Ann: Quarterly Activities & Cash Flow Report, page-2

excellent we are moving along

New Mining Legislation During the quarter, the Company engaged with the Tanzanian Government to progress the Epanko development plan (refer to ASX announcement 28 November 2017). In mid-November, Kibaran and one of its proposed financiers met with Tanzania’s High Commissioner to Japan, Australia and South Korea, His Excellency Mathias Chikawe. The Company briefed the High Commissioner on the Epanko Graphite Project and also highlighted aspects of the new legislation that present challenges to the financing of the Project. The High Commissioner confirmed the Government’s support to pave the way forward for the Project and acknowledged its potential positive economic and social impacts for the Ulanga District and Morogoro Region. Subsequently, the Company and a representative of KfW IPEX-Bank, was provided with an opportunity to meet with the recently appointed Minister for Minerals, Honourable Angellah Kairuki (MP) in Tanzania, to present the Project to the Minister and to highlight aspects of the new legislation that require clarity in relation to international banking requirements for the debt financing of mineral projects. The Minister provided guidance for resolving the various issues. - 2 - _____________________________________________________________________________________________________________ Regulations supporting the new mining laws were issued by the Tanzanian Government on 10 January 2018 and are intended to enable greater local participation in the development of the country’s mineral resources. Kibaran is currently reviewing the Regulations and will meet with the Minerals Commission to discuss any material matters that the Regulations are silent on, once the Commission is officially operational. The Company believes it is well positioned to comply with the new Act and Regulations, having completed an Equator Principles compliant bankable feasibility study that satisfies the stringent International Finance Corporation Performance Standards and World Bank Group Environmental, Health and Safety Guidelines.
"An update of the Epanko development plan has commenced to incorporate aspects of the new Regulations and the Company remains focussed on expeditiously finalising the remaining regulatory and debt funding arrangements."