Statement re BNC Nickel Smelter

11 June 2014 Mwana Africa PLC ("Mwana", the "Group" or the "Company") COMPLETION OF INDEPENDENT STUDY OF BNC NICKEL SMELTER ACCELERATED RESTART PLAN (Mwana: AIM: MWA) is pleased to announce the completion of an independent studyof an accelerated restart plan for the nickel smelter of its 76.3% owned,Zimbabwe-based subsidiary, Bindura Nickel Corporation. HIGHLIGHTS * Independent study of accelerated restart plan for BNC nickel smelter completed by Hatch Goba ("Hatch") * Study represents a technical and economic assessment of the potential refurbishment and restart plans of the smelter complex in Bindura * The plans are confirmed to offer significant financial and strategic benefits to BNC * Based on the independent study, the Company plans to have the BNC smelter in operation during H1 2015, and contributing to cash flows during calendar 2016 * Key benefits include reduction in transport costs associated with selling concentrates and potential to increase revenue by producing and selling higher-value nickel leach alloy * Overall capital cost to execute the restart is estimated to be US$26.5 million * Approximately half of the capital cost will be funded through debt finance, with the remainder to be financed from existing BNC cash flow and Company cash balances * Estimated operating cost is US$251/ton concentrate * The installed power for the furnace is 14MW, and concentrate throughput will be approximately 160 000tpa. Trojan concentrate production will be 106 677WMT per annum and therefore there will be spare capacity on the smelter to treat third-party material * Further opportunities for the Company exist beyond the smelter restart, including: + potential to increase volume through development of BNC's Hunters Road Mine Project at a later date; + investment in adaptation of the smelter to treat platinum group metals (PGMs), contingent on securing PGM feedstock; and + restart of the BNC refinery, currently on care and maintenance, to treat nickel leach alloy and PGMs. Kalaa Mpinga, CEO of Mwana, commented: "I am pleased to announce completion of the independent study of theaccelerated smelter restart plan. This paves the way for us to capitalise onthe opportunity presented by a favourable nickel market. "We can grow our revenue stream by moving rapidly up the value chain fromcurrent production and sale of concentrate, with the associated transportationsaving cost of this, to production and sale of higher value nickel leach alloy. "This study outlines the costs and key milestones required to restart thesmelter, and we look forward to updating the market on financing anddevelopment of the accelerated smelter restart plan as it evolves over thecoming months." An executive summary of the independent study will be made available on theMwana Africa website. For further information please visit www.mwanaafrica.com or contact: Mwana Africa PLCKalaa Mpinga, CEO Tel: +44 (0) 20 7654 5580Caroline Mathonsi, Investor Relations Tel: +44 (0) 20 7654 5595 Nominated Adviser and BrokerPeel Hunt LLPMatthew Armitt/Ross Allister Tel: +44 (0) 20 7418 8900 Public RelationsRussell and AssociatesJames Duncan Tel: +27 (0) 11 880 3924