London Mining Venture

London Mining is an expanding producer of high specification iron ore for the global steel   industry   and   is   focused  on   identifying,  developing and operating sustainable mines. London Mining commenced sales from the Marampa mine in Sierra Leone in 2012 and expects to reach production capacity of 5Mtpa in 2013. A prefeasibility study was completed in 2011 which shows that Marampa has resources to support a staged expansion to over 16Mtpa. London Mining has also completed bankable feasibility studies outlining plans for a further 20Mtpa of iron ore production by developing two other mines in Greenland and Saudi Arabia. In addition London Mining is producing from a coke operation with coking coal resource potential in Colombia. The Company listed on London AIM on 6 November 2009.

Wits Basin  owns  the  Bates-Hunter Gold  Mine  in  Central  City, Colorado. Discovery of gold at  the  Bates-Hunter  Mine in 1859 kicked off the Colorado gold rush and established Denver  as  a major American city. All mines in the area went dormant in 1936. This  mining district has historically produced more than 4 million ounces of gold. Twenty-five percent (25%) of all the gold mined came from the area immediately surrounding the Bates-Hunter mine. Wits Basin’s property controls the 15 principal veins underlying the mine

London Mining is pleased to announce that it has signed a letter of intent with Wits Basin Precious Minerals, Inc. (“Wits Basin“) which may result in London Mining becoming a 50/50 joint venture partner for Wits Basin’s iron ore project in Ma Anshan in the People’s Republic of China. The potential transaction remains subject to due diligence and finalisation of definitive legal documents.

London Mining At Marampa

London Mining  secured  an  option  to  acquire  the  mining  rights  at the Marampa mine  in  December  2005. After   securing   funding, London  Mining  was   able  to exercise the  option  in  January  2006  and   in  September  2006   the  Marampa mining  lease  was  assigned  to  LMC, a  100%  subsidiary  of  London Mining. The Marampa mine  recommenced production in December 2011.

London Mining (“London Mining”   or  the “Company”)  announces   that  China Global Mining Resources  Limited (“CGMR”), a  subsidiary  of  the  China  Global Mining  Resources  (BVI) Limited joint venture (“JV”) which is  held 50:50  with Wits Basin Precious Minerals Inc (“Wits Basin”), has received a claim   regarding  the  payment  of  the   deferred   consideration  for  the  purchase   of   the  Sudan processing plant.  The claim is to be determined through arbitration.  CGMR is in discussions with the sellers of  the  plant  regarding  this  claim  and  a  resolution (either by agreement of through arbitration) is  expected  in the  next  6 months.  The  Sellers  have  no  legal  or  commercial  recourse  to  London  Mining  or  any subsidiary other than the CGMR JV with respect to this claim.

Flooding are the most common form of natural disaster in the UK and are now part and parcel of the British winter months; widespread flooding happens at least once a year in the UK. Earlier this year, torrents of rain hit the UK, with Cumbria the worst-affected area; heavy, prolonged rainfall caused bridges and road networks to collapse and four people lost their lives. In 2007, Yorkshire was hit hard by floods and some people are still recovering from the destruction caused by the floods three years later; the floods killed six people and left hundreds of people homeless and thousands without electricity.

Flooding can come from various sources, from coastal waters, from rivers (also known as fluvial flooding) and surface water flooding. Of all these sources London is most vulnerable to surface water flooding. Heavy rainfall can swiftly overwhelm the drainage network, leading to flooding of low-lying areas.

London Mining

The London Mining Marampa mining licence covers an area of 13.82km2. As of December 2011 Snowden Mining Industry Consultants estimated the total JORC resource at Marampa to be 1,078Mt grading 31.2% Fe. These resources represent a  tenfold  increase  of  the historical primary resource of  84Mt  grading  37%  Fe reported at the time of London Mining’s admission to AIM in November 2009.

The resource contains around 40Mt of tailings and over 150Mt of weathered ore  which can  be  considered  in  the  lower  capital intensity  Phase 1.  The  balance  of  resources  will  be  considered  either  in  an  extended  Phase 1 operation which requires the installation of additional crushing and grinding capacity, or in Phase 2 which will consider an expansion to over 16Mtpa.

London Mining (“London Mining” or the “Company“)  announces  that China Global Mining Resources Limited (“CGMR“), a subsidiary of  the China Global  Mining  Resources (BVI)  Limited  joint venture (“JV”) which  is  held 50:50 with Wits Basin Precious Minerals Inc (“Wits Basin”), has received a claim regarding the payment of the deferred consideration for the purchase of the Sudan processing plant.  The claim is to be determined through arbitration.  CGMR is in discussions with the sellers of the plant regarding  this claim and a resolution (either by agreement of through arbitration) is expected in the next 6 months.  The Sellers have no legal or commercial recourse to London Mining or any subsidiary other than the CGMR JV with respect to this claim.