Actfield Company Profile

ATCOFIELD (PTY) LTD

BUSINESS PROFILE 2021 ATCOFIELD (PTY) LTD Office Address: HANS MERENSKY OFFICE PARK BLOCK C 32 VAN BUUREN ROAD BEDFORDVIEW Telephone: +27 82 454 2047 Facsimile: +27 86 518 7667 Email: julian@tenureminerals.co.za

ATCOFIELD (PTY) LTD

INTRODUCTION

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ased with their head office in Bedfordview, Johannesburg, South Africa, Atcofield is a special purpose vehicle (SPV) created by HJJ Trading to develop mining and minerals beneficiation opportunities in SADC and sub-Saharan Africa. HJJ Trading works in the precious metals and precious stones trading industry and its vision is to develop Atcofield as their primary source of these minerals. HJJ is committed to funding Atcofield until it is a self-sustaining entity.

The company’s experience consists of prospecting, exploring, mining, refining and beneficiation of a diverse range of minerals including gold, chrome, copper, coal and other commodities. Our intention is to find and develop opportunities in multiple commodities from greenfields to production status and further beneficiation and trade of mined commodities. Our preference is for gold deposits with lead, rare earths, lithium, copper, cobalt, and other non-ferrous minerals as secondary targets within the SADC region.

In 2018 Atcofield employed the services of Tenure Minerals Consultants to assist in the development of their mining projects. This became an exclusive arrangement and it has been decided to merge the two organisations in order to provide the necessary critical mass of skills required to extract full value from existing and future opportunities.

Atcofield can also provide professional services to the mining and minerals industry. As well as having highly qualified and experienced principals and employees we have access to a large and varied skills base from which we either permanently employ personnel or contract in expertise as circumstances dictate. We have long term relationships with some key organisations and access to a deal flow of viable, qualified minerals projects.

In addition to developing our own mineral deposits our services include: • Capital raising • Project evaluation (SAMREC, SAMVAL & JORC codes of practise) • Economic, technical and bankable feasibility studies • Exploration management • Establishment of operations • Project & contractors management • Evaluation and management of sub-contractors (consulting & operations) • Empowerment partnering • Structuring of corporate transactions

ATCOFIELD (PTY) LTD

OUR MISSION, VISION, VALUES

VISION Atcofield wishes to create wealth in the SADC region through the development of project based industrial economies utilizing a portion of the mineral resources in each target country as a guarantee against the investments required.

MISSION Atcofield’s mission is to identify worthwhile mining and minerals ventures, at any stages of the value curve, and to create the maximum value in these ventures for all stakeholders. We will achieve this through innovative assessment of each venture’s opportunities and our access to the best available personnel, contracting organisations and technologies.

Our Five Key Behaviors Live the company values, Focus on excellence, Act with speed, Communicate openly, Collaborate across the company

We are guided by the following values.

They describe our company as we want it to be. We want our decisions and actions to demonstrate these values. We believe that putting our values into practice creates long-term benefits for shareholders, clients, employees, suppliers, and the communities we serve.

We take responsibility for QUALITY… Our projects and services will be “best in class” in terms of value received by all of our stakeholders. We will deliver excellence, strive for continuous improvement and respond vigorously to change. Each of us is responsible for the quality of whatever we do.

We deliver value from our VENTURES… We are dedicated to maximizing the value of our ventures. We believe in acquiring in depth understanding of each venture, listening to and respecting our stakeholder’s requests and their expectations. We strive to exceed their expectations in value, quality and on-time delivery.

We provide LEADERSHIP as a company and as individuals…

Atcofield leadership is founded on talented executives and employees effectively applying advanced technology, innovative thinking and sound business management. We add more value with faster response. We each lead through our experience, competence, creativity and teamwork.

We act with INTEGRITY in all we do…

We are each personally accountable for the highest standards of behavior, including honesty and fairness in all aspects of our work. We fulfill our commitments as responsible professionals, citizens and employees. We will consistently treat stakeholders and company resources with the respect they deserve.

