Marula Mining PLC

("Marula'' or the "Company")

 27 March 2024

Commencement of Exploration Activities at Larisoro Manganese Mine

Marula Mining (AQSE: MARU), an African-focused mining and development company, is pleased to provide an update on the transaction, as announced on 1 March 2024, with Gems and Industrial Minerals Limited ("GIM") under which the Company would secure a commercial interest in the Larisoro Manganese Mine located in Samburu County in Northern Kenya (the "Mine").

Under the terms of a binding terms sheet ("Term Sheet"), and subject to entering into a Technical Support Agreement ("TSA") and a Commercial Agreement ("CA") with GIM, Marula would need to utilise its forecast excess cashflow from its South African lithium mining operations to provide investment of US$1,500,000 for new mining, crushing, screening and processing equipment aimed at increasing monthly manganese ("Mn") ore production to between 5,000 tonnes and 10,000 tonnes of saleable high-grade manganese ore over the next three to six months. Marula will also complete a further investment of approx. US$1,750,000, in an initial exploration program to be completed over the course of 2024, with the aim of increasing the mineral resources and understanding the extent and characteristics of the manganese mineralisation at the Mine.

Highlights:

·    Exploration activities have commenced, with the Company's Head of Exploration East Africa Collins Aseto, and his geological team, having mobilised to site last week

·    Current exploration activities are focused on mapping and sampling of visible and shallow manganese mineralisation in the three shallow open pits and of outcropping surface manganese mineralisation that extends beyond the current mining operations, and which has also been identified at various locations on the granted mining rights

·    The work to date by the Company's geological team has already confirmed strike extensions of the manganese mineralisation over 2.5 kilometres south of the existing open pit operations

·    This initial work has indicated that high-grade manganese mineralisation appears to remain open down-dip and along strike and provides initial support for the Company's plans to expand the current open pit mining operations

·    Samples of the manganese mineralisation exposed in the open pits and of other exposed manganese mineralisation on the mining right license areas are being taken to confirm the historically assayed grades, as well as the recent assay results received in December 2023 that averaged 37.72% Mn and further be used to support the new and expanded mining plans and schedules

·    Mapping and sampling is being completed ahead of the ground survey work and resource drilling work that the Company proposes to commence in Q2 2024

·    Representatives from specialist mining equipment and crushing and screening contractors are also on site at the Mine, completing on-site inspections and assessments of the existing mining and processing equipment and of the manganese mineralisation

·    It is proposed that maintenance and refurbishment of the existing Mine and processing equipment will then commence in Q2 2024, allowing operations to continue ahead of the planned arrival of new mobile mining, crushing and screening and processing equipment later in Q2 2024

·    Planning work has also commenced for the establishment of new site administration and technical offices, workshops and stockpiling and warehousing facilities and construction is also expected to commence in Q2 2024

·    Ongoing discussions are continuing with logistics and transportation groups for the appointment of new contractors for the transportation of the manganese ore from the Mine to the designated warehouse facilities under planned new sales and offtake  agreements

·    New long-term manganese ore offtake discussions continue to progress with a European based commodity trading group following a site visit and testing of the manganese ore

·    An initial trial shipment of 2,000 tonnes of manganese ore is proposed to be delivered to the proposed offtake party in Q2 2024 as part of long-term offtake agreement discussions

·    The Company recently welcomed a number of representatives at its offices in Nairobi, from the Archers Post and Samburu communities. Discussions focused on the need for an active and transparent community engagement program which supports and empowers the communities and planned mining activities.

·    Further broad-based community meetings are planned in Archers Post and Samburu in early Q2 2024 along with the commencement of its partnership with the Mayflower Children's Foundation with refurbishment work at the Nakwamor Primary School

·    The Company is also pleased to confirm that in accordance with the Term Sheet, documentation of the formal TSA and CA documentation is progressing with the Company's Kenyan legal counsel and with GIM and is expected to now be signed in Q2 2024.

Collins Aseto, Marula Mining Head of Exploration East Africa said:

"Our initial exploration program has now commenced, and already it is pleasing to be able to report strike extensions and continuity of the manganese mineralisation that is highly visible in the existing shallow open pit operations.

"The aim of this current work is to increase our geological understanding of this mineralisation, map its extent across the mining rights and through our planned ground survey work and drilling programs, look to expand the resource base allowing us to materially increase the scale of our proposed mining and processing operations.

"We are making great progress across all aspects of our planned investment here at the Larisoro Manganese Mine. Refurbishment and maintenance work on the existing plant and equipment is being planned ahead of the arrival of new mining and processing equipment, and that will allow the operation to start to achieve some of the initial production targets we are setting.

"Importantly, community engagement activities are underway and we are remaining focused on fostering positive community relationships and active engagement with all key stakeholders as we look to establish the Larisoro Manganese Mine as a responsible and sustainable mining enterprise in Kenya.

"We also look forward to sharing more updates on our exploration activities and on our investment to achieve the initial expanded targets and continuous advancement of the mine."

The Directors of Marula are responsible for the contents of this announcement.

About Marula Mining

Marula Mining (AQSE: MARU) is an African focused battery metals investment and exploration company and has interests in several high value mine projects in Africa; the Blesberg Lithium and Tantalum Mine and Korridor Lithium Project in South Africa, the Kinusi Copper Mine, the Nyorinyori Graphite Project, the NyoriGreen Graphite Project and the Bagamoyo Graphite Project all in Tanzania,  the Nkombwa Hill Project in Zambia and the Larisoro Manganese Mine located in Kenya. As we advance operations at these battery metals focused projects, Marula will continue to build and expand its interests in other high-quality projects in Africa.

Marula's strategy is to identify and invest in advanced and high-value mining projects throughout East, Central and Southern Africa that the Directors believe would deliver returns for its shareholders. The Board and management team aims to establish Marula as a socially and environmentally responsible, sustainable, and profitable producer of critical metals and commodities that are of increasingly strategic importance to modern technologies and the global economy. Marula's shares are traded on the AQUIS Stock Exchange (AQSE), Marula is exploring opportunities to admit its shares to trading on the London Stock Exchange plc's Standard List, Kenya's Nairobi Securities Exchange and South Africa's Johannesburg Stock Exchange.

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Caution:

Certain statements in this announcement, are, or may be deemed to be, forward looking statements. Forward looking statements are identified by their use of terms and phrases such as ''believe'', ''could'', "should" ''envisage'', ''estimate'', ''intend'', ''may'', ''plan'', ''potentially'', "expect", ''will'' or the negative of those, variations or comparable expressions, including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.