Handa Signs Joint Venture Agreement with Property Owners to Build Copper Processing Plant in South Africa

Handa Mining Corporation takes immense pleasure in announcing that it has signed a joint venture agreement (the “JVA”) with O’Okiep Copper Company (“OCC”) and SHIP Copper company (“SHIP”) (OCC and SHIP are, together, the “Property Owners”) to fund and develop a processing plant (the “Plant”) that will recover copper from broken rock lying on the surface of properties held by the Property Owners situated in the northern Cape Province of South Africa, around 600 km north of Cape Town.

Handa will have a time period of 60 days to decide whether to carry on. If Handa proceeds, it will issue an aggregate of three and a half million common shares to the Property Owners, with one and a half million common shares being given right away and the remaining two million being given after two years of production from the Plant. Handa would be authorized to receive 65% of any profits (as specified under Canadian IFRS) produced by the Plant for the first two years of production. After this phase, Handa’s share in any profits would drop to 33%. Handa will continue to be the owner and operator of the Plant.

The owners of the project will take responsibility for all infrastructure and regulatory permits needed to run the plant.

Completion of the transaction depends on the decision of the Board of Handa to proceed on the transaction and securing principally debt funding for the project.