MERAFE RESOURCES LIMITED - Update regarding the companys ferrochrome smelting operations

Update regarding the company’s ferrochrome smelting operations

MERAFE RESOURCES LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 1987/003452/06)
JSE and A2X share code: MRF
ISIN: ZAE000060000
("Merafe" or the "Company")

UPDATE REGARDING THE COMPANY'S FERROCHROME SMELTING OPERATIONS

Shareholders of Merafe are hereby advised that the Company has, through its chrome Pooling and
Sharing Venture with Glencore Operations South Africa Proprietary Limited ("PSV"), initiated a business
review process in respect of its ferrochrome smelting business and is assessing potential measures to
address the ongoing market challenges ("Business Review").

The Business Review follows sustained pressure from the prolonged economic downturn in the global
ferrochrome market, which pressures are not expected to ease in the near to medium term. Should the
PSV not be able to identify viable solutions to sustain profitability, it will begin to suspend certain of its
ferrochrome furnaces in May 2025, thereby resulting in a significant reduction in Merafe's ferrochrome
production.

The PSV is actively working with regulatory authorities to mitigate any continued adverse impacts and
will continue to explore all viable alternatives in partnership with organised labour. Additionally, the PSV
has engaged with its suppliers to identify cost-saving measures to help improve the current situation.

Further updates will be issued as appropriate.


Sandton
3 February 2025

Sponsor
One Capital

Date: 03-02-2025 08:00:00
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