Sale of interest in Sandpiper

Earlier today in Australia MINEMAKERS announced the sale of its interest in SANDPIPER (without mentioning NAMIBIA MARINE PHOSPHATE by name at all) and Rocky Point Projects to Mawarid Mining LLC for approximately $25 million in cash.

Mawarid Mining, a wholly-owned subsidiary of MB Holding Company, was established to explore and develop mining opportunities in Oman and internationally.

Minemakers will still retain an indirect interest in the NMP and the Sandpiper Project through its 14.2% shareholding in UCL Resources Limited (UCL) “providing Minemakers shareholders with exposure to the value upside from the project”.

The full announcement is available on

http://www.minemakers.com.au/downloads/121004MinemakersSandpiperSaleAnnouncementFINALdocx.pdf.

Highlights from the announcement are reproduced below.

Note that the sale is subject to the approval of, inter alia, the Namibian Competition Commission.

HIGHLIGHTS FROM THE ANNOUNCEMENT

• Resolution of significant uncertainty through the sale of 42.5% direct interest in the Sandpiper Project and 70% interest in the Rocky Point Project to Mawarid Mining LLC for approximately $25 million in cash

• Minemakers to retain exposure to upside in Sandpiper through its 14.2%shareholding in UCL Resources Limited

• Minemakers to focus on development of the world class Wonarah Project in Australia. Proceeds from sale will provide financing flexibility for development of Wonarah

• Minemakers remains committed to introducing a strategic partner at Wonarah. The strategic partnership process is progressing well

• UCL is expected to announce today that it will not extend its takeover offer for Minemakers beyond 15 October 2012 and will not waive any defeating conditions. As a result, UCL’s takeover offer will have no reasonable prospect of success

• The sale is subject to this UCL announcement occurring, Minemakers shareholder approval and Namibian Competition Commission approval. Minemakers shareholder approval will be sought in a Minemakers shareholder meeting planned for 29 November 2012
Swakopmund Matters 4 October 2012