Anglo Pacific will pay Cancap total consideration of up to US$25 million in cash and will issue Cancap certain warrants, in exchange for its 2% net smelter return ("NSR") royalty interest on all mineral products sold from the area of the Maracás Project to which the royalty interest relates (the "Royalty").

Total consideration is payable as follows:

• US$22 million payable in cash on completion of the sale to Anglo Pacific of the Royalty ("Completion");
• A further US$1.5 million payable in cash when the Maracás Project reaches, over a calendar quarter, sales of an annualised production rate of 9,500t V2O5 equivalent;
• A further US$1.5 million payable in cash when the Maracás Project reaches, over a calendar quarter, sales of an annualised production rate of 12,000t V2O5 equivalent; and
• 500,000 warrants will be issued to Cancap on Completion. Each warrant will entitle the holder to acquire one Anglo Pacific ordinary share at a strike price of £2.50 and will be exercisable for 5 years. The warrants will not be admitted to trading on any exchange.

Click on, or paste the following link into your web browser, to view the associated PDF document.

http://www.rns-pdf.londonstockexchange.com/rns/5588I_1-2014-6-2.pdf

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