We value ATCOFIELD… We treat one another with respect and take pride in the significant contributions that come from the diversity of individuals and ideas. Our continued success requires us to provide the education and development needed to help our stakeholders and our people grow. We are committed to openness and trust in all relationships.

We regard our CONTRACTORS as essential team members…

We owe our contractors the same type of respect that we show to our other stakeholders. Our contractors deserve fair and equitable treatment, clear agreements and honest feedback on performance. We consider our contractors’ needs in conducting all aspects of our business.

ATCOFIELD (PTY) LTD

O U R C O M PA N Y S T R AT E G Y

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urrent development and finance models are not creating and supporting the growth of wealth in SADC and therefore the greater portion of the monies and other benefits currently generated leave the region.

both oversight of investment strategies and individual investments for SADC. This platform will also serve to deliver international banking facilities for all transactions and will be based in Mauritius.

Other industries, necessary to support these projects, will also be developed by our business partners with the expertise required. These industries include power generation and distribution, agri business (food security) and infrastructure development.

The SADC region does not have a good track record, regionally and at country level, in allowing businesses to develop to create wealth for the populace. There are many reasons for this but current regional and global socio-political conditions provide a window of opportunity for organisations with similar values to join forces and do something special for this struggling SADC economy. We also believe that we can overcome the legacy of the SADC track record through transparency in all of our activities and thoroughly applied risk mitigation strategies to deliver innovative solutions.

In order to ensure the governance required endeavour we wish to investment and financial SADC to provide not only

Our strategy includes finding and developing viable opportunities in multiple commodities at any point on the value curve, from greenfields to production status. Where practicable

Atcofield wishes to create wealth in the SADC region through the development of mining and minerals processing project - based economies utilizing a portion of the mineral resources of each target as a guarantee against the investments required.

necessary for this create an platform in capital but

we will carry out further beneficiation of the mined products close to the host communities and also manage the trade of mined commodities to maximise value for all of our stakeholders. Our preference is for gold deposits with lead, rare earths, lithium, copper, cobalt, and other nonferrous minerals as secondary targets within the SADC region.

The geographical focus currently is Botswana, Mozambique, DRC, Zambia and Zimbabwe. Other SADC countries will receive attention as and when the opportunities arise.

We are currently investigating the potential for a rapid development of several mining opportunities. In this respect Atcofield has a major advantage over large mining houses in that we have a structure that enables quick decision making. This means that we get mining projects into production faster as we have the ability and agility to manage the development of a mine with a more hands on approach from senior management.

ATCOFIELD (PTY) LTD

SOCIAL RESPONSIBILITY

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e take our social responsibilities very seriously. We know that with the support of the local population and regional authorities, project development and progress is greatly assisted. During initial site visits we ascertain who the local leaders are and what their needs are.

Together we develop a strategy as to how we can assist with their requirements such as schooling, medical clinics, housing, skills development and employment. We also look at government initiatives and where we can complement them.

Skills development is a very important issue and not limited to just the mining operation but also covers fields such as: ➢ Vehicle mechanics ➢ Auto Electricians ➢ Panel beating ➢ Construction ➢ Bricklaying ➢ Electricians ➢ Plumbers ➢ Cabinetry ➢ Road Construction ➢ Horticulture ➢ Administration ➢ Management development ➢ Project management ➢ Agriculture

During mine development skilled employees are only sourced from South Africa if there are no locals with the necessary skills. We do however appoint shadow staff, who are trained until they have developed the necessary skills.

The University of Witwatersrand has in principle, given support to assist us in this regard.

Once there is consensus between all parties, a Memorandum of Agreement will be signed. By doing this the project will benefit, as the local population and its leaders understand that with their positive participation in the development of the mine prosperity then comes to all.

ATCOFIELD (PTY) LTD

P R I N C I PA L S Julian Upshall: Dipl. Min. Eng.; MBA; MSAIMM

Julian has been in the industry since 1976. He is qualified as a mine manager in UK and SA and has consulting & project management experience on 6 continents and with most types of minerals, mining systems, M & A activities etc.

