23 August 2016

                                                                                                                    
    International Ferro Metals Limited

                               ("IFL" or the "Company")                            

                              Sale of Business Completed                           

    Further to the announcement released by the Company on 24 March 2016, IFL
    announces that all the conditions to the sale of the business and assets of its
    South African subsidiary, International Ferro Metals (SA) (Pty) Limited
    ("IFMSA") have now been fulfilled. The sale has been completed for a
    consideration of ZAR300 million with the balance of ZAR10 million payable upon
    transfer of the immovable properties. The proceeds will be distributed to
    creditors of IFMSA in accordance with the amended business rescue plan.

    The remaining transactions, for which conditions are in the process of being
    fulfilled, are as follows:

      * ZAR140 million for the IFMSA mining right and beneficiation plant; and
       
      * ZAR70 million for IFMSA's claims against Sky Chrome and IFL's sale of Sky
        Chrome's equity for ZAR100
       
    The outstanding conditions include obtaining regulatory approvals, specifically
    ministerial approval for the transfer of mining rights, and consents of other
    parties to certain material contracts, which are usual for transactions of this
    nature.

    The Company reiterates that it is not likely that IFL shareholders would
    receive any distribution from the conclusion of the business rescue process.

    Further announcements in relation to the Business Rescue process will be
    released in due course.

                                        - ENDS-                                    

    For further information please visit www.ifml.com or contact:

    International Ferro Metals Limited

    Jannie Muller, Finance Director       +27 82 785 1364

    Wayne Kernaghan, Company Secretary       +61 407 233 153

    About International Ferro Metals:

    International Ferro Metals produces ferrochrome, the essential ingredient in
    stainless steel, from its integrated chromite mine and ferrochrome processing
    operations in South Africa.  International Ferro Metals is listed on the London
    Stock Exchange under the symbol IFL.

    Forward Looking Statements

    This announcement contains certain forward looking statements which by nature,
    contain risk and uncertainty because they relate to future events and depend on
    circumstances that occur in the future.  There are a number of factors that
    could cause actual results or developments to differ materially from those
    expressed or implied by these forward looking statements.