AMARA MINING : Court Sanction of Scheme Arrangement (226.17kB)

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15 April 2016 AIM:AMA

Amara Mining plc ("Amara" or the "Company")

RECOMMENDED COMBINATION OF PERSEUS MINING LIMITED AND AMARA MINING PLC

to be effected by means of a Scheme of Arrangement under Part 26 of the Companies Act 2006

COURT SANCTION OF SCHEME ARRANGEMENT

Amara is pleased to announce that the High Court has today sanctioned the Scheme to effect the acquisition by Perseus of the entire issued and to be issued ordinary share capital of Amara. It is expected that dealings in Amara Shares on AIM will be suspended with effect from 7.30 a.m. (London time) on 18 April 2016 and that the Scheme will become Effective on 18 April 2016. The last day of dealings in Amara Shares will therefore be today, 15 April 2016. It is expected that the New Perseus Shares will be admitted to trading on ASX at 10.00 a.m. (Australian Eastern Standard time) on 21 April 2016 and on TSX at 9:30 a.m. (Eastern Standard Time) on 21 April 2016.

Unless otherwise stated, capitalised terms used but not defined in this announcement have the meanings given to them in the scheme document that was posted to Amara Shareholders on 18 March 2016.

For more information please contact:

Amara Mining plc John McGloin, Chairman and Chief Executive Officer Pete Gardner, Finance Director Katharine Sutton, Head of Investor Relations	[phone]
BMO Capital Markets (Financial Adviser to Amara) Jeffrey Couch, Managing Director Gary Mattan, Managing Director Tom Rider, Director	[phone]
Peel Hunt LLP (Nominated Adviser & Broker to Amara) Matthew Armitt Ross Allister	[phone]
CTF Communications (Media Relations) James MacFarlane	[phone]

Perseus Mining Limited Jeff Quartermaine, Managing Director and Chief Executive Officer Nathan Ryan, Investor Relations	[phone] [phone]
Arlington Group Asset Management Limited (Financial Adviser to Perseus) Richard Greenfield	[phone]

Further information

BMO Capital Markets, which is authorised and regulated in the UK by the Financial Conduct Authority, is acting exclusively for Amara and no one else in connection with the Combination and will not be responsible to any person other than Amara for providing the protections afforded to clients of BMO Capital Markets or for providing advice in connection with the Combination or any other matter referred to herein.

Peel Hunt LLP, which is authorised and regulated in the UK by the Financial Conduct Authority, is acting exclusively for Amara and no one else in connection with the Combination and will not be responsible to any person other than Amara for providing the protections afforded to clients of Peel Hunt LLP or for providing advice in connection with the Combination or any other matter referred to herein.

Arlington Group Asset Management Limited, which is authorised and regulated in the UK by the Financial Conduct Authority, is acting exclusively for Perseus and no one else in connection with the Combination and will not be responsible to any person other than Perseus for providing the protections afforded to clients of Arlington or for providing advice in connection with the Combination or any other matter referred to herein.

This announcement is provided for informational purposes only and does not constitute an offer to sell, or an invitation to subscribe for, purchase or exchange, any securities or the solicitation of any vote or approval in any jurisdiction, nor shall there be any sale, issuance, exchange or transfer of the securities referred to in this document in any jurisdiction in contravention of applicable law. This announcement does not constitute a prospectus or a prospectus equivalent document.

Please be aware that addresses, electronic addresses and certain other information provided by Amara Shareholders, persons with information rights and other relevant persons in connection with the receipt of communications from Amara may be provided to Perseus during the offer period as required under Section 4 of Appendix 4 of the Code.

Overseas jurisdictions

The availability of the New Perseus Shares and the Warrants in, and the release, publication or distribution of this announcement in or into, jurisdictions other than the United Kingdom may be restricted by law and therefore persons into whose possession this announcement comes who are not resident in the United Kingdom should inform themselves about, and observe any applicable restrictions. Amara Shareholders who are in any doubt regarding such matters should consult an appropriate independent adviser in their relevant jurisdiction without delay. Any failure to comply with such restrictions may constitute a violation of the securities laws of any such jurisdiction.

This announcement has been prepared for the purposes of complying with English law and the Code and the information disclosed may not be the same as that which would have been

disclosed if this announcement had been prepared in accordance with the laws of jurisdictions outside the United Kingdom.

Overseas shareholders

The release, publication or distribution of this announcement in certain jurisdictions may be restricted by law. Persons who are not resident in the United Kingdom or who are subject to the laws of any jurisdiction other than the United Kingdom should inform themselves of, and observe, any applicable requirements. Any failure to comply with the restrictions may constitute a violation of the securities laws of any such jurisdiction. This announcement does not constitute an offer or an invitation to purchase or subscribe for any securities or a solicitation of an offer to buy any securities pursuant to this announcement or otherwise in any jurisdiction in which such offer or solicitation is unlawful. This announcement has been prepared for the purposes of complying with the laws of England and Wales, applicable Australian and Canadian securities laws and the Code and the information disclosed may not be the same as that which would have been disclosed if this announcement had been prepared in accordance with the laws of any jurisdiction outside England and Wales.

The availability of the Combination, the New Perseus Shares and the Warrants to Amara Shareholders who are not resident in the United Kingdom may be affected by the laws of the relevant jurisdiction in which they are located or of which they are resident. Persons who are not resident in the United Kingdom should inform themselves of, and observe, any applicable requirements.

Unless otherwise determined by Perseus or required by the Code, and permitted by applicable law and regulation, the Combination will not be made available, directly or indirectly, in, into or from a Restricted Jurisdiction where to do so would violate the laws in that jurisdiction and no person may vote in favour of the Combination by any such use, means, instrumentality or form within a Restricted Jurisdiction or any other jurisdiction if to do so would constitute a violation of the laws of that jurisdiction. Accordingly, copies of this announcement and all documents relating to the Combination are not being, and must not be, directly or indirectly, mailed or otherwise forwarded, distributed or sent in, into or from a Restricted Jurisdiction where to do so would violate the laws in that jurisdiction, and persons receiving this announcement and all documents relating to the Combination (including custodians, nominees and trustees) must not mail or otherwise distribute or send them in, into or from such jurisdictions where to do so would violate the laws in that jurisdiction. Any failure to comply with the restrictions of a Restricted Jurisdiction may constitute a violation of the securities laws of any such jurisdiction. To the fullest extent permitted by applicable law, Amara and Perseus disclaim any responsibility or liability for the violation of such restrictions by any person. The Combination (unless otherwise permitted by applicable law and regulation) will not be made, directly or indirectly, in or into, or by the use of the mails, or by any means of instrumentality (including without limitation, telephonically or electronically) of interstate or foreign commerce of, or any facilities of a national securities exchange of any Restricted Jurisdiction, and the Combination will not be capable of acceptance from or within any Restricted Jurisdiction.

Further details in relation to overseas Amara Shareholders are contained in the Scheme Document. Neither the New Perseus Shares nor the Warrants have been, and will not be, registered under the US Securities Act 1933, as amended (the "US Securities Act") or the securities laws of any state, district or other jurisdiction of the United States and the relevant clearances have not been, and will not be, obtained from the securities commission or similar regulatory authority of any province or territory of Canada. The Combination is not being made in any US state or other jurisdiction where it is not legally permitted to do so. Accordingly, such securities may not be offered, sold, resold, delivered or distributed, directly or indirectly, in or into such jurisdictions or any other jurisdiction if to do so would constitute a violation of relevant

laws of, or require registration thereof in, such jurisdiction (except pursuant to an exemption, if available, from any applicable registration or prospectus requirements or otherwise in compliance with all applicable laws).

Perseus and Amara intend to rely on an exemption from the registration requirements of the US Securities Act provided by Section 3(a)(10) thereof in connection with the consummation of the Combination and the issuance of New Perseus Shares and the Warrants. Amara Shareholders (whether or not US persons) who are or will be affiliates (within the meaning of the US Securities Act) of Amara or Perseus prior to, or of Perseus after, the Effective Date will be subject to certain US transfer restrictions relating to the New Perseus Shares and the Warrants received pursuant to the Scheme. For the purposes of qualifying for the exemption from the registration requirements of the US Securities Act afforded by Section 3(a)(10), Amara will advise the Court that its sanctioning of the Scheme will be relied upon by Perseus as an approval of the Scheme following a hearing on its fairness to Amara Shareholders.

US shareholders should note that the Combination is made for the securities of an English company in accordance with the laws of England and Wales and the AIM Rules for Companies published by the London Stock Exchange. The Combination is subject to disclosure requirements of England and Wales that are different from those of the United States and Canada.

The receipt of New Perseus Shares and the Warrants pursuant to the Combination by a US Amara Shareholder may be a taxable transaction for US federal income tax purposes and under applicable state and local, as well as foreign and other, tax laws. Each Amara Shareholder is urged to consult his independent professional adviser immediately regarding the tax consequences of the Combination.

It may be difficult for you to enforce your rights and any claim you may have arising under US federal securities laws or Canadian securities laws, since Perseus is located in Australia and most of its officers and directors are residents of Australia. You may not be able to sue Perseus or its officers or directors in Australia for violations of the US or Canadian securities laws. It may be difficult to compel Perseus and its affiliates to subject themselves to a US or Canadian court's judgment.

You should be aware that Perseus may purchase securities otherwise than under the Combination, such as in open market or privately negotiated purchases.

None of the securities referred to in this announcement have been approved or disapproved by the SEC, any state securities commission in the United States or any other US regulatory authority, nor have such authorities passed upon or determined the adequacy or accuracy of the information contained in this announcement. Any representation to the contrary is a criminal offence in the United States.

Dealing Disclosure requirements

Under Rule 8.3(a) of the Code, any person who is interested in 1 per cent. or more of any class of relevant securities of an offeree company or of any securities exchange offeror (being any offeror other than an offeror in respect of which it has been announced that its offer is, or is likely to be, solely in cash) must make an Opening Position Disclosure following the commencement of the offer period and, if later, following the announcement in which any securities exchange offeror is first identified. An Opening Position Disclosure must contain details of the person's interests and short positions in, and rights to subscribe for, any relevant securities of each of (i) the offeree company and (ii) any securities exchange offeror(s). An Opening Position Disclosure by a person to whom Rule 8.3(a) applies must be made by no later than 3.30 pm (London time (GMT)) on the 10th business day following the commencement of the offer period and, if appropriate, by no