Critical Metals plc / EPIC: CRTM / Market: Main Market / Sector: Closed End Investments

 9 March 2022

Critical Metals plc

("Critical Metals" or the "Company")

Company Update

Critical Metals plc, a mining investment company established to acquire mining opportunities in the critical and strategic metals sector, is today providing an update regarding its proposed acquisition of a majority interest in the copper/cobalt project located within Small Scale Mining License PEPM 14784 in the Democratic Republic of Congo (the "Molulu Project") (the "Proposed Acquisition").

The Board, alongside the Company's advisers, has been focussed on progressing the Proposed Acquisition, including completing the requisite due diligence, corporate structuring, and preparation of the documentation associated with the Proposed Acquisition and Reverse Takeover process under the FCA's Listing Rules.

The Board is cognisant of the frustrations of shareholders to the time it is taking to finalise the Proposed Acquisition. The Company has experienced unexpected delays in a large part to the asset being in a non-English speaking jurisdiction, which is therefore inherently more time consuming and often complex. As we have noted before, the management team and legal advisors in four different jurisdictions, are ensuring all agreements are prepared, and are in compliance with, the new Mining Code of the DRC that was announced in November 2021.

The Company has sufficient cash reserves and as of 31 December 2021, had £1,069,770 in net cash and £23,686 in total liabilities.  Many of the legal, accounting, and advisor costs associated with this transaction have already been paid by the Company prior to the 31 December 2021 year end.

All key advisers continue to advance workstreams in relation to due diligence and application for readmission to trading on the Standard List, including the preparation of a Prospectus, is at an advanced stage. A Competent Persons Report has been prepared in respect of the Molulu Project and the audit and conversion of the last three years of Madini Occidental Ltd accounts into an IFRS compliant format is progressing.

For clarification, the Company confirms that following the FCA's Listing Rule changes that became effective 3 December 2021, it has until 4:00pm on 1 December 2023 to complete a transaction that is under a £30 million market capitalisation on admission.

The Board remains of the view that, despite these delays, the Proposed Acquisition represents an excellent opportunity to acquire a controlling interest in a highly prospective copper/cobalt project, which has previously been in production and can be quickly brought back into operation to generate near-term free cashflow, in particular in the current commodity environment.

The Board looks forward to providing further updates in due course.

**ENDS**

For further information on the Company please visit www.criticalmetals.co.uk or contact:

About Critical Metals

Critical Metals was formed as an investment company and intends to make equity investments into operators or near-term production operators within the natural resources development and production sector in the continent of Africa. It is envisaged that such acquisition or acquisitions will trigger a reverse takeover in accordance with the listing rules. The Company intends to search initially for acquisition opportunities in the natural resources sector on known deposits and more specifically minerals that are perceived to have strategic importance to future economic growth. Commodities such as antimony, beryllium, cobalt, copper, fluorspar, gold, rare earth elements, tin, tungsten, titanium, and vanadium have been identified by several governments as "critical minerals" and so guaranteeing supplies is seen as a strategic necessity. The Company therefore believes that the market conditions for these minerals will remain strong in the short-to-long term.