Shaft Sinkers Holdings PLC : Kibali Project Update

7 November 2013

Shaft Sinkers Holdings plc

("Shaft Sinkers" or "the Group")

Shaft Sinkers announces start of main sinking phase at Kibali

Shaft Sinkers Holdings plc (LSE:SHFT), the international shaft sinking and underground construction group, is pleased to announce the start of the Main Sink Phase at the Kibali gold mine ("Kibali") underground shaft in the Democratic Republic of the Congo.  The commissioning of this changeover marks the commencement of the main sinking phase of the project for the 760 metre vertical shaft and follows successful completion of the site infrastructure, civil and construction works. 

Kibali is a joint venture between mine operator, Randgold Resources (45%), AngloGold Ashanti (45%) and Congolese parastatal, Sokimo (10%).  The project is situated near Doko, in the north eastern Orientale province and Shaft Sinkers were awarded the mobilisation and vertical shaft contracts in November 2012 with an estimated total value of £82.3 million.  Shaft Sinkers is confident that it will meet the overall project completion schedule for the final commissioning and hand over of the permanent shaft in November 2017.

Alon Davidov, Chief Executive of Shaft Sinkers, said:

"The successful completion of the first blast is a major milestone in the sinking of the Kibali vertical shaft.  The Kibali project is typical of the type of work which Shaft Sinkers is increasingly undertaking - a vertical shaft being developed to supplement an existing open pit operation outside of our core South African market.  I would like to congratulate both the owners and the Shaft Sinkers Team working on the project for their hard work and we look forward to delivering the remainder of the project on time, on budget and to client expectations."

Mark Bristow, Chief Executive of Randgold Resources, said:

"Kibali is an important project for Randgold Resources which when in full production will produce 600, 000 ounces of gold per annum and will be one of the largest gold mines in Africa.  We are pleased with the way the Shaft Sinkers team has worked with our owners team and their commitment to keeping to schedule and controlling costs and we look forward to working with them on the remainder of the project."

For further information:

Shaft Sinkers Holdings plc+44 (0) 787 595 1362

Alon Davidov, Chief Executive Officer

Chris Hall, Chief Financial Officer

Aura Financial                                                +44 (0) 207 321 0000

Andy Mills

Notes to editors

Shaft Sinkers

Shaft Sinkers Holdings specialises in the sinking of particularly deep and wide vertical and decline shafts and the development of underground infrastructure, used primarily in mining and hydropower applications.

The Group is a world leader in vertical shaft sinking with a focus on particularly deep and/or wide vertical shafts. It has the capability to sink shafts through all types of rock strata, including running sands and clay. The Group works principally for established mining and infrastructure companies.

Historically, the Group has completed projects in over 20 countries worldwide across Africa, Europe, South America, the Middle East, Asia and Australia. The Group was responsible for sinking one of the deepest ever man and material South African shafts, a secondary shaft at the Western Deep Levels to a depth of 3,131 metres below bank.

Major current projects and customers include the Shaft 16 and 17 complexes for Impala Platinum, Leeuwkop for Afplats, the Styldrift project for Anglo Platinum and Royal Bafokeng Resources, the Lonmin projects include Karee 3, Hossy and Saffy, the Hernic Ferrochrome project; RampuraAgucha for Hindustan Zinc Limited and Kibali Goldmines.