Update on Aftan

Kazera Global PLC

27 November 2025

 

27 November 2025

Kazera Global plc

("Kazera" or the "Company")

Update on Aftan

Strong industry interest and ongoing progress on arbitration enforcement

Kazera Global plc (AIM: KZG), the investment company focused on heavy mineral sands ("HMS") and diamond production in South Africa, is pleased to provide an update on its interest in African Tantalum (Pty) Ltd ("Aftan"), the associated Namibian tantalum assets, and the status of the arbitration award and ongoing legal enforcement.

HIGHLIGHTS

·   Engagement with three independent parties exploring the potential development or commercialisation of the Aftan mine

o Two parties under confidentiality agreements at an advanced stage, including detailed geological review and site assessment

o  A third party in preliminary discussions and early stage due diligence

·   Ongoing enforcement of the US$11.9 million arbitration award, plus accruing interest and full cost recovery

Dennis Edmonds, CEO of Kazera Global plc commented: "We are highly encouraged by the strong interest in Aftan, particularly from two parties operating under confidentiality agreements that are demonstrating clear intent and technical engagement. This activity underscores the strategic importance of the asset and the inherent value of its resource base.

"In parallel, we remain committed to enforcing the arbitration award and recovering the outstanding sums owed to the Company. Our approach to legal expenditure is disciplined and commercially responsible, ensuring that capital deployment is carefully balanced against opportunities within our core producing assets. This strategy reflects our commitment to financial prudence and sustainable value creation for shareholders."

DETAILS

Background on Aftan

Aftan owns the Tantalite Valley Mine, a tantalum and lithium bearing project located in south-eastern Namibia. Kazera initially acquired a 75 per cent interest in Aftan in 2014 and subsequently acquired the remaining 25 per cent in 2020, thereby achieving 100 per cent ownership.

On 20 December 2022, Kazera entered into an agreement to dispose of its entire interest in Aftan, together with associated shareholder loans, to Hebei Xinjian Construction ("Hebei") for a total consideration of approximately US$13.0 million. The transaction also included the retention by Kazera of a 2.5 per cent life-of-mine gross revenue royalty on future tantalum and lithium production.

Under the terms of the sale agreement, ownership of Aftan's shares was to remain with Kazera as security until the full consideration had been paid.

Arbitration award and legal position

Following Hebei's failure to settle amounts owed under the agreement, Kazera initiated arbitration proceedings. On 7 May 2025, the arbitration tribunal ruled in Kazera's favour and awarded:

·      US$9.2 million in outstanding principal

·      US$1.6 million in accrued interest up to 8 October 2024

·      Further interest accruing at 20 per cent per annum on the outstanding principal from 9 October 2024 until full payment

·      Full recovery of legal and arbitration costs

As at the date of the ruling, the total amount payable under the award was approximately US$11.9 million, excluding ongoing accrued interest and costs.

Hebei has since commenced legal proceedings seeking to challenge the arbitration ruling and to have the matter considered through the Namibian Supreme Court. As a result, enforcement of the award is progressing but remains subject to the procedural timelines and processes associated with such legal actions.

Kazera continues to pursue recovery of the awarded sums while ensuring that legal expenditure remains proportionate and commercially justified. The Company is simultaneously balancing this process with the funding requirements of its core operating subsidiaries, Deep Blue Minerals (Pty) Ltd and Whale Head Minerals (Pty) Ltd, where capital deployment is expected to deliver a more immediate and measurable operational impact.

Commercial pathways being explored with three independent counterparties

The Company is actively engaged with three parties regarding the potential development or commercialisation of the Aftan mine. Two parties, operating under confidentiality agreements, are at an advanced stage of engagement, while a third is in preliminary discussions:

1.   An established tantalum producer operating in a neighbouring African jurisdiction, which is in the process of developing a tantalum beneficiation plant in Namibia and is seeking potential local supply to support this facility.

2.   A party which has expressed interest in providing funding to support the potential restart of mining operations, with a view to re-establishing production at the Aftan mine.

3.   A third party has commenced initial discussions and is undertaking a preliminary geological review, including a site visit, to assess the asset's commercial potential.

The Board views this level of interest as highly encouraging and reflective of Aftan's underlying value. Further updates will be provided as discussions progress and as material developments arise regarding enforcement of the arbitration award.

ENDS

For further information, visit www.kazeraglobal.com or contact:

Kazera Global plc Dennis Edmonds, CEO	[e-mail]
Strand Hanson Limited (Nominated, Financial Adviser and Joint Broker) Christopher Raggett / Ritchie Balmer	Tel: [phone]
Zeus Capital Limited (Joint Broker) Harry Ansell / Simon Johnson / Katy Mitchell	Tel: [phone]
St Brides Partners Limited (Financial PR) Paul Dulieu/Isabel de Salis	[e-mail]

Notes

Kazera Global plc (LON:KZG) is a diversified commodity investment company focused on unlocking value through production growth and disciplined portfolio management. While production builds at its Whale Head Minerals (Heavy Mineral Sands) and Deep Blue Minerals (diamond) assets in South Africa's Northern Cape province, the Company also continues to assess new opportunities to expand its growth pipeline and deliver sustainable returns.

 

END