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Afarak Group Regulatory Filings 2017

Apr 20, 2017

3302_rns_2017-04-20_55b71ced-b9f8-4969-a8d6-aedd54ad784b.pdf

Regulatory Filings

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RELEASE

LSE: AFRK OMX: AFAGR

AFARAK

THE SPECIALIST ALLOY PRODUCER

07:00 London, 09:00 Helsinki, 20 April 2017 - Afarak Group Plc ("Afarak" or "the Company")

AFARAK GROUP INCREASES ITS PRODUCTION OF FERROCHROME

Afarak Mogale successfully completes transition of second silicomanganese furnace to ferrochrome.

Open-cast mining resumes at Mecklenburg.

Afarak Mogale is currently utilising all its operating furnaces to produce ferrochrome following the successful transition of a second furnace from silicomanganese to ferrochrome.

Prior to December 2016, Mogale only had one furnace dedicated to ferrochrome. As a response to improved market conditions, Afarak Group successfully converted two of its furnaces from producing silicomanganese to ferrochrome; the first in December 2016 and the second in April 2017.

It is expected that the new furnace will be producing an additional 2,300 tons per month. In addition, open-cast mining at Mecklenburg has resumed and preparations are underway for underground mining with the potential of accessing 20 million tons of chrome reserves. These initiatives will further increase Afarak' vertical-integration and make it more independent from third party suppliers of ore.

Guy Konsbruck

CEO

www.afarak.com

Media contact:

Jean Paul Fabri

PR & Communications Manager

[email protected]

ABOUT AFARAK

Afarak is a vertically-integrated specialist alloys company. Throughout its various operations in South Africa, Turkey and Germany; Afarak extracts, processes, markets and trades its specialised metals. Trusted by a highly diversified customer base that includes industry leaders from the aviation, nuclear, oil & gas and automotive sectors; the Company is able to produce a unique alloy mix for every customer. As the Company aims to create value across the product-chain, Afarak remains committed to sustainable development, investment and to delivering a healthy financial performance for its shareholders. Afarak is listed on the Helsinki Stock Exchange (AFAGR (OMX)) and the London Stock Exchange (AFRK).