African Copper Plc
TSX : ACU
AIM : ACU

African Copper Plc

May 12, 2009 02:00 ET

African Copper Plc: Agreement Between ZCI and Moolman

LONDON, UNITED KINGDOM--(Marketwire - May 12, 2009) - African Copper PLC (AIM:ACU)(TSX:ACU)(BOTSWANA:AFRICAN COPPER) -

Zambia Copper Investments Limited

(Registered in Bermuda)

(South African registration number 1970/000023/10)

JSE share code: ZCI & ISIN: BMG988431240

Euronext share code: BMG988431240

Zambia Copper Investments Limited ('ZCI') and African Copper Plc ('ACU')

Agreement between ZCI and Moolman

Further to their joint announcement of 11 May 2009, ZCI and ACU are pleased to announce that, on 11 May 2009 they jointly entered into a binding debt assignment agreement (the "Agreement") with ACU's mining contractor Moolman Mining Botswana (Pty) Limited ("Moolman") pursuant to which Moolman assigned its 60 million Pula plus VAT (approximately US$8 million at an exchange rate of US$1/7.5 Pula) outstanding debt (the "Debt") to ZCI at a price equal to 50 per cent. of the face value of the Debt.

In order to help secure ACU's future and accelerate bringing an important mine in the Botswanan community back into production, ZCI has agreed with ACU that it will not seek repayment of the Debt until at least the completion of the financing package announced yesterday (the "Financing Package").

As a result of the Agreement, Moolman will not be taking up its portion of the offer to large trade creditors outlined in the announcement of the Financing Package.

As part of the Agreement, all agreements between the ACU group and Moolman have been terminated, including the mining contract in relation to ACU's Mowana mine.

Commenting on the Agreement, ZCI Chairman Tom Kamwendo said:

"The board of ZCI is delighted to have reached an agreement with Moolman, this brings our Financing Package closer to completion and demonstrates our commitment to put real money on the table to make this transaction happen."

Commenting on the Agreement, ACU's deputy Chairman Dave Jones said:

"The board of ACU are very pleased to have reached agreement with Moolman. We believe we are making real progress in realising a deal that will deliver value for all ACU stakeholders and continue to have a strong relationship with Moolman."



For more information, please contact:

ZCI John Kleynhans +35 24 025 05 427

iCapital (Financial
Adviser to ZCI) Jordan Soko/ Ken Muyangwa +260 211 256 657

Canaccord Adams
Limited (Financial Robert Finlay/ Mike Jones/
Adviser to ZCI) Andrew Chubb +44 207 050 6500

Bridge Capital
Advisors (Pty)
Limited
(Sponsors to ZCI) Pieter Veldtman/ Zayd Laher +27 (0) 11 268 6231

College Hill
(Public Relations
adviser to ZCI) Paddy Blewer (UK) +44 207 457 2020

Jacques de Bie (SA) +27 (0) 11 447 3030

African Copper PLC Chris Fredericks/ Brad Kipp +27 (11) 467 2360/
(416) 847 4866

Numis Securities
Limited John Harrison (Nominated Advisor)/
James Black (Corporate Broker) +44 (9) 20 7260 1000


About ZCI

ZCI is a Johannesburg Stock Exchange ('JSE') and Euronext (Paris) listed, Bermuda incorporated, mining investment company. ZCI previously owned 65 per cent. (subsequently sold down to 28 per cent. in 2005) of the Konkola Copper Mine ('KCM') in Zambia but sold its residual stake in 2008 and is looking to invest in Africa-based mining companies.

About ACU

ACU is an international exploration and development company incorporated in England and Wales and tri-listed on the AIM market of the London Stock Exchange, the Toronto Stock Exchange and the Botswana Stock Exchange. ACU is involved in the exploration and development of copper deposits in Botswana and is currently developing its first copper mine at the Mowana Mine and holds permits in exploration properties at the Matsitama Project. The Mowana Mine is located in the northeastern portion of Botswana and the Matsitama Project is contiguous to the southern boundary of the Mowana Mine.

Canaccord Adams Limited, which is authorised and regulated by the Financial Services Authority (the 'FSA'), is acting exclusively for ZCI and no-one else in relation to the Financing Package and will not be responsible to any person other than ZCI under the Financial Services and Markets Act 2000, the rules of the FSA or otherwise for providing the protections afforded to its clients or for any matter concerning the Financing Package or for providing advice in relation to the Financing Package or in relation to the contents of this announcement or any other transaction, arrangement or matter referred to herein. Canaccord Adams Limited can be contacted at Cardinal Place, 7th Floor, 80 Victoria Street, London SW1E 5JL.

Numis Securities Limited, which is authorised and regulated by the FSA, is acting exclusively for ACU and no-one else in relation to the Financing Package and will not be responsible to any person other than ACU under the Financial Services and Markets Act 2000, the rules of the FSA or otherwise for providing the protections afforded to its clients or for any matter concerning the Financing Package or for providing advice in relation to the Financing Package or in relation to the contents of this announcement or any other transaction, arrangement or matter referred to herein. Numis Securities Limited can be contacted at The London Stock Exchange Building, 10 Paternoster Square London EC4M 7LT.

The release, publication or distribution of this announcement into certain jurisdictions other than the United Kingdom and Canada may be restricted by law and therefore persons in such jurisdictions into which this announcement is released, published or distributed should inform themselves about and observe any such restrictions. Any failure to comply with any such restrictions may constitute a violation of the securities laws or regulations of such jurisdictions.

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