MINBOS RESOURCES LIMITED — Capital/Financing Update 2012

Jul 31, 2012

ASX ANNOUNCEMENT/MEDIA RELEASE

ASX Code: MNB PERTH OFFICE DRC LICENSES GRANTED 108 Outram St West Perth WA 6005 Australia MINBOS TO FAST TRACK KANZI PHOSHPATE PROJECT T: +61 8 9476 4500 E: info@minbos.com Emerging phosphate developer Minbos Resources Limited (“Minbos”) (ASX:MNB), is very pleased to W: www.minbos.com announce the signing of a Joint Venture agreement (JV) with Allamanda Trading SPRL (“Allamanda”) SOUTH AFRICA OFFICE 42 Kyalami Boulevard for the exploration and development of the Kanzi project and surrounding exploration areas in the Kyalami Business Park, Kyalami Johannesburg western Democratic Republic of Congo (“DRC”). South Africa T: +27 11 466 8516/7

Highlights include:

• JV holds 100% interest in the Kanzi Project

• Exclusive rights over exploration licences covering approximately 200,000 hectares

 Minbos holds 65% interest in the JV

The issuing of new exploration licences over the Kanzi project consolidating the entire Kanzi deposit and associated JV agreement with Allamanda is a key step in the development of Kanzi and a significant milestone for Minbos.

Minbos Executive Chairman, Mr Peter Richards, said:

“With the current high grade resources already identified at Kanzi, we have sufficient confidence in the robust nature of the project that completion of a bankable feasibility study is confirmed as the next step.

“Exclusivity over the additional exploration licences surrounding Kanzi makes Minbos the largest holder of phosphate exploration ground in the highly prospective Congo Basin, an area that could rapidly become a world class fertilizer hotspot. "

“In the 18 months since its listing, Minbos has moved from an exploration company to a company that now has two projects in development stage - confirmation that Minbos is rapidly achieving its goal of becoming a low capex and opex phosphate rock producer and exporter.”

ASX ANNOUNCEMENT/MEDIA RELEASE

THE KANZI PROJECT

INTRODUCTION

Kanzi is located in the far west of the DRC, 35km from the operating port of Boma on the Congo River. The deposit was described as being 1.5km long and 500m wide and previously straddled two concessions, namely concession 12040 and concession 1449.

In October 2011, Minbos announced an initial resource estimate over the portion of the Kanzi project that lay within the 12040 license area of 46mt @ 17.2% P2O5 (including 31mt @ 21.4% P2O5). As a result of this new joint venture agreement, a series of new exploration licences have been issued over the entire Kanzi deposit which will enable an increase in resources to be calculated from existing data in the near future.

In addition to Kanzi, the JV has exclusive rights to approximately 200,000ha of highly prospective exploration ground around Kanzi which will be evaluated in parallel to the Kanzi project development. The option provides Minbos, via the Phosphalux JV (see below), with the exclusive right to explore and develop the remaining concessions owned by Allamanda.

THE PHOSPHALUX JOINT VENTURE

Minbos has consolidated its ownership of the Kanzi deposit and regional concessions through the formation of a JV agreement with Allamanda Trading (“Allamanda”). The JV company, Phosphalux SPRL (“Phosphalux JV”), is a special purpose DRC registered company that owns the Kanzi mining permit and several exploration licences, of which Minbos, through its 100% owned subsidiary Agrim SPRL, holds a 65% interest in Phosphalux JV.

Minbos will issue 2,600,000 shares, pay a fee of USD162,500 and provide initial funding of $600,000 to Allamanda to earn its interest in the Phosphalux JV. In addition, it will pay a sales revenue royalty of 3% to Allamanda who will in turn be responsible for any government royalty payments for the

ASX ANNOUNCEMENT/MEDIA RELEASE

entire project and will pay a once off fee in 12 months of USD0.05 per tonne of contained phosphate for Indicated Resources grading greater than 20% P2O5 capped at a maximum of USD1,000,000.

The Phosphalux JV has been specifically established for the exploration and development of phosphate and potash projects in the Bas Congo province of the DRC. This option provides Minbos, via the Phosphalux JV, with the exclusive right to explore and develop the remaining concessions owned by Allamanda at timing determined by Minbos. This will allow initial efforts to focus on the Kanzi deposit before the regional program is implemented. The licences and their work status are summarised in Table 1 below.

Concession No.		Area Carres
	Type		Status	Location
12908	Exploration	382	Active - BFS	South - Covers Kanzi Deposit
12910	Exploration	302	Active - BFS	South - Covers Kanzi Deposit
12911	Exploration	375	Active - Exploration	South - Kanzi Adjacent
12905	Exploration	441	Exclusive Option	North - Covers Fundu Nzobe
12906	Exploration	81	Exclusive Option	South - Kanzi Adjacent
12907	Exploration	410	Exclusive Option	South - Kanzi Adjacent
12912	Exploration	376	Exclusive Option	South - Kanzi Adjacent
12913	Exploration	322	Exclusive Option	North - Fundu Nzobe Adjacent

ASX ANNOUNCEMENT/MEDIA RELEASE

==> picture [421 x 451] intentionally omitted <==

Figure 1: DRC New Licence Areas

ASX ANNOUNCEMENT/MEDIA RELEASE

COMPETENT PERSON STATEMENT

The information in this report has been reviewed and approved for release by Mr David Reeves, M. AusIMM, MSAIMM who has over 20 years’ experience in mineral development. Mr Reeves is a nonexecutive director of Minbos. He has sufficient experience in relation to the style of mineralisation and type of deposit under consideration to qualify as a Competent Person as defined by the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" (The JORC Code 2004 Edition). Mr Reeves has consented to inclusion of this information in the form and context in which it appears.

For further information please contact:

Peter Richards Robert McCrae Executive Chairman Chief Executive Officer peter@minbos.com robbie@minbos.com (+61) 8 9476 4500 (+27) 82 319 2690

For media enquiries contact:

David Ikin – Professional Public Relations email: david.ikin@ppr.com.au (+61) 8 9388 0944

About Minbos

Minbos Resources Limited is an exploration and development company with phosphate and potash bearing ore within the Cabinda Province of Angola and the adjoining areas of the far western DRC. Through its subsidiaries and joint ventures, the Company is exploring over 400,000ha of highly prospective ground hosting phosphate and potash bearing ore.

Minbos is focussed on the completion of the Bankable Feasibility Studies on the both the High Grade Cacata project in the Cabinda Province of the Angola and the High Grade Kanzi Project in the Bas Congo Province of the DRC.

The Company’s strategy is to specifically target the exploration and development of low cost fertiliser-based commodities in order to tap into the growing global demand for fertilisers. Phosphate and potash are an essential component in certain agricultural fertilisers, with the market supported by the increasing global demand for food and bio-fuel products. For more information, visit www.minbos.com