MARKET RELEASE
19 January 2015
Malachite Resources Limited
SUSPENSION FROM OFFICIAL QUOTATION
The securities of Malachite Resources Limited (the "Company") will be suspended from quotation immediately, at the request of the Company, pending the release of an announcement in relation to capital expenditure and funding required to complete commissioning of the Lorena Gold Project.
Security Code: MAR
Elvis Onyura
Senior Adviser, Listings Compliance (Sydney)
Mr Elvis Onyura 19 January 2015
Adviser, Listings (Sydney) Australian Securities Exchange
REQUEST FOR VOLUNTARY SUSPENSION
Malachite Resources Limited (ASX Code : MAR) requests a Voluntary Suspension the securities of MAR effective today, 19 January 2015.
For the purposes of Listing Rule 17.2 , MAR provides the following information:
a) The Voluntary Suspension is necessary as BCD Resources NL (ASX Code : BCD), who is the Company's joint venture partner in the Lorena Gold Project has not yet finalised its review of the capital expenditure required to complete the commissioning of the Lorena Gold Project to earn its 50% equity interest in the project. BCD is the project manager and is responsible for sole funding of the project development to commissioning and is also in the process of reviewing the manner in which it will fund this remaining capital expenditure to earn its equity interest in the project.
MAR currently holds 100% of the Mining Licences associated with the initial development of the Lorena Gold Project. Amongst other things, BCD has requested that MAR offer some or all of its 100% interest in the Mining Licences as security to assist it with any additional funding it may require to meet its earn-in obligations under the joint venture agreement.
As the Lorena Gold Project is MAR's major asset a voluntary suspension is necessary as we do not belive that we can maintain appropriate disclosure until BCD's position in relation to these matters is resolved and MAR has had the opportunity to consider and respond to the information provided by BCD.
b) The Company requests that its securities remain suspended until BCD has provided it with the results of its review of the remaining capital expenditure to achieve commissioning and how this expenditure will be funded and MAR has had the opportunity to properly review and consder this information. Based on advices from BCD to date we expect that this will be achieved or or before close of business on Tuesday 20
January 2015 and accordingly that securities in MAR should be suspended until the earlier of
commencement of normal trading on Wednesday 21 January 2015 or when the Company is able to release an announcement to the market to provide an update on the Lorena Gold Project.
c) The Company is not aware of any reason why the trading halt should not be granted. Yours sincerely,
Andrew J Cooke
Company Secretary
Malachite Resources Limited
ABN 86 075 613 268
Suite 2, Level 10, 8-10 Loftus Street, Sydney NSW 2000
P O Box R1295, Royal Exchange NSW 1225
Tel: (02) 9251 0032 Fax: (02) 9475 0439 www.malachite.com.au