BINDURA NICKEL CORPORATION LIMITED

(Incorporated and registered in Zimbabwe with limited liability under Certificate of Registration number 552/66 and Certificates of Change of Name dated 22 June 1979)
Directors: K.K. Mpinga (Chairman) (DRC), D.E.H. Murangari (Managing Director), J.P. Arthur, O.M. Chidawu, N.Kudenga, B. Manhando, T. Mashungupa, M.A. Masunda, Alternate Director: I.S. Cochrane Address: Trojan Nickel Mine, Trojan Mine Road, Bindura, Zimbabwe

COMPLETION OF COMPETENT PERSONS REPORT AND 28% INCREASE IN ORE RESERVES AT TROJAN NICKEL MINE
Bindura Nickel Corporation Limited (BNC or the Company) is pleased to announce the completion of a competent persons review by SRK Consulting (UK) Limited (SRK) of its Business Plan for the re-start of operations at Trojan Mine. SRK reviewed the updated mine plan targeting the higher grade ore zones in the early years of production at Trojan. The report is independent confirmation that the plan is realistic and achievable and enables BNC to update its Ore Reserves statement to total reserves of 3.168Mt at an average grade of 1.04% for 32,975 tonnes of nickel, a 28% increase to the previously reported Trojan reserves as at 31 March 2010 of 25,810 tonnes of contained nickel. The table below presents BNCs latest Mineral Resource and Ore Reserve Statements for Trojan as at 30 June 2013, audited by SRK and reported in accordance with the JORC Code.

Table 1:
Ore Reserve

SRK Audited Mineral Resource and Ore Reserve Statement at 30 June 2013
Mineral Resource Tonnage Grade (%) 0.89 1.37 1.04 Nickel (t) 19,254 13,721 32,975 Category Measured Indicated Sub-total Inferred Total Tonnage (kt) 2,235 1,946 4,181 4,038 8,219 Grade (%) 1.01 1.52 1.25 1.63 1.44 Nickel (t) 22,572 29,583 52,155 65,817 117,971

Category Proved Probable Total

(kt) 2,166 1,002 3,168

(1) (2) (3) (4)

Ore Reserves are reported as delivered to the concentrator and exclude all metallurgical recoveries. Mineral Resources are stated inclusive of Ore Reserves. Ore Reserves are restricted to 37L and above. Mineral Resource and Ore Reserve depleted for actual mining during April to June 2013.

BNCs Business Plan is based on the exploitation of the Measured, Indicated and Inferred Resources on and above 49L which are projected to support mining for some 10 years. The construction of the infrastructure required to access deeper levels has already commenced. SRK has reviewed the Business Plan for the re-start of operations at Trojan and considers the plan to be both realistic and achievable. SRK has also reviewed the production schedule on which the Trojan Business Plan is based and while this incorporates a portion of Inferred material, and therefore has a higher element of risk than if this was not the case, considers this to have been appropriately derived from the Mineral Resource model. An off-take agreement has been signed with Glencore which gives clarity on the revenue assumptions made going forward. SRK is satisfied that the terms of this have been appropriately reflected in the BNC Business Plan. BNC has developed operating costs from first principles and using experience from previous operating history at the mine, processing and administration facilities. SRK has reviewed the operating and capital cost assumptions and considers these to have been developed in a thorough manner and to be reasonable for the purposes of the Trojan Business Plan. By Order of the Board C.F. Mukanganga Company Secretary 7 October 2013