Termination of Kossanto West JV & Change of Office

Cradle Arc plc / EPIC: CRA.L / Market: AIM / Sector: Mining

9 May 2018

Cradle Arc plc

("Cradle Arc", the "Company" or, together with its subsidiaries, the "Group")

Termination of Kossanto West JV

Change of Company Secretary and Registered Office

Cradle Arc (AIM: CRA), the African focused base and precious metals exploration and production company, announces that it has received formal notice from Randgold Resources (Mali) Sarl ('Randgold") to terminate the joint venture agreement entered into between the Company and Randgold in February 2016 (the "JV Agreement") with regards to the potential development of the two exploration licences that make up the Kossanto West Gold Project ("Kossanto West") in Western Mali. Pursuant to the terms of the JV Agreement, Randgold's 65% participating interest in the Kobokoto Est and Koussikoto licences (the "Licences") will revert to Cradle Arc, such that Cradle Arc will hold 100% of the Licences.

The Company's Board continues to believe that Kossanto West is highly prospective having witnessed considerable corporate activity in the immediate vicinity in recent months, including the acquisition of the Kossanto East Gold Project by Ashanti Gold Corp, its former joint venture partner, in August 2017. Having received multiple expressions of interest from other exploration companies during the period of the Kossanto West JV, the Company will actively seek a new partner for the continued exploration and advancement of the Licences. In accordance with the terms of the JV Agreement, Randgold has provided a comprehensive database of the results from their field activities over the past two years. This data, along with the Company's historical data, will be available for review by potential future partners.

Kevin van Wouw, CEO of Cradle Arc commented: "Randgold have been an excellent JV partner to Cradle Arc over the past two years and their grassroots regional exploration campaigns have added significantly to our understanding of Kossanto West. As a result of the work performed to date, both by Randgold and Cradle Arc, we continue to believe in the prospectivity of Kossanto West and are confident that the extensive gold mineralisation that is present at multiple targets across this expansive 127 km2 exploration project can be further proven up. We will now discuss the best development path with existing and potential partners to continue the exploration work."

Change of Company Secretary and Registered Office

The Company also announces that Cargil Management Services Limited has been appointed as Company Secretary with immediate effect, and that the registered office of the Company has changed to Eastcastle House, 27/28 Eastcastle Street, London W1W 8DH.

**ENDS**

For further information on the Company, please visit www.cradlearc.com or contact:

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014.