Clint Dixon:

37 years of experience in prospecting, mining and beneficiation

Clint has 37 years of experience in prospecting, mining and beneficiation of gold, precious stones and other minerals. He started working for the family mining business in his early teens and has operated in South Africa, Zambia, Zimbabwe and Mozambique. Further to this he has grown a jewelry manufacturing and sales business as well as a diamonds and precious metals trading company.

A S S O C I AT E S Atcofield has many business associates that we prioritise due to their good performance on past projects. There are too many to mention but the most important are described below: DM Business Consultants

Sound Mining Solutions (Pty) Ltd

ALS Minerals Division

DM is a Mauritius based company that is assisting Atcofield in setting up a regulated financial hub and investment platform in that country. This will include the listing of a closed end fund to attract international investment into our business.

Sound Mining (SMS) is an independent and privately owned company. It employs a team of competent professionals who combine experiential knowledge and technical excellence with sound 3D computer modeling expertise. They provide geological modeling and mine design services to Atcofield as a preferred supplier.

ALS are global in their core activities relating to the inspection and analysis of metals, minerals, ores, solid fuels and recycling scrap, and the provision of geochemical services to the mining and exploration industry. Their services include the provision and operation of onsite sample preparation and laboratory services which are invaluable to us at some

Verma Explo, Tiador & LMC Drilling

AQB Geologging Systems and Services

Modus Group and Bond Engineering

These companies provide exploration drilling services to Atcofield as preferred suppliers. They have the ability to custom design and build drill rigs at short notice for a variety of applications and terrains.

AQB is based in Botswana and is a partner These companies provide us with innovafor Atcofield in various ventures outside of tive process plant design solutions as well the borders of South Africa. Jointly we have as construction and operation of process plants where required. the capacity to pursue projects in Botswana, Malawi, Mozambique, Angola, Zambia and Zimbabwe.

Sable Data Works

CK Aerial Surveys

Awie is an independent consulting geologist who provides Atcofield with ore body modelling services and SAMREC and JORC compliant resource statements derived from our exploration activities. He also gives QA / QC guidance regarding data integrity during exploration programs.

Sable supplies Atcofield with its geoscientific databases and database management solutions. They also provide data auditing services for our exploration project data and customised training for our employees specific to the data requirements of individual projects.

When required, Sable also provides consulting services regarding the geoscientific aspects of the exploration, and geochemical analysis, of specific ore bodies.

CK provide us with LIDAR helicopter and aeroplane-based survey services. This provides us with the accuracy of land survey techniques with significant time and cost advantages over conventional surveying.

MC Process

ProConsult

Awie Pretorius BSc (Hons.) Geology, MSc Geology, MGSSA, SACNASP Pr. Sci.

MC supply mineral processing analysis and ProConsult provide specialist minerals plant design services to Atcofield. They processing and metallurgical consulting are particularly involved with our projects services where there is a requirement for where the requirement is for the processcustomised DMS technologies. ing of unusual minerals such as graphite or talc etc.

ATCOFIELD (PTY) LTD

SERVICES

Project evaluation

Feasibility studies

Exploration management

Atcofield will evaluate any mining or minerals related project based on information available at the time of evaluation. Recommendations can be given as to the potential of the project and the next steps required in the project development process.

Feasibility studies can be produced to any level of definition required by a client from pre-feasibility studies to definitive (or bankable) feasibility statements. Geological modelling, mine design and metallurgical process and plant design are coupled with expertise in logistics, environmental, commercial and regulatory aspects of a project in order to produce feasibility studies for the benefit of all stakeholders in a project. This includes the ability to produce independently verified resource statements to comply with SAMREC or JORC codes of practise.

To produce feasibility studies of the highest quality and integrity Atcofield believes it is imperative to control the source and integrity of exploration data. Atcofield will use the appropriate invasive and non-invasive exploration techniques controlled by its own field geologists and technicians to produce data suitable for geological modelling by its appointed consulting geologists.

We will appoint independent laboratories for the assay of ore samples and manage the logging, sampling and assay database to ensure that data integrity is maintained throughout the exploration process.

Establishment of Operations

Project Management

Evaluation & Management of Contractors

Atcofield will take the output from feasibility studies or other mine design criteria as a basis for establishing mining operations on an ore body. This includes procurement, civil engineering and other construction work as well as the identification and recruitment of management and personnel.

At any stage of mine development Atcofield can manage the project to ensure completion on time and within budget whilst meeting the quality requirements of the client.

Atcofield has proven methodology for the evaluation of potential contractors on behalf of its clients and can appoint and manage these contractors if required. This includes 3rd parties used for exploration, consulting or operations.

Capital Raising and Business Structuring With our extensive international contact base, we have the ability to raise funds for the development of attractive mining and minerals beneficiation projects from fund managers in several countries.

Advice can be given on the financial, executive and management structures required to ensure efficiency and effectiveness of the business.

ATCOFIELD (PTY) LTD

CURRENT PROJECTS

ATCOFIELD (PTY) LTD

CURRENT PROJECTS • Nachinanga Lead / Silver This project is situated approximately 120km from the city of Tete in Mozambique close to the border with Zimbabwe. Initial fieldwork has defined a Broken Hill type formation. The Tete deposit is a hypothermal deposit of Pre-Cambrian age resulting from the selective replacement of two closely adjacent, tightly and complexly folded stratigraphic rock layers. A limited amount of exploration, consisting of pitting, trenching, sampling and assay work has been carried out across the deposit. Two distinct ore types have been discovered: 1. A massive deposit containing a very high concentration of lead at over 80% Pb. This deposit is notable for its lack of arsenic content and very few other trace elements. Mapping has shown

the deposit to extend over a strike length of at least 1.2km with a width of over 260m. The ultimate depth of the ore body has not been discovered but trenching operations have been carried out to 3m with no apparent sign of change in the quality of ore.

This exploration work indicates that there is at least thirty million tons of this ore type available for exploitation and the strategy is to commence small scale production as soon as possible, using the proceeds from product sales to carry out further exploration work. The ore body is close to surface with less than 1m of topsoil cover in most areas. Mining will be by open pit methods with an initial bench height of 3m. An offtake agreement for this product is in place.

• Old Workings Old Workings were discovered during the mapping exercise. These consist of a shallow inclined shafts into the side of a hill formation. The geology of this area is complex and highly folded and the assay work on samples taken here show a totally different type of ore body from the one described above. The ore has a lower lead content at just over 50% but contains high quantities of gold (15g/T), silver (80g/T) and arsenic at 2.7%.

From this it is believed that the old workings were largely targeting the gold content of the ore. Due to the complex nature of the geology in this area further exploration is required before any commercial exploitation of the ore body can be considered.

• Gweru Gold Project Atcofield has partnered with the owners of several small gold blocks in

the Gweru area of Zimbabwe. The first block has been fully permitted and will soon be equipped for bulk sampling operations. All of the blocks are located on the same geological feature and it is hoped to be able to establish several small operations with a central processing facility.

• Munhena Gold Mine Atcofield carried out exploration, prospecting and fully developed and equipped the Munhena gold mine in the project area. During 2010, they milled 1840 tonnes of hard mineralized quartz-reef, recovering 25,947 grams (834 oz.) of unrefined gold; average recovered grade being 14.1 grams per tonne. The mine was mothballed for security reasons but all of the licences and property rights are still valid. Approximately 60 workers were employed and most of these, now skilled, underground miners remain in the area. It is planned to resume production once the Renamo / Frelimo peace process is fully implemented and Covid-19 related travel restrictions are lifted. The mine’s processing plant could be incorporated in any new operation.

ATCOFIELD (PTY) LTD

PA S T P R O J E C T S R E G I S T R Y

Tsiquire Project: Mozambique

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he Tsiquire gold project prospecting license covers an area of 25.6 km² in the Sofala province of Mozambique near the town of Gorongosa. Initial geological mapping and bulk sampling indicates that a simple mineralised system of gently-dipping, quartz veins occupies an area of at least 2700m x 1000m. To date, no geological limits have been observed at the periphery of this system.

The open pit potential for gold is already apparent. This is the commanding tenement position in the region and the local operational experience and geological insight all combine to make this an exceptional investment opportunity. The exploration target at Tsiquire is millions of ounces of gold in an open-pittable setting.

The Tsiquire gold project is located near the town of Gorongosa, in Sofala Province, Mozambique. (See map below). The Property encloses five groups of open pit excavations excavated by artisanal miners.

The area is easily accessible by road and good quality accommodation is available locally, due in part to the tourist attraction of the Gorongosa national park to the east of the prospecting license area The project was abandoned in 2013 due to security issues resulting from renewed hostilities between Renamo and Frelimo.

• Potential purchase of Lerala Mine in Botswana

Atcofield successfully bid for the acquisition of Lerala Mine subject to due diligence. The purchase price accepted was $4.5 million. Following the due diligence it was discovered that further capital expenditure required to put the mine back into production would amount to another $3.48 million, far more than was disclosed in the data originally provided. The revised financial models showed that this investment would not pass Atcofield’s hurdle rates and it was decided to reserve this capital for use on our prospective diamond projects in Zimbabwe.

• Due diligence: Sover Mine in Northern Cape, RSA

This mine was offered to Atcofield at a purchase price of R4.5 million. Unfortunately it did not get past the due diligence phase and the deal was rejected.

• Copper dump processing: Chingola, Zambia

Atcofield, through its subsidiary Atcofield: Zambia has obtained a mining licence to process a copper dump near Chingola in Zambia. To date $0.3 million has been spent on sampling, assays and metallurgical testing. This dump alone does not warrant the capital cost of the process plant required and Atcofield has applied for licences on adjacent dumps in order to amass 15 million tons of material in order to move this project forwards.

• Tsantsabane Exploration & Mining

Brownfield iron ore and Greenfield manganese projects. Atcofield is appointed as managing consultants for exploration and feasibility studies on expansion projects.

ATCOFIELD (PTY) LTD

PA S T P R O J E C T S R E G I S T R Y • Cape Diamonds (PLC)

Principal Consultant & Chief Geologist for listing on AIM

• Bucyrus DBT Europe (GmbH)

Project Manager: Head of underground operations, SCCL and CIL (Coal - India)

• Denisovskaya

Appointed to develop mining strategy & mine design for underground mechanisation (Coal - Siberia)

• Kudumane Manganese Resources (Pty) Ltd: Urgent technical review of Bankable Feasibility Study

• Rofomex

Appointed as lead consultant for mine reopening strategy, project design etc. (Phosphates - Mexico)

• Eersteling Gold Mine

Brownfield gold mining project. Atcofield was engaged in fund raising to purchase and refurbish this mining operation.

• Uitgevonden

This is a Manganese project in North West Province of South Africa. Atcofield was engaged in providing a CPR for Facor Alloys, an Indian company interested in investing in this project.

• Kalungwishi

This is a Copper and Gold (Cu/Au) project in the North West Province of Zambia. Atcofield was contracted as managing consultants to provide a scoping exercise and engage investors to jointly take this project to production from green fields.

• Emang Mmogo

Brownfield manganese project. Atcofield was appointed by Segue Resources (Pty) Ltd as managing consultants to complete exploration and feasibility studies for extensions to current mining area.

• Various CPR, mining rights applications, evaluations etc.

ATCOFIELD (PTY) LTD

BUSINESS PROFILE 2021 ATCOFIELD (PTY) LTD Office Address: HANS MERENSKY OFFICE PARK BLOCK C 32 VAN BUUREN ROAD BEDFORDVIEW Telephone: +27 82 454 2047 Facsimile: +27 86 518 7667 Email: julian@tenureminerals.co.za