consultant of the Company and has sufficient experience which is relevant to the style of mineralisation, type of deposit under consideration, and to the activity which he is undertaking, to qualify as a Competent Person and has consented to the inclusion of the information in the form and context in which it appears herein.

For further information please contact:

Weatherly International Plc +44 (0) 20 7917 2989

Rod Webster, Chief Executive Officer

Dean Friday, Investor Relations

Canaccord Genuity Limited +44 (0) 20 7523 8000

Andrew Chubb, Sebastian Jones

About Weatherly

Weatherly is an AIM listed, copper focused mining company, the principal assets of which are located in Namibia. It currently has two producing copper mines (Otjihase and Matchless), and is progressing feasibility studies on projects which will enable Weatherly to achieve its medium term strategy of establishing a copper mining business capable of sustaining approximately 20,000tpa of copper at an average industry cost of production for at least ten years.

The Company also has a 25% stake in an AIM listed company, China Africa Resources Plc (CAF), which is currently focused on the development of the lead/zinc project at Berg Aukas in Northern Namibia.