SAVANNAH RESOURCES PLC

Remuneration Information • Apr 13, 2018

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RNS Number : 7904K

Savannah Resources PLC

13 April 2018

13 April 2018

Savannah Resources Plc

Implementation of Long-Term Incentive Plan

Savannah Resources plc (AIM: SAV and SWB: SAV) ('Savannah', or the 'Company'), the AIM quoted resource development company, announces that upon the recommendation of the Company's Remuneration Committee, it has approved the implementation of a long-term incentive plan ('LTIP'), prepared with advice from KPMG LLP, and designed to incentivise the Company's Executive Directors and certain other members of the Senior Management team (the 'Participants').

The LTIP has been established to encourage long-term value creation for Savannah's shareholders and to further align the interests of the Participants with shareholders. Awards under the LTIP are structured in accordance with the Company's respective project operations in Portugal, Oman and Mozambique. The Board believes that the establishment of the LTIP and the performance conditions will incentivise the Participants and help to attract talented individuals in the future as the Company expedites the development of its mining projects.

Matthew King, the Company's Chairman said today: "The purpose of the LTIP is to focus management on achieving our key strategic goal of building cash generative and profitable mining operations. The performance conditions are intended as objective measures of our progress."

The LTIP provides for certain awards to be made to Participants upon the achievement of specified performance conditions determined by the Company's Remuneration Committee and approved by the Board. The Company's Non-Executive Directors are not eligible to participate in the LTIP.

The awards, Participants and initial performance conditions are summarised below:

Project	Performance Condition				Timing
Oman	Commencement of mining				December 2018
Mozambique	PFS completed and mining lease granted				March 2019
Portugal	Feasibility study completed and a strategic initiative entered into (e.g. securing major industry contract/alliance/offtake/equity investment from the lithium industry)				March 2019
Participant	Total Target Award	Form of Target Award	Applicable Project/Performance Condition
David Archer	100% of Salary	40% Cash 60% Deferred Equity	Oman	33.34%
Mozambique	33.33%
Portugal	33.33%
Dale Ferguson	100% of Salary	40% Cash 60% Deferred Equity	Oman	33.34%
Mozambique	33.33%
Portugal	33.33%
Michael McGarty	100% of Salary	40% Cash 60% Deferred Equity	Oman	33.34%
Mozambique	33.33%
Portugal	33.33%
Paul O'Donoghue	40% of Salary	40% Cash 60% Deferred Equity	Mozambique	100%

In respect of the Deferred Equity Target Awards: where the performance condition is met and the target awards are made to Participants, the deferred equity shall be released by 1/3 on each anniversary of the vesting date (up to the third anniversary) subject to the continued service of the Participant (unless the Participant is deemed a 'good leaver'). The maximum Deferred Equity Target Award value that may be issued in connection with the initial Performance Conditions stated above is £342,715 (representing 0.89% of the Company's current issued share capital at the current market price).

The Company may waive or vary a performance condition or other condition if events occur or circumstances occur which cause the Remuneration Committee to consider that the performance condition or other condition has ceased to be a fair measure of performance.

The implementation of the LTIP constitutes a related party transaction pursuant to AIM Rule 13.  The Company's Non-Executive Directors, who are not party to the LTIP and are therefore independent directors for these purposes, having consulted with the Company's Nominated Adviser, consider the terms of the LTIP to be fair and reasonable insofar as Savannah's shareholders are concerned.

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014.

**ENDS**

For further information please visit www.savannahresources.com or contact:

David Archer	Savannah Resources plc	Tel: +44 20 7117 2489
David Hignell / Dugald J. Carlean (Nominated Adviser)	Northland Capital Partners Ltd	Tel: +44 20 3861 6625
Christopher Raggett / Emily Morris (Broker)	finnCap Ltd	Tel: +44 20 7220 0500
Charlotte Page / Lottie Wadham (Financial PR)	St Brides Partners Ltd	Tel: +44 20 7236 1177

About Savannah

We are a diversified resources group (AIM: SAV) with a portfolio of energy metals projects - lithium in Portugal and copper in Oman - together with the world-class Mutamba Heavy Mineral Sands Project in Mozambique, which is being developed in a consortium with the global major Rio Tinto. We are committed to serving the interests of our shareholders and to delivering outcomes that will improve the lives of our staff and the communities we work with.

The group is listed and regulated on AIM and the Company's ordinary shares are also available on the Börse Stuttgart (SWB) under the ticker "SAV".

This information is provided by RNS

The company news service from the London Stock Exchange